What is an employee?
An employee is a person hired by an employer to do a job under a written or implied employment contract. They are typically paid through payroll and work under the employer’s direction, with agreed hours, responsibilities and workplace policies.
Employees usually have stronger legal protections than other types of worker. These may include sick pay, maternity leave, redundancy pay, protection against unfair dismissal and the right to request flexible working. Understanding employment status helps employers and people at work know what rights, responsibilities and benefits apply.
Things to know
- Employment status affects rights, pay, tax and eligibility for benefits
- Employees are generally entitled to a wider range of statutory protections than contractors or some casual workers
- An employment contract can be written, verbal or implied through working arrangements
- Rules and entitlements vary by country, so it’s important to check local guidance
FAQs
What’s the difference between an employee and a contractor?
Employees typically work under an employer’s control and have more statutory rights. Contractors are usually self-employed and have different tax and legal arrangements.
Does an employee need a written contract?
Not always. A contract can be written, verbal or implied, but having terms in writing helps avoid confusion.
What rights do employees usually have?
Rights vary by country, but may include paid leave, sick pay, maternity or parental leave, redundancy pay and protections against unfair dismissal.
Why does employee status matter?
It affects pay, tax, benefits and the legal protections a person is entitled to at work.
