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What is Contractor vs Employee
Companies love hiring contractors—it feels cheaper and simpler. Governments? They see it as you dodging your tax and social obligations, and they will hunt for misclassifications. That's the entire high-stakes game behind the contractor vs. employee distinction. Getting it wrong isn't a slap on the wrist. It’s a multi-year audit that ends with crippling fines and back-pay demands. Your HR software has to be the gatekeeper here, because one "oops" from a busy manager can cost the company six figures. It's a compliance firewall, not just a label in a dropdown menu.
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