California Employment Law
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The factors described above were originated as part of a determination of corporate liability for purposes of unlawful employment discrimination. The point, however, is important because the Clackamas case shows that there is no law prohibiting an independent contractor from sitting on a corporation board. The issue is simply whether or not the contractor is in fact an independent contractor, rather than an employee.
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Thank you. That absolutely clarifies the first part regarding sitting on the Executive Board (Senior Management Committee), which might imply the answer to the second part, but I would like explicit confirmation regarding the "supervising, hiring and firing" of employees.
The situation is that an IT consultant was brought in to a company that had no internal IT resources. The consultant was eventually offered a position on the Executive Board. The consultant eventually over saw the hiring of IT employees for his client. This expanded into a position where the IT consultant actually supervising the employees that worked for the client, not the consultant.
The question has arisen as to whether the consultant or the client is at risk of violating labor laws.
It seems like your answer would suggest that they are not, but I would just like to see the answer stated in concrete terms.
Thank you for your time.