Independent Contractor Services

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Policy Number:
UW-5007
Old Policy Number:
2.03
Responsible Office:
Office of Human Resources

University Policy

Rationale/​Purpose:

Whenever practical, UW-Madison work is to be performed by university employees. This policy addresses situations which require the university to engage in services with independent contractors.  

Definitions:
Employer/Employee Relationship
For purposes of this policy, an employment relationship exists for instructors of college credit courses when the university contracts with the instructor, and for primary instructors of a course, be it for college credit, continuing education credit, or noncredit. An employment relationship also exists if the university controls or has the right to control an employee’s work including when, where and how the work is to be done; the university provides training; the employee is generally guaranteed a regular wage for an hourly, weekly or monthly period of time; the university provides equipment, supplies and tools necessary to do the work; the university offers benefits such as insurance, retirement savings, and/or vacation; among other factors as determined by the Internal Revenue Service (IRS).
Independent Contractor
An independent contractor relationship exists if the contractor provides services to the general public; works for more than one organization at a time; has significant investment in the equipment used when working for others; and has an opportunity for profit or loss; among other factors as determined by the Internal Revenue Service (IRS).
Scope:

All departments and designees with purchasing authority.

Policy:

Contracting with an individual is appropriate only when an employment relationship will not be created between that individual and UW-Madison by the proposed services.

When it becomes necessary to contract with individuals or firms to provide special expertise on a short-term consultant or service basis, a written contract is required. See Business Services Processing Payments for Employees for more information.

 

External References:

Policy Administration

Approval Authority:
Vice Chancellor for Finance and Administration
Policy Manager:
Associate Vice Chancellor/Chief Human Resources Officer
Contact:
HR Director & Program Officer -- Alisha Arnold, alisha.arnold@wisc.edu, (608) 265-1451
Effective Date:
06-18-2015
Revised Dates:

04-05-2019, 11-15-2022

Reviewed Dates:

11/15/2022

Retrieved:
12-10-2024 02:37:57