People Smartz Blog

People Smartz is proud to have been accredited as an approved consultant for the Jobs Assist Program.

The Queensland State Government is providing grants through approved Consultants for the delivery of advisory and mentoring services to businesses with 10 or more (full time equivalent) employees under the Jobs Assist programme.

The Department of Employment, Economic Development & Innovations (DEEDI) is providing the support intended to help businesses weather the current economic conditions. The financial loss and consequent unemployment caused by business failures is well understood. DEEDI is generously providing funding wherever such assistance is beneficial to sustaining businesses and the retention of employees.

Consulting assistance worth up to $8000 to each eligible business is provided in two stages:

Stage 1  -  For the purpose of diagnosing the issues impacting upon an existing business and to develop an Action Plan to help owners addresses strategies and activities which improve the business model.

Stage 2  -  For the purpose of engaging a consultant to mentor and provide expert advice with implementation of the priority tasks identified in the Action Plan. The outcomes sought are increased efficiencies, business sustainability and an increase in overall productivity.

Eligibility Criteria

The businesses accepting the assistance must meet the following criteria:

• Employ 10 or more full time (equivalent) employees;
• Have an established operating base in Queensland;
• Have an ABN and be registered for GST; and either
• Be located within a Local Priority Employment Area under the Federal Government Keep Australia Working Strategy; OR
• Fall within key sectors considered critical or of strategic importance to the State, region, industry or sectorial supply chain.

 To find out more about eligibility or to apply please contact us for more information today!

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Laws regarding the use of Independent Contractors have been around for quite a few years now.  These laws are designed to provide increased protection against employers who try and avoid their employment obligations by using what are called "Sham" agreements.

Independent contractors run their own business and should be free to negotiate their fees and working arrangements.  They may provide their services to any number of clients.

Employees have set minimum entitlements (payment of wages, annual leave, personal leave etc) and are subject to the control and direction of their employer.

A "sham" agreement occurs when an employer deliberately disguises an employment relationship as an independent contracting arrangement in order to avoid paying an employee his or her entitlements.  It is possible that an employer who makes arrangements in this way could be fined up to $33,000. 

Many businesses I work with enter into independent contractors agreements in order to "benefit" both the business and the person doing the work. There is no intention to deceive or avoid obligations - just an intention to "do the right thing by all" by improving the return to the "employee" and to save the company money.

Unfortunately, this could be opening up a minefield for the business and the independent contractor.  If the arrangement has been made with the intention of avoiding obligations on the businesses part, it can result in fines, back taxes and other costly penalties.  There can also be tax ramifications for the independent contractor.

When reviewing whether the working relationship is one of employment or independent contract, the Fair Work Ombudsman will look at the circumstances.  Things such as how the work is performed, who bears the commercial risk, whether the work is results based or not, who sets the hours of work, whether the individual has a right to delegate work and who provides the equipment used are some of the many factors which can be taken into account.

I strongly recommend to my clients before entering into independent contractors arrangements that they closely review the relationship they are forming.  While the benefits of utilising independent contractors are significant, if not structured properly, they also introduce an element of risk to the business.

People Smartz is able to assist businesses with the process of employing independent contractors.  If you have, or are considering, independent contractors in your business - contact us today.

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