Contractor role for USA company

chaotic_j

Hi,

I've been approached by a small company in the USA for a full-time, wholly remote role. Under the details of the role they list bank holidays off, vacations, sick pay (in accordance with laws), healthcare etc.

I asked if it was an employed role and they said it's a contractor position.

From what I gather I'd be self-employed and have to pay my own taxes etc. If that is the case how can they state sick pay, vacations etc. as though employed? Surely I'd just take as much time off as I wanted?

Presumably they would also be able to ditch me easily if they so wished?

What else do I need to be aware of?

Currently I'm full time employed working a hybrid pattern of 2 days remote, 3 office with early Friday finish. Pay is below average/average for the role. Holidays slightly more than statutory. Workplace pension. Not a great place to work in all honesty.

The contractor position pays approx. at least double my current salary.

Thanks in advance.

chaotic_j

Hi,

Just wondering if anyone has words of wisdom here please?

I also had the thought, being a contractor I'd need professional insurance.

Regards.

Marcon

chaotic_j said:

Hi,

I've been approached by a small company in the USA for a full-time, wholly remote role. Under the details of the role they list bank holidays off, vacations, sick pay (in accordance with laws), healthcare etc.

I asked if it was an employed role and they said it's a contractor position.

From what I gather I'd be self-employed and have to pay my own taxes etc. If that is the case how can they state sick pay, vacations etc. as though employed? Surely I'd just take as much time off as I wanted?

Presumably they would also be able to ditch me easily if they so wished?

What else do I need to be aware of?

Currently I'm full time employed working a hybrid pattern of 2 days remote, 3 office with early Friday finish. Pay is below average/average for the role. Holidays slightly more than statutory. Workplace pension. Not a great place to work in all honesty.

The contractor position pays approx. at least double my current salary.

Thanks in advance.

Americans have a very different take on employment law, and it doesn't always translate well to other countries.

Given it pays double your current salary, and you aren't too happy where you are now, it's well worth pursuing. The best and safest approach would be to get a specialist (UK) employment lawyer to review the whole contract for you. 

DullGreyGuy

chaotic_j said:

Hi,

I've been approached by a small company in the USA for a full-time, wholly remote role. Under the details of the role they list bank holidays off, vacations, sick pay (in accordance with laws), healthcare etc.

I asked if it was an employed role and they said it's a contractor position.

From what I gather I'd be self-employed and have to pay my own taxes etc. If that is the case how can they state sick pay, vacations etc. as though employed? Surely I'd just take as much time off as I wanted?

Presumably they would also be able to ditch me easily if they so wished?

What else do I need to be aware of?

Currently I'm full time employed working a hybrid pattern of 2 days remote, 3 office with early Friday finish. Pay is below average/average for the role. Holidays slightly more than statutory. Workplace pension. Not a great place to work in all honesty.

The contractor position pays approx. at least double my current salary.

US and UK terminology is not the same.

UK and US employment law is not the same.

UK and US tax law is not the same. 

In the US you have both Independent Contractors and Dependent Contractors. If they are talking about paid vacations then you wouldnt be an independent contractor but then the average person in the US gets 11 days of paid days off per year... its up to you if they are "sick" or "holiday". It could be they meant unpaid leave in which case you may be independent but by UK terms being entitled to unpaid leave is not considered much of a benefit.

Employee or independent contractor its vastly easier for a company to dismiss a person in the US without needing a reason. Notice periods are often exceptionally short too.

Taxes will be something you need to look into, the US can be a pain with requiring you to prove your moneys shouldnt have US taxes deducted. 

Annisele

How small is this "small company"? And how long have they been around?

I ask because if they just don't pay you, it might be difficult for you to do anything about that.

Also, when you say sick pay is "in accordance with laws" - which laws would they be?

chaotic_j

Hi,

I applied for the role, figuring I'd look into the details more during the process or if I received an offer.. but they sent me an email saying I wasn't suitable (despite contacting me and pestering to apply).. but certainly a lot of caveats!

Thanks anyway all.