Contractor Vs. Employee: Building the Right Team for Growth

One of the biggest questions entrepreneurs face is whether to hire employees or outsource work. This session demystifies CRA’s guidelines, highlights the pros and cons of each option, and equips business owners with the knowledge to make confident, compliant decisions as they grow.

Did you know…?

• Misclassification is costly – If CRA determines a contractor should have been classified as an employee, the business can be held responsible for retroactive CPP and EI contributions, unpaid vacation pay, and even penalties.
• It’s not just about paperwork – CRA looks at the relationship of work, not just what’s written in a contact.
• The decision shapes culture – Beyond compliance, choosing contractors vs. employees impacts loyalty, engagement, and how invested people feel.

Learning Outcomes:

By the end of this workshop, participants will be able to:

• Understand CRA’s criteria for distinguishing between contractors and employees.
• Identify when it makes sense to hire an employee versus outsource to a contractor based on financial and operational needs.
• Use practical decision-making tools and examples to help determine the right approach.
• Recognize how the choice between contractors and employees can impact loyalty, engagement, and long-term business culture.