Subpart 1.
Definition.
Industrial homeworkers are persons who work in their own homes
or workshops on the manufacture or assembly of articles from materials supplied
by the purchaser of their services. Services provided by industrial homeworkers
include typing of envelopes and the manufacture, alteration, or finishing of
gloves, slippers, bedspreads, slipcovers, pottery, boxes, toys, or similar
items.
Subp. 2.
Independent contractor.
An industrial homeworker is an independent contractor when all
the following criteria are substantially met.
A. The homeworker works under agreements that
only require the completion of assignments according to specifications and
within designated times.
B. The
homeworker is furnished materials by the firm and, in accordance with a pattern
or general instructions, turns out a finished product which measures up to the
firm's standards.
C. The completed
products are paid for on a piecework basis.
D. There is no requirement that the
homeworker give preference to the firm's work, although the homeworker is
expected to complete assignments within a specified time.
E. The homeworker may work for others;
however, in many cases, the amount of work furnished by one firm keeps the
worker busy full time.
F.
Unsatisfactory work is done over without pay.
G. Set hours of work are not prescribed by
the firm, nor is the work supervised.
Subp. 3.
Employee.
A homeworker is an employee if all of the following criteria
are substantially met.
A. The services
of the homeworker are closely integrated into the business of the firm that
employs the worker.
B. The
homeworker is subject to virtually the same set of controls as employees who
work on the firm's premises.
C. The
homeworker uses his or her own small hand tools, but large tools or heavy
equipment is furnished by the firm.
D. The homeworker works or is paid on an
hourly basis and renders personal services of a recurring nature.
E. The homeworker is given detailed
instructions or training in the work and is required to change the work plans
and the order of services when requested.
F. Although there is usually no direct
supervision over the services, the firm checks the finished product and has the
right to change or direct the method of operation if the completed article is
not satisfactory.
G. The homeworker
is required to report on progress periodically.
H. The relationship is terminable by either
party, with or without cause prior to completion of a project without incurring
liability for damages for noncompletion.
I. The employer may change the homeworker's
work assignment.