Hiring Contractors

Overview

Contractors give you talent without full-time commitment. Done right, they accelerate product development at a fraction of the cost of a bad full-time hire. Done wrong, you pay for code you don't own and work you can't use.

This skill covers sourcing, structuring engagements, IP protection, rate negotiation, and management practices that make contractor relationships productive rather than painful.

Authoritative Foundations

• IRS — Independent contractor or employee (common-law rules) — Classify workers by behavioral control, financial control, and the relationship; misclassification creates tax liability.
• California AB5 — ABC test — California presumes employment unless all three ABC conditions are met; check state rules before engaging a contractor.
• Deel — International contractor agreements — Use localized contracts and compliant payments for cross-border contractors, including IP assignment.

When to Use