Trusted by 1000+ clients
Many employers attempt to save costs by incorrectly labeling employees as independent contractors. This practice is illegal and deprives workers of fundamental rights, including overtime, vacation pay, statutory holidays, and — most critically — severance pay. If you’ve been misclassified, you could be owed significant, retroactive damages covering your entire tenure.
Courts use the Sagaz test — established by the Supreme Court of Canada — to determine the true nature of your working relationship, asking one central question: “whose business is it, truly?” The answer sorts workers into three categories:
|
Worker Type |
Description |
Termination Rights |
|---|---|---|
| Employee | High degree of employer control, integration into the business, and fixed wages. | Full common law severance (Bardal factors). |
| Dependent Contractor | High economic reliance on one client (e.g., deriving 67% or more of income). | Full common law severance (Bardal factors). |
| Independent Contractor | Truly runs their own business, controls their work, owns tools, and assumes profit/loss risk. | As per the contract, if any. |
A key area of protection is the dependent contractor category. If you work primarily for one client — often 67% or more of your income — but are labeled a contractor, Canadian common law views you as economically vulnerable and entitles you to reasonable notice or severance upon termination, just like an employee.
The invoice you sent doesn’t cancel the rights you earned. Companies label people contractors to avoid paying severance and vacation pay, but if you looked and worked like an employee — or depended on one client for your livelihood — the courts usually treat you like one.
our services
Workplace issues can be overwhelming, but you don't have to face them alone. We help employees across Calgary, Alberta understand their legal rights and make informed decisions about the next steps.
We review your working relationship against the Sagaz test to determine your true legal status — employee, dependent contractor, or genuine independent contractor — regardless of what your contract calls you.
We specialize in challenging misclassification, successfully litigating these disputes and securing full entitlements for misclassified workers, as demonstrated by our success in cases like Mazanek v. Bill & Son Towing.
testimonials
Don't just take our word for it. Hear from the employees we've helped navigate wrongful dismissal, severance negotiations, and workplace disputes and the outcomes we secured for them.
Employment Law Advocates made a stressful situation so much easier to navigate. Their team was responsive, knowledgeable, and fought hard to secure the outcome I deserved.
After ten years with my employer, I was terminated without cause or proper notice. Lluc and his team explained my rights clearly and built a strong case from day one. They kept me informed at every stage and secured a settlement that recognized my years of service.
I endured months of harassment before I found the courage to seek help. The team treated my situation with real compassion and took my concerns seriously when others hadn't. They guided me through the process and helped me reach a resolution I could live with.
I'd worked as a "contractor" for years, missing out on pay and protections I was actually entitled to. The team recognized the misclassification immediately and fought to recover what I'd lost. Professional, responsive, and genuinely on my side throughout.
I was accused of misconduct and terminated for cause, and I didn't know where to turn. Employment Law Advocates challenged the allegations head-on and stood by me through a difficult process. Their experience and confidence made all the difference in the outcome.
We work with employees from all backgrounds who need trusted legal guidance during difficult workplace situations, including severance package reviews and wrongful dismissal claims.
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