Contractor or employee? The 2026 gateway test, Uber and gig work

Why it matters

Employees get minimum wage, holiday pay, sick leave, a written agreement, and the right to raise a personal grievance. Contractors don't. They pay their own tax and ACC and register for GST if they earn over $60,000. Health and safety law covers both. Being called a 'contractor' in a contract doesn't settle it.

The gateway test (from 21 February 2026)

A worker is a specified contractor only if all of the following apply:

1. There's a written agreement saying you're an independent contractor (or not an employee).
2. You can work for other people. (Employment NZ says this means you may work for others, but not at the same time as working for the party you have the arrangement with. Read the exact wording on employment.govt.nz.)
3. You can choose when to work, or can subcontract the work. Only one of these is needed.
4. You can decline an additional offer of work without the arrangement ending.
5. You had a reasonable chance to get independent advice before signing.

Uber, DoorDash and other gig platforms

• In Rasier Operations v E tū (17 November 2025), the Supreme Court unanimously held that four Uber drivers were employees. It found Uber exercised very close control and that the drivers were the 'face' of the business.
• The decision technically applies to the four drivers, but lawyers say it could open the door for others to seek holiday pay and other entitlements.
• The Employment Relations Amendment Act, in force from 21 February 2026 (Employment NZ), introduced the gateway test. Commentators see it as a response to cases like Uber. How it applies to a given platform depends on its terms (can you really choose when to work, decline jobs and subcontract?).
• If you do gig work, you're usually treated as self-employed for tax: keep records, set tax aside, and register for GST if over $60,000.

Checklist before you sign

• Read the agreement. Does it say 'independent contractor'? Does it let you work for others, set your hours, subcontract and refuse extra work?
• Are you told when, where and how to work, wear a uniform, use their systems, or follow their rules? That points to employment.
• Are you paid per job or hourly? Are you providing your own tools and vehicle?
• Are you free to take other clients?
• Take time. The Act expects you have a reasonable opportunity to get independent advice, so ask for a few days.

If you think you're really an employee

1. Call the Employment New Zealand Service Centre on 0800 20 90 20.
2. Try early resolution (free, impartial, phone-based).
3. Try mediation.
4. Apply to the Employment Relations Authority (fees apply).

Get advice quickly. Employment claims have time limits, and the 90-day personal grievance clock applies if you're an employee who is dismissed.