An Overview of Legal Aspects in Fire Service Employer-Employee Relationships
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Overview of Legal Aspects in Fire Service
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AN OVERVIEW OF LEGAL ASPECTS IN FIRE SERVICE EMPLOYER-EMPLOYEE
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Overview of Legal Aspects in Fire Service
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An Overview of Legal Aspects in Fire Service Employer-Employee Relationships
Introduction
Fire service is a profession that requires individuals to have an understanding of the legal
aspects associated with employer-employee relationships. Employers and employees must be
aware of their rights and responsibilities for the fire service to function effectively. The primary
areas of common law and statute about the employer-employee relationship are addressed in the
field of labor law. The term "service agreement" may refer to either a contract of service or a
contract for services (Steingold, 2021). In Malaysia, the Employment Act 1955 (EA) and the
Industrial Relations Act 1967 (IRA) are the primary legal documents that govern the employer-
employee relationship (IRA). According to both statutes, the relationship between an employer
and an employee is fundamentally contractual. However, the EA uses the more traditional
"Contract of Service" to characterize the employment agreement, while the IRA uses the more
contemporary "contract of employmen (West, n.d). In both cases, the essential elements of an
employment agreement include: mutual obligations of fidelity and loyalty between the parties;
compensation for services; the duration of employment; and employee benefits. This paper
discusses the legal aspects of employers and employees in the fire service, including issues such
as recruitment and employee rights, by providing an overview of the legal implications of
employer-employee relationships in this sector." This paper provides an overview of the legal
implications for employers and employees in the fire service, including issues such as
recruitment and employee rights.
Literature Review
The literature review provides insight into the legal aspects of employer-employee
relationships in the fire service and how these affect the overall functioning of the service.
Forlenza (n.d) explains that employers must ensure their employees know their rights, such as
safety regulations, communication between employers and employees, and procedures for filing
a complaint if needed. Badenhorst (2018) outlines the importance of employers understanding
their legal obligations when recruiting new employees to ensure a safe and effective workplace.
Worker as Defined by the EA. The word "employee" is used here following the Employment Act
of 1955 (EA). According to Section 2 of the EA: "employee" means any person who is either (a)
listed in any type in the First Schedule or (b) about whom an employment contract has been
entered into person is subject to an order under Section 2(3) or Section 2A of EA issued by the
Minister (Minister of Human Resources). Any individual who, regardless of the amount of
wages, has signed a contract of employment with an employer who performs manual labor, as
such labor as apprentice or artisan (Steingold, 2021). Operating or maintaining any mechanically
propelled vehicle controlled for the transportation of passengers or goods for prize; or earns
below RM2, 000 per year, regardless of his occupation, is considered an employee under the
First Schedule.
The defendant in Milan Auto Sdn. Bhd. v. Wong Sen Yen was a mechanic who earned
RM600 per month. Allegations that he lacked discipline had slept throughout work hours on
many occasions took unapproved leave and refused to meet his supervisor led to his dismissal
without a domestic inquiry. According to paragraph (1) of the First Schedule of the Employment
Act of 1955, a mechanic who receives a monthly salary of RM600.00 is an employee (Ajunwa,
2018). According to the decision in Chang Kim Chiang v. Mariadas, domestic workers are hired
for tasks related only to a single residence and not for commercial purposes (Steingold, 2021).
Overview of Legal Aspects in Fire Service
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Furthermore, West (n.d.) discusses how employers must be aware of existing laws related to fair
employment practices and employee rights, as well as any applicable regulations. He also
outlines how employers must adhere to the Employment Act of 1955 and any other applicable
laws and uphold their obligations towards employees in terms of wages, benefits, and rights
(Steingold, 2021). This provides a broader understanding of the legal implications of employer-
employee relationships in the fire service.
Organisational Test
If the task is an essential aspect of the company, as determined by the "organisation test,"
then the contract is most certainly one among service. The organisation test was created in
response to the shortcomings of the four-factor exam. The court determined in Stevenson Jordan
and Harrison, Ltd v Macdonald and Evans that an employment contract exists when a man is
hired to do labor that is essential to the firm's operation
(Granter et al., 2019). However, suppose
the job a man does for a company is only supplementary to the main operation of the firm. In that
case, the arrangement is a contract for services rather than employment. Mayer v. Conrad
Lavigne Ltd, the second decision which embraced the organisation test, held that an independent
contractor is entitled to the same degree of freedom in determining the means and timing of the
completion of the task as an employee would have (Ajunwa, 2018). Whether or whether a link is
established depends on factors beyond just the organisation test. This test was utilized in the case
of Cassidy v. Ministry of Health, where the Court determined that an individual is a defendant's
servant when the defendant hired him and played an important role in the plaintiff's operations
(Granter et al., 2019). The patient did not select Doctors within that instance but rather
nominated by the defendant and worked seamlessly inside the institution. In other words, they
were the plaintiff's employees.
In the case EPF Board v. M.S. Ally & Co., a Federal Judge ruled that MS Ally's business
managers were employees entitled to a cut of the company's earnings because they were under
MS Ally's direct supervision. According to him, "the individual offering help constitutes a
member of the company and the job done is an intrinsic aspect and not just an addition to the
firm," and the company exercised control over their business managers (Granter et al., 2019).
This case is of particular importance because it provides an understanding of the degree of
autonomy necessary for a contract for services to exist.
The control and organisation test are both used in the case of J. Mathew Miranda v.
Bahtera Glokal Sdn. Bhd. The complainant said he was wrongfully terminated from his position
at the corporation. The firm, however, argued that the IRA Article 20(1) "workman" definition
did not apply since the claimant was not an employee of the firm (Ajunwa, 2018). The claimant
could come and go from the office at his convenience without interference from the firm.
Lacking, among other things, proof that he was required to respect the working time of
the corporation as ordinary workers do, the claimant was unable to establish his status as a
worker under the IRA. The claimant failed to provide any proof that the company used his
contributions. That being said, the claimant's allegations of constructive discharge were
unfounded. The plaintiff in Mayer v. J. Conrad Lavigne Ltd. 9 made commission-only sales of
television watching for the defendant (Granter et al., 2019). Every day, he had to report sales and
attend the defendant's daily sales meetings. The sales manager provided some guidance to the
plaintiff, but mostly about whom and where to sell. The plaintiff, a salesperson, filed suit against
the defendant after he was not paid his vacation time. As far as the court was concerned, the
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4
connection met both the management and the organisation's requirement. As the man in charge of
sales, his efforts were crucial to the company's success. The fact that he was required to show up
to the briefings and submit the reports also satisfies the control test
Multiple Control Test
The multiple control test is more thorough since it considers all variables and compares
them. In Ready Mixed Concrete (South East) Ltd v MPNI, a court is establishing this standard
for the first time by considering factors like the level of control, duration of work, method of
rewards, right to outsource, stipulation of equipment, right to property to annual leave, approach
of paying taxes, and parties' belief regarding their working arrangement (Ajunwa, 2018). The
company's focus was on producing and marketing ready mixed cement in the South East. RMC
chose to implement a system wherein concrete would be delivered to consumers by owner-
drivers operating under written contracts after terminating their contract with an independent
haulage provider. Owner-operators purchased a truck under a hire purchase arrangement with
Readymix Finance Ltd, but the firm owned the truck's mixing equipment. The business
approached the Minister of Social Security in 1965 to find out if Mr. Latimer, one of its owner-
drivers, was considered an employee or independent contractor (Ajunwa, 2018). Mr. Latimer's
signed agreement stated that he was required to wear a business uniform, that he was required to
comply with all rational orders from every competent servant of a company, and that he was
permitted, with the company's consent, to assign a competent and suitably qualified driver to
operate this same truck in his location; however, he was responsible for paying any substitute.
The nine owner-drivers in the depot coordinated their vacation schedules, ensuring that only each
driver was unavailable commission at any given time. They also hired a relief driver to fill in for
him at a rate of £25 per week, split evenly. The High Court held that the owner-drivers were
employees since RMC could control them and their activities were essential to the company's
success.
During peak season, the organisation also hired a temporary employee to help with the
extra work. All parties agreed that Mr. Latimer was just an independent contractor. Upon appeal
to the High Court, MacKenna J. ruled that Mr. Latimer was not an employee under a contract of
service, notwithstanding the Minister's original finding. MacKenna J. summarized that Mr.
Latimer was a "little business guy" rather than a servant (Klinoff, 2019). He reasoned that
because no services were being provided, the agreement must be classified as a carriage
agreement. The High Court concluded that Mr. Latimer's working relationship with RMC did not
meet the "control test," and he was not an employee.
This decision established the legal precedent of the multiple control test, which requires
that all aspects of a working relationship be considered The control test requires that the
employer have control over when and how work is done, what tasks are performed, who
performs them, and where they are Added, the employer must set rules and procedures for the
employee to follow. This test is applied to determine whether an individual is classified as an
employee or an independent contractor. The control test has been used in many cases since 1965,
such as Ready Mix Concrete (South East) Ltd v MPNI, to establish the relationship between the
two parties
(Ajunwa, 2018). Due to the persistence of this concern, the extent of this control is
now a crucial factor. Lord Thankerton, referring to a case with similar facts, Short v. J. W.
Henderson Ltd, outlined four identifiers to scrutinize the level of control exerted on a person: the
ability to appoint, the ability to dismiss, this same pay wages, as pertinent to the establishment of
the presence or even the contract of service, and the existence of appointive and dismissive
Overview of Legal Aspects in Fire Service
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procedures (Klinoff, 2019). This case serves as an example of how the courts use a multi-faceted
approach to determine whether individuals are employees or independent contractors. Control
over working conditions, equipment, and other aspects of the job must be considered when
making this decision. With the establishment of this precedent, it is clear that employers must
exercise caution when entering into agreements with other entities, as the classification of
individuals as either employees or independent contractors can drastically change their rights and
obligations. Ultimately, it is important to consider all angles when entering any working
arrangement.
Moreover, Market Investigations v. Minister of Social Security by Cookie also used this
inter-test. He said the essential question is if the individual is providing the service for himself or
a client. That is to say, one must also consider one's financial stake in the business. Lee Tin Sang
v. Chung Chi-Keung is a much more recent case that looked at factors like who owns the
equipment, who paid for the supplies, and if the worker stood to earn a profit or lose money upon
the end of the business (Klinoff, 2019). This case further highlighted the importance of
considering all aspects of a working relationship instead of relying solely on whether the
individual is paid.
In the case Morren v. Swinton and Pendlebury Borough Council, the Borough Council
contracted with the engineering company of Messrs. J. B. Kershaw and Kaufman to provide
them with a variety of sewage treatment and disposal services. The Council was tasked with
selecting a resident engineer to oversee the works but was required to follow the firm's
directives. The resident engineer reported to the company and did not have any retirement
benefits. The Council accepted Mr. Morren's application, appointed him, paid his pay, travel and
subsistence expenses, and set his vacation entitlement (the "Terms of Employment") (Klinoff,
2019). However, it is crucial to note that the Council had no authority over Mr. Morren's
activities. The corporation was accountable for this. The court determined that this agreement
was a service agreement. This multi-faceted control test is essential for making an accurate
assessment of whether an individual is classified as an employee or independent contractor
(Klinoff, 2019). The precedent established by Ready Mix Con (South East) Ltd v MPNI, Market
Investigations Ltd. v Minister of Social Security by Cookie, Lee Tin Sang v. Chung Chi-Keung,
and Morren v. Swinton and Pendlebury Borough Council demonstrate the complexity of this
assessment and underscore the need to approach each case with an open mind to accurately
evaluate all relevant factors This is a key component in ensuring that employers and those they
contract with are aware of their rights and responsibilities.
The courts have also considered other factors when determining the status of an
individual such as control over hours, the provision of holiday pay and sick pay, the payment of
expenses, whether deductions from wages can be made, and even whether the individual is
subject to a collective agreement (Klinoff, 2019). In addition, they have looked at the terms of
contract, such as mutual obligation and control over instructions, eg. does the employer tell the
individual what to do, when to do it and how to go about doing it? It is clear that there is no
single answer as to what makes someone an employee or an independent contractor, but rather a
range of different factors that need to be taken into consideration.
The courts have also looked at the individual's own financial stake in the business. For
example, if an individual is required to purchase their own materials or has a contract requiring
them to cover any losses incurred during the course of their work, then this will likely lead to
them being classified as an independent contractor (Varone, 2022). Similarly, using one's own
Overview of Legal Aspects in Fire Service
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premises for working may also be indicative of independent. In addition to considering financial
factors, the courts have also looked at the individual's degree of autonomy when it comes to their
work. For example, if an individual is able to set their own hours, decide what tasks they will
undertake and determine how they will complete them then this may be indicative of
independent contractor status.
Ultimately, determining whether someone is an employee or independent contractor is a
complex process and one that needs to be done with an open mind. It is important to consider all
of the relevant factors, in order to come to the most accurate conclusion possible. Doing so will
ensure that employers and those they contract with have a full understanding of their rights and
responsibilities. It is clear that the courts have taken a more expansive approach to determining
whether individuals are employees or independent contractors. The control test looks at many
different elements, including financial stake in the business, who owns the equipment and
supplies, and who sets rules and procedures for the employee to follow. Understanding these
tests can help both employers.
Employment Contract Under IRA
According to Section 2 of the Industrial Relations Act of 1967 (IRA), an employment
contract is any arrangement between an employees and the employer wherein the employer
agrees to hire the employee as a workman and the employee agrees to work for the employer.
There is a difference between a worker and a contractor. This difference is critical for
establishing the legal standing of the parties to a contract. When an employee's or worker's rights
there under law have been infringed, only they may file a claim in Industrial Court. Neither the
EA nor the IRA apply to independent contractors, thus their sole recourse is to file a breach in
agreement lawsuit in civil court. This difference is critical because it decides which legal
system's statutory protections , privileges and remedies apply. If you were wrongfully terminated
from your job without fair cause or justification, you may file a petition for reinstatement with
the Industrial Court under Section 20 of the Labor Relations Act (IRA) (Varone, 2022). If the
Industrial Court finds that your employer wrongfully terminated you, it may order your
reinstatement and award you compensation for any loss suffered as a result of such wrongful
termination.
Simply, a service contract, is an agreement between two parties typically known as the
"company" and the "employee," and may be made in writing or verbally. A consultant in the
telecoms industry, for instance, would help customers with their issues. Nevertheless, the
specifics of the agreement at hand are what really matter when trying to pin down its nature. A
service contract on the other hand, is analogous to an agency arrangement. An individual who is
hired under a service contract is not an employee in most cases. As an example, a real estate
agent who aids in the sale of the home. This person is generally considered an independent
contractor, as they are being hired to provide a service and not to engage in employment. They
may be self-employed or working under a contract with a company, but they are typically not
employees as defined by the law. Therefore, an employment contract under IRA involves
contractual relations between an employee and employer that is subject to the legal framework
provided by the Industrial Relations Act of 1967 (Varone, 2022). It Independent contractors,
however, are not subject to EA or IRA protections and must pursue a breach of contract lawsuit
in civil court if their rights are infringed. The difference between employees and independent
contractors is an important one as it determines which legal system applies to the contractual
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Overview of Legal Aspects in Fire Service
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arrangement. It is important for employers to understand this distinction and make sure they
abide by all applicable laws and regulations. .
Conclusion and Recommendations
The literature review reveals that employers and employees in the fire service must be aware of
their legal rights in order to ensure a safe and efficient workplace. It is recommended that further research
be conducted on existing laws related to employer-employee relationships in the fire service as well as
potential changes that could help improve the overall functioning of the service. It is also suggested that
employers regularly update their knowledge base on employee rights and regulations in order to ensure
compliance with applicable laws. Additionally, employers should proactively address any issues or
disputes between employees and management in order to maintain good relations and ensure a productive
workplace.
Therefore, it is important for employers to understand the difference between an
employee and independent contractor, and make sure they abide by all applicable laws and
regulations when hiring. Both types of arrangements may be necessary depending on the
situation, but employers should understand the implications of each before making any decisions.
Additionally, if an individual's rights have been infringed upon under either arrangement, they
may be able to seek redress through legal action.
Overview of Legal Aspects in Fire Service
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Granter, E., Wankhade, P., McCann, L., Hassard, J. and Hyde, P., 2019. Multiple dimensions of
work intensity: ambulance work as edgework.
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Klinoff, R., 2019.
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