Employment Relations Amendment Act 2026, s6(7). Determine if your contractor arrangement qualifies as a "specified contractor" and generates a printable status determination report.
ERA 2026 s6(7)In force 21 February 2026Free — no sign-in required
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Enter the worker and business details for the report
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Criterion 1 of 5
Is there a written agreement that states the worker is an independent contractor (or that they are not an employee)?
The agreement must explicitly use the words "independent contractor" or otherwise clearly state the person is not an employee. A verbal agreement is not sufficient. The written requirement is strict.
ERA 2026 s6(7)(a) — Written agreement stating contractor status
⚠️ A written agreement is required. Without it, the gateway test cannot be passed regardless of the other factors. Consider whether a formal contractor agreement should be put in place.
Criterion 2 of 5
Is the worker free to perform work for other people, except while actually performing work for your organisation?
The worker must not be restricted from having other clients or working for others. A worker who works full-time hours for you exclusively — even if not contractually prohibited — may still pass this test if there is no actual restriction. However, a clause prohibiting work for competitors likely fails this criterion.
ERA 2026 s6(7)(b) — Freedom to work for others
⚠️ Exclusive arrangements are a common reason the gateway test fails. Review whether any exclusivity clause is genuinely necessary.
Criterion 3 of 5
Is the worker free from requirements to be available at set times — OR do they have the ability to subcontract the work?
This criterion is met if EITHER: (a) the worker is not required to be available at specific times or on specific days, OR (b) the worker can subcontract or delegate the work to someone else. It is enough for one of these to apply.
ERA 2026 s6(7)(c) — Flexibility or ability to subcontract
⚠️ Fixed rostered hours or mandatory availability at set times without subcontracting rights is a significant indicator of an employment relationship. Consider whether flexibility can be built into the arrangement.
Criterion 4 of 5
If the worker declines additional work, does the arrangement continue — i.e., declining work does not end the arrangement?
The arrangement must not automatically terminate simply because the worker turns down a particular job or assignment. If saying "no" to a job would end the relationship, this suggests the worker is in fact an employee who must attend and perform work as directed.
ERA 2026 s6(7)(d) — Arrangement doesn't end for declining work
⚠️ An "as required" arrangement that effectively requires the worker to accept all work to maintain the relationship may not satisfy this criterion.
Criterion 5 of 5
Before entering the arrangement, did the worker have a reasonable opportunity to seek independent legal advice?
This does not require that the worker actually took legal advice — only that they had a reasonable opportunity to do so. Good practice is to include a clause in the agreement stating the worker was offered and had the opportunity to seek independent advice, and to record whether they did so.
ERA 2026 s6(7)(e) — Reasonable opportunity for independent advice
⚠️ Where a worker was given the contract to sign on the same day without time to seek advice, this criterion may not be satisfied. Best practice: provide the agreement in advance and record that advice was offered.
Assessment: — —
Criterion-by-criterion assessment:
Important: This tool provides general information only and is not legal advice. It is designed to help you understand the gateway test criteria under ERA 2026 s6(7) and does not constitute a formal legal determination. Employment status can have significant tax, ACC, and legal consequences. If you are uncertain, seek advice from an employment lawyer or contact Employment New Zealand (employment.govt.nz · 0800 20 90 20).