A manufacturer of luxury handbags and luggage does not hire any permanent employees in its distribution facilities. Workers are hired as temporary​ workers, subject to demand for their services. The company pays no Social​ Security, Medicare, or unemployment insurance taxes on these employees. Which term best describes this work​ arrangement?

Respuesta :

Answer:

Independent contractors

Explanation:

The work arrangement described in this case is of a manufacturer and contractors. Contractors are not employees of an organization. Unlike employees, contractors are responsible for their medicare, social security, and taxes.

Independent contractors get hired to perform specific tasks. The pay is for contractors is based on per completed job. Organizations or individual hire contractors on a need basis.