Who is an Employee?

An employee is an individual who works for an employer under a contractual agreement, whether written, verbal, or implied. The employment relationship typically involves the exchange of labor or services for compensation, such as wages, salaries, bonuses, or other benefits.

Features of Employee:

• Work Relationship: An employee works under the direction and control of the employer. They follow the employer’s instructions, policies, and procedures in carrying out their job duties and responsibilities.
• Compensation: Employees receive compensation for their work, which may be in the form of wages, salaries, commissions, bonuses, or other forms of payment. The terms of compensation are usually specified in an employment contract or agreement.
• Supervision and Evaluation: Employees are subject to supervision, feedback, and evaluation by their employer or designated supervisors. They may receive guidance, training, and performance reviews to support their professional development and job performance.
• Tax and Legal Status: Employees are typically classified as such for tax and legal purposes. Employers are responsible for withholding income taxes, Social Security, and Medicare taxes from employees’ paychecks and remitting them to the appropriate authorities.

The terms Employers and Employees are often confusing. An employer is an individual or entity that hires and oversees the work of one or more employees. In contrast, an employee is an individual who works for an employer under a contractual agreement, whether written, verbal, or implied.