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The Global Insight

What are subcontractors responsible for?

Author

Sarah Garza

Updated on March 31, 2026

Essentially, a subcontractor will perform all or part of the obligations of the contractor’s contract. Depending on the Subcontractor Agreement, they may be responsible for providing their own materials and equipment for the task they are hired for. If contractors are the managers, subcontractors are the workers.

How do you discipline an independent contractor?

The first and easiest way to discipline contractors is to fire them. Practically, this means terminating their government contract, cutting them off from thousands (or millions) of taxpayer dollars.

What is a psychological contract between employer and employee?

The term ‘psychological contract’ refers to the unwritten beliefs and expectations that: Employees have about their roles and the support they will receive from their employer, e.g. conditions of employment, opportunities for growth and development, the culture in which they will work.

What is psychological contract breach?

A perceived breach of the psychological contract is “the cognition that one’s organization has failed to meet one or more obligations within one’s psychological contract in a manner commensurate with one’s contributions.”10 Because of the subjective nature of psychological contracts, different individuals may have …

Are you liable for subcontractors?

Usually, anything that subcontractors would be liable for, general contractors may also be liable for (with the caveat that if the contractor has to pay for damages, the subcontractor who is legally responsible will often reimburse the general contractor).

Do subcontractors have any rights?

Subcontractor rights are governed by the contract. The general contractor and employer are bound by the terms of the agreement they sign. The subcontractor can file a mechanic’s lien against the property for unpaid wages and expenses. He also has the right to work in a safe and healthy environment.

What is a psychological contract example?

Promises over promotion or salary increases, for example, may form part of the psychological contract. Perceived breaches of the psychological contract can severely damage the relationship between employer and employee, leading to disengagement, reduced productivity and in some cases workplace deviance.

When does a psychologist work as a subcontractor?

If a psychologist is employed in a true employer/employee relationship the management of the practice files will be the responsibility of the practice. In circumstances where a psychologist is working as a true subcontractor, the matter of the responsibilities for files will be governed by the subcontractor agreement.

Can a psychologist continue to work without a contract?

Therefore, a psychologist who continues to work beyond the eight months is not working without a contract but is in fact still likely to be bound by the terms of the original eight month engagement.

What are the rights of a subcontractor to an employer?

They are legally required to accept and complete the work provided. They have a conventional employer/employee relationship with you or your organisation. Workers are legally entitled to National Minimum Wage, working time rights, union rights, health and safety protection and protection from discrimination.

When to use contractor or subcontractor form agreements?

Every working relationship in which a contractor/subcontractor arrangement is utilised will be different, so using standard form agreements is not always the answer. Contractor/subcontractor agreements need to be carefully drafted to ensure that a true contractor/subcontractor agreement is being created both in fact and in law.