Working at Art of Smart (1 Viewer)

[ColdMint123]

Heyoo,
Just recently applied for a position as a tutor/mentor at Art of Smart. I just received a conditional offer couple days ago and wanted to know anyone's thoughts on working at AOS? I didn't know that they actually put you on as a contractor so I have to apply for an ABN. Frankly, im new to the work force so I have no idea the processes involved in being a contractor. Does anyone here work/has worked for AOS? If so, what is it like and i guess what are the disadvantages of working as a contractor rather than being an actual employee?
(I shoulda listened in business studied and commerce)

Cheers

 

[nzexperiment]

contractors arent given the same legal protection as an actual employee

 

[jimmysmith560]

A number of tutoring companies recruit HSC graduates as contractors. I worked at a tutoring company in 2020 on the same basis. Some reasons I believe are behind this approach are:

• The possibility that HSC graduates have displayed short job tenure on average. From a tutoring company's financial perspective, it may be more appropriate to employ tutors on that basis, since they expect that HSC graduates will not stay with the company for an extended period of time, allowing them to avoid fulfilling entitlements they would otherwise need to fulfill if their tutors were classified as employees.
• Tutoring companies may choose to employ tutors as contractors as opposed to, say, casual employees, because they do not wish to worry about casual conversion. Casual conversion occurs when either an employer offers its existing casual employees the option to convert to full-time or part-time (permanent) employment or when employees request that their employer converts their employment to full-time or part-time (permanent).

As you mentioned, being a contractor requires that you obtain an ABN which means that you will need to pay your own tax to the Australian Taxation Office (ATO), as opposed to employees, who have income tax deducted by their employers. Contractors also usually pay their own superannuation. Note that in some circumstances, independent contractors may be entitled to be paid superannuation contributions. You may wish to check whether the former or the latter applies with respect to superannuation with Art of Smart.

Another difference between a contractor and an employee is that the former does not receive paid leave, as opposed to the latter, who is entitled to receive paid leave (such as annual leave, personal/carer's leave, long service leave) or receive a loading instead of leave entitlements in the case of casual employees.

I hope this helps!

 

[satvik_1008]

Heyoo,
Just recently applied for a position as a tutor/mentor at Art of Smart. I just received a conditional offer couple days ago and wanted to know anyone's thoughts on working at AOS? I didn't know that they actually put you on as a contractor so I have to apply for an ABN. Frankly, im new to the work force so I have no idea the processes involved in being a contractor. Does anyone here work/has worked for AOS? If so, what is it like and i guess what are the disadvantages of working as a contractor rather than being an actual employee?
(I shoulda listened in business studied and commerce)

Cheers

don't get an ABN and work as a contractor, make that very clear to Art of Smart. Becoming a contractor essentially removes all workplace protection otherwise that would have been afforded to you, and you can miss out on a great deal of legal protection as a result. Better off working privately/somewhere else than as a contractor.

 

[BLIT2014]

I'd personally suggest steering clear of tutoring firms wanting to have you as a contractor.

Might as well just go private+direct and get more $$$

 

[Greninja340]

don't get an ABN and work as a contractor, make that very clear to Art of Smart. Becoming a contractor essentially removes all workplace protection otherwise that would have been afforded to you, and you can miss out on a great deal of legal protection as a result. Better off working privately/somewhere else than as a contractor.

what rights do you lose as a result of working as a contractor?

 

[satvik_1008]

what rights do you lose as a result of working as a contractor?

Every protection offered to workers (paid annual leave, minimum wage, etc). In the eyes of the law you are treated like a business contracted out by another business.

 

[vishnay]

anyone know any other tutoring companies that hire you as a contractor?

 

[Art of Smart]

Hey everyone,

Happy 2022! Rowan here from Art of Smart. I thought I'd just jump in and clarify a couple of things here in relation to everyone's questions

• Many organisations in the tutoring industry hire 1 on 1 tutors as contractors due to the flexibility and earning potential it provides tutors with.
• As a contractor, you have greater flexibility as you can take on work from multiple sources (so you're not locked into working only with one company and can also work with private students as well). This is positive because it means if you're not getting work with one company, you're not stuck being able to take on work elsewhere.
• Working as a contractor also generally provides higher earning potential for tutors as costs born by a business typically associated with hiring employees can be passed on to tutors through increased pay. Because you're running your own business as a contractor, income tax is not withheld by the company, so what you take home each week is more. Given the tax-free threshold in Australia is $18,200, it's also unlikely you'll cross that and end up needing to pay tax, but if you do can also make more claims at tax time for running your business, potentially reducing your tax obligations. At AoS our system makes it super easy for tutors to manage their own tax as well. So overall it means you earn more money, take more home each week to spend, and pay less tax.
• While some organisations don't pay superannuation, at Art of Smart we do pay superannuation to all of our tutors who work with us as contractors.
• Art of Smart also manages and maintains worker's compensation insurance for our tutors, which extends to contractors.
• As a contractor, you do need to decide if you want to take out your own insurance (for e.g. public liability insurance) - but this is no different if you decide to work as a private tutor anyway (as in either case, you're effectively running your own business).
• As a casual employee (which is an alternative form of engagement), you don't accrue any sick leave or annual leave benefits (this only occurs if you are employed part-time or full-time) + you have more restrictions on who you can work with + you can earn less.
• So overall, the contractor model ends up providing tutors with greater benefits which is why Art of Smart engages 1 on 1 tutors in this way.
• Note, at Art of Smart, tutors who progress to leading classes at our campuses (and taking on higher levels of tutoring and work levels) transition to a part-time employment engagement, where they then accrue additional benefits including sick, and holiday leave.

Hopefully that clarifies a couple of things for everyone!

All the best,

Rowan

 

[satvik_1008]

• As a contractor, you have greater flexibility as you can take on work from multiple sources (so you're not locked into working only with one company and can also work with private students as well). This is positive because it means if you're not getting work with one company, you're not stuck being able to take on work elsewhere.

That is something you can do as an employee too. there is nothing stopping an employer and employee of having such a clause in their contract allowing them to tutor outside privately as well.

• Working as a contractor also generally provides higher earning potential for tutors as costs born by a business typically associated with hiring employees can be passed on to tutors through increased pay. Because you're running your own business as a contractor, income tax is not withheld by the company, so what you take home each week is more. Given the tax-free threshold in Australia is $18,200, it's also unlikely you'll cross that and end up needing to pay tax, but if you do can also make more claims at tax time for running your business, potentially reducing your tax obligations. At AoS our system makes it super easy for tutors to manage their own tax as well. So overall it means you earn more money, take more home each week to spend, and pay less tax.

Can't you just pay in cash or something instead if you are really concerned. There are a million ways to plan tax without losing workplace protections like this. (For the record I do not advocate for tax evasion, that is a federal crime that I strongly discourage)

• As a contractor, you do need to decide if you want to take out your own insurance (for e.g. public liability insurance) - but this is no different if you decide to work as a private tutor anyway (as in either case, you're effectively running your own business).

Or you can just work for another tutoring company that does not take away your workplace protections by hiring you as a contractor

• As a casual employee (which is an alternative form of engagement), you don't accrue any sick leave or annual leave benefits (this only occurs if you are employed part-time or full-time) + you have more restrictions on who you can work with + you can earn less.

The part about earning less is literally false, by law there is 25% casual loading for any employee who is employed on a casual basis. To not pay this is illegal

• Note, at Art of Smart, tutors who progress to leading classes at our campuses (and taking on higher levels of tutoring and work levels) transition to a part-time employment engagement, where they then accrue additional benefits including sick, and holiday leave.

Most people tutor for 1-3 years and move on to proper employment and internship opportunities by then. In the meantime what you miss out on is workplace protections like casual loading, the minimum wage, and the ability to appeal to the FWC.

'We have no protection': Abuse, dangerous conditions beset Sydney's gig economy

Sydney’s gig economy workers receive only limited safety advice from food delivery platforms, suffer abuse and often fear reporting incidents.

www.smh.com.au

"Almost all workers in the gig economy are classified as contractors and do not have access to the workers' compensation or minimum hourly pay that employees are entitled to."

Anywhere they want to exploit you, they hire you as contractors, read the article above

IT IS IMPERATIVE YOU KNOW YOUR WORK RIGHTS, AND I STRONGLY DISCOURAGE SOMEONE FROM EMPLOYING THEMSELVES AS A CONTRACTOR LIKE THIS. There is a reason after all people want to be hired by a tutoring company rather than working as a sole trader, if they really wanted to function as a sole trader they would do so in the first place. By employing them through such sham workplace arrangments simply breaches trust, is dishonest and is immoral, and does not reflect well on the kind of person your prospective employer is.

 

[footyfan19]

That is something you can do as an employee too. there is nothing stopping an employer and employee of having such a clause in their contract allowing them to tutor outside privately as well.

Can't you just pay in cash or something instead if you are really concerned. There are a million ways to plan tax without losing workplace protections like this. (For the record I do not advocate for tax evasion, that is a federal crime that I strongly discourage)

Or you can just work for another tutoring company that does not take away your workplace protections by hiring you as a contractor


The part about earning less is literally false, by law there is 25% casual loading for any employee who is employed on a casual basis. To not pay this is illegal

Most people tutor for 1-3 years and move on to proper employment and internship opportunities by then. In the meantime what you miss out on is workplace protections like casual loading, the minimum wage, and the ability to appeal to the FWC.

'We have no protection': Abuse, dangerous conditions beset Sydney's gig economy

Sydney’s gig economy workers receive only limited safety advice from food delivery platforms, suffer abuse and often fear reporting incidents.

www.smh.com.au

"Almost all workers in the gig economy are classified as contractors and do not have access to the workers' compensation or minimum hourly pay that employees are entitled to."

Anywhere they want to exploit you, they hire you as contractors, read the article above

IT IS IMPERATIVE YOU KNOW YOUR WORK RIGHTS, AND I STRONGLY DISCOURAGE SOMEONE FROM EMPLOYING THEMSELVES AS A CONTRACTOR LIKE THIS. There is a reason after all people want to be hired by a tutoring company rather than working as a sole trader, if they really wanted to function as a sole trader they would do so in the first place. By employing them through such sham workplace arrangments simply breaches trust, is dishonest and is immoral, and does not reflect well on the kind of person your prospective employer is.

This is incorrect on so many levels. A contractor relationship makes complete sense to tutors and is really the only way to be hired. As long as you choose your own hours, use your own skillset, and have all the flexibility to do the tutoring when you want to whoever you want, then you should be hired as a contractor and celebrate it. Casual employment creates inflexibilites, forces you to work certain hours and applies a lower standard rate. Min wage is probably $20-23 whereas you can be earning $25-35+ as a contractor. I'd suggest to anyone reading to do your own research but don't rely on silly rants like this ^^