An international tutoring education company with offices in Canada, China and USA has thousands of students taught in over 27 provinces in China. They have a self-sourced pool of independent contractor tutors who perform online English language tutoring for students located in China.
The tutoring company was looking to bring on 250 self-sourced independent contractor tutors in North America. They required a contractor management partner with locations in Canada and USA for contractor tutor vetting, management and monthly payments upon completion of tutoring sessions. Having no understanding of Canada or USA compliance laws, the tutoring company identified the need to mitigate risk relating to contractor classification and to have an external 3rd party contractor management company facilitate the vetting process and provide indemnification.
CXC implemented a centralized solution with a compliance and account team in Canada and USA, providing independent contractor vetting to ensure tutors were properly classified as independent contractors.
The CXC project team worked with tutoring company and tutors during onboarding to validate local independent contractor vetting requirement and validate tutor responses to country-specific online questionnaires.
Key Services CXC provides to the company include:
- Implementation of full vetting processes to mitigate risk relating to contractor classification, facilitating vetting and providing indemnification in case of Provincial, State or Federal Government audits
- Ensuring all onboarded tutors have validated questionnaires, signed agreements, direct deposit and complete informational forms
- Indemnifying the tutoring company and responding to all claims and audits
- Providing thought leadership on how best to educate nationwide tutors in Canada and USA on what is required to be an independent contractor, and providing ongoing legislate updates on changing laws and requirements
- Receiving tutor activity session reports once monthly and processes payment to tutor in CAD$ & USD$ from CXC local office
- Offboarding of tutors who voluntarily resign, do not attend tutoring sessions or do not meet expectations
- Processing of all year-end T4A reports for Canadian tutors and 1099’s for USA tutors
- Should audit occur from Labour Department in Canada or USA, processing all responses.
The partnership with CXC enables the tutoring company to access tutor talent anywhere in North America compliantly and cost effectively. The positive tutor experience, and having a responsive compliance and management company, creates tutor loyalty and productivity. Tutors can set their own hours, work when and where they want, control their learning environment and enrich the lives and language capabilities of their Chinese students.
CXC’s workforce management solution has delivered enhanced compliance and governance controls, and significant cost and process efficiencies to tutoring company, including:
- Compliant engagement and workforce management resulting in zero co-employment claimsAdvanced reporting introduced to monitor weekly performance, month end date management, trends and analysis providing transparency of the (in scope) contingent worker landscape
- Streamlined invoicing process with more detailed and accurate spend data
- Value added benefits including financial consultation and property investment advisory for contingent workers, strengthening the employer brand
- North America payroll project support across multiple geographies and jurisdictions.