For human data projects, micro1 recommends hiring annotators as independent contractors. Projects vary in both duration and the number of hours required from annotators each week, making it most practical to classify them as independent contractors. This classification adheres with legal requirements, such as granting contractors autonomy in deciding when and how they work and respecting their freedom to engage in projects with other companies.

The incentive structure you use can influence your risk of worker misclassification. micro1 fully manages this process for you, eliminating the risk of misclassification and protecting your business from potential financial penalties and legal complications.

micro1’s Contractor of Record (COR) service handles compliance and payroll for annotators and talent in over 100 countries.