| Tittel: | The Classification of Multi-Level Marketing Participants under Norwegian Labour Law – An analysis of participant classification within Norwegian Labour Law | | Ansvar: | Andrea Gjengedal Torgersen | | Forfatter: | Torgersen, Andrea Gjengedal  | | Materialtype: | Artikkel - elektronisk | | Signatur: | Nordic journal of labour law | | Utgitt: | Oslo : Karnov Group Norway, 2024.- 1. utgave, 1. versjon | | ISBN/ISSN: | 2704-1085 | | Serie: | Nordic journal of labour law ; 1/2024 | | Emneord: | Arbeidsrett | | Stikkord: | Arbeidsmiljøloven - AML (2005) § 1-8 | | Note: | KARNOV-2024-22 | | Innhold: | The classification of workers as either employees or independent contractors, is crucial for establishing the extent of the workers’ protection under national and international law. The differences between the activities of an independent contractor, with minimal protection, and an employee, with extensive legislative protection, may be small, but are nonetheless consequential. In recent years, this issue has gained prominence with the rise of platform workers and other non-traditional work forms, where some workers may have a need for the same protection as employees, but under traditional assessments would be considered as independent contractors.
This Article examines the classification of participants in Multi-Level Marketing (MLM), who have historically been classified as independent contractors. However, recent legal and factual developments suggest that they may deserve a reclassification. Thus, the focus of this Article is on how MLM participants should be classified in light of the legal definition of the term «employee», in Section 1-8 (1) of the Norwegian Working Environment Act (WEA).
Whether or not an MLM participant should be classified as an employee has to be determined based on a case-by-case assessment. However, utilizing participation agreements from four prominent MLM companies operating in Norway, this Article provides a general evaluation of the classification of MLM participants.
The analysis is primarily grounded in Norwegian legal sources. However, Norwegian law must be interpreted in accordance with Norway's international obligations, a point which is particularly pertinent in the realm of Norwegian Labour Law, since this field is considerably influenced by Norway’s international obligations, and especially those of EU/EEA law. Nonetheless, Norwegian law is presumed to comply with relevant international obligations. Thus, the assessments in this Article are primarily based on Norwegian law, supplemented by international sources where applicable. |
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