The terms Employee and Employer are very commonly used in entrepreneurship and commerce. In entrepreneurship, there developed a strong relationship between the employee and employer. There is an exchange of ‘services’ and ‘payment’ between the employee and the employer respectively.
Difference between Employee and Employer
The team LogicalBaat has curated a clear Difference between Employee and Employer. Below are some of the very common points that relate to a major difference between an employee and an employer.
- Cash Flow
- Process of Thinking
- Rules and Responsibilities
Let’s discuss what is the difference between employee and employer!
First, we will discuss what an employee is and what are the services he is obliged to pay to his company.
An employee is a person who associates himself with an organization or company on a full-time or part-time basis and receives a salary in return. However, it is also believed that not every person who is linked with an organization and is offering his services and gets salary in return can be considered an employee to that organization.
In order to hire an employee, the procedure is quite easy. Different organizations or companies who are in need of the employees give advertisement in a newspaper or on their official website. The aspiring candidates drop their CVs and are being called for the interviews.
It is pertinent to note that an employee is being hired to perform certain actions or tasks that are assigned to him by the organization. He does his services for his employer and gets money in return. One of the major differences between an employee and an employer is that the later has complete control over the first.
An employee does his work independently but has to report to his employer about his activities and tasks. An employee is bound by a contract whether written or implied. This is called an employment contract between the employee and the employer. An employee has a complete right of resignation if he finds the organization not worthy of his work or if there create any tensions between the employee and the employer.
An employer is a person who forms a company or an organization and ten hire staff according to his requirements. The employer can be a
- Small business
- Government entity
- Professionals services firm
- Nonprofit association
An employment contract is being signed between both parties i.e. the employee and the employer to avoid any future inconvenience. Moreover, the employer has a complete right to terminate its employee if he fails to prove his loyalty or work or breaks any rules set by the organization.
Apart from the difference, there are also some common features between an employee and an employer to carry their employment contract smoothly.
- Mutual Dependence
Let’s discuss these common features in detail!
Mutual dependence between an employee and an employer is very much necessary. In order to achieve the set target, both employee and employer work really hard and act mutually. This factor of mutual dependence is very crucial to the main sustainability and comfortable workflow.
Being rich in experience, an employer can also help or guide his employees to perform certain tasks that the employee is feeling difficulty to have. Together they can achieve their business goals successfully.
After mutual dependence, bonding is another factor that can bring an employer closer to the life of his employee and for the betterment of his organization. Apart from discussing work, an employer should relax his employees and should ask them about their interests and family matters as well.
However, there should be a clear line between an employer and an employee that an employee should not cross otherwise, the workflow may be interrupted. An employer should not react so frankly with his employees that they forget to obey him or to perform his tasks seriously. This could bring a heavy loss upon his organization or company.
Conclusion: So, this article has addressed the clear difference between the employee and the employer.