Some employers hire employees, but treat them like freelancers to avoid paying social benefits. This is called fake self-employment or pseudo self-employment (Scheinselbstständigkeit), and it’s illegal.
Generally, you are not self-employed if…1
- You only have one client.
- You are integrated in your client’s business.
- You always work at the same location. You can’t choose where you work.
- You have a fixed salary.
- You do not use your own equipment.
What is fake self-employment? – Red Tape Translation