Mich. Admin. Code R 206.2 — Employee

Rule 2. (1) The term "employee" is defined in section 8(2) of Act No. 281 of
the Public Acts of 1967, as amended, being S206.8(2) of the Michigan Compiled
Laws.
(2) The term "employee" includes every individual performing services if the
relationship between him and the person for whom he performs such services is the
legal relationship of employer and employee. The term includes officers and
employees, whether elected or appointed, of the United States, a state, territory,
Puerto Rico, or any pol itical subdivision thereof, or the District of Columbia, or
any agency or instrumentality of any 1 or more of the foregoing.
(3) Generally, the relationship of employe r and employee exists when the person
for whom services are performed has the right to control and dir ect the individual who
performs the services, not only as to the re sult to be accomplished by the work, but
also as to the details and means by which that result is accomplished; that is, an
employee is subject to the will and cont rol of the employer, not only as to what shall
be done, but also as to how it shall be done. Ho wever, it is not necessary that the
employer actually direct or control the manner in which the services are performed; it is
sufficient if he has the right to do so. The right to discharge is al so an important factor
indicating that the person possess ing that right is an em ployer. Other factors
characteristic of an employer, but not necessarily presen t in every case, are the
furnishing of tools and the furnis hing of a place to work to the individual who
performs the services. In general, if an individual is subject to the control or direction
of another merely as to the result to be accomplished by the work but not as to the means
and methods for accomplishing the result, he is not an employee.
(4) Generally, physicians, lawyers, dentists, vete rinarians, contractors,
subcontractors, public stenographers, auct ioneers, and others who follow an

independent trade, business, or profession, in which they offer their services to the
public, are not employees.
(5) Whether the relationship of employer and employee exists sh all, in doubtful
cases, be determined upon an examination of the particular facts of each case.
(6) If the relationship of employer and employee exists, the designation or
description of the relationship by the parties as anything othe r than that of employer
and employee in immaterial. For example, it is of no consequence that the
employee is designated as a partner, coadventurer, agent, independent contractor, or
the like.
(7) All classes or grades of employ ees are included within the relationship
of employer and employee. Thus, superint endents, managers, and other supervisory
personnel are employees. Generally, an officer of a corporation is an employee of the
corporation. However, an officer of a corporation who as such does not perform any
services, or performs onl y minor services, and who neither r eceives nor is entitled
to receive, directly or indi rectly, any remuneration, is not considered to be an
employee of the corporation. A director of a corporation in his capacity as
a director is not an employee of the corporation.
(8) The term "employee" includes every individual who receives a
supplemental unemployment compensation benefit, which is treated as wages.