Azure Note Pty Ltd

You have just been hired as the Human Resources Manager for Azure Note Pty Ltd, a manufacturer and wholesaler of high quality musical instruments. Before you started work with Azure Note, basic HR activities were handled by the company’s CFO.

Azure Note employs 85 people in manufacturing, management and administrative roles. It also has 20 salespeople who work substantially on the road, visiting retailers to secure orders and make sales. The salespeople (all experienced musicians who are able to explain and demonstrate the benefits of the products) generally work eight hours per day from Monday to Friday. They also visit stores for two hours on alternate Thursday evenings and Saturday mornings (Thursday evenings one week and Saturday mornings the next).

In your initial review of the company’s current arrangements, you find that the manufacturing, management and administrative workers are engaged as employees on salaries. The salespeople are engaged as independent contractors and are paid an annual salary of $38,000. They are also paid an allowance of $8,000 per year for using their own vehicles (on which they are required to prominently display the Azure Note emblem) for work purposes.

The salespeople are important to Azure Note’s success as they are the face of the company. The CEO is keen to ensure that the company complies with its legal obligations to them.   The CEO asks you to prepare a report giving information and recommendations regarding the sales workers.


Please report and advise on the following regarding the sales workers:

1) Is Azure Note meeting its minimum obligations to the salespeople? If so, how? If not, how not?

2) Do you recommend any changes to the current arrangements under which the salespeople are engaged to work? If so, what changes do you recommend?


Assessment Criteria 

    •       Identify the salient rights and obligations – Have the relevant issues been identified? Have the relevant issues been distinguished from other facts? Have the issues been properly analysed?

    •       Critical Analysis – Demonstrated understanding of legal issues and principles involved; insight into key issues; demonstrated understanding of legal rationale underlying the advice given; demonstrating understanding of relevant commercial and other implications of decision; critical analysis and evaluation

    •       Demonstrated evidence of wide reading and academic honesty – Familiarity with relevant legislative, case law and/or commercial developments; attention to commentary beyond the familiar texts; ability to illuminate analysis with principles from other, non-legal contextual material, etc.

    •       Communication skills – Thoughts and ideas clearly and succinctly expressed; adherence to conventional standards of punctuation and spelling; themes and concepts treated cohesively, etc.

    •       Citation and Word Length – Required citation technique used; all work fully sourced; prescribed word limit observed.



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