Legal Definitions - special employee

A special employee is an employee whose services are lent to another employer with the employee's consent. The borrowing employer temporarily assumes control over the employee's work. The borrowing employer is vicariously liable for the employee's acts under the doctrine of respondeat superior. However, the employer may also be entitled to assert immunity under workers'-compensation laws.

• A construction worker who is employed by a subcontractor but is lent to the general contractor for a specific project is a special employee of the general contractor.
• A nurse who is employed by a staffing agency but is lent to a hospital for a specific shift is a special employee of the hospital.

These examples illustrate how a special employee works for one employer but is temporarily lent to another employer. The borrowing employer assumes control over the employee's work, making them responsible for any actions taken by the employee. However, the employer may also be entitled to assert immunity under workers'-compensation laws.