A common-law employee refers to an individual who works in an employer-employee relationship, where the employer has the right to control and direct the employee's work. This type of employment is characterized by a legal framework developed through court decisions, rather than being defined by a written agreement or contract.

Example
Duy works for freeC Company as a software engineer. He reports to a manager, follows company policies and procedures, and receives a regular salary. The company controls Duy's work schedule, provides him with the necessary tools and resources, and evaluates his performance. In this scenario, Duy is considered a common-law employee of freeC Company.