Am I an salaried employee or contract employee ??

As per the tax laws:
Contract workers on a daily wage syatem are not contractors. They are employees only even if not in the permanent employees muster register and therefore what wages (whether dily or monthly) is in nature of salary. Please note you have to deduct PF, ESIC and P Tax as applicable in your area on such payments and TDS is applicable only as per slab rates for salary. Please remember that for the payment to be termed as salary it has to be continuous employment and there is any employer employee relationship. You have people on probation for 3 months. They are employees even if not in the register of permanent employees.
A contractor is someone you give a contract to carry out certain work. A contractor can work as a one man show on his own or he can employ people to work for him or can further assign work to sub contractors. If there is office work to be done, you employ a peon and you pay him a salary. This is your employee. You can also call someone for 1 or more days on a daily wage or a temporary priod for a few months. That too would be salary and you are liable to deduct PF, ESIC and PT etc. as applicable to you. If you wish to outsource the functions of your office peon or sepoy you have a service called 'Concierge on Call' . This can be an individual contractor working on his own or he may be working on an organised basis. Payments for these kind of functions are under 194C and limits apply. If the services are more of technical, managerial or secretarial in nature, then 194J. If it relates to marketing of goods or commission or brokerage on sales of goods then 194H. You have to test with the nature of work you are contracting. In such contracts you deduct TDS as per applicable rates to the section whether the contractor works alone or is organised. You are not liable for the PF or ESIC or PTax. However, if the contractor you use employs people who are located inside your premises, you are deemed principal employer and you have to deduct PF, ESIC and PTax for the contractor's payment for his employees in your premises.
Source: http://www.caclubindia.com/forum/tds-on-payments-to-contract-employees-50611.asp