Differentiating between Full-Time, Part-Time and Casual Employment
What Is Part-time Employment?
Part-time employees generally work, on average, less than 38 hours per week. However, these working hours will tend to be regular and quite consistent. Part-time employees are entitled to paid leave, such as annual and personal leave, and must be provided with a notice period prior to termination of employment.
Part-time employees are typically employed on a permanent basis or on a fixed term contract.
What Is Full-time Employment?
Full-time employees generally work, on average, 38 hours per week. These hours will usually be regular and consistent. Full-time employees are also entitled to paid leave, such as annual and personal leave, and must be provided with a notice period prior to termination of employment.
Like part-time employees, full-time employees will tend to be employed on a permanent basis or on a fixed term contract.
What Is Casual Employment?
Casual employees do not enjoy the benefit of regular or guaranteed work. There is no firm advance commitment to ongoing work, nor is there a guarantee of an agreed pattern of work. Unlike part-time and full-time employees, casual employees are not provided with paid leave entitlements, and they may also be terminated without any notice.
However, as a means of compensating for the absence of certain entitlements that are afforded to part-time and full-time employees, casual employees are provided a casual loading to their pay. This simply means that the applicable minimum rates for casual employees are generally higher than the ordinary minimum rate.
Why Is It Important to Understand the Difference?
Having a clear understanding of the important conceptual differences between part-time, full-time, and casual employment is critical for both employers and employees. This is due to the fact that, depending on the type of employment an employee is engaged under, the rights, entitlements and obligations may vary.
Although the conditions applicable to a specific part-time, full-time, or casual employee will depend on the clauses within their applicable Modern Industry Award or Enterprise Agreement, having this precise understanding will allow employees to ensure that their employment status is not exploited by their employers, and it also allows employers to avoid potential penalties and sanctions for failing to provide the appropriate conditions and entitlements to their employees.