The Difference Between a Part-Time and a Full-Time Employee
Traditionally, full-time employment consists of 40 working hours per week. However, companies have some wiggle room to organize things differently and change the distinction between full- and part-time employees.
According to the Bureau of Labor Statistics, a full-time job is any position with 35 or more working hours per week. However, this is not a law and serves solely for statistical purposes. Most companies require full-time employees to work from 32 to 40 hours a week.
The Fair Labor Standards Act (FLSA) - the primary US employment law - does not specify full-time employment requirements, either, and leaves the exact parameters to employer discretion. Still, there is a statutory difference between a full-time and a part-time employee. First, we’ll look into what a part-time job is and what its benefits are.
What Is a Part-Time Job?
A part-time job is one with fewer working hours than a full-time position. It typically takes below 35 hours a week, sometimes taking just five or 10 hours. Part-timers usually need to keep a record of their working hours using time tracking software.
The best thing about this type of job is its flexibility and the fact that the part-time workers do not necessarily have the same number of shifts or hours each week. Having a flexible schedule is probably the most advantageous difference between a part-time employee and a full-time employee for the former.
Exempt and Nonexempt Employees
If you were going through the ads on some job posting sites or filling out a job application recently, you probably came across these two terms. All employers are obliged to classify the positions they offer as exempt or nonexempt by the FLSA. Nonexempt employees are covered by FLSA rules, but those exempt aren't.
Employees working in positions excluded from minimum wage or overtime regulations are exempt. They must be given a salary, not an hourly wage. These positions are usually reserved for supervisory and executive staff, so if you’re asking, “What is the difference between a part-time employee and a full-time employee?” maybe ask if the job you’re applying for makes you exempt, too.
Nonexempt workers must be paid at least the minimum wage for each hour worked and at least 150% of their hourly rate for overtime hours. Thankfully, the right pay can easily be calculated with the help of the various payroll software.
Both categories are taxed the same way, however.
Why Is the Full-Time Employee Status Preferred?
As we have previously mentioned, there is a legal difference between a full- and a part-time employee, and there are some benefits to the full-time status. Unlike the part-time employees, full-time workers have:
- Paid time off, including holidays and sick days
- An employer retirement plan
- Health insurance (life insurance, dental, vision)
In terms of income, full-time workers are often paid better than part-time ones, especially if they have advanced skills. Full-time roles often come with more responsibility, but they also offer the employee lots of new opportunities and a chance to get an upgraded role or a promotion.
Some full-time employees also have more access to further training or educational stipends, as well as employee discounts. Generally speaking, working conditions are more favorable for a full-time vs. a part-time employee.
When someone asks, “What's the difference between a full-time and a part-time employee?” the flexibility of the working hours is probably the first thing you think of. The Affordable Care Act considers any position with less than 30 hours a week a part-time job, even though most companies define a full-time role as anything between 32 and 40 hours a week. By either classification, 32 working hours per week constitute a full-time job.
This depends on the job itself, but, in most cases, full-time employees have a higher income, along with some other benefits part-time workers cannot obtain.
The difference between a full-time and a part-time employee is essentially the difference between their working hours. However, sometimes part-time employees work full-time hours consistently. In these cases, employers need to re-evaluate the worker’s status; otherwise, they could end up paying penalties.
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