Employee Type

List of Employee Types

Employee types refer to the different types of employees an organization might consider hiring to fulfil a role or task within the company.

Full-Time Employees

• Work minimum hours established by employer
• In India a full-time employee is commonly considered any employee who works a minimum of 40 hours per week including breaks, but employers have latitude in defining full-time employment. Be sure you understand the laws in your country about full-time employment.
• Full-Time employees can be either salaried or on hourly pay.
• Full-Time employees receive benefits more often than other employee-types. Benefits may include healthcare, paid-time-off, holidays, etc.
• National and state laws require you to offer certain benefits to full-time employees. For example, you must comply with the National law that requires companies to offer paid maternity leave for the full duration as set by the law.

Part-Time Employees

• Part-time employees are employees who typically work less than 36 hours total each week.
• Part-Time employees can sometimes choose their own hours, but not always.
• Seasonal employees may still be considered part-time, even if they work 40 hours per week, because of the temporary nature of their position.
• Part-time employees generally do not receive employee benefits and employers are not typically required to provide benefits for part-time employees, although companies are increasingly offering benefitsto their part-time workers.

Independent Contractors

• These employees are under contract to provide a specified good or service to individuals, companies, or corporations.
• They are expected to work according to the needs of their employer.
• Independent contractors are also responsible for their own benefits and supplies. These are typically eligible as tax deductions.

Temporary Employees

• Temporary employees are only hired to work for a determined length of time.
• Employee benefits are not typically required for temporary employees.
• They are often hired through agencies for a temporary position. However, some temporary employees may be hired on probation with the possibility of a permanent position after their temp position is over.

Subcontractors

• These employees consist of individuals or companies that have a contractual obligation to fulfil another individual’s or company’s work.

Leased Employees

• Employed by a PEO (professional employer organization).
• Leased employees perform work for the companies who lease them.
• They work for a period that could be short or last over a year.
• The PEO handles payroll, fees, and taxes for leased employees, but management is the responsibility of the company leasing the employees.

Apprenticed Employees

• Apprenticed employees learn a trade or skill from a more experienced journeyman.
• Journeymen teach apprentices the skills needed for their trade and how to get the necessary licenses to operate in their trade.

Journeymen/Master

• Once an apprenticed employee completes their apprenticeship and has obtained all required and necessary certifications for their profession, they are considered a journeyman or master.
• Journeymen and master’s work in industries and fields that require license certifications and highly specialized training. Electricians, for example, are required to be licensed by local state and city municipalities.

Interns

• While akin to apprentices, interns are usually focused on white-collar career paths instead of trades.
• Interns work under higher-level management and may be full or part-time.
• Internships may be paid or unpaid; however, there are regulations regarding who qualifies as an unpaid intern.
• Check your state or national regulations to make sure you’re compliant when hiring paid or unpaid interns.

Finding the right employee type for a position depends on the needs of the employer and the nature of the work they are hiring for. Employers should also consider the impact different employee types have on company culture.