Types of Employment

  • 1. Casual Employment
  • 2. Independent Contractors
  • 3. Part-time Employment
  • 4. Full-time Employment
  • 5. Apprenticeships & Traineeships
  • 6. Permanent or Fixed-Term Contract

1. Casual Employment

A casual employee:

  • has no guaranteed hours of work
  • usually works irregular hours
  • has no paid sick or annual leave
  • can end employment without notice, unless notice is required by a registered agreement, award or employment contract

Casuals are paid a higher hourly pay rate than equivalent full-time or part-time employees. This is called a ‘casual loading’ and is paid because you don’t get benefits such as sick or annual leave.

You'll only get some of the NES entitlements, such as:

  • 2 days unpaid carer's leave
  • 2 days unpaid compassionate leave
  • unpaid community service leave
  • receiving the Fair Work Information Statement

After 12 months of regular employment, and if it’s likely regular employment will continue, a casual employee can request flexible working arrangements or take parental leave.

2. Independent Contractors

An independent contractor:

  • has their own ABN number, and submits an invoice for work completed
  • is engaged in a specific task, or a series of tasks
  • has an agreement that specifies what hours to work to complete this specific task
  • bears the responsibility or liability for poor work or injuries sustained while perfoming the task
  • uses their own tools and equipment, at their own cost, to complete the task
  • have freedom in the way they work, as well as accepting and rejecting tasks

Independent contractors don’t get any NES entitlements that employees get such as leave and notice of termination unless they negotiate for these entitlements to be included in their contract.

Since independent contractors are running a business, you will need to arrange for tax to be taken out of their pay and pay GST.

Independent contractors may need to make their own superannuation contributions. There are exceptions to this, such as when a contractor is hired wholly or principally for labour – in this case, they’re considered employees for superannuation purposes, and the person that hired them is responsible for paying their superannuation.

Sham Contracts and Pheonix Businesses

Beware of sham contracts and pheonix businesses that are out to cheat you out of your money, resources and time. Read more here.

3. Part-time Employment

A part-time employee:

  • works, on average, less than 38 hours per week
  • usually works regular hours each week
  • is entitled to the same NES benefits as a full-time employee. However, it’s based proportionally on how long you’ll be working in a week, compared to the full 38 hours a full-time employee works.

4. Full-time Employment

A full-time employee:

  • works, on average, around 38 hours each week
  • usually works regular hours each week
  • benefits fully from the NES
The actual hours of work for an employee in a particular job or industry are agreed between the employer and the employee and/or set by an award or registered agreement.

5. Apprenticeships & Traineeships

As an apprentice or a trainee, you’ll get the same entitlements as other employees, such as annual leave, sick leave, public holidays and breaks. Entitlements depend on your award or your registered agreement, so check your employment papers for information on this.

6. Permanent or Fixed-term Employment

Employees can be hired as permanent employees or on a fixed term contract.

  • Permanent Employment:

    Permanent employees are employed on an ongoing basis until the employer or employee ends the employment relationship.

  • Fixed-term Employment:

    Fixed term means that the employee is employed for a specific period of time or task. For example, a 6-month contract where employment ends after 6 months.

    Fixed term employees are generally entitled to the same wages, penalties and leave as permanent employees. An award or registered agreement may provide extra terms and conditions for a fixed-term employee.

Information

  • Your wages
  • National Employment Standards
  • Types of employment
  • Looking for a job
  • While you work
  • Ending your employment
  • Need help?

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Malaysian Progressives in Australia (MPOZ) is a movement of young Malaysians in Australia who strive for open dialogue of political reform in Malaysia