VNCA HR Advisory Service Casual vs part-time employment – What’s the difference?

Casual or part-time – what’s the difference? This is a question we often get asked on the HR Helpdesk. Casual and part-time employees both have different sets of entitlements, each with their own pros and cons for you as an employee, and it’s important to know about the different employment conditions you should receive accordingly so you’re not caught short. This article will outline the key differences between casual and part-time employment, as well as a pathway from casual to part-time for longstanding regular casuals. DIFFERENCES BETWEEN CASUAL AND PART-TIME The first thing to note is that there is no such thing as a ‘permanent casual’. This is a common misconception, but as an employee you will be one or the other, not both. A part-time employee is a ‘permanent employee’, while a casual employee is, of course, casual.

Modern awards clarify how both casual and part-time employees must be engaged under that award. For most employees in a veterinary practice, the relevant award is the Animal Care and Veterinary Services Award 2020 (ACVS), which states that a casual employee: • works on an hourly basis • can work up to and including 38 hours per week • is paid a 25% loading instead of receiving certain paid leave entitlements • must be engaged for a minimum of three hours each time they work (or 2.5 hours under certain circumstances). Meanwhile, a part-time employee: • works less than 38 hours per week on a regular and systematic basis • receives the pay and conditions a full-time employee receives on a pro-rata basis (e.g. accrues annual leave at a proportionate rate). Further differences between casual and part-time employees include: Job security A casual employee should have no expectation of ongoing work. Rather, their work is more intermittent, and they should only be engaged on an ‘as-needs’ basis. A genuine casual employee should not be expecting to receive regular hours each week. In comparison, a part-time employee should have agreed minimum hours of work each week and there should be a clear expectation of an ongoing employment relationship. Paid leave A part-time employee is entitled to paid annual leave, as well as paid personal/carer’s (sick) leave. A casual employee is not entitled to either. While a part-time employee is entitled to paid compassionate leave, a casual employee is only entitled to unpaid compassionate leave. Notice of termination While part-time employees are entitled to the notice provisions stipulated in the ACVS (1 month), the ‘as-needs’ nature of casual employment means a casual employee is not entitled to notice of termination. This also applies to longterm casuals, even if they have access to unfair dismissal. Redundancy pay If a casual position is made redundant, the casual employee who held that position is not entitled to redundancy pay. Keep in mind, redundancy pay only applies if a practice has more than 15 employees. ARE THERE ANY SIMILARITIES? Parental leave If a casual has worked for 12 months on a regular and systematic basis, and has a reasonable expectation of ongoing work, they will also be entitled to unpaid parental leave. This means they will also have a return-to-work guarantee at the same or similar position after finishing their parental leave period. Flexible working arrangements Similarly, a casual employee who has worked regularly and systematically for 12 months can request flexible working arrangements. Unfair dismissal While traditionally a genuine casual employee should have no expectation of ongoing employment, if a casual employee has worked on a regular and systematic basis for 6 months, they are also entitled to make a claim for unfair dismissal if they feel

they were unfairly dismissed. For small businesses, this must be for a period of 12 months. Long service leave While each state and territory has its own long service leave legislation and entitlements, casual employees are generally afforded the same long service leave entitlement as permanent employees. CASUAL CONVERSION There were recent changes to the NES that allowed casual employees to convert to part-time employment if they meet certain criteria: • For the past 6 months they have worked regular and systematic hours • They have a reasonable expectation of ongoing employment • Their hours would not change significantly should they transition to permanent employment. Within 21 days of their 12-month anniversary, an employer must inform a casual employee in writing whether they are offering the employee casual conversion or declining to make an offer. An employer may only decline to offer casual conversion if the employee does not meet the requirements, or on reasonable business grounds – such as that the position will not exist in the next 12 months. For small businesses there is no positive obligation to offer casual conversion, but as an employee you may still request conversion to permanent employment if you believe you meet the criteria.

THINGS TO CONSIDER There are key differences between casual and part-time employees, but it’s not uncommon for employers to lump some of them together interchangeably, or miss them altogether, so it’s important to be aware of how you should be engaged. When making up your mind about what sort of employment you would prefer, it’s important to consider: • Do you want more flexibility to accept shifts when available and take time away from work? If so, casual employment might be better. • Do you want more job security where you are guaranteed hours each week? If so, part-time might be a better fit.

NEED MORE INFORMATION? If you are unsure about your entitlements as an employee and whether you are receiving the correct entitlements, or whether you might be eligible for casual conversion, please contact the VNCA HR Service on 02 8448 3266 or email helpline@ myadvantage.com.au for assistance. Alternatively, templates and other resources can be found online at the HR Portal available to members.

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