I NEED HELP FAST, PLEASE.

correll dcm · June 2002

PART TINE/ FULL TIME EMPLOYEES. HOW MANY HAuRS CONSTITUTES AN EMPLOYEE AS BEING CONSIDERED A PART TIME EMPLOYEE? HOW MANY HOURS TO BE CONSIDERED AS A FULL TIME EMPLOYEE?

Terry · June 2002

[font size="1" color="#FF0000"]LAST EDITED ON 06-17-02 AT 10:29AM (CST)[/font][p]For medical benefits, this is usually stipulated in your carrier's contract. For other benefits, I believe that you can designate what you want. I have seen full time be anywhere from 26 to 40 hours. I have found that many employers choose to have the same designation as their medical carrier to avoid confusion with employees, where ees are eligible for medical but not for holiday, vacation, etc.

Gillian · June 2002

As Terry suggests, it depends on whether or not you want to tie the definition into the medical benefits definition, but there is no legal requirement to do so. The traditional definition of full time is 40 hours, but could be less. If you decide that 40 hours is full time, then you have to decide what part time means. If it is anything less than 40, you will have a problem, particularly with benefits, if part timers receive no benefits. Employees who work close to 40 might get a little grumpy when they receive no benefits and those who work just a little more get full benefits. One possibility is to define the point below which benefits do not accrue(20 hours?) and pay a prorata portion of the benefits for those who work at least at that level but less than full time.

Jessica · June 2002

I would agree that this is a policy question. At my company, in our ideal world, we would pro-rate benefits based on number of hours in a scheduled work week. For example:

20-29 Hours = 50% benefits (Part-Time)
30-39 Hours = 75% benefits (Functionally still Part-Time)
40+ Hours = 100% benefits (Full-Time)

This doesn't always work out, but it is a good place to move from in determining how we handle part-time issues. Because we are very small with few if any part-time employees most of the time, it isn't a problem to have medical benefits work a little differently than sick and vacation accruals. You didn't mention why you needed this so quickly. That might help us all narrow in on how to help.

Janet · June 2002

My understanding of this is: "full time" and "part time" are whatever your company defines them to be. Summary plan descriptions usually define this as far as benefits go, but otherwise, it's the company's call. Helpful hint: get a policy defined!

njjel · June 2002

I agree w/Janet. Our full time hours are 35 and our part time hours are 28. If you work less than 28 hours on a regular basis you are not entitled to any benefits. However that is stated in our union contracts.

E Wart · May 2003

E Wart
You can state any number of hours as full time. (Depends upon what your "normal workforce would work".) Most locations say somewhere between 36-40 hours per week is full time. Part time would be anything less than the regular full time. Now benefits are a separate issue.
For your group insurance this should be stated in the Plan. Where I use to work employees were eligible for group insurance if their regular scheduled work was 24 or more hours. My present company it is 32. They pay the same rate as a full time employee (which I have always thought was unfair, but that is the policy.)
For eligiblity for vacation/holiday pay, it is whatever your policy says. Our policy says if you work 32 or more hours you are eligible for vacation and holiday. The amount of time is pro-rated based on the number of hours the person worked the prior year. Also, holiday is based on that as well, but also depends upon which days a week the person works. (May get extra floating holidays to cover the amount of time they receive.)
Eligibility for 401(k) is based on hire date and time employed. Doesn't matter how many hours you work.
Eligibility for Profit sharing is. Must work 1,000 hours during the plan year and would get a percentage based on compensation during the plan year.
Now that I have confused you, what else would you like to know.

I NEED HELP FAST, PLEASE.

Comments