Rights & Entitlements - Casuals VS Permanent Employment

In Australia, three primary types of employment exist; full-time, part-time and casual. These three types of employment do share some common employee rights and entitlements, however, casual employees typically have fewer rights and entitlements than their full-time and part-time counterparts.

In Australia, employment rights are in place to ensure that workers are treated fairly. The Fair Work Act 2009 is the key piece of legislation that deals with employment matters nationally. This Act is designed to protect the rights of workers and helps to ensure that employers fulfil their obligations to their employees.

Some of the issues covered by the Fair Work Act include:

• workplace health and safety;
• leave entitlements;
• discrimination and harassment;
• working hours;
• minimum wages; and
• termination of employment.

Full-time employees and their rights and entitlements

Full-time employees can be employed on a permanent or fixed-term contract basis and will usually work a 38-hour week. These hours may vary depending on the agreement between the employer and employee or any relevant award or registered agreement.

Full-time employees are entitled to paid annual leave, sick/personal/carer’s leave, parental leave and family and domestic violence leave.

Full-time employees are entitled to a minimum wage, plus any applicable penalty rates for working overtime or on a public holiday. Where the worker is covered by an award, they are entitled to applicable penalty rates covered in that award.

Part-time employees and their rights and entitlements

Part-time employees can be employed on a permanent or fixed-term contract basis. They typically work less than 38 hours per week, but their hours are generally regular each week.

Part-time employees are entitled to the following paid leave.

• annual leave
• sick/personal/carer’s leave
• parental leave; and
• family and domestic violence leave.

Annual leave and sick/personal/carer’s leave accrues on a pro-rata basis.

Minimum wage standards apply to part-time employees, however, their wages are calculated on a pro-rata basis based on how many hours they work. Depending on the award by which they are covered, part-time employees may be eligible to receive penalty rates for overtime or for working on public holidays.

Casual employees and their rights and entitlements

Casual employees typically work when their employee needs them and, as such, they are not guaranteed hours, or provided with regular hours each week.

Casual employees do not have any entitlements to paid annual leave or sick/personal/carer’s leave, however, they are entitled to two days of unpaid carer’s leave as well as two days unpaid compassionate leave per occasion, and they are also entitled to family and domestic violence leave.

Although they are not entitled to paid leave, casual employees receive casual loading which means they receive an additional payment on top of their base hourly rate.

What other rights exist for casual employees?

All employees regardless of their status are entitled to:

• a safe and healthy work environment; and
• request flexible working arrangements.

In certain circumstances, casual employees may request to become permanent employees after 12 months of regular and systematic employment.

Updates to family and domestic violence leave

In 2023, the National Employment Standards were updated to include family and domestic violence leave for all employment types.

Until 1 August 2023, any employee of a small business which employs 15 staff or less is entitled to up to five days of unpaid family and domestic violence leave per year. From 1 August 2023, the entitlement increases to 10 days of paid leave per year.

Larger businesses must provide their employees with up to 10 days of paid family and domestic violence leave per year when required.

If you need advice or assistance about your rights as an employer or employee, speak to a HR Consultant in Cairns today.