Hiring the correct type of Employee

• Published date: 28 September 2022

1. Permanent Employees

Permanent employees are the most common type and can be full or part time. They remain employees indefinitely (i.e. until they resign or retire, or lawfully dismissed with consultation for reasons such as redundancy or serious misconduct).

2. Fixed Term Employees

Fixed term employees are employed on a temporary basis and are useful, for example, to cover parental leave or if more people are needed for a work project. They have the same rights as permanent employees, except employment terminates by agreement at the end of the fixed term (i.e. at the close of a specified date, when a specified event occurs, or when a specified project concludes).Annual leave might be on a pay as you go basis (i.e. paid at 8% on top of wages or salary) depending on the length of the fixed term. If the strict rules around fixed term employees are not followed, or the employment period drifts past the fixed term, the employee might be deemed to be permanent.

3. Casual Employees

Casual employees work irregularly and have no expectation of ongoing employment. They do not have to accept work and the employer is not obliged to offer work. It's often not practical for casual employees to take annual leave and so take 8% on top of their wages or salary instead.If the employee starts working regular hours and expects ongoing work, they might be deemed to be a...