Are you a full-time employee if you work 32 hours?
A lot of people in California work reduced hours or part-time instead of full-time because of things like family obligations, school, or fewer hours overall. According to California Labor Code 515 (c), a full-time worker is someone who puts in 40 hours per week, whereas those who put in less than that are considered part-timers. Based on these criteria, workers can be considered either part-time or full-time; however, employers have the discretion to classify them as full-time if they put in 30 hours or more each week.
Although the most noticeable distinction between full-time and part-time workers is the total number of hours worked, there are a number of other considerations that should be taken into account when recruiting. Keep reading to find out how the concept of part-time vs. full-time hours is defined in California and how it affects things like unemployment insurance and employee benefits.
Let’s get to it!
What constitutes full-time work in California under the Affordable Care Act
For most purposes, a 32-to 40-hour workweek is considered full-time in California. Just so you know, since the ACA went into effect, employees are classified as part-time if they put in fewer than 30 hours a week, and full-time if they put in 30 or more.
The California labor code is slightly different from this, and certain corporate policies and state legislation may specify that employees are classified full-time based on higher or lower hourly criteria. With so much conflicting data, it’s critical for businesses to comprehend the whole range of hourly rates and what constitutes full-time employment in California when assessing the fit of prospective new recruits.
Reasons to choose part-time employment in California over full-time employment
Full-time and part-time workers in California who are hired as W2 employees are eligible for a number of benefits and must fill out W4 forms to choose how much of their pay to be withheld. Some perks are reserved for full-timers only, while others are open to everyone:
Paid sick leave is an entitlement for all employees in California, regardless of whether they work full or part time. Anyone who has worked for the same company for 30 days or more is eligible to start accruing sick leave at a rate of one hour for every thirty hours worked.
California law does not mandate that businesses provide paid vacation or sick leave to their employees. But if a company wants to provide this perk, they can make it available to full-timers and part-timers alike.
Workers in California can apply for Unemployment Compensation whether they are employed full-time or part-time through the state’s Employment Development Department. Workers may be eligible to claim unemployment benefits on days they do not work while working part-time hours.
In terms of health coverage, the Affordable Care Act mandates that businesses with at least fifty full-time workers offer group health insurance. Because the ACA says that in California, full-time hours are 30 or more per week, this doesn’t include part-time workers who work less than 30 hours per week.
Workers are entitled to time and a half pay for all hours worked beyond 40 per week, as stated by the Department of Labor, in accordance with the Fair Labor Standards Act. Employees who work fewer than 40 hours per week are not eligible for overtime compensation. On the other hand, designated part-time workers are eligible for overtime compensation if they put in more than 40 hours each week.
If a company has a retirement plan, all employees, whether full-time or part-time, are required to have access to it. The Employee Retirement Income Security Act spells out this rule.
Making the decision between a full-time and part-time employee
Here are some things to think about when deciding whether to hire an employee on a full-or part-time basis:
1. Evaluate anticipated workloads
Before anything else, it’s important to figure out how many hours an employee needs to actually perform their job. You may figure out how many hours it will take by looking at how long it takes the present staff to do each task. If your staff are often putting in extra hours to meet deadlines, it can be a sign that you need someone full-time instead than just a part-time worker.
2. Take into account your financial plan
Always go for the full-time option rather than the part-time one if your organization can afford it and the job demands are sufficient for a 40-hour workweek. You won’t have to stress about missing deadlines or experiencing low production because of a shortage of personnel.
3. Consider overtime and healthcare
Consider the benefits package of a full-time employee before deciding between a part-time and full-time position. While some benefits are mandated for employees working 30–40 hours per week, full-time workers in California are expected to have health insurance and overtime pay. You should check your financial situation to make sure these costs are manageable before committing.