Full-Time vs Part-Time vs Casual — The Complete Comparison

Quick Comparison Table

The table below summarises the key differences between the three main employment types under the Fair Work Act 2009 and the National Employment Standards (NES).

Full-Time Employment

Full-time employees work 38 ordinary hours per week (or an average of 38 hours over a roster cycle) and receive the complete suite of National Employment Standards entitlements.

• 4 weeks paid annual leave per year (5 weeks for some shift workers)
• 10 days paid personal/carer's leave per year (accumulates)
• 2 days compassionate leave per occasion
• 12 months unpaid parental leave (plus the right to request an additional 12 months)
• Notice of termination of 1 to 5 weeks depending on length of service (plus 1 extra week if over 45 and employed 2+ years)
• Redundancy pay of 4 to 16 weeks pay depending on years of service
• 12% Super Guarantee on ordinary time earnings

Best for: Workers seeking maximum job security, full leave entitlements, and predictable income. Ideal for those with fixed financial commitments like a mortgage.

Part-Time Employment

Part-time employees work fewer than 38 hours per week on a regular, guaranteed schedule agreed in writing. They receive the same entitlements as full-time employees, calculated on a pro-rata basis.

• Guaranteed minimum hours agreed in the employment contract
• All NES leave entitlements calculated pro-rata (e.g., a 20-hour/week employee receives 2 weeks equivalent paid annual leave)
• Same notice of termination and redundancy pay rights as full-time
• Overtime rates apply when working beyond agreed hours (not just beyond 38 hours), depending on the applicable award
• 12% Super Guarantee on all ordinary time earnings

Best for: Workers who want stability and leave entitlements but need a schedule that accommodates study, caring responsibilities, or a second job. Parents returning from parental leave often transition to part-time.

Casual Employment

Casual employees have no firm advance commitment to continuing and indefinite work according to an agreed pattern. In return, they receive a 25% casual loading on top of the base hourly rate to compensate for the absence of paid leave and other entitlements.

• 25% loading on the applicable base rate (this compensates for no annual leave, personal leave, notice period, or redundancy pay)
• 2 days unpaid carer's leave per occasion and 2 days unpaid compassionate leave
• No notice period required from either party to end the engagement
• Minimum engagement per shift of 2 to 4 hours depending on the award
• 12% Super Guarantee on all ordinary time earnings (no minimum earnings threshold since 1 July 2022)
• Casual conversion right: After 12 months of regular and systematic employment, the employer must offer conversion to permanent (full-time or part-time). Employees can also request conversion after 6 months.

Best for: Workers who prioritise flexibility over stability — students, those between jobs, or anyone who wants the freedom to accept or decline shifts without obligation.

The Real Cost Comparison

The 25% casual loading sounds generous, but when you factor in the value of lost entitlements, the financial picture is more nuanced. For a worker earning $30/hour base rate working 38 hours per week:

The casual worker earns more gross pay, but the gap narrows significantly once leave usage is factored in. Use the Employment Type Calculator to model the exact comparison for your rate and hours.

Changing Employment Type

Australian law provides several pathways for changing employment type:

Casual to Permanent Conversion

Under the Fair Work Act (as amended by the Fair Work Legislation Amendment (Closing Loopholes No. 2) Act 2024), employers of 15 or more employees must offer casual conversion after 12 months if the employee has worked a regular pattern of hours for at least the last 6 months. Employees can also initiate a request after 6 months.

The employer can refuse conversion only on “reasonable business grounds” — for example, if the position is genuinely temporary, seasonal, or the hours will change significantly. The refusal must be in writing with reasons.

Requesting Part-Time After Parental Leave

Under the NES, an employee returning from parental leave can request a change to part-time hours. The employer can only refuse on “reasonable business grounds” and must discuss the request in good faith. This right extends until the child reaches school age (or 18 for a child with a disability).

Full-Time to Part-Time

There is no automatic right to reduce hours, but many Modern Awards and Enterprise Agreements include provisions for flexible working arrangements. Employees with 12 months' service can request flexible arrangements under the NES if they are a parent, carer, over 55, experiencing domestic violence, or have a disability.

Frequently Asked Questions