top of page

Blog

192.expand knowledge.png

Part-time vs Full-time Employees: Understanding the Differences in Asia

Part-time and full-time employment are common modes of work in many countries, and each type of employment comes with its own set of benefits and challenges. While many people may believe that part-time employees are not entitled to the same benefits and protections as full-time employees, this is not necessarily the case in all countries. In this article, we’ll explore the differences in employment benefits for part-time versus full-time employees in Japan, Singapore, and Hong Kong.

Japan

In Japan, the labor laws require employers to provide compensation and benefits to both regular and non-regular employees, including part-time and temporary staff. However, the exact benefits and compensation may vary depending on the region. For instance, some region may offer higher wages and better benefits to full-time employees than part-time employees, but this is not always the case. Moreover, companies cannot offer drastically different compensation and benefits packages to part-time and full-time employees who are doing the same job.

Regular employees in Japan are entitled to a range of benefits, including health insurance, pension plans, and bonuses, among others. Part-time employees, on the other hand, may receive some of these benefits, but the amount and type of benefits may vary depending on the length and nature of their employment.

Singapore

In Singapore, employers are not required by law to provide benefits to part-time employees, but they may do so at their discretion. However, part-time employees who work a certain number of hours per week are entitled to some employment benefits. They are also entitled to certain statutory benefits, such as the Central Provident Fund (CPF) and the Skills Development Levy (SDL), which are paid by employers.

Full-time employees in Singapore are entitled to a range of benefits, including medical benefits, paid annual leave and sick leave, CPF contributions, and bonuses, among others. Part-time employees may receive some of these benefits, but the exact benefits may vary depending on the employer.

Hong Kong

In Hong Kong, the Employment Ordinance sets out the minimum employment standards for all employees, regardless of their employment status or working hours. This means that part-time employees are entitled to the same benefits and protections as full-time employees, including statutory holidays, maternity protection, employment protection, and protection against anti-union discrimination, among other benefits.

If a part-time employee works for the same employer for at least four weeks, with a minimum of 18 hours worked per week, they are considered to have a “continuous contract”. Employees with a continuous contract are entitled to additional benefits, including rest days, pay for statutory holidays, annual leave with pay, sickness allowance, paternity leave, severance payment, long-service payment, and more.

Full-time employees in Hong Kong are entitled to the same benefits and protections as part-time employees, but they may receive additional benefits depending on their employer, such as medical benefits and bonuses.

Thailand

In Thailand, there is no specific law that differentiates between part-time and full-time employees in terms of employment benefits. However, the labor protection laws apply to all employees, regardless of their status or the number of hours they work.

Under the Labor Protection Act, all employees are entitled to certain benefits, including annual leave, sick leave, public holidays, and severance pay. The number of days of annual leave and sick leave entitlements are calculated based on the length of service of the employee, and these benefits are prorated for part-time employees.

In addition, the Social Security Act requires employers to provide social security benefits to all employees, including part-time employees. The benefits include medical care, disability benefits, and old-age benefits.

The benefits and protections for part-time and full-time employees vary depending on the country and the specific laws and regulations in place. While some countries require employers to provide the same benefits to all employees, others may allow for more discretion in terms of benefits and compensation. It is important for both employers and employees to understand their rights and obligations under the applicable laws and regulations to ensure fair and equitable treatment in the workplace.

In addition to understanding the legal requirements for part-time and full-time employees, there are several other differences that can impact a human resources (HR) department when managing payroll.

  1. Hourly vs. salary pay: Part-time employees are typically paid an hourly wage, while full-time employees are often paid an annual salary. This means that part-time employees’ pay will vary based on the number of hours they work, while full-time employees’ pay is consistent regardless of the number of hours worked. This can create complexity in payroll management, especially if there are many part-time employees with varying schedules.

  2. Benefits eligibility: In some cases, benefits such as health insurance, retirement plans, and paid time off are only available to full-time employees. HR departments need to ensure that employees are correctly classified as part-time or full-time and that benefits are distributed appropriately based on this classification.

  3. Overtime: Part-time employees may not be eligible for overtime pay, depending on the country’s labor laws. Full-time employees, on the other hand, are generally eligible for overtime pay if they work more than a certain number of hours per week. HR departments need to carefully track and manage overtime pay to ensure compliance with labor laws and avoid any potential legal issues.

  4. Labor contracts: In some countries, such as Japan, employers are required by law to provide specific benefits and protections for part-time employees, such as equal pay for equal work. HR departments need to ensure that labor contracts comply with these laws and that employees are receiving the benefits and protections they are entitled to.

  5. Tax withholding: Depending on the country, tax withholding requirements may differ for part-time versus full-time employees. HR departments need to ensure that tax withholdings are correctly calculated and applied based on each employee’s classification.

Overall, managing payroll for part-time versus full-time employees can be complex, with varying legal requirements, benefits eligibility, and tax implications. HR departments need to carefully manage these differences to ensure compliance with labor laws and fair treatment of all employees.

0 views0 comments
bottom of page