Every year millions of US employees work part-time. Every organization has its own policies on benefits for Part-Time employees. Working part-time instead of full-time often reduces your chances of earning, but it can also cost you in other ways. Part-time workers often receive fewer benefits than full-time employees. This article will discuss Benefits for Part-Time Employees in the organization.
Benefits for Part-Time Employees
According to “USA Today”, 5 percent of jobs created in the top 20 were for part-time work, and in most cases were paid little or no money at all. Understanding the part-time employment benefits offered to part-time employees can help you make decisions about whether to consider part-time work.
Employers generally choose whether to get the most benefit from their part-time employees. These benefits include vacation time, vacation pay, sick leave, medical insurance, retirement benefits, and disability insurance.
All are considered voluntary benefits, as the benefits provided are at the sole discretion of the owner. In some cases, employers provide part-time employees with specific voluntary benefits when they meet certain criteria.
For example, Stanford University only provides benefits for employees who are assigned to work 20 or more hours a week for six months or more.
However, employers should establish policies in writing, which provide voluntary benefits to full-time and part-time employees. Policies should also mention what part-time employment the company considers.
Specific labor laws guarantee full-time and part-time workers the same benefits.
These laws include federal laws on workplace discrimination, safety standards, minimum wage rules, overtime pay, and child labor.
Further, state laws compel employers to meet certain requirements involving unemployment benefits and part-time workers’ compensation.
According to the U.S. Department of Labor, the Fair Labor Standards Act does not have specific rules for part-time workers. Instead, the FLSA rules apply equally to full- and part-time employees.
The Employee Retirement Income Protection Act includes provisions that may enable part-time employees to claim the benefits of a pension plan or to participate in a company’s profit-sharing plan. Passed in 1974, ERISA is required to provide this national benefit to part-time employees who work for 1000 or more hours every 12 months in a row.
An employee, who will average 20 or more hours of work per week. This ERISA requirement applies only to companies that share pension benefits or benefits for full-time employees offer If a company does not offer full-time employees, then part-time employees are not required to provide these benefits.
According to the United States Office of Personal Management, part-time federal employees earn an hour’s sick leave by working 20 hours each year. One year of part-time work is counted as one year of service, but annuity counts prove to reflect the difference between full- and part-time service.
Federal part-time employees can participate in the federal employee health benefits program but will pay an even higher percentage of monthly insurance premiums. For example, an employee who works half-time or 20 hours per week has a 50 percent less government-run premium than a full-time employee.