Companies are free to dictate the terms of employment with any employee, whether he/she is a full-time or part-time worker. The key is to specify in writing all employment terms and this rule applies to whatever job is being offered. Part-time workers must comply with the same company rules, policies and procedures as full-time employees; the only difference is that they may be excluded from company pension and profit-sharing plans, medical and other insurance benefits. In most cases, employees who regularly work fewer than 25 hours per week are considered to be part-time employees. Most policies contain clauses granting coverage to employees who work more than a stated number of hours per week, depending on the specific insurance policy. However, under the Employment Retirement Insurance Security Act (ERISA), employees who generally work 1,000 hours in a pension plan year must be included in pension plans.
Counsel Comment #34: Contact your nearest office of the Department of Labor to be sure that your company complies with all appropriate benefits laws affecting part-time workers. In some states, part-time workers must be paid overtime, vacations, lunch breaks and coffee breaks like regular workers. Whenever hiring new part-time employees, be sure to explain carefully what fringe benefits are not available to them. For example, failing to explain to a new part-time worker that he/she does not qualify for medical benefits could lead to devastating consequences for the worker and her family. Thus, always use written contracts with your part-time workers as well as with your full-time employees to confirm the benefits offered/not offered.
Some companies offer pro-rated fringe benefits for part-time workers such as shorter holidays, vacations, paid sick leave, health/ medical insurance and life insurance (i.e., employees working 25 hours per week would be entitled to half of the benefits given to full-time employees, etc.) Your company may be interested in imple- menting a similar policy.
It is worth noting that under the federal Equal Pay Act, part-time workers and temporary employees may not be subject to the strict rules that men and women doing the same work must be paid equally.
If your company uses temporaries to supplement its full-time personnel, such a practice may be attacked by a union on the grounds that bargaining unit employees are deprived of job opportunities and overtime.
TIP: In the absence of language in a contract limiting the hiring of employees to perform non-unit work, arbitrators are not inclined to apply a limitation on the employer when there is a reasonable exercise of discretion. However, when the overall impact is not simply incidental but strikes at the very existence of the bargaining unit, then arbitrators are likely to step in to protect the unit. Speak to experienced labor counsel for further details if applicable.