Most businesses, especially those looking to scale, get it. Hiring talent across borders comes with lots of advantages. It makes it easier to find candidates with in-demand skills, and ups your team diversity, which helps drive innovation.
Global hiring also introduces a layer of complexity, one that many teams often don’t expect. For example, employee classification. And we don’t even mean contractor versus employee, which can get tricky to navigate, but part-time versus full-time employee.
Whether an employee is considered part-time or full-time may sound straightforward. However, it can vary significantly from country to country. And getting those distinctions wrong can result in compliance issues, triggering penalties or even back-pay obligations.
Your HR leaders need to understand how part-time and full-time employment classifications differ by region, ensuring compliance while expanding your international team.
Key takeaways:
- Every country has its own laws and regulations determining what is considered part-time versus full-time employment.
- Failure to provide part-time employees with the benefits they’re entitled to can result in fines and penalties.
- Companies can reduce their compliance risk by partnering with an Employer of Record.
Why Employment Definitions Aren’t Universal
In one country, an employee might be considered part-time if they work fewer than 30 hours a week. In another, it could mean they work fewer than 20 hours a week. Some countries even define full-time by days worked, not hours.
Here are a few examples of how definitions (and benefits) can vary by region:
- Japan: Full-time employment usually means 40 hours per week, but part-time employees may still be eligible for social insurance depending on their hours, income, and company size.
- Germany: Part-time work is legally defined as anything less than the company’s normal full-time schedule — meaning what qualifies as “part-time” varies by employer.
- Brazil: Employees can work part-time, up to 30 hours per week, but their benefit entitlements differ from those of full-time workers.
- U.K.: Part-time employees must receive the same levels of protection and pro-rated benefits as full-time employees under the Part-Time Workers Regulations.
Because local laws determine whether someone is considered part-time versus full-time, employers can’t rely on a single global standard. And on top of that, each classification triggers different legal obligations, depending on the country. It’s a lot to keep track of.
Key Differences Between Part-Time and Full-Time Employees
When you’re hiring in another country, understanding the difference between part-time and full-time employees is essential. These classifications directly influence what an employee is entitled to — and what the employer is responsible for — under local labor laws.
Here are some of the key employment criteria that could vary depending on whether someone is considered part-time or full-time:
1. Working Hours
Most full-time roles feature a set weekly schedule, typically ranging from 35 to 40 hours, although this can vary by region and industry.
Part-time employees typically work fewer hours, but the threshold for when a worker crosses the line from full to part-time hours depends on the country.
2. Payroll Cycles
The payroll cadence for full-time and part-time workers may differ by region.
Some countries that generally operate on a monthly payroll cycle may require weekly or biweekly pay for part-time workers. Others operate on a monthly pay cycle for everyone, regardless of hours worked.
Local laws will dictate how frequently employees must be paid, and paying on the incorrect cycle can result in penalties.
3. Benefits and Social Contributions
In most countries, full-time employees are entitled to a complete statutory benefits package, including:
- Health insurance or social security coverage
- Paid leave entitlements
- Pension or retirement contributions
- Overtime eligibility (in some countries)
Employers must provide all legally required benefits or risk fines and other penalties.
However, when it comes to part-time employees, the rules are often different. Depending on the country, part-time workers may be entitled to receive:
- Pro-rated benefits
- Limited statutory protections
- No benefits at all, depending on hours worked and local laws
Some countries (like the U.K. and EU member states) require part-time workers to receive pro-rated equivalents of full-time benefits. Others offer entirely different rules for the two classifications.
Do your homework in advance so you’ll know exactly what benefits you owe your part-time international staff.
4. Paid Holidays and Vacation
Paid time off requirements often depend on whether an employee is part-time or full-time. Typically:
- Full-time employees receive the full annual allowance.
- Part-time employees are entitled to a pro-rated holiday entitlement based on the number of hours or days they work.
In some countries, holidays are tied to work hours, meaning part-time employees may be entitled to fewer paid public holidays.
5. Taxes and Withholdings
Companies are typically responsible for making full social contributions for all full-time employees.
On the other hand, it can get murky when it comes to part-time employees. They may qualify for reduced contributions — or may not contribute at all if they fall below thresholds for income earned or hours worked.
Employer mistakes around taxes and withholdings, especially for part-time workers, are common, often resulting in, you guessed it, penalties and fines.
Why Getting It Wrong Can Be Costly
Misclassifying a worker’s status — or misapplying local definitions of part-time versus full-time work — can quickly become a compliance issue.
Employment laws are designed to protect worker rights, and regulators take classification errors very seriously. Even unintentionally treating a full-time worker as part-time (or vice versa) can create:
- Wage disputes
- Benefit eligibility challenges
- Overtime claims
- Social insurance violations
Depending on the country, penalties can include:
- Fines for incorrect tax withholdings
- Back payment of missed benefits
- Retroactive social contributions
- Required compensation for lost leave or holiday pay
- Court disputes over misclassification
For a company hiring globally, the risk increases, as definitions and thresholds can differ dramatically between countries, requiring the business to be familiar with employment laws in every country where they hire.
Global Variations Employers Should Be Prepared For
To avoid unpleasant legal surprises down the line, here are some of the most common global nuances that often trip up employers, particularly those hiring in a new country for the first time:
- Minimum hours for full-time status: Some countries legally define full-time employment, while others leave it up to employers.
- Benefits thresholds: In many APAC and EU countries, hitting specific hour or income minimums triggers mandatory benefits.
- Overtime rules: Some regions require overtime pay after a certain number of hours, even for part-time staff.
- Probation periods: These are often different for full-time vs. part-time workers.
- Notice periods: In some countries, notice requirements scale with the number of hours worked.
- Sick leave and parental leave: Eligibility may depend on hours worked, tenure, or employment status, so it's essential to obtain clarity upfront.
- Union rules and collective bargaining: These agreements often distinguish between part-time and full-time workers, mandating specific entitlements.
With so much variance, assuming that standards for part-time workers apply globally can lead to costly mistakes.
How RemoFirst Simplifies Part-Time vs. Full-Time Compliance
Managing global employment classification is challenging. This is especially true for small to medium-sized businesses (SMBs) and scaling teams that typically don’t have in-house legal or HR expertise in every market where they’re hiring.
This is where an Employer of Record (EOR) like RemoFirst can help.
As an EOR, RemoFirst:
- Ensures every hire is correctly classified based on local labor laws
- Drafts employment contracts (with hours, benefits, and entitlements that meet local legal standards)
- Manages global payroll cycles, taxes, and contributions tailored to each classification
- Provides country-specific benefits guidance, including access to private health insurance plans
- Tracks local changes in employment laws so you don’t have to
For teams that want to hire globally without worrying about misclassification or navigating dozens of country-specific regulations, RemoFirst simplifies the process, maintains compliance, and supports employees with the benefits and protections they’re entitled to, no matter where they live.
We enable companies to onboard part-time and full-time employees compliantly in 185+ countries — without needing to learn the ins and outs of every country’s unique rules.
Ready to go global? Book a demo to learn more about how we can help you grow your business.
