Casual vs Part-Time: Key Differences Explained
The difference between casual and part time comes down to commitment and leave. A part-time employee has ongoing work with regular hours and pro rata paid leave, while a casual employee has no firm commitment to ongoing work and is paid a 25% loading instead of paid annual or personal leave. This guide is for employers and workers, and it covers pay, leave, conversion rights and how to choose between the two.
- Part-time employees get paid annual leave and personal leave pro rata, while casual employees get neither and receive a casual loading, which is 25% under most awards.
- From 1 July 2026, award-free casuals on the national minimum wage get at least $33.05 per hour, against $26.44 per hour for other employees.
- A casual can notify the employer they want to convert after 6 months, or 12 months with a small business employer.
- The NES does not set a minimum number of weekly hours for part-timers, so minimum engagements come from the award or enterprise agreement.
What is the difference between casual and part time?
A casual employee works without a firm advance commitment to ongoing work, and gets a loading in place of paid leave. A part-time employee works regular, agreed hours that are fewer than a full-time week, and gets leave pro rata.
Both are employees under the Fair Work Act 2009 (Cth), so both are covered by the National Employment Standards, awards and the right to be paid correctly.
| Term | Meaning | Why it matters |
|---|---|---|
| Casual employee | An employee with no firm advance commitment to ongoing work, usually engaged shift by shift. | Casuals get a loading instead of paid annual and personal leave. |
| Part-time employee | An ongoing employee who works regular agreed hours of fewer than 38 a week. | Part-timers earn leave pro rata and have more job security. |
| Full-time employee | An ongoing employee who works 38 ordinary hours a week, plus reasonable additional hours. | It is the benchmark for pro rata leave. |
| Casual loading | An extra 25% on the base rate under most awards. | It replaces the leave and notice casuals do not receive. |
| Pro rata | A share of the full-time entitlement that matches the hours worked. | It sets a part-timer's leave. |
| Casual conversion | A casual's right to ask to become part-time or full-time. | It gives long-term casuals a route to ongoing work. |
Who is a casual or part-time employee
Most private-sector employees are in the national system. NSW state public sector employees, and some local government employees, are in the NSW state system, so check which one covers you.
| Situation | What applies |
|---|---|
| Full-time employee | 38 ordinary hours a week plus reasonable additional hours, with 4 weeks of annual leave. |
| Part-time employee | Regular agreed hours, with annual and personal leave pro rata to those hours. |
| Casual employee | Paid the casual loading, with no paid annual or personal leave, and conversion rights after 6 months. |
| Casual employee, small business | The same rights, but conversion applies after 12 months with a small business employer. |
| Labour hire worker | Employed by the labour hire provider as casual, part-time or full-time. The provider pays them, not the host. |
| Genuine contractor | Not an employee at all, though an ABN does not decide that question. |
Never call someone a casual or contractor to avoid leave when the work is regular and ongoing. That is illegal, and the Fair Work Ombudsman can act on it.
Difference between casual and part time: leave, pay and rights
These are the headline entitlements. Pay figures apply from the first full pay period on or after 1 July 2026.
| Item | Part-time | Casual |
|---|---|---|
| Paid annual leave | Pro rata to 4 weeks per year | None |
| Paid personal and carer's leave | Pro rata to 10 days per year | None |
| Compassionate leave | 2 days per occasion, paid | 2 days per occasion, unpaid |
| Family and domestic violence leave | 10 days paid per 12 months | 10 days paid per 12 months |
| Public holidays | Paid for ordinary hours not worked | Paid only if they work |
| Casual loading | Not paid | 25% under most awards |
| Minimum hourly rate, no award | $26.44 per hour | $33.05 per hour |
| Unpaid parental leave | Up to 12 months after 12 months of service | Same, if regular and systematic with 12 months of service |
How to choose: whats the difference between casual and part time for you
Which is better depends on the person and the job. A casual rostered across two sites in the same week may value the higher hourly rate, while a parent with a mortgage may prefer certainty.
Check the money
- Compare the casual hourly rate with the part-time rate plus the value of paid leave, which a casual does not get.
- Look at the pay guide for your award, because loading and penalty rates differ by classification.
- Remember that super is paid at 12% of ordinary time earnings for both, so check it on the payslip.
Check the security
- Ask whether the hours are regular, since regular and systematic casual work can lead to conversion.
- Ask how much notice you get of the roster, because part-timers usually have agreed hours.
- Consider flexible working requests, which employees with 12 months of service, and some casuals, can make in writing.
How to compare casual and part-time pay step by step
- Confirm the award, classification and whether the role is casual or part-time.
- Find the base hourly rate for the classification in the Fair Work Ombudsman pay guide.
- For a casual, add the 25% casual loading where the award sets it. For a part-timer, add nothing.
- Multiply by the ordinary hours worked in the pay period, then add overtime, penalties and allowances.
- Add the value of leave for the part-timer, because the casual rate has to cover the leave they do not receive.
- Add super at 12% of ordinary time earnings for both.
| Worked example | Calculation |
|---|---|
| Casual, no award | The base rate of $26.44 plus the 25% loading gives the $33.05 hourly minimum. |
| Part-time, no award | The hourly minimum is $26.44, and leave is earned pro rata on the hours worked. |
| Super on either wage | 12% of ordinary time earnings is paid on top of the wage, not taken from it. |
Employer obligations for casual and part-time staff
- Put the employment type, hours and award in writing before the first shift.
- Give new casuals the Casual Employment Information Statement.
- Offer conversion to casuals who ask after 6 months, or 12 months for a small business, and respond properly in writing.
- Check the award for part-time agreed hours and minimum engagement, because the NES does not set them.
- Issue payslips within 1 working day of payday and keep time and wage records for 7 years.
- Pay super on time so it reaches the fund within 7 business days of payday.
- Report payroll information to the ATO through Single Touch Payroll on or before each payday.
- Update rates from the first full pay period on or after 1 July each year.
Casual employee conversion step by step
- Count the months since the casual started, which is 6 months, or 12 months with a small business employer.
- Check that the employee has worked a regular pattern of hours, since conversion suits regular and systematic work.
- Receive the employee's written notice that they want to convert to part-time or full-time employment.
- Respond in writing, and give your reasons clearly if the answer is no, so there is a record of a fair process.
- Agree the new hours, the start date and the leave balance in writing before the first ongoing pay period.
- Update payroll so the casual loading stops and annual and personal leave start to build up.
| Question | Employer view | Worker view |
|---|---|---|
| Cost | A casual has a higher hourly rate, but no paid leave to fund. | A part-timer has a lower hourly rate, but paid leave and more certainty. |
| Flexibility | Casuals suit variable demand, such as peak weeks on site. | Casuals can say no to shifts, but may get fewer hours. |
| Risk | A long, regular casual roster may prompt a conversion request. | A casual who works regular hours can ask to convert. |
Casual employee loading and minimum hours
A casual employee is paid more per hour because there is no paid leave. Our guides explain how the loading is worked out and how minimum hours apply to part-timers.
- Read about casual loading to see how the 25% is added to the base rate.
- Read about part-time minimum hours, since the award or agreement sets them.
- Check that casual shifts meet any minimum engagement in the award, such as a minimum shift length.
- Keep rosters and timesheets so you can show the pattern of hours if conversion is requested.
Employee, contractor and pay type
Some people are neither casual nor part-time because they are not employees. Others are employees paid a salary rather than hourly wages.
- Use our guide to contractor vs employee to test the real working relationship, because an ABN does not decide it.
- Read salary vs wages to see how the two pay types differ in overtime and leave.
- Read what remuneration includes beyond the hourly rate.
- Read what ordinary time earnings (OTE) means for super.
Other work arrangements to know
Not every arrangement fits a simple casual or part-time label. These guides cover the common edge cases for Sydney employers and workers.
- See blue collar vs white collar work, where roles, awards and pay structures often differ.
- See what a secondment is, when an employee works temporarily for another organisation.
- Check the award for each arrangement, since a secondee keeps their original employer and conditions.
- Write down any change in hours, because a changed pattern can change the employee's type.
Common mistakes to avoid
- Treating a casual as part-time without agreed hours, which blurs both the pay and the leave.
- Paying a casual the part-time rate with no loading, which is an underpayment under most awards.
- Giving a part-timer no leave balance, when they earn annual and personal leave pro rata.
- Ignoring a casual's request to convert after 6 months, or 12 months with a small business employer.
- Keeping a casual on a long, regular roster without reviewing whether the arrangement is still genuine.
- Forgetting that casuals are paid for a public holiday only if they work it.
Casual vs part-time FAQ
Is part time better than casual?
It depends on what you value. Part-time gives paid annual and personal leave pro rata and more certainty of hours. Casual pays a loading, which is 25% under most awards, but gives no paid leave and no guaranteed hours.
Is casual and part time the same?
No. Part-time employees work regular agreed hours and earn leave pro rata. Casual employees have no firm commitment to ongoing work, receive a casual loading instead of paid annual and personal leave, and can ask to convert after 6 months.
What is a casual employee?
A casual employee works without a firm advance commitment to ongoing work and is paid a loading, usually 25%, in place of paid leave. Award-free casuals get at least $33.05 per hour from 1 July 2026.
Can a casual become part-time?
Yes. A casual can notify the employer they want to convert after 6 months of employment, or 12 months with a small business employer. The employer must respond in writing and cannot refuse unless there are fair grounds.
Do part-time employees get public holidays off?
Yes. A part-time employee is entitled to be absent and paid for the ordinary hours they would have worked on a public holiday. Casuals are paid only if they work, and the employer can ask only if the request is reasonable.
Is there a minimum number of hours for part-time?
The NES does not set a minimum number of weekly hours for part-time employees. Minimum engagements and agreed-hours rules come from the award or enterprise agreement, so check the Fair Work Ombudsman pay guide.
Next step: choose the right employment type
Check each worker's award, hours and employment type before the next pay run. At TQN Personnel, we place and pay casual and part-time labour hire workers across Sydney, and you can talk to us about host employer services. This is general information, not legal, tax or financial advice, so check the Fair Work Ombudsman, the ATO or an employment lawyer for your situation.