Going In-Depth With Employment Types and Classifications in the Workplace

Whether you're a first-time applicant or a seasoned member of the workforce, understanding the different types of work available can help you in your working life. There are various types of employment, which refer to the different categories of staff that an organisation employs. These classifications can determine things like workers' rights and benefits. 

This article can help you learn about what are the different types of employment and employment categories so you can make an informed decision. We'll be covering the following topics: 

• Types of employment 
• Exempt vs. non-exempt employees 
• How does employment classification affect job expectations? 
• How to know your employment type 
• Tips for changing employment classifications 
• Conclusion 
• FAQs 

Types of employment 

Most workplaces have their own types of employment categories or classifications. The seven most common are: full-time, part-time, project-based, temporary, fixed-term, casual, and probationary. 

Full-time employment 

In full-time employment, employees typically work 40 hours a week but might work fewer hours based on their specific contract. This is also sometimes called regular or permanent employment. These full-time employees usually receive a fixed basic salary.  

Regular employees have access to company benefits, such as health insurance, annual leave, and sick leave. Some companies also offer benefits like gym memberships, mobile phone allowance, and dental insurance.  

Casual employment 

As a casual employee, your employer may only guarantee you work when they need you. There's no expectation that there'll be more work in the future. During periods when you're not working for the employer, there's no obligation from either party. The company may only contact you when there's ​work available. It is important to note that casual employees are covered by The Employment Act as long as their contract includes: 

• hourly basic rate of pay 
• hourly gross rate of pay  
• number of working hours per day/week 
• number of working days per week/month 

Project-based employment 

Project-based employment is temporary and attached to the completion of a specific project. This is sometimes referred to as contract employment, as you complete work according to a contract. It often has a fixed start and end date. 

There are usually clear tasks that you should complete within an agreed timeframe. The project may only need you for a short time, and there's no assurance that there'll be more work once it's complete.  

Temporary employment 

This is another employment category that doesn't offer permanent work. Employers often hire temporary employees during peak periods throughout the year. Some companies refer to these members as seasonal employees or seasonal workers. You are also covered by the Singaporean Employment Act while employed with the company as long as you also have the above information in your contract of employment. 

Companies may keep these employees as regular temporary employees. They might give them fewer hours during the off-season and more hours during the peak season. 

Workers assist with the greater demand for goods or services. For example, retailers may hire additional workers in malls and stores to support increased sales during peak seasons, such as the holiday season.  

Fixed-term employment 

Fixed-term employment has a start and end date specified on the employment contract. As a fixed-term employee, you may work anywhere from three months to two years with a company, depending on staffing needs. This is similar to project-based employment but has a fixed term rather than being project-based. You might be continuously rehired for the same kind of work from the same employer.  

Probationary employment 

In Singapore, the probationary period usually ranges from three to six months. This helps the employer determine if you're the right fit for the role. The Ministry of Manpower (MOM) states that employers need to list the terms regarding the notice period on the employment contract.  

Other employment types 

There are also other types of employment, such as part-time employment, self-employment, freelance, and internships. Self-employment refers to people who work for themselves. They might own and operate their own business instead of working for an employer. 

Freelance work is a type of self-employment where people are hired for short-term contracts and invoice clients for rendered services. Internships are temporary, sometimes unpaid work opportunities for those who want to gain some entry-level exposure to a particular industry or field. 

Exempt vs. non-exempt employees 

The terms exempt and non-exempt employment may appear on job listings alongside other types of employment. As an exempt employee, or salaried worker, certain salary and compensation labour laws may not apply to you. You may earn a fixed salary rather than an hourly wage, and you won't be eligible for overtime pay, even if you work more than 40 hours per week. 

In contrast, if non-exempt employees exceed a particular number of hours, they can receive overtime pay and other benefits, as their wage is hourly rather than a paid salary. In Singapore, the terms "exempt" and "non-exempt" aren't commonly used.  

MOM specifies that you have provisions for rest days, hours of work and other conditions of service if you're covered under Part IV of the Employment Act. Part IV of the Employment Act applies to you if you meet either of the following criteria:  

• A workman (doing manual labour) earning a monthly basic salary of $4,500 or less. 
• An employee who is not a workman, but who is covered by the Employment Act and earns a monthly basic salary of $2,600 or less. 

How does employment classification affect job expectations? 

The type of employment you choose can impact job expectations for both employers and employees. This is because different categories follow separate guidelines and protocols. In Singapore, you're entitled to certain rights if you're covered by the Employment Act. Here are some examples:  

Workers' rights and benefits 

Your employment status determines the rights, benefits, and protection your employer gives you. This includes sick leave, annual leave, parental leave, overtime pay, and CPF contributions.  

Tax obligations 

Tax filing responsibilities vary based on employment status. For instance, if you're self-employed, you need to decide on the accounting period and keep proper records and accounts.  

Job security 

Employment status often indicates your job security and stability. Permanent employees usually have more employment security than temporary staff or independent contractors. 

Protected rights  

The legal rights and obligations of employers and employees depend on employment status. You must adhere to these legal guidelines to receive full benefits and compensation for your work. 

How to know your employment type 

You can find information on employment types in various places. It's usually in the job description, along with other relevant details. These details can specify if the role is full-time, part-time, temporary, permanent, exempt, or non-exempt. On platforms such as Jobstreet, there's a filter option that allows you to sort job openings according to the types of employment you prefer. 

If this information isn't available, review the company's official website. Look for its policies on employment types. If you still can't find the information you need, try reaching out to the company's HR department. Some job descriptions provide HR contact information, but you may also be able to find these details on the company website.  

Tips for changing employment classifications 

Discussions regarding employment classifications can happen at any time in your career. For example, you may be applying for a job or exploring other opportunities in a company you've been with for a long time. 

When applying for a position and you're unsure about the offered employment type, speak to the HR department. You can also ask questions during your interview to learn more about their job classifications. Some sample phrases you might use include: 

• "Could you provide more information about the employment type for this role? Is it a permanent full-time position?" 
• "I would appreciate more information about the employment terms associated with this role. Is it a permanent or temporary position?" 

If you've been in the same employment type for a while and are looking for a change, reach out to your HR department. This is a great first step when exploring your options.  

Start by asking HR about company policy. Given your role and scope of work, find out whether they would consider changes to your current job. Once you know more, present a case to your direct manager. For example, if you want to change from a full-time to a part-time position, you could provide reasons and solutions. 

Ultimately, the decision is your manager's, so prepare yourself for any outcome. You could consider presenting hybrid options between two employment types or offer to make changes on a trial basis. The key is to be open to your manager's ideas or alternative suggestions.  

Conclusion 

A clear understanding of the different types of employment and work classifications is essential. It will help you effectively navigate any workplace. As an employee, you have the power to make wise and well-thought-out career choices. You should understand your rights and benefits, regardless of whether you work full time, part time, or temporarily.  

FAQ 

1. What are the seven types of employment? 
   ⁠The seven types of employment are full-time, part-time, project-based, temporary, fixed-term, casual, and probationary. 
2. What is the importance of accurate employee classification? 
   ⁠Accurate employee classification provides you with clear expectations and duties. It also helps you receive fair compensation for the work you do. The right classification ensures that you can exercise and benefit from your workers' rights. 
3. How does employee classification impact employee benefits and rights? 
   ⁠Your employee type determines your entitlement to specific rights and protections. This can include overtime pay, payment of salary, rest days, and annual leave. It also ensures that employers treat all staff fairly and that they share the work appropriately with each employment type. 
4. What are contingent workers? 
   ⁠A contingent worker is someone who works for an organisation but isn't an employee. You may provide these services through a temporary employment contract or on an as-needed basis. Examples include independent contractors, freelancers, consultants, or temporary workers. A company may use a staffing agency or other third party to employ or assign staff.