8 types of employees and when to hire them

July 27, 2022

Types of employees that companies need to be aware of

As the labor market has become more complex in recent years, every business needs to follow this phenomenon and acclimatize to the new upcoming trends. That means that companies may have different types of employees working for them at the same time.

Understanding all the types of employees that could be utilized, can help you to recruit the best employees in the field in which your company’s interest is, and it will save you a lot of time, money, and energy by avoiding trial and error during the hiring process.

Types of employees to consider for the next hiring position

Here are the eight most common types of employees that every company need to be aware of in order to maximize their efficiency

Full-time employees

Full-time workers are those that work an average of 40 hours per week or 160 hours per month. Usually, they get a contract completely covered with health and retirement benefits as well as vacation and paid time off.

This type of employee is crucial for every company because they are dedicated to the company, and are not employed anywhere else. In this way, employers can completely trust their employees and involve them in the company’s day-to-day operations.

Part-time workers

Part-time workers are a little bit flexible because they usually have reduced scheduled hours compared to full-time workers, and they are usually paid by the hour rather than by the salary. These workers continue to be considered full-time employees of the company, but may not be eligible for the same benefits package.

These types of employees are beneficial for a company because they can work as freelancers offering their services via outsourcing. In this way, the company has many benefits too like filling a position that doesn’t require a full-time worker and reducing the costs of paying full-time benefits.

Seasonal employees

Seasonal workers are people employed in temporary contract or part-time employment to assist a company for a certain period in the year with a pre-determined end date. Usually, this type of employee is paid by the hour and they are not considered permanent workers and don’t have employment benefits.

Seasonal jobs can have many advantages for job seekers and business owners.

This type of employment allows immense freedom for both sides, like a flexible workforce, no overtime work, and less risky hiring.

Leased employees

Leased workers are types of employees who are hired by a staffing agency and “rented” to a company to do a specific job. Seasonal workers usually work this type of job in which they are dispatched for a specific time period.

Although still considered employees, lease workers are included in the employment agency’s salary and receive all benefits through the agency and not the company where they do the job.

Contractors

Contractor workers or better known as contractors are workers who only work full-time for one client or a company. The contractor’s payment is pre-determined and may be paid during or after the worker has done his job.

Small businesses can benefit from hiring these types of employees because they can reach a wider pool of talents on the labor market where can find and hire a highly skilled worker for a certain project, and save time, money, and energy.

Independent contractors

These workers are also called freelancers, subcontractors, or self-employers. Independent contractors can be a single worker or a group of workers hired by a company to perform work or services. They can work on a permanent contract, on a single project, or on an as-needed basis.

They don’t have employment benefits from the company where they work, instead, they are responsible for paying their own taxes and benefits.

Interns

Interns are usually young people who work for a company with a flexible working schedule and they either get paid for the work they do or they work for free or partial payment in exchange to gain experience.

Internships are very beneficial to both sides, students looking for a job opportunity to prepare for careers after high school or college and companies who look for skilled talents to hire as full-time employees.

Consultant

When things get tough and an extra hand is needed, consider hiring a consultant. This employee type is a self-employed person who offers professional advice in their area of expertise. They may specialize in education, law or marketing and provide companies with expert advice in an attempt to help the company improve in these specific areas. Consultants provide their services on a temporary basis but may be utilized repeatedly by a company based on the organization’s consulting needs.

Conclusion

As a business owner, recruiter, or hiring manager – understanding the classifications of employees and different job titles can aid you in determining which type is best for your company in terms of staffing requirements and productivity.

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