Workforce
FTE (Full-Time Equivalent), in plain English.
Workzoom defines FTE (Full-Time Equivalent) as follows. Full-Time Equivalent (FTE) measures workforce size in standard-hour units. One employee working a 40-hour week is 1.0 FTE; two half-time employees together are also 1.0 FTE. FTE...
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The short answer
Full-Time Equivalent (FTE) measures workforce size in standard-hour units. One employee working a 40-hour week is 1.0 FTE; two half-time employees together are also 1.0 FTE. FTE rolls part-time and casual workers into a single number for budgeting and reporting. Workzoom calculates FTE per position automatically from scheduled hours.
How FTE (Full-Time Equivalent) works.
FTE converts a headcount of mixed part-time and full-time employees into a comparable number of full-time-equivalent positions, usually by dividing scheduled or actual hours by the employer's full-time standard. The figure is only as good as that standard, which varies by employer, by jurisdiction, and sometimes by collective agreement. Budget models, grant reporting, and statutory thresholds all consume it.
Where FTE (Full-Time Equivalent) goes wrong.
- Two departments using different full-time standards, so their FTE figures cannot legitimately be summed.
- Calculating from scheduled hours when the funder or statute requires actual hours paid.
- Reporting FTE as of a single date when the requirement is an average across the period.
Where FTE (Full-Time Equivalent) sits between HR and payroll.
FTE (Full-Time Equivalent) does not stand alone. The concepts most often paired with it on a Workforce run are Position control, Headcount, Scheduling. Each is defined elsewhere in this glossary so you can trace the full chain without leaving the site.
How FTE (Full-Time Equivalent) runs on Workzoom.
FTE (Full-Time Equivalent) is part of the Workzoom Workforce Suite. Workzoom runs HR, workforce, and talent on a single employee record across ten countries: Canada, the United States, the Bahamas, Jamaica, Trinidad and Tobago, Barbados, Antigua and Barbuda, Anguilla, the Cayman Islands, and the United Kingdom. Full gross-to-net payroll runs live in Canada, the United States, and the Bahamas. Pricing starts at $4 per employee per suite per month.
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