Which condition must be met for an employee to be considered a leased employee?

To determine whether an employee is classified as a leased employee, the requirement that their services must be provided full-time is crucial. A leased employee is someone who is hired by one company but primarily works for another — often because they are contracted through a staffing agency.

Being categorized as a leased employee generally implies that their work is integral to the company's business operations; therefore, they are expected to provide full-time services to the host employer. This classification is significant for benefits, taxation, and compliance with various labor laws.

In contrast, the other conditions listed do not meet the specific criteria set forth by IRS guidelines for defining a leased employee. Leased employees may not necessarily work for multiple employers simultaneously or have a unique work schedule; these attributes can vary widely. Additionally, the duration of employment (such as being employed for less than one year) does not inherently define the leased status, as some leased employees may be employed for longer periods. Hence, the defining characteristic of leased employees is that they are typically providing their services on a full-time basis to the company for which they are working.