they are looking for employees :P but it would be a much better learning experience than a typical job; you'd be joining early enough that you'd be with the company basically from the beginning and would have much more of an opportunity to take on serious responsibility and make a significant impact (that, and much more equity than later employees :P)
We definitely want entrepreneurial hackers on our team. I often say entire aspects of our company are tableaurosa. There is fertile ground for innovation and creativity not found in big companies. I guess we are hiring employees, but I've not once used that word.
Ask Craig Silverstein if he has regretted being Google's third guy.