Banked Leave Accrual Pay Batch Stage

Description

A new pay batch stage called Banked Leave Accruals has been added to the pay batch process in the 11.37 release. This new pay batch stage occurs between the existing Leave Payments and Leave Accruals pay batch stages.

At the Banked Leave Accruals stage the system triggers accrual of leave types that have an apply to type of Hours with Rate. Such leave types require leave hours to be accrued while deferring or banking the payment of the accrual hours so that the banked amount can be used to pay the leave when it is taken.

The following also occurs at the Banked Leave Accruals pay batch stage:

the cost of the leave that has been accrued at this stage is calculated
payment for the number of hours of leave that has been accrued is negated from the gross earnings of each payee who has accrued leave at this pay batch stage
if a payee has received payment for leave at the Leave Payments pay batch stage but is ineligible to receive payment for the leave due to having an insufficient leave balance after accrual of leave at this pay batch stage, the system automatically removes the relevant pay item from the payee's pay items
the payment rate for leave paid on a first in/first out basis, where the leave was accrued, taken and paid in the same pay batch, is calculated and the payment for such leave is automatically adjusted based on the accrual in the current batch.

Accrual of leave types that have an apply to type other than Hours with Rate continues to occur at the existing Accrue Leave pay batch stage.

At the Banked Leave Accruals pay batch stage you can click on a payee, who is listed on the Pay Wizard screen, to open the Payee Pay Details screen. This allows you to view all the payee's banked leave accruals in the current pay batch, as shown in the example below.

The user can click on any of the listed leave types to view details of each accrual, including the following:

the job order number of the job against which the leave was accrued, where applicable
the name of the client who owns the job order against which the leave was accrued
the amount of leave automatically accrued in the current pay batch
the rate at which the leave was accrued
the cost of the accrual.

The figure below shows an example of a leave type that has been expanded to display the details of the accrual.

The accrual amount and accrual rate can be manually adjusted if necessary.

When a payee automatically accrues leave at the Banked Leave Accruals pay batch stage the system negates payment for the hours that have been accrued from the payee's gross earnings in the pay batch. This allows the payment of the leave to be banked and paid when the leave is taken.

If a manual adjustment is made to the accrual:

The system does not automatically recalculate the reduction in the payee's gross earnings to factor in the adjustment. Therefore, if a manual adjustment is made to the accrual amount, the payee's gross earnings may need to be manually adjusted to factor in the manual accrual adjustment.
The adjustment is not taken into consideration when determining if the payee's leave balance is sufficient to pay the duration of banked leave taken in the current pay batch. If the payee has taken banked leave in the current period but the payee's leave balance is incorrect, thereby preventing the leave from being paid, a balancing payments adjustment batch can be processed for the prior pay period to manually adjust the balance of the banked leave prior to paying the leave in a normal pay batch for the current period.

Benefits

This enhancement facilitates support for accruing leave that also requires the payment for the accrued leave hours to be deferred or banked and used to pay the leave when it is taken, such as Rostered Day Off (RDO) leave.

Configuration

No configuration required.