Rolled-up Holiday Pay Batch Stage

Description

A new pay batch stage called Rolled-up Holiday Pay is now optionally available in the Payroll module to pay rolled-up holiday payments to payees who are eligible to be paid on a pay-as-you-go basis in lieu of taking paid annual holiday leave. When Rolled-up Holiday Pay functionality is enabled, the Rolled-up Holiday Pay stage is added into the pay batch process directly after the Manual Items pay batch stage.

At the Rolled-up Holiday Pay stage, the system automatically pays rolled-up holiday payments to eligible payees.

Where a payee is eligible to receive rolled-up holiday pay, the system pays an amount that is equivalent to a certain percentage of specific earnings, where the percentage and relevant subset of earnings are defined by maintenance settings (for more information, see Configuration below).

In a pay batch, an eligible payee will be paid rolled-up holiday pay for the current pay period and any prior pay periods during which they were eligible for rolled-up holiday payments but are yet to be paid. The payment for each period can be adjusted manually by adjusting the payment rate.

Benefits

This enhancement caters for paying rolled-up holiday payments to payees who are eligible to receive such payments in lieu of taking paid annual holidays.

Configuration

Rolled-up Holiday Pay functionality is enabled via a new field labelled Enable PAYG Leave, which is located under Maintenance > Hierarchy > Country > Middle/Back Office Country Settings > PAYG Leave, as shown in the example below.

The PAYG Leave section of the Country > Middle/Back Office Country Settings screen also includes a PAYG Leave Label field. The field defaults to Rolled-up Holiday Pay but can be changed to an alternative label that suits the preferences of your business. The label is used to refer to the Rolled-up Holiday pay functionality throughout the Payroll module. For example, the label is used for the name of the corresponding pay batch stage and maintenance menu where Rolled-up Holiday pay parameters are configured.

When the Enable PAYG Leave field is ticked, the following conditions apply:

a Rolled-up Holiday Pay option is available under Payroll > Maintenance to allow the payment parameters to be configured
a Rolled-up Holiday Pay stage is enabled during the pay batch process, thereby allowing payments to be made automatically during the pay batch process.

For more information about how to configure rolled-up holiday payments and how to flag payees as being eligible to receive the payments, see **UK/NZ Payroll - PAYG Leave (Rolled-up Holiday) Maintenance.