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Lay-off Configuration(Component wise factoring is Different)


Today I’m sharing a document to map the Lay-off scenario for one of my client. Let me explain the complete scenario

Lay-off is a common practice in all manufacturing domestic clients. During that period employees are present in the workstation but they are not performing any task.So client want to pay some portion of the basic pay components instead of full payment. It’s a mutual agreement between the employer and the employee.

Let me explain the client requirement, for the above category employee there are six components in Basic pay. The components are as follows

1. Basic Salary(1011)

2. HRA(1021)

3. Fixed Dearness Allowance(1040)

4. Attendance Allowance(1100)

5. Tiffin Allowance(1110)

6. Medical(W)(1081)

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So during the Lay-off period the components calculation is as follows

50% of Basic.

50% of Fixed Dearness Allowance

50% of Attendance Allowance

50% of Tiffin Allowance

100% of HRA

100% of Medical.

Solution Details:

1. I configured a unpaid absence type as Lay-off for IT2001.

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The absence valuation details are as follows

1.  V_T554E

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2. V_T554C

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With this above configuration system works fine with all the six component’s 50% payroll impact but client want HRA and Medical’s impact 100%. To map this requirement my friend Sankarsan Dey provide the logic, please find the configuration details

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As I mapped the 50% impact for all the components, so for HRA and Medical I want to make it as 100%. So I used /803 and do the following changes as above for only Lay-off unpaid case the rate will be multiple by 2 i.e. 50*2=100%. For the wage type HRA and Medical I changed the processing class 10 specification 1 to 3.So that it will work for the Lay-off cases.

I tested the complete scenario with few lay-offs and few LWP, it works fine.Once again I’m very much thankful to Sankarsan Dey for sharing his knowledge for the PCR modification.

Please find the details as per the IT2001 details

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Lay-off 13 days and LWP 9 days.

The RT table details are as follows

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Only one component is missing i.e. Attendance Allowance(1100). As per the criteria that is

1.      If physical attendance and lay off attendance is less than 15 days then attendance allowance is nil.

2.      If physical attendance and lay off attendance is equal to or above 15 days then lay off period attendance allowance is 50% and physical period attendance allowance is 100%.


Santosh Kumar Mohanty

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