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Author's profile photo Babu Kolkata

Lay-off Configuration(Component wise factoring is Different)

Hi

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)

ScreenHunter_02 Jun. 20 16.01.gif

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.

ScreenHunter_03 Jun. 20 16.16.gif

The absence valuation details are as follows

1.  V_T554E

ScreenHunter_04 Jun. 20 16.19.gif

2. V_T554C

ScreenHunter_05 Jun. 20 16.20.gif

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

ScreenHunter_06 Jun. 20 16.28.gif

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

ScreenHunter_01 Jun. 21 11.34.gif

Lay-off 13 days and LWP 9 days.

The RT table details are as follows

ScreenHunter_02 Jun. 21 11.41.gif

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%.


Thanks,

Santosh Kumar Mohanty

santoshmohanty82@gmail.com

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      6 Comments
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      Author's profile photo Former Member
      Former Member

      Dear sir thank you very much for the post. it will help a lot. pls keep posting such config.

      Author's profile photo Sankarsan Dey
      Sankarsan Dey

      Nicely documented. Hope so SCN team will get help from this document.!!!

      After payroll processing show the update table entry or RT or show the payslips. That could be complete document for the scn teams.

      Regards,

      Sankarsan

      Author's profile photo santosh mohanty
      santosh mohanty
      Blog Post Author

      Hi Sanky,

      As per your suggestion, I did the modification and re-post it in SCN.

      Thanks for the suggestion.

      Author's profile photo Niladri Bihari Nayak
      Niladri Bihari Nayak

      Hi Santosh,

      Wonderful document..Although I have never come across such scenerios, it will definitely useful for all SCN Readers.

      Regards,

      Niladri

      Author's profile photo santosh mohanty
      santosh mohanty
      Blog Post Author

      Thanks a lot Niladri. I'm expecting few documents from you also.

      Author's profile photo Niladri Bihari Nayak
      Niladri Bihari Nayak

      Sure..Santosh Bhai..Keep  motivating like this...It will be a Breakthrough for me this year !!