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Content Type: ASC_Announcements
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Date1/25/2012
AnnouncementNew Business Process for Non-Exempt 7K Law and 7K Fire Employees on 14-day Work Weeks
Description

In compliance with mandates from the Department of Labor, the State of Arkansas has changed our business process for compensating employees who are assigned working weeks 7K Law 14-Day and 7K Fire 14-Day.  Prior to this change, any hours worked between 80 and the threshold limit were banked in quota 15 (Compensatory @ 1.0).  Effective January 22, 2012, these hours, when paid, appear as regular work hours (wage type 1200). 

 

All excess hours are paid or banked according to the employee’s code in the Additional Time ID field on infotype 0007 (Planned Working Time). 

 

The following situation applies for time ID O6:

 

·         All attendance hours up to the threshold limit are paid as regular work hours (wage type 1200).

 

·         All attendance hours that exceed the threshold limit are paid as overtime 1.5 hours (wage type 1206).

 

·         Paid absences are paid according to time sheet entries..

 

The following situation applies for time IDs C6 and C0.

 

·         If total attendance hours exceed the threshold limit, gap hours are paid as regular work hours (wage type 1200), and excess hours are banked at the 1.5 rate in quota 16 (comp. time @ 1.5).

 

·         If the threshold limit is not exceeded, all hours worked over 80 are banked at the 1.0. rate in new quota 14 (7K Exemption Gap Hours).

 

Things you should know

 

·         A new quota (Quota 14) named 7K Exemption Gap Hours has been created to hold any banked gap hours.  You can view this new quota in transaction PT50 (Quota Overview) when hours are earned.

 

·         Gap hours are defined as hours greater than 80 but less than the threshold.

 

·         If total hours exceed the threshold, gap hours are paid, and hours over the threshold are banked in quota 16.

 

·         If total hours do not exceed threshold, hours between 80 and the threshold limit will bank in quota 14 (7K Exemption Gap Hours). 

 

·         These three new absences types allow employees to use earned hours from the new quota bucket (Quota 14 – 7K Exemption Gap Hours).

 

o  GH7K (7K Exemption Gap Hrs) appears on the remuneration statement as 1287 7K Gap Leav01.

o  ML7K (Military Leave 7K Gap Hrs) appears on the remuneration statement as 1288 ML Lv 7K Ga01.

o  WC7K (Worker’s Comp 7K Gap Hrs) appears on the remuneration statement as 1289 WC Lv 7K Ga01

 

·         A new comp method allows agencies to pay gap hours on infotype 0416 (Time Quota Compensation).  In these instances, the following considerations apply:

 

o  The comp method subtype is 1305 (Gap hrs 7K QT 14 (C 00). 

o  Wage type 1286 appears as payouts on the remuneration statement.

o  Pay-outs for regular or extra-help salaries are paid from direct labor costs.

                                                                                                                          

·         When gap hours reach a level between 400 and 480 hours, time evaluation generates the following information message to the time administrator:  YM – Quota 14 (Gap Hrs) exceeds 400 hours. 

 

·         Earned gap hours in excess of 480 are paid automatically through time evaluation in the pay period where it occurred.  When this happens, time evaluation generates the following information message to the time administrator:  YN – Gap Hours > 480 excess bal pd out.

 

·         Any remaining gap hours are paid to the employee when an employee transfers or promotes to a different business area.

 

·         The process of entering, approving, transferring, and evaluating time data remains unchanged.

 

·         The working week can be viewed in the employee’s master data on infotype 0007 through transactions PA20 (Display HR Master Data) or PA51 (Display Time Data)