The Occupation Code allows the user to apply a premium, based on an employee's occupation, to be added to the pay rate on the employee's function line salary. As all salary function lines require an occupation code, at least one such code must be defined in the database.
Occupation Code
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Enter 4 alphanumeric characters.
Occupation Description
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Enter a 30 alphanumeric character description.
Factor
The value of this field is determined by the calculation code. (7 numeric, 2 decimal)
If the calculation code is '+', enter the amount to be added to regular pay rate. The premium amount to be added should be entered using the same level of pay as the employee's regular pay. For example, if the employee's function line is a Fixed salary (salary per pay period), then the premium amount would also represent a per pay period amount. If the function line rate is Hourly, then the factor would be an amount per hour.
If calculation code is '*', enter be the percentage to multiply the regular pay rate by to get the premium to add. Enter 1.05 to add a premium of 5%.
If calculation code is 'R', enter the amount that replaces the regular pay rate.
Calculation Code
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Enter '' to Multiply the factor value and the regular salary rate to generate the premium amount. When using this '' the factor field must contain a value.
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Enter '+' to Add the factor amount to the regular salary.
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Enter 'R' to REPLACE the default timesheet entry rate with the rate defined under the factor. The REPLACE feature is only available during timesheet/card entry. The 'R' does not generate a premium amount.
Pay Code 1
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Enter a pay code to have the premium amount recorded separately from the employee's regular earnings. Appling a pay code to the occupation premium allows the premium amount to be reported separately both in the history and on the employee's cheque and/or earning statement.
A pay code should be included if the premium needs to be handled separately from the regular salary. For example, when paying retro, the premium and regular salary amounts can be uniquely identified only when the premiums are paid out under a separate pay code. It is recommended a pay code be added when premiums are to be paid.
Pay Code 1 Percent
This percent field allows the occupation premium amount to be split by percentage between two pay codes. The percentage defined on this field would determine the amount of premium to be applied to pay code 1, with the balance of the occupation premium applied to pay code 2.
No percentage or 1.00 means the occupation code premium will not be split and the full amount will be applied to pay code 1.
Pay Code 2
Enter the pay code to receive the occupation premium split when the premium amount is to be split between two pay codes. For the premium to be split, both pay code fields 1 and 2 as well as the percent field (other than 1.00) must be filled in.
The occupation premium amount follows the earnings for Canada EI distribution purposes. When a timesheet is entered for a prior period, the earnings and occupation premium amounts are both recorded as prior EI insurable earnings. Splitting the premium amount allows for multiple earnings type to be generated at one time, for example In Lieu of Sick and In Lieu of Holidays.
Prorate Premium
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Enter 'Y' when the occupation code premium (factor amount) should be prorated based on the employee's percentage employed. This option only applies to flat amount "+" premium amounts.
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Enter 'N' when the premium amount (factor) should not be prorated.