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Inactive Employees Payroll Run

Al2021
Explorer
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1,047

Hello All,

We have implemented Wage Protection System (WPS) as per the new Qatar law. As per the law, payroll should be run for all employees who are on company sponsorship irrespective of whether they have resigned/terminated. The salaries for these employees must be processed as zero till they transfer their sponsorship but they cannot be excluded from payroll run.

We were thinking of creating a new Leaving action type where the employment status is Inactive and not Withdrawn. So these employees will be included in the payroll run. How do we process their salaries as zero?

Awaiting your kind suggestions and any future impact if we make these changes in the system.

Regards,

Ally

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Answers (1)

Answers (1)

antoine_foucault
Active Contributor
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Hi Albina:

Maybe you can just use payroll status infotype (0003) run payroll up to field (ABWD1) to cover this situation.

Field help state:

"End of processing 1 (run payroll for pers.no. up to)"

Date up to which the payroll is run for the employee, even if he or she has left the company.

In this payroll run, the system selects an employee who is not active in this payroll period if the end of processing 1 is set.

You can set the end of processing 1 in the Payroll Status (0003) infotype. The end of processing 1 can also be set by the system through various functions, in deductions for example.

This date must be in a period in which the employee is not active."

When you would run separation action put end of time in that field and whenever you receive confirmation of sponsorship transfer you could maintain the date from end of time to a specific end of payroll period date so that payroll driver does not take this employee further in the calculation processing.

Salary from basic pay infotype should be processed automatically since all your /8xx wagetype would be valuated at 0. You may have to watch for data from other source (eg infotype 0014 and 0015, and further). Some wage types might have a direct value and no reduction set in T512W....

If somehow that is failing a simple fix could be to force a 0 value if STAT3 eq 0. You can use operation OUTWPSTAT3 while processing IT both at the end of the time sub-scheme and factoring sub-scheme before storage to RT table.

Best,

Antoine

Al2021
Explorer
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Dear Antoine,

Appreciate your quick response.

Just had a small doubt, do we need to configure anything in additional for payroll posting to FI/CO to handle this scenario?

We also have an interface for online payroll payment posting to the bank.

Regards,

Ally

antoine_foucault
Active Contributor
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Hi Ally,

There should be nothing to update in FI/CO or posting, same thing for payment.

You should understand that there can be retroactivity from past (active) period bringing some money flow into the current (inactive) period. So you might want to look also at prohibiting retro via IT0003 in this scenrio.

Make sure that current (inactive) period does not generate anything but information wagetype and you should be fine.

Antoine

Al2021
Explorer
0 Kudos

Dear Antoine,

Thanks for sharing your knowledge. Will incorporate these suggestions.

Have a nice day.

Regards,

Ally