LD: Labor Distribution

LD: Labor Distribution

Created on 3/20/2012 9:32:00 AM

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/ Training Guide
LD: Labor Distribution

Table of Contents

LD: Labor Distribution 1

LD: Labor Distribution 4

Default Labor Schedules 7

Setting Up Organization Default Labor Schedules 7

Modifying Organization Default Labor Schedules 10

Labor Scheduling 12

Finding an Employee in Labor Distribution 13

Creating Labor Schedules with a Non-Sponsored Account 14

Creating a Labor Schedule with a Sponsored Account 19

Adding Labor Schedules 23

Modifying an Existing Labor Schedule 28

Deleting Labor Schedules 31

Labor Distribution Adjustments 33

Defining Distribution Adjustments 34

Canceling a Distribution Adjustment 41

Discoverer Reports 44

Logging In To Discoverer Plus 44

Running Pre-defined Reports in Discoverer Plus 46

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/ Training Guide
LD: Labor Distribution

LD: Labor Distribution

Labor Distribution Overview

A Labor Schedulecan be defined as a collection of future charging instructions that specify how a payment should be distributed for a given employee.

Charging instructions are linked to General Ledger accounts which are then linked to PTAEO combinations in Grants Accounting.

Schedules are established for specific time periods and represent the percentage of the pay amount to be charged to the specific PTAEO(s). Labor Schedules may be established for any period of time in the future, but once payroll is run for the time period, a labor schedule cannot be changed. Future charging instructions will include a current pay period that has not yet been processed.

Labor Distribution does not determine whether or not an employee will be paid. The pay type and frequency of pay is determined in HRMS; hours are posted in OTM as appropriate. The Labor Distribution schedule is relevant only if there is pay to be distributed.

Scheduling Hierarchy

Labor Distribution (LD) supports a hierarchical approach in determining the charging instructions for incoming labor transactions. Transactions from the payroll process are imported into LD immediately after the payroll is completed. These transactions record the employee, assignment and earnings element for each amount the employee was paid.

LD begins searching for a labor schedule at the bottom of the hierarchy and moves up until finding a labor schedule for either the employee or for the organization.

The first level is the employee assignment level. When scheduling labor for an individual employee in LD you will choose among three levels of the hierarchy within the employee assignment level: the Earnings Element Level(payroll deductions for wages, overtime, sick time, health insurance. etc), the Element Group Leveland the Assignment Level. If no schedule is defined at these levels, LD will move up to the next level in the schedule hierarchy.

Employee Assignment LevelHierarchy

· The Earnings Element Level Labor Scheduleallows users to create labor schedules for individual earnings elements. A labor schedule of this type is used to distribute all earnings against a particular element for a specific employee assignment. Labor schedules defined at the Earnings Element level will be charged first over labor schedules defined at the Element Group, Assignment, and Organization Default Labor Schedule levels.

Example of Elements: Regular Salary, Regular Wages, Time and a Half Overtime. This means that LD scheduling can distribute an employee's time and a half overtime to a different PTAEO(s) than the employee's regular salary.

· Element Groups are used to group earnings elements. The Element Group Level Labor Scheduleallows users to create one labor schedule that applies to all earnings elements in a specific element group. The earnings elements within that specified element group are scheduled and distributed based on the PTAEO(s) for an employee/assignment. For example, an element group has been established to group all earnings elements that capture overtime. The user could then enter a labor schedule to distribute overtime to a different PTAEO than regular salary. Labor schedules defined at the Element Group Level will be charged first over labor schedules defined at the Assignment and Organization Default Labor Schedule levels.

Example of Element Groups: Premium Pay, Regular Pay.

· The Assignment Level Labor Scheduleallows users to create one labor schedule that applies to all earnings elements that may be paid to an employee assignment. When a labor schedule is entered at the Earnings Element level and/or the Element Group level, any remaining pay which is not scheduled at the Assignment, Element Group or Earnings Element level, is charged to the Organization Default Labor Schedule Account.

Example: A labor schedule is entered at the Earnings Element level for time and a half overtime pay. All other pay, if not scheduled at another level within the schedule hierarchy, will be charged to the Organization Default Labor Schedule account. There are three levels included within the organization level: the Organization Level Default, Labor Schedule, the Organization Default Account and the Organization Suspense Account.

· The Organization Level Default Labor Scheduleallows users to create labor schedules for each organization. Users can create one labor schedule for that unique organization that applies to all assignment and the earnings elements associated with employees belonging to that organization.

Example: A single labor schedule is created for the Budget Office. All employee assignments with an organization of Budget Office that do not have an Assignment, Element Group or Element level schedule, default to the Organization Level Default Labor Schedule for the Budget Office. The user does not have to individually create a labor schedule for each employee assignment that is attached to the Budget Office.

· The Organization Level Default Accountis NOT being used at the University.

· The Organization Level Suspense Accounthas been designated to identify a unique PTAEO for each organization for collecting costs from labor distribution if charging instructions at all lower levels of the schedule hierarchy, including the Organization Level Default Labor Schedule, are missing or if charging instructions at any level of the scheduling hierarchy are incorrect. Charges in this account must be regularly reviewed and moved to the correct PTAEO(s). All labor charges to the Organization Level Suspense Account are burdened (pay charges plus fringes) at the highest rate. The burden rate will be automatically applied when the charge is moved to the correct PTAEO.

Each organization has designated one project number that is unique for labor suspense charges only.

Finally, if no schedules are identified at the Organization Level Default Labor Schedulelevel of the hierarchy, the amount will be charged against the Organization Suspense Account. LD insures that all amounts paid to employees are accounted for in the university’s financial records.

Suspense troubleshooting tips.

By the end of this module, you will be able to:

· Understand the Labor Distribution Scheduling Hierarchy (All)

· Setting up and Modifying Organizational Default Labor Schedules (LD Approver/Set-ups only)

· Labor Scheduling (All)

· Defining Labor Distribution Adjustments

· Log on to Discoverer

· Running Pre-defined Reports in Discoverer Plus

LD: Labor Distribution

Labor Distribution Overview

A Labor Schedulecan be defined as a collection of future charging instructions that specify how a payment should be distributed for a given employee.

Charging instructions are linked to General Ledger accounts which are then linked to PTAEO combinations in Grants Accounting.

Scheduling Hierarchy

LD begins searching for a labor schedule at the bottom of the hierarchy and moves up until finding a labor schedule for either the employee or for the organization.

The first level is the employee assignment level. When scheduling labor for an individual employee in LD you will choose among three levels of the hierarchy within the employee assignment level: the Earnings Element Level(payroll deductions for wages, overtime, sick time, health insurance. etc), the Element Group Leveland the Assignment Level. If no schedule is defined at these levels, LD will move up to the next level in the schedule hierarchy.

Employee Assignment LevelHierarchy

· The Earnings Element Level Labor Scheduleallows users to create labor schedules for individual earnings elements. A labor schedule of this type is used to distribute all earnings against a particular element for a specific employee assignment. Labor schedules defined at the Earnings Element level will be charged first over labor schedules defined at the Element Group, Assignment, and Organization Default Labor Schedule levels.

Example of Element Groups: Premium Pay, Regular Pay.