SAP Knowledge Base Article - Public

2084253 - Manage Data - Manage Compa-ratio and Range Penetration for Hourly Employees - Compensation

Symptom

  • Managing hourly employees’ comparatio or range penetration was historically tricky as prior to 2014 it was not supported within the system.
     
  • Late 2013 we introduced FTE functionality so recommend all clients now change to this option. more info.
     
  • And not use the method described below.

Environment

  • Compensation

Resolution

Historical Practice..

  • In the past you may have used a custom approach to setup parttime employees.
     
     
  • The following information is provided as insight only for those that may have old plans still using this method, however now this is supported by using FTE flag we recommend all clients change their configurations and process ot leverage FTE.
     
     
    A compensation form, comparatio or range penetration display inconsistent values for hourly employees but work fine for employees with an annual salary.

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How to manage hourly employees’ comparatio and range penetration

First step:

  • You need to define a new custom field in your form template to store an extra attribute for each user where you will indicate the rate type (Annual, Monthly, Hourly etc...).
     
     
    To do so, go to New Admin Tools > Compensation > Compensation Home > Your Compensation Template > Plan Setup > Design Worksheet.

          Add a new custom column with the following atributes:

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   - Column Name: You can put anything you want here, for instance Rate Type

   - Read-only: Yes

   - Column Type: String

   - Column Id: something like CUSTOM_RATE_TYPE

  - Import Key: you can either define a new import key (for instance CUSTOM_SAL_RATE_TYPE) in which case you will have to duplicate column COMPENSATION_SAL_RATE_TYPE content in your User Directory file or use standard compensation column COMPENSATION_SAL_RATE_TYPE as an import key

   - Reloadable: checked

   - Reportable: checked

   - Hide this column on the form: checked

   - Exportable hidden column: checked
 

  • This is only a suggested attributes configuration; you can change some of them. For instance if you want to display this new custom column in your form, uncheck Hide this column on the form.
     
  • Save your changes.
     
     

Second step:

  • You need to update your Salary Pay Matrix configuration to support hourly rates.
     
    To do so, go to New Admin Tools > Compensation > Compensation Home > Your Compensation Template > Plan Setup > Settings and add a new attribute to your Salary Pay Matrix: 

   - Hit Add Attribute link, it will create a new field called Attribute1 (assuming that you didn't have any Pay Matrix Attribute before).

   - Select the custom field you just defined in the Attribute 1 dropdown list

  • Save your changes.

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Third step:

  • You need to update you Salary Pay Matrix file with Attribute 1 values.
     
    To do so, go to New Admin Tools > Compensation > Actions for all plans > Import/Export Data > Salary Plans > Salary Ranges. Open your Salary Pay Matrix and export it.

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  •  First, you will have to update your existing paygrades by adding ANNUAL (or whatever code you use for Annual rate) in Attribute1 column.

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  •  Second, you will have to define a new record (new line) for each Paygrade associated to hourly employees with hourly min, mid and max pay and HOURLY in Attribute 1 column (or whatever code you use for Hourly rate).

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  • For instance, Paygrade PG1 has a minpay of 30,000 , a midpay of 40,000 and a maxpay of 50.000 (attribute1: ANNUAL),
     
    you have to define a new row for PG1 with a minpay of 15, a midpay of 20 and a maxpay of 25 (attribute 1: HOURLY).
     
     
  • In this example an hourly user works 2,000 hours per year.
     
     
  • Save your changes and import your updated Salary Pay Matrix file.

 

  • Once that done, create your forms and check that everything is working as expected. Comparatio (and Range Penetration) should now support hourly employees.

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Keywords

KBA , sf compensation manage data , LOD-SF-CMP , Compensation Management , How To

Product

SAP SuccessFactors HCM Core all versions