If the calculations for occupational absence payments and offsets are not calculating as expected for the daily rate absence rule, you need to amend the calculation type to ensure it aligns with your requirements.
⚠️Important: The occupational absence module is highly configurable and customized to meet individual customer requirements during the implementation stage. We advice you seek consultation before updating any absence pay parameters in Payroll, as these updates may have unintended consequences on payroll absence calculations.
Absence daily rate calculation
To set the absence daily rate calculation method at company, pay group or absence level, follow the steps below.
📌Note: We recommend testing any configuration changes in your UAT environment first. This allows the results to be reviewed and validated before the changes are applied to your live system.
Click the Settings then under Absence Daily Rate Calculation, click Absence Daily Rate Calculation.
Click the Absence Rule Setting tab then search for the required absence rule.
From the Daily Rate Override dropdown list, select one of these calculation methods:
Annual Salary
Period Salary – Calendar Days.
Period Salary – Monday to Friday.
Period Salary – Work Days (WFM).
Click SAVE.
Available options under the calculation methods
These are the available calculation methods available under the Daily Rate Override dropdown menu.
Annual Salary
This is the default absence daily rate calculation method. If a period daily rate method is enabled at company level, you can't select the Annual Salary method at the pay group or absence rule level.
Daily rate calculation | Description |
Occupational Salary Offset | The occupational salary offset daily rate is calculated by taking the employee’s annual salary, divided by the ‘Days in Year’ set at pay group level. For Example, 30,000 (annual salary) / 260 (pay group work days) = 115.3846 (daily rate). |
Occupational Pay | The occupational pay is calculated by taking the employee’s annual salary, divided the ‘Days in Year’ set at pay group level, multiplied by the employee’s FTE Entitlement multiplier. For Example, (30,000 (annual salary) / 260 (pay group work days)) * 1 (multiplier) = 115.3846 (daily rate) |
📌Note: The ‘Days in Year’ can be overwritten at the Absence Rule level. The Absence Rule can be configured to exclude the employee’s FTE from the absence daily rate calculation.
Period Salary – Calendar Days
For UK customers, the Calendar Days option is not recommended for sick pay absence rules.
When configuring occupational sick pay, we advise you to maintain consistency with Statutory Sick Pay. For example, where SSP is configured to pay based on the employee’s CoreTime Work Pattern, Occupational Sick pay should be configured to pay based on the employee’s WFM work days.
🤓Tip: Statutory Sick Pay (SSP) payment days are set at system level, based on the following:
Workforce Management work pattern.
Fixed qualifying days.
To do this, follow the steps below.
Click Settings then click General.
Configuring occupational sick pay to pay based on calendar days will cause SSP to calculate incorrectly where an inconsistency exists, i.e.
The employees are not on a seven day WFM work pattern.
The fixed qualifying days are not set to a seven day week.
Daily rate calculation | Description |
Occupational Salary Offset | The occupational salary offset is calculated by taking the employee’s period salary divided the calendar days in the period. For example, 2,500 (period salary) / 31 (period calendar days) = 80.6452 (daily rate) |
Occupational Pay | The occupational pay is calculated taking the employee’s period salary divided the calendar days in the period, multiplied by the employee’s FTE Entitlement multiplier. For example, (2,500 (period salary) / 31 (period calendar days)) * 1 (multiplier) = 80.6452 (daily rate). |
Period Salary – Monday to Friday
For the Period Salary - Monday to Friday option, take note of the following:
Daily rate calculation | Description |
Occupational Salary Offset | The occupational salary offset is calculated by taking the employee’s period salary and dividing it by Monday to Friday days in the period. For example, 2,500 (period salary) / 21 (period Mon to Fri days) = 119.0476 (daily rate). |
Occupational Pay | The occupational pay is calculated by taking the employee’s period salary and dividing it by the Monday to Friday days in the period, multiplied by the employee’s FTE Entitlement multiplier. For example, (2,500 (period salary) / 21 (period calendar days)) * 1 (multiplier) = 119.0476 (daily rate). |
Period Salary – WFM Work Days
For the Period Salary - WFM Work Days option, take note of the following:
Daily rate calculation | Description |
Occupational Salary Offset | The occupational salary offset is calculated by taking the employee’s period salary and dividing it by the WFM work days in the period. For example, 2,500 (period salary) / 19 (period WFM work days) = 119.0476 (daily rate). |
Occupational Pay | The occupational pay is calculated by taking the employee’s period salary and dividing it by the WFM work days in the period, multiplied by the employee’s FTE Entitlement multiplier. For example, (2,500 (period salary) / 21 (period WFM work days)) * 1 (multiplier) = 119.0476 (daily rate). |
📌Note: Whether public holidays are counted depends on the following Absence Rule configuration:
Pay Absence on Public Holiday
Treat Public Holiday as Normal Day
A day is counted as a part day if the work pattern is set up as a part day. For example, check the following in Back Office.
Click CoreTime BO then click System params.
Click Work Pattern then click Misc Options 1.
Click Half Day value.
For more information, check the Absence Pay Enhancement User Guide.