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Administrator Guide
Last Updated: 2025-05-30
FAQ: Fixed-Term Contracts (FRA)

FAQ: Fixed-Term Contracts (FRA)

How can I modify worker eligibility for termination allowances for fixed-term contracts?
Workday delivers the
IND Fixed Term Contract Allowance [FRA]
earning for legal termination allowances for fixed-term contracts. The
IND Fixed Term Contract Allowance [FRA]
earning has eligibility criteria that identify workers who are typically eligible for termination allowances for fixed-term contract. You can prevent this earning from resolving for a worker who meets the delivered eligibility criteria. Add a calculation with a nonzero result to the
FRA Prevents the End of Fixed Term Contract Allowance Payment
pay component group.
How can I modify the gross wages used to calculate termination allowances for fixed-term contracts?
Workday uses the
FRA Gross
pay accumulation to calculate the
IND Fixed Term Contract Allowance [FRA]
earning. To add or exclude pay components from the gross wages for the termination allowance, add the pay component to one of these pay component groups:
  • FRA Adds to FRA Fixed-Term Allowance Base
    .
  • FRA Subtracts from FRA Fixed-Term Allowance Base
    .
Can I exclude workers from the training tax deduction for fixed-term contracts?
Yes. Workday delivers the
URS Professional Training on Fixed Term Contracts - ER [FRA]
deduction for workers with fixed-term contracts. This deduction has eligibility criteria that identify workers who are typically eligible for the training tax calculation. You can exclude workers who met the eligibility criteria from the training tax calculation. Add a calculation with a nonzero result for the worker to the
FRA Prevents the Training Contribution on Fixed Term Contracts Calculation [FRA]
pay component group.