Concept: Retro Leave of Absence
Workday processes retroactive leaves of absence for:
- Leave types that havePayroll Effectselected on theCreate Leave Typetask.
- Run categories that haveOn Leavestatuses set on these tabs of theCreate Run Categorytask:
- General
- Nonactive (On Cycle, On Demand Replacement)
Workday uses the pay components, pay component groups, and leave types that you select on the run category.
When you run the retro pay calculation, it creates subperiods to accommodate the leave and calculates the differences from the original pay results.
Missing Prior Periods
Workday supports retroactive leave of absence changes for periods with no on-cycle results between the leave period and the current period. The retro pay calculation creates a zero pay result for the missing periods, including periods with on-demand additional payments. The zero pay result is created after the payroll has a status of
Complete
, so it doesn't affect accounting.You can't reverse a zero pay result created by retro leave of absence, but you can remove it. To remove the zero result, cancel the retro result that contains the retro leave event.
Proration Method Changes (CAN, FRA, IRL, UK, USA)
When changing the proration method of a pay component from gross-to-net to pay component proration, do so for all of their effective-dated definitions. This practice prevents unexpected results in the prior period that retro recalculates.
Examples
Mary receives base wages of 10,000 for March 1 through 31. On March 11, Mary left work quickly for a family medical emergency. She didn't have time to fill out the leave request and stayed out of work for a week. In April, she submitted a family medical leave request for March 11 through 18.
The company family medical leave plan pays 66% of her regular salary. You configured
Family Medical Leave
to have payroll effect. Mary belongs to a run category that includes the Benefits During Leave
pay component group. In this example, you configure base wages to prorate by calendar days.- Retro Results With Prior Period Pay Results
- When you run the retro pay calculation, the results include a subperiod for the leave.Pay PeriodBase WagesMarch 1 - 31 pay period.(10,000)March 1 - 10 subperiod.10,000 / 31 * 10 = 3,225.80March 11 - 18 leave subperiod.10,000 / 31 * 0.66 * 8 = 1,703.23March 19 - 31 subperiod.10,000 / 31 * 13 = 4,193.55Retro pay adjustment in April.(877.42)
- Retro Results Without Prior Period Pay Results
- If Mary didn't enter any hours for March, her pay period would be missing. Workday creates a zero paid period in order to process the leave of absence. Workday then creates 3 subperiods and adjusts the leave pay retroactively, carrying it forward to April. The pay result displays the payments carried forward to the current period, including payment for the family medical leave.Pay PeriodBase WagesMarch 1 - 31 pay period.No original result. Workday creates a zero result.March 1 - 10 subperiod.10,000 / 31 * 10 = 3,225.80March 11 - 18 family leave subperiod.10,000 / 31 * 0.66 * 8 = 1,703.23March 19 - 31 subperiod.10,000 / 31 * 13 = 4,193.55Retro pay adjustment in April.9,122.58