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Administrator Guide
Last Updated: 2023-06-23
Concept: Pay for Workers on Leave

Concept: Pay for Workers on Leave

When the run category of a pay group includes conditions for paying workers on leave, Workday applies these rules.

Workers with Single Job on Leave

For Payroll for Canada, France, the UK, and the U.S, when a worker is on a leave of absence for part of a period, and paid while on leave, Workday automatically prorates earnings during the on-cycle payroll. The leave type must be configured with
Payroll Effect
 selected.
To set up reduced pay for workers on leave, configure the base pay component for workers on leave to pay a reduced amount. You can view the base pay component for workers on leave on the
Nonactive (On Cycle, On Demand Replacement)
 tab of the run category.
Example: Worker on Leave for Partial Period
The current monthly pay period is 2012-01-01 to 2012-01-31. Using Payroll for Canada or the U.S., Sam is placed on short-term disability, or using Payroll for France of the UK, Sam is placed on short-term sickness. He receives 80% of his pay during his leave. For the January pay period, Workday calculates gross-to-net amounts for these subperiods:
  • 2012-01-01 to 2012-01-03 (100% of pay)
  • 2012-01-04 – 2012-01-24 (80% of pay)
  • 2012-01-25 – 2012-01-31 (100% of pay)

Workers with Multiple Jobs on Leave

For Payroll for Canada and the U.S., Workday considers the type of leave when determining which pay components to process for workers with a status of
On Leave
.
Type of Leave
Pay Components Processed
Both position-based and worker-based
Workday considers the union of both leave types when determining which pay components to process.
Position-based
The leave type for the primary job applies when processing worker-based pay components.
Workday processes worker-based pay components according to the worker status. If the worker has multiple jobs, the status of the primary position prevails.
Example: Worker on Both Position-Based Leave and Worker-Based Leave
Charles has 2 jobs and is on these leave types for the entire month of April:
  • Worker-based leave type A
  • Position-based leave type B (for primary job of carpenter)
  • Position-based leave type C (for additional job of painter)
Your run category specifies that on-cycle payrolls are to calculate:
Leave Type
Calculations
Leave Type A
Retirement and Retirement Employer Match Contributions
Leave Type B
Non-active Leave Pay
Leave Type C
Medical Deductions
For the April pay period, Charles' status for payroll processing is
On Leave
 because he was on a leave of absence on the period start and end dates.
Workday processes these calculations for his jobs:
Job
Calculations
Carpenter
Retirement and Retirement Employer Match
Non-active Leave Pay
Painter
Retirement and Retirement Employer Match
Medical Deductions
Assuming that Retirement and Retirement Employer Match are worker-based pay components, Workday resolves them only once.
Example: Worker on Position-Based Leave Only
Charles has 2 jobs and is on these leave types for the entire month of April:
  • Position-based leave type A (for primary job of carpenter)
  • Position-based leave type B (for additional job of painter)
Workday calculates:
Job
Calculations
Carpenter
Non-active Leave Pay
Painter
Medical Deductions