Multiple Pay Rates

When managing multiple pay rates, the configuration you choose depends on whether the pay rates are consistent across a group of employees or are different for each individual. Below are example use cases for various scenarios:

 

1. Pay Formula Policies Only

Use case:

Apply when all employees receive the same pay rate for a specific rule or policy.

Key Benefits:

  • Simplifies setup by applying a single formula across multiple employees.

  • Minimized data entry and maintenance.

Example scenario:

All employees receive an additional $1/hour for working an evening shift.

Configuration Steps:

 

2. Secondary Wage Groups with Pay Formula Policies

Use case:

Use when individual employees receive different pay rates for the same policy.

Advantages:

  • Enables precise control over individual pay rates.

  • Supports complex and customized compensation structures.

Trade-off:

Requires separate wage entries for each employee, increasing administrative overhead.

Example scenario:

Evening shift premiums vary by employee:

  • Employee A receives an additional $1/hour for working an evening shift.

  • Employee B receives an additional $1.50/hour for working an evening shift.

  • Employee C receives an additional $2/hour for working an evening shift.

Configuration Steps:

  • Setup a Secondary Wage Group for the Evening Premium.

  • Create a Pay Formula Policy for the Evening Premium .

  • Link the Pay Formula Policy to the corresponding Secondary Wage Group.

  • Create wage records for each employee that use the Evening Premium secondary wage group with their specific premium rate.

 

3. Managing Multiple Job Roles using Secondary Wage Groups and Pay Formula Policies

Use case:

Applicable when an employee perform multiple roles across branches, departments, job groups, task groups or punch tag groups each with a distinct pay rate.

Key Benefits:

While this setup requires initial wage configuration for each role it improves efficiency when on-boarding new employees with similar multi-role configurations.

Example Scenario:

An employee alternates between roles in the Restaurant Kitchen and Events & Catering departments, earning $30/hour and $25/hour respectively.

Configuration Steps:

  • Create separate Secondary Wage Groups to reflect role-specific wage rates.

    • Wage Group - Restaurant Kitchen Department.

    • Wage Group - Events & Catering Department .

  • Create Pay Formula Policies for each department such as:

    • Regular Time - Restaurant Kitchen Department.

    • Regular Time - Events & Catering Department.

    • Link each Pay Formula Policy to its corresponding Secondary Wage Group.

  • Link each policy to its respective Pay Formula Policy:

    • Regular Time - Restaurant Kitchen Department linked to Regular Time - Restaurant Kitchen Department Pay Formula Policy.

    • Regular Time - Events & Catering Department linked to Regular Time - Events & Catering Department Pay Formula Policy.

  • Set Up Regular Time Policies with the appropriate differential criteria to restrict the specific departments:

    • Regular Time - Restaurant Kitchen Department.

    • Regular Time - Events & Catering Department.