Description
HRM Study on Compensation and Benefits Management
Oracle® Human Resources Management Systems
Compensation and Benefits Management Guide (India)
Release 12.1
Part No. E13564-04
July 2010
Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India),
Release 12.1
Part No. E13564-04
Copyright © 2005, 2010, Oracle and/or its affiliates. All rights reserved.
Primary Author: Swathi Mathur
Contributing Author: Sriram Krishnamurthy
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iii
Contents
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Preface
1 General Compensation Structures
General Compensation Structures Overview........................................................................... 1-1
General Compensation Structures............................................................................................ 1-4
Elements.................................................................................................................................... 1-8
Elements: Building Blocks of Pay and Benefits.................................................................... 1-8
Input Values: Flexible Description of Compensation......................................................... 1-11
Rules for Allocating Compensation................................................................................... 1-11
Compensation Entry: Making It Fast and Reliable.............................................................1-13
Element Classifications and Processing Sequence............................................................. 1-17
Survey of the Classifications ............................................................................................. 1-19
Predefined Elements.......................................................................................................... 1-22
Compensation Policy Changes.......................................................................................... 1-28
Setting Up Total Compensation Elements......................................................................... 1-30
Defining an Element.......................................................................................................... 1-31
Defining an Element's Input Values................................................................................... 1-39
Defining and Linking an Element for Standard and Advanced Benefits........................... 1-41
Deleting an Element........................................................................................................... 1-43
Defining Element Links..................................................................................................... 1-44
Generating Element Links.................................................................................................. 1-47
Running the Element Link Details Report......................................................................... 1-47
Defining an Element or Distribution Set............................................................................ 1-49
Compensation Entry and Reporting....................................................................................... 1-51
Compensation Entry.......................................................................................................... 1-51
iv
Compensation Reporting................................................................................................... 1-52
HR or Payroll Extracts....................................................................................................... 1-53
Making Manual Element Entries....................................................................................... 1-57
Adjusting a Pay Value....................................................................................................... 1-60
Deleting Element Entries................................................................................................... 1-61
Listing Employees by Element........................................................................................... 1-62
Viewing Element Entry History......................................................................................... 1-63
Configuring the HR or Payroll Extracts............................................................................. 1-63
Running the HR or Payroll Extracts................................................................................... 1-66
Compensation Objects............................................................................................................ 1-69
Plan Design........................................................................................................................ 1-69
Reimbursement Plans.................................................................................................. 1-76
Plan Design Copy.............................................................................................................. 1-76
Special Requirements for Plan Design............................................................................... 1-81
Reporting Groups.............................................................................................................. 1-83
Defining a Benefits Program.............................................................................................. 1-84
Associating Plans and Plan Types with a Program............................................................ 1-86
Defining Waive Reasons for Plan Types in a Program(Advanced Benefits)..................... 1-88
Defining Participation Eligibility Criteria for a Compensation Object...............................1-89
Associating a Life Event Reason with a Compensation Object (Advanced Benefits)......... 1-91
Associating an Organization with a Benefits Program...................................................... 1-93
Associating Reporting Groups with a Program................................................................. 1-94
Associating Programor Plan Year Periods with a Program.............................................. 1-94
Defining Plan Types........................................................................................................... 1-95
Setting Up Spending Account Plans for Forfeitures (Advanced Benefits)......................... 1-96
Defining a Benefits Plan..................................................................................................... 1-97
Defining Eligibility and Activity Rate Requirements for a Plan.......................................1-100
Defining Plan Restrictions................................................................................................ 1-101
Defining a MaximumWaiting Period Requirement for a Plan........................................ 1-102
Defining a Plan Not in Program.......................................................................................1-103
Associating Options with a Plan...................................................................................... 1-104
Maintaining Plan Related Details..................................................................................... 1-106
Defining Combinations of Plans and Plan Types............................................................. 1-109
Defining Waive Reasons for a Plan (Advanced Benefits).................................................1-109
Maintaining Primary Care Providers for a Plan...............................................................1-110
Defining Options............................................................................................................. 1-113
Navigating the ProgramStructure Hierarchy.................................................................. 1-114
Defining a Programor Plan Year Period.......................................................................... 1-115
Defining a Reimbursement Plan (Advanced Benefits)..................................................... 1-116
Defining Reimbursable Goods and Service Types........................................................... 1-119
Copying a Programor Plan............................................................................................. 1-119
v
Exporting a Plan Design to a File..................................................................................... 1-123
Importing a Plan Design Froma File............................................................................... 1-123
Purging Plan Design Copy Data...................................................................................... 1-124
Defining a Reporting Group............................................................................................ 1-125
Defining Regulatory Bodies for a Plan............................................................................. 1-126
Defining Regulations for a Plan....................................................................................... 1-127
Benefits Eligibility................................................................................................................ 1-128
Eligibility Requirements for Total Compensation............................................................ 1-128
Waiting Periods............................................................................................................... 1-131
Continuing Eligibility: Benefits Assignments.................................................................. 1-133
Eligibility Profile Criteria................................................................................................. 1-135
User-defined Eligibility Criteria....................................................................................... 1-138
Derived Factors................................................................................................................ 1-139
Defining an Eligibility Profile.......................................................................................... 1-141
Defining Your Own Eligibility Criteria............................................................................ 1-143
Defining Derived Factors: Compensation Level.............................................................. 1-145
Defining Derived Factors: Percent of Full Time Employment......................................... 1-146
Defining Derived Factors: Hours Worked In Period........................................................1-147
Defining Derived Factors: Age......................................................................................... 1-148
Defining Derived Factors: Length of Service................................................................... 1-149
Defining Derived Factors: Combination Age and Length of Service............................... 1-151
Defining a Dependent Coverage Eligibility Profile.......................................................... 1-151
Defining Benefits Groups................................................................................................. 1-152
Defining Regulations....................................................................................................... 1-153
Defining Postal Zip Ranges.............................................................................................. 1-153
Defining Service Areas..................................................................................................... 1-154
2 Salary and Grade Related Pay and Progression
Salary, Grades, and Pay Administration Overview................................................................. 2-1
Salary, Grades, and Pay Administration.................................................................................. 2-4
Salary Administration Setup.................................................................................................... 2-7
Salary Earnings Elements..................................................................................................... 2-7
Salary Basis.......................................................................................................................... 2-7
Salary Components.............................................................................................................. 2-8
Setting Up Salary Administration........................................................................................ 2-9
Creating a Salary Element.................................................................................................. 2-10
Linking the Salary Element................................................................................................ 2-12
Validating Salary Entries................................................................................................... 2-12
Creating Salary Components............................................................................................. 2-13
Defining a Salary Basis ...................................................................................................... 2-14
vi
Salary Administration............................................................................................................. 2-16
Starting Salary and Salary Proposals................................................................................. 2-16
Salary Spreadsheets........................................................................................................... 2-17
Using the Salary Management Folder................................................................................ 2-18
Reviewing Current Salaries............................................................................................... 2-21
Viewing Salary History...................................................................................................... 2-22
Running the Salary Review Report.................................................................................... 2-23
Compensation Surveys............................................................................................................ 2-24
Compensation Survey Identifiers...................................................................................... 2-24
Entering Compensation Surveys........................................................................................ 2-25
Mapping Compensation Survey Lines............................................................................... 2-27
Grades and Pay Setup............................................................................................................. 2-29
Grades and Grade Structures............................................................................................. 2-29
Recognizing Your Grade Implementation Model.............................................................. 2-30
Implementing Grade Related Pay...................................................................................... 2-34
Grade Rates to Relate Pay to Grades.................................................................................. 2-35
Pay Scales to Relate Pay to Grades..................................................................................... 2-37
Grade/Step Progression..................................................................................................... 2-39
Setting Up a Grade Ladder................................................................................................ 2-44
Defining a Grade................................................................................................................ 2-48
Deleting Grades................................................................................................................. 2-49
Defining a Grade Rate........................................................................................................ 2-49
Defining a Pay Scale........................................................................................................... 2-50
Defining Scale Rates........................................................................................................... 2-51
Relating Grades to Progression Points............................................................................... 2-51
Grades and Pay Administration.............................................................................................. 2-53
Grades and Pay Administration........................................................................................ 2-53
Increment Progression Points Process............................................................................... 2-58
Placing an Employee on a Grade Step............................................................................... 2-59
Viewing Grade Comparatios............................................................................................. 2-60
Running the Batch Enrollment - Grade/Step Progression Process..................................... 2-61
Running the Participation Process: Grade Step..................................................................2-62
Running the Rank Employees for Grade/Step Progression Process................................... 2-63
Approving and Rejecting Grade/Step Progression (Manual)............................................. 2-64
Process Employees Progressed Manually.......................................................................... 2-65
Running the Recalculate Participant Values: Grade/Step Progression process ................. 2-66
Running the Purge GSP Transactions in Staging Table Process.........................................2-68
Incrementing Grade Step Placements (Without Using Grade Ladders).............................2-69
Running the Current and Projected Progression Point Values Report ..............................2-71
Running the Employee Increment Results Report ............................................................ 2-73
Criteria-Based Rates................................................................................................................ 2-74
vii
Criteria-Based Rates for Variable Pay................................................................................ 2-74
Setting Up a Rate Matrix.................................................................................................... 2-76
Workforce Intelligence Key Concepts for Salary, Grades, and Pay Administration............ 2-78
Key Concepts for Salary, Grades, and Pay Administration Intelligence............................ 2-78
Workforce Intelligence for Salary, Grades, and Pay Administration.................................... 2-80
Employee Primary Assignment with Salary and Grade Rate Detail Workbook................ 2-80
Employee Primary Assignment with Salary Detail Workbook.......................................... 2-82
Employee Salary Change Detail Workbook....................................................................... 2-84
Employee Salary Change Workbook................................................................................. 2-86
Employee with Tenure Detail Workbook.......................................................................... 2-89
3 Compensation and Awards Management
Compensation and Awards Management Overview............................................................... 3-1
Compensation Awards Management: Requirements.............................................................. 3-3
Compensation Workbench License.......................................................................................... 3-8
Compensation Workbench License...................................................................................... 3-8
Compensation Workbench........................................................................................................ 3-9
Compensation Workbench Overview.................................................................................. 3-9
Key Decision Areas in Compensation Workbench............................................................ 3-11
Compensation Workbench Components........................................................................... 3-13
Compensation Plan Design..................................................................................................... 3-19
Plan Design for Compensation Workbench....................................................................... 3-19
Budgeting in Compensation Workbench........................................................................... 3-22
Promotion and Rating in Compensation Workbench........................................................ 3-23
Standard Rates for Compensation Workbench.................................................................. 3-24
Setting Up a Basic Plan...................................................................................................... 3-31
Setting Up a Component Plan............................................................................................ 3-36
Setting Up a Combination Plan.......................................................................................... 3-42
Setting Up Compensation Workbench Plans..................................................................... 3-49
Defining a Compensation Workbench Plan....................................................................... 3-54
Defining Enrollment Requirements for Compensation Workbench Plans.........................3-57
Controlling Access, Eligibility, and Award Amounts............................................................ 3-63
Hierarchies for Award Allocations and Approvals........................................................... 3-63
Access Levels in Compensation Workbench...................................................................... 3-64
Switch Manager................................................................................................................. 3-65
Approval Modes................................................................................................................ 3-65
Eligibility, Award Limits and Targets................................................................................ 3-66
Defining Responsibility Based Access to Plans.................................................................. 3-66
Worksheet and Budget Sheet Configuration.......................................................................... 3-68
Configure Worksheet and Budget Sheets.......................................................................... 3-68
viii
Personalize By Plan............................................................................................................ 3-74
Viewing Appraisal Details in Compensation Workbench................................................. 3-75
Configuring Descriptive Flexfields Within Compensation Workbench.............................3-76
Configuring Dynamic Columns Within Compensation Workbench................................. 3-78
Configuring CustomColumns Within Compensation Workbench................................... 3-80
Configuring Employee Statements For Use by Managers Within Compensation Workbench
........................................................................................................................................... 3-81
Capturing Grant Price With a Stock Option Element Entry............................................... 3-83
Reports and Notifications....................................................................................................... 3-85
Reports in Compensation Workbench............................................................................... 3-85
Notifications in Compensation Workbench....................................................................... 3-88
Compensation Detail Report.............................................................................................. 3-89
Combined Plan ViewReport............................................................................................. 3-90
Employee Stock Option History Report............................................................................. 3-91
Flexible Summary Report.................................................................................................. 3-91
Administration Progress Report........................................................................................ 3-92
Employee Compensation History Report.......................................................................... 3-93
Audit History Report......................................................................................................... 3-94
Manager Feedback Report................................................................................................. 3-94
Salary Statistics Report....................................................................................................... 3-95
Post Process Run Reports................................................................................................... 3-96
Plan Administration................................................................................................................ 3-98
Maintain Compensation Workbench Plans Mid-Cycle ..................................................... 3-98
Steps to Administer Compensation Workbench Plans.................................................... 3-101
Opening a Compensation Workbench Award Cycle....................................................... 3-103
Publishing a Budget......................................................................................................... 3-104
Backing out a Compensation Workbench Plan................................................................ 3-105
Adding an Individual into a Started Compensation Workbench Cycle...........................3-106
Writing Allocated Amounts fromthe Compensation Workbench Cycle......................... 3-107
Refreshing Compensation Workbench Data.................................................................... 3-109
Creating Mass Notifications for Compensation Workbench............................................3-111
Closing a Compensation Workbench Award Cycle......................................................... 3-112
Individual Compensation Distribution................................................................................ 3-115
Self-Service Individual Compensation Distribution........................................................ 3-115
Individual Compensation Distributions (SSHR Components)........................................ 3-116
Setting Up Individual Compensation Distributions for Employees and iRecruitment
Applicants........................................................................................................................ 3-117
Using Individual Compensation Distributions: Line Managers, Employees and HR
Professionals.......................................................................................................................... 3-129
Overview: Individual Compensation Distributions for Line Managers, Employees, and HR
Professionals.................................................................................................................... 3-129
ix
Line Managers and Employees........................................................................................ 3-132
Manager and Employee Self Service Interface................................................................. 3-133
Administrators and HR Professionals..............................................................................3-134
Employee Administration Interface................................................................................. 3-135
Configure Plans, Manage Eligibility, Transactions, and Action Items............................. 3-136
Plan Administration using Quick Setup.......................................................................... 3-136
Managing Adhoc variable Compensation, Payroll Deductions, Event Registrations, and
Non-Payroll related Information..................................................................................... 3-137
Awarding Adhoc Variable Compensation: Example....................................................... 3-137
Compensation History.......................................................................................................... 3-139
Compensation History..................................................................................................... 3-139
Compensation History Views.......................................................................................... 3-140
Compensation History Menu and Function Names........................................................ 3-144
Setting Up Compensation History................................................................................... 3-146
Setting Up Compensation History for ICD Plans............................................................ 3-146
Setting Up Compensation History for Entries Created fromElement Entries................. 3-146
Personalizing Sub-tabs for Compensation History ......................................................... 3-148
Total Compensation Statement............................................................................................. 3-150
Total Compensation Statement Overview....................................................................... 3-150
Key Decision Areas in Total Compensation Statement.................................................... 3-151
Total Compensation Statement (SSHR Components)...................................................... 3-153
Setting Up Total Compensation Statement...................................................................... 3-154
Processing and Reporting for Total Compensation Statements....................................... 3-159
Generating Employee Statements.................................................................................... 3-160
Print Employee Statements Process................................................................................. 3-161
Purging Employee Statements......................................................................................... 3-162
Reopening Welcome Pages.............................................................................................. 3-163
Total Compensation Statements Batch Process Run Reports........................................... 3-164
Vehicle and Mileage Processing........................................................................................... 3-166
Vehicle Repository........................................................................................................... 3-166
Vehicle Repository Menu and Function Names...............................................................3-167
Configuration Settings for Vehicle Repository and Mileage Claims................................ 3-168
4 Leave and Absence Management
Leave and Absence Management Overview............................................................................ 4-1
Leave and Absence Management.............................................................................................. 4-3
Absence Management Setup..................................................................................................... 4-6
Absence Categories and Types............................................................................................ 4-6
Absence Elements................................................................................................................ 4-8
Setting Up Absence Management...................................................................................... 4-11
x
Defining and Linking an Absence Element ....................................................................... 4-13
Defining an Absence Type................................................................................................. 4-15
Setting Up an Absence Benefit Plan................................................................................... 4-16
PTO Accruals Setup................................................................................................................ 4-24
Accrual Plan Structure....................................................................................................... 4-24
Accrual Elements............................................................................................................... 4-26
Accrual Formulas............................................................................................................... 4-28
Accrual Balances Maintained By the Payroll Run.............................................................. 4-29
Net Accrual Calculation..................................................................................................... 4-32
Seeded Accrual Type Formulas......................................................................................... 4-33
Accrual Start Date for NewHires...................................................................................... 4-40
Accrual Bands.................................................................................................................... 4-42
PTO Carry Over Process.................................................................................................... 4-43
Accrual Plan Example........................................................................................................ 4-45
Setting Up PTO Accrual Plans........................................................................................... 4-46
Defining a PTO Accrual Plan ............................................................................................ 4-49
Setting Up Length of Service Bands................................................................................... 4-51
Changing Net Accrual Calculations................................................................................... 4-52
Costing Liability For PTO Accruals................................................................................... 4-53
Absence and Accrual Plan Administration............................................................................ 4-55
Absence Recording............................................................................................................ 4-55
Accrual Plan Administration............................................................................................. 4-57
Entering Absences.............................................................................................................. 4-59
Enrolling Employees in PTO Accrual Plans....................................................................... 4-63
Running the Participation Process: Absence...................................................................... 4-64
Running the PTO Carry Over Process............................................................................... 4-65
Reviewing Employees' PTO Accruals ............................................................................... 4-67
Viewing Absence History.................................................................................................. 4-68
Listing Employees by Absence Type................................................................................. 4-68
Running the Absences Report ........................................................................................... 4-68
Resetting a Stored Accrual Balance.................................................................................... 4-69
Accrual Balances Maintained by SSHR ................................................................................. 4-71
Accrual Balances Maintained by SSHR : Overview........................................................... 4-71
Workforce Intelligence Key Concepts for Leave and Absence Management .......................4-73
Workforce Intelligence Key Concepts for Leave and Absence Management..................... 4-73
Workforce Intelligence for Leave and Absence Management .............................................. 4-75
Employee on Leave Detail Workbook................................................................................4-75
5 Setup for Health and Welfare Management
Setup for Health and Welfare Management Overview............................................................ 5-1
xi
Advanced Benefits Setup: Overview.................................................................................. 5-3
Standard and Advanced Benefits Implementation.................................................................. 5-6
Self-Service Benefits Enrollments............................................................................................ 5-9
Self-Service Benefits Enrollments......................................................................................... 5-9
Benefits Enrollments.......................................................................................................... 5-17
Setting Up Self-Service Benefits Enrollments..................................................................... 5-35
Setting Up Flexible Spending Accounts............................................................................. 5-37
Enabling Self-Service Benefits Enrollment Notifications....................................................5-38
Setting Up User Access to Self-Service Benefits................................................................. 5-38
Setting the Effective Date of a Scheduled Enrollment in Self-Service Benefits................... 5-41
Configuring Unrestricted ProgramEnrollment Processing............................................... 5-43
Defining Self-Service Instruction Text................................................................................5-45
Configuring the Primary Care Provider Search Facility.................................................... 5-46
Generating Self-Service Benefits Trace Files...................................................................... 5-50
Life Events............................................................................................................................... 5-52
Life Event Reasons............................................................................................................. 5-52
Collapsing Life Events (Advanced Benefits)...................................................................... 5-57
Seeded Life Event Reasons................................................................................................. 5-58
Life Event Definition (Advanced Benefits)........................................................................ 5-61
Defining General Characteristics of Life Event Reasons.................................................... 5-62
Defining Person Changes .................................................................................................. 5-65
Associating a Person Change with a Life Event ................................................................ 5-67
Defining a Collapsing Life Event (Advanced Benefits)...................................................... 5-68
Benefit Enrollment Requirements.......................................................................................... 5-69
Enrollment Requirements.................................................................................................. 5-69
Enrollment Types............................................................................................................... 5-73
Enrollment Codes.............................................................................................................. 5-75
Enrollment Period Determination for Life Events............................................................. 5-77
Reinstatement of Elections for Reprocessed Life Events.................................................... 5-79
Dependent Coverage and Beneficiary Designation Requirements.................................... 5-79
Defining Enrollment Methods for a Program.................................................................... 5-80
Defining Coverage Requirements for a Program............................................................... 5-81
Defining an Action ItemDue Date (Advanced Benefits)................................................... 5-82
Defining Activity Rate Enrollment Requirements for a Program...................................... 5-82
Defining Enrollment Requirements for Plan Types in a Program......................................5-83
Defining Enrollment Limitations for Plan Types in a Program..........................................5-84
Defining Enrollment Requirements for a Plan in a Program............................................. 5-85
Defining Coverage Requirements for a Plan in a Program................................................ 5-86
Defining Coverage Start and End Dates for a Plan Type in a Program..............................5-86
Defining Activity Rate Start and End Dates for a Plan in a Program................................. 5-87
Defining Activity Rate Start and End Dates for a Plan Type in a Program........................ 5-87
xii
Defining a Scheduled Enrollment for a Program............................................................... 5-88
Defining Requirements for a Life Event Enrollment for a Program(Advanced Benefits)
........................................................................................................................................... 5-90
Defining Enrollment Periods for Life Event Enrollments for a Program(Advanced Benefits)
........................................................................................................................................... 5-91
Defining Coverage and Activity Rate Periods for a Plan in a Program..............................5-92
Associating an Enrollment Rule with a Program............................................................... 5-93
Defining Life Event Enrollment Requirements.................................................................. 5-93
Defining Dependent Coverage Enrollment Requirements for a Programor a Plan Type in
Program............................................................................................................................. 5-95
Defining Dependent Coverage Certifications for a Program............................................. 5-96
Defining Dependent Coverage Eligibility Profiles for a Program...................................... 5-97
Defining Dependent Coverage Eligibility Profiles for a Plan Type in a Program.............. 5-97
Defining Dependent Coverage Change of Life Event Enrollment Requirements.............. 5-98
Defining Dependent Coverage Certifications for Change of Life Event Enrollment
Requirements..................................................................................................................... 5-99
Defining an Enrollment Method for a Plan........................................................................ 5-99
Defining Enrollment Coverage Requirements for a Plan................................................. 5-101
Defining Activity Rates Requirements for a Plan.............................................................5-104
Defining Enrollment Limitations for a Plan..................................................................... 5-104
Defining Designation Enrollment Requirements for a Plan or Option in Plan................ 5-105
Defining Enrollment Requirements for Not in ProgramPlans........................................ 5-106
Defining Enrollment Requirements for Options in a Plan............................................... 5-106
Defining Enrollment Limitations for an Option in a Plan................................................ 5-108
Defining a Scheduled Enrollment for a Plan.................................................................... 5-108
Associating Enrollment Rules with a Plan....................................................................... 5-110
Defining Requirements for a Life Event Enrollment for a Plan (Advanced Benefits)...... 5-111
Defining a Life Event Enrollment Period for a Plan (Advanced Benefits)....................... 5-112
Defining Life Event Enrollment Certifications for a Plan or Option in Plan (Advanced
Benefits)........................................................................................................................... 5-113
Defining Life Event Enrollment Requirements for a Not in ProgramPlan...................... 5-114
Defining Life Event Enrollment Requirements for an Option in a Plan........................... 5-115
Defining Dependent Coverage Requirements for a Plan................................................. 5-116
Defining Dependent Coverage Eligibility Profiles for a Plan........................................... 5-118
Defining Dependent Coverage Change of Life Event Enrollment Requirements for a Plan
......................................................................................................................................... 5-118
Defining Certifications for Enrollment in a Plan.............................................................. 5-119
Defining Beneficiary Designation Requirements for a Plan............................................. 5-120
Activity Rates and Coverage Calculations............................................................................ 5-123
Activity Rates................................................................................................................... 5-123
Coverage Calculations............................................................................................... 5-128
InterimCoverage (Advanced Benefits)..................................................................... 5-129
xiii
Unsuspended Enrollments (Advanced Benefits)....................................................... 5-131
Imputed Income Calculations (US only)................................................................... 5-132
Actual PremiumCalculations.................................................................................... 5-132
Period-to-Date Limits................................................................................................ 5-135
Variable Rate Factors....................................................................................................... 5-136
Calculation Methods: Values, Increments, and Operations............................................. 5-139
Activity Rate Calculations................................................................................................ 5-140
Coverage Calculations..................................................................................................... 5-143
Actual PremiumCalculations.......................................................................................... 5-145
Defining Activity Rates for a Standard Contribution/Distribution.................................. 5-146
Defining a Calculation Method for a Standard Contribution or Distribution.................. 5-148
Defining Proration for a Standard Contribution or Distribution Calculation.................. 5-148
Defining Characteristics of Annual Rates........................................................................ 5-150
Defining Processing Information for a Standard Contribution/Distribution................... 5-151
Defining Deduction and Payment Schedules for a Standard Contribution/Distribution
......................................................................................................................................... 5-153
Defining a Non-Oracle Payroll Systemto Process Benefit Earnings and Deductions...... 5-154
Associating a Variable Rate Profile with a Standard Contribution/Distribution Calculation
......................................................................................................................................... 5-154
Defining Matching Rates for a Standard Contribution Calculation................................. 5-155
Associating a Period-to-Date Limit with a Standard Contribution/Distribution Calculation
......................................................................................................................................... 5-156
Defining General Information for a Variable Rate Profile................................................5-156
Defining a Calculation Method for a Variable Rate Profile.............................................. 5-158
Defining the Criteria in a Variable Rate Profile................................................................ 5-158
Defining Matching Rates for a Variable Rate Calculation................................................ 5-160
Defining a Coverage Calculation..................................................................................... 5-161
Defining a Coverage Calculation Method........................................................................ 5-162
Associating a Variable Rate Profile with a Coverage Calculation Method...................... 5-162
Defining a Coverage Limit Across Plan Types.................................................................5-163
Defining an Imputed Income Calculation........................................................................ 5-164
Defining an Actual Premium........................................................................................... 5-166
Defining Period-to-Date Limits........................................................................................ 5-167
Defining a Benefit Balance............................................................................................... 5-168
Flex Credits and Benefit Pools (Advanced Benefits)............................................................ 5-169
Flex Credit Calculations (Advanced Benefits)................................................................. 5-169
Defining Flex Credits (Advanced Benefits)...................................................................... 5-170
Defining Regular Processing for a Flex Credit Activity Rate (Advanced Benefits).......... 5-171
Defining Partial Month Processing for a Flex Credit Activity Rate (Advanced Benefits)
......................................................................................................................................... 5-173
Defining the General Characteristics of a Benefits Pool (Advanced Benefits)..................5-174
Applying a Benefit Pool to a Plan and Option (Advanced Benefits)................................ 5-175
xiv
Defining Rollover Rules for a Benefit Pool (Advanced Benefits)..................................... 5-176
Communications................................................................................................................... 5-178
Communications.............................................................................................................. 5-178
Defining Communication Types...................................................................................... 5-180
Defining When to Use a Benefits Communication........................................................... 5-181
Defining a Communication Trigger................................................................................. 5-182
Defining a Communication Delivery Method..................................................................5-183
Online Benefit Services (Advanced Benefits)...................................................................... 5-184
Online Benefits Administration (Advanced Benefits)...................................................... 5-184
Maintaining Online Activities (Advanced Benefits)........................................................ 5-185
Maintaining Pop Up Messages (Advanced Benefits)....................................................... 5-186
6 Administration for Health and Welfare Management
Administration for Health and Welfare Management Overview............................................ 6-1
Advanced Benefits Administration: Overview.................................................................. 6-3
Standard and Advanced Benefits Administration................................................................... 6-4
Participant Eligibility Management (Standard Benefits)......................................................... 6-7
Maintain Participant Eligibility (Standard Benefits)............................................................ 6-7
Running the Maintain Participant Eligibility Process (Standard Benefits)........................... 6-7
Running the Eligibility and Enrollment List Report............................................................ 6-8
Participation Management (Advanced Benefits)....................................................................6-11
Participation Batch Processes (Advanced Benefits)........................................................... 6-11
Benefits Batch Processes (Advanced Benefits)................................................................... 6-15
Participation Management (Advanced Benefits)............................................................... 6-19
Participation Information (Advanced Benefits)........................................................... 6-19
Life Events and Electable Choices (Advanced Benefits).............................................. 6-20
Manually Created Life Events and Voided Life Events (Advanced Benefits)............. 6-21
What-if Eligibility (Advanced Benefits)....................................................................... 6-21
Runtime Parameters for the Participation Batch Process (Advanced Benefits).................. 6-21
Defining Batch Process Parameters (Advanced Benefits).................................................. 6-24
Running the Participation Batch Process (Advanced Benefits).......................................... 6-24
Monitoring Batch Processes (Advanced Benefits).............................................................. 6-25
Setting Up a Role Based on a Life Event Type................................................................... 6-25
Running the Life Events Summary Report........................................................................ 6-26
Running the Reopen Life Events Process........................................................................... 6-29
Running the Participation Audit Activity Purge Process (Advanced Benefits)................. 6-29
Purging Person Data for Backed-Out and Voided Life Events.......................................... 6-30
Viewing a Person's Participation Information (Advanced Benefits).................................. 6-32
Viewing a Person's Life Event Information........................................................................ 6-32
Viewing Electable Choices for a Person Based on a Life Event (Advanced Benefits).........6-33
xv
Manually Creating a Potential Life Event for a Person (Advanced Benefits)..................... 6-34
Manually Voiding a Potential Life Event for a Person (Advanced Benefits)......................6-35
Re-opening a Processed Life Event for a Person (Advanced Benefits)............................... 6-35
Setting Up What-if Modeling............................................................................................. 6-36
Modeling a Person's Benefits Eligibility (Advanced Benefits)........................................... 6-37
Online Benefits Services (Advanced Benefits)....................................................................... 6-38
Online Benefits Administration (Advanced Benefits)........................................................ 6-38
Processing a Request Using the Benefits Service Center (Advanced Benefits)...................6-39
Enrollment Management......................................................................................................... 6-41
Enrollment Management................................................................................................... 6-41
Enrolling a Person in a Flex Program(Advanced Benefits)............................................... 6-48
Manually Deleting an Enrollment...................................................................................... 6-52
Viewing a Person's Flex Credits (Advanced Benefits)....................................................... 6-53
Allocating Excess Credits for a Person Enrolling in a Flex Program(Advanced Benefits)
........................................................................................................................................... 6-53
Enrolling a Person in a Non-Flex Program........................................................................ 6-54
Enrolling a Person in a Savings Plan.................................................................................. 6-57
Enrolling a Person in a Miscellaneous Plan....................................................................... 6-62
Viewing Special Rates for a Plan or Option....................................................................... 6-65
Maintaining a Participant's Primary Care Provider........................................................... 6-65
Running the iRecruitment Create Enrollment Process....................................................... 6-66
Displaying Enrollment Results.......................................................................................... 6-67
Running the Benefits Enrollment and Confirmation Reports............................................ 6-68
Running the Manage Open Enrollment Window Process................................................. 6-69
Viewing Dependent Information....................................................................................... 6-70
Maintaining Dependent Designations............................................................................... 6-70
Maintaining Beneficiary Designation Information for a Participant.................................. 6-72
Recording Enrollment Actions Items for a Person (Advanced Benefits)............................6-73
Recording Receipt of Enrollment Certifications (Advanced Benefits)............................... 6-75
Overriding Enrollment Results for a Plan (Advanced Benefits)........................................ 6-77
Overriding Participation Information for a Person............................................................ 6-79
Overriding Eligibility Participation Information for a Person........................................... 6-80
Overriding Waive Participation Information for a Person (Advanced Benefits)............... 6-81
Overriding Participation Information for a Person for an Option in a Plan (Advanced
Benefits)............................................................................................................................. 6-82
Managing Eligible Person Waivers (Advanced Benefits)................................................... 6-83
Maintaining Court Orders for a Participant....................................................................... 6-84
Recording a Continuing Benefits Payment........................................................................ 6-85
Recording a Contribution or Distribution.......................................................................... 6-85
Continuing Benefits Eligibility...............................................................................................6-87
Continuing Benefits Eligibility........................................................................................... 6-87
xvi
Maintaining a Benefits Assignment................................................................................... 6-87
Rates, Premiums, Balances, and Reimbursements................................................................. 6-89
Recalculate Participant Values Overview (Standard Benefits)........................................... 6-89
Updating Activity Rates fromYear-to-Year....................................................................... 6-89
Running the Recalculate Participant Values Process (Standard Benefits).......................... 6-90
Running the PremiumReconciliation Report.................................................................... 6-91
Viewing and Adjusting Monthly Premiums for a Plan or Option in Plan......................... 6-93
Viewing and Adjusting Monthly Premiums for a Participant........................................... 6-94
Defining Person Benefit Balances....................................................................................... 6-96
Recording a Reimbursement Request (Advanced Benefits)............................................... 6-96
Running the Process Forfeitures Concurrent Request (Advanced Benefits)...................... 6-99
Communications................................................................................................................... 6-101
Determine Communications Batch Process..................................................................... 6-101
Maintaining Person Communications............................................................................. 6-104
Running the Determine Communications Batch Process................................................. 6-105
Workforce Intelligence for Health and Welfare Administration.........................................6-107
Action Items and Certifications Workbook...................................................................... 6-107
Dependents and Beneficiaries Workbook........................................................................ 6-108
Enrollment Rates and Premiums Workbook....................................................................6-110
Health Cost Report Workbook......................................................................................... 6-111
Life Event Summary Workbook.......................................................................................6-112
Person Life Event Details Workbook............................................................................... 6-113
7 Payroll Earnings and Deductions
Payroll Earnings and Deductions Overview............................................................................ 7-1
Payroll Earnings and Deductions............................................................................................. 7-2
Additional Element Setup for Payroll...................................................................................... 7-6
Formulas and Payroll Run Results ...................................................................................... 7-6
Pay Values........................................................................................................................... 7-7
Predefined RetroPay Elements.............................................................................................7-8
Retropay Component Usages............................................................................................ 7-10
Proration............................................................................................................................ 7-12
Net-to-Gross Processing of Earnings................................................................................. 7-13
Setting Up Total Compensation Elements for Payroll........................................................7-14
Defining Frequency Rules.................................................................................................. 7-18
Defining Formula Processing and Result Rules................................................................. 7-19
Setting Up Elements for Net-to-Gross Processing.............................................................. 7-21
Setting Up Proration or Retro-Notification........................................................................ 7-25
Defining Event Groups...................................................................................................... 7-27
Balances................................................................................................................................... 7-29
xvii
Payroll Balances................................................................................................................. 7-29
Defining Secondary Element Classifications ..................................................................... 7-30
Creating Balance Feeds for Individual Elements............................................................... 7-31
Creating Classes of Balance Feeds..................................................................................... 7-32
Defining User Balances...................................................................................................... 7-32
Running the India Initial Balance Structure Creation process........................................... 7-35
Uploading Initial Balances................................................................................................. 7-36
HRMS Glossary
Index
xix
Send Us Your Comments
Oracle Human Resources Management Systems Compensation and Benefits Management Guide
(India), Release 12.1
Part No. E13564-04
Oracle welcomes customers' comments and suggestions on the quality and usefulness of this document.
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xxi
Preface
Intended Audience
Welcome to Release 12.1 of the Oracle Human Resources Management Systems
Compensation and Benefits Management Guide (India).
This guide assumes you have a working knowledge of the following:
• The principles and customary practices of your business area.
• Oracle HRMS.
If you have never used Oracle HRMS, Oracle suggests you attend one or more of
the Oracle HRMS training classes available through Oracle University
• Oracle Self-Service Web Applications.
• The Oracle Applications graphical user interface.
To learn more about the Oracle Applications graphical user interface, read the
Oracle E-Business Suite User's Guide.
See Related Information Sources on page xxii for more Oracle E-Business Suite product
information.
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To reach Oracle Support Services, use a telecommunications relay service (TRS) to call
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available athttp://www.fcc.gov/cgb/dro/trsphonebk.html.
xxii
Documentation Accessibility
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Structure
1 General Compensation Structures
2 Salary and Grade Related Pay and Progression
3 Compensation and Awards Management
4 Leave and Absence Management
5 Setup for Health and Welfare Management
6 Administration for Health and Welfare Management
7 Payroll Earnings and Deductions
HRMS Glossary
Related Information Sources
Oracle HRMS shares business and setup information with other Oracle Applications
products. Therefore, you may want to refer to other user guides when you set up and
use Oracle HRMS.
You can read the guides online by choosing Library from the expandable menu on your
HTML help window, by reading from the Oracle Applications Document Library CD
included in your media pack, or by using a Web browser with a URL that your system
administrator provides.
xxiii
If you require printed guides, you can purchase them from the Oracle store athttp://oraclestore.oracle.com.
Guides Related to All Products
Oracle E-Business Suite User's Guide
This guide explains how to navigate, enter data, query, and run reports using the user
interface (UI) of Oracle E-Business Suite. This guide also includes information on setting
user profiles, as well as running and reviewing concurrent requests.
Guides Related to This Product
Oracle Daily Business Intelligence for HRMS User Guide
This guide describes the dashboards and reports available for HR Line Managers, Chief
HR Officer, Budget Managers, and Benefits Managers using Daily Business Intelligence
for HRMS. It includes information on using parameters, how DBI for HRMS derives
values, and how to troubleshoot dashboards and reports.
Oracle Daily Business Intelligence for HRMS Implementation Guide
This guide provides basic setup procedures for implementing and maintaining
HRMS-related dashboards.
Oracle Daily Business Intelligence Implementation Guide
This guide describes the common concepts for Daily Business Intelligence. It describes
the product architecture and provides information on the common dimensions, security
considerations, and data summarization flow. It includes a consolidated setup checklist
by page and provides detailed information on how to set up, maintain, and
troubleshoot Daily Business Intelligence pages and reports for the following functional
areas: Financials, Interaction Center, iStore, Marketing, Product Lifecycle Management,
Projects, Procurement, Sales, Service, Service Contracts, and Supply Chain.
Oracle Daily Business Intelligence User Guide
This guide describes the common concepts for Daily Business Intelligence. It describes
the product architecture and provides information on the common dimensions, security
considerations, and data summarization flow. It includes a consolidated setup checklist
by page and provides detailed information on how to set up, maintain, and
troubleshoot Daily Business Intelligence pages and reports for the following functional
areas: Financials, Interaction Center, iStore, Marketing, Product Lifecycle Management,
Projects, Procurement, Sales, Service, Service Contracts, and Supply Chain.
Oracle Application Framework Personalization Guide
Learn about the capabilities of the OA Framework technologies.
Oracle Human Resources Management Systems Enterprise and Workforce
Management Guide
Learn how to use Oracle HRMS to represent your enterprise. This includes setting up
your organization hierarchy, recording details about jobs and positions within your
enterprise, defining person types to represent your workforce, and also how to manage
xxiv
your budgets and costs.
Oracle Human Resources Management Systems Workforce Sourcing, Deployment, and
Talent Management Guide
Learn how to use Oracle HRMS to represent your workforce. This includes recruiting
new workers, developing their careers, managing contingent workers, and reporting on
your workforce.
Oracle Human Resources Management Systems Payroll Processing Management Guide
Learn about wage attachments, taxes and social insurance, the payroll run, and other
processes.
Oracle Human Resources Management Systems Compensation and Benefits
Management Guide
Learn how to use Oracle HRMS to manage your total compensation package. For
example, read how to administer salaries and benefits, set up automated grade/step
progression, and allocate salary budgets. You can also learn about setting up earnings
and deductions for payroll processing, managing leave and absences, and reporting on
compensation across your enterprise.
Oracle Human Resources Management Systems Configuring, Reporting, and System
Administration Guide
Learn about extending and configuring Oracle HRMS, managing security, auditing,
information access, and letter generation.
Oracle Human Resources Management Systems Implementation Guide
Learn about the setup procedures you need to carry out in order to implement Oracle
HRMS successfully in your enterprise.
Oracle Human Resources Management Systems FastFormula User Guide
Learn about the different uses of Oracle FastFormula, and understand the rules and
techniques you should employ when defining and amending formulas for use with
Oracle applications.
Oracle Self-Service Human Resources Deploy Self-Service Capability Guide
Set up and use self-service human resources (SSHR) functions for managers, HR
Professionals, and employees.
Oracle Performance Management Implementation and User Guide
Learn how to set up and use performance management functions. This includes setting
objectives, defining performance management plans, managing appraisals, and
administering questionnaires.
Oracle Succession Planning Implementation and User Guide
Learn how to set up and use Succession Planning functions. This includes identifying
succession-planning requirements, using talent profile, suitability analyzer, and
performance matrices.
xxv
Oracle Human Resources Management Systems Deploy Strategic Reporting (HRMSi)
Implement and administer Oracle Human Resources Management Systems Intelligence
(HRMSi) in your environment.
Oracle Human Resources Management Systems Strategic Reporting (HRMSi) User
Guide
Learn about the workforce intelligence reports included in the HRMSi product,
including Daily Business Intelligence reports, Discoverer workbooks, and Performance
Management Framework reports.
Oracle Human Resources Management Systems Approvals Management
Implementation Guide
Use Oracle Approvals Management (AME) to define the approval rules that determine
the approval processes for Oracle applications.
Oracle Human Resources Management Systems Window Navigation and Reports
Guide
This guide lists the default navigation paths for all windows and the default reports and
processes as they are supplied in Oracle HRMS.
Oracle iRecruitment Implementation and User Guide
Set up and use Oracle iRecruitment to manage all of your enterprise's recruitment
needs.
Oracle Learning Management User Guide
Use Oracle Learning Management to accomplish your online and offline learning goals.
Oracle Learning Management Implementation Guide
Implement Oracle Learning Management to accommodate your specific business
practices.
Oracle Time and Labor Implementation and User Guide
Learn how to capture work patterns, such as shift hours, so that this information can be
used by other applications, such as General Ledger.
Oracle Labor Distribution User Guide
Learn how to maintain employee labor distribution schedules, distribute pay amounts,
encumber (commit) labor expenses, distribute labor costs, adjust posted labor
distribution, route distribution adjustment for approval, and manage error recovery
processes. You also learn how to set up effort reporting for Office of Management and
Budget (OMB) compliance.
Other Implementation Documentation
Oracle Workflow Administrator's Guide
This guide explains how to complete the setup steps necessary for any product that
includes workflow-enabled processes. It also describes how to manage workflow
xxvi
processes and business events using Oracle Applications Manager, how to monitor the
progress of runtime workflow processes, and how to administer notifications sent to
workflow users.
Oracle Workflow Developer's Guide
This guide explains how to define new workflow business processes and customize
existing Oracle E-Business Suite-embedded workflow processes. It also describes how
to define and customize business events and event subscriptions.
Oracle Workflow User's Guide
This guide describes how users can view and respond to workflow notifications and
monitor the progress of their workflow processes.
Oracle Workflow API Reference
This guide describes the APIs provided for developers and administrators to access
Oracle Workflow.
Oracle E-Business Suite Flexfields Guide
This guide provides flexfields planning, setup, and reference information for the Oracle
E-Business Suite implementation team, as well as for users responsible for the ongoing
maintenance of Oracle E-Business Suite product data. This guide also provides
information on creating custom reports on flexfields data.
Oracle eTechnical Reference Manuals
Each eTechnical Reference Manual (eTRM) contains database diagrams and a detailed
description of database tables, forms, reports, and programs for a specific Oracle
Applications product. This information helps you convert data from your existing
applications, integrate Oracle Applications data with non-Oracle applications, and write
custom reports for Oracle Applications products. Oracle eTRM is available on My
Oracle Support.
Integration Repository
The Oracle Integration Repository is a compilation of information about the service
endpoints exposed by the Oracle E-Business Suite of applications. It provides a
complete catalog of Oracle E-Business Suite's business service interfaces. The tool lets
users easily discover and deploy the appropriate business service interface for
integration with any system, application, or business partner.
The Oracle Integration Repository is shipped as part of the E-Business Suite. As your
instance is patched, the repository is automatically updated with content appropriate
for the precise revisions of interfaces in your environment.
Do Not Use Database Tools to Modify Oracle E-Business Suite Data
Oracle STRONGLY RECOMMENDS that you never use SQL*Plus, Oracle Data
Browser, database triggers, or any other tool to modify Oracle E-Business Suite data
xxvii
unless otherwise instructed.
Oracle provides powerful tools you can use to create, store, change, retrieve, and
maintain information in an Oracle database. But if you use Oracle tools such as
SQL*Plus to modify Oracle E-Business Suite data, you risk destroying the integrity of
your data and you lose the ability to audit changes to your data.
Because Oracle E-Business Suite tables are interrelated, any change you make using an
Oracle E-Business Suite form can update many tables at once. But when you modify
Oracle E-Business Suite data using anything other than Oracle E-Business Suite, you
may change a row in one table without making corresponding changes in related tables.
If your tables get out of synchronization with each other, you risk retrieving erroneous
information and you risk unpredictable results throughout Oracle E-Business Suite.
When you use Oracle E-Business Suite to modify your data, Oracle E-Business Suite
automatically checks that your changes are valid. Oracle E-Business Suite also keeps
track of who changes information. If you enter information into database tables using
database tools, you may store invalid information. You also lose the ability to track who
has changed your information because SQL*Plus and other database tools do not keep a
record of changes.
General Compensation Structures 1-1
1
General Compensation Structures
General Compensation Structures Overview
Using Oracle HRMS, you have all the flexibility you need to model your compensation
and benefit packages. You decide exactly what information you want to hold for
compensation management and, if you require it, for payroll processing.
This overview outlines the generic concepts and procedures for setting up
compensation. However, there are additional considerations for salaries, absences and
PTO accruals, benefit plans, collective agreements, and setting up earnings and
deductions for payroll processing. These are covered in other areas.
Elements: Define - Administer - Process
Element is an Oracle HRMS term for the components of a compensation and benefits
package, such as salary, PTO accrual plan, and health plan. By defining elements, you
can structure information relating to employees' compensation and benefits in a highly
flexible way.
First, you define elements, then you administer and process them.
Define
Definition includes rules about valid compensation values, who can receive the
elements, and how they are processed. You define elements, and associated rules and
formulas, as part of your Oracle HRMS implementation. You can define new elements
and make certain changes to existing definitions at any time.
Administer
When definition is complete, you administer compensation and benefits by making
element entries for your employees. You can quickly record earnings, deductions, time
worked and other information by entering elements in batches.
1-2 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Process
You process earnings and deductions by running payrolls. The payroll run
automatically uses the calculations you have written as formulas, and uses other rules
(such as processing frequency) that you have defined.
Compensation Objects
For most benefits and some types of compensation, you define compensation objects as
well as elements. You can define a hierarchy of compensation objects, optionally
starting with programs at the highest level, to represent a package of benefits you offer,
followed by plan types, plans, and options. A plan type is a category of plans, such as a
medical plan type. A plan is a specific offering, such as a bonus or a dental plan, and an
option is an electable choice within a plan, such as 1 x Salary.
If you use SSHR, defining compensation objects enables you to delegate tasks such as
the allocation of salary increases or bonuses to line managers, by issuing budgets.
Employees can use self-service to enter voluntary contributions, such as savings plans,
or charitable donations. They can also manage their own enrollments in benefit plans,
while the back-office maintains control of the plan's administration.
If you use iRecruitment, defining compensation objects enables your hiring or line
managers to assign benefits components to eligible applicants when they create or
update offers. For example, you can set up plans such as car and relocation.
To speed up implementation, you can use Plan Design Copy to copy a plan or program
and all its associated definitions, then you can configure these to create a new plan or
program.
Eligibility Profiles
If you have defined compensation objects, you manage participation by defining
eligibility profiles and attaching them to the appropriate level of the hierarchy. You can
define several profiles for each object, and each profile can contain both required and
optional criteria. For example, the profile could specify that eligible employees must
work full time, and either have been employed for at least two years, or be assigned to a
manager grade.
Activity Rates
You can attach any number of activity rates to a plan or option to specify the
contributions made by employee and employer, or the distributions, such as
compensation awards. When you define an activity rate, you can associate it with an
element. Activity rates support a variety of calculation methods to determine how much
a person pays or receives: flat amount, multiple of premium, multiple of elected
coverage, and so on. When a participant enrolls in a plan, the enrollment process runs
the calculation and enters the result on an element entry for the employee.
General Compensation Structures 1-3
General Compensation Structures
Reporting On Compensation Data
Oracle HRMS includes a number of windows and reports for compensation data, such
as the Salary Review Report, and the List Employees by Element window.
In SSHR, you can use the Compensation History page to view employee information
such as salary changes, bonuses, stock options, monetary compensation grouped by
year, ranking, jobs, and non-monetary compensation. If you use Compensation
Workbench, this feature supplies several reports for salary changes, bonuses, and stock
options.
Oracle HRMS also includes some Discoverer Workbooks to enable you to analyze
salary information by organization, supervisor, and job, comparing with grade rate
values where appropriate.
See: General Compensation Structures -- Reports, Oracle HRMS Configuring, Reporting,
and System Administration Guide
1-4 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Using System Extract, you can define interfaces to extract compensation data for
reporting or transfer to third parties. Oracle HRMS supplies predefined extracts that
you can use or configure. See: HR/Payroll Extracts, page 1-53.
Key Concepts
To get the most out of the compensation and benefits functionality of Oracle HRMS,
you need to understand the following key concepts:
• Elements
• Input values
• Element links
• Element classifications
• Element entries
• Plan design
• Eligibility profiles
• Activity rates
General Compensation Structures
What kinds of compensation information can you record?
All kinds, depending on how much information you require. You decide what types of
compensation and benefits you want to track, the information you need to hold for each
type, and the rules that determine who receives the compensation and how often it is
paid.
Can you monitor the costs of compensation policies?
Yes, you can allocate labor costs to particular departments, products, or projects. You
can enter default cost centers for organizations and employees, then override these, if
required, when you enter timecard data.
How can you review the effectiveness of compensation packages?
You can compare salaries and other compensation for any groups of employees, for
example grouped by organization, position or grade. You can break down salary
changes into components, such as Cost of Living, Location Adjustment, or Promotion,
to identify any performance-related increases. You can also associate salary changes
General Compensation Structures 1-5
with performance reviews.
Using HRMS Intelligence, you can compare salary trends, manpower changes, and
group skills analyses.
What happens when you need to change compensation policies?
With DateTrack you can make future-dated changes to your information safe in the
knowledge that these changes will not become effective in the system until the correct
date.
In this way you can use your compensation and benefit information to plan changes
ahead of time; analyze the impact of these changes; adjust these changes and generally
smooth out the workload that is often associated with major changes in compensation
and benefits policy.
How do you manage individual salary packages?
You can define salaries for groups of employees, with default values and validation
rules if you require them, and enter individual salary changes for employees at any
time. You can associate salary changes with the results of performance reviews, and you
can show the composition of any increase by components such as cost of living, and
individual performance. You can enter proposed changes to take effect in the future and
confirm these later with the click of a button.
What about grade-related pay?
Oracle HRMS handles both pay rates that are directly related to grades, and rates on
grade-related pay scales. To relate pay directly to grades, you can specify valid salary
ranges or fixed pay rates for each grade. If your employees are paid from a pay scale
(perhaps determined by collective agreement), you can associate each grade with
several points on a pay scale.
How do you ensure employees receive the compensation dictated by a collective
agreement?
You can define entitlement items to represent the compensation and benefits that are
subject to a collective agreement. You define an eligibility profile to determine who can
receive this entitlement item, and associate both with a collective agreement. Provided
that an employee already has an element entry for the compensation or benefit,
applying the collective agreement to the employee updates the entry to the values
recorded in the collective agreement.
What does Oracle offer for benefits administration?
We offer a choice, to match the varying complexity of benefits administration
requirements.
1-6 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
The Standard Benefits feature set lets you define your benefits offering in a hierarchical
manner, so that requirements you specify at the program level are inherited by the
plans and options in that program. You can use a variety of factors, such as length of
service, to define eligibility requirements for participation in a plan. The system
supports centralized enrollment by benefit administrators or web-based self-service
enrollments. Standard benefits is best for organizations that outsource a significant
portion of their benefits administration. System extract features let you export data to
third party benefits administrators.
If you administer your own benefits, or your requirements include offering flexible
benefit plans, you should implement Oracle Advanced Benefits. This provides the full
solution for benefits management, including life event triggered enrollments and
communications, online life event processing, processing of flexible spending account
claims, and what-if eligibility analysis.
For US implementations, we also continue to offer Basic Benefits, which is a limited
feature set that supports administration of benefit plans for employees and their
dependents, including COBRA coverage.
Can you be sure that compensation information remains confidential?
Yes, you can. Oracle HRMS security features enable you to choose which users can view
compensation information, what types of compensation they need access to, which
employees records they can see, and whether they are able to update them.
Can you enter weekly timecard data?
Yes, using Batch Element Entry, you can enter timecard information for a group of
employees, using default values as appropriate. You can validate your entries against
system rules and external control totals before uploading it to the database in time for
the payroll run.
How does Oracle HRMS help reduce data entry errors?
There are three ways:
• By removing the need to make entries at all, when compensation entries are
standard for a group of employees and can be entered automatically.
• By reducing keystrokes when you use Batch Element Entry to enter batches of
entries.
• By validating all entries using rules you define at setup time.
Can you make one-time changes to entries?
Yes. Some types of compensation or payment (such as expense reimbursements) need
General Compensation Structures 1-7
only be entered for the period to which they apply. For others, the regular value can be
adjusted if you need a different value for one payroll run.
I'm entering compensation details for analysis but not for payroll processing. How do
you reduce data entry work to a minimum?
If the same compensation entry applies to a group of employees, the system can enter it
automatically. You need to set up the element with standard links. Use Batch Element
Entry to start or update other entries in batches.
You can download salary information to a spreadsheet, update it there, and upload the
new information to the database.
Can you see a history of all compensation values for an employee over time?
Yes, you can view all changes for one or more types of compensation. For salaries, you
can also see new proposed salary changes.
How do you compare compensation for groups of employees?
You can select employees by organization, job, position, or grade and view past and
current salaries or new salary proposals. For other types of compensation, you can
compare the latest values for all employees in any period of time you choose.
If you use grade rates, you can compare compensation entries for all employees on a
certain grade, and also see these values as a percentage of the midpoint defined for the
grade.
1-8 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Elements
Elements: Building Blocks of Pay and Benefits
With Oracle HRMS, you define a working model of your own types of compensation
and benefits and the policies or business rules that govern the allocation of these to your
employees. You define these types as elements. Elements are the building blocks of pay
and benefits, both for HR analysis and payroll processing.
Example
Elements can represent:
• Earnings, such as salary, wages, and bonuses
• Benefits, such as employee stock purchase and pension plans
• Absences from work
• Non-payroll payments, such as expense reimbursements
• Tangible items distributed to employees, such as tools, uniforms, mobile phones, or
computers
• Voluntary and involuntary deductions, as well as pre-tax and tax deductions
• Employer taxes and other employer liabilities
There is no limit to the number of elements you can define, and all your definitions are
datetracked.
How Are Elements Created?
Some elements are supplied predefined with Oracle HRMS, some are available in
template libraries, others are generated by the system when you define certain types of
compensation and benefits, and the remainder you can define using the Element
window to best meet the needs of your own enterprise.
Predefined Elements
The predefined elements are specific to your localization. They typically include
deductions for tax and wage attachments. They may also include standard earnings,
such as salary. You should not make any changes to these predefined elements.
Template Elements
Using the Configuration Workbench, you can select many earnings and deductions
from a template library for your country and industry. Your selected earnings and
deductions form a template set that you can load into your business group. The
General Compensation Structures 1-9
template set includes the elements and the balances, balance feeds, and formulas
required for payroll processing. You can configure any of these definitions to match
your specific requirements.
Generated Elements
In certain legislations, including North America and the UK, Oracle Payroll users can
initiate earnings and deductions, and the system generates the elements you require,
along with balances, balance feeds, and formulas. The method of initiating earnings and
deductions depends on your localization. Typically you use the Element Design
Wizard, Earnings and Deductions windows, or other template windows for specific
earnings and deduction types. The processing options you select in the wizard or
window determine the rules embedded in the generated elements and formulas. As
with template elements, you can configure generated elements and formulas to match
any special requirements.
Also, when you create PTO Accrual Plans, the system generates elements for you.
Introduction to Element Definition
The following diagram illustrates the items that you can define or select to control the
entry and processing of any earning, deduction, basic benefit, or payment.
1-10 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Compensation Definition
To take a simplified example, you could define an element called Wage, for hourly paid
employees. You classify it in the predefined classification Earnings, which determines
when it is processed in the payroll run and what payroll balances it feeds.
You specify one input value, Hours Worked, which must be entered in each pay period.
(If necessary, you can define up to 15 input values, with fixed values, defaults, or
validation.)
You associate a formula with the element, to calculate the wage for the pay period. A
simple formula might be hours worked (from the input value) multiplied by hourly rate
(which might, for example, be entered in the Grade Rate window).
You define who is eligible for the element by linking it to components of the employee
assignment, such as grade, payroll, salary basis, or organization. In this example, the
wage element is available to all employees on the weekly payroll.
You can define other processing rules, such as a termination rule. For example, you
might specify that the employees' entry of the wage element should not close down on
their termination date but remain open for processing of final pay.
General Compensation Structures 1-11
Input Values: Flexible Description of Compensation
To give an employee an earning or deduction, you make an element entry. An entry can
contain up to 15 items of information, which you define when you create the element.
For example, for a company car element, you might want to store car make, model,
year, date of issue to the employee, and mileage when issued.
These items of information are called input values. You decide what validation to apply
to these values, whether they are required or optional, and the type of information they
can accept:
• Alphabetic characters or words
• Integers or numbers
• Money
• Hours and minutes
• Date, day, or time
This list of unit types is predefined and you cannot add to it.
Processing Input Values
Input values are so called because they are the inputs to calculations performed by
Oracle Payroll. In a payroll run, formulas process the input values and other database
information to produce run results.
For example if you have Payroll and your enterprise makes overtime payments, you
might write a formula to calculate the payment amounts for each assignment from
inputs of the overtime rate and the hours worked for the period. The payroll run then
processes each assignment and produces the overtime payment amounts as run results.
Rules for Allocating Compensation
While some elements may represent compensation, equipment, or deductions available
to all employees, many elements are available only to certain groups of employees. For
example, your enterprise may provide company cars only to employees in the Sales
Department.
To determine which employees are eligible for an element, you build links to the
assignment components that employees must have to receive entries of the element.
Links rule out the possibility of employees getting element entries by mistake.
For example, you might want to give a production bonus only to those employees who
work full time in Production and are on the weekly payroll. To do this you would
define a link between the element Production Bonus and the combination of the
1-12 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Production organization, the Full-Time assignment category and the Weekly payroll.
Note: When you define a link for a benefit, do not select any
assignment components to restrict eligibility for the benefit. Instead use
participation eligibility profiles.
Similarly when you define a link for an element that you are going to
select as an entitlement item for a collective agreement, do not restrict
eligibility using the link. You restrict eligibility using eligibility profiles.
Assignment Components
The assignment components to which you can link elements are:
• Payroll: If employees on all your payrolls are eligible for an element, you can link it
to all payrolls.
• Salary basis, whichestablishes the period of time (often hourly or monthly) for
which you quote the employee's salary or wages.
• Assignment category, for example, Full Time-Regular or Part Time-Temporary
• Organization,for example department or section, in which employees work
• Location of employee's office
• Job,for example, Associate Professor or Secretary
• Grade
• Groups to which the employee belongs: You set up all the groups that are
appropriate for your enterprise. For example, you could decide to group employees
by company within a multi-company enterprise, and by union membership.
• Position, which is a class of job performed in a particular organization, for example,
Associate Professor of Chemistry, or Finance Department Secretary.
Multiple Rules of Eligibility
You can define more than one link for each element but there must be no overlap
between the eligibility criteria for the links. For example, you could create one link to
the combination of grade 'A' and the job 'Accountant'. However, you could not create
one link to grade 'A' and a second link to the job 'Accountant'. This would imply that an
accountant on grade A is eligible for the same element twice.
If you have more than one link for an element, you can enter different default values,
qualifying conditions, and costing information for each eligibility group.
General Compensation Structures 1-13
Qualifying Conditions: Minimum Age or Period of Service
An employee might be eligible for an element and yet not receive it because he or she
does not meet other qualifying conditions.
Two common qualifying conditions are a minimum age or a minimum period of service
in the current assignment. You can define these conditions when you define the
element. You can enter or adjust these conditions when you define the element links so
that you have different qualifying conditions for different groups of assignments.
These qualifying conditions are checked automatically when you try to enter an
element for an employee.
Compensation Entry: Making It Fast and Reliable
To reduce the work of entering compensation information for employees and to reduce
the risk of errors, you specify rules about entries when you define an element. For
example:
• You can specify defaults, lookups, minimum and maximum values, or other
validation to control what is entered in input values.
• You also specify the duration of entries, that is, whether they are valid for one pay
period only, or whether they persist until further action is taken to end the entry.
• For some elements, you can even set up automatic entry with default values so that
no action is required to ensure that employees get the compensation for which they
are eligible.
You can create customized versions of the Element Entries window. A customized
version might restrict the elements a user can enter. This enhances speed, usability, and
security for specific data entry scenarios. Users can also enter batches of entries using
default values to reduce keystrokes and thus speed up data entry and reduce errors.
Duration of Element Entries
Some entries are valid for one pay period only. For example, to produce an employee's
wages or overtime pay for a period you process the entries of regular hours worked or
overtime hours. You define these elements with the processing type nonrecurring.
Notice that pay periods are determined by the payroll to which an employee is
assigned. Employees must be assigned to a payroll to receive nonrecurring elements,
even if you are entering these for information only and not processing them.
Other entries, such as salary or company car, should persist until you change them, or
they reach their end date, or the employee's assignment changes so that he or she is no
longer eligible for the element. You define these elements with the processing type
recurring.
1-14 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Element Entry Validity Across Pay Periods
A recurring element entry is normally processed in every pay period, as determined by
the employee's payroll. However, you can associate frequency rules with a recurring
element to specify in which pay periods it should process. For example, you might
deduct a monthly subscription in the second week of each month for weekly-paid
employees.
Allowing Multiple Entries
Normally you can only give an employee one entry of an element. This is a useful
safeguard against duplication errors. However, when you define an element, you can
choose to allow multiple entries. For example, if you enter overtime hours on a weekly
basis for monthly-paid employees, you might need to give an employee five entries of
an overtime element in each period.
Automatic Entry
If you want all eligible employees to receive a recurring element automatically, you can
define standard links to the element. With this link, the element and all its default input
value entries go on record for all eligible employees, now and in the future.
For example, suppose your enterprise has an employee Sports Club whose members all
agree to pay a fixed subscription each month by payroll deduction. You can set up an
employee group called Sports Club on the system and record membership by assigning
employees to the group. You can then link a Sports Club Dues element to the Sports
Club employee group, mark this link as standard, and enter a default value reflecting
the current monthly subscription.
Clearly, you will not choose to create standard links if there are any performance
criteria (such as achieving a certain volume of sales) that employees must meet before
General Compensation Structures 1-15
they qualify for an element.
You can create a standard link if both the element is recurring and multiple entries are
not allowed for the element
If you have not defined age or period of service criteria, the start date of the automatic
entry is the date the assignment becomes eligible for the element. For example, this
might be the employee's hire date, or the date of a promotion or transfer.
If you entered age or period of service criteria for the element, the start date of the
automatic entry reflects the date on which the employee meets the qualifying
conditions. For example, if a new hire is entitled to a company car after six months, an
element entry is automatically created when the employee is entered on the system, and
the start date of the entry is six months after the hire date.
If the employee's date of birth is altered on the system, this may change the date on
which he or she qualifies for the element. In this case, the start date of the element entry
changes automatically.
Default Values and Validation
When you define inputs for an element, you also define the validation for each input
value. The validation you define controls the values a user can enter. The options are to:
• Provide a default value (or several defaults - one for each eligibility group, defined
by a link)
• Provide a minimum and maximum value range
• Provide a fixed value
• Provide a lookup list of valid values
• Validate the input value using a formula
Using the formula option you can model complex business rules for validating entries.
For example, for a bonus payment you might want to set a maximum bonus value that
depends on length of service and current salary. With Oracle's formula writing tool,
Oracle FastFormula, you can include conditional logic to validate input values using
different criteria for different employees.
If you define a default value, you can specify that it is a hot default. This means that any
changes to the default value not only affect future entries but will also update existing
entries, provided that the default was not overridden when the entry was made.
When Assignments Change
When you update an assignment (for example, by promoting or relocating the
employee), some changes are made automatically to the assignment's element entries:
1-16 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
• If the assignment is newly eligible for any elements with standard links, entries of
these elements are created automatically.
• If the assignment is no longer eligible for an element, the existing element entry is
ended.
• If the assignment continues to be eligible for an element but via a different
non-standard element link, the existing element entry is ended and a new one
created with the same values and costing information as the old entry.
Note: This means that the system ignores any default values, default
costing information, and qualifying conditions on the element link
associated with the new entry. All values are taken from the old entry
instead to provide continuity for the employee. Of course you can
change the entry values manually if required.
This does not apply to salary elements that are entered automatically
when you approve a salary proposal. In this case the existing element
entry is ended and a warning message is issued. You must re-enter and
approve the salary proposal following the assignment change. This
ensures the integrity of your salary data.
• If the assignment continues to be eligible for an element but via a different standard
element link, the existing element entry is ended and a new one created using the
default values on the standard element link.
Batch Entry
Using BEE (Batch Element Entry), you can enter earnings, deductions, timecard data,
and other compensation and benefit information in batches. This is especially useful
when the same values can be used for many employees. After entering a batch (for as
many employees and elements as you require), you can validate it, make corrections,
and validate again before transferring the information to the database.
Collective Agreements
If your employees are subject to collective agreements, you can define compensation
elements as entitlement items, which form part of the collective agreement. You
associate each entitlement item with one or more eligibility profiles to define who is
eligible to receive the item and how much they should receive. Alternatively, you can
write a formula to determine eligibility and how much eligible people should receive.
You must define and link the element before you apply a collective agreement to
employee's assignments. This ensures that, when you apply collective agreement
values, the application updates the element entry with the appropriate value (as defined
in the Collective Agreement Entitlements window).
General Compensation Structures 1-17
Configuring the Element Entries Window
You can create configured versions of the Element Entries window. A configured
version restricts the elements a user can enter. For example, one version could be
restricted to the element name Timesheet and accessed from a menu entry labelled
Timesheet Entries.
Element entry can be restricted by:
• Element set (that is, a group of elements that you define)
• Element type (that is, recurring or nonrecurring)
• Element classification (such as, Earnings, or Direct Payment)
See: CustomForm, Oracle HRMS Configuring, Reporting, and System Administration Guide
Non-Updateable Element Sets
You can prevent users updating the entry values of a set of elements on the Element
Entries window. These will typically be elements that you update through
legislation-specific forms. You must create a customization element set, and select it for
the HR:Non-Updateable Element Set user profile option. You can set this profile option
at any level: Site, Application, Responsibility, or User. You can edit the element set after
selecting it in the user profile option.
Users will be able to view these elements in the Element Entries window, and they can
edit fields such as Reason and Costing, but not the entry values. They cannot use the
Update Override and Delete DateTrack modes, because these might remove entry
values set elsewhere.
Element Classifications and Processing Sequence
Elements are grouped into primary classifications, such as Earnings and Voluntary
Deductions. In a human resources department, you can use the primary classifications
to identify groups of elements for information and analysis purposes. In a payroll
department, the classifications control processing, including the sequence in which
elements are processed and the balances they feed.
Oracle HRMS provides you with these primary classifications and some balances,
mainly to reflect tax legislation. They are designed to meet the legislative requirements
of your country, so you cannot change them. You can create additional balances to be
fed by any of the primary classifications.
Processing Sequence in the Payroll Run
An element's primary classification provides a default processing priority for the
1-18 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
element in payroll runs. Lower priority numbers process first.
Most classifications also have a priority range. When you define an element in these
classifications, you can overwrite its default processing priority with another number
from the range. This is useful if you need to establish the order in which the element
processes with respect to other elements in the classification.
Sometimes you must prioritize the processing of certain element entries for an
individual employee. For example, you may need to determine the precise order in
which deductions taken for wage attachments process for an employee. You can enter a
subpriority number for element entries in the Entry Values window.
Canada only: Processing sequence for wage attachments is not determined by
subpriority. Instead you can specify Attachment Priority and Prorate Rules in the
Further Information field on the Entry Values window.
Secondary Classifications
You can define secondary classifications to feed your own user defined balances. These
secondary classifications are subsets of the primary classifications. In some legislations,
secondary classifications have been predefined. As with primary classifications, you
cannot remove or change any predefined secondary classifications, and you cannot
disable any of the predefined balance feeds created for them.
Note: Secondary classifications are not used in the United States,
Canada, or Singapore versions of Oracle Payroll at this time.
Mexican implementations use classifications and sub-classifications.
Categories - for US and Canadian Classifications
Most US and Canadian classifications are subdivided into several categories. Categories
further define an element's purpose, and can help to determine applicable processing or
tax rules. You can define additional categories.
Costing
On the Costing tab of the Element Classifications window, you can view whether
elements of this classification are Costable and Distributable. If the classification is
Costable, you can select any costing option for elements when you define the element
links. If the classification is Distributable, you can create a distribution set from
elements of this classification over which you can distribute costs (such as overheads).
You can also view the cost type for elements in the classification, that is, whether they
debit or credit the accounts they feed.
General Compensation Structures 1-19
Frequency Rules
On the Frequency Rules tab of the Element Classifications window, you can view
whether you can define frequency rules for elements of this classification. The payroll
run uses a frequency rule to determine in which pay periods it processes a recurring
element. On this tab you can also see which date the payroll run uses, by default, to
assess frequency rules in your localization. You can select a different date when you
define a frequency rule.
Survey of the Classifications
The survey of the classifications identifies:
• The function of elements within each primary classification, page 1-19
• The processing priority range, default priority, and cost type for each classification,
page 1-21
• A list of the predefined secondary classifications within each primary classification,
page 1-21
Primary Element Classifications
Primary element classifications are supplied as startup data, and you cannot delete or
update them as they are designed to meet legislative requirements.
Classification Meaning
Information Represents information items that are not used in
payroll processing. Used to hold information for use
in other elements, and to trigger the processing of
other elements, for example, Section 88B, Section 88
Absences Represents elements that store employee absences.
Use the classification Information to set up accruals.
Earnings Represents payments made to an employee other
than perquisites and allowance.
Allowances Represents the allowances that are paid to an
employee, for example, conveyance allowance and
house rent allowance.
1-20 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Classification Meaning
Direct Payments Represents payments given to the employee that are
not a part of the payroll. They are not a part of the
gross or net pay but are considered for tax
calculations, for example, remuneration received for
services rendered outside India.
Perquisites Represents benefits given to an employee in
addition to the salary, for example, domestic maid
allowance and rent free accommodation.
Employer Charges Represents employer contributions that are not
included in the employee's salary, for example,
employer provident fund contribution and
provident fund Interest.
Termination Payments Represents employer payments at the time of
employee's termination from the organization, for
example, voluntary retirement scheme and
retrenchment payments.
Pre-Tax Deductions Represents deductions made before tax calculation,
for example, pension fund and medical insurance
premium.
Tax Deductions Used to store tax deductions, for example, tax
deducted at source and surcharge.
Involuntary Deductions Represents statutory deductions, for example, ESI,
Professional Tax deduction.
Voluntary Deductions Represents deductions that are initiated by the
employee, for example, voluntary provident fund
contribution.
Fringe Benefits Represents benefits given to an employee in
addition to salary, for example, hospitality
expenditure and medical claim.
Advances Represents advance payments given to employees
in addition to salary, for example, conference
expenditure and sales promotion expenditure.
General Compensation Structures 1-21
Primary Classification Processing Properties and Cost Types
The following table shows the default processing priority and costing details for the
primary classifications.
Primary
Classification
Priority Range Default Priority Cost Type
Information 1-2000 1000 N/A
Absences 4001-6000 5000 N/A
Advances 6001-8000 7000 Debit
Earnings 8001-10000 9000 Debit
Allowances 8001-10000 9000 Debit
Direct Payments 12001-14000 13000 Debit
Perquisites 16001-18000 17000 Debit
Fringe Benefits 18001-20000 19000 Debit
Employer Charges 20001-22000 21000 Debit
Termination
Payments
24001-26000 25000 Debit
Pre-tax Deductions 32001-34000 33000 Credit
Tax Deductions 36001-38000 37000 Credit
Involuntary
Deductions
40001-42000 41000 Credit
Voluntary
Deductions
44001-46000 45000 Credit
Predefined Secondary Element Classifications
This table shows the predefined secondary classifications supplied. You cannot update
or delete these predefined classifications.
1-22 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
An element automatically receives any default secondary classifications defined for its
primary classification.
Primary Classification Secondary Classifications Default
Information None N/A
Absences None N/A
Earnings Statutory Bonus
Non Statutory Bonus
N/A
Direct Payments None N/A
Perquisites Monetary Perquisites
Non Monetary Perquisites
N/A
Employer Charges Employer Charges Non
Taxable
Employer Charges Taxable
N/A
Termination Payments None N/A
Pre-tax Deductions None N/A
Tax Deductions None N/A
Involuntary Deductions None N/A
Voluntary Deductions None N/A
Fringe Benefits None N/A
Advances None N/A
Allowances None N/A
Predefined Elements
The following table lists the predefined elements that are specific to Oracle HRMS for
India
General Compensation Structures 1-23
Element Name Description
House Rent Information Holds house rent related information.
Deductions under Chapter VIA Holds deductions under Chapter VIA,
deducted from the gross income before tax
computation.
Deduction under Section 80DD Holds deductions under Section 80DD,
applicable to employees with disabled
dependents.
Deduction under Section 80G Holds deductions that fall under Section 80G,
for donations to listed charitable institutions
and funds.
Life Insurance Premium Holds deductions from life insurance
premiums.
LIC Salary Savings Scheme Holds deductions from life insurance
premiums through salary saving scheme
Tuition Fee Holds details about tuition fees, for up to two
children.
Other Income Holds information regarding other income.
Income Tax Information Information element to initialize tax
processing.
Income Tax Holds the income tax to be paid in a pay
period.
Taxable HRA Information element to calculate the taxable
portion house rent allowance.
Previous Employment Information Initiates the previous employment tax
calculation.
Exemption Under Section 16 Holds details of exemptions under Section 16.
Max Exemption Under Section 80 Holds the maximum exemption under Section
80.
1-24 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Element Name Description
Max Exemption Under Section 80DD Holds the maximum exemption under Section
80DD.
Max Exemption Under Section 80G Holds details maximum exemption under
Section 80G.
Max Exemption Under Section 80GG Holds details maximum exemption under
Section 80GG.
Relief Under Section 89 Information element to hold relief under
Section 89.
Max Exemption for LIC Premium Information element to hold the maximum
exemption for Life Insurance Corporation
(LIC) premium.
Employee Statutory PF Contribution Holds the statutory Provident Fund (PF)
contribution of the employee.
Professional Tax Information Information element to initiate Professional
Tax calculation.
Professional Tax Deduction Holds the Professional Tax to be deducted.
ESI Information Information element to initiate Employee State
Insurance (ESI) calculation.
Employee ESI Contribution Holds the employee's ESI contribution.
Employer ESI Contribution Holds the employer's ESI contribution.
PF Information Information element to hold Provident Fund
(PF) calculation.
Employee Voluntary PF Contribution Holds employee's voluntary PF contribution
Employer PF Contribution Holds employer's PF contribution.
EDLI Contribution Holds the contribution made by the employer
towards Employee Deposit Linked Insurance
(EDLI) or other similar group insurance for
the employees.
General Compensation Structures 1-25
Element Name Description
EPS Contribution Holds the employer's contribution to towards
employee's PF. The contribution is made to
two separate funds - Provident Fund and
Pension Fund.
Gratuity Information Information element to hold the details of
terminated employees' gratuity calculation.
Gratuity Payment Holds the gratuity to be paid to terminated
employees.
Notice Period Information Holds notice period information required to
calculate notice period pay.
Notice Period Pay Holds the amount to pay employees as notice
period pay.
Leave Encashment Information Holds the information required to calculate
leave encashment.
Leave Encashment Holds the amount to pay employees as leave
encashment.
Retrenchment Compensation Information Holds the information required to calculate
retrenchment compensation for terminated
employees.
Voluntary Retirement Information Holds the information required to calculate
voluntary retirement benefits, for employees
who have opted for the scheme.
Commuted Pension Information Holds the information required to calculate
taxation for the pension amount received by
employees, at the time of termination.
Commuted Pension Holds the pension amount to pay a
terminated employee.
PF Settlement Information Holds information regarding the PF
settlement amount to be paid to the employee.
1-26 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Element Name Description
PF Settlement Holds the amount to pay employees as PF
settlement.
Loan Recovery Holds information regarding any loans to
recover from terminated employees.
Tax on Bonus Holds the amount to deduct as tax from
bonus.
Deduction under Section 80CCE Holds the deductions declared by employee
under section 80CCE.
Deduction under Section 80D Holds the deductions declared by employee
under section 80D.
Deduction under Section 80DDB Holds the deductions declared by employee
under section 80DDB.
Deduction under Section 80E Holds the deductions declared by employee
under section 80E.
Deduction under Section 80GGA Holds the deductions declared by employee
under section 80GGA.
Deduction under Section 80U Holds the deductions declared by employee
under section 80U.
Income Information Holds employee's income information for tax
calculation.
Deduction Information Holds employee's salary deduction
information for tax calculation.
Form16 Deduction Information Holds deduction information for Form 16.
Form16 Income Tax Information Holds income tax information for Form 16
Bonus Separate Information Holds bonus information in case the bonus the
processed separately.
General Compensation Structures 1-27
Element Name Description
Separation Income Information Holds employee's income information to
calculate income in case of transfer from a tax
unit to the other.
Separation Deduction Information Holds employee's deduction information to
calculate deductions in case of transfer from a
tax unit to the other.
Separation Income Tax Information Holds a new input value to feed the Tax Unit
balance for employer tax on non monetary
perquisites.
Deduction under Section 80GG Holds the deductions declared by employee
under section 80GG
Deferred Annuity Holds employee's deferred annuity under
section 88.
Employee Total PF Contribution Holds employee's total Provident Fund
contribution.
Employer Excess PF Contribution Holds the employer's excess contribution
towards employee's provident fund.
Form16 Income Information Holds employee's Form 16 income
information used for tax calculation.
Other Termination Payments Holds information regarding other
termination payments.
Pension Fund 80CCC Hold's employee's contribution towards a
pension fund under section 80CCC, for a
financial year.
Professional Tax Adjustments Holds the professional tax adjustments for an
employee, if any, for the financial year.
Income Tax Challan Info Holds the details of challan payments and tax
deducted for an employee.
Employer Paid Tax Holds the overriding value of employer paid
tax.
1-28 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Element Name Description
Employer Tax on Non Monetary Perquisite Holds the calculated value of employer paid
tax on non monetary perquisites.
Employer Tax on Others Holds the calculated value of employer paid
tax on income other than non monetary
perquisites.
Employer Tax Iteration Holds the formula for running the Iterative
Engine and calculations.
Employer Tax on Bonus Holds the value employer paid tax on bonus
and other standard earnings paid in a separate
run.
Projected Company Accommodation Holds the input values for tracking employer
tax.
Employee LWF Contribution Holds the employee's LWF contribution.
Employer LWF Contribution Holds the employer's LWF contribution.
LWF Adjustments Holds the LWF adjustments for an employee,
if any, for the financial year.
LWF Information Holds the LWF information for LWF
calculations.
Compensation Policy Changes
It is inevitable that your business rules for compensation and benefits will change over
time. You can create new elements and disable existing ones at any time. You can also
make certain changes to existing elements and links, as outlined below.
Element definitions, link definitions, and element entries are all datetracked. This lets
you track the changes to your compensation and benefit policies without losing any of
your historical employee information. The history of your definitions remains in place
for validation and reporting, and for future calculations of back pay.
Maintaining Elements
After you have defined and used an element, you can make the following changes:
General Compensation Structures 1-29
• Change a required input value to be not required.
• Alter the sequence in which input values appear in the Element Entries window.
• Change the input value validation rules for minimum, maximum, lookup, or
formula.
• Change your specification of which input values create Database Items. Note,
however, you cannot remove Database Items if they are used in any formulas or
QuickPaint reports.
You cannot remove existing input values or add new ones if you have created any
entries for the element. To add an input value to an element before you create any
entries, ensure that you set your effective date to the element's start date.
Maintaining Links
Link rules always control the entry of element values at the time of entry. Changes to
link rules affect existing entries in different ways, depending on your use of standard
links and hot defaults. After you have used an element you can make the following
changes to the link rules:
• Change the input value defaults and validation.
These changes affect all new entries. Changes to hot defaults affect existing entries.
The system also uses the new validation rules to check any updates you make to
existing entries.
• Date-effectively end all of the rules that apply to an element and define a new set of
rules, which are effective from a later date. For example, suppose you have defined
eligibility for a company car based on grade. Following a change of policy you must
now define eligibility based on job.
• You will not be allowed to end the link if any nonrecurring entries exist at the
date you want to end the rule. You must delete existing entries before you end
the link.
• You can end the link if recurring entries exist. Any existing entries will be
ended automatically when you end the link.
• Change the qualifying conditions of age and length of service that employees must
meet to be eligible for the element.
Policy Development
With DateTrack you can also make future-dated changes to your information safe in the
knowledge that these changes will not become effective in the system until the correct
date.
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In this way you can use your compensation and benefit information to plan changes
ahead of time; analyze the impact of these changes; adjust these changes and generally
smooth out the workload that is often associated with major changes in compensation
and benefits policy.
Setting Up Total Compensation Elements
Follow this process to set up elements for items in the compensation package you offer
to employees. There are additional steps for setting up the following types of
compensation and benefits:
• Salaries for Salary Administration
See: Setting Up Salary Administration, page 2-9
• Absence elements and PTO accrual plans
See: Setting Up Absence Management, page 4-11
See: Setting Up PTO Accrual Plans, page 4-46
• Benefits
See: Standard and Advanced Benefits Implementation, page 5-6
Also, there are additional steps if you want to process the elements in a payroll run.
See: Setting Up Total Compensation Elements for Payroll, Oracle HRMS Compensation
and Benefits Management Guide
Define Validation and Lookups
Define validation for entries of any new elements you are creating.
1. To restrict compensation entries to a list of valid values, define a new Lookup Type
and add Lookup Values for this new lookup.
See: Adding Lookup Types and Values, Oracle HRMS Configuring, Reporting, and
System Administration Guide.
2. To validate compensation entries using formulas, write a formula of type Element
Input Validation.
See: Writing Formulas for Validation, Oracle HRMS FastFormula User Guide.
3. To create a matrix of values (such as bonus amount against years of service) for use
in formulas or QuickPaint reports, set up user tables.
See: Setting Up User Tables, Columns, and Rows, Oracle HRMS Configuring,
Reporting, and System Administration Guide
Define Elements and Links
General Compensation Structures 1-31
4. Define elements and element input values to record information about employee
compensation, benefits, and equipment:
See: Defining an Element, page 1-31.
See: Defining an Element's Input Values, page 1-39.
See also: Defining and Linking an Element for Standard and Advanced Benefits,
page 1-41
See also: Deleting an Element, page 1-43
5. Define element links to identify one or more groups of employees who are eligible
to receive an element.
See: Defining Element Links, page 1-44
See also: Running the Element Link Details Report, page 1-47
6. For elements without Standard links, make entries of your elements for all
employee who should receive them.
See: Making Manual Element Entries, page 1-57
Defining an Element
Use the Element window to create an element to represent compensation and benefit
types or earnings and deductions.
This procedure describes how to define elements using a Payroll responsibility (that is,
a responsibility with the HR User Type profile option set to Payroll User or HR with
Payroll User). If you are an HR-only user, you will not see certain fields relating to
element processing information. You can just ignore the steps that apply to these fields.
Note: Depending on your localization and the types of element you
want to create, you may not need to start from scratch in the Element
window. Check which earnings and deductions are available in the
template library in the Configuration Workbench. If these template
elements do not meet your requirements, you may be able to generate
earnings and deductions using Earnings and Deductions windows or
the Element Design Wizard. You can use the Element window to
further configure template elements and generated elements.
• For the United States and Canada, see: Earnings and Other
Payments Overview, Oracle HRMS Compensation and Benefits
Management Guide and Deductions Overview, Oracle HRMS
Compensation and Benefits Management Guide
• For Mexico, see: Element Design Wizard, Oracle HRMS
1-32 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Compensation and Benefits Management Guide
• For UAE, see: Element Design Wizard, Oracle HRMS Compensation
and Benefits Management Guide
• For Norway: For each element, you must enter the End of Year
codes using the list of values provided in the Further Information
field.
Dates, Names and Classifications
To enter dates, names, and a classification for the element:
1. Set your effective date early enough to handle any historical element entries you
want to make. Note that an element cannot be linked or entered until its start date.
2. Enter a unique:
• Name
• Reporting name
Start the names with a letter of the alphabet (not a number or symbol). The
reporting name is a short identifier for reports and pay advices.
3. Enter a description for the element.
4. Select a Primary Classification.
This controls an element's processing priority and the balances it feeds. If you are
defining a salary element for Salary Administration, you must select the
classification Earnings.
Processing Information
To enter processing information for the element:
1. Select the processing type. Select Recurring if an entry of this element applies in
every period until the entry is ended, or Nonrecurring if an entry applies in one pay
period only. The dates of the pay period are determined by the payroll to which the
employee is assigned.
Note: If you are defining a salary element for salary administration,
you must select the type Recurring. If you are defining a
net-to-gross element you must select the type Nonrecurring.
General Compensation Structures 1-33
2. Select a termination rule to determine how entries of the element are processed after
termination of the employee:
Note: UK only: Always select Actual Termination for UK
proration.
• Actual Termination if you want recurring entries to close down on the date the
employee leaves. For a nonrecurring element, select Actual Termination if you
want the entries to close down at the end of the pay period in which the
employee leaves, or on the date the assignment ends (the final process date) if
this is earlier.
• Final Close if you want the entries to stay open beyond the employee's leaving
date so that you can continue to pay the employee.
If you are a Payroll user, you can also select:
• Last Standard Process for all recurring and nonrecurring elements if you want
their entries to close down on the Last Standard Process date or on the date the
assignment ends (the final process date) if this is earlier. The Last Standard
Process date defaults to the last day of the pay period in which the employee is
terminated, but you can set it to a later period when you terminate an
employee.
3. Select the Multiple Entries Allowed check box if you want to give an employee
more than one entry of the element at the same time. If you are creating a
net-to-gross element, you must select Multiple Entries Allowed.
4. Select the Additional Entries Allowed check box if you want to make occasional
one-time entries of a recurring element (instead of, or in addition to, a normal
recurring entry).
US and Canada only: The Additional Entry Allowed rule is not applicable for US
and Canadian installations.
5. Select the Closed for Entry check box if you want to prevent any new entries being
made for the element, either temporarily or permanently. This does not affect any
existing entries of the element.
Important: Use this feature with caution. When you perform certain
important tasks in Oracle HRMS, the application may
automatically create or delete element entries. These tasks include
hiring and terminating people, and updating assignments.
Therefore, if you check Closed for Entry on an element, this might
prevent users terminating employees and updating assignments. If
there are standard links for the element, it will also prevent users
1-34 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
hiring people who are eligible for the element.
HR-only users: Go to Currency.
Oracle Payroll Users:
6. Select the Process in Run check box if you want the element to process in payroll
runs.
7. Select the Once Each Period check box to ensure that only the first payroll run of
each period processes entries of this element.
Note: If this check box is not available for your localization, you can
select a ONCE_EACH_PERIOD skip rule for the element instead.
8. Select the Indirect Results check box if you want the element only to accept entries
from indirect formula results. Leave the check box unchecked if you want to accept
entries both from indirect formula results and from manual entries in the Element
Entries window.
9. Select the Adjustment Only check box if you want to use the element only for
creating balance adjustments.
10. Select the Third Party Payments check box if you want to use the element only for
creating third party payments.
11. Overwrite the default priority number in the Priority field if you want to determine
the order in which the element processes within its classification range. Lower
numbers process before higher ones.
If the order of processing within the element classification is not important, you can
accept the default priority number, which is the midpoint of the range.
12. Select a formula in the Skip Rule field if you have written a skip rule formula to
determine the circumstances in which the element should be processed.
UK only: If you are using different run types, select the ONCE_EACH_PERIOD
skip rule for all earnings, to ensure they are not processed by each child run type.
Currency
The default currency for element entry values is the currency defined for the
Business Group. You can select a different currency for the element if required.
Advanced Processing Information
Oracle Payroll users only: Use the Advanced tab to enter further processing
information if you are defining:
General Compensation Structures 1-35
• An earnings type, such as a bonus, that is to be taxed separately from the normal
payroll run. The element can also be paid separately.
• An earnings type that requires a net-to-gross calculation. For example, this applies
to bonus payments that are a fixed net amount. Oracle Payroll calculates the gross
amount needed to meet the net pay.
• UK: A pre-tax deduction that you want to reduce if there is insufficient pay to cover
the deduction along with taxes and court orders. This requires iterative processing.
Note: The Advanced tab may not be available for some localizations.
To define an element as a separate payment:
1. On the Advanced tab, select the Separate Payment check box.
The Process Separate box is checked automatically.
UK users: Do not select this check box. This functionality is not currently available
for UK Payroll.
To define an element to process separately:
1. On the Advanced tab, select the Process Separate check box.
To define an element for net-to-gross calculation:
1. On the Advanced tab, select the Gross Up check box.
The Iterative Flag and Process Separate boxes are checked automatically.
2. Select DEFAULT_GROSSUP in the Iterative Formula field. This formula controls
the iterative calculation of the pay value, adjusting an input value as necessary to
get a result that is defined to be close enough to the required net payment.
Note: After saving your element, choose the Iterative Rules button
to specify how to use the formula results. Also choose the Exclude
Balances button to select which balances are grossed up for the
element (meaning that these deductions are paid by the employer).
3. Optionally, enter a value in the Iterative Priority field to determine the sequence in
which elements are adjusted during iterative calculations. Elements with lower
iterative priority values are adjusted first.
4. Select the Separate Payment box if you want the payment to be made separately
from the regular payment. UK Payroll, Irish Payroll: Do not select this check box.
1-36 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
5. Save your work.
To set up iterative processing for a pre-tax deduction (UK):
1. Check the Iterative Flag box.
2. Select PQP_GB_ITERATIVE_ARREARAGE in the Iterative Formula field.
3. Enter an Iterative Priority number in the range 1 to 1500. The element with the
lowest iterative priority number is reduced first. If this deduction is reduced to zero
and net pay is still insufficient to cover taxes and court orders, the element with the
next lowest priority number is reduced, and so on.
Important: Iterative priority numbers must be in the reverse
sequence of the processing priority numbers. This means that the
element that is processed first is reduced last.
4. Choose Iterative Rules, and select the L_stopper rule.
Advance Pay Processing Information
Oracle Payroll Users only except Ireland. If Advance Pay by Element is enabled in
your legislation, use the Advance Pay tab to:
• Indicate that an element may be processed as an Advance Pay element
• Establish the processing conditions for your Advance Pay element.
To define an element as an Advance Pay element:
1. On the Advance Pay tab, check the Mark as an Advance Pay Indicator check box.
This marks the element as an Advance Pay indicator. This means that when you
run the Advance Pay by Element process, it will identify this that this element can
be potentially processed as an Advance Pay element according to the processing
conditions that you define.
To set the processing conditions for an Advance Pay element:
On the Advance Pay tab:
1. Check the Include as an Advance Element check box if you want to process this
element as an Advance Pay element.
2. If you want to specify a separate Advance Pay element, select this element from the
list of available elements in Use Advance Element. If you leave Use Advance
Element blank and do not specify an element, then you do not select a separate
advance pay element. You can still process advance payments, but all the entries
General Compensation Structures 1-37
are held within your current earnings element rather than reported separately in an
advance pay element.
3. Check the Deduct Advance Amount check box if you want to show the deduction
for the advance in the current payroll period. Every advance payment has a
deduction associated with it to bring the overall payroll amounts back into balance.
You can use this check box to control the point at which the deduction should be
applied.
4. If you want to specify a separate Deduction element, select this element from the
list of available elements in Use Deduction Element. If you leave Use Deduction
Element blank and do not specify an element, then you do not create a separate
deduction element. You can still process deductions for advance payments, but all
the entries are held within your current earnings elements rather than reported
separately in a deduction element.
Note that when you create either an Advance Pay element, or a Deductions
element, you must ensure that it exists for the same period of time as the
underlying earnings element, and that the input values match those on the
underlying element.
5. Check the Process Advance Entry in Run check box if you want to include this
element in a payroll run, If you do not check this box, then the element does not
process in a payroll run and is reported as information in your Statement of
Earnings report.
Continuous Calculation
For prerequisite steps to set up continuous calculation, see: Setting Up Continuous
Calculation, Oracle HRMS Payroll Processing Management Guide
To set up an element for continuous calculation:
1. Choose the Recalculation tab and select a RetroPay element. This is an event group
that defines the events that trigger proration for this element.
Proration
In some localizations, Oracle Payroll can calculate proportionate earnings amounts
whenever payroll-relevant data changes during a payroll period. The Payroll Earnings
and Deductions section describes the full setup steps for the relevant localizations. To
enable proration for an element, choose the Proration tab.
To set up an element for proration:
1. Choose the Proration tab and select a proration group. This is an event group that
defines the events that trigger proration for this element.
2. Optionally, select a proration formula. Alternatively you can edit the element's
1-38 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
payroll formula to handle proration.
Further Information
1. Enter the Further Information field if:
• Your Oracle localization team has set up additional fields for element definition
• You are in the UK, and you use Oracle SSP/SMP
French Payroll:
• Select a group, which is the name by which this element, and the others in the
group, appears as one line on the pay advice.
• On the pay advice, most earnings and deductions are shown as a base, a rate,
and an amount. Select the base unit if you want this displayed on the pay
advice.
South African Payroll
• Enter a clearance number for Statutory Information and Deduction elements, if
applicable. This number appears on the tax certificate.
Kuwait Payroll
• Select a deduction type for the Deductions elements. This information is used
by the PIFSS report.
2. Choose Input Values to define input values for the element
See: Defining an Element's Input Values, page 1-39
Oracle Payroll Users:
3. Choose Balance Feeds to select balances you want this element to feed
See: Creating Balance Feeds for Individual Elements, page 7-31
4. Click Balance Feed Control to add or remove secondary element classifications for
this element.
Mexico only: Click this button to attach sub-classifications to your element.
See: Creating Classes of Balance Feeds, page 7-32
5. Choose Frequency Rules to enter frequency rules to determine when the element
should be processed.
See: Defining Frequency Rules, page 7-18
6. For a net-to-gross element, choose Exclude Balances to select the deductions to be
paid by the employer.
General Compensation Structures 1-39
7. For a net-to-gross element, or any other element that is processed iteratively, choose
Iterative Rules to specify how to use the Iterative Formula results.
Extra Information
Choose the Extra Information button to enter extra attribution for the element. You can
link as much attribution as you need to an element.
Note: You can only access Extra Information types if your system
administrator has set them up for your responsibility.
Usages
To exclude the element from a run type:
1. Choose the Usages button if you want to exclude this element from a run type, or
combination of run types.
2. Select the run type or combination of run types from which you want to exclude
this element.
Note: For Norway: You must select the Employer Contributions
run type to exclude the elements.
3. Select the effective dates for your exclusions.
4. Save your work.
Defining an Element's Input Values
Use the Input Values window to define the input values for the element. You can define
up to 15 input values for an element.
Depending on the type of element you have defined, Oracle HRMS may have applied
one or more default input values.
North America users: All elements must have the default Jurisdiction input value.
Norway users: All elements that feed the Holiday Pay Base classification must have the
Tax Municipality input value. This input value must have the
HR_NO_TAX_MUNICIPALITY valueset attached to it.
Payroll users: If you are creating balance feeds for individual elements, ensure you
define an input value of the same unit of measure as the balance. Money units must be
the same currency.
You can add new input values to a saved element only if you have not entered the
element for any employees. To add an input value, you must set your effective date to
1-40 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
the element's start date.
To define input values:
1. Set your effective date early enough to handle any historical element entries you
want to make.
2. Enter or query the element in the Element or Element Link window and choose the
Input Values button.
3. Enter the name of the first input value. Remember that if you want to define a pay
value to hold run results, you must name it Pay Value.
4. Select the unit type of your input value (money, hours, character, date, number, or
time). A Pay Value must have the unit type Money if the element is in a Payments
type classification.
5. You can enter numbers in the Sequence field to change the order in which the input
values appear in the Entry Values window.
6. Check the Required check box if all entries of the element must have a value for this
input.
Note: When you have saved an input value, you cannot change it to
be Required. If you have saved it as Not Required by mistake (or
you have generated an element that has an input value you want to
make required), delete the input value and re-enter it with the
correct values. If you are re-entering a generated input value, be
careful to enter exactly the same name. You cannot delete the input
value if you have made any entries of the element for employees.
7. Check the User Enterable check box if users can enter a value for this input.
Uncheck it if you want to ensure that the default value is entered for all employees.
8. Check the Database Item check box if you want the value to be available to
formulas or QuickPaint inquiries.
Database Items are simple identifiers that the system uses to find specific items of
information in the human resources database. Any spaces in the input value name
are converted to underscores in the Database Item name.
Entering Element-Level Defaults
If you enter defaults at the element link level, these override the defaults at element
level. If you update an element-level default, remember to check the values on the
element links too.
General Compensation Structures 1-41
To enter a default for an input value:
1. Enter the value in the Default field.
2. If you want existing entries to be updated whenever the default is changed, check
the Hot Default check box. The input value must be required if you want to use this
option.
A hot default appears in the Entry Values window in quotation marks.
Important: If a user overrides a hot default in the Entry Values
window, subsequent changes to the default will not affect the entry.
For this reason, you may prefer to use BEE to change defaults for
large groups of employees, rather than the hot default feature.
Defining Entry Validation
To enter validation for an input value:
1. Do one of the following:
• Enter maximum and minimum values for the input.
• Select a Lookup Type to act as a lookup supplying a list of valid values.
• Select a formula to validate entries for this input value. Formulas can return
messages to users about the success or failure of the validation.
2. Select Warning or Error to determine whether the system warns users that an entry
is invalid or prevents them from saving an invalid entry. You cannot select a value
if you chose a Lookup because a user cannot enter an invalid value for an input
value validated by lookup.
Defining and Linking an Element for Standard and Advanced Benefits
You set up elements for Standard and Advanced Benefits as you would other elements,
with certain restrictions noted below. Element setup is the same for Standard and
Advanced Benefits.
In the US and Canada, use the Earnings or Deduction window to create an element if
you process the element in a payroll run.
Outside the US and Canada--or if you are an HR-only customer in any legislation--use
the Element window to create an element.
1-42 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
To define an element for Standard and Advanced Benefits:
1. Set your effective date early enough to handle any historical element entries you
want to make.
2. Enter a unique element Name.
When you define a standard activity rate, you select the element that corresponds to
the rate you are defining.
3. Select the appropriate Classification for the earning or deduction.
4. For Payroll users in the US and Canada, select a Category on the Earnings or
Deduction window.
If you are using the Element window, you can select a Category in the Further
Element Information flexfield.
5. In the US, optionally select a Benefit Classification.
Note: For any element attached to a standard activity rate, do not
select a Benefit Classification of Dental, Medical, or Vision.
6. Select a Termination Rule of Final Close for any element attached to an activity rate.
7. Do not check the Standard Link check box (Earnings and Deduction windows) or
the Standard check box (Element and Element Link windows) since you use
eligibility profiles to control benefits eligibility.
8. Complete the definition of the element according to your business rules.
9. Save your work.
10. Choose Input Values.
You can define multiple input values for the element, but you can only link one
input value to a standard activity rate.
11. Save your work.
Defining an Element Link for Standard and Advanced Benefits
After you define an element, open the Element Link window. Because you create
eligibility profiles for Standard and Advanced Benefits, you should limit use of the
Element Link window to creating an open link for elements you do not cost.
General Compensation Structures 1-43
To define an element link for Standard and Advanced Benefits:
1. Set your effective date.
2. In the Element Name field, select the element for which you are defining a link.
3. Save the record without selecting any assignment links to create an open link.
Note: If you define links for costing, your links must not conflict
with any eligibility profiles you set up for Standard and Advanced
Benefits. Your element must have a valid link at all times.
For more help on element links and costing, see: Defining Element Links, page 1-44
Deleting an Element
Before you delete an element, you must first delete any entries of the element recorded
for employees and then any links defined for the element.
Use the following process to delete any elements you defined in the Element window,
Earnings or Deduction template, or Element Definition Wizard.
Important: Do not delete any predefined elements.
To delete an element:
1. Use the List Employees by Element window to get a list of all employees with
entries for the element.
2. For each employee, query the element entry in the Element Entries window, choose
Delete Record, and save.
3. Query the element in the Element Link window and, for each link for this element,
choose Delete Record, and save.
4. Perform one of the following:
• If you created this element through the Element Definition Wizard, query this
element from within the wizard.
• If you created this element through the US and Canadian Earnings or
Deductions templates, query this element from within the template.
• If you created this element through the Element window, query this element
from that window.
1-44 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
5. Delete the element and save.
The system prompts you to either End Date the element or Purge it. Select End Date
if you want the element to remain in the system but be effective through a certain
date. Select Purge if you made a mistake defining the element and you want to
delete it from the system altogether.
Defining Element Links
Use the Element Link window to define groups of assignments that are eligible for an
element.
Note: When you define a link for a benefit or for an entitlement item in
a collective agreement, do not select any eligibility criteria. Instead use
participation eligibility profiles to restrict eligibility for the benefit or
entitlement item.
Note: When querying data the Element Link window returns values for
Payroll, Location and Position and Organizations, irrespective of the
security profile restrictions set, enabling you to view the links already
created. You cannot create links for data outside your security profile.
To define an element link:
1. Set your effective date to the date you want the eligibility criteria to come into
effect.
2. In the Element Name field, select the Element for which you are defining a link.
3. Check the Standard check box if you want all employees who are made eligible by
the link to receive the element automatically.
You can only create a standard link if the element is recurring and multiple entries
are not allowed by the element definition.
4. In the Eligibility Criteria region, select the assignment components that constitute
this eligibility rule. If you want to link to all employees, do not enter any eligibility
criteria.
You can link to all payrolls or to a specific payroll. Do one of the following:
• Leave the Payroll field blank and check the Link to all Payrolls check box if you
want employees assigned to any payroll to be eligible. This rule excludes
employees who are not assigned to a payroll.
• Select the name of a specific payroll if you want only employees on that payroll
General Compensation Structures 1-45
to be eligible for the element. Do not check the Link to all Payrolls check box.
• Leave both fields blank if assignment to a payroll is irrelevant to eligibility for
the element.
Costing
To enter costing information for the link:
1. Select the Costable Type. The default is Not Costed, meaning that the system
maintains no costing information for the element.
• To allow entry of costing information at all levels, including the assignment and
element entry levels, select Costed This is the appropriate selection for most
elements representing earnings types.
• If you do not need to cost the element at organization and assignment levels,
select Fixed Costed. This is appropriate for some deductions, which are
irrelevant to labor distribution analyses.
• If you want to distribute overhead costs (such as employer contributions to a
pension plan) over other elements, select Distributed.Then select a Distribution
Set.
Note: Some element classifications for your legislation may be
predefined as Not Costed and you cannot override this.
2. Check the Transfer to GL check box if the payroll run results from this link should
be transferred to the general ledger.
3. Use the Costing field to select a GL account code and, if present, account codes of
labor distribution or other systems in which to collect the run results of this
element. Then use the Balancing field to select the GL account that balances this
one.
For deductions elements:
• Select the code for the GL account to credit in the Costing field, and the code for
the account to debit in the Balancing field.
For elements in all other classifications:
• Select the code for the GL account code to debit in the Costing field, and the
code for the account to credit in the Balancing field.
Note: Depending on your set up of the Cost Allocation flexfield, the
1-46 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Balancing field may not be enabled.
Batch Creation of Element Links
You can use a batch process to create multiple links more efficiently than creating each
link individually.
To create element links in a batch operation
1. Check the Create in Batch Mode check box to specify that you want to defer
creation of this element link until later when you run the Generate Element Links
process. Alternatively, leave the box unchecked if you want to create this element
link immediately.
2. View the Link Status to confirm the status of your link:
• Unprocessed - you have selected this element link for creation as part of a
batch, but the Generate Element Links process has not started yet.
• Processing - the Generate Element Links process is now attempting to create
this link.
• Complete - the Generate Element Links process has completed, and you have
successfully created this element link.
• Incomplete - the Generate Element Links process has completed, but this
element link was not included in the processing and you have not yet created
the element link. Correct the link definition before rerunning the Generate
Element Links process.
• Error - the Generate Element Links process failed to complete, and you have not
yet created the element link. Correct the link definition before rerunning the
Generate Element Links process.
3. Run the Generate Element Links process to complete the creation of those links that
you selected for batch processing.
See Generating Element Links, page 1-47
Qualifying Conditions
To enter qualifying conditions for the link:
1. Go to the Qualifying Conditions region. Here you can add or change age or length
of service requirements for this particular eligibility rule.
The system checks these conditions when you make an entry of the element. If the
employee does not meet the qualifying conditions, you receive a warning.
General Compensation Structures 1-47
Input Values
To adjust input values for the link:
1. Save your link definition and choose the Input Values button to display the Link
Input Values window.
Use this window to:
• Enter a new default or change one entered at the element level
• Check the Costed box to maintain costing information for an input value.
• Change the maximum, minimum or both for an input value. Logically, the new
values should be within the range you defined for the element as a whole.
However the system does not enforce this.
Generating Element Links
Use the Generate Element Links process to create element links quickly. You must first
select the links for batch creation when defining them on the Element Links window.
Then, run the Generate Element Links process from the Submit Requests window to
link to the element entries created.
To generate element links:
1. Select one of the following Generate Types to determine whether you want to
process:
• All element links that are not completed and are not processing currently.
• A single element link. If you make this selection, go on to select the particular
element link that you want to create. Note that you are selecting one element
link from the range of links that are awaiting processing. You cannot change the
characteristics of the link at this point, but you can return to the Element Links
window to make changes.
2. Click OK
3. Click Submit
Running the Element Link Details Report
Use this report to check the eligibility criteria that have been defined for elements
within a classification. You can report on links for the following categories:
1-48 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
• All elements within a classification
• Either recurring or nonrecurring elements in the classification
• Just a single element
You can choose to see only standard or non-standard links, and only active or inactive
links. Further, you can choose to see links to a particular job, organization, payroll, or all
payrolls.
You run reports from the Submit Requests window.
To run the Element Link Details report:
1. In the Name field, select Element Link Details Report.
2. Enter the Parameters field to open the Parameters window.
3. Enter the effective date for which you want to see the report.
4. Select the classification of elements you want to report on. Optionally select an
element processing type (recurring or nonrecurring) or an individual element to
report on.
5. To report only on standard links, select Yes in the Standard Link field. Select No to
report only on non-standard links. Leave blank to report on all links.
6. Select a link status to report only on links that are either active or inactive as of the
report's effective date.
7. To report on links to payrolls:
• For links to one payroll only, select No in the All Payrolls field and select the
payroll in the Payroll field.
• For links to all payrolls, select Yes in the All Payrolls field and leave the Payroll
field blank.
• To see links irrespective of their payroll criteria, select No in the All Payrolls
field and leave the Payroll field blank.
8. You can also select a job or organization to report on links to these assignment
components only.
9. If you want to produce this report in Portable Document Format (PDF), select a
template.
10. Choose the Submit button.
General Compensation Structures 1-49
Defining an Element or Distribution Set
In the Element and Distribution Set window, you can select element classifications or
individual elements to define a set. There are three types of set:
• Customization set: You can use a Customization set to:
• Restrict the elements that can be entered or viewed on a configured version of
the Element Entries window
• Specify the elements to be entered for assignments using BEE in the Batch
Assignment Entry window.
• Prevent users updating entry values in the Element Entries window for a group
of elements. You select the element set in the HR:Non-Updateable Element Set
user profile option.
• Restrict the elements displayed in the Compensation Activity view in SSHR.
You select this element set in the Element Set Name user profile option.
• Run set: You can use a Run set to:
• Specify the elements that the application must process in a payroll run. This
functionality is available only for Oracle Payroll users. If you are creating a Run
set for US payroll, and you are using the Enhanced Tax Interface, you must
include the US_TAX_VERTEX recurring element (see step 4). If you have not
enabled the Enhanced Tax Interface, you must include the VERTEX recurring
element.
• Display accrual balances
• Distribution set: Oracle Payroll users can use a Distribution set to define the
elements over which the costs of other elements are to be distributed.
To define an element or distribution set:
1. Enter a unique name for the set and select the type: Distribution, Run, or
Customization.
2. Save your new set.
3. If you want to include all elements in a classification, choose the Classification Rules
button.
• In the Classification Rules window, select one or more classifications to include.
Save the set and close this window.
1-50 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
The elements in the classifications you choose are now listed in the Elements
region.
• If you want to exclude individual elements, place your cursor in the element's
row and choose the Exclude Element button.
4. If you want to include particular elements from other classifications, choose the
Include Element button.
5. Select the element you want to include in the Elements window, and choose the OK
button.
Note: After you include a particular element, you cannot go to the
Classification Rules window and include the classification to which
this element belongs.
6. Save your set.
7. If you want to see a list of the individual elements you have included or excluded
from the set, choose the Element Rules button. The Element Rules window is
view-only.
General Compensation Structures 1-51
Compensation Entry and Reporting
Compensation Entry
To record any form of compensation, benefit, or deduction liability for an employee,
you make an element entry. There are several ways to do this:
• You can use BEE (Batch Element Entry) to enter or update a batch of element entries
for many employees, using defaults for fast entry. For example, you can use BEE to
enter timecard data and to enroll employees in PTO accrual plans.
• You can enter salaries, as proposals or confirmed values, on the Salary page.
• You can enter absences or accrued time taken in the Absence Detail window or in
SSHR.
• You can enroll employees in benefit plans and select the appropriate coverage for
themselves and their dependents. There are different windows for enrolling in Flex
Programs, Non-flex Programs, Savings Plans, and Miscellaneous Plans.
Alternatively, employees can set up their own enrollments, using Self Service HR.
• You can make or update individual entries of other compensation elements for an
employee using the Element Entries window.
At your enterprise, some elements may be defined with standard links so that eligible
employees receive an entry automatically. You do not need to do anything to record
these forms of compensation for employees.
Dates for Compensation Entries
There are two types of element: recurring and nonrecurring.
Entries for recurring elements remain effective indefinitely, until you update them or
the employee ceases to be eligible for the element, for example after a change of work
assignment. You can start entries of a recurring element at any point in time. Use
DateTrack to set the effective start date of new entry or update. This maintains a
complete history of values and the dates they changed.
Entries for nonrecurring elements are one-time entries. They are effective only for the
current pay period (defined by the payroll to which an employee is assigned). To make
the entry, you set your effective date to any date in the appropriate pay period. Any
changes you make to nonrecurring entries are always corrections. There can be no
history of changes to these entries within a pay period. However, the entries for each
period (if any) are stored as history for an employee.
1-52 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Compensation Reporting
Oracle HRMS provides a range of reporting mechanisms to monitor and analyze the
compensation and benefits data in your enterprise. This topic explains the windows and
reports that Oracle HRMS provides to meet your different compensation reporting
requirements.
The View Element Entry History for Employees window enables you to view a history
of different element entries for an employee assignment.
See: Viewing Element Entry History, page 1-63
The List Employees by Element window provides you with a list of employees with
entries to an element in any period of time you choose.
See: Listing Employees by Element, page 1-62
The Salary History window gives you a complete history of approved salary changes
for an employee, along with associated performance reviews.
See: Viewing Salary History, page 2-22
Using the Salary Review Report you can check the current and past salaries for some or
all of your employees.
See: Salary Review Report, page 2-23
The Compensation Workbench reports enable you to track how you have distributed
compensation and awards to your employees using Compensation Workbench.
See: Reporting in Compensation Workbench, page 3-85
The Compensation History page in SSHR enables you to view the in-progress, current,
and historical information about compensation and ranking of your employees,
including the history for elements not linked to Compensation Workbench or
Individual Compensation Distributions.
See: Compensation History, page 3-139
Using the HR/Payroll Extracts you can extract employee and payroll data, such as the
details of earnings, deductions, and information elements for internal reporting and for
transfer to third-party providers. The extracts support both XML and ASCII formats,
you can generate postscript reports, and export a file to Excel for reporting.
See: HR/Payroll Extracts, page 1-53
Oracle HRMS also includes various Workforce Intelligence reports that help you
analyze salary and grade-related information. You can also report on absences and
analyze absence trends in your enterprise using the Workforce Intelligence reports in
this area.
General Compensation Structures 1-53
Related Topics
Reports and Processes in Oracle HRMS, Oracle HRMS Configuring, Reporting, and System
Administration Guide
Information Access Overview, Oracle HRMS Configuring, Reporting, and System
Administration Guide
HR or Payroll Extracts
The HR/Payroll Extracts feature enables you to extract employee and payroll data, such
as the details of earnings, deductions, and information elements for reporting purposes.
You can use the extract reports for internal reporting, such as listing all employees in
receipt of a bonus, or for transfer to third-party providers, such as pension providers.
For example, you can send details of new hires and terminations to a provider on a
weekly basis.
You can also make copies of the seeded extracts and modify their layout or add
different data elements to suit your reporting requirements. You can view and correct
the extracted information before writing the data to a file.
The extracts support both XML and ASCII formats, you can generate postscript reports,
and you can export a file to Excel for reporting.
Predefined System Extracts
Oracle HRMS supplies the following predefined system extract definitions:
• Global HR/Payroll Extract - (full-profile extract) extract the payroll data of your
employees. This extract contains identification and demographic information of
your employees and reports on payroll data such as earnings, deductions, and other
information elements.
• Global HR/Payroll Information Changes (Single Record) - (extract for changes)
report on changes to employee personal and plan details, such as the name change
of an employee. You can also report on new hires and terminated employees using
this extract. This extract does not include payroll data. It includes only employees
whose records have changed, and you can configure which changes trigger the
extract. It displays all the changes for each employee as part of a single record, in
the same row.
You can either use the predefined extracts or make copies of them and modify the
copies to suit your reporting requirements.
The extracts include the assignment details of both the primary and secondary
employee assignments.
Mexico Users: For reporting voluntary contributions to SUA, the Mexico HR/Payroll
Outbound Interface uses the Global HR/Payroll Extract only as a template. Users must
1-54 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
make legislative changes to this extract definition before they can perform these
operations. Refer to the "Oracle HRMS for Mexico - Payroll System Extract for SUA -
Voluntary Contributions" whitepaper (My Oracle Support ID #336495.1).
US Users: You can also use the following predefined US HR/Payroll extracts. To use
these extracts you must create your elements using the Deduction window.
• US HR/Payroll Extract.
• US HR/Payroll Information Changes (Single Record). This extract displays all the
changes for each employee as a single record.
• US HR/Payroll Information Changes (Multi-Record). This extract displays each
change for each employee as a separate record.
When you are extracting pensions data, the US extracts the US extracts automatically
extract data for the additional elements for pension plans, such as Catch-up, After-tax,
and ER Match apart from the primary earnings and deduction elements.
Apart from the above generic US extracts you can also use the following preconfigured
US extracts to report specifically on Pre-tax EE, Catch-Up, ER Match, Loan Re-Payment
and deferred compensations:
• US HR/Payroll Pension EE Contribution
• US HR/Payroll Pension EE Def. Comp Pre-Tax Contribution
• US HR/Payroll Pension CatchUp
• US HR/Payroll Pension ER Match
• US HR/Payroll Loan Re-Payment
The following list shows the data elements typically used in the extract reports:
Employee Data Extracted from
National Identifier Social Security/National Identifier field on the
People window
Name (First Name, Last Name, Middle Name,
Prefix, and Suffix)
Last, First, Middle, Prefix and Suffix, fields in
the Name region of the People window
Address (Line 1 - 3, Region 1-3, Town or City,
Post Code, Country)
Primary address fields
Date of Birth Birth Date field on the People window
General Compensation Structures 1-55
Employee Data Extracted from
Recent Hire Date Latest Start Date field on the People window
Termination Date Actual termination-date field on the
Termination window
Marital Status Status field on the People window
Sex Gender field on the People window
Normal Hours Working Hours field of the Assignment
window
Employment Category Assignment Category field on the Assignment
window
Employment Status Status field on the Assignment window
Projected Compensation Person base salary
Actual Salary Balance of the regular salary element
Payroll Date Date of the payroll run
Employee Number Person employee number
Plan Contr Run result value of the of the pre-tax
deduction element
Pay Value Run result value of the selected element
Payroll Frequency Person payroll period type
Sample Balance Value Value of the balance specified in the formula
Sample Element Entry Value Run result value of the payroll element
specified in the formula
Typical data elements used in the header and footer regions of the extract reports are:
1-56 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Header
Creation Date
Payroll Date
Pay Cycle or Payroll Frequency
Group ID
The parameters you specify when running the extract process
Total Participant Records
You can change the header and footer information to suit your reporting needs.
Use the Global Pension Change Events Extract to report on changes in:
• Employee name
• Employee address
• Employee status
• Employee category
• Employee movements (new hires and terminations)
Note: The Global HR/Payroll Information Changes report displays all
the data elements that the predefined extract contains, not just the
elements for which you are reporting a change. To include only those
data elements for which you are reporting a change, make a copy of the
seeded extract and modify the layout accordingly.
Some of the elements have attached formulas. You can make copies of the extracts and
modify these formulas to extract the appropriate data. The following table lists those
data elements, the extracted values for those data elements and the attached formulas.
Data Element Fetched Value Formula to Edit
Sample Element Entry Value The value of any payroll
element's input value
PAY_GLOBAL_PEXT_GET_E
LE_ENTRY_VALUE
General Compensation Structures 1-57
Data Element Fetched Value Formula to Edit
Sample Balance Value The value of any balance
specified in the formula
PAY_GLOBAL_PEXT_GET_B
ALANCE_VALUE
US Users: If you are using the US extracts, you can update the following formulas to
extract the balance or input values you want to extract:
• PAY_US_PEXT_GET_ELE_ETRY_VALUE
• PAY_US_PEXT_GET_BALANCE_VALUE
Related Topics
Configuring the HR/Payroll Extracts, page 1-63
Running the HR/Payroll Extracts, page 1-66
Making Manual Element Entries
You enter compensation and basic benefits for employee assignments in the Element
Entries window. If employees are assigned to a salary basis, you enter their salaries in
the Salary page.
You can use the Element Entries window to make entries or to query existing entries.
Use the Period field, Classification field, and Processing Types option buttons to restrict
the entries you see when making inquiries.
Several Oracle HRMS features, such as Absence Management, RetroPay, and Salary
Administration, create element entries automatically. You cannot update these element
entries on the Element Entries window. You must update the source record (such as the
absence or salary record) to change the element entry.
The Processed check box shows if Oracle Payroll has processed the entry in the current
pay period. Notice that you can change an entry that has been processed. This enables
you to correct entries for retropay processing. Changing the entry does not alter the
payroll run results so you can consult these for a complete record of payroll processing
and payments.
See: Setting Up RetroPay, Oracle HRMS Payroll Processing Management Guide
Note: Your system administrator might have restricted the elements
you can enter in this window by element set, classification or
processing type.
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To enter an element for an employee assignment:
1. If necessary, change your effective date to:
• The correct start date for a recurring element entry
• Any date in the correct pay period for a nonrecurring element entry
If the pay period is closed at your effective date, you cannot enter any nonrecurring
elements that process in payroll runs. If a current or future pay period is closed, you
cannot enter any recurring elements that process in payroll runs.
2. To reduce the list of elements to choose from, select a classification, a processing
type, or both in the first region.
3. In the Element Name field, select an element.
Note: Elements this employee is eligible for by means of a standard
link appear automatically.
The system displays a warning message if the employee fails to meet any qualifying
conditions of age or length of service.
4. If the Costing field is enterable, you can enter cost codes, for example to indicate the
cost center the employee's time should be charged to.
5. You can select a reason for an element entry you make or update. As part of your
system setup, you can enter valid reasons for the Lookup Type
ELE_ENTRY_REASON.
6. You can check the Override check box to create an entry that overrides all other
entries of this element in the current period. You cannot create an override entry if
one already exists, or if any of the entries of this element have been adjusted.
7. If you want to create a one-time entry of a recurring element, check the Additional
check box.
An Additional entry is valid only for the current pay period, shown in the Effective
Dates fields.
You can only check Additional if:
• The element definition allows additional entries, and
• An additional entry does not already exist for the assignment in this period,
and
• The employee is assigned to a payroll
General Compensation Structures 1-59
• There is a payroll period defined at your effective date
8. Choose the Entry Values button to open the Entry Values window.
9. Enter values in the Entry Values fields. Notice that:
• Entry to some fields may not be permitted.
• Some fields may be required.
• Some fields may have a list of values; others may be validated as you leave the
field. You will receive a message if your entry is not a valid value.
• Some fields may contain default values. If the default value is in quotation
marks, it is a "hot default".
Important: You should consider carefully before overriding a
hot default. If you override it, then any subsequent changes to
the default value on the element or element link definition will
notaffect the element entry. However, you can clear your entry
if you want the default value to come back into effect.
For Kuwait users only: To enter information about the elements with deduction
classification, click on Further Entry Information and enter the following:
• Reference number, which is the sequence number used while setting up the
deduction type
• Authority for the deduction account
• Select the type of deduction
• Total deduction amount for the element
• Start and end date for the deduction. The deduction process depends on the
start and end dates that you select for the element. Oracle HRMS uses these
dates for reporting purpose.
10. For a non-recurring element, optionally select a date within the current payroll
period in the Date Earned field. The entry will not be processed until this date (that
is, the Date Earned of the Payroll Run must be on or after this date).
11. To enter information about a third party recipient of a payment resulting from a
deduction element, use the Payee Details field. Select the name of the third party
payment method set up for this payment.
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12. To determine the processing sequence of multiple entries in the payroll run, enter a
subpriority number in the Processing Priority field. Lower priority numbers process
first.
Note: The Processing Priority field is not available to HR-only
users. For more information on user types and the HR:User Type
profile option, see: User Profiles, Oracle HRMS Configuring,
Reporting, and System Administration Guide.
13. Save your work.
Adjusting a Pay Value
Oracle Payroll users can adjust the Pay Value of any normal recurring payroll element
entry. When you open the Entry Values window for an entry of this kind, you will see a
Show Adjustment check box in the lower left corner of the window. You do not see this
check box until you have saved the entry.
You can adjust a Pay Value by adding an amount to the initial value, subtracting an
amount from the initial value, or replacing the initial value with a specified amount.
You can also remove an adjustment and return the Pay Value to the initial value.
The following conditions apply to adjusting a Pay Value:
• You cannot adjust an entry that has been overridden (that is, the Override check
box has been checked for an entry of this element in this period).
• You can make multiple changes to the adjustment before processing but only the
single most recent change to the adjustment will be processed.
• You will not overwrite the Pay Value stored in your database. The Pay Value will
still be used in subsequent payroll runs. The adjustment is used in the next
processing run.
Important: Do not use this method of adjustment if the element's
formula performs essential processing, such as checking limits or
iterative processing for a pre-tax deduction. If you select the Replace
option, the element's formula is ignored in the payroll run. If you select
the Add or Subtract options, the amount you specify is added or
subtracted after the formula processing is complete, without regard for
any limits set by the formula. US users: Instead, you can replace the
Pay Value using the Special Inputs element.
General Compensation Structures 1-61
To adjust a Pay Value:
1. Query the element entry in the Element Entries window and choose the Entry
Values button.
2. Check the Show Adjustment check box.
In the Adjustment pop-up list, you will see a description of the current adjustment.
• None means that there are no adjustments to the Pay Value.
• Add means that the adjustment shown has been added to the Pay Value.
• Subtract means that the adjustment shown has been subtracted from the Pay
Value.
• Replace means that the adjustment shown has replaced the Pay Value.
3. To cancel an existing adjustment, select None. Now you can enter a new
adjustment, if necessary.
4. To enter a new adjustment, select Add, Subtract or Replace. You can only select
Add or Subtract if the Pay Value is numeric.
5. Enter the value to add to, subtract from, or replace the existing Pay Value entry.
6. Save the change.
Deleting Element Entries
You can delete element entries in the Element Entries window.
To delete a nonrecurring element entry:
1. Set your effective date to any date within the payroll period for which the entry
exists.
2. Click on the entry to select it, choose Delete Record, and save.
To delete a recurring element entry:
1. Set your effective date to any date within the payroll period for which the entry
exists.
2. Click on the entry to select it and choose Delete Record.
3. Choose Purge in the dialog box that displays, and save.
1-62 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Note: Your ability to purge element entries is controlled by the user
profile option HR: Purge Element Entry Permission, which is set by
your system administrator. You may be able to purge all element
entries, entries of information elements only, or none.
Deleting Processed Entries
You can delete an element entry that the payroll run has processed. You receive a
warning message. This does not remove the payroll run results so you can consult these
for a complete record of payroll processing and payments.
To reprocess corrected element entries from the past, run the retropay processes.
See: Setting Up RetroPay, Oracle HRMS Payroll Processing Management Guide.
Listing Employees by Element
In the List Employees by Element window, you can view a list of the employees with
entries to an element in any period of time you choose. You can also see the last entry
value (in that time period) for each assignment.
Note: If your system administrator has customized this window, you
may be restricted to selecting elements of a certain processing type or
element set.
To view a list of employees receiving an element:
1. Select an element.
2. Select Current Employees, Ex-employees, or both.
3. You can also enter a date range. Both date fields default to your effective date.
4. Choose the Find button.
5. You can enter additional query criteria in the Element Entries region. For example,
click in an Entry Value field, choose View > Query by Example > Enter, enter a
value, and run the query.
The Element Entries region displays all entries of the element for employees of the
type you selected in the chosen time period.
Note: This window does not display datetracked updates to
recurring element entries. You only see the latest value (within your
chosen time period) of each element entry. The date of the last
General Compensation Structures 1-63
datetracked update may vary from employee to employee. The
Start and End Date fields in the Element Entrues region show the
dates of the last update.
Viewing Element Entry History
In the View Element Entry History for Employee window you can view, for a single
employee assignment, a history of entries for:
• One element
• All recurring elements, all nonrecurring elements, or both
• Elements from a selected classification
Note: If your system administrator has customized this window, you
may be restricted to viewing elements of a certain processing type or
element set.
To view element entry history for an employee:
1. Enter your selection criteria. You can:
• Select a classification.
• Select a processing type.
• Enter a date range. The end date defaults to your effective date.
2. Place your cursor in the Element Name field and run the query.
The window displays all entries of the types of element you selected within the time
period, including datetracked updates to entries. New entries are shown in bold to
contrast with datetracked updates, which are listed under the initial entry.
3. Select an entry and choose the Entry Values button to view the entry values.
Configuring the HR or Payroll Extracts
Oracle HRMS supplies the following seeded HR/Payroll extract definitions:
• Global HR/Payroll Extract
• Global HR/Payroll Information Changes (Single Record)
1-64 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Mexico Users: For configuration instructions, refer to the "Oracle HRMS for Mexico -
Payroll System Extract for SUA - Voluntary Contributions" whitepaper (My Oracle
Support ID #336495.1).
US Users: You can also use the following predefined US HR/Payroll extracts:
• US HR/Payroll Extract
• US HR/Payroll Information Changes (Single Record)
• US HR/Payroll Information Changes (Multi-Record)
• US HR/Payroll Loan Re-Payment
• US HR/Payroll Pension CatchUp
• US HR/Payroll Pension EE Contribution
• US HR/Payroll Pension EE Def. Comp Pre-Tax Contribution
• US HR/Payroll Pension ER Match
To configure the extracts for your own reporting needs, copy and modify them as
follows.
1. Use the copy function within the system extract to copy the predefined extract you
want to modify. In the extract Definition window, query the seeded extract
definition, enter a prefix in the New Extract Prefix field, and choose the Copy
Extract button.
2. Edit the copies of the following sample formulas to perform the processing you
require:
Data Element Fetched Value Formula to Edit
Sample Element Entry Value The run result value of any
payroll element's input
value
PAY_GLOBAL_PEXT_GET_
ELE_ETRY_VALUE
Sample Balance Value The value of any balance
specified in the formula
PAY_GLOBAL_PEXT_GET_
BALANCE_VALUE
US Users: If you are using the US extracts, update the following formulas to extract
the balance or input values you want to extract:
• PAY_US_PEXT_GET_ELE_ETRY_VALUE
General Compensation Structures 1-65
• PAY_US_PEXT_GET_BALANCE_VALUE
3. Modify the extract layout definition to change the data elements that the extracts
include and the format of the extract definitions.
See: Defining an Extract Layout, Oracle HRMS Configuring, Reporting, and System
Administration Guide
4. Modify the extract criteria profile to change the extract criteria. The extract criteria
you select determine the data that the application extracts to your reports.
See: Defining an Extract Criteria Profile, Oracle HRMS Configuring, Reporting, and
System Administration Guide
To define the extract criteria profile for the extract for changes, you must enable the
change events in the Application Utilities Lookups window. Query the Lookup
type BEN_EXT_CHG_EVT and select Enabled for the change event.
5. Create the extract definition to set the parameters for the extract.
Your extract definition includes an extract criteria profile and an extract layout
definition that you have already defined. It also includes other parameters needed
for the extract batch process, such as the output directory and file name of the
extract file.
See: Defining a System Extract, Oracle HRMS Configuring, Reporting, and System
Administration Guide
6. If you have more than one element to report on, create an element set and specify
the set name as one of the parameters of the extract process. For example, if you
want to report on several pension plans together, create an element set.
See: Defining an Element or Distribution Set, page 1-49.
Note: US Users: If you are configuring the US extracts for a pension
plan, include only the primary pension elements in the element set.
Do not include other pension elements such as Catchup, After-Tax,
or ER Match. You can include in the element set only those
elements that you created using the Deduction window. The
elements you include in the set must be of the same type. You
cannot combine 401k, 403b, and 457 elements in the same set.
7. The Global Extracts concurrent programs are currently available for US and UK
responsibilities only. To allow other users to run these programs from the Submit
Request window, add the relevant programs to the request group for their
responsibility.
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Running the HR or Payroll Extracts
Using the HR/Payroll extracts you can extract employee and payroll data, such as the
details of earnings, deductions, and information elements for reporting purposes.
Use the Submit Request window to run the HR/Payroll extract you require.
To run the Extracts:
Mexico Users: To run the extracts, refer to the "Oracle HRMS for Mexico - Payroll
System Extract for SUA - Voluntary Contributions" whitepaper (My Oracle Support ID
#336495.1).
1. Select Global HR/Payroll Outbound Interfaces in the Name field.
US Users: To run a US HR/Payroll extract select US HR/Payroll Outbound
Interfaces.
2. Click in the Parameters field to open the Parameters window.
3. Select the extract you require. You can choose from the following predefined
extracts or from the copies of the extracts you have modified.
• Global HR/Payroll Extract (full-profile extract)
• Global HR/Payroll Information Changes (Single Record)
US Users: To run a US HR/Payroll extract, choose from the following predefined
extracts or from the copies of the extracts you have modified:
• US HR/Payroll Extract
• US HR/Payroll Information Changes (Multi-Record)
• US HR/Payroll Information Changes (Single Record)
• US HR/Payroll Loan Re-Payment
• US HR/Payroll Pension CatchUp
• US HR/Payroll Pension EE Contribution
• US HR/Payroll Pension EE Def. Comp Pre-Tax Contribution
• US HR/Payroll Pension ER Match
4. Select the appropriate reporting options.
The reporting options available for the full-profile extract are:
General Compensation Structures 1-67
• Details - provides details of each assignment action for an assignment
• Summary - provides a summary of all assignment actions for an assignment for
a given period
The reporting options for the extract for changes are:
• All Employees - provides details of all employees in the organization
• Employees Enrolled in Plan - provides details of only those employees who are
enrolled in a specific plan
5. In the Selection Criteria field, select either Element Name or Element Set.
6. Do one of the following:
• Select the element name.
Note: US Users: If you are running US extracts, this should be
one of the primary deduction elements you would have created
for the 401(k), 403(b), and 457 plans.
• Select the element set name.
7. Enter the dates for which you want to generate the report.
8. Select a value for one or more of the following parameters to restrict the employees
included in the extract:
• Payroll
• Consolidation Set
• Organization
• Person Type
• Location
9. Click OK then Submit.
10. View the output in the Extracts Results window.
11. View the change events that have occurred to a person or modify the change event
log using the Change Event Log window.
12. Run the Extract Write Process to write the results of the extract to the file you
1-68 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
specified in your extract definition.
General Compensation Structures 1-69
Compensation Objects
Plan Design
Your plan design defines, categorizes, and helps you to manage the benefits that you
offer to your employees and other eligible participants. The plan design is the domain
of the benefits practitioner who uses the product to define the structure and elements of
the benefits offering and the rules that administer these benefits.
At its core, the plan design determines the benefits that eligible participants may
receive. Examples of such benefits include health and welfare plans, savings plans, and
group term life insurance.
You structure your benefits offerings according to a hierarchy so that the rules and
definitions that are set at the top level (the program) cascade to the benefits at the
bottom level (the options in the program).
Your plan design also includes eligibility definitions and enrollment requirements, and
the activity rates calculations that determine the contributions and distributions
associated with a plan.
Compensation Objects
Central to benefits administration are the compensation objects that you use to define,
categorize, and manage the benefits that you offer to eligible participants. The four
compensation object types that you use to structure your benefits offerings are
programs, plan types, plans, and options.
Defining compensation objects is a key part of your overall plan design that includes
defining eligibility and enrollment requirements, plan year periods, activity rates, and
other elements of benefits management.
• The hierarchical structure of compensation objects
• Viewing a program structure that you have defined
Hierarchical Structure of Compensation Objects
Compensation objects are designed hierarchically so benefits that share similar features
can be defined in similar ways. You build this hierarchical structure by defining
attributes of the different compensation objects and then linking the components into a
hierarchy.
Compensation Object Hierarchy
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A description of the four compensation objects follows:
Program: A package of benefits offerings. Programs are important because they set the
boundaries for the benefits you offer. You define many administrative procedures and
rules at the program level.
Plan Type: A grouping of similar benefits offerings to facilitate their management.
Example plan types include medical, dental, employee group life insurance, and
savings.
Plan: A formally defined benefits offering that a participant can elect, such as a medical
plan.
Option: A level of coverage for a participant's election, such as Employee Only for a
medical plan, or 2x Salary for a life insurance plan.
Attributes set at the program level are inherited by each level of the compensation
object hierarchy. However, if these same attributes are set at a lower level in the
hierarchy, the compensation object inherits those attributes set at the lowest level at or
above its level. A compensation object never inherits attributes set at a lower level in the
compensation object hierarchy.
General Compensation Structures 1-71
Program Structure Terminology
Before you set up a benefits program, you should familiarize yourself with fundamental
terms that refer to associations between the four compensation objects. Whether or not
you choose to link compensation objects together depends on your eligibility rules and
the breadth of benefits that you offer to your participants. The table below outlines the
programme structure terminology:
Programme Structure Terminology
Terminology Description
Program Any program, regardless of whether that program has been
associated with any other compensation objects.
Plan Type Any plan type, regardless of whether that plan type has been
associated with a program.
Plan Type in Program A plan type that has been associated with a program.
Plan Any plan, regardless of whether that plan has been associated with
a program.
Plan in Program A plan that has been associated with a program.
Not in Program Plan A plan that has not been associated with a program.
Option Any option, regardless of whether that option has been associated
with a plan.
Option in Plan An option that has been associated with a plan.
Compensation Object Definition
You define your compensation objects in the order below. As you define objects in the
hierarchy, you associate objects together to form your program structure.
1. Define plan types.
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2. Define options.
3. Associate options with plan types.
4. Define plans.
5. Associate options with plans.
6. Associate plans with plan types.
7. Identify which plans are not part of a program.
8. Define programs.
9. Associate plans and plan types with programs.
For example, let's say you want to define the medical plans offered by a benefits
program you are administering. You first define the plan type of medical. Then, you
define the coverage options available for the medical plan type, such as Family and
Employee only.
Next, you define the medical plans in the plan type, such as an HMO or a PPO offering.
Lastly, you associate the plans or plan type with a program that groups together a
variety of plans and plan types into a single benefits offering.
Plan Types
You define plan types as categories of benefits grouped according to the type of benefit
provided. Common plan types include medical, employee group life insurance, and
savings.
Plan types are used to record administrative rules for all benefits of the same type.
When you define a program that groups plans together, you specify parameters that
control how plans of the same plan type behave.
Plan types are the most stable of the four compensation objects. Once you define the
plan types that you need to support your benefits offerings, you rarely need to modify
them.
Options
You can define options for many purposes, but commonly you do so to define coverage
available under one or more plans.
Options are re-usable. Once defined, you can associate an option with one or more
plans. When you associate an option type with a plan type, you make options of that
type available for selection to all plans in that plan type.
For example, you could define the options Employee Only, Employee Plus Spouse, and
Employee Plus Family and then associate each option with the plan types of Medical,
Dental, and Vision.
General Compensation Structures 1-73
Designation Requirements for Options
Some benefits plans require that dependents and beneficiaries covered by an option are
a specific familial relation to the primary participant. You can limit the relationship
types covered under an option by defining a relationship group that includes specific
types of people. Group relationship types include:
• Children
• Domestic partner
• Family
• Nonpersonal
Within a group relationship, you define which relationship types apply to the group.
For the group relationship of Children, you might include the relationship types:
• Adopted child
• Natural child
• Step child
You can also limit the number of dependents covered by an option. A designee that
does not meet the designation requirements for an option is not eligible for coverage
under that option.
Plans
You define a plan as a formal benefits offering. Your organization may define medical,
dental, and savings plans among many others.
Your plan definition consists of:
• The kind of plan you are defining and its plan type
• The eligibility profile that controls who is eligible for the plan
• The plan's activity reference period
• The options in the plan
• The plan year
In addition to these definitions, there are a variety of other factors that you include
when defining a plan. However, these are some of the most common.
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Programs
You define programs in order to group benefits together as a package. Your program
definition consists of:
• The plan types and plans in the program
• The eligibility profile that controls who is eligible for the program
• The program year period
• For Advanced Benefits customers, the life events that enable enrollment in the
program
Programs are important because they set the boundaries for what benefits are offered to
your employees and other eligible participants. Also, it is at the program level that you
define many administrative procedures and rules, such as eligibility requirements that
cascade to the plan types, plans, and options in the program.
You define currency types at the program level. A plan in program must inherit the
program's currency definition. You cannot associate a plan with more than one
program if those programs use different currency types.
For Advanced Benefits users, you can specify the valid reasons for waiving out of
waivable plan types in a program. You can then define the waive certification that you
accept for each valid waive reason.
Program Structure Display
You use the Hierarchy window to display the program structure that you have created.
The program structure shows how plan types, plans and options are grouped
hierarchically in your program.
You can display four views of a program's structure. Each view displays data by
program year or plan year and by effective date.
Plans in Programs: Displays all programs, and under each program, its plan types, the
plans in each of these plan types, and the options in each of these plans. This is the most
comprehensive view.
All Plans: Displays all plan types, the plans in each of these plan types, and the options
in each of these plans.
Plans Not In Programs: Displays those plans types that contain the not in program
plans, the not in program plans in each of these plan types, and the options in these not
in program plans.
Options In Plans: Displays all active options, the plans that use these options, and the
programs that use these plans.
General Compensation Structures 1-75
Program and Plan Year Periods
You define program and plan year periods--as well as fiscal years--using the calendar
start and end dates through which programs or plans are in effect.
Once you define a year period, you associate it with the appropriate program or plan.
Integration with Authoria HR (US and UK)
You can establish context-sensitive information access between Oracle HRMS and the
third party information product Authoria HR.
Authoria HR uses a common knowledge repository to manage and communicate HR
and benefits information. Once you set up a total compensation plan, you can configure
links between Oracle HRMS and Authoria HR. End users can click on links in Total
Compensation windows and self-service pages to display context-sensitive Authoria
HR documentation.
You can configure the following windows in the Professional User Interface for
Authoria HR:
• View Enrollment Results window
• View Participation Information window
• Flex Program window
• Non-Flex Program window
• Savings Plan window
• Miscellaneous Plan window
• Person Life Events window
You can configure the following self-service pages for Authoria HR:
• Benefits Enrollment Overview page
• Current Benefits page
• Confirmation page
• Benefits Selection page
See Configuring Links Between Oracle Standard and Advanced Benefits and Authoria
HR, Oracle HRMS Configuring, Reporting, and System Administration Guide
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Reimbursable Goods and Service Types
In addition to traditional benefits offerings, such as health and welfare and savings
plans, you can define goods and services that your organization approves for
reimbursement.
You can use this feature to define flexible spending account plans or to define other
reimbursable goods and services, such as a medical insurance claim form, a monthly
invoice from a registered dependent care provider, a cash award, or a wall plaque.
Reimbursement Plans
Flexible Spending Accounts (FSAs) and other plans that reimburse participants for
certain incurred expenses have special plan design features. You define information
that is specific to reimbursement plans after you perform basic plan set up tasks, such as
defining a plan's eligibility requirements.
Note: When you set up the coverage for a flexible spending account,
select a coverage calculation method of Same As Annualized Elected
Activity Rate so that the participant receives the amount of coverage
they elected for the year.
Plan Design Copy
Plan Design Copy enables you to copy program and plan design data that you have
already entered into an Oracle HRMS database. The copy process creates a new instance
of the compensation object and its associated child records.
Note: The Copy Process does not copy person related records, only
plan design data.
You can use Plan Design Copy to save time during your implementation by avoiding
repetitive data entry where plan design components are similar or identical. For
example, you can copy a base plan, then makes changes to the new plan with the
applications windows you used to create the base plan.
Plan Design Copy is available to all Oracle HRMS customers and does not require a
license for Self-Service or Advanced Benefits. You can use Plan Copy for any plans that
you administer using the Total Compensation data model, including:
• Standard and Advanced Benefits Programs and Plans
• Compensation Workbench Plans
• Individual Compensation Distributions Plans
General Compensation Structures 1-77
• Absence Plans
When you copy a program or plan, the copy process copies the compensation object
and plan design data associated with the object stored in benefits tables. For example, if
you copy a program, the copy process also copies:
• Plan types in program
• Plans in program
• Options in plan
• Participant and dependent eligibility profiles
• Enrollment requirements
• Life events
• Standard and variable rate calculations
• Coverage and premium calculations
• Flex Credit calculations and benefit pools (Advanced Benefits)
• FastFormulas (however, the process does not verify the formula or copy any
functions called by the formula)
For a list of items that the copy process does not copy, see: Exceptions to the Copy
Process, page 1-80
Copy Target
You can copy a compensation object and its child records to the same business group or
to a different business group.
You can also export a program or one or more plans into a flat file. Exporting a
compensation object is useful if you want to transfer a plan design between database
instances, for example, between a test and a production database. You export a plan
design by selecting Export to File on the Select Target page.
You import the file into the database through a concurrent request and then complete
the transaction using Plan Design Copy.
See: Importing a Plan Design From a File, page 1-123
Reuse of Existing Child Objects
Child objects are components of a plan design that you attach to a higher level object,
such as a plan in a program or an activity rate attached to an option.
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You can reuse child objects that exist in your target business group. For example, you
may want to reuse a plan that is shared between two programs rather than maintaining
two versions of the same plan.
You can choose how the copy process functions when duplicate objects exist in the
target database. You can:
• Reuse existing objects if objects with the current namein the source business group
exist in the target business group.
• Reuse existing objects if objects with thenew nameformed by adding a prefix or
suffix to the current name exist in the target business group.
• Create new objects without reusing duplicate objects.
Application of these rules--along with certain exceptions required by the Total
Compensation data model--are documented below.
Copy Within a Business Group
When you copy a plan design within a business group, a prefix or suffix is mandatory.
Top level objects that you copy (such as a program or plan not in program) must be
unique within the business group.
If you reuse objects with the current name in the business group, the copy process:
• Creates top level objects with a new name based on the prefix or suffix you supply.
• Generates an error if top level objects exist with the new name based on the prefix
or suffix you supply.
• Reuses child objects with the current name or, if no objects are found, creates child
objects with the current name.
• Creates activity rate objects with the new name.
If you reuse objects when the new name exists in the business group, the copy process:
• Creates top level objects with the new name.
• Generates an error if top level objects exist with the new name.
• Reuses child objects with the new name or, if no objects are found, creates child
objects with the new name.
• Reuses life event reasons and FastFormulas with the new name. If the process does
not find an object with the new name, it reuses an object with the current name. If it
does not find an object with the current name, it creates an object with the new
name.
General Compensation Structures 1-79
If you do not reuse existing objects, the copy process:
• Creates top level and child objects with the new name.
• Generates an error if top level or child objects exist with the new name.
• Reuses life event reasons and FastFormulas with the current name, or, if no objects
are found, creates objects with the new name.
Copy to a Different Business Group
When you copy a plan design to a different business group, a prefix or suffix is optional
.
If you reuse objects with the current name in the different business group, and you do
not enter the optional prefix or suffix, the copy process:
• Creates top level objects with the current name.
• Generates an error if top level objects exist with the current name.
• Reuses child objects with the current name or, if no objects are found, creates child
objects with the current name.
Note: If the copy process finds a child record with a different name, but
the same sequence number (such as for eligibility profiles or options in
plan), the process generates an error.
If you reuse objects with the current name in the different business group, and you
enter a prefix or suffix, the copy process:
• Creates top level objects with the new name.
• Generates an error if top level objects exist with the new name.
• Reuses child objects with the new name or, if no objects are found, creates child
objects with the new name.
• Creates activity rates with the current name if rates with the current name are not
found. If rates with the current name are found, the process creates rates with the
new name. If the process finds existing rates with the new name, the process
generates an error since activity rate names must be unique.
• Reuses life event reasons and FastFormulas with the current name or creates objects
with the new name.
If you reuse objects when the new name exists in the different business group, the copy
process:
1-80 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
• Creates top level objects with the new name.
• Generates an error if top level objects exist with the new name.
• Reuses child objects with the new name or, if no objects are found, creates child
objects with the new name.
• Reuses life event reasons and FastFormulas with the new name. If the process does
not find an object with the new name, it reuses an object with the current name. If it
does not find an object with the current name, it creates an object with the new
name.
If you do not reuse existing objects in the different business group, and you do not
enter the optional prefix or suffix, the copy process:
• Creates top level and child objects with the current name.
• Generates an error if top level or child objects exist with the current name.
• Reuses life event reasons and FastFormulas with the current name, or else creates
objects with the current name.
If you do not reuse existing objects in the different business group, and you enter a
prefix or suffix, the copy process:
• Creates top level and child objects with the new name.
• Generates an error if top level or child objects exist with the new name.
• Reuses life event reasons and FastFormulas with the new name. If the process does
not find an object with the new name, it reuses an object with the current name. If it
does not find an object with the current name, it creates an object with the new
name.
Exceptions to the Copy Process
The copy process does not copy:
• Non-benefits data, such as HR and Payroll data referenced by your plan design.
You must map this data to targets in the new business group as part of the copy
process.
• Regulations
• Person changes and related person changes for life event reasons. The process
copies the top level of your life event reason definition, but you must reselect the
table and column names that define the data change.
General Compensation Structures 1-81
• Eligibility and variable rate criteria based on enrollment in another plan, the People
Group flexfield, or status as a COBRA Qualified Beneficiary (US).
• Functions called by FastFormulas you have written. Nor does the process verify the
formula. The copy process does, however, copy the formula and its associated code.
Note: If a Lookup Type used in your plan design changes from
Extensible to System (due to an application upgrade), and you have
added new codes to the Lookup Type, the process will not copy the
plan design. In this case, you must remove any codes you have added
to the Lookup Type before you can copy the plan design.
Activity Rates and Combination Plans
Because you link activity rates to compensation objects, activity rates must be unique to
the compensation object. Therefore, whenever possible, the activity rate is copied with
the prefix or suffix that you supply. Activity rates include:
• Standard rates
• Flex credits
• Benefit pools
• Coverage calculations
• Actual Premiums
Combinations always include a program (plans in program, plan types in program, or
options in program) thus the program must have a unique name.
Special Requirements for Plan Design
Certain types of plans have special requirements that you should know about before
you begin to record your plan design in the system. These special plans include flex
credit plans, flexible spending accounts, life insurance plans, and imputed income
plans.
Flex Credits Plans (Advanced Benefits)
If you are offering a flex credit plan, you must set up a flex credits program, even if
there is only one plan for which you offer flex credits.
Flexible Spending Account Plans (Advanced Benefits)
If you want to identify reimbursable goods and services for FSAs, you must set up these
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accounts as separate plans, rather than as separate options within an FSA plan. You
cannot associate goods and services at the option level. Examples of FSAs include US
health care and dependent care plans.
Imputed Income Plans (US)
When you administer a plan that is subject to imputed income there are certain
requirements that you need to follow during your plan design.
You must create two plans, one that is subject to imputed income and a second plan,
called a placeholder plan, that you use to record the imputed income calculation. You can
have only one placeholder plan per program, or a placeholder plan can be linked to
multiple programs.
• Select the person type that is Subject to Imputed Income in the General tabbed
region of the Plans window. Choose participant, spouse, or dependent based on the
person type covered by this plan.
• Select the person type for which you are recording imputed income in the
placeholder plan using the Imputed Income Type field in the Restrictions tabbed
region of the Plans window.
• Select an Age to Use code in the Age tabbed region of the Derived Factors window
based on the person type covered by the plan when you define the derived factor.
• You can define only one imputed income plan in a program.
• You can associate an imputed income plan with more than one program.
• You cannot link an eligibility profile to the imputed income placeholder plan.
Note: By default, the imputed income calculation assumes that the
employer pays 100% of the benefit, and the benefits system does not
subtract employee contributions from the calculation. However, you
can set the BEN:Imputed Income Post Tax Deduction profile to Y so
that the imputed income process deducts the sum of all standard rates
defined as Subject to Imputed Income with a Tax Type of After Tax and
an Activity Type of either Employee Payroll Contribution, Employee
Individual Contribution, or Employee Plan Contribution.
Life Insurance Plans
If you offer dependent and spousal life insurance, and you limit the level of dependent
or spousal coverage as a percentage of the employee's life insurance coverage, system
processing requires that you set up three plans (Employee Life Insurance, Spousal Life
Insurance, and Dependent Life Insurance) and associate them with corresponding plan
General Compensation Structures 1-83
types (Employee Life Insurance, Spousal Life Insurance, and Dependent Life
Insurance).
Considerations for Associating a Plan with a Program
When you define a benefits plan, it is not necessary that the plan be placed in a
program. However, there are advantages to associating a plan with a program. In
general, a plan belongs in a program when:
• Participants typically enroll in the plan at the same time they enroll in other plans in
the program.
• Participation eligibility requirements defined for the program also apply to the
plan.
In general, a plan does not belong in a program (termed a "not in program plan") when:
• Participants typically enroll in the plan at a different time than other plans in the
program.
• Participation eligibility requirements defined for the program differ substantially
from those defined for the plan.
• The benefits the plan provides differ substantially from the benefits provided by
other plans in the program.
Currency Definition for Multinational Organizations
You define currency types at the program level. A plan in program must inherit the
program's currency definition. You cannot associate a plan with more than one
program if those programs use different currency types.
For example, let's say your organization defines two programs, a US Benefits Program
and a Canadian Benefits Program. You must define different currency types for these
two programs.
Accordingly, you must define two employee stock purchase plans: the US Employee
Stock Purchase Plan and the Canadian Employee Stock Purchase Plan to accommodate
the different currency types of the programs with which they are associated.
Reporting Groups
A reporting group is a collection of programs and plans that you group together for
reporting purposes, such as for administrative use or to meet regulatory requirements.
At the plan level, you can define the regulatory bodies and regulations that govern a
reporting group.
For each regulatory body that you link to a plan, you can define how the regulatory
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body governs that plan. You can also record the date the plan was qualified by the
regulatory body and the approved termination date if the regulatory body does not
recognize a plan's qualifications after a certain date. An approved termination date is
typically defined when a reporting group must be re-evaluated by the regulatory body
on a periodic basis.
Since US benefit plans are subject to federal nondiscrimination testing requirements,
you may define special FastFormula rules to help determine compliance with these
regulations. You can define the following rules:
Contribution Nondiscrimination is used to identify those participants who cause the
plan to be out of compliance with contribution nondiscrimination provisions.
Coverage Nondiscrimination is used to identify those participants who cause the plan
to be out of compliance with coverage nondiscrimination provisions.
Five Percent Owner is used to determine those participants who are 5% owners of the
business.
Highly Compensated Determination is used to determine those participants who are
highly compensated in the context of the plan for nondiscrimination testing purposes.
Key Employee Determination is used to determine those participants who are key in
the context of the plan for nondiscrimination testing purposes.
Defining a Benefits Program
You use the Programs window to date effectively create and maintain your program
design. Many of the values that you set at the program level cascade to the plan types,
plans, and options that you define and associate with this program.
To define general characteristics of a program:
1. Enter a unique Program Name starting with a letter of the alphabet (not a number
or symbol).
2. Enter a Description of the program.
3. Select the Program Status.
Pending: No participants are actively enrolled in plans in this program, but could
be in the future if you change this program's status to Active. Select the Pending
status when setting up a program that possibly may not become Active.
Eligibility processes operate on pending programs in "evaluate-only" mode, and do
not create active records.
Active: Eligible persons currently may be enrolled in plans in this program.
Inactive: Current participants can remain in plans in this program, but no new
participants can enroll in plans in this program.
General Compensation Structures 1-85
Closed: No participants are enrolled in any plans in this program, nor will any
enroll in the future (unless you reactivate the program).
4. For Advanced Benefits users, enter the alphanumeric identifier in the IVR field that
a participant uses to identify this program using interactive voice response or
telephony technology.
5. Select a Program Type for this program.
6. Select an Activity Reference Period to specify the time period in which the system
expresses activity rates for all plans in this program.
7. Select a Program Group to group this program with other programs for reporting
purposes.
8. Select an Enrollment Rate/Frequency. This is the rate that is communicated to
participants.
• Select Estimated Per Pay Period to calculate the element entry based on a fixed
number of pay periods, 52 for weekly and 26 for bi-weekly pay periods.
9. Select the standard monetary Currency for all plans in this program.
10. Enter a URL in the Web Address field to create a hypertext link from the program
name on an Oracle Self-Service Human Resources benefits enrollment web page to
a URL containing information about this program. This URL can reside on an
intranet or the World Wide Web.
11. For US customers, select the level at which you are administering COBRA
programs in the Determine Enrollment Period Level field.
• Select Program if your COBRA administration rules are set at the program level
and apply to all plan types and plans in the COBRA program.
• Select Plan Type in Program if your COBRA administration rules vary between
the plan types in the COBRA program.
12. Select a Family Member Code or rule to indicate the kind of family members that
must be recorded in a participant's contact record in order for the participant to be
eligible for this program.
Defining Eligibility and Override Parameters for a Program
You use the check boxes in the General tabbed region of the Programs window to set
eligibility and override parameters for a program.
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To define eligibility and override parameters for a program:
1. Check the Participation Eligibility Override Allowed field to enable an override
using the Participation Override window.
Checking this field is necessary if you want to allow plan participation under
special circumstances, such as a negotiated benefits package for a new hire.
Important: All plans and options in this program inherit this setting
unless you specify differently at the plan or option in plan levels.
2. Check the Use All Assignments for Eligibility field to inform the system to consider
all of an employee's active assignments (rather than just the primary assignment)
when determining eligibility for this program.
3. For Advanced Benefits users, check the Track Ineligible Person field to cause the
system to track persons who are found ineligible for participation in this program
when the Participation process is run.
Note: You use the View Participation Information window to view
the compensation objects for which a participant is either eligible or
ineligible.
Note: You must check this field if you determine benefits eligibility
based on temporal factors, such as age or length of service.
4. Check the Use All Assignments for Rates field to inform the system to consider all
of an employee's active assignments (rather than just the primary assignment) when
determining activity rates for the plans and options in this program.
5. Save your work.
Associating Plans and Plan Types with a Program
You use the Plan and Plan Type window to put one or more plans or plan types into a
program.
To associate a plan or plan type with a program:
1. Enter or query the program to which you are adding a plan or plan type in the
Programs window and choose the Plans and Plan Types button.
2. Choose the Plans tabbed region to add a plan to the program.
General Compensation Structures 1-87
3. Choose the Plan Type tabbed region to add a plan type to the program.
Note: When you link a plan type to a program, you must still link
the plans in that plan type to the program using the Plans tabbed
region.
4. Enter a Seq (sequence) number for a plan or plan type you are associating with this
program.
Note: You enter a sequence number to define the order in which
the compensation object appears in an enrollment window.
Advanced Benefits customers can use sequence numbers to control
the interim coverage assigned when an election is suspended.
5. Select the Plan or Plan type that you are associating with this program.
6. For Advanced Benefits users, enter the alphanumeric identifier in the IVR field that
participants use to identify this plan or plan type using interactive voice response or
telephony technology.
7. Select the Status of this plan or plan type.
Active: Participants can enroll in this plan or the plans in this plan type.
Pending: No participants are actively enrolled in this plan or plan type, but could
be in the future if you change its status to Active. Eligibility processes operate on
this compensation object in "evaluate-only" mode, but do not create active records.
Select the Pending status when setting up a plan or plan type that might not
become Active.
Inactive: Current participants can remain enrolled in this plan or the plans in the
plan type, but no new participants can enroll.
Closed: No participants are enrolled in this plan or the plans in this plan type, nor
will any enroll in the future (unless you reactivate the program).
8. Enter a URL in the Web Address field to create a hypertext link from this plan or
plan type name on an Oracle Self-Service Human Resources benefits enrollment
web page to a URL containing information about this program. This URL can reside
on an intranet or the World Wide Web.
9.
Check the Waivable field in the Plan Types tabbed region if eligible persons can
waive participation in all plans of this plan type.
10. For Advanced Benefits users, check the Track Ineligible Person field to cause the
system to track persons who are found ineligible for participation in the plans and
plan types in this program when the Participation Process is run. If you want to
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track ineligibility, you must also check the Track Ineligible Person field for the
program.
Note: You use the View Participation Information window to view
the compensation objects for which a participant is either eligible or
ineligible.
Note: You must check this field if you determine benefits eligibility
based on temporal factors, such as age or length of service.
11. For Advanced Benefits users, check the Participation Eligibility Override Allowed
field if you can override standard eligibility criteria for the plans and plan types in
this program.
Checking this field is necessary if you want to allow participation under special
circumstances, such as a negotiated benefits package for a new hire.
12. Select a Family Member Code or rule to indicate the kind of family members that
must be recorded in a participant's contact record in order for the participant to be
eligible for the plans and plan types in this program.
13. Save your work.
Defining Waive Reasons for Plan Types in a Program (Advanced Benefits)
You use the Program Waive Reasons window to specify the valid reasons for waiving
out of waivable plan types in a program.
To define waive reasons for a plan type in a program:
1. Enter or query the program for which you are defining plan type waive reasons in
the Programs window.
2. Choose the Plan and Plan Type button then choose the Plan Type tabbed region.
3. Select a Plan Type and choose the Waive button.
4. Select a Waive Reason for waiving out of this plan type in this program.
5. Check the Default field if this waive reason is the default when an eligible person is
waiving, but does not specify a reason.
6. Choose the Certification button to specify the waive certifications that you accept
for a waive reason.
General Compensation Structures 1-89
7. Select a Waive Participation Certification Type for this waive reason.
8. Check the Required field if this waive certification must be submitted for a
participant to waive this plan type.
• If special circumstances apply, select a Certification Required When Rule to
specify when waive certification is required.
9. Check the Preferred field if this certification is preferred, but not required, for
waiving out of this waivable plan type.
10.
Check the Lack of Certification Suspends Enrollment field if failure to provide this
certification results in a suspended election.
11. Save your work.
Defining Participation Eligibility Criteria for a Compensation Object
You link eligibility criteria profiles to a compensation object to restrict eligibility for that
benefit. You can also define participation start and end dates and required waiting
periods that control when an eligible person can enroll in a benefit.
You can link participation eligibility criteria to a compensation object at the following
levels in the compensation object hierarchy:
• Program (Program Participation Eligibility window)
• Plan type in program (Plan Type Participation Eligibility window)
• Plan in program (Plan in Program Participation Eligibility window)
• Plan (Maintain Plan Eligibility window)
• Option in plan (Maintain Options Eligibility window)
Follow the steps below regardless of the level or levels in the compensation object
hierarchy at which you define participation eligibility.
See: Compensation Objects, page 1-69
To define participation eligibility criteria for a compensation object:
1. Query or enter the compensation object for which you are defining participation
eligibility requirements.
Note: The window in which you query or enter the compensation
object varies based on the level at which you define the
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participation eligibility criteria.
2. Navigate to the appropriate Participation Eligibility window.
3. Select a Participation Start Date code or rule to define when a person becomes
eligible for this compensation object.
4. Select a Participation End Date code or rule to define the date on which a person
becomes ineligible for this compensation object.
5. Enter the period that an eligible participant must wait before enrolling in the Wait
Period Value field.
• Or, select a waiting period rule.
6. Select the unit of measure for the waiting period in the Wait Period UOM field.
7. Select a waiting period Date to Use Code or rule that defines the start date from
which the waiting period is calculated.
In the Maximum Enrollment block:
8. Enter a Value that represents the maximum length of time in which a participant
can be enrolled in this compensation object.
9. Select the unit of measure of this value in the UOM field.
10. Select a rule if you use a formula to determine the maximum enrollment period for
this compensation object.
11. Select a Determination Date Code or rule to indicate if the maximum enrollment
period is determined from the participant's enrollment coverage start date or, for
COBRA purposes, from the COBRA qualifying event date.
12. Select a value in the Applies To field if you want to limit the persons for whom the
maximum enrollment period is applicable.
13. Save your work.
To link an eligibility profile to a compensation object:
1. Query or enter the compensation object for which you are defining participation
eligibility requirements.
Note: The window in which you query or enter the compensation
General Compensation Structures 1-91
object varies based on the level at which you define the
participation eligibility criteria.
2. Navigate to the Eligibility window based on the level in the compensation object
hierarchy at which you are defining eligibility.
3. Choose the Profiles tab and select an Eligibility Profile that determines eligibility to
participate in this compensation object.
4. Check the Required field if a person must meet all of the criteria in this profile in
order to be eligible to participate.
Note: If multiple eligibility profiles are defined, a person must
satisfy all profiles marked as Required, and at least one that is not
marked Required.
5. Check the Score field if you rank a participant's eligibility for this compensation
object relative to the total evaluated population.
6. Check the Track Score for Ineligible Person field if you want to compute the
person's score even if they do not meet all required eligibility criteria.
7. Choose the Rules tab if you want to use a rule to determine participation eligibility
instead of an eligibility profile.
• Enter a Seq (sequence) number specifying the order in which the system
processes this eligibility rule relative to any other eligibility rules for this
compensation object.
• Select an eligibility rule in the Rule field.
• Check the Derivable Factors Available field if this formula uses derived factors
to determine eligibility.
• Check the Required field if a person must meet all of the criteria in this rule in
order to be eligible to participate in this compensation object.
8. Save your work.
Associating a Life Event Reason with a Compensation Object (Advanced
Benefits)
You link a life event definition to a compensation object to restrict eligibility for that
benefit to participants who experience that life event.
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You can also define the participation start and end dates and required waiting periods
that control when an eligible person can enroll in a benefit based on the occurrence of
the life event.
You can link a life event definition to a compensation object at the following levels in
the compensation object hierarchy:
• program (Life Event window)
• plan type in program (Life Event window)
• plan in program (Life event window)
• plan (Maintain Plan Related Details window, Life Events tabbed region)
• option in plan (Life Event Reason Impact on Eligibility window)
Follow the steps below regardless of the level or levels in the compensation object
hierarchy at which you link a life event to a compensation object.
To associate a life event reason with a compensation object:
1. Query or enter the compensation object for which you are defining participation
eligibility requirements based on a life event.
Note: The window in which you query or enter the compensation
object varies based on the level at which you define the
participation eligibility criteria.
2. Navigate to the Life Event window based on the level in the compensation object
hierarchy at which you are defining eligibility based on a life event.
3. Select a Life Event.
4. Select a Participation Start Date code or rule to define when a person becomes
eligible for this compensation object based on this life event.
5. Select a Participation End Date code or rule to define the date on which a person
becomes ineligible for this compensation object based on this life event.
6. Check the Ignore Participation Override field to specify that the system ignore
previously overridden participation eligibility results for this life event and
re-determine eligibility.
7. Check the Overridable field to allow manual overriding of the eligibility results that
the system calculates following this life event.
Checking this field is useful when you want to allow special circumstances for
General Compensation Structures 1-93
participation, such as a negotiated benefits package for a new hire.
8. Enter the period that an eligible participant must wait after experiencing this life
event before enrolling in the Wait Period Value field.
• Or, select a waiting period rule.
9. Select the unit of measure for the waiting period in the Wait Period UOM field.
10. Select a waiting period Date to Use Code or rule that defines the start date from
which the waiting period is calculated based on this life event.
In the Maximum Enrollment block:
11. Enter a Value that represents the maximum length of time in which a participant
can be enrolled in this compensation object based on the occurrence of this life
event.
12. Select the unit of measure of this value in the UOM field.
13. Select a rule if you use a formula to determine the maximum enrollment period for
this compensation object.
14. Select a Determination Date Code or rule to indicate if the maximum enrollment
period is determined from the participant's enrollment coverage start date or, for
COBRA purposes, from the COBRA qualifying event date.
15. Select a value in the Applies To field if you want to limit the persons for whom the
maximum enrollment period is applicable based on this life event.
16. Select a Family Member Code or rule to indicate the kind of family members that
must be recorded in a participant's contact record in order for the participant to be
eligible for this compensation object based on this life event.
17. Choose a value in the Eligible/Ineligible field that indicates if the occurrence of this
life event results in a person's being eligible or ineligible to participate in this
compensation object.
18. Save your work.
Associating an Organization with a Benefits Program
You use the Organizations tabbed region of the Programs window to identify
organizations, such as third party administrators or benefits suppliers, that provide
services to your benefits program.
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To associate an organization with this program:
1. Query or enter a program in the Programs window and choose the Organizations
tabbed region.
2. Select an Organization that provides goods or services for this program.
3. Enter a customer identifier number for this organization in the Customer field.
4. Enter the Policy or Group identifier for this organization.
5. Enter a description of the roles and responsibilities of this organization in the
Organization Roles field.
6. Save your work.
Associating Reporting Groups with a Program
You use the Report Groups tabbed region of the Programs window to associate a
benefits reporting group with a program.
See: Defining a Reporting Group, page 1-125
To associate a benefits reporting group with a program:
1. Query or enter a program in the Programs window and choose the Report Groups
tabbed region.
2. Select the Name of the reporting group you use to report on this program.
3. Add this program to more reporting groups by selecting additional groups, as
needed.
4. Save your work.
Associating Program or Plan Year Periods with a Program
You use the Periods tabbed region of the Programs window to associate one or more
year periods with a program. Year periods are defined using the Program/Plan Year
Periods window.
See also: Defining a Program or Plan Year Period, page 1-115
To associate a year period with a program:
1. Query or enter a program in the Programs window and choose the Periods tabbed
region.
General Compensation Structures 1-95
2. Enter the Seq (sequence number) of the year period you are associating with this
program.
3. Select a Start date for this year period.
The End date for this program year period automatically displays.
4. Save your work.
Defining Plan Types
You use the Plan Types window to date effectively define, update, and delete or
end-date plan types.
To define a plan type:
1. Enter a unique Name for the plan type you are defining.
2. Select an Option Type to classify the options you associate with this plan type.
3. For Advanced Benefits users, enter the alphanumeric identifier in the IVR field that
participants use to identify this plan type using interactive voice response or
telephony technology.
4. Select a Compensation Category that classifies the benefit provided by the plans
and options in this plan type.
Note: You can use this information in system extracts that you send
to benefits carriers and other third party agents.
5. Select a Self Service Display format of horizontal or vertical to control how you
display the plans and options in a self-service enrollment form.
Note: The display format defaults to horizontal.
In the Enrollment block:
6. Enter the Minimum number of plans in this plan type in which an eligible person
can be enrolled simultaneously or check the No Minimum field if there is no
minimum.
7. Enter the Maximum number of plans in this plan type in which an eligible person
can be enrolled simultaneously or check the No Maximum field if there is no
maximum.
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8. Save your work.
Setting Up Spending Account Plans for Forfeitures (Advanced Benefits)
For spending account plans--or other plans that offer reimbursements or
distributions--you can set up Oracle HRMS so that a participant's unspent contributions
or credits are forfeited back to your enterprise.
At the end of a plan year (or similarly defined period), Oracle Advanced Benefits
customers schedule the Process Forfeitures concurrent request to calculate and record
the total forfeited amount for each participant in a spending account plan.
You set up benefits balances--maintained manually using the Benefits Balances
window--or use defined balances maintained by Oracle Payroll to record participant
contributions and distributions.
Note: Depending on your plan design, the Process Forfeitures
concurrent request calculates forfeitures based on either the
participant's total contributions for the year or the participant's year to
date contributions. The forfeitures process determines the forfeited
amount based on the value stored by the balance.
Follow this process to set up a reimbursement plan for forfeiture processing. As a
prerequisite, you should have already defined the plan using the Plans window.
To set up reimbursement plans for forfeitures:
1. Set up your contribution and distribution balances.
To process forfeitures, each participant must have a separate contribution and
distribution balance. Oracle Payroll customers can use defined balances to record
totals automatically.
If you do not use Oracle Payroll, you must manually maintain a contribution and
distribution benefits balance for each participant.
See: Defining a Benefit Balance, page 5-168 for information on setting up a benefits
balance.
See: Defining Person Benefit Balances, page 6-96 for information on recording
benefits balances for a participant.
2. Define a derived compensation level factor for each contribution and distribution
balance.
You link the derived factors to the standard contribution and distribution rates you
define in step 4.
See: Defining Derived Factors: Compensation Level, page 1-145
General Compensation Structures 1-97
3. Set up a spending account plan that enables forfeitures.
Use the fields available on the Forfeiture tabbed region of the Plan Reimbursement
window to define forfeiture requirements.
See: Defining a Reimbursement Plan (Advanced Benefits), page 1-116
4. Define the standard contribution and distribution rates.
• For contributions, select an activity type of Employee Payroll Contribution
• In the Total Rate field of the Calculation Method tabbed region, select the
derived compensation level factor for the contribution that you defined in
step 2
• For distributions, select one of the following activity types: Participant Expense
Reimbursement, Participant Payroll Reimbursement, or Participant
Reimbursement
• In the Total Rate field of the Calculation Method tabbed region, select the
derived compensation level factor for the distribution that you defined in
step 2
See: Defining Activity Rates for a Standard Contribution/Distribution, page 5-146
5. After the plan year has ended, run the Process Forfeitures concurrent request for a
single plan to calculate participant forfeitures.
Note: As a prerequisite, update the balances to make sure that
contribution and distribution totals are current and accurate.
See: Running the Process Forfeitures Concurrent Request (Advanced Benefits), page
6-99
6. View the results of the Process Forfeitures request.
• View the Process Forfeitures Audit Log and the Process Forfeitures Summary
Report for information about errors and process totals
• Open the Plan Reimbursement window and choose the Forfeiture tab to see the
total forfeitures for a plan
• Open the View Enrollment Results window, query a person, and choose the
Rates button to see forfeiture results for a participant
Defining a Benefits Plan
You use the Plans window to date effectively define the plans that you offer to
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employees and other eligible participants.
To define a benefits plan:
1. Set the effective date to the date on which you want to create the plan.
Note: You must create the plan with an effective date on or before
the first day of the enrollment period in which it will be used.
2. Enter the Name of this plan starting with a letter of the alphabet (not a number or
symbol).
Note: By setting the profile option BEN: Compensation Objects
Display Name Basis in the System Profile Values window, you can
choose whether compensation object names display in application
windows (both in the professional and Self-Service user interfaces)
based on the life event occurred on date or the user's session date.
The default option value is Session.
3. Select the plan Status.
Pending: No participants are actively enrolled in this plan, but could be in the
future if you change its status to Active. Eligibility processes operate on this plan in
"evaluate-only" mode, but do not create active records. Select the Pending status
when setting up a plan that possibly may not become Active.
Active: Eligible persons currently may be enrolled in this plan.
Inactive: Current participants may remain in this plan, but no new participants
may enroll in this plan.
Closed: No participants are enrolled in this plan, nor will any enroll in the future
(unless you reactivate the plan).
4. Enter a Short Name if you also refer to this plan by an abbreviation.
5. Enter a Short Code if you also refer to this plan by a code.
You can extract data for a compensation object based on its Short Name or Short
Code.
6. Select the plan type for which you are defining a plan in the Type field.
7. For Advanced Benefits users, enter the alphanumeric identifier in the IVR field that
participants use to identify this plan using interactive voice response or telephony
technology.
8. Choose the Inception Date to specify the calendar date on which you first
General Compensation Structures 1-99
introduced this plan.
9. Select if this plan must be in a program or may not be in a program in the Plan
Usage field.
Note: If you include this plan in a program, benefits eligibility is
determined when eligibility is determined for the program. If you
do not want to determine participant eligibility for this plan during
a specific time period, you can link a required dummy eligibility
profile to the plan (for example, a benefits group containing no
people) so that no persons are found eligible for the plan.
10. Choose the General tabbed region.
11. Check the Savings Plan field if you are defining a savings plan.
12. Enter the COBRA Payment Day that corresponds to the day of the month on which
COBRA payments are due for this plan.
For example, 1 refers to the first day of each month.
13. Select the Primary Funding Method to specify the source of funds for this plan.
Self Insured: You self-insure to fund this plan.
Trust: A financial institution such as a bank maintains a trust to fund this plan.
Split: You self-insure as well as use a trust to fund this plan.
Fully Insured: You set up an annuity to fund this plan.
14. Select a Health Service code to describe the type of health service this plan provides.
15. Select the participant type whose coverage is subject to imputed income taxation in
the Subject to Imputed Income field. Choose either participant, dependent, or
spouse.
16. Enter a URL in the Web Address field to create a hypertext link from this plan name
on an Oracle Self-Service Human Resources benefits enrollment web page to a URL
containing information about this plan. This URL can reside on an intranet or the
World Wide Web.
17. Select a Family Member Code or rule to indicate the kind of family members that
must be recorded in a participant's contact record in order for the participant to be
eligible for this plan.
18. Save your work.
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Defining a Plan to Determine Eligibility for a Self-Service Action:
You can use Compensation and Benefits functionality as a generic engine to determine
eligibility for self-service actions. You define a plan to represent a sub action, such as
Promotion (Sales) or Promotion (Italy). After defining a plan type with the option type
Personnel Action, use the Plans window to define a sub action and link it to a form
function. When users choose the function from a menu, the application calculates each
person's eligibility for the action.
See: Set Up Eligibility Processing, Oracle HRMS Deploy Self-Service Capability Guide
See: Overview of Self-Service Actions , Oracle HRMS Workforce Sourcing, Deployment, and
Talent Management Guide
1. On the Miscellaneous tab, in the Personnel Action Function Name field, select the
name of the form function from the LOV.
2. Make sure to activate the Plan Years Not Applicable check box. Plan years do not
apply to self-service actions, and this step eliminates needless processing.
Defining Eligibility and Activity Rate Requirements for a Plan
Use the Eligibility Rates tabbed region of the Plans window to define participation
eligibility requirements and activity rates for a plan.
To define eligibility requirements and activity rates for a plan:
1. Enter or query the plan in the Plans window for which you are defining eligibility
and activity rate requirements and choose the Eligibility Rates tabbed region.
2. Check one or more of the following fields in the Eligibility to Participate
Information block:
Track Ineligible Person: For Advanced Benefits users, checking this field tracks
people who are found ineligible for participation in this plan when the Participation
batch process is run.
Note: You use the View Participation Information window to view
the compensation objects for which a participant is either eligible or
ineligible.
Note: You must check this field if you determine benefits eligibility
based on temporal factors, such as age or length of service.
Allows Override: For Advanced Benefits users, indicates that you may override
eligibility requirements for this plan.
General Compensation Structures 1-101
Checking this field is useful when you want to allow special circumstances for
participation in this plan, such as a negotiated benefits package for a new hire.
Participation is Waivable: For Advanced Benefits users, indicates that an eligible
participant may elect to waive this plan.
Use All Assignments for Eligibility: Informs the system to consider all of an
employee's active assignments (rather than just the primary assignment) when
determining participation eligibility for this plan.
3. Select if the participant's eligibility for this plan is based on dependent eligibility in
the Eligibility Check field. Choose one:
• Participant: The participant is eligible if he or she meets the participant
eligibility requirements associated with the plan. Eligibility for the plan is not
based on dependent eligibility.
• Participant and Dependent: The participant is eligible only if he or she meets
the participant eligibility requirements associated with the plan, and his or her
dependents meet the dependent eligibility profiles and designation
requirements associated with the plan.
• Dependent Only: The participant is eligible if the participant's dependents
meet the dependent eligibility profiles and designation requirements associated
with the plan. If you select this value, the system does not check for participant
eligibility.
4. Check the Use All Assignments for Rates field to inform the system to consider all
of an employee's active assignments (rather than just the primary assignment) when
determining activity rates for this plan.
5. Save your work.
Defining Plan Restrictions
You use the Restrictions tabbed region of the Plans window to specify whether a plan is
subject to certain US federal regulations, such as Qualified Domestic Relations Orders.
You also can also indicate if this plan is used to record flex credits or imputed income or
if this is a waive plan.
To define plan restrictions:
1. Query or enter a plan in the Plans window and choose the Restrictions tabbed
region.
2. Check the Flex Credits Plan field to identify this plan as the placeholder plan used to
record the total flex credits for all plans in a program.
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Note: This plan will not appear as an electable choice in the Flex
Program enrollment form since a participant cannot elect this plan.
3. Check the Waive Plan field if a person's election of this plan represents the waiver
of coverage.
4. Select the Imputed Income Type if this plan is a placeholder plan used to record
imputed income totals for all participants, dependents, or spouses covered by a
plan that is subject to imputed income.
5. Check the Highly Compensated Rule Applies field if this plan uses rules defined by
the US Internal Revenue Service to identify highly compensated employees.
6. Check the Allow Qualified Domestic Relations Order field if this plan is subject to
this US regulation.
Thus, a court or similar body may issue an order requiring a participant to provide
a portion of this plan's benefits to another person, typically a former spouse.
Important: If you are defining plans outside the US, you can use
this field when defining plans that behave similarly to US QDRO
plans.
7. Check the Allow Qualified Medical Child Support Order field if this plan is subject
to this US dependent coverage regulation.
Thus, a court or similar body may issue an order requiring a participant to provide
medical coverage for another person, typically a dependent child.
Important: If you are defining plans outside the US, you can use
this field when defining plans that behave similarly.
8. Check the Subject to Health Care Financing Administration field if this plan is
subject to health care rate regulations.
9. If you use Oracle Self-Service Human Resources, check the Allow Temporary
Identification field if benefits participants can print an enrollment identification
card for this plan from their web browser.
10. Save your work.
Defining a Maximum Waiting Period Requirement for a Plan
You use the Participation tabbed region of the Plans window to define the maximum
General Compensation Structures 1-103
required waiting period for a plan.
To define a maximum waiting period requirement for a plan:
1. Enter or query the plan in the Plans window for which you are defining a
maximum waiting period requirement and choose the Participation tabbed region.
2. Enter the maximum waiting period for this plan in the Value field.
Note: You define a maximum waiting period to override a waiting
period that you define for a plan. For example, you could define a
waiting period which required a participant to work 500 hours
before becoming eligible for a plan. You could define a
corresponding maximum waiting period of 6 months so that a
participant who had worked 6 months, but had not worked 500
hours, would be eligible for the plan.
3. Select a unit of measure for the maximum waiting period in the UOM field.
4. Select a Rule to define the maximum waiting period for the plan, if necessary.
5. Select a code or rule to define the date from which the system calculates the
maximum waiting period.
6. Save your work.
Defining a Plan Not in Program
Use the Not in Program tabbed region of the Plans window to define special
requirements for plans that you do not associate with a program. Plans that are not in a
program must have a plan usage code of May Not Be in Program.
To define special requirements for a plan not in program:
1. Enter a Sequence number for this plan.
2. Select the Currency in which activity rates for this plan are expressed.
3. Select the Enrollment Rate/Frequency. This is the activity rate that is communicated
to participants on their payslip and in Self-Service.
• Select Estimated Per Pay Period to calculate the element entry based on a fixed
number of pay periods, 52 for weekly and 26 for bi-weekly pay periods.
4. Select an Activity Reference Period to specify the time period in which the system
expresses activity rates for this plan.
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Note: The Hourly activity reference period is only for plans used by
Compensation Workbench. See: Defining a Compensation
Workbench Plan, page 3-54.
5. Save your work.
Associating Options with a Plan
You use the Maintain Plan Options window to associate an option with a plan.
Advanced Benefits users can define how life event reasons impact a person's
participation eligibility for an option in a plan.
To associate an option with a plan:
1. Enter or query a plan in the Plans window.
2. Choose the Options button.
3. Enter a Seq (sequence) number for an option you are associating with this plan if
you want the options to display in a particular order in the enrollment window.
Note: Advanced Benefits customers can use sequence numbers to
control the interim coverage assigned when an election is
suspended.
4. Select an Option you are associating with this plan.
5. Select the Status of the option.
Pending: No participants are actively enrolled in this option, but could be in the
future if you change its status to Active. Eligibility processes operate on this option
in "evaluate-only" mode, but do not create active records. Select the Pending status
when setting up an option that possibly may not become Active.
Inactive: No participants currently are enrolled in this option in this plan, but may
be in the future.
Active: Participants currently may be enrolled in this option in this plan.
Closed: No participants are enrolled in this option in this plan, nor will any enroll
in the future (unless you reactivate the plan).
6. For Advanced Benefits users, enter the numeric identifier in the IVR field that
participants use to identify this option using interactive voice response or telephony
technology.
General Compensation Structures 1-105
7. Enter the URL for this option in plan in the Web Address field if participants can
enroll in this option by using the product's self-service web interface.
8. Enter a URL in the Web Address field to create a hypertext link from this option
name on an Oracle Self-Service Human Resources benefits enrollment web page to
a URL containing information about this plan. This URL can reside on an intranet
or the World Wide Web.
9. Choose the Eligibility tab.
10. For Advanced Benefits users, check the Participation Eligibility Override Allowed
field if the standard eligibility criteria that this option inherits from this plan can be
overridden.
Checking this field is useful when you want to allow special circumstances for
participation in this option, such as a negotiated benefits package for a new hire.
11. For Advanced Benefits users, check the Track Ineligible Person field to cause the
system to track persons who are found ineligible for participation in this plan when
the Participation batch process is run.
Note: You use the View Participation Information window to view
the compensation objects for which a participant is either eligible or
ineligible.
Note: You must check this field if you determine benefits eligibility
based on temporal factors, such as age or length of service.
12. Choose the Dependent Criteria tab.
13. Select a person type or person type combination in the Eligibility Check field to
determine eligibility for this option for these person types.
14. Select if the participant's eligibility for this option is based on dependent eligibility
in the Eligibility Check field. Choose one:
• Participant: The participant is eligible if he or she meets the participant
eligibility requirements associated with the option. Eligibility for the option is
not based on dependent eligibility.
• Participant and Dependent: The participant is eligible only if he or she meets
the participant eligibility requirements associated with the option, and his or
her dependents meet the dependent eligibility profiles and designation
requirements associated with the option.
• Dependent Only: The participant is eligible if the participant's dependents
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meet the dependent eligibility profiles and designation requirements associated
with the option. If you select this value, the system does not check for
participant eligibility.
15. Select a Family Member Code or rule to indicate the kind of family members that
must be recorded in a participant's contact record in order for that participant to be
eligible for this option.
Note: Family Members are recorded in the Contact window.
16. Save your work.
Maintaining Plan Related Details
You use the Maintain Plan Related Details window to:
• Associate a plan year period with a plan
• Associate a reporting group with a plan
• Associate reimbursable goods or services with a plan
• Associate regulations and reporting groups with a plan
• Associate an organization with a plan
Associating a Plan Year Period with a Plan
You associate a plan year period with a plan to define the period for which the plan is
active.
To associate a plan year period with a plan:
1. Enter or query the plan in the Plans window to which you are associating a plan
year period and choose the Details button.
2. Choose the Plan Year Periods tabbed region.
3. Enter a Seq (sequence) number to specify the order in which the system processes
this plan year period relative to any other plan year period for this plan.
4. Select the plan year period Start date.
The period end date displays based on the start date you select.
5. Save your work.
General Compensation Structures 1-107
Associating a Reporting Group with a Plan
You can associate a plan to those reporting groups that you use to report on the plan.
To associate a reporting group with a plan:
1. Enter or query the plan in the Plans window to which you are associating a
reporting group and choose the Details button.
2. Choose the Reporting Group tabbed region.
3. Select the Name of a reporting group that you use to report on this plan.
• Select more reporting groups, as necessary.
4. Save your work.
Associating Goods or Services with a Plan
You can associate the goods or services that your enterprise provides as a benefit or has
approved for reimbursement as part of a plan.
To associate a good or service with a plan:
1. Enter or query the plan in the Plans window to which you are associating goods or
services and choose the Details button.
2. Choose the Goods or Services tabbed region.
3. Select the type of goods or services that you are associating with this plan in the
Type field.
4. Save your work.
Associating Regulations with a Plan
You can associate regulations with a plan and the reporting groups that support these
regulations.
To associate a regulation or a reporting group with a plan:
1. Enter or query the plan in the Plans window to which you are associating a
regulation and choose the Details button.
2. Choose the Regulations tabbed region.
3. Select a Regulation.
4. Select a Reporting Group associated with this regulation.
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5. Complete the following fields based on the regulations that govern this plan. These
regulations support US non-discrimination legislation.
• Regulatory Plan Type is used to define the type of regulation that governs this
plan, such as Fringe benefit regulations or pension regulations.
• Contribution Nondiscrimination is used to identify those participants who
cause the plan to be out of compliance with contribution nondiscrimination
provisions.
• Key Employee Determination is used to determine those participants who are
key in the context of the plan for nondiscrimination testing purposes.
• Highly Compensated Determination is used to determine those participants
who are highly compensated in the context of the plan for nondiscrimination
testing purposes.
• Five Percent Owner is used to determine those participants who are 5% owners
of the business.
• Coverage Nondiscrimination is used to identify those participants who cause
the plan to be out of compliance with coverage nondiscrimination provisions.
6. Save your work.
Associating an Organization with a Plan
You can associate organizations with a plan, such as third party administrators and
benefits suppliers. For example, you can link an organization to a plan when the
organization is a benefits supplier to whom you owe a monthly premium.
To define an organization for a plan:
1. Enter or query the plan in the Plans window to which you are associating an
organization and choose the Details button.
2. Choose the Organizations tabbed region.
3. Select the name of this Organization.
4. Enter the Customer Identifier this organization uses to identify this plan.
5. Enter the Policy or Group Number this organization uses to identify this plan.
6. Enter the Organization Role that describes the services this organization provides
for this plan.
7. Save your work.
General Compensation Structures 1-109
Defining Combinations of Plans and Plan Types
You use the Combinations window to define combinations of:
• Plans
• Plan Types
• Plan Type and Options
Combinations are useful for Advanced Benefits customers who want to calculate flex
credits for a pool of compensation objects.
As a prerequisite, you must first define the plans, plan types, and options that you are
including in your combination and associate these compensation objects with a
program.
To define a combination:
1. Choose one of the following tabbed regions depending on the combination type
you are defining.
• Combination Plans
• Combination Plan Types
• Combination Plan Type and Options
2. Enter or query the Name of the plan or plan type combination.
3. Select the Program to which you have linked the plans or plan types that you are
including in your combination.
4. Check the Applies To field next to each compensation object that you are including
in your combination.
Note: The Already Used field appears checked if this plan, plan
type, or option is already included in another combination. You can
only include a compensation object in one combination.
Defining Waive Reasons for a Plan (Advanced Benefits)
You use the Waiving window to define the conditions under which an eligible person
can waive participation in a plan.
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To define waive reasons for a plan:
1. Enter or query the plan for which you are defining plan waive reasons in the Plans
window.
2. Choose the Waiving button.
3. Select the Waive Participation Reason that supports why a person can elect to waive
participation in this plan.
4. Check the Default field if this waive reason is the default reason to use when a
participant does not state their reason for waiving a plan.
5. Choose the Waive Certification button to specify the waive certifications that you
accept for a waive reason.
6. Select a Certification Type that indicates the kind of certification associated with
waiving participation in this plan.
7. Select a rule if you limit the conditions under which certification is associated with
waiving a plan in the Certification Required When Rule field.
8. Check the Preferred field if this waive certification is preferred for this plan, but not
required.
9. Check the Required field if this certification is required for an eligible participant to
waive this plan.
10. Check the Lack of Certification Suspends Waiving field if failure to provide this
certification results in the participant's inability to waive this plan.
11. Save your work.
Maintaining Primary Care Providers for a Plan
Based on your plan design, benefits participants may have the option, or be required, to
select a Primary Care Provider (PCP) when electing a benefit plan.
You use the Maintain Plan Primary Care Providers window to define restrictions for the
selection of a primary care provider. You also use this window to set high level
configuration options for web-based PCP database searches that are performed through
Oracle Self-Service Benefits.
To maintain primary care providers for a plan:
1. Select the Name of the plan for which you are maintaining primary care provider
data.
General Compensation Structures 1-111
2. Check the From Repository field if you are using Oracle Self-Service Benefits and
the benefits participant selects a primary care provider through a searchable
database of providers.
Note: As a prerequisite, you must link an organization to this plan
(using the Maintain Plan Related Details window) which has an
Organization Role Type of Primary Care Provider Locator.
Note: If you do not check the From Repository field, a participant
cannot select a PCP from a list of valid PCPs. The participant must
enter the PCP ID number or name in a free form text field.
3. Note: The Can Keep Provider field is reserved for future use.
4. Select a Designation Code to indicate if a participant who enrolls in this plan is
required to select a PCP, or if PCP selection is optional.
5. Select a Dependent Designation Code to indicate if a participant who enrolls in this
plan is required to select a PCP for each dependent covered by the plan, or if PCP
selection is optional.
6. Select a Start Date Code that indicates when the selected provider becomes the
participant's primary care provider.
7. Enter the number of times a participant is permitted to change primary care
providers per month in the Number of Changes Allowed field.
8. For primary care provider searches, select the maximum Radius in miles which the
PCP database should consider when returning the results of a search query.
9. Check the Radius warning field to issue a warning message to the participant
indicating that the selected PCP is outside the range allowed by the plan. Checking
this field lets a participant override the warning and select a PCP outside the
prescribed range.
Note: If you do not check this field, a participant cannot select a
PCP outside the radius.
Note: This warning only occurs in the professional forms user
interface, not in Self-Service Benefits.
10. Save your work.
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11. Choose the Option Restrictions button to open the Plan Primary Care Provider
Restrictions window if the Plan has options. It is mandatory to enter the restrictions
at the option level for the plans with options in order to retain/drop the PCP in the
subsequent life event.
Note: For example, if a participant who elects participant only
coverage is not required to select a PCP, but a participant who
elects employee plus spouse coverage is required to select a PCP for
dependent coverage, you would need to specify designation
restrictions at the option level, instead of the plan level.
12. Select the option for which you are specifying PCP designation requirements in the
Options field.
13. Select a Designation Code to indicate if a participant who enrolls in this option is
required to select a PCP, or if PCP selection is optional.
14. Select a Dependent Designation Code to indicate if a participant who enrolls in this
option is required to select a PCP for each dependent covered by the plan, or if PCP
selection is optional.
15. Save your work and close the Plan Primary Care Provider Restrictions window.
16. Choose the Plan Restrictions button if the requirements for designating a primary
care provider for this plan vary based on the primary care provider type (such as
Gynecology or Pediatric Medicine) and the age or gender of the benefits participant.
Note: The Plan Restrictions button is only activated if you check the
From Repository field.
17. Select a primary care provider type for which you are specifying PCP designation
requirements based on the age or gender of the benefits participant.
You maintain primary care provider types using the Lookup Type
BEN_PCP_SPCLTY if your primary care providers are stored in an external
repository. Use the Lookup Type BEN_PRMRY_CARE_PRVDR_TYP if your PCPs
are not stored in a repository.
18. Enter a Minimum Age if the participant must be of a minimum age or older to
select this provider type, such as a geriatric care provider.
19. Enter a Maximum Age if the participant must be of a maximum age or younger to
select this provider type, such as a pediatric care provider.
20. Select a Gender Allowed Code of Female or Male to restrict the selection of this
General Compensation Structures 1-113
provider type to one gender, such as female for a gynecology provider.
Defining Options
You use the Options window to date effectively define, maintain, and delete options.
To define an option:
1. Enter a unique Name for the option you are defining starting with a letter of the
alphabet (not a number or symbol).
2. Enter a Short Name if you also refer to this option by an abbreviation.
3. Enter a Short Code if you also refer to this option by a code.
You can extract data for a compensation object based on its Short Name or Short
Code.
4. Check the Waive Option field if a person's election of this option represents the
waiver of coverage.
5. If this option is for a Compensation Workbench plan, select a Salary Component if
you want to link the option to a salary component.
At the end of a salary review cycle, a system administrator runs the Compensation
Workbench Post Process to update salary components with the new values stored
by the compensation components.
In the Required Period of Enrollment block:
6. Enter a Value that represents the length of time in which a person must be enrolled
in this option.
7. Select the unit of measure of this value in the UOM field.
8. Select a rule if you use a formula to determine the required period of enrollment for
this option.
9. Select one or more plan types you are associating with this option to indicate that
plans of this plan type may provide this option.
The option type displays in the Option Usage field to indicate the benefits category
for this option.
10. Save your work.
Defining Designation Requirements for an Option
You use the Designation Requirements window to limit the personal relationship types
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that are covered by an option.
If you do not define designation requirements for an option, a participant can designate
a person of any relationship type as the designee for an option.
You can only have one designation profile per option, even if you associate the option
with more than one plan.
Note: Regardless of the designation requirements you define, you must
check the Personal Relationship field in the Contacts window in order
for a contact to display in a participant's list of eligible dependents.
To define designation requirements for an option:
1. Enter or query an option in the Options window and choose the Designation
Requirements button.
2. Select a Group Relationship for which you are defining designation requirements.
3. Specify if this designation requirement applies to dependents or beneficiaries in the
Type field.
4. Enter the minimum and maximum number of designees that can be covered under
this option or indicate that there is no minimum or maximum number of designees
by checking the appropriate field.
Note: Select a Group Relationship type of No Designees and enter
the maximum number of designees as zero for an employee only
coverage option.
5. Check the Cover All Eligible field if there is no minimum or maximum number of
designees for this option and you want to provide coverage to all designees who
meet your eligibility criteria.
6. Select one or more Relationship Types to include with this group relationship.
7. Save your work.
Navigating the Program Structure Hierarchy
You use the View Program Structure window to view the benefit programs that you
have defined and the plan types, plans, and options that comprise these programs. Use
this window after you have recorded your plan design in the system to make sure you
have correctly defined the structure of your benefits programs.
In the hierarchy:
General Compensation Structures 1-115
+ A plus symbol to the left of a compensation object indicates that there are lower levels
that are not currently displayed.
- A minus symbol to the left of a compensation object indicates that you are viewing a
collapsible list that you have expanded fully.
= An equals symbol indicates that you are viewing the lowest level within a collapsible
list that you have expanded fully.
Go To modify the definition of a compensation object, select the compensation object
and choose the Go (traffic light) button.
You can expand or contract the program hierarchy in the same way that you expand or
contract the Oracle Applications Navigator.
1. To expand the view of a compensation object by one level, select the compensation
object and choose the Plus (+) button (or double-click on that compensation object).
2. To contract the view of a compensation object by one level, select the compensation
object and choose the Minus (-) button (or double-click on that compensation
object).
3. To fully expand the view of a compensation object, select the compensation object
and choose the Full Plus (+->) button.
4. To fully contract the view of a compensation object, select the compensation object
and choose the Double Minus (- -) button.
Defining a Program or Plan Year Period
You use the Program/Plan Year window to record the dates through which programs or
plans are in effect.
To define a program or plan year period:
1. Enter the Start and End dates in the Plan region through which this program or
plan year period is valid.
In the Limitation region:
2. Choose the Start and End dates that define the limitation year that acts as the
reference period used to calculate a participant's yearly compensation.
You typically define a limitation year to determine a participant's yearly
contribution ceiling for a benefits plan such as a 401(k) plan in the US.
In the Period region:
3. Select the period Type code that identifies the period type by which you divide the
program or plan year, for example fiscal or calendar.
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Note: The period type must be Fiscal if you are defining a year
other than from 01-JAN to 31-DEC. When the year period is from
01-JAN to 31-DEC the period type must be Calendar.
In the Within Year Periods block:
4. Enter the first day and first month of the within year period and the last day and
last month of the within year period in the following fields:
• Start Day
• Start Month
• End Day
• End Month.
5. Select the Unit of Measure by which you are dividing this period.
6. Save your work.
Defining a Reimbursement Plan (Advanced Benefits)
You use the Plan Reimbursement window to define special requirements for plans that
offer reimbursable goods and services and to set up spending account plans.
Note: As a prerequisite to defining reimbursement criteria, you must
first create the plan using the Plans window. If you limit
reimbursements to specific goods or services, you can define these in
the Goods and Services window.
You can define the date through which you accept reimbursement requests for the plan
and the last date in the plan year for which an expense will be reimbursed.
You can also define the certifications that are required or preferred for reimbursement
of a good or service. You can limit the personal and familial relationship types, such as
a spouse or a child, whose expenses are reimbursable under the terms of a plan.
To define a reimbursement plan:
1. Query the Plan for which you are defining reimbursement criteria.
2. In the Compare Claims field, select a code to indicate if the application validates a
reimbursement request against the participant's current request balance or the
coverage elected for the plan year. Choose either:
General Compensation Structures 1-117
• Compare claims to balance accumulated (reserved for future use)
• Compare claims to coverage elected
3. Check the Allows Reimbursement field to indicate that you allow participants to
submit reimbursement requests for the goods and services in this plan.
Timing Tab
4. Choose the Timing tab.
5. Select the Plan Year Start Date for the year period you are associating with this
reimbursement plan.
The End Date for this year period automatically displays based on the plan years
you established during your implementation.
6. Select the date by which Expenses Must Be Incurred On Or Before.
This is the last date in the plan year on which a participant can incur an expense
and still have the expense reimbursed. Typically, this is the last day of the year
period.
7. Select the date by which a Request Must Be Received On Or Before.
This is the date through which you accept claim reimbursement requests for this
year period. For example, your enterprise may accept reimbursement requests for
two months after the end of the previous plan year.
Good or Service Tab
Note: Goods and services are required for reimbursement request
processing.
8. Choose the Good or Service tab.
9. Select a Good or Service that is reimbursable for this plan.
Use the Goods and Services window to define those items you approve for
reimbursement.
10. Check the Recurring Claims field if participants can instruct you to automatically
make payments for recurring claims without submitting a reimbursement request
for every incurred expense.
Note: This field is reserved for future use.
11. Choose the Certification button to open the Reimbursement Certifications window.
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You can define the certifications that you require or prefer to validate a
reimbursement request for a good or service.
12. Select a certification Type--such as a paid invoice or a receipt--that you require or
prefer to validate a reimbursement request.
You can add to the list of certification types by using the Lookup Type
BEN_REIMBMT_CTFN_TYP in the Application Utilities Lookups window.
13. Check the Required field if you deny a claim reimbursement when a participant
fails to provide this certification type.
• If special circumstances apply, select a Reimbursement Certification Rule to
indicate those instances where you allow reimbursement when a participant has
not submitted a required certification. Use the Lack Certification Allow
Reimbursement formula type to write this rule.
14. Close the Certifications window.
Relationship Tab
15. Choose the Relationship tab.
16. Select the Relationship Type of the persons related to the primary participant who
can also submit reimbursement requests.
17. Save your work.
Forfeiture Tab
18. Check the Forfeitures Apply field if the application forfeits a person's unspent
credits for this plan at the end of the plan year.
You run the Process Forfeitures concurrent request to determine a participant's
forfeitures.
19. Select Provider as the Distribution Method to forfeit unspent contributions to the
plan provider.
20. Select Use Compensation Level Factor as the Contribution Determination Code.
21. For the Distribution Determination Code, select:
• Use Compensation Level Factor to calculate distributions based on a benefits
balance or a defined balance in Oracle Payroll.
• Use Approved Reimbursement Requests to calculate distributions based on the
amount distributed to the participant using the Reimbursement Requests
window.
General Compensation Structures 1-119
22. Enter a GL Account for Debit and Credit to record the Oracle General Ledger
accounts you use to track forfeiture totals for the plan.
23. Check Post to GL if you post forfeitures to the Oracle General Ledger credit account
you entered in the previous step.
Note: This feature is reserved for future use.
24. After you run the Process Forfeitures concurrent request, you can view forfeiture
totals for the plan by clicking the Forfeiture Values button.
• Open the View Enrollment Results window, query a person, and choose the
Rates button to see forfeiture results for a participant.
Defining Reimbursable Goods and Service Types
You use the Goods and Services window to define those goods and services that you
approve for reimbursement. You then associate one or more goods and services types
with a plan.
To define a reimbursable good or service:
1. Enter a Name for the good or service.
2. Select the Type of the good or service.
Use the Lookup Type BEN_GD_R_SVC_TYP in the Application Utilities Lookups
window to add to the list of goods and service types.
3. Enter a text Description of the good or service.
4. Save your work.
Copying a Program or Plan
Follow this process to use Plan Design Copy to copy or export a program or a plan.
To copy a program or plan:
1. Log in to the Oracle HRMS professional user interface.
2. Choose the Plan Design Copy function from the Navigator.
Home Page
3. Do one of the following:
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• Click the Copy or Export Plan Design link to start a new copy process
• Click View Plan Design to select a program or plan for viewing. Use this
read-only feature to review data before you copy a plan design.
• Choose an existing copy process from the Process History table and click
Continue or Delete
Note: The application displays processes initiated with the
responsibility you used to log in to Oracle HRMS.
You can continue a process with a status of Saved for Later, Interrupted, Imported,
or Completed.
Process Status If you click Continue . . .
Saved for Later The application displays the web page on
which you saved the process.
Interrupted The application displays the web page before
the page you displayed when the process
was interrupted.
Imported The application displays the Target Details
page that lets you select the Business Group
into which you want to import the data.
Completed The application displays the Select Target
page where you select whether to copy or
export the data.
Process Name and Effective Date
4. Enter a name for the copy process.
You can select this copy process by name from the Home Page if you return to the
transaction at a later date.
5. Select the effective date to limit the programs and plans available for copying.
Select Programs and Plans
6. Select one or more programs and plans to copy or export.
You can search for a compensation object by program, plan, or program and plans
not in program. The search limits results to compensation objects in the business
General Compensation Structures 1-121
group of your responsibility.
To improve application performance, you should not select more than five
programs at a time, depending on the size of your programs.
Select Target
7. Choose one of the following:
• Copy the selected programs and plans to the same business group.
• Copy the selected programs and plans to a different business group.
Note: The application restricts the target business groups to those
business groups attached to the user's responsibilities. A system
administrator can prevent the copying of data between business
groups by setting the system profile option BEN: CROSS
BUSINESS GROUP FOR PLAN DESIGN COPY to 'N.' The default
is 'Y.'
• Export the selected programs and plans to a file.
You can also export the data to a file by running the export process from the
concurrent manager.
See: Exporting a Plan Design to a File, page 1-123
Enter Target Details
8. Do one of the following:
• If you are copying to a different business group, select the target business
group.
• Select the Effective Date to Copy. The copy process assigns the effective date to
the new objects in the target business group. The date cannot be earlier than the
effective date of the objects in the source business group. Objects with an
effective start date after the date entered will retain the same effective start date
they had in the source business group. Objects ended prior to the copy date are
not copied. If you complete any mapping prior to entering the Effective Date to
Copy, you should verify the mappings.
Note: If you do not enter an Effective Date to Copy, the Copy
Process uses the existing dates of any copied objects.
• If you are copying to either the same business group or a different business
group, indicate how the copy process treats instances where it finds an object
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with the same name in the target business group. You can choose to use the
existing object (without copying the duplicate object) or create a copy of the
object with a prefix or a suffix that you supply.
Note: When you copy a program and create a new program with a
prefix or suffix, the copy process searches the target business group
for child objects that contain the prefix or suffix, not for child
objects with the same name as the original child objects that you
copied.
• If you are exporting to a file, provide the absolute directory path in your
applications environment and the file name of the exported file. If you do not
enter a directory path, the application writes the export file to the location
specified in the environment variables APPLCSF/APPLLOG.
Select Mapping
9. Use the Mapping page to select additional plan design components for copying or
exporting that are not stored in the base plan design tables.
For example, you must map elements and eligibility and variable rate profiles that
use HR assignment criteria.
Note: If an object name matches exactly in the Source and Target
business groups as of the Effective Date to Copy, the application
automatically maps the object to the Target business group. You
can override auto-mapped objects as necessary. The Target
business group should have the same Lookup Codes as the Source
business group. For example, you should add any Relationship
Types to the Target business group that you have added to the
Source.
Review
10. Use this page to review the compensation object that will be copied when you click
Submit.
You can deselect any program, plan in program, or plan not in program that you do
not want to copy.
Select the personalizations you want to copy for the plan you copy from the Task
Personalization list.
After you click Submit, the Concurrent Manager runs the copy process and returns
a Request ID. You can monitor the process status on the View Request page or the
Requests window in the professional user interface.
General Compensation Structures 1-123
Confirmation
11. This web page indicates if the copy process was successful. For exports, the
Confirmation page provides a concurrent request ID. You can use this ID to view
the results of the process in the Concurrent Manager.
Exporting a Plan Design to a File
You can export a plan design to a file and then import the data into another database
instance. Use this feature to transfer plan design data between your test and production
environments.
Use the Submit Request window.
To export a plan design to a file:
1. Select Plan Design Copy - Export in the Name field.
2. Enter the Parameters field to open the parameters window.
3. In the Data File field, enter the absolute directory path and file name in your
applications environment to which you want to export your plan design data.
If you do not enter the full directory path, the application writes the export file to
the location specified in the environment variables APPLCSF/APPLLOG.
4. Enter a Display Name for this plan design data.
The display name appears in the list of processes when you import the plan design
back into Oracle HRMS.
5. Enter the Effective Date of the plan design data that you want to export.
6. Choose the OK button.
7. Complete the batch process request and choose Submit.
You can now run the import process to import the plan design data into a new
database instance.
Importing a Plan Design From a File
After you export a program or plan to a flat file, you can import the file back to your
Oracle HRMS database. Typically, you would use this feature to transfer plan design
data between database instances.
Use the Submit Request window.
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To import a plan design from a file:
1. Select Plan Design Copy - Import in the Name field.
2. Enter the Parameters field to open the parameters window.
3. In the Data File field, enter the absolute directory path and file name of the file that
you want to import.
If you do not enter the full directory path when you export the file, the application
writes the file to the location specified in the environment variables
APPLCSF/APPLLOG.
4. Choose the OK button.
5. Complete the request and click Submit.
6. Close the Submit Request window.
7. Open the Plan Design Copy page.
8. Select the imported file from the Copy History table and click Continue.
9. From the Target Details page, select the Business Group into which you are
importing the plan design.
10. Complete the plan copy steps by entering target details, mapping to HR and Payroll
data, and submitting the copy process.
See: Copying a Program or Plan, page 1-119, steps 8-11 for more information.
Purging Plan Design Copy Data
When you copy a plan design, the application stores the data in transaction tables. If
you have run multiple plan copy processes, and if your plan design is large, the volume
of stored data may trigger performance issues.
Run the Purge Plan Design Copy Process to delete data from the Plan Copy transaction
tables and improve copy performance. To verify the data that you want to delete, you
can test the results of the purge process before committing your changes to the
database.
Use the Submit Request window.
To purge Plan Design Copy data:
1. Select the Purge Plan Design Copy Process in the Name field.
General Compensation Structures 1-125
2. Enter the Parameters field to open the Parameters window.
3. In the Process Name field, select the copy process that you want to purge.
Note: If you do not select a specific process, the application purges
data based on the other parameters you enter.
4. In the Mode field, select whether to Commit or Rollback the results of the purge
process.
Select Rollback if you want to review the results in the process log file without
committing the changes to the database.
5. In the On or Prior to Effective Date field, enter the effective date of the purge.
The application purges all data on or before this date that meet the parameters you
select.
6. Select a Status (such as Completed or Saved for Later) to limit the purge to copy
processes of that status.
7. Select Yes in the Retain Log field to prevent the purge process from deleting the log
files of the copy processes that you want to delete.
8. Click OK.
9. Complete the request and click Submit.
Defining a Reporting Group
You use the Reporting Groups window to define a reporting group and to associate
programs and plans with the reporting group. You can also define which regulatory
bodies and regulations govern the reporting group.
You can create reporting groups to represent:
• Groups of programs and plans that you report on as a set by entering the reporting
group name as a report parameter.
• Self-service personnel actions, such as promotions or transfers, and to configure
rules for these business processes.
See: Overview of Self-Service Actions, Oracle HRMS Workforce Sourcing, Deployment,
and Talent Management Guide
• Compensation plans for applicants on the Compensation page of iRecruitment.
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To define a reporting group:
1. Enter a unique Name for the reporting group.
2. Select the Global check box to include plans in the reporting group from any
business group.
3. Select the Purpose of the reports that will be generated for this reporting group.
Select the Personnel Action purpose if you are defining a self-service action.
Select the iRecruitment purpose if you are defining plans for iRecruitment applicant
offers. The Compensation page displays only reporting groups defined with the
purpose of iRecruitment.
4. Enter a Description for the reporting group. The description that you enter for
iRecruitment reporting group appears as an instruction text on the Enter
Compensation page of iRecruitment.
5. Select the first Program Name if the reporting group is to consist of one or more
programs.
Alternatively, select the first Plan Name in the reporting group.
Note: Ensure that you do not include the same plan in multiple
reporting groups with the purpose iRecruitment.
Any row (record) in this table can include a Program Name or a Plan Name, but not
both simultaneously. While it is unlikely that you would want to use the same
reporting group to report at the program and plan levels, you could do so by
choosing a Program Name for one record, and then choosing a Plan Name for each
subsequent record in the reporting group.
Note: When a plan is selected, the Regulatory Bodies and
Regulations button is enabled, indicating that you can define
regulatory bodies for, and associate regulations with, that plan.
6. Save your work.
Defining Regulatory Bodies for a Plan
You use the Regulatory Bodies and Regulations window to date effectively define the
regulatory bodies that approve or govern this plan.
General Compensation Structures 1-127
To define a regulatory body for a plan:
1. Choose the Plan Regulatory Bodies tab if it is not already selected.
2. Enter the Name of the regulatory body associated with this plan.
In the Dates block:
3. Enter the Approved Termination date on which this regulatory body ceases to
recognize this plan's validity.
4. Enter the date this regulatory body qualified this plan in the Qualified field.
5. Select one or more Regulatory Purpose Codes that describe how this regulatory
body governs this plan.
6. Save your work.
Defining Regulations for a Plan
You use the Regulatory Bodies and Regulations window to date effectively define the
regulations that approve or govern this plan.
To associate regulations with a plan:
1. Choose the Plan Regulations tab if it is not already selected.
2. Select a Regulatory Plan Type.
3. Select the name of the regulation that governs this plan in the Regulation field.
4. Select one or more rules to determine how plan regulations define:
• Contribution Nondiscrimination
• Coverage Nondiscrimination
• Five Percent Owner
• Highly Compensated Determination
• Key Employee Determination
Note: These rules reflect US non-discrimination legislation.
5. Save your work.
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Benefits Eligibility
Eligibility Requirements for Total Compensation
You define eligibility requirements as part of your plan design to determine eligibility
for compensation and benefits.
You group eligibility criteria into participant eligibility profiles for primary participants
and dependent coverage eligibility profiles for dependents. Eligibility profiles are re-usable.
After you create an eligibility profile, you can link it to a compensation object (such as a
program, plan, or option), a collective agreement, a grade ladder, or a work schedule to
restrict eligibility for these.
Eligibility is determined according to the order of the compensation object hierarchy:
• Program
• Plan Type in Program
• Plan in Program
• Plan
• Option in Plan
If a participant is eligible for a program, then the system checks for plan type in
program eligibility, and so on down the hierarchy. This allows you to link different
eligibility profiles to different benefits that you offer within a program.
Eligible participants are created when you run the Participation batch process (if you
are an Advanced Benefits customer) or when you process a participant's election using
an enrollment form (if you use Standard Benefits).
Participant Eligibility Profiles
The standard criteria that you can include in an eligibility profile are grouped into five
factors:
• Personal Factors
• Employment Factors
• Derived Factors
• Related Coverages
• Other Factors
General Compensation Structures 1-129
Each factor contains a variety of criteria from which you select one or more criteria
values.
For example, let's say you administer a benefit plan with the eligibility requirement that
all participants must work in California, Washington, or Indiana. You could define an
eligibility profile using the Employment Factor criteria of Work Location. The values for
the Work Location criteria would be California, Washington, and Indiana. (You need to
define these work locations using the Locations form). A participant must meet one of
the criteria values.
Apart from the above standard criteria that Oracle HRMS delivers, you can create your
own criteria that meet the particular needs of your organization. For example, if your
organization employs deep sea divers and varies benefits to the divers based on how
deep they dive, you can create your own depth of diving criteria that you can use in
your eligibility profiles.
See: User-defined Eligibility Criteria, page 1-138
See: Defining an Eligibility Profile, page 1-141
Dependent Coverage Eligibility Profiles
You define dependent coverage eligibility profiles to restrict the criteria that a
dependent must meet in order to be covered by a benefit. Dependent coverage profiles
are often used to exclude certain dependents from receiving coverage under a plan. For
example, you can define a plan that excludes coverage for dependents age 21 and over.
Dependent eligibility factors include the dependent's:
• Relationship (to the primary participant)
• Age
• Status (disabled, marital, military, student)
• Postal zip
• Other
After you define a dependent coverage eligibility profile, you associate it with one or
more programs, plans, or options to limit the dependents covered by that benefit.
Required and Optional Eligibility Criteria
When you select more than one value for an eligibility criterion, at least one of the
values must be present in the participant's record for the participant to be eligible for
the benefit. In our example above, the participant must have a Work Location of either
California, Washington, or Indiana.
However, when you use multiple criteria in an eligibility profile (for example, a Work
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Location and an Organization), the participant must meet at least one criteria value for
each criterion.
Note: If you use a FastFormula eligibility rule as part of your eligibility
profile, the participant must meet the criteria of the rule and one value
from any other criteria that you include in the eligibility profile. If you
use more than one FastFormula rule, by default the participant must
meet the criteria of all the rules. If you change the user profile option
BEN:Eligible Profile Rule from AND to OR, the participant need only
meet the criteria of one rule.
Eligibility Ranking for Grade/Step Progression
For situations where eligibility does not guarantee access to a personnel action or a
compensation object (for example, due to limited vacancies or restricted budget), you
can rank an employee's eligibility relative to the eligibility of other employees.
During implementation, you can define a score and weight for each criteria in a
participant eligibility profile. The application totals the score for all criteria that the
person satisfies and assigns the person a rank relative to the total evaluated population.
You enter a score as a flat value for an eligibility criteria. If a person satisfies the
eligibility criteria, the application records the score for the person.
A weight is a value that the application multiplies with a criteria value to compute a
total. You can only use weights with criteria that contain numeric values.
Scores and weights are independent of one another. You can specify a score for a
criteria, a weight, or both a score and a weight.
Currently, this feature is only available for Grade/Step Progression.
See: Grade/Step Progression, page 2-39
Linking an Eligibility Profile to an Object
Because eligibility profiles are re-usable, you define them separately from any object.
You link a profile to a compensation object, collective agreement, grade ladder, or a
work schedule that you have created, to restrict eligibility for these.
When you link the eligibility profile to the object, you specify if the profile is required.
The participant must satisfy all profiles marked as Required and at least one profile that
is not marked Required.
Minimum and Maximum Enrollment Periods
As part of your plan design, you can specify the minimum and maximum length of
time that a participant is either required or allowed to remain enrolled in a
compensation object.
General Compensation Structures 1-131
Required Enrollment Periods
Define a minimum enrollment period for those compensation objects that require a
participant to remain enrolled for a specified period.
For example, you could define a required enrollment period of two years for a dental
plan.
Maximum Enrollment Periods
Define a maximum enrollment period for those compensation objects that place a time
limit on length of coverage. Maximum enrollment periods are often used in the US for
managing COBRA participation.
If you are an Advanced Benefits customer, the system automatically detects when a
participant has reached a maximum enrollment period that you have defined. Standard
customers are notified that a participant has reached a maximum enrollment period
when an enrollment form is opened and that person's record is queried.
Benefits Groups
When eligibility for a plan varies for a group of persons, you can define a benefits group
to explicitly group those persons together. Defining a benefits group is useful for
grouping grandfathered participants, or administering highly complex participation
eligibility involving a small number of people.
You use the Benefits Groups window to define a Benefits Group and you enter a person
into a group using the Person form.
Important: You may assign a person to only one benefits group.
Postal Zip Ranges and Service Areas
You can define a range of postal zip codes that can be used to determine eligibility and
activity rates for a benefit. Postal code ranges can be combined into service areas that you
can also use as eligibility criteria.
Service areas are a useful means of defining eligibility for a particular geographical
region when Work Location is not adequate.
Waiting Periods
You define a waiting period as the period of time that must elapse before a newly
eligible person can enroll in a benefit. Waiting periods allow participants to make
elections that will become effective at a later date.
You can define waiting periods at the following levels:
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• Program
• Plan type in Program
• Plan in Program
• Plan
• Option in Plan
Waiting periods you define at a higher level in the compensation object hierarchy
cascade to all other compensation objects in the same hierarchy.
When you define a waiting period, you specify the unit of measure in which the waiting
period is determined, for example, length of service or hours worked. For waiting
period that you define at the plan level, you can set a corresponding maximum waiting
period that can be in a different unit of measure, if required.
For example, you could define a waiting period of 200 hours worked before an eligible
employee can enroll in a medical plan. You could define a maximum waiting period for
the plan of 180 days of service. A person with less than 200 hours worked but with 180
days of service would be eligible for this medical plan based on the maximum waiting
period.
Waiting Period Determination Dates
As part of defining a waiting period, you select a waiting period date to use code that
determines the comparison date from which the system calculates the waiting period
completion date. The waiting period date to use code identifies an event from which the
waiting period is calculated, such as a participant's date of hire.
Because waiting periods can also be applied to non-employees, you can select a waiting
period date to use code that uses one comparison date for an employee and a second
comparison date for a non-employee.
For example, for a medical plan, the system could determine the waiting period for
employees based on hire date and for non-employees based on the life event that
caused the participation eligibility to be determined. In this scenario, you would select a
waiting period date to use code of "If Employee, Date of Hire; Not Employee, Life Event
Date."
You can select from the following waiting period comparison dates:
• Date of Hire
• Adjusted Service Date
• Override Service Date
• Eligibility Begin Date
General Compensation Structures 1-133
• Original Hire Date
• Life Event Date (Advanced Benefits)
• Later of the Life Event or Notification Date (Advanced Benefits)
• FastFormula Rule
Waiting Periods by Life Event
Advanced Benefits customers can vary the waiting period requirement for a benefit by
life event reason. You can define one waiting period for the compensation object and
another waiting period that applies only in the occurrence of a particular life event. You
can define waiting periods by life event at the following levels:
• Program
• Plan
• Option in Plan
Waiting Period Processing
In Standard Benefits, waiting periods are calculated based on your waiting period
definition when you open an enrollment form for a person.
For Advanced Benefits customers, waiting periods and eligibility are determined when
you run the Participation batch process. The Participation process calculates the waiting
period by adding the waiting period value (such as 60 days) to the waiting period
comparison date (such as date of hire).
If the Participation process detects a potential life event between the effective date of the
Participation process and the waiting period completion date, then no waiting period is
determined for that participant. An error is written to the log file indicating that the
waiting period must be re-determined after the intervening life event is processed.
The system also checks for temporal life events and does not create a waiting period if it
detects a temporal event that will occur between the effective date of the Participation
process and the waiting period completion date.
Continuing Eligibility: Benefits Assignments
Because you can use an employee's assignment to determine benefits eligibility, you
must maintain assignment information for terminated or deceased employees and their
qualified dependents for the purpose of providing continuing benefits.
A benefits assignment is a copy of an employee's primary assignment that is created
when one of the following events occur:
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• The employee terminates: when an administrator enters a termination date, the
application creates a benefits assignment for the employee and any dependents
with an effective date of the actual termination date plus one day.
• The employee becomes divorced or legally separated: when the status of the
worker changes to Divorced, the application creates a benefits assignment for the
ex-spouse. The person type usage of former spouse is created for the spouse on the
day of the divorce.
• The employee dies:when an administrator terminates an employee with the
Leaving Reason of Deceased, the application creates a benefits assignment for the
surviving spouse and any surviving family members. Where appropriate, the action
creates person type usage of Surviving Spouse, Surviving Family Member, Surviving
Domestic Partner, and Surviving Domestic Partner Child.
Note: The new benefits assignment does not appear until the date
after the termination, so you may need to change the system date to
view the new assignment.
• Dependent loss of eligibility (Advanced Benefits): the Maintain Designee
Eligibility process checks the eligibility of dependents of the subject employee. The
application creates a benefits assignment for the dependent who has lost eligibility.
• Reduction in hours: the application creates a benefits assignment for an employee
and any personal contacts when the employee experiences any life event reason
with a type of Reduction in Hours.
Note: Creating a Full Time-to-Part Time life event does not
automatically create a Reduction in Hours life event. You must first
set up a formula function to evaluate the number of hours from the
assignment process results.
You can also manually create a benefits assignment if the application fails to create one,
and you can update a system-generated benefits assignment.
Note: You set up the auto-generation of benefits assignments when you
define the default payroll for a business group.
You can manually add, purge, and end element entries for benefits assignments,
provided these entries are not for elements attached to an activity base rate. (When you
make an election change or enrollment override, the application updates the entries of
elements attached to an activity base rate.)
General Compensation Structures 1-135
Benefits Assignments and Payroll
For US and Canadian customers, benefits assignments must have a payroll with a
monthly periodicity since continuing benefits for ex-employees and their dependents
are typically administered on a monthly basis. When a benefits assignment is created
for an employee, the benefits default payroll that you set up for the business group is
automatically linked to the person's benefits assignment. You can change the benefits
assignment payroll to another payroll using the Benefit Assignment window.
Note: US and Canadian customers cannot process an employee
termination unless the employee's business group has a default payroll.
Customers outside the US and Canada can maintain benefits assignments with a payroll
of any periodicity; however, they must have a default payroll for benefits assignments.
See: Defining Benefits Defaults for a Business Group, Oracle HRMS Enterprise and
Workforce Management Guide
Eligibility Profile Criteria
You can define from one to dozens of eligibility criteria for an eligibility profile. Criteria
are divided into personal criteria, employment criteria, derived factors, and other
criteria, as follows.
Note: The criteria that you can select depends on whether you have
accessed the Participation Eligibility Profiles window from the Total
Compensation or Collective Agreements area of the application.
Personal Criteria
You select personal eligibility criteria from the Personal tab of the Eligibility Profiles
window.
Competencies: Uses the first three enabled segments defined for the Competency Key
Flexfield for the business group as criteria.
Disability: Uses an employee's disability category as eligibility criteria.
Gender:Uses an employee's gender as eligibility criteria.
Leaving Reason: Uses an employee's termination reason as eligibility criteria. This
criteria are often used for continuing benefits eligibility, such as for COBRA in the US
Opted for Medicare: Uses whether or not an employee is enrolled in Medicare as
eligibility criteria.
Person Type: Uses a person's person type(s) as eligibility criteria.
1-136 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Postal Zip: Uses individual zip/postal codes or ranges of zip/postal codes as eligibility
criteria.
Qualification Title: Uses a person's qualification title as eligibility criteria.
Service Area: Uses a person's service area, such as a city or other geographical area, as
an eligibility criteria.
Tobacco Use: Uses whether or not a person uses tobacco as a variable factor to associate
with an activity rate. In countries where it is illegal to hold information about a person's
tobacco usage, for example, Italy, this personal factor is unavailable.
Employment Criteria
You select employment criteria from the Employment tab of the Eligibility Profiles
window.
Assignment Set: Uses an employee's assignment or a set of assignments as eligibility
criteria.
Assignment Status: Uses a person's state of employment (Active, Inactive, or On Leave)
as an eligibility criteria.
Bargaining Unit: Uses an employee's bargaining unit (local union group) as eligibility
criteria.
Full/Part Time: Uses whether an employee works full-time or part-time as eligibility
criteria.
Grade: Uses an employee's grade as eligibility criteria.
Hourly/Salaried: Uses an employee's pay basis, either hourly or salaried, as eligibility
criteria.
Job: Uses an employee's job classification as eligibility criteria.
Labor Union Member: Uses whether an employee is a union member as eligibility
criteria.
Leave of Absence: Uses an employee's leave of absence reason as an eligibility criteria.
Legal Entity: Uses an employee's legal entity (GRE) as eligibility criteria for a benefit
(US only).
Organization Unit: Uses an employee's organization as eligibility criteria.
Pay Basis: Uses an employee's pay basis as eligibility criteria.
Payroll: Uses the employee's payroll as eligibility criteria.
People Group: Uses a person's People group as eligibility criteria.
Performance Rating: Uses an employee's performance rating as criteria.
Position: Uses a person's position as eligibility criteria.
Quartile in Grade: Uses an employee's pay range for a grade, divided by four, to
General Compensation Structures 1-137
determine the quarter into which the person's salary amount falls.
Range of Scheduled Hours: Uses the number of hours an employee is scheduled to
work as eligibility criteria. This is taken from the Working Hours field on the
assignment. For employees with more than one assignment, the hours are totaled across
all assignments if you check the 'Use All Assignments for Eligibility' check box on either
the Programs or Plans window. If you define multiple scheduled hours ranges, the
Participation Process evaluates each range as an 'Or' condition.
Work Location: Uses an employee's work location as eligibility criteria.
Derived Factor Criteria
You select derived factor eligibility criteria from the Factors tab of the Eligibility Profiles
window.
Age: Uses an employee's age as eligibility criteria.
Combination Age/LOS: Uses an employee's combination age and length of service
factor as eligibility criteria.
Compensation Level: Uses an employee's compensation level as eligibility criteria.
Full-time Equivalent: Uses an employee's percent of full-time employment as eligibility
criteria. The full-time equivalent source derives from the Assignment Budget Values
window.
Hours Worked: Uses an employee's hours worked in a given period as eligibility
criteria.
Length of Service: Uses an employee's length of service as eligibility criteria.
Other Criteria
You select miscellaneous eligibility criteria from the Other tab of the Eligibility Profiles
window.
Benefits Group: Uses a person's benefits group as eligibility criteria.
COBRA Qualified Beneficiary: Uses whether a person is considered a qualified
beneficiary under COBRA regulations to determine eligibility (US only).
Continuing Participation: Used to set the date on which an ex-employee's payment for
a continuing benefit must be received.
Participant in Another Plan: Uses a person's participation in another plan as eligibility
criteria.
Total Coverage Volume: Uses the total coverage elected for a plan or option in plan by
all participants as a variable factor in determining the actual premium owed by a plan
sponsor to the benefits supplier.
Total Participants: Uses the total number of participants covered by a plan or option in
plan as a variable factor in determining the actual premium owed by a plan sponsor to
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the benefits supplier.
User Defined Criteria: Displays the user-defined criteria that you created to meet the
particular needs of your organization. These criteria are not part of the standard criteria
that Oracle HRMS delivers, and you must create these on your own. See: User-defined
Eligibility Criteria, page 1-138
Rule: Uses an eligibility rule, instead of an eligibility profile, to refine or augment
eligibility criteria for a benefit or collective agreement entitlement.
Related Coverages
The criteria available under the Related Coverages tab are designed primarily for
COBRA administration in the US but, you can use them for other purposes.
See: COBRA Eligibility Profiles, Oracle HRMS Compensation and Benefits Management
Guide
User-defined Eligibility Criteria
You can create eligibility criteria you need for use in your eligibility profiles, to meet the
particular requirements of your organization. You can use these criteria to determine
employee eligibility for compensation, benefits, entitlements in collective agreements,
personal actions, and so on.
Oracle HRMS comes with numerous standard eligibility criteria that support common
industry requirements for defining eligibility, see: Eligibility Profile Criteria, page 1-135.
You can also define various system-calculated eligibility factors, that change over time,
as eligibility criteria, see: Derived Factors, page 1-139.
User-defined criteria gives you the additional flexibility to create your own criteria to
meet specific needs of your enterprise that the standard and derived factor criteria do
not meet.
For example, if your organization employs deep sea divers and varies benefits to the
divers based on how deep they dive, you can create Depth of Diving as a new eligibility
criterion.
You create these criteria using the Create Eligibility Criteria page or from the User
Defined Eligibility Criteria window. You can access the user defined eligibility criteria
from the Participation Eligibility Profiles window or the Dependent Coverage Eligibility
Profiles window.
See: Creating your own Eligibility Criteria, page 1-143.
You can define eligibility criteria out of person information by specifying the table and
column name where the application stores that information. In the above example, if the
application stores the details of the depth to which a person can dive in the table
PER_ALL_ASSIGNMENTS_F and column attribute 8, you specify these details in your
criteria definition to create the Depth of Diving criteria.
General Compensation Structures 1-139
Note: You can specify the table and column names that identify your
user-defined criteria values, only if you are using the tables
PER_ALL_PEOPLE_F and PER_ALL_ASSIGNMENTS_F for
participant eligibility. You can create user defined eligibility criteria for
dependents for values stored on the PER_ALL_PEOPLE_F table. If you
want to use any other table, you must use a formula. To be able to
choose the correct values, you must have a basic understanding of the
structure of the application tables that hold the required information.
For more details on these tables, please refer to Oracle HRMS electronic
Technical Reference Manual (eTRM), available on My Oracle Support.
You can also define existing hierarchies such as an organization hierarchy or position
hierarchy as criteria for use in your eligibility profiles.
Note: The hierarchies are available only for participants, and not for
dependents.
Derived Factors
Derived Factors are system calculated eligibility factors that change over time. You
define a derived eligibility factor to use as a criteria element in an eligibility profile for a
benefit plan or a collective agreement, or a variable activity rate. You can use the
derived factor of age in a dependent coverage eligibility profile.
The product supports the calculation of six derived factors:
• Compensation level
• Percent of full-time employment
• Hours worked in period
• Age
• Length of service
• Combination age and length of service
Compensation Level
You define a compensation level derived factor if you use a person's compensation
amount as an eligibility criterion or as a factor in a variable rate profile.
You can select as a compensation source a person's stated compensation, a payroll
balance type, or a benefits balance type that you define.
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Percent of Full-time Employment
You define a percent of full-time employment derived factor if you determine eligibility
or rates based on a person's percentage of full-time work.
You can choose to use a person's primary assignment only or the sum of all their
assignments when determining their percent of full-time employment.
Hours Worked in Period
You define an hours worked in period factor if you determine eligibility or rates based
on the number of hours a person works in a given period that you define.
You can choose to derive the number of hours worked from a balance type or a benefits
balance type.
Age
You define an age factor if you determine eligibility for a person or a dependent based
on age. You can define a minimum or a maximum age beyond which a person becomes
eligible or no longer eligible for a particular benefit.
You can also define an age factor that derives the age of a participant's spouse.
Note: If you calculate both a participant's age and a spouse's age to
determine eligibility or a variable rate - and enrollment restrictions vary
for the spouse and the dependent - you must duplicate the seeded Age
Change life event reason. A system administrator must then write a
Life Event Evaluation rule to determine which Age Change event to
detect.
Note: If you are defining a derived factor based on age for a collective
agreement you can only use the person's age.
Length of Service
You define a length of service factor if you determine eligibility based on how long a
person has worked for your enterprise.
You can choose to calculate length of service from a person's hire date, adjusted hire
date, or override service date.
Combination Age and Length of Service
You create a combination age and length of service factor by linking an age factor and a
length of service factor that you have defined into a new factor.
General Compensation Structures 1-141
Defining an Eligibility Profile
You use the Participation Eligibility Profiles window to define an eligibility profile with
an effective start date of your choice. Before defining the profile, define any derived
factors (such as length of service or compensation level), or your own eligibility criteria,
that you plan to use as eligibility criteria.
If you want to create your own criteria to include in the eligibility profile, click User
Defined Eligibility Criteria and create new criteria, see: Creating your own Eligibility
Criteria., page 1-143 To access these criteria, choose the Other tabbed region, and select
User Defined Criteria from the list
You can use eligibility profiles to determine:
• employee eligibility for compensation and benefits plans
• entitlements in collective agreements
• eligibility for grade/step progression
• eligibility for various work schedules, and so on
The information you can enter differs slightly depending on whether you have accessed
this window from the Total Compensation or Collective Agreements area of the
application.
Note: If you use the Total Compensation Setup Wizard to set up grade
ladders, programs and plans, and Total Compensation Statements, you
can create or update eligibility profiles while you are working in the
Wizard.
To define an eligibility profile:
1. Enter the Name of the eligibility profile you are defining.
2. Enter a Description of this eligibility profile.
3. Select an Assignment Type to which this eligibility profile applies.
For example, you can define an eligibility profile for employee assignments if this
profile is only used for employees.
Note: You can only select Employee Assignment Only for profiles
to be used with collective agreements.
4. Select the profile Status.
1-142 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Pending: This eligibility profile is currently proposed, but not active.
Active: This eligibility profile is in use.
Inactive: This eligibility profile is in use but cannot be associated with any new
programs, plans, or options.
Closed: This eligibility profile was once Active or Pending, but is no longer in use.
5. Select whether this eligibility profile applies to benefits or collective agreements. If
you are defining an eligibility profile for work schedules or grade step progression,
then select benefits.
6.
Choose the tabbed region that contains a criteria element that you want to include
in your eligibility profile. Choose from:
• Personal
• Employment
• Derived Factors
• Related Coverages (Not applicable to collective agreements)
• Other
7. Select a criteria element.
For example, you could choose Person Type as one of several eligibility criteria of
the Personal type.
Note: When you define more than one value for a criterion, at least
one of the values must be present in the person's record for them to
be eligible. However, when you use multiple criteria in an
eligibility profile (for example, a Work Location and an
Organization), the person must meet at least one value for each
criterion.
If you use a FastFormula eligibility rule as part of your eligibility profile, the
participant must meet the criteria of the rule and one value from any other criteria
that you include in the eligibility profile. If you use more than one FastFormula
rule, by default the participant must meet the criteria of all the rules. If you change
the user profile option BEN:Eligible Profile Rule from AND to OR, the participant
need only meet the criteria of one rule.
8. Enter a Seq (sequence) number specifying the order the system processes this
criteria element relative to any other criteria in this eligibility profile.
General Compensation Structures 1-143
Note: You must assign a sequence number of a higher priority to all
criteria that are used to exclude eligibility.
9. Select one or more values for the criteria element you have selected.
10. Check the Exclude field if a person becomes ineligible to participate in the
compensation object, or to receive the collective agreement entitlement you
associate with this eligibility profile if they meet this criterion.
You typically check the Exclude field when it is easier or faster to define which
persons are excluded from eligibility, as opposed to defining which person are
eligible.
11.
If you are defining an eligibility profile for a grade ladder, and you want to rank
your employees to determine the most eligible person to progress, enter an
eligibility Score for this criteria.
The application calculates the eligibility rank based on the total score for all criteria
that the person satisfies.
12. For grade ladders, you can also enter an eligibility Weight for a criteria.
The application multiplies the weight by the criteria value. You can only use
weights with criteria that contain numeric values. If you enter a score and a weight
for a criteria, the application adds the person's score to the weight to arrive at the
final number.
13. Repeat steps 6, page 1-142 to 12, page 1-143 for each criteria element that you
include in your eligibility profile.
14. Choose the Display All tabbed region to view the criteria elements in this eligibility
profile.
15. Save your work.
Defining Your Own Eligibility Criteria
Oracle HRMS enables you to create as many eligibility profile criteria as you need, in
addition to the existing standard eligibility and derived factor criteria, to meet the
particular requirements of your organization. You can use these criteria to determine
employee eligibility for compensation, benefits, entitlements in collective agreements,
personal actions, and so on.
See: User-defined Eligibility Criteria, page 1-138
Use the User Defined Eligibility Criteria window, which you can access from the
Participation Eligibility Profiles window, or the Dependent Coverage Eligibility Profiles
1-144 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
window, or use the Create Eligibility Criteria page to create your own criteria. The
information you can enter differs slightly depending on whether you are creating your
criteria from the User Defined Eligibility Criteria window or from the Create Eligibility
Criteria page.
Note: You can define eligibility criteria for dependents only from the
Dependent Coverage Eligibility Profiles window.
On both page and window you can create subcriteria, enabling you to designate two
sets of values for a single criteria. On the Create Eligibility Criteria page you can also
mandate that the person's timecard override the values stored in the table or returned
by the formula attached to the criteria. For more information, see the white paper
Setting Up the RBC/OTL/Payroll Integration (My Oracle Support Note ID 369044.1).
To create your own eligibility criteria:
1. Enter the Name, Short Name, and the Description for the new criteria.
2. Specify if the criteria accept a range of values.
3. Specify the Lookup Type or the Value Set that restrict the valid values for your
criteria.
4. To use an existing hierarchy, such as an organization hierarchy or position
hierarchy, to define the value for the criteria, select the appropriate hierarchy.
5. Specify a particular person information value as the value for your criteria by
selecting the table and column names where this information is available or by
using a formula.
Note: You can specify the table and column names that identify
your user-defined criteria values, only if you are using the tables
PER_ALL_PEOPLE_F and PER_ALL_ASSIGNMENTS_F for
participant eligibility. User defined criteria for dependents can be
created for values stored on PER_ALL_PEOPLE_F If you want to
use any other table, you must use a formula. To be able to choose
the correct values, you must have a basic understanding of the
structure of the application tables that hold the required
information. For more details on these tables, please refer to Oracle
HRMS electronic Technical Reference Manual (eTRM), available on
My Oracle Support.
6. To add a second subcriteria, click the Set 2 tab and repeat steps 2-5.
7. Save your work.
General Compensation Structures 1-145
To use these newly created user-defined criteria in your eligibility profiles, in the
Participation Eligibility Profiles window, choose the Other tab and select User
Defined Criteria from the list. Alternatively, in the Dependent Coverage Eligibility
Profiles window, choose the Other tab and select User Defined Criteria from the list.
Defining Derived Factors: Compensation Level
You can define a compensation level factor as part of an eligibility profile (to be used in
determining benefits participation or collective agreement entitlements) or a variable
rate profile. A compensation level factor can be based on either stated salary, balance
type, or benefits balance type.
You define compensation level factors in the Derived Factors window. The values you
can select in some of the fields depend on whether you have accessed the Derived
Factors window from the Total Compensation or Collective Agreements area of the
application.
To define a compensation level factor:
1. Enter a Name for this compensation level factor.
2. Select the Unit Of Measure for this compensation level factor.
3.
Select the Source of the compensation level factor.
• Select the Defined Balance for this compensation level factor if you selected a
source of balance type.
• Select a Benefits Balance Type if you selected a source of benefits balance type.
• Select the compensation periodicity in the Stated Comp Periodicity field if you
selected a source of stated compensation.
Note: If you have installed the Oracle Incentive Compensation
patch 4409180 you can select either Oracle Incentive Compensation
- Amount Earned or Oracle Incentive Compensation - Amount Paid
as the source. If you select any of these sources, then the Incentive
Compensation Information region displays, where you can enter
the Start and End Dates, and select the Prorate if date range differs
from OIC range check box
In the Values block:
4. Enter the Minimum amount under which the system does not calculate this
compensation level factor.
1-146 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
• Check the No Minimum field if there is no minimum compensation amount
under which the system excludes participants when determining participation
eligibility and activity rates.
5. Enter the Maximum amount above which the system does not calculate this
compensation level factor.
• Check the No Maximum Compensation field if there is no maximum
compensation amount above which the system excludes participants when
determining participation eligibility and activity rates.
6. Select a Determination Code or Rule to define when the system determines a
participant's compensation level.
7. Choose a Rounding Code or Rounding Rule to specify the level to which the system
rounds the results of this compensation level factor.
8. Save your work.
Defining Derived Factors: Percent of Full Time Employment
A percent full time factor derives an employee's percent of full time employment. The
application uses this information to calculate activity rates, coverage amounts, or to
determine participation eligibility for either benefits or collective agreement
entitlements.
For example, you could define the 100% percent full-time factor to identify those
employees who work 100% full-time (40 hours per week) and thus qualify for most
benefits or entitlements.
You define percent full time factors in the Derived Factors window. The values you can
select in some of the fields depend on whether you have accessed the Derived Factors
window from the Total Compensation or Collective Agreements area of the application.
To define a percent full time factor:
1. Enter a Name for this percent full time factor.
2. Check the No Minimum field if there is no minimum percentage of full-time
employment under which the application excludes employees when determining
participation eligibility and activity rates.
• Or, enter a Minimum Percent Value to define the minimum percentage of
full-time employment to be used in this calculation.
3. Check the No Maximum field if there is no maximum percent of full-time
employment beyond which the application excludes employees when determining
General Compensation Structures 1-147
participation eligibility and activity rates.
• Or, enter a Maximum Percent Value to define the maximum percent of full-time
employment to be used in this calculation.
4. Check the Use Primary Assignment Only field to specify that the application
considers only an employee's primary assignment when determining percent of full
time employment.
5. Check the Use Sum of All Assignments field to specify that the application
considers all active assignments when determining percent of full-time
employment.
6. Select a Rounding Code or Rule to specify the level to which the application rounds
the results of this calculation.
7. Save your work.
Defining Derived Factors: Hours Worked In Period
An hours worked in period factor derives the number of hours a given employee has
worked over a given period of time. The application uses this information to determine
participation eligibility for either benefits or collective agreement entitlements, activity
rates, and coverage amounts.
You define hours worked in period factors in the Derived Factors window. The values
you can select in some of the fields depend on whether you have accessed the Derived
Factors window from the Total Compensation or Collective Agreements area of the
application.
To define an hours worked in period factor:
1. Enter a Name for this hours worked in period factor.
2. Select the calculation source for this hours worked in period factor in the Source
field.
Balance Type: The application retrieves hours worked information from a balance.
Benefits Balance Type: The application retrieves hours worked information from a
benefits balance.
3. Specify when the application calculates this hours worked in period factor in the
Once or Continuing field.
Once: The application only calculates this hours worked in period factor following
a life event or for open enrollment.
Continuing: The application calculates this hours worked in period factor each time
1-148 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
you run the Participation batch process.
4. Select the Defined Balance for this compensation level factor if you selected a
calculation source of balance type.
5. Select a Benefits Balance Type if you selected a calculation source of benefits
balance type.
6. Check the No Minimum field if there is no minimum number of hours worked in
period under which the application excludes employees when determining
participation eligibility and activity rates.
• Or, enter the Minimum hours worked in period under which the application
does not calculate this hours worked in period factor.
7. Check the No Maximum field if there is no maximum hours worked in period
above which the application excludes employees when determining participation
eligibility and activity rates.
• Or, enter the Maximum hours worked in period beyond which the application
does not calculate this hours worked in period factor.
8. Select an hours worked Determination Code or Rule that defines how to calculate
the hours worked in period.
9. Select a Rounding Code or Rule to specify the level to which the application rounds
the results of this hours worked in period factor.
10. Save your work.
Defining Derived Factors: Age
An age factor derives a person's age in order to determine participation eligibility for
either benefits or collective agreement entitlements, activity rates, and coverage
amounts.
For example, you could define the Retire 65 age factor to identify those employees who
are at least 65 years of age and thus qualify for a maximum benefit under your
corporation's retirement plan. For collective agreements you could define the Age Less
Than 21 age factor to identify those employees who are less than 21 and thus should be
placed on a particular grade.
You define age factors in the Derived Factors window. The values you can select in
some of the fields depend on whether you have accessed the Derived Factors window
from the Total Compensation or Collective Agreements area of the application.
General Compensation Structures 1-149
To define an age factor:
1. Enter a Name for this age factor.
2. Select the UOM to specify the unit of measure for this age factor.
3. Select an Age to Use code to indicate the kind of person, such as the participant or
the participant's child, for whom you are defining a derived age factor.
Note: Derived factors to be used with collective agreements can
only use the employee's age.
4. Select an Age Determination Code or Rule to specify the date the application uses to
calculate age.
5. Check the No Minimum Age field if there is no minimum age under which the
application excludes employees when determining participation eligibility and
activity rates.
• Or, enter the Minimum age beyond which the application does not calculate
this age factor.
6. Check the No Maximum Age field if there is no maximum age beyond which the
application excludes employees when determining participation eligibility and
activity rates.
• Or, enter the Maximum age beyond which the application does not calculate
this age factor.
7. Select a Rounding Code or Rule to specify the level to which the application rounds
the results of this age factor calculation.
8. Save your work.
Defining Derived Factors: Length of Service
A length of service factor derives the length of service for a given worker in order to
determine participation eligibility for either benefits or collective agreement
entitlements, activity rates, and coverage amounts.
You define length of service factors in the Derived Factors window. The values you can
select in some of the fields depend on whether you have accessed the Derived Factors
window from the Total Compensation or Collective Agreements area of the application.
1-150 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
To define a length of service factor:
1. Enter a Name for this length of service factor.
2. Select the unit of measure in the UOM field by which you are defining the length of
service factor.
3. Select a Determination Code or Rule that defines how the system calculates an
employee's length of service.
4. Check the No Minimum Applies field if there is no minimum length of service
under which the system excludes employees when determining participation
eligibility and activity rates.
• Or, enter the Minimum length of service under which the system does not
calculate this length of service factor.
5. Check the No Maximum Applies field if there is no maximum length of service
above which the system excludes employees when determining participation
eligibility and activity rates.
• Or, enter the Maximum length of service beyond which the system does not
calculate this length of service factor.
6. Select a length of service Date to Use Code or Rule to specify the date from which
the system calculates the employee's length of service.
Hire Date: The system always uses the employee's hire date as the start date when
calculating length of service.
Adjusted Service Date: The system first uses the employee's adjusted service date if
one exists. If there is no adjusted service date, the system uses the employee's hire
date.
7. Check the Use Override Service Date field to indicate that the system should
override the person's service date when determining eligibility.
Note: You enter the Override Service Date for a person in the
Participation Overrides window.
8. Select a Rounding Code or Rule to specify the level to which the system rounds the
results of this length of service factor.
9. Save your work.
General Compensation Structures 1-151
Defining Derived Factors: Combination Age and Length of Service
A combination age and length of service factor associates two factors you have already
defined: an age factor and a length of service factor.
You define combination age and length of service factors in the Derived Factors
window. The values you can select in some of the fields depend on whether you have
accessed the Derived Factors window from the Total Compensation or Collective
Agreements area of the application.
To define a combination age and length of service factor:
1. Enter a Name for the combination age and length of service factor you are defining.
2. Select an Age Factor.
3. Select a Length of Service Factor.
4. Enter the Minimum value for the combination of age and length of service that
qualifies a person as eligible for the benefit, collective agreement entitlement, or
activity rate with which this factor is associated.
5. Enter the Maximum value for the combination of age and length of service that
qualifies a person as eligible for the benefit, collective agreement entitlement, or
activity rate with which this factor is associated.
6. Enter an Order Number to specify the order in which the application processes and
displays combined age and length of service records.
7. Save your work.
Defining a Dependent Coverage Eligibility Profile
You use the Dependent Coverage Eligibility Profiles window to define an eligibility
profile that limits the conditions that enable a dependent to receive coverage under a
benefit.
You link the dependent coverage eligibility profile to the compensation object using the
Dependent Coverage tabbed region of the Program Enrollment Requirements window.
Or, use the Designations tabbed region of the Plan Enrollment Requirements window if
the profile is for a plan that is not in a program.
To define a dependent eligibility coverage profile:
1. Enter the Name of the dependent coverage eligibility profile you are defining.
1-152 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
2. Select the Status of this dependent coverage eligibility profile.
Active: This eligibility profile is currently available to associate with a
compensation object.
Pending: This eligibility profile is currently proposed, but not yet available to
associate with a compensation object.
Inactive: This eligibility profile is in use but cannot be associated with any new
compensation objects.
Closed: This eligibility profile was once Active or Pending, but is no longer in use.
3. Select a Regulation to specify a statute or regulation that enables, defines, or
restricts the eligibility criteria maintained in the profile.
4. Enter a Description of this profile.
5. Select a Rule to include in this profile if the standard dependent coverage eligibility
profile criteria do not fully support your business requirements.
6. Choose the tabbed region that represents the factor by which you want to restrict
dependent coverage. Choose from:
• Relationship
• Age
• Status (includes disabled, marital, military, and student status)
• Postal Zip
7. Select the factor by which you are restricting dependent coverage in the Name field.
Select one or more factors for each tabbed region, as required by your business
rules.
8. Check the Exclude field for a factor in the Age region or the Postal Zip region if a
dependent who meets this age or postal zip is excluded from receiving coverage.
9. Save your work.
Defining Benefits Groups
You use the Benefits Groups window to define the groups into which you place various
categories of employees and other benefits participants for purposes of eligibility or
activity rate restriction.
You assign a person to a benefits group using the Benefits Tabbed region of the People
window.
General Compensation Structures 1-153
Note: If necessary, you can add the Benefits Tab to the People window.
As a system administrator, query the BEN_MANAGER menu in the
Menus window and add the HR View Benefits function to the menu.
Note: You may assign a person to only one benefits group.
To define a benefits group:
1. Enter a unique name for this benefits group.
2. Enter a description of the benefits group.
3. Save your work.
Defining Regulations
You define regulations as discrete rules, policies, or requirements that a governmental
or policy making body defines regarding the administration of one or more benefits.
To define a regulation:
1. Navigate to the Regulations window.
2. Enter a Regulation Name impacting the administration of one or more benefits.
3. Enter a Statutory Citation Name for this regulation.
4. Select a Regulatory Body such as a governmental or policy making body
responsible for this regulation.
5. Select an Administrative Code indicating whether this regulation is issued by or
enforced by this regulatory body.
6. Save your work.
Defining Postal Zip Ranges
You date effectively define postal zip ranges that can be used to determine participation
eligibility and activity rates.
You also use this window prior to defining service areas. The postal codes populate the
list of values of the Postal Zip within Service Area region of the Service Areas window.
See Defining Service Areas, page 1-154
1-154 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
The following parameters are on the Postal Zip Ranges window:
• From Value is the beginning of the zip code range you want to define, inclusive.
• To Value is the ending value of the zip code range you want to define, inclusive.
To define a postal zip range:
1. Enter a beginning and ending postal code, and save.
Defining Service Areas
You date effectively define service areas for a benefits carrier or third party agent. For
instance, you might want to define a service area for a city or other geographical area,
and list the service provided.
The following parameters are on the Service Areas window:
• Service Area region
• Name is the name of the region you are defining, e.g., "Coastal."
• Product is the name of the service provided to the region, e.g., "Medical Plan 1"
Note: Lookup values for this field are located in BEN_PRDCT.
• Postal Zip within Service Area region
• Postal Zip Range is the postal range for the service area
See Defining Postal Zip Ranges, page 1-153
To define a service area:
1. Enter or query the name of the service region.
2. Enter the appropriate service or product in the Product field.
3. Enter the zip code range for the service area.
4. Save your work.
Salary and Grade Related Pay and Progression 2-1
2
Salary and Grade Related Pay and
Progression
Salary, Grades, and Pay Administration Overview
Oracle HRMS provides flexible mechanisms that support common industry approaches
to grade implementation, and salary and pay administration.
Grades
Enterprises use grades to compare roles within their organizational structure and relate
compensation to grades to pay their employee in groups. Oracle HRMS uses grades to
represent relative levels of management or seniority of employees in an enterprise, and
provides alternative approaches to grade related pay administration, if you administer
salaries for groups of employees.
Models of Pay Administration
Oracle HRMS supports the following typical models of grade implementation and pay
administration.
• Model 1: Individual Pay: You administer salaries on an individual basis and
process salary updates manually. Grade changes do not trigger salary changes. You
can, however, use grade rates as a guideline for manual update of salaries.
For this model, you use Salary Administration. You can enter salary amounts or
wage rates for all new employees using the Salary page. You can also enter
proposals for salary changes and identify the various components making up the
changes.
Salary basis is central to the salary administration functionality. It sets the
relationship between various components of the salary administration functionality.
See: Salary Basis, page 2-7 and Starting Salary and Salary Proposals, page 2-16
2-2 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
For rapid updates to many salaries, you can download salary information to a
spreadsheet, modify it, and upload again using Web Applications Desktop
Integrator (Web ADI).
See: Salary Spreadsheets, page 2-17
You can also use Compensation Workbench to allocate compensation awards and
propose changes to salary components on an individual basis or for groups of
employees. Using Compensation Workbench line managers set compensation
budgets and issue them to the reporting managers. Reporting managers then
allocate compensation awards within these budgets to employees belonging to their
organizations.
See: Compensation Workbench, page 3-9
• Grade-Related Pay
• Model 2: Group Pay (Common Pay Scale): Pay is based on grade and,
optionally, grade step. In this model every grade or subgrade maps to a point
on a common pay scale and enables you to compare multiple grade groups to a
single set of values.
• Model 3: Group Pay (No Common Pay Scale): Pay is based on grade but may
also vary by other criteria. For example, the pay for employees on the same
grade may vary according to their location. You create a default pay rate for
each grade and, optionally, grade step and you create a separate pay rate for
each set of criteria (location, in our example). Similarly you can vary pay on the
basis of other criteria such as union or job.
For more information on these models, see: Recognizing Your Grade
Implementation Model, page 2-30
If follow Model 2, you may choose to use either the Grade/Step Progression (GSP)
or the non-automatic step progression features to manage your grades and grade
related pay. To follow Model 3, you must use Grade/Step Progression.
The Grade/Step Progression approach, enables you to group together grades and
grade steps into a Grade Ladder and then define system-based rules for the
automatic progression of your employees on these grades and steps. You can also
update employee salary automatically whenever these is a grade or step change.
See: Implementing Grade Related Pay, page 2-34, Administering Grades and Pay
(Without Using Grade Ladders), page 2-53, and Administering Grade/Step
Progression, page 2-55
• Model 4: Criteria-based Pay: Pay varies according to combinations of criteria. You
create a matrix in which you record values for each rate (salary, overtime,
allowances, and so on) against combinations of criteria (such as performance rating
for each job at each location). You administer pay by creating a rate matrix and
retrieving values based on a person's current assignment or overriding values from
Salary and Grade Related Pay and Progression 2-3
their timecard, using the rate retrieval API.
See: Criteria-Based Rates for Variable Pay, page 2-74
Recording Market Compensation Surveys
Using Oracle HRMS you can enter details from compensation surveys conducted across
your industry. You can then link the survey details for individual jobs, called salary
survey lines, to the jobs, positions, and assignments you use in your enterprise.
Note: You can also download information from market survey
companies using APIs.
See: Entering Compensation Surveys, page 2-25
Reporting on Salary, Pay, and Grade Progression
The salary amounts or wage rates you enter or change provide your enterprise with
information for analysis purposes. If you are also using Oracle Payroll, they also
provide some of the values that payroll calculations use. If you are using another
payroll system, they can also provide salary information for that payroll to process.
Oracle HRMS and Oracle HRMSi enable you to generate a range of reports to meet your
business analysis needs and aid payroll calculations.
For example, using the Salary Review Report you can check the current and past
salaries for some or all of your employees.
The Compensation History page in SSHR enables you to view the in-progress, current,
and historical information about compensation and ranking of your employees. If you
use Compensation Workbench, this feature supplies a number of reports for salary
changes, bonuses, and stock options.
See: Compensation Reporting, page 1-52 and Salary and Grade Related Pay and
Progression -- Reports, Oracle HRMS Configuring, Reporting, and System Administration
Guide
Oracle HRMS also includes various Workforce Intelligence reports that help you
analyze salary and grade related information.
Key Concepts
To enable you to manage the basic remuneration that employees receive, you need to
understand the following key concepts that underpin the Salary Administration
functionality:
• Salary Earnings Elements, page 2-7
• Salary Basis, page 2-7
2-4 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
• Salary Components, page 2-8
• Starting Salary and Salary Proposals, page 2-16
• Salary Spreadsheets, page 2-17
To enable you to effectively enter information about salary surveys you need to
understand another key concept:
• Compensation Survey Identifiers, page 2-24
To enable you to manage grade related pay and progression, you need to understand
the following key concepts:
• Grades and Grade Structures, page 2-29
• Grade Implementation Models, page 2-30
• Grade Rates, page 2-35
• Pay Scales, page 2-37
• Grade/Step Progression, page 2-39
To use Rate by Criteria, read:
• Criteria-Based Rates for Variable Pay, page 2-74
Salary, Grades, and Pay Administration
Using the Salary Administration functionality in Oracle HRMS you are able to manage
efficiently the basic remuneration that employees receive. You can manage
grade-related pay using Grade/Step Progression, and variable pay using Rate by Criteria.
How does HRMS enable you to administer salaries?
You can enter salary amounts or wage rates for all new employees that take effect
immediately. You can also enter proposals for salary changes and identify the various
components making up the changes. For rapid updates to many salaries, you can
download salary information to a spreadsheet, modify it, and upload again using Web
Applications Desktop Integrator (Web ADI).
You can also use Compensation Workbench to allocate compensation awards and
propose changes to salary components.
Once you have proposed salary changes, you can approve and implement the proposed
changes quickly and easily.
Salary and Grade Related Pay and Progression 2-5
Can you associate salary changes with performance reviews?
Yes. You are able to associate all salary changes with the result of performance reviews.
Also, you can identify which components of a salary change are associated with
performance, such as merit awards.
How do you handle grade related pay?
Depending on the requirements of your enterprise you may choose either the
Grade/Step Progression (GSP) or the non-automatic step progression features to
manage your grade related pay. If you follow the non-automatic step progression
approach, you use grade rates, pay scales, scale rates, and grade scales to relate grades or
sub-grades to pay. If you use the Grade/Step Progression approach, you use the Grade
Ladder to group together grades (and grade steps) and then define default and criteria
salary rates to relate grades to pay.
Can you vary grade related pay across your enterprise?
If you differentiate grade-related pay according to certain predefined criteria, you can
use the Grade/Step Progression business process to record different pay rates for the
same grade (or grade step). For example, if your enterprise differentiates pay for
employees who are on the same grade (or step) but in different office locations, you can
record one set of pay rates (known as criteria salary rates) for each location.
How do you pay employees at varying rates based on the roles they perform?
Rate by Criteria (RBC) offers the flexibility of the rate matrix, enabling you to pay any
employee at a different rate for each role they perform. You can specify multiple (up to
seven per matrix) eligibility criteria such as location and shift; rate parameters such as
minimum, maximum, and overtime rates; define your own criteria; and tailor payroll
formulas that call the RBC function. You can also leverage the integration with Oracle
Time and Labor to tie RBC to timecards.
Can you automate the progression of employees in your enterprise?
The Grade/Step Progression business process enables you to group together grades
(and grade steps) and then define system-based rules for their progression. These rules
allow you to define how an employee becomes eligibility for progression, the grade (or
step) to which they are eligible to progress, any salary updates relating to successful
progression, and how those salary updates are passed to your payroll. When the
application finds an employee eligible for progression, it either progresses them
automatically, or flags them for manual progression, and makes any necessary salary
updates (if you have set up Grade/Step Progression to apply automatic salary updates).
2-6 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Can you analyze and compare salaries for groups of employees?
Yes. You can report on current and previous salaries for groups of employees (such as
employees in a selected organization or on a certain grade). You can compare salaries to
the mid point defined for a grade. You can download salary proposals to a spreadsheet
for "what if" analysis.
Using HRMSi you can review current and proposed salaries of comparable groups of
employees.
Can you map market compensation surveys to information for your enterprise?
Yes. Using Oracle HRMS you enter the results of different compensation surveys. For
example, you can record the minimum and maximum salaries for jobs within your
industry. You can then link the compensation survey details to jobs, positions, and
assignments within your enterprise.
If Payroll is installed, does this link to pay?
Yes. No matter which method you choose to administer pay, Oracle Payroll can process
the pay rates for which your employees are eligible.
Salary and Grade Related Pay and Progression 2-7
Salary Administration Setup
Salary Earnings Elements
For Salary Administration, you need at least one salary earnings element for each group
of employees whose salary is quoted on the same basis (such as hourly or monthly).
You then link these elements to components of employee assignments, to determine
which employees are eligible for a particular element. Oracle Payroll can process these
elements in payroll runs to generate salary amounts for employees. A third party
payroll can take information from these elements for use in generating amounts for
employees.
HR-Only
If you are an HR-only customer, you need to work closely with your Payroll
Department to ensure that the elements used in Salary Administration are correctly set
up for transmission of information to whatever payroll is in use.
Predefined Earnings Elements
Some HR localizations have certain predefined earnings elements already set up when
you receive your HR system. For example, US-HRMS includes the predefined earnings
elements Regular Salary and Regular Wages. Depending on your requirements, you
may decide to use some predefined elements to represent actual earnings types in your
system.
If you are an Oracle Payroll user, you will also get other predefined elements.
However, predefined elements cannot be changed in any way. For this reason, you may
decide to use the predefined elements simply as models for other earnings elements
that you define to meet the particular requirements of your enterprise.
If predefined elements are not available to represent all the earnings types and salary
bases you need for your Salary Administration setup, you must create your own
elements for this purpose.
Salary Basis
When your elements for use in Salary Administration are in place and you have defined
links for them, you associate an element with each salary basis in use in your enterprise.
The salary basis establishes the duration for which a salary is quoted, such as, hourly
(for example, 1,000 yen per hour) or annually (for example, 18,000 pounds per year).
The salary basis is not necessarily the same as the pay frequency. For example, an
employee with an hourly pay rate can have the salary basis Hourly Salary, but can have
2-8 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
an assignment to a weekly payroll and therefore have a weekly pay frequency.
Note: You cannot use the Element Entries window or BEE to make
entries to any elements that are associated with salary bases. You must
use the Salary page to enter and maintain entries for the element.
Elements and Salary Basis for Payments
Salary Components
Salary changes can be broken down into two or more components, to reflect different
reasons for the change. You can approve each component of the proposal separately.
Ten salary components are predefined, as shown in the following table. You can create
as many additional components as you require. However, only ten components can be
displayed in the Salary Management folder. If you want your new components to be
displayed in the folder instead of the default components, you must update a view.
This task is for system administrators.
Predefined Salary Component Lookup
Cost of Living COL
Job Evaluation JOEV
Salary and Grade Related Pay and Progression 2-9
Predefined Salary Component Lookup
Location Adjustment LOAD
Market Adjustment MKAD
New Hire NEWH
Performance PERF
Periodic Review PERE
Progression PROG
Promotion PROM
Transfer Adjustment TRAD
Setting Up Salary Administration
Use the Salary page to manage efficiently the basic remuneration that employees
receive.
1. Create (or Decide on) Salary Elements, page 2-10
2. Decide How To Validate Salary Entries, page 2-12
3. Link the Salary Element, page 2-12
4. Define a Salary Basis, page 2-14
5. Review the salary components predefined as values for the Lookup Type
PROPOSAL_REASON. If you want your new components to be displayed in the
Salary Management folder, you must also change a view. See: Creating Salary
Components, page 2-13
6. Optional: If you want Oracle HRMS to calculate full-time equivalent salaries for
part-time employees, set the HR: FTE Factor user profile option. For more
information on the different available options, see: User Profiles, Oracle HRMS
Configuring, Reporting, and System Administration
7. Optional: configure compensation survey to enable you to compare your employees
salaries with published compensation survey data specific to your industry.
2-10 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
See: Compensation Surveys, page 2-24
8. Optional: If you want the compensation manager to explicitly approve an
employee's new salary (for example, approve only after all the HR processes such
as background verification checks are complete), then set the HR: AUTO APPROVE
FIRST SALARY PROPOSAL profile option to NO.
Otherwise, set the HR: AUTO APPROVE FIRST SALARY PROPOSAL profile
option to Yes or leave it blank to automatically approve an employee's new salary.
9. If you want to record performance ratings such as Outstanding, Superior and
Average, enter them in the Lookups window for the Lookup Type
PERFORMANCE_RATING.
See: Adding Lookup Types and Values, Oracle HRMS Configuring, Reporting, and
System Administration Guide
10. Add the function "Salary Administration Approve" to the menu of responsibilities
that should be able to approve salary proposals. Without this function, users can
enter salary proposals but they cannot approve them.
See: Defining Menus, Oracle HRMS Configuring, Reporting, and System Administration
Guide
11. Assign employees to a salary basis using the Salary Information region of the
Assignment window. Also assign employees to a grade, if you have associated a
grade rate with the salary basis.
See: Assigning Employees to a Salary Basis, Oracle HRMS Workforce Sourcing,
Deployment, and Talent Management Guide
Creating a Salary Element
You need at least one salary element for each salary basis in your enterprise.
If predefined elements exist in your localization, you might decide to use these. If your
localization does not include predefined elements, or if the predefined elements are
insufficient or inappropriate, you must create these elements.
You create a salary element in the Element window.
US and Canada Payroll only: If you decide not to use the predefined Regular Salary
and Regular Wages elements, create your own elements using the Earnings window,
rather than the Element window.
Mexico, Canada, and UAE only: Use the Element Design Wizard to create your own
elements, rather than the Element window.
Salary and Grade Related Pay and Progression 2-11
To create a salary element:
1. Set your effective date to a day on or before the start of the first payroll period for
which you want to enter salaries.
2. Enter a name for the element, and select the classification Earnings.
3. Payroll only: Select the proration event group, if this field is available for your
legislation.
4. Select the type Recurring.
5. Do not check the Standard check box.
6. Save the element, then click Input Values.
7. Create one input value to hold the salary value in the Input Values window. If you
want to associate this element with more than one salary basis, create one input
value for each salary basis.
Tip: If the salary basis is different from the payroll periods of the
employees who will receive this element, make this clear in the
input value name. For example, if the salary basis is Annual, you
could name the input value Annual Salary.
Also, you can use the input value unit of Number instead of Money
to enter salaries of up to 5 decimal places. For example, if you pay
your employees' 10 pounds per day and a day consists of 7 hours,
you can set up the input value unit as Number, this enables you to
enter the employee's hourly rate as 1.4286 pounds. If the average
day is 8 hours you could use the input value unit of Money because
the hourly rate of 1.25 pounds only requires two decimal places.
8. Optionally, enter validation criteria for the input value, such as a Minimum and
Maximum value, or a formula to perform the validation, if required. Select Error in
the Warning or Error field.
See Validating Salary Entries, page 2-12
Note: If you select Warning, users do not see the warning in the
Salary page.
9. Save your work.
2-12 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Linking the Salary Element
Link the salary elements to components of employee assignments to establish employee
eligibility for the elements.
Use the Element Link window to link the salary element.
To link the salary element:
1. Set your effective date to a day on or before the start of the first payroll period for
which you want to enter salaries.
2. Select your new salary element.
3. Do not check the Standard check box.
4. Select eligibility criteria for this element. If you want to make the element available
to all employees, do not select any criteria.
5. Save the link.
6. If you want to enter different validation criteria for different eligibility groups, you
can change the Min and Max valid values in the Link Input Values window.
Validating Salary Entries
There are two ways to validate salary entries:
• You can warn users when they enter a salary proposal that is outside a valid range
defined for an employee's grade. This approach uses grade rate ranges.
• You can prevent users from approving a salary that is outside a valid range, or that
fails validation performed by a formula. Notice that this validation is not performed
until you try to approve a salary proposal. This approach uses element input value
validation.
To validate salaries against grade rate ranges:
1. Create a salary grade rate and enter minimum, maximum, and midpoint values for
each grade.
See: Defining a Grade Rate, page 2-49
2. When you define the salary basis, select your salary grade rate.
See: Defining a Salary Basis, page 2-14
Salary and Grade Related Pay and Progression 2-13
3. Assign your employees to grades.
To validate salaries using input value validation:
1. If you want to validate salaries using a formula, create your formula in the Write
Formulas window.
See: Writing Formulas for Validation, Oracle HRMS FastFormula User Guide
2. When you define an input value for the salary element, you can select a formula to
perform validation, or you can enter minimum and maximum valid values.
See: Creating a Salary Element, page 2-10
3. If you want to vary the validation for different groups of employees, you can enter
validation criteria in the Link Input Values window.
See: Linking the Salary Element, page 2-12
Creating Salary Components
You can create as many additional salary components, as you require. However, only
ten components can be displayed in the Salary Management folder. If you want your
new components to be displayed in the folder instead of the default components, you
must update a view.
To create new salary components to display in the folder:
1. Query the Lookup Type PROPOSAL_REASON in the Lookups window and add a
new code for each new component.
2. Open the View file peupl01v.sql in a text editor.
3. Go to the component reason list and replace the default Lookups with the new
codes you have created.
Note: There are two places in the file where you need to change
these codes.
4. Go into SQL*Plus as hr user and run the edited script.
5. Change the column names in the Salary Management folder by choosing Change
Prompts from the Folder menu.
2-14 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Defining a Salary Basis
Use the Salary Basis window to define a salary basis for each salary element to be used
for salary administration. This establishes the duration for which a salary is quoted, for
example, hourly, monthly or annually.
To define a salary basis:
1. Enter an appropriate name for the salary basis.
2. Select a pay basis, such as Annual or Hourly. For example, select Monthly Salary if
you are using the predefined Regular Salary element in the US.
If you selected Annual or Monthly, Oracle HRMS identifies the number of
payments and enters 1 or 12 in the Pay Annualization Factor field. You can change
this value, if required.
If you selected Hourly, the Pay Annualization Factor field is blank. Enter your own
value, such as 2080 (40 hours * 52 weeks) to enable the Salary page to display an
annual salary from the hourly rate.
If you select Period, leave the Pay Annualization Factor field blank, Oracle HRMS
uses the payroll period of your employee as the annualization factor.
Note: The pay basis is for information only. For example, to enable
you to compare salaries.
3. Select the name of the salary element and input value associated with this salary
basis. For example, if you are using predefined elements in the US, select Regular
Salary and the input value Monthly Salary, or Regular Wages and the input value
Rate.
Note: If you use Oracle Payroll, do not select Pay Value as the input
value for the salary element. Oracle Payroll does not run the
payroll formula associated with this element if you select Pay Value
and therefore this selection may result in incorrect balances.
4. Select a grade rate to associate with the salary basis, if required.
Oracle HRMS uses the grade rate to validate your salary proposals. You receive a
warning if the salary you enter for an employee is not within the grade rate range
defined for the employee's grade.
5. Select the grade rate basis (Hourly, Monthly, Annual, or Period) for the rate if you
selected a grade rate. For example, if your grade rate specifies the valid monthly
salary ranges for each grade, select Monthly Salary in the Grade Rate Basis field.
Salary and Grade Related Pay and Progression 2-15
If you selected Annual or Monthly, Oracle HRMS identifies the number of
payments and enters 1 or 12 in the Grade Annualization Factor field. You can
change this value, if required.
If you selected Hourly, the Grade Annualization Factor field is blank. Enter your
own values, if required.
If you selected Period, leave the Grade Annualization Factor field blank, Oracle
HRMS uses the payroll period of your employee as the annualization factor.
Note: This is for information only. For example, to enable you to
compare salaries within grades.
6. Save your changes.
2-16 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Salary Administration
Starting Salary and Salary Proposals
Use the Salary page to enter starting salary amounts for new employees, which can be
explicitly approved or receive approval automatically. You can enter a proposed salary
change for a current employee at any time. You can enter a salary proposal as:
• A new amount
• A single change amount or multiple change amounts
• Percentages (reflecting different factors or reasons contributing to the change, such
as a merit award plus a cost of living component)
To hold multiple reasons for a starting salary or a salary change, you break down a
proposal into two or more components. Each component represents a different reason
for changing the salary. You can define as many reasons as you require using the
Lookup Type PROPOSAL_REASON. Examples of components are Merit Award and
Cost of Living Increase.
Optionally, you can rank the employee to track their performance in the future or
consider their performance rating to assist you in proposing a salary change. You can
enter grade rate ranges against which the application validates salary proposals, if
required, when you set up salary administration.
You can also use Compensation Workbench to allocate compensation awards and
propose changes to salary components. See: Compensation Workbench, page 3-9 for
further details.
Salary Change Approval
A salary proposal does not go into effect until it receives approval. If you have recorded
multiple components of a salary proposal, you can approve each component
independently. When an unapproved proposal exists for an assignment, you must
either approve or delete it before you can enter a new proposal.
When you approve a salary, Oracle HRMS creates or updates a salary element entry for
the assignment. You can view this entry in the Element Entries window, but you cannot
change it there.
Note: You can approve components, but you may not be able to
approve salaries. This is controlled by a menu function set up by your
system administrator.
Salary and Grade Related Pay and Progression 2-17
Assignment Changes
If an employee's assignment changes such that it continues to be eligible for the salary
element but via a different element link, the existing element entry is ended. No new
element entry is created automatically. (This is in contrast to the behavior for other
types of element.) You must re-enter and approve the salary proposal following the
assignment change. This ensures the integrity of your salary data.
Correcting or Deleting a Salary Proposal
Using the Salary page you can:
• Make corrections to your current or previous salary proposals
• Enter a new salary proposal between two current salary proposals
• Delete the current or previous salary proposals
• Delete a salary proposal leaving a gap between two existing salary proposals
Salary Related Details
The Salary page summarizes and displays information to help you perform informed
salary administration all in the same page. You can find information on
• The grade step details from the Grade Salary Limits region
• The salary basis details from Salary Basis Details region
• The employee's performance ratings from the Recent Performance region
• The full time equivalent of employee's salaries to effectively administer salaries for
part-time employees
Review and Compare Salaries
Before entering salary proposals, you can review the current salaries of comparable
groups of employees using the Salary page. You can also view the salary history of an
employee and compare employee salary against published compensation survey data
for similar jobs and positions in your industry.
For other methods of reviewing the current salaries of similar employees,
see:Reviewing Current Salaries, page 2-21.
Salary Spreadsheets
Using Web Applications Desktop Integrator (Web ADI), you can download information
2-18 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
from the Salary Management folder to a spreadsheet. Here you can manipulate the data
to create new salary proposals or to modify existing proposals. You can then upload
your revised salary information to the database. If your responsibility permits, you can
approve all or selected proposals in the folder. Using Web ADI you can also upload
descriptive flex field information.
The changes you make in the spreadsheet are checked when you upload them to the
database. To minimize errors, follow these rules:
• Do not enter components for a first salary (for example, for a new hire). Enter a
proposed amount and change date only.
• Enter changes for the full salary or for components but not for both.
• If you enter components, make sure you enter a value (Y or N) in the Approved
field for each component.
• Do not alter a Change Date that was downloaded from the database.
• Do not enter information in the grey fields (except for Change Date).
• Note that the Change Amount is given precedence over the Change Percentage. If
you enter inconsistent values, the upload process records the new change amount
and adjusts the percentage to match. If you want to record a percentage change,
clear the amount field.
• If you want to delete a component, clear both the change amount and percentage
fields for that component.
See: Data Download Using Web ADI, Oracle HRMS Configuring, Reporting, and System
Administration Guide
See: Data Upload Using Web ADI, Oracle HRMS Configuring, Reporting, and System
Administration Guide
Using the Salary Management Folder
Using the Salary Management Folder, you can select sets of assignments for which you
want to enter or approve salary proposals. For each assignment, the folder can display
the current approved salary and proposed new salary, including up to ten salary
components.
Using Web Applications Desktop Integrator (Web ADI), you can download information
from the Salary Management folder to a spreadsheet. Here you can manipulate the data
to create new salary proposals or to modify existing proposals. You can then upload
your revised salary information to the database. If your responsibility permits, you can
approve all or selected proposals in the folder.
See: Data Download Using Web ADI, Oracle HRMS Configuring, Reporting, and System
Salary and Grade Related Pay and Progression 2-19
Administration Guide
See: Data Upload Using Web ADI, Oracle HRMS Configuring, Reporting, and System
Administration Guide
To manipulate salary proposals in a spreadsheet:
1. In the Salary Management folder, query the assignments you want to process.
2. Display the folder columns that you want to export.
3. Choose the Export Data icon on the Oracle HRMS tool bar to display the Settings
page of the Web ADI wizard.
Note: You need to be logged into your self-service home page for
the Web ADI settings page to appear. Otherwise, you will be
prompted with the self-service applications login screen.
Caution: When moving between Web ADI pages, do not use your
browser's Back or Forward buttons, as this causes information to be
lost; instead, use the Back, Next and Cancel buttons displayed on
the Web ADI page.
4. Select a spreadsheet viewer. If several versions of the viewer are available, your
system administrator can tell you which version is appropriate.
5. Ensure that the Reporting check box is unchecked. You cannot upload data if the
Reporting check box is selected when you download the data.
Note: You can upload data only if the HR Update Salary Proposals
integrator has been set up to allow upload. Check with your system
administrator that the required integrator is available.
6. All other information is defaulted and a Review page displays the parameters that
will be used to create the document. Choose the Create Document button to
continue.
A spreadsheet document is created and displayed, and the data from the records
you queried is added to the spreadsheet. A number of confirmation messages
appear as the document is created.
The data downloaded to the document depends on the query you entered in the
window and the columns in your layout.
Note: You may want to save the spreadsheet on your desktop at
2-20 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
this stage, as otherwise the spreadsheet and the data it contains will
be lost from your desktop when you close the spreadsheet (the data
remains in the Oracle application).
7. Edit the data in the spreadsheet. Save the spreadsheet with a new name (to prevent
it being overwritten the next time Web ADI is run).
For further information about the rules to follow when editing the data in your
spreadsheet, see: Salary Spreadsheets, page 2-17.
In the Upl column of the spreadsheet, each row where you have changed data in
any field is flagged for upload. As you change data in a field, the row is flagged for
upload.
8. Select the Oracle menu on your spreadsheet viewer toolbar, and choose Upload
9. If you are not already logged in to Oracle applications, a login page appears. Enter
your user name and password, then choose the Login button.
10. In the Set Responsibility page, choose your responsibility and then choose Select.
11. In the Upload Parameters page, choose the Parameters button. If you only want to
upload flagged rows, choose the Flagged Rows option button. To upload all rows
choose the All Rows option button.
12. Choose the Proceed to Upload button, then choose the Upload button in the page
that appears next. The upload takes place, and a series of upload messages is
displayed, indicating the success or failure of the upload.
13. If the upload fails, return to the spreadsheet and correct any errors, then retry the
upload. Further details of errors are available in the Messages column at the end of
each row of the spreadsheet. If the upload is successful, the data is uploaded to the
database. Confirmation messages indicate the success of the upload.
Note: Web ADI uploads all rows to the database if the data is
error-free. If any errors occur, no rows are uploaded.
14. To view your new proposals in the Salary Management folder, re-query the data.
Approving Multiple Salary Proposals
If the Approve button is displayed in the Salary Management folder, you can select
multiple assignments in the folder and approve them.
Note: If the Approve button is not displayed, you cannot approve
Salary and Grade Related Pay and Progression 2-21
salaries. This is controlled by a menu function set up by your system
administrator.
When you approve a salary, Oracle HRMS creates or updates a salary element entry for
the assignment. You can view this entry in the Element Entries window, but you cannot
change it there.
To approve multiple salary proposals
1. In the Salary Management folder, query the assignments you want to process.
2. Select the assignments you want to approve and choose the Approve button. To
select multiple assignments, hold down the CTRL key and click on the assignment
records you want to select.
Note: The Salary Management folder is not designed for mass
approvals. Do not try to approve hundreds of salary proposals
together using this window.
Reviewing Current Salaries
Before entering salary proposals, you can review the current salaries of employees in
the same job and country, view the salary history of an employee and compare
employee salary against published compensation survey for similar jobs and positions
in your industry using the Salary page. There are a number of other ways of reviewing
current salaries.
1. Choose the appropriate approach:
• Query a list of assignments in the Salary Management folder to view their
current salaries and any existing salary proposals. You can view up to ten
salary components (such as Cost of Living, Location Adjustment, or Promotion)
for each proposal.
See: Using the Salary Management Folder, page 2-18
• Query lists of assignments receiving a particular salary element on the List
Employees by Element window. This shows the latest approved salary for each
assignment in the date range you select.
See: Listing Employees by Element, page 1-62
• Run the Salary Review Report to view current and previous salaries for all
current or terminated employees, or for employees assigned to a selected
organization, job, position, and/or grade.
See: Running the Salary Review Report, page 2-23
2-22 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
• Query a list of assignments in the Assignments folder then view the salary
history for each assignment in the list, individually, using the Salary History
window. This window displays the dates, reasons, and amounts of each
approved salary change, and of any new salary proposal.
See: Viewing Salary History, page 2-22
• If you use grade rates, you can view the salaries of all employees on a certain
grade receiving a particular salary element, using the View Employee Grade
Comparatio window. This window also displays each employee's salary as a
percentage of the midpoint defined for the grade.
See: Viewing Grade Comparatios, page 2-60
• If you use pay scale rates for salaries, you can report on the salaries of all
employees or a group of employees using the Employee Increment Results
report.
See: Running the Employee Increment Results Report, page 2-73
Viewing Salary History
Oracle HRMS maintains a complete history of approved salary changes for current and
terminated employees, along with associated performance reviews. Using the Salary
History window or the Salary page, you can view the dates, reasons, and amounts of
each approved salary change, and of any new salary proposal.
You can review the salary history of a current or terminated employee using the Salary
page or by running the Salary Review Report, page 2-23.
To view salary history:
1. Query assignments in the Assignments Folder.
2. Select an assignment and choose the Salary History button.
The Salary History window contains a folder. You can enter a query in the folder to
reduce the list of salary changes displayed. You can remove, rearrange, add, or resize
fields in the folder if you have access to the folder menu.
The Change field shows the amount of the salary change, and the Actual field shows
the new salary effective from the Change Date. The Hourly, Monthly, Annual, and
Payroll fields show the salary prorated to these periods. The Currency Code field
shows the currency in which the salary was paid and the Ranking field shows the
employee rank. The Mid, Minimum, and Maximum fields show values from the grade
rate for the employee's grade. The Comparatio field shows the salary as a percentage of
the midpoint defined for the grade rate.
Salary and Grade Related Pay and Progression 2-23
Note: Fields are greyed out when there is no previous history, for
example, if there is no previous or changed salary.
Running the Salary Review Report
Use this report to see current and past salaries, and salary proposals, for some or all of
your current or terminated employees. You can restrict the employees to those assigned
to a selected organization, job, position, or grade. You can also restrict the report to
showing only employees receiving the maximum salary for their grade (defined by the
grade rate). You can use the report to show all salaries (approved and proposed) or to
show unapproved salary proposals only.
You run reports from the Submit Requests window.
To run the Salary Review Report:
1. In the Name field, select Salary Review Report.
2. Enter the Parameters field to open the Parameters window.
3. Enter the effective date for which you want to see the report.
4. Optionally select an organization, job, position, and/or grade to restrict the scope of
the report to employees assigned to these components.
5. If you want to restrict the report to showing salary proposals, select Yes in the
Unapproved Proposals Only field.
6. If you want to restrict the report to showing employees receiving the maximum
salary for their grade (defined by the grade rate), or a higher salary, select Yes in the
Grade Rate Maximum Only field.
7. Choose the Submit button.
2-24 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Compensation Surveys
Compensation Survey Identifiers
Compensation surveys enable you to compare your basic remuneration packages
against published data for your industry. Using this feature you can record as many
compensation surveys as you require, map those surveys to each job and position in
your enterprise, and analyze the data to understand how compensation within your
enterprise compares with trends in the industry.
When you enter the details of a compensation survey using the Compensation Surveys
window, you must enter a compensation survey identifier. The identifier filters the
survey lines to display only the information relevant to the survey you have specified,
which helps you enter data more quickly and efficiently.
You use the identifier as the two character prefix to the codes of each of the lookup
values you use in the Compensation Surveys window. The identifier you enter on the
Compensation Surveys window points to the two character prefix you added to the
lookup codes, and the application displays only those lookups that are relevant to the
identifier.
Lookup Types for the Compensation Survey Window
You set up the values for the fields in the Compensation Survey window using the
following user-extensible Lookup Types:
• SURVEY_JOB_NAME
• SURVEY_REGION
• SURVEY_SENIORITY
• COMPANY_SIZE
• INDUSTRY
• SURVEY_AGE
• SURVEY_COMPANY
To display the jobs and values specific to each survey, use the compensation survey
identifier as the prefix of the lookup codes for these Lookup Types except
Survey_Company. For example, you can use the prefix DB at the beginning of all
lookup codes you want to display for Dun and Bradstreet surveys.
For information about user-extensible lookup types, see: Adding Lookup Types and
Values, Oracle HRMS Configuring, Reporting, and System Administration Guide
Salary and Grade Related Pay and Progression 2-25
Entering Compensation Surveys
The Compensation Surveys window enables you to enter surveys that compare
remuneration levels for jobs in your industry. Survey vendors provide this information
in a variety of data formats. You enter data that uniquely identifies the survey in the
compensation survey master data. You can record as many different compensation
surveys as you require by entering information about the categories your enterprise
uses to identify compensation details, such as Region, Industry, Mean Pay, or Fiftieth
Percentile. Then for each survey, you can enter the survey results for each job by
creating compensation survey lines.
Note: The area of the window where you enter the compensation
survey line information is a folder. Therefore, you can customize the
information by renaming, resizing and re-ordering the fields displayed.
You can also create your own folders to display a subset of the
information.
You can then link compensation survey lines to the jobs, positions, and assignments you
use in your enterprise. Using the OBIS Salary Survey report you can then compare how
salaries for jobs within your enterprise compare with trends within your industry as a
whole. If you are licensed to use Compensation Workbench, then you can also display
compensation survey data in Compensation Workbench. By mapping the
Compensation Survey detail lines to the applicable jobs, the salary survey data can then
be displayed in the Compensation Workbench allocation worksheet to aid your
managers when allocating compensation awards to employees.
Note: Compensation Workbench displays only the compensation
survey type of Salary.
Before you enter your compensation survey details you must know your compensation
survey identifier.
See Compensation Survey Identifiers, page 2-24.
You must enter details of your compensation survey in three stages:
1. Master Data
2. Lines Defaults
3. Lines
To enter compensation survey master data:
1. Enter the name of the market compensation survey and the compensation survey
company. This information is used to uniquely identify the survey details.
2-26 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
2. Enter the compensation survey identifier.
3. Enter the following master data for your survey:
• Survey Type - enter whether the salary information is annual, monthly, hourly
or period. This is based on your enterprise's salary basis.
• Base Region - if you require, you can enter information about whether there is a
regional or national average.
Note: Once you have set up all your compensation survey details,
making changes to the survey type and base region information can
invalidate your survey. Oracle HRMS enables you to change this
information so you can correct any mistakes, however you should
not change this information to update an existing survey.
4. Save your master compensation survey details.
To enter compensation survey lines defaults:
1. Enter the default start and end date for your compensation survey lines.
Compensation survey lines use this date range by default. However, you can
specify different dates when you enter a line.
2. Enter the default currency for your compensation survey lines.
Compensation survey lines use this currency by default. However, you can specify
another currency when you enter a line.
3. Select the stock display type from the list.
You can choose to display the value of stock in survey lines as Number of Shares or
Money Value of Shares.
To enter compensation survey lines:
1. Enter a job name, start date and currency for the compensation survey line. If
required, enter an end date for the compensation survey line.
2. Enter a definition of your compensation survey lines. You can enter the:
• Region the survey includes
• Seniority of the survey
• Company size of the survey
Salary and Grade Related Pay and Progression 2-27
• Industry of the survey
• Age of the survey
By entering a start and end date you can create a history of compensation survey
information. However, you must ensure that the job and salary definition
information is never the same for two compensation survey lines on the same date.
3. Enter the salary details for the line. You can enter details such as the minimum pay,
mean pay, percentage change, and first quartile.
4. Enter all the compensation survey lines you require for the compensation survey.
5. Save your compensation survey lines.
Mapping Compensation Survey Lines
You can map compensation survey lines to jobs, positions, or assignments. Mapping
survey lines gives you a picture of how the compensation for a given job, position, or
assignment aligns with compensation standards in your industry.
Note: You set up compensation survey lines using the Compensation
Surveys window, see: Entering Compensation Surveys, page 2-25
If you have additionally licensed and implemented Oracle HRMSi, you can use the
Salary Survey Comparison Workbook to analyze surveys that you mapped to jobs,
positions, or assignments in your enterprise, see: Salary Survey Comparison Workbook,
Oracle HRMS Strategic Reporting (HRMSi) User Guide
You can map compensation survey lines in the Position, Job, or Assignment windows.
Choose the Define Survey Map button in the Job or Position window, or the Others
button in the Assignment window. If you are licensed to use Compensation
Workbench, then you can also display compensation survey data in Compensation
Workbench. By mapping the Compensation Survey detail lines to the applicable jobs,
the salary survey data can then be displayed in the Compensation Workbench
allocation worksheet to aid your managers when allocating compensation awards to
employees.
Note: Compensation Workbench displays only the compensation
survey type of Salary.
To map a compensation survey line:
1. Optionally, enter the Oracle HRMS location, grade, and organization. This step
enables you to provide a more accurate picture of how compensation for your given
2-28 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
job, position, or assignment aligns with similar locations, grades, and organizations
in your industry.
2. Enter the details of the compensation survey line. You can select any of the
compensation survey lines you have set up from any of the fields.
Note: The Map Compensation Survey window is a folder.
Therefore, you can customize the information by renaming,
resizing and re-ordering the fields displayed. You can also create
your own folders to display a subset of the compensation survey
information.
3. Map all the compensation survey lines you require.
4. Save your mapping details.
Salary and Grade Related Pay and Progression 2-29
Grades and Pay Setup
Grades and Grade Structures
Grades are normally used to record the relative status of employee assignments and to
determine compensation and benefits, such as salary, overtime rates, and company car.
Using Grades to Compare Roles
You can define one or more valid grades for each job or position. You enter this
information in the Valid Grades window, which opens from the Job window or the
Position window.
When you enter a grade assignment, the list of grades shows which ones are valid for
the job or position you select.
Grades can have different levels of complexity, which need to be represented in the
overall structure of the grade.
In its simplest form, a grade can be a single character, or number, in a logical sequence.
For example:
• Grade A
• Grade B
• Grade C
By adding a second segment to the grade name, you can identify sub-grades, such as:
2-30 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
• Grades A.1, A.2, A.3, and A.4
• Grades B.1 and B.2
• Grades C.1, C.2, and C.3
A more complex structure could be used to distinguish grades for different staff groups,
such as:
• Manual.A.1, Manual.A.2, and Manual.G.1
• Clerical.C.1 and Clerical.C.2
In this example, there are three segments in the grade name. A grade is the combination
of segments you define. You set up the segments and their valid values using the Grade
Name Key Flexfield. Normally this is done by the system administrator.
See: User Definable Key Flexfields, Oracle HRMS Configuring, Reporting, and System
Administration Guide
Recognizing Your Grade Implementation Model
There are several models for grade implementation that reflect common approaches to
grade-related compensation. Oracle HRMS supports the following models
• Model 1: Individual pay
• Model 2: Group Pay - Common Pay Scale
• Model 3: Group Pay - No Common Pay Scale
• Model 4: Criteria-based Pay
Once you have identified the models that most closely resemble your grade and
compensation model, you can determine how to configure your grade information in
Oracle HRMS.
Model 1: Individual Pay
If your enterprise uses this approach, you process salary updates manually and grade
changes do not trigger salary administration changes. Commercial organizations
frequently use this model. Oracle HRMS supports this model with grade rates, salary
administration and a salary basis.
See: Models of Pay Administration: Model 1 Individual Pay, page 2-1
Model 2: Group Pay - Common Pay Scale
In this model, group pay is based on a national or common pay scale for different grade
Salary and Grade Related Pay and Progression 2-31
groups. The enterprise uses a single reference table (the pay scale) which comprises a
series of points in a predefined sequence. Every grade or grade progression point in the
organization maps to a point on that pay scale, enabling the organization to compare
multiple grade groups to a single set of values. Typically, the employee receives a salary
update when they move to another grade or step. This approach is often used by
public-sector type organizations, for example, in the education and healthcare sectors.
The points on the pay scale map to values in one or more additional tables. If your
enterprise records multiple rates for any single point on a pay scale, you use multiple
tables.
The following graphic shows four grades in an organization (IT1, IT2, IT3, and IT4).
Each grade comprises between two and four progression points. Each progression point
maps to a point on the national pay scale. This organization needs to record both annual
salaries and also its hourly overtime rate. Therefore the same pay scale is used by two
different tables.
Example: Group Pay - Common Pay Scale
If your enterprise uses this model, you can use pay scales to create one scale rate (per
table) to record multiple values for each grade step.
See: Non-automatic Step Progression Approach, page 2-34
2-32 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
To progress your employees automatically (and make automatic salary updates when
they move from one grade or step to another), use Grade/Step Progression.
See: Grade/Step Progression Approach, page 2-34
Model 3: Group Pay - No Common Pay Scale
If you use this model, your enterprise uses multiple pay tables to record different rates
of pay for people on the same grade. Typically, the employee receives a salary update
when they move to another grade or step. Enterprises that use this model pay their
employees differently according to predetermined factors. For example, the pay for
employees on the same grade step may vary according to their location. The graphic
illustrates how an organization uses multiple pay tables to differentiate grade pay by
location. For example, Employee A is on the third step of the SE.1 grade in Sydney and
is eligible for a different rate of pay from Employee B, who is on the same grade step,
but located in the Melbourne office.
Salary and Grade Related Pay and Progression 2-33
Example: Group Pay - No Common Pay Scale
In the example shown, each pay table uses only one criterion to differentiate the pay
that people on the same grade step receive. There could be multiple criteria for a grade,
for example, location and currency.
If your enterprise varies grade pay in this way, we recommend that you use Grade/Step
Progression and criteria salary rates to combine multiple criteria, plus a value for each
criterion, to record different rates of pay depending on an employee's individual
circumstances.
See: Grade/Step Progression Approach, page 2-34
Model 4: Criteria-based Pay
In this model, you can vary pay by multiple criteria (up to seven). You can select grade
as one of the criteria. For example, you could enter pay rates for each performance
rating, within each grade, for each job. Similarly, you could enter rates for each grade
within each location and according to bargaining unit. You use an API to identify the
appropriate pay rate from the rate matrix. There is no provision, in this model, for
automatically progressing employees through grades.
See: Criteria-Based Rates for Variable Pay, page 2-74
2-34 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Implementing Grade Related Pay
Oracle HRMS provides alternative approaches that support the common grade and
compensation models, see Recognizing Your Grade Implementation Model, page 2-30.
You can use either the Non-automatic Step Progression or the Grade/Step Progression
(GSP) approaches to implement grades and associate compensation and benefits to
grades.
Non-automatic Step Progression Approach
If you follow the Non-automatic Step Progression approach, you use grade rates, pay
scales, scale rates, and grade scales to relate grades or sub-grades to pay.
Using grade rates, you can either enter a fixed value for each grade, or minimum,
maximum, and mid-point values.
You may have a salary administration system in which the actual level of pay normally
falls between a minimum and a maximum value for a grade.
See: Grade Rates to Relate Pay to Grades, page 2-35.
Using grade scales, you can associate each grade with several points on a pay scale, and
enter compensation values for these points.
You may be using a step based system of progression points within grades, in which
each point has a fixed value in a pay schedule or table. In Oracle HRMS this is a pay
scale.
See: Pay Scales to Relate Pay to Grades, page 2-37
Grade/Step Progression Approach
If you use the Grade/Step Progression approach, you use the Grade Ladder to group
together grades (and grade steps) and then define system-based rules for their
progression. Grade/Step Progression enables you to move large numbers of employees
from one grade or grade step to the next, and update their salaries automatically. GSP
also gives you the ability to vary employee pay depending on employees' individual
circumstances through the use of criteria salary rates.
See: Grade/Step Progression, page 2-39
See: Administering Grade/Step Progression, page 2-55
Note: Self-service managers can view and update the grade step and
grade point of their employee's salary.
See: Compensation Workbench section of Self-Service Function, Oracle
HRMS Deploy Self-Service Capability Guide
Salary and Grade Related Pay and Progression 2-35
Non-automatic Step Progression and Grade/Step Progression - A Comparison
You may choose to use either of the above features to manage grades and pay
depending on the requirements of your organization. This section gives a comparison of
the two approaches.
If you choose to administer grades and pay in your enterprise without implementing
grade ladders, you can:
• Manually increment grade step placements using the Grade Step Placement
window from the Assignment window.
• Automatically increment grade step placements using the Increment Progression
Points process. However, this process does not support predefined progression
rules for progressing employees on grade steps. When you run the Increment
process, you specify various parameters that restrict the assignments that the
application should process.
• Use the salary element and a Payroll formula to update employee salary when there
is a grade or step change. You cannot automatically update employee salary
whenever there is a grade or step change.
• Automatically progress employees only up to the ceiling step of their current
grades. You cannot automatically progress employees beyond the ceiling of their
current grade, or the assignment ceiling that you have set for an individual
employee.
Using the Grade/Step Progression approach, you can administer employee progression
and salary management automatically. The Grade/Step Progression features support:
• Automatic progression of employees by using predefined progression rules.
• Automatic salary updates that synchronize with grade or step changes for an
employee. You can use a salary element to update employee salary without using a
payroll formula.
• Progression of employees beyond the ceiling step of their current grade to the next
higher grade on the grade ladder.
• Variable rates of pay depending on an employee's individual circumstances.
Grade Rates to Relate Pay to Grades
In Oracle HRMS, you can set up a table of values related to each grade. These are called
grade rates. You can enter a fixed value or a range of valid values for each grade.
For example, you might define a salary rate and an overtime rate of pay for every grade,
with minimum, maximum, and midpoint values. Both rates would be in monetary
2-36 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
units. However, you can also define rates with non-monetary units, such as days, hours,
or numbers.
These grade rates serve only as a guideline to validate that the salary you propose for
an employee on a certain grade is appropriate for that grade. You typically use this
approach if you do not follow the grade/step progression, page 2-39 approach to
grades and pay implementation. If you want to automatically update salaries using
grade rates, you can use the grade/step progression process.
You can upload grade rate values that you created using the Grade Rate window to
create default salary rates for grades in a grade ladder. However, once you have
uploaded any existing rates, we recommend that you use the Total Compensation Setup
Wizard to maintain salary rates for use in Grade/Step Progression, see: Setting Up
Grade/Step Progression, page 2-44.
Grade rates are datetracked and this means that you can keep the history of the actual
values you use. You can also set up rate values at a future date and be sure that this
information will automatically take effect on the date you set, and not before.
You can use your grade rate values:
• As part of a QuickPaint report or inquiry
• To validate salary proposals
Salary and Grade Related Pay and Progression 2-37
• To validate other compensation entries you make for employees
The salary administration process validates salary proposals automatically against the
appropriate grade rate. You can use formula validation to check other compensation
entries.
Grade rate values can be linked directly to currencies. When you enter a monetary
value for a grade rate you can associate a currency with this value.
Automatic Database Item Creation
When you save your definition, an automatic process creates corresponding database
items that formulas can access.
See: Dynamic Database Items, Oracle HRMS FastFormula User Guide
Pay Scales to Relate Pay to Grades
If you are involved in negotiating pay levels with staff or union groups, you may be
using a system of grade steps or points with specific values of pay for each step, or
point. For example, you may have negotiated different pay scales with different union
groups. Or, you may have negotiated a single set of pay points for all of your
employees.
Typically, employees are placed on a step within their grade. They move up the steps
for the grade by a periodic incrementing process. This process might run automatically
at a fixed time each year or it might be based on a review process specific to the
employee.
In Oracle HRMS you set up a pay scale to show the separate points and the value
negotiated for each point. You can set up any number of pay scales, for example for
negotiated pay scales with different unions.
Scale Rates
You create a rate and enter a fixed value for each progression point on a pay scale. You
can create as many rates as you require, such as one for a shift allowance, and another
for overtime. Notice that, unlike grade rates, you can only enter a fixed value for each
point; you cannot enter a range of valid values.
The values are datetracked so that you can keep the history of the actual values you use.
You can also set up rate values at a future date and be sure that this information will
automatically take effect on the date you set, and not before.
You define rates in monetary units, or as integers, numbers, days, or hours, in various
formats. For example, you can define a rate in hours to specify the maximum number of
overtime hours that can be worked per week.
Scale rate values can be linked directly to currencies. When you enter monetary values
for a scale rate you can associate a currency with these values.
2-38 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Automatic Database Item Update
When you define rates, an automatic process creates corresponding database items that
formulas can access.
See: Dynamic Database Items, Oracle HRMS FastFormula User Guide
Relate Grades to Progression Points
A pay scale defines a complete set of progression points. You can associate a subset of
these points with each grade.
The group of points valid for a grade is called a grade scale. Each point in the grade scale
is called a step because it represents the steps for incrementing an employee's pay. The
steps must follow the sequence of points on the pay scale but they can jump several
points, if appropriate to the specific grade.
Note: Grade scales are datetracked.
You can create pay scales and associate grades to progression points on a pay scale
using either the Scale Rate and Grade Scale windows or the Total Compensation Setup
Wizard depending on whether you implement the non-automatic step progression
approach, page 2-34 or the grade/step progression approach, page 2-34 in your
enterprise.
You can upload scale rate values that you created using the Scale Rate window to create
default salary rates in a grade ladder. However, once you have uploaded any existing
rates, we recommend that you use the Total Compensation Setup Wizard to maintain
salary rates for use in Grade/Step Progression, see: Setting Up Grade/Step Progression,
page 2-44.
Salary and Grade Related Pay and Progression 2-39
Grade/Step Progression
Grade/Step Progression is a business process that enables you to move large numbers of
employees from one grade or grade step to the next, in an automated, bias-free way.
You do this by defining how employees become eligible for progression and the details
of the grade or step to which they are eligible to progress (including the rate of pay
associated with the proposed step or grade). Then, you run a pre-process to check
which employees are eligible for progression according to your rules. This triggers a
post-process that either progresses eligible employees automatically, or identifies them
as eligible so that you can approve their progression manually (depending on how you
set up Grade/Step Progression). If you have set up Grade/Step Progression to apply
automatic salary updates, the application makes these salary changes and passes them
to your payroll.
In order to understand Grade/Step Progression, you need to understand the following
key concepts:
• Grade Ladder
• Salary Rates
• Progression Rules
Grade Ladder
At the centre of grade/step progression is the grade ladder. You use the grade ladder to:
• Define, categorize and group your grades and steps in the sequence in which your
employees typically progress. For example, you might decide to create three grade
ladders for your enterprise: one for technical grades, another for management
grades, and a third for administrative grades.
• Define the rules that determine an employee's eligibility for progression, and
optionally add scores to the eligibility criteria to define the employees most eligible
to progress, as guidance for manual approvals
• Specify pay administration rules for the grades and steps on the grade ladder. For
example, define how salaries are updated and passed to payroll when an employee
progresses from one grade to the next.
• Vary grade and step pay according to employees' individual circumstances.
• Determine the type of approval (manual or automatic) required to progress an
eligible employee.
The graphic below illustrates the types of progression the grade ladder supports:
2-40 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
As shown in this graphic, you can set up a grade ladder to progress employees in one of
the following three ways:
• From one grade to another. Example: Grade E1 to Grade E2.
• From one grade step to another grade step (on the same grade). Example: Step 3 on
Grade E2 to Step 4 on Grade E2.
• From one grade step to another grade step (on another different grade). Example:
Step 5 on Grade E2 to Step 2 on Grade E3.
Note: You can only progress employees within the same grade ladder,
and not across different grade ladders.
You set up the grade ladder using the Total Compensation Setup Wizard. This wizard
guides you through the Grade Ladder setup pages and the tasks you must perform to
create the grade ladder.
French Users
For a public sector type organization, you set up the grade ladder using the French
Public Sector Corps business area in the Total Compensation Setup Wizard. When you
create a grade ladder, Oracle HRMS creates a corps with the same name as that of the
Salary and Grade Related Pay and Progression 2-41
grade ladder. You can then set up the corps details.
Note: In a public sector type organization, the grade ladder is the corps
and you can progress employees within and across different grade
ladders.
Salary Rates
Grade/Step Progression enables you to record the pay rates associated with grades and
steps (and to make the necessary salary changes when an employee progresses from
one grade or step to the next.)
If you are using Grade/Step Progression, these pay rates are known as salary rates. You
can enter two types of salary rate:
• Default salary rates
• Criteria salary rates
Default Salary Rates
Default salary rates represent a single set of values for one grade. For example, if you
enter minimum, maximum, and mid-value default salary rates for the grades on your
grade ladder, the rate for every assignment on that grade must fall within the specified
range. Or, if you are using grade steps, the default salary rate you define for each step
applies to every assignment on that step.
Criteria Salary Rates
Criteria salary rates represent different sets of values for the same grade or step. If your
enterprise compensates its employees using a group pay model (but without a common
pay scale), then you can use criteria salary rates to vary the rates that you pay
employees on the same grade.
See: Recognizing Your Grade Implementation Model, page 2-30
For example, your enterprise may use the same grades and steps in all its office
locations. However, differences in cost of living mean that you pay your employees
different amounts depending on where they work.
To enable you to vary grade and step pay in this way, you use criteria sets and criteria
salary rates. If your enterprise varies pay by location only, you could create one criteria
set for each location (for example, one for Melbourne, one for Sydney, and one for
Perth). Each criteria set would include just one criterion (the location name). You can
use any of the following criteria in your criteria sets:
• Bargaining Unit
• Full Time/Part Time
2-42 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
• Job
• Location
• Organization
• Performance Type (including Rating Type information)
• Person Type
• Rule
• Service Area
See: Eligibility Profile Criteria, page 1-135 for more information about these criteria
Important: You can use the above criteria only to create criteria sets for
use in Grade/Step Progression. If you use other criteria, the variable
rate profile is available as a criteria set in the Total Compensation Setup
Wizard, but it contains no criteria.
Having defined unique criteria sets, you can enter the salary rates for each grade and/or
step that use different rates of pay.
The application identifies employees who are on the grades (or grade steps) that meet
the criteria in your criteria sets. If they meet the criteria, they are eligible for the criteria
salary rate. If they do not meet the criteria (for example, they work in the Auckland
office, where grade pay does not vary by location), they are eligible for the default
salary rate.
If your organization does not use variable rates of pay for the same grade, you need to
use only default salary rates and do not need to define criteria salary rates.
Reuse of Existing Grade Rates and Scale Rates
You can upload grade rate and scale rate values created in the Grade Rate and Scale
Rate windows to create default salary rates. However, once you have uploaded any
existing rates, we recommend that you use the Total Compensation Setup Wizard to
maintain salary rates for use in Grade/Step Progression.
Note: If you are not using Grade/Step Progression, you can define
grade and scale rates using the Grade Rate and Scale Rate windows
only.
French Users
In a public sector type organization, Oracle HRMS derives salary rates from the pay
scales that you define. It calculates the salary using the Grade and Step Rate method
that uses the index values in the Global Table of Indices - Gross Index (IB) and
Salary and Grade Related Pay and Progression 2-43
Increased Index (INM). For a grade, the application derives the salary rates from the
increased index in the Global Table of Indices and the legal indemnity rates, in case of
legislative pay scales. It uses the salary rate directly, in case of exception pay scales.
As you create the pay scales and then define the grade steps from the progression
points, you do not have the option of using progression points for the grade ladder.
Progression Rules
To progress employees using Grade/Step Progression, you need to define how a person
becomes eligible for progression. You do this using eligibility profiles, which you can
attach at grade ladder, grade, or step level:
• Grade ladder profiles apply to every grade or step in this grade ladder.
• Grade profiles apply to this grade (and its step, if used) in this grade ladder.
• Grade step profiles apply to this grade step in this grade ladder.
Note: When you attach an eligibility profile to a grade, you can specify
if you want the profile to apply to this ladder only, or to every other
grade ladder using this grade. You can only attach step-level profiles to
the selected grade ladder.
A profile contains one or more criteria that an employee must meet to become eligible
for progression. If their current grade or step is associated with multiple profiles, they
must meet the criteria in any mandatory profiles and at least one of the optional profiles
For example, you may want to specify that anyone on this grade ladder must have been
on their current grade or step for at least two years before they are eligible for
progression, and each grade has additional rules for progression. To address this, you
could define the following two rules:
• A grade ladder profile that specifies the employee must have been on their current
grade or step for a minimum of two years.
• Grade level profiles for rules that are specific to each grade.
You can reuse the same eligibility profiles in other grade ladders, grades and steps. You
can define eligibility profiles using either the Participation Eligibility Profiles window
or directly from the Total Compensation Setup Wizard, then attach them to grade
ladders, grades, or steps in the Total Compensation Setup Wizard.
If you set up your grade ladder to rank employees on the basis of the eligibility criteria
they satisfy, you must assign scores to the eligibility criteria, using the Participation
Eligibility Profiles window. The application computes scores for people, on the basis of
applicable eligibility criteria, to arrive at a rank for each person.
Manual Approval
2-44 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
An employee may be eligible for progression to one or more grades or steps. Based on
the progression rules you defined, the application progresses the employee
automatically to the appropriate grade or step.
If your grade ladder uses manual approval, and the employee is eligible for more than
one grade or step, the application proposes the default progression and marks it on the
Approvals page.
If you have set up your grade ladder to rank employees to determine the people you
want to progress from a group of eligible employees, the application displays the ranks
and the computed scores of employees of that grade ladder in the Approvals page.
If you have enabled Workflow for a grade ladder that uses manual approval, the
application notifies the managers of the employee for approval of the proposed
progressions.
The Grade/Step Progression process determines the default grade or step by applying
the following rules:
• If you have not assigned a grade ladder to an employee and the employee's current
grade is attached to the default grade ladder for the business group, then it uses the
default ladder.
• If the employee has no current grade associated with their assignment, the process
stops.
• If the default grade ladder uses both grade and step progression, the process
proposes a step based on the Progression Style defined for the grade ladder. The
proposal may be to the lowest step in the grade, the next grade (but no step), or to
the step with the lowest increase in salary.
• If the default grade ladder uses grade progression, the process proposes the next
grade in the grade ladder for which the employee is eligible. When grade ladders
are set for automatic progression, the Grade/Step Progression process flags the
proposed progression so that the post-process can complete this progression. If this
grade ladder requires manual approval for all progressions, the default grade or
step is shown on the Approvals page for you to reject or approve the progression.
French Users
In a public sector type organization, you can define progression within corps and across
corps based on the career path and using the appraisal scores, ranks, and quota
restrictions. You can move civil servants across corps if they satisfy all the eligibility
conditions for the corps, and the seniority requirements defined for the career path.
Setting Up a Grade Ladder
You set up a grade ladder using the Total Compensation Setup Wizard. The wizard
guides you through the steps for creating a new grade ladder or updating an existing
Salary and Grade Related Pay and Progression 2-45
grade ladder.
Caution: You can perform many of the grade ladder setup tasks using
either the regular application windows or the Total Compensation
Setup Wizard. However, Oracle strongly recommends that you use the
Total Compensation Setup Wizard unless there is a specific instruction
to use an application window. You should use the application windows
only if you have extensive knowledge of Total Compensation data
model and experience in plan design setup. There are many
dependencies in grade ladder design that you may set up incorrectly if
you do not use the Total Compensation Setup Wizard. You can,
however, use the Variable Rate Profiles window to set up variable rate
profiles for use in Grade/Step Progression criteria sets.
You can save your work at any stage of the grade ladder setup process and make
changes to a completed grade ladder at any point. Grade/Step Progression uses the
grade ladder setup that is valid at the time of running the grade/step progression
process. For example, if your existing grade ladder uses automatic approval and you
change it to use manual approval on 01-JAN-2003, progression that occurs after that
date uses manual approval.
The application does not, however, allow you to remove a step or a grade from a grade
ladder if employees exist on that step or grade.
1. Using the Total Compensation Setup Wizard Welcome page, select the Grade/Step
Progression business area.
2. Using the Search: Grade/Step Progression page, click Create Grade Ladder to open
the Grade/Step Progression Task List page.
If you want to make changes to an in-progress grade ladder, use this page to find
the ladder and complete any of the following outstanding tasks.
3. Using the Grade/Step Progression Task List page, select the first task in the list to
navigate to the Task 1: Grade Ladder page.
Note: If a Grade/Step Progression Plan Type does not already exist
in your business group, you can create the plan type with an
effective start date, not earlier than 01-JAN-1951, using this page.
The application uses this date as the effective start date for the
various compensation and benefits objects that it creates when you
submit the grade ladder. The application also creates the
Grade/Step Progression life events with this effective date, if they
do not already exist in the business group.
Using this page you can:
2-46 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
• Enter basic details about the grade ladder, such as its name, and its effective
date.
• Specify if the grade ladder is the default grade ladder for the business group.
You need not manually assign a grade ladder to assignments on grades that are
part of the default grade ladder. The application treats them as assigned to the
default grade ladder.
• Specify the Posting Style, which identifies if the application must automatically
progress an eligible employee to the next grade/step or if you must approve the
proposed progressions manually.
• Specify the Progression Style, which identifies how the employees progress on
the grade ladder - next step or next grade or grade and step, or no progression
at all.
• Use Progression Points if more than one grade uses the same sequence of steps.
• Specify the Progression date, which is the date when eligible employees on this
grade ladder progress to their next step/grade on the ladder.
• If you have selected Manual as your Posting Style, you can:
• Rank your employees to determine the people you want to progress from a
group of eligible employees.
• Use Oracle Workflow to notify managers for the approval of the proposed
progressions.
4. Enter salary information for the grade ladder (Task 2: Salary Information) :
• Specify the currency to use for grade and step rates, and if the application
should update salaries automatically upon progression, based on pay
administration rules.
• If you have set up the grade ladder to update salaries automatically upon
progression, you can also specify how you want the application to pass
employees' salary to payroll. Use Salary basis if you use Salary Administration.
Use the default Salary Element and Input Value, if you want the application to
update the salary element entries directly.
The application enables switching between salary basis and salary element and
input value as the salary update method for an assignment. This feature offers
you the flexibility to continue with automatic salary updates when you move a
person from one grade ladder to another with a different salary update method,
for example.
Salary and Grade Related Pay and Progression 2-47
• You also specify if you can manually override system-updated salaries using
the Salary page. You must choose this option if you want to update salaries
manually in the Salary page.
Even if you are not linking salary updates to a grade ladder, but you use grade and
step rates, you need to review the currency and rate information on this page.
Oracle recommends that you use the default currency that the business group uses.
if you are creating multiple grade ladders for the same business group, use the
same rate period for each grade ladder. If you select different rate periods, there
may be conflicting values for a grade that is shared across grade ladders.
5. Select or create grades to attach to this grade ladder and place them in sequence on
the grade ladder (Task 3: Grades). You can attach existing grades that you created
in the Grades window. However, we recommend that you use the Total
Compensation Setup Wizard to create any new grades for use on grade ladders.
Note: You can add a grade to a grade ladder only if the grade is
valid on the grade ladder's effective date.
You can reuse grades in other grade ladders, but the grade ladders must use the
same Period. (You set this up as part of the grade ladder's salary information). Also,
if the grade uses progression points, you can only add the grade to other grade
ladders that also use progression points.
6. Optionally, create and add steps to the grades on the grade ladder and define the
step ceiling for each grade (Task 4: Steps). A ceiling step is the highest step attached
to a grade to which an employee may progress.
If your grade ladder uses progression points, use this page to create (or reuse) pay
scales and use those pay scales to create steps. Please omit this task if your grade
ladder does not use steps.
7. Optionally, define the default and (if required) criteria salary rates for your grades
or grade steps (Task 5: Rates). You can also set up variable rate profiles for use in
Grade/Step Progression criteria sets using the Variable Rate Profiles window.
See: Defining General Information for a Variable Rate Profile, page 5-156
See: Defining the Criteria in a Variable Rate Profile, page 5-158
As part of your ongoing administration, you can at any time update the grade/step
rates on a grade ladder. To update all the rates you attached to a grade ladder in a
single step, use the Mass Update region on the Update Rates pages.
Please omit this task if your grade ladder does not link salary rates to grades.
8. Specify the progression rules for this grade ladder (Task 6: Progression Rules).
Select the criteria (as an eligibility profile) an employee must meet to be eligible for
2-48 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
progression.
Define your eligibility profiles ensuring they are valid for the grade ladder start
date. You define eligibility profiles using either the Participation Eligibility Profiles
window or directly in the Total Compensation Setup Wizard. You can also reuse
existing profiles. You attach an eligibility profile at the grade ladder, grade or step
level.
See: Defining an Eligibility Profile, page 1-141
9. Review, save, and validate the grade ladder setup (Task 7: Review and Submit).
When you are satisfied that your grade ladder is complete, you can activate it to
make it available for employee progression.
Defining a Grade
You define a grade in the Grades window.
If you intend loading historic assignment details into Oracle HRMS, make sure you
enter valid start dates for your grades. You cannot assign an employee to a grade before
the start date of the grade.
Tip: Consider using a fixed date as a default for your initial setup, for
example, 01-JAN-1901. This will simplify your data-entry.
To define a grade:
1. Enter your grades in sequence number order.
The sequence number can be any number from 1 upwards. The number indicates
the rank order of the grade; 1 indicates the highest grade.
This is the sequence in which the grades appear to users in lists of values.
Consider sequencing each grade at intervals of 10 or more, to accommodate any
future changes to grades.
2. Enter a unique name for the grade. If there is more than one segment in the grade
name structure, a window opens when you enter the Name field. You must enter a
unique combination of segments.
3. Enter a start date early enough to handle any historical information you want to
enter.
4. Save your work.
Salary and Grade Related Pay and Progression 2-49
Deleting Grades
To remove a grade from the list of grades to which employees can be
assigned:
1. In the Grades window, enter an end date against the grade.
To delete a grade entirely from the system:
1. Reassign anyone already assigned to the grade to another grade.
2. Highlight the grade in the Grades window and choose Row Delete.
If you have historical records using the grade, you cannot delete it. You can only
enter an end date to prevent further assignments to this grade.
Defining a Grade Rate
You define grade rates in the Grade Rate window.
Grade rate values are DateTracked and you must ensure you use the correct date to
create your initial set of values.
If you intend loading historic grade rate details into Oracle HRMS, make sure you enter
the correct start date for all your history.
To define grade rates:
1. Set your effective date to a date early enough for any historical information you
want to enter.
2. Enter a name for the grade rate and select the units for measuring it. Save your new
rate.
3. In the Grade Rate Values block, select the grades for which you want to define
rates. For each grade, enter a fixed value or a minimum, maximum and mid value.
To use this grade rate to validate salary proposals entered in the Salary page, you
must enter a minimum and maximum value.
To view comparatio values using this grade rate, you must enter a mid value.
4. Select a currency to link to the new rate. If you select a currency you must also enter
a value in the Value field.
5. Save your work.
2-50 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Defining a Pay Scale
You define a pay scale, which is a set of progression points for compensation, in the Pay
Scale window.
Pay scales are used commonly in government and regulated or unionized enterprises
where actual values of pay are defined as a 'pay scale', a 'schedule', or a 'spine'.
Characteristics of this functionality are:
• A single scale of points and values is used to establish the actual pay for a grade
group.
• Each point in the pay scale has a single value.
• Grades can have a number of distinct steps, with each step given a single point in
the pay scale.
• An employee assignment to a grade includes a point, or step value, and the point
value determines the actual pay of the employee.
You can have any number of different pay scales in Oracle HRMS. Each scale has its
own set of points which may be characters or numbers.
To define a pay scale:
1. Enter a unique name for the pay scale.
2. Enter the Increment Frequency for this pay scale. For example, if you want to
increment the placement of assignments on the pay scale once each year, enter 1 in
the Number field and select Year in the Per Period field.
Note: These values provide information only. You can use the
Submit Requests window to set up automatic regular incrementing
of grade step placements by the Increment Progression Points
process.
See: Incrementing Grade Step Placements, page 2-69
The Automatic Increment field shows the date of the last automatic increment.
3. Save the pay scale.
4. Enter the names of the points (or steps) of the scale. The Point names can be
numeric or alphanumeric. Enter them in ascending order.
5. Enter a sequence number, in ascending order, for each point. The sequence
determines the progression order for the incrementing process. Then save the scale
Salary and Grade Related Pay and Progression 2-51
again.
Tip: Enter sequence numbers in multiples of 5 or 10, for example 5,
10, 15, 20. This makes it easier to enter new points afterwards
between existing points in the sequence.
Defining Scale Rates
Use the Scale Rate window to define a scale rate.
Use the correct date to create your initial set of values. If you intend loading historic pay
scale values into Oracle HRMS, you must use correct dates for all your history.
To define a scale rate:
1. Set your effective date early enough to handle any historical information you want
to enter.
2. Enter a unique name for the rate.
3. Select the units for measuring the rate, such as hours, money, or integer.
4. Select the pay scale for which you are defining the rate.
5. Save the rate.
6. In the Progression Point Values block, select the points for which you want to
define rates. For each point, enter a fixed value.
7. Select a currency to link to the new rate. If you select a currency you must also enter
a value in the Value field.
8. Save the rate again.
Relating Grades to Progression Points
Use the Grade Scale window to relate grades to progression points.
A grade can have any number of steps. Steps do not always have the same interval as
the pay scale points. For example, you may have a pay scale with points from 1 to 10,
and a Grade which has 5 steps with points in the sequence 3, 5, 7, 8, and 9.
To create a grade scale:
1. Set your effective date early enough to handle any historical information you want
to enter.
2-52 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
2. Select a grade, and select the pay scale from which you want to choose progression
points.
3. Select the highest point (or ceiling) to which employees on this grade can be
automatically incremented by the Increment Progression Points process. Save the
grade scale.
You can override this ceiling for individual employee assignments.
The step in which the ceiling occurs is automatically displayed in the Step field.
4. In the Grade Steps block, select the points you want to include on this grade scale.
When you save, the system sorts the points into ascending order by their sequence
numbers (defined in the Pay Scale window).
To delete a grade scale:
1. Query the grade scale you want to delete.
2. Click the delete button to delete the grade scale.
Warning: When you delete a grade scale, the application deletes all
the associated grade step records.
3. Click OK on the caution messages that appear.
4. Save your work.
Salary and Grade Related Pay and Progression 2-53
Grades and Pay Administration
Grades and Pay Administration
Oracle HRMS enables you to implement grades and pay in your organization in two
ways. Depending on the requirements of your enterprise you may use either the
Grade/Step Progression approach or implement grades and pay without using grade
ladders. Administration of grades and pay in your enterprise varies depending on the
approach you have implemented.
Administering Grades and Pay (Without Using Grade Ladders)
After you have manually set up your grades, grade rates, pay scales, and grade scales to
suit your enterprise, you first assign employees to the appropriate grades using the
Assignment window.
See: Entering an Assignment (Assignment Window), Oracle HRMS Workforce Sourcing,
Deployment, and Talent Management Guide
If applicable, you can place the employee on a grade step on the associated grade scale,
using the Grade Step Placement window, see: Placing an Employee on a Grade Step,
page 2-59
These actions do not update employee salary with the appropriate grade rate or scale
rate values. You would have to update the element entries separately or use the Salary
page to propose and approve salaries.
See: Starting Salary and Salary Proposals, page 2-16
Incrementing Grade Step Placements
To manually increment grade step placements you use the Grade Step Placement
window. To automate it, you run the Increment Progression Points process. In both
cases the application does not update the salary element. You need to write an Oracle
Payroll formula so that a change in grade step placements updates salary elements.
Before you run the process, you must select the Auto Increment box, in the Grade Step
Placement window, for the Increment Progression Points process to process an
assignment. You can also specify the number of steps that the assignment should
increment by. You may choose to run the Increment Progression Points process in the
report only mode before choosing whether to actually run the process.
The Increment Progression Point process does not progress an employee beyond the
ceiling point of the current grade. If employees are eligible for increments beyond the
grade scale ceiling, the application highlights these in the Employee Increment
Exception report.
See: Increment Progression Points Process, page 2-58
2-54 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Updating Grade Scale in the Assignment Window
When you place an assignment on a grade scale and then set up grade step placements
for that assignment, any actions you then take to update the grade scale in the
assignment window, link to the grade step placement dates to ensure that the two
records match. For example, an assignment has a grade scale valid from 1 January 2000,
through until the end of time, with grade step placements starting on 1 January 2000, 1
January 2001, 1 January 2002. If on 1 February 2001, you update the grade scale, the
grade step placement change on 1 January 2002 becomes invalid, as this refers to the old
pay scale.
When placing an assignment on a new grade scale, the application automatically inserts
an end date for the current grade step placement. The application places the assignment
on the minimum grade step placement for the new grade scale, with the Auto
Increment Number field left blank and the Auto Increment check box unchecked.
The application adjusts grade step placement end dates or warns you about future
changes, when you update a grade scale using the assignment window in the following
circumstances:
• There are no future changes to the grade scale or the grade step placement.
Note: The application does not provide a warning in this circumstance.
• There are no future changes to the grade scale but there are future changes to the
grade step placement.
• There are future changes to the grade scale and the grade step placement.
Should you choose to continue in these circumstances, the process inserts the new
minimum grade step for the new grade scale
Changing Grade Types for an Assignment
When updating an employee's assignment you can switch from a grade that is related
to a pay scale, to one that is not. The application displays a warning message that
indicates what you are about to do and asks you to confirm you want to proceed.
If you do proceed, then any future-dated grade step records for the assignment are
deleted. This means that if you want the future records to remain then you must use the
Grade Step Placement window to reinstate the future-dated grade step information.
Note: You cannot change grade types using the People Management
templates.
Salary and Grade Related Pay and Progression 2-55
Scale Rates and Salary Administration
If you are holding salary values as a scale rate, you should not also enter them in a
salary element using Salary Administration. Instead you view an employee's salary in
the Grade Step Placement window, and change it by incrementing the grade step
placement of the assignment. Such increments, or changes to the scale rate, would not
affect salary element entries for employees. You would have to update these entries
separately.
Use scale rates for employees whose salaries are determined by their grade step
placement. Use Salary Administration for employees for whom you determine salary
on an individual basis.
Administering Grade/Step Progression
If you have implemented the Grade/Step Progression solution in your enterprise you
perform the various tasks explained in this section as part of your grades and pay
administration
Once you have set up your grade ladders and added all the existing grades to one or
more grade ladders, you are ready to start the progression process.
See: Setting Up Grade/Step Progression, page 2-44.
Employee Enrollment and Progression Process
To enroll your employees on the Grade/Step Progression process, you need to manually
assign a grade ladder to employee assignments using the Assignments window.
See: Entering Additional Assignment Details (Assignment Window), Oracle HRMS
Workforce Sourcing, Deployment, and Talent Management Guide
If the grades you have assigned to certain assignments are on the default grade ladder
for your business group, then you need not manually assign a grade ladder to such
assignments. You can run the Batch Enrollment - Grade/Step Progression process to
update the appropriate assignment records with the default grade ladder name and
create benefits enrollment records for employees who are on the default grade ladder.
See: Running the Batch Enrollment - Grade/Step Progression Process, page 2-61
You then run the Participation Process: Grade Step to begin the process for the
progression of employees. Then, if your grade ladder is set up for automatic
progression, and no errors are reported, this triggers the Grade/Step Progression
post-process.
If your grade ladder uses manual progression, then you need to approve or reject
eligible employees using the Approvals: Grade/Step Progression page and run a process
to update employee assignments.
Before you manually approve or reject the proposed progressions, you can download
the progression details into a spreadsheet to distribute it to managers for their opinion
2-56 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
or approval, for example. You can also modify the proposed rank, salary change date,
and progression date for employees in the spreadsheet, and upload the modified
information into the application using Web Applications Desktop Integrator (Web
ADI).
If your grade ladder uses Workflow to notify managers for the approval of proposed
progressions, you must run the post-process after the managers have approved the
proposed progressions.
See:
Running the Participation Process: Grade Step process, page 2-62
Approving and Rejecting Grade/Step Progression, page 2-64
Processing Employees Progressed Manually, page 2-65
Rank Employees for Grade/Step Progression
If you set up your grade ladder to rank employees to determine the most eligible
employees to progress, then you must run the ranking process to determine the ranks of
the employees on a grade ladder. The ranking process computes the ranks of all the
employees on the basis of their total scores for the eligibility criteria they satisfy.
See: Running the Rank Employees for Grade/Step Progression process, page 2-63
Perform Mass Updates of Grade and Step Rates
As part of your ongoing maintenance of a grade ladder you can update the existing
grade/step rates on it. If you want to update all the rates you attached to a grade ladder
by a specified percentage or amount, in a single step, you can use the Mass Update
feature. All the Update Rates pages in the Total Compensation Setup Wizard have a
Mass Update region where you can:
• specify the mode of the mass update (Increase/Decrease/Replace).
• specify the mass update option (percentage or specified amount).
• enter a specific value for the mass update.
You define the default and criteria salary rates for your grades or grade steps in Task 5:
Rates on the Grade/Step Progression Task List, see: Setting Up a Grade Ladder , page 2-
44.
Synchronize Salary Rates with Underlying Grade or Step Rate Changes
You may want to update employee salary not only when the employee moves to a new
grade or step but also when there is a change to the underlying grade or step rate,
because of a cost of living adjustment, for example.
Using the Recalculate Participant Values: Grade/Step Progression process you can
synchronize an employee's salary with the changes in the grade or step rates that apply
Salary and Grade Related Pay and Progression 2-57
to the employee. This process applies only to those employees whose grade ladder
supports automatic salary updates.
See: Running the Recalculate Participant Values: Grade/Step Progression process, page
2-66
Clearing Temporary Data from the Staging Tables
During the grade ladder setup, the application stores temporary data that it uses to
update and eventually create the grade ladder. Once you have created the grade ladder,
the application moves the data to the Benefits HR table and you no longer require the
temporary data. You can clean up the staging tables to save storage space, after you
have created the grade ladder by running the Purge GSP Transactions in Staging Table.
See
urge GSP Transactions in Staging Table Process., page 2-68
Manual Progression and Salary Changes
You can make manual changes to an employee's grade step assignment using the
Assignment window. If you did not set up your grade ladder to automatically update
employee salaries with a grade or step change, you must make salary changes
manually.
Manual Removal of an Employee from a Grade Ladder
You may need to remove an employee from a grade ladder because they were on the
wrong ladder. To do this, you just change their grade ladder in the Assignment
window.
Failed Progression due to Future-dated Salary Changes
If progression fails due to future-dated salary proposals, you must progress the
employee manually in the Assignment window.
Manual overrides of automatic progressions and system-updated salaries
To make manual overrides of automatic grade/step progressions, use the Assignment
window. If you have set up your grade ladder to allow manual override of
automatically updated salaries, you can override employee salaries using the Salary
page. If you do not choose this option, you cannot update the system-updated salaries.
See:
Entering an Assignment, Oracle HRMS Workforce Sourcing, Deployment, and Talent
Management Guide
Entering Additional Assignment Details, Oracle HRMS Workforce Sourcing, Deployment,
and Talent Management Guide
2-58 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Increment Progression Points Process
You run the Increment Progression Points process to automatically increment the grade
step placements of your employees. The process increments the grade step placement of
an assignment only if:
• The current step of the assignment is below the ceiling point.
• You have selected the Automatic-Increment check box on the Grade Step Placement
window for the assignment.
Specifying the Assignments to Process
The parameters in the Increment Progression Points process enable you to be specific,
when detailing the assignments to be included in the process. For example, you are able
to specify that a particular organization hierarchy or part of that hierarchy is selected to
be part of the process when it is run.
When you run the Increment Progression Points process, you can choose to update
employee progression point information or run the process in report only mode. When
you run the process in report only mode, no changes are made to employee information
but you can see what would happen if the full process is run.
See: Incrementing Grade Step Placements, page 2-69
Business Rules
You can select people to be incremented according to specific business rules. You can
choose to enforce the following business rules to the increment process:
• Anniversary of joining
• Date of birth
• Latest hire date
• Adjusted Service date
For each rule, you specify a start and end date, for example, if you want to increment all
those people who have a birthday in January and are between the ages of 18 and 21,
you specify a date range of 01-JAN-2001 to 31-JAN-2001 and an age range of 18 to 21.
You enter a dependent date to specify the actual date that the increment is performed.
The four dependent date categories are as follows:
• Business rule effective date
• Effective date
Salary and Grade Related Pay and Progression 2-59
• Start of next month
• Start of next pay period
Note: The dependent date, is used by the process to check if the
assignment is on a grade scale and has a grade step. If the assignment
has a grade step on the effective date but not on the dependent date, no
increment is given.
See: Incrementing Grade Step Placements, page 2-69
Increment Progression Points Reports
When you run the Increment Progression Points process two reports are automatically
created. You may choose to run the Increment Progression Points process in Report
Only Mode before deciding whether to actually run the process. Running the process in
Report Only Mode enables you to see the process results before the process is actually
run.
The two reports produced by the Increment Progression Points process are:
• Employee Increment Results Report, displays the actual or projected results of
running the Increment Progression Points process.
See: Running the Employee Increment Results Report, page 2-73
• Employee Increment Exception Report, displays persons within a group of
employees, excluded from the Increment Progression Points process. The Exception
report provides details of why employees have been excluded from the Increment
Progression Points process and errors resulting from the process.
See: Incrementing Grade Step Placements, page 2-69
Important: If you update an employee Point value in the Grade
Step Placement window and run the Increment Progression Points
process during the same day, the report will not give an accurate
indication of the difference between the old Point value and the
new Point value. The reason for this is that the report comparison
displays differences on a day to day basis, meaning that you should
try to avoid running the process on the same day and multiple
times on the same day as making manual updates to employee
Point values.
Placing an Employee on a Grade Step
Use the Grade Step Placement window to place an employee on a grade step. When you
2-60 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
open this window, information about the grade, grade ladder, and scale appears
automatically. By default, the ceiling point is the one you defined for the grade.
However, you can enter a special ceiling point for individual employees in the
Assignment window.
Note: Placing an employee on a grade step does not automatically
update the salary element
To place an employee on a grade step:
1. Set your effective date to the date when the placement should come into effect.
2. Select the point or step on which to place the employee assignment.
3. Select a reason for entering a placement, if required.
Incrementing Placements Automatically (without using grade ladders)
If you want to automatically increment the employee's placement, follow steps 4 and 5,
otherwise go to step 6.
4. Check the Auto-Increment check box to increment the employee's placement when
you run the Increment Progression Points process.
5. Specify the number of steps by which the placement grade is to be incremented in
the Increment Number field.
6. Save your work.
The Grade Step Placement window displays the rates you have defined for the pay
scale, and the values corresponding to the selected progression point.
Entering Further Grade Step Information (French Users Only)
7. Click in the Further Information field to display the Further Spinal Point Placement
Information window.
8. Select the progression speed as average, maximum, or minimum. This shows the
speed with which a employee progresses up the scale.
9. Save your work.
Viewing Grade Comparatios
The View Employee Grade Comparatio window compares the compensation values
you enter for employees with the minimum, maximum, and mid values you define for
their grades.
Salary and Grade Related Pay and Progression 2-61
To view employee grade comparatio values:
1. Select an element and input value.
The inquiry finds assignments that have an entry for this input value.
2. Select a grade rate and grade for which you have defined a range of valid values.
The inquiry compares the minimum, maximum, and mid values for your chosen
grade with the element entries of the list of assignments.
3. Choose the Find button to run the inquiry.
The folder in the lower part of the window lists the assignments that match your
selection criteria:
• The value is the element entry value for each assignment.
• The comparatio shows the assignment's element entry as a percentage of the
mid-value defined for the grade rate.
• The percent of range shows the position of the assignment's element entry
between the minimum value for the grade rate (0%) and the maximum value
(100%).
Part Time Employees
Employee are part time if the hours on their assignment's standard conditions are
less than the work day hours entered for their organization. For part time
employees, the system prorates the minimum, maximum, and mid grade rate
values before calculating the comparatio and percent of range.
Running the Batch Enrollment - Grade/Step Progression Process
If you have set up a grade ladder as the default grade ladder for your business group,
then you can run the Batch Enrollment - Grade/Step Progression process to update the
appropriate assignment records with the default grade ladder name and create benefits
enrollment records for employees who are on the default grade ladder.
For the default grade ladder to apply to an assignment, the grade you entered for the
assignment must be attached to the default grade ladder and you must not have
assigned any other grade ladder to the assignment using the Assignment window.
Use the Submit Request window.
To run the Batch Enrollment-Grade/Step Progression Process:
1. Select Batch Enrollment - Grade/Step Progression as the Name.
2. Enter the effective date on which you want to create the enrollment records.
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3. Select the Default Grade Ladder for the business group.
4. Select a Person Name, Grade Name, or a Person Selection Rule to restrict the
assignments you want to process.
If you leave these fields blank and select just the default grade ladder, the
application creates enrollment records for all unenrolled employees to whom the
default grade ladder applies, and updates the assignment records with the grade
ladder name.
5. Click OK and then Submit.
Running the Participation Process: Grade Step
The Participation Process: Grade Step (the Grade/Step Progression pre-process)
evaluates your employees one at a time, to determine the set of grades and/or steps to
which an employee is eligible to progress (and marks the default grade or step when
more than one eligible progression exists).
When the process completes, it triggers automatically a post-process that progresses
employees to their new grade or step and makes the salary updates as required.
You can run this process retrospectively, but if you do so, the application does not
process employees with future-dated salary proposal changes and they appear in an
exception log. If you wish to process these employees, you must process them manually
from the Assignment window by updating their grade or step, and salary.
See: Entering an Assignment, Oracle HRMS Workforce Sourcing, Deployment, and Talent
Management Guide and Entering Additional Assignment Details, Oracle HRMS Workforce
Sourcing, Deployment, and Talent Management Guide
We suggest that you run this process once a month. However, if you are an Advanced
Benefits user with many life events triggered by person or assignment data changes,
you may prefer to run the process more frequently.
You run this process from the Submit Requests window.
To run the Participation Process: Grade Step
1. In the Name field, select Participation Process: Grade Step.
2. Change the runtime parameters if required.
If you leave the Potential Life Events to Process Date field blank, the application
assigns a dummy life event to any employee without a life event and processes all
selected employees.
If you enter a date in the Potential Life Events to Process Date field, the application
processes only those employees with a life event on the date specified (which was
triggered due to changes in person data or due to satisfying temporal life event
Salary and Grade Related Pay and Progression 2-63
criteria.)
For information on other parameters, see Runtime Parameters for the Batch
Participation Process, page 6-21.
3. Choose the Submit Request button.
Running the Rank Employees for Grade/Step Progression Process
If your grade ladder uses manual approval of proposed progressions, you can set it up
to enable ranking of employees so that you can select the most eligible employees from
a group of people to progress. The ranking ability thus gives you a fair basis for
selection of employees when there are more eligible people than you can progress.
If you set up your grade ladder to enable ranking of employees, you must run the
ranking process for the employee ranks to appear in the Approvals: Grade/Step
Progression page. The ranking process computes the ranks of all the employees on a
ranking-enabled grade ladder, on the basis of their total scores for the eligibility criteria
they satisfy.
You run this process after you have run the Participation Process and before you
approve (or reject) the proposed progression using the Approvals page.
Use the Submit Request window.
To run the Rank Employees for Grade/Step Progression process:
1. Select Rank Employees for Grade/Step Progression as the Name and click in the
Parameters field to open the Parameters window.
If you run this process without specifying any parameters, then the process
computes ranks for all the employees proposed for grade/step progression,
excluding those who have been approved or whose approvals are awaiting their
managers' approval. The process runs in the report-only mode and does not save
the ranks to the database.
2. Select a grade ladder name to compute ranks for all the employees on that grade
ladder, and a grade name to restrict the process to that grade.
If you have set up your grade ladder to enable computing of scores by grade ladder,
the process computes ranks for the entire grade ladder, even if you select a grade in
the parameters. Similarly, if you select a grade without specifying a grade ladder,
the process checks how you have set up the computing option, that is, if it is by
grade or grade ladder, and computes the ranks accordingly.
3. Enter a date range to restrict the process to GSP life events processed within that
range.
If you enter only the life events processed start date and no end date, the process
2-64 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
picks up all the GSP life events processed as on that date.
4. Specify a specific participation process, by selecting the request ID, to rank
employees processed in that run of the participation process.
If you select this parameter, the application ignores all the other parameters you
selected, such as the grade ladder and grade, and processes all the progressions that
the application processed in that participation process run.
5. Select the appropriate option in the Validate field. If you select Commit, the process
saves the computed ranks for the employees. If you select Rollback, the process
runs in report-only mode and does not save the employee ranks.
6. Specify if you want to include employees whose proposed progressions are
awaiting their managers' approval. This parameter applies only if you have enabled
Workflow for the grade ladder.
7. Click OK, and then Submit.
Approving and Rejecting Grade/Step Progression (Manual)
When you create a grade ladder, you specify the type of approval it uses (its posting
style):
• Automatic progression: the application automatically updates the assignments of
eligible employees with progression changes on the date specified (provided there
are no system errors)
• Manual progression: you must use the Approvals: Grade/Step Progression page to
approve or reject eligible employees.
If you have set your grade ladder for manual approval, the Participation Process: Grade
Step pre-process starts the Grade/Step Progression process, but you must then reject or
approve the proposed progressions using the Approvals: Grade/Step Progression page.
Setting up your grade ladder for manual approval gives you the additional ability to
rank your employees on the basis of their total scores for the eligibility criteria they
satisfy, and to use Workflow to notify managers for their approvals for the proposed
progressions.
If you set up a grade ladder to use ranking, the Approvals: Grade/Step Progression
page displays the scores and ranks of all the employees who are on that grade ladder.
You can check the ranks of your employees to determine the people you want to
progress from all the proposed progressions. You must have run the Rank Employees
for Grade/Step Progression Process, page 2-63 for the employee ranks to display in this
page.
Salary and Grade Related Pay and Progression 2-65
To approve or reject progressions manually:
1. Using the Approvals: Grade/Step Progression page, enter search criteria for the
proposed progressions you want to view. Only the Progression Date From and
Progression Date To are mandatory criteria.
2. Select one or more employees to display the details of their current grade or step
and the grade (or step) to which they are eligible to progress.
If a grade ladder is set up to use ranking, you can check the scores and ranks for
employees on that grade ladder before you approve those employees. You can also
override the system-proposed ranks of employees.
3. Optionally, click Download to Spreadsheet to download the progression details into
a spreadsheet. You can distribute the spreadsheet to managers for opinion or
approval, for example. You can also modify the proposed rank, salary change date,
and progression date for employees in the spreadsheet, and upload the modified
information into the application using Web Applications Desktop Integrator (Web
ADI).
See: Data Download Using Web ADI, Oracle HRMS Configuring, Reporting, and
System Administration Guide
See: Data Upload Using Web ADI, Oracle HRMS Configuring, Reporting, and System
Administration Guide
4. Review the details of each proposed progression and approve (or reject) one or
more employees at a time. You can also make manual changes to the proposed
progression, including changing the progression date and salary update date.
5. When you have finished approving or rejecting the proposed progressions, click
Submit.
This saves the status of the progression (A - Approved or R - Rejected) in the
employee's Electable Choice records. If a grade ladder uses Workflow, the
application notifies the managers of the employees on that grade ladder about the
proposed progressions when you approve progressions on this page.
6. Using the Submit Request window, run the Process Employees Progressed
Manually process. This updates the assignment records of the employees and
makes salary updates where required.
Process Employees Progressed Manually
If you set up your grade ladder to perform manual progression, then you need to run
the Process Employees Progressed Manually process for the manual progressions to
come into effect. You run this process after you have approved or rejected the proposed
progressions using the Approvals: Grade/Step Progression page.
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Use the Submit Request window.
To run the Process Employees Progressed Manually process:
1. Select Process Employees Progressed Manually as the Name.
2. Click in the Parameters field to open the Parameters window.
3. Enter the date when you want the manual progressions to come into effect as the
Effective Date.
4. Click OK and then Submit.
Running the Recalculate Participant Values: Grade/Step Progression
process
Using the Recalculate Participant Values: Grade/Step Progression process you can
automatically update employee salary, if there is a change in the rates of the grade or
step on which you placed the employee. This process applies only to those employees
whose grade ladder supports automatic salary updates.
Use the Submit Request window.
To run the Recalculate Participant Values: Grade/Step Progression
process
1. Select Recalculate Participant Values: Grade/Step Progression as the Name.
2. Click in the Parameters field to open the Parameters window.
3. Enter an Effective Date on which you want to run the process.
4. Leave the default values in the Detect Temporal Events field.
5. Select the appropriate option in the Validate field. If you select Commit, the process
saves the new rates to the employees' salary records. If you select Rollback, the
process runs in report-only mode and does not update the salaries..
6. Select the appropriate values in the other parameters to restrict the assignments you
want to process. For example, if you select a person name , the application
processes only that person's assignments.
Select a value for this parameter… To...
Person Name recalculate rates for a single person.
Salary and Grade Related Pay and Progression 2-67
Select a value for this parameter… To...
Person Type recalculate rates only for a particular person
type (such as employee).
Compensation Object Selection and Person
Selection Rules
restrict process to the people or
compensation objects returned by a
formula. For example, you can write a
formula to restrict person selection to those
employees with a recent salary change.
Organization restrict the process to an organization.
Benefits Group restrict the process to a Benefits Group.
Location restrict the process to the specified location.
Postal/Zip Range restrict the process to the assignments that
are within this postal or zip code range.
Reporting Group process all persons associated with this
Reporting Group.
Legal Entity restrict the process to a legal entity. The
legal entity field is available only for US
users.
Payroll restrict the process to run on a particular
payroll.
Organization Hierarchy and Organization
Top Node
restrict the process only to that part of the
organization hierarchy.
Grade Ladder process all the assignments you have
assigned to this grade ladder.
Pay Scale process all the assignments you have
assigned to this pay scale.
Business Rule restrict the process to apply to a business
rule, for example, if you want to update
rates for an employee on their anniversary
of joining or on their birthday.
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Select a value for this parameter… To...
Business rule date from and Business rule
date to
run the process for the specified business
rule for a given date range. The effective
date you entered must be between the
business rule start date and business rule
end date.
Business Rule Year from and Business Rule
Year to
restrict the business rule to apply to the
employees who are in the year range you
give here. For example, if you select
Anniversary of Joining as the business rule
and then choose 2-5, as the Business Rule
Year from and Business Rule Year to dates,
then the process recognizes all those
employees who completed their 2nd to 5th
anniversaries, for applying rate
recalculation.
Collective Agreement restrict the process to a collective
agreement.
Qualification Type and Status restrict the process to run on the employees
who have the specified qualification and
type.
Note: You can select the qualification
type without selecting the qualification
status, but you cannot select the
qualification status without selecting a
qualification type.
People Group Flexfield restrict the process to run on employees in
the specified group.
7. Click OK and then Submit.
Running the Purge GSP Transactions in Staging Table Process
You run this process to clean up the staging tables of the temporary data, after you have
created a grade ladder. During the grade ladder setup, the application stores temporary
data that it uses to update and eventually create the grade ladder. Once you have
created the grade ladder, the application moves the data to the Benefits HR table and
you no longer require the temporary data.
Salary and Grade Related Pay and Progression 2-69
Use the Submit Request window.
To run the Purge GSP Transactions in Staging Table Process:
1. Select Purge GSP Transactions in Staging Table as the Name.
2. Click in the Parameters field to open the Parameters window.
3. Select Grade/Step Progression as the Transaction Type.
Note: French Users: Select French Corps to clear temporary corps
data.
4. Select the Status of the grade ladder you want to purge. The options are:
• Complete
• Save for Later
• View
5. Enter the From and To Action Dates to restrict the process to apply to the data
within the date range.
6. Click OK and then Submit.
Incrementing Grade Step Placements (Without Using Grade Ladders)
If you have not implemented Grade/Step Progression in your enterprise, you can
increment grade step placements manually, using the Grade Step Placement window,
or automatically, by running the Increment Progression Points process. In each case, the
actual salary element is not updated. You can use grade step placements to update
salary elements but you need to write an Oracle Payroll formula to do this. However,
you are advised not to use Salary Administration to confirm a grade step change,
because this means that subsequent changes to the point values would require updates
for all the salary records to which they apply.
If you run the Increment Progression Points process, you can specify if an assignment
will be incremented and the number of steps that a placements grade step is to be
incremented by.
Any employees who are due increments which are greater than the grade scale ceiling
will be highlighted by the application. For example, you may have an employee on step
7 of a grade scale, with a ceiling of 10 steps. If the employee is due an increment of 4
steps, the Exception report shows that the assignment was incremented but a ceiling has
been reached.
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To run the Increment Progression Points process:
Note: An assignment's grade step placement is incremented
automatically only if all the following conditions are met:
• It is still below the ceiling point.
• The automatic increment check box on the Grade Step Placement
window is checked for the assignment.
1. Navigate to the Submit Requests window.
2. Select the Increment Progression Points process in the Name field.
3. If the Parameters window does not open automatically, click in the Parameters
field.
4. Enter the date on which the increment becomes effective.
5. If either Yes or No is selected in the Report Only Mode field, the process prints both
the Employee Increment Results Report and the Employee Increment Exception
Report. If you select Yes the increments are made and if you select No, then no
increments are made.
Note: The following parameters restrict the assignments,
incremented by the Increment Progression process, to the
categories you select and are optional. For example, if you select an
organization, then only assignments with that organization will be
included in the process.
6. Select an organization.
7. Select a legal entity.
Note: In the UK the Legal Entity parameter is not available.
8. Select an organization hierarchy and select an organization top node, if you want to
exclude part of an organization hierarchy.
9. Select values for some or all of the segments of your People Group flexfield, if
required. This restricts the assignments incremented by the process to those in the
group matching the values you enter.
10. Select the name of the pay scale.
Salary and Grade Related Pay and Progression 2-71
11. Select a business rule if you want to enforce an additional rule to the increment
process, otherwise go to step 15.
12. Enter a business rule date from and business rule date to.
Note: The effective date, entered at step 4, must be between the
business rule start date and business rule end date.
13. Enter a year from and year to date if you want to specify an age range for the
people you want to receive the increment.
14. Select the dependent date category.
15. Select the name of the payroll.
16. Select a collective agreement.
17. Select a person name, if you want the process or report to run on an individual
person.
18. Select the qualification type and status.
Note: You can select the qualification type without selecting the
qualification status, but you cannot select the qualification status
without selecting a qualification type.
19. Choose the OK button.
20. Choose the Submit button.
Running the Current and Projected Progression Point Values Report
Run this report before running the Increment Progression Points process, to assess its
effects. This report shows what changes would be made by the Increment Progression
Points process and how much it would cost for a particular scale rate, such as salary, or
for all rates.
You run reports in the Submit Requests window.
To run the Points Values Report:
1. Select Current and Projected Progression Points Values Report in the Name field.
2. If the Parameters window does not open automatically, click in the Parameters
field.
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3. Enter the date on which the increment becomes effective.
Note: The following parameters restrict the assignments,
incremented by the Increment Progression process, to the
categories you select and are non-mandatory.
4. Select an organization.
5. Select a legal entity.
Note: In the UK, the Legal Entity parameter is not available. UK
users may proceed to step 6.
6. Select an organization hierarchy.
7. Select an organization top node, if you want to exclude part of an organization
hierarchy. The process includes the top node selected and the remaining hierarchy
below, within the organization hierarchy you previously selected.
8. Select values for some or all of the segments of your People Group flexfield, if
required. This restricts the assignments incremented by the process to those in the
group matching the values you enter.
9. Select the name of the pay scale.
10. Select the name of the payroll.
11. Select a collective agreement.
12. Select a person name, if you want the process or report to run on an individual
person.
13. Select the qualification type and status.
Note: You can select the qualification type without selecting the
qualification status, but you cannot select the qualification status
without selecting a qualification type.
14. Select the qualification status.
15. Choose the OK button.
16. Choose the Submit button.
Salary and Grade Related Pay and Progression 2-73
Running the Employee Increment Results Report
This report is available for you to run independently in circumstances where you have
deleted the original report, produced by the Increment Progression Points process. You
run this report after running the Increment Progression Points process. This report
gives the actual results of running the process, depending on how you specify the
process to run, allowing you to check employee progressions are successful. You run
reports in the Submit Requests window.
To run the Employee Increment Results Report:
1. Select Employee Increment Results Report in the Name field.
2. Enter the Parameters field to open the Parameters window.
3. Select a pay scale and the increment process run for which you want to see the
results.
4. Restrict the scope of the report, if required, by selecting an organization, a group
and a rate.
5. Choose the Submit button.
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Criteria-Based Rates
Criteria-Based Rates for Variable Pay
If your enterprise assigns employees to different jobs, roles, or tasks according to a
variable schedule, you can now calculate their pay from different rates for each role
they perform in a time period. You can vary pay by other criteria too, such as location
or length of service. You create a rate matrix to define rates against diverse criteria. For
example, you could define base salary, overtime, and night duty allowance against
combinations of job, location, and age. A person is eligible for a rate if their HR record,
or overriding information they supply on their timecard, matches the rate's eligibility
criteria.
You can use the supplied rate retrieval API to obtain the appropriate rates for a person
or set of criteria. If you use Oracle Payroll, your payroll formulas can call a supplied
function to retrieve the appropriate rate for each employee.
Criteria
For each rate you can define up to seven eligibility criteria, including your own criteria
or standard, predefined criteria such as length of service, position, and bargaining unit.
For example, the criteria might be assignment to a specified organization or position
hierarchy, or to a range of grades. You can define a criteria with two sub-criteria, if
necessary, such as grades and locations.
When you define the criteria, you specify how the rate retrieval API should identify the
criteria values for a person. There are three choices:
• Specify a table and column that stores the personal or assignment information
• Specify a formula rule that returns the criteria value
• Specify one of the above and enable overrides from timecards
Criteria Rate Definitions
For each rate, you create a criteria rate definition such as base rate, hazard allowance, or
pension. The criteria rate definition specifies the rate calculation method; you can:
• Enter the rates on the rate matrix
• Calculate a rate based on another rate (such as a percentage of the base rate)
• Specify a formula rule to calculate the rate
If you define your eligibility criteria in such a way that an employee may be eligible for
Salary and Grade Related Pay and Progression 2-75
more than one rate value, you must specify the preferred rate, which can be the lowest,
highest, average, or the rate returned by a formula rule.
You specify which elements derive their values from this rate definition. For example, if
you are defining a salary rate, you might select a Regular Salary element, which is for
people who have a criteria-based salary each month, and an Exception Salary element
for people who have a criteria-based salary on an exceptional basis.
Note: The rate retrieval API does not update the element with the
criteria-based rates. If you want the element entries to show the rates
for reporting, you must update them manually. Oracle Payroll users
can report on values in the element run results.
Rate Matrix
After you define the criteria and the rate definitions, you select them to build your rate
matrix, which includes both eligibility criteria and rate columns from the rate definition.
You select up to seven criteria and sequence them. For example, if you select Job then
Location, the rate retrieval API checks a person's job first, then their location to find the
appropriate rate. The following table shows an example of a rate matrix.
Criteria 1:
Union
Criteria 2:
Job
Criteria 3:
Grade
Base Rate:
Default
Base Rate:
Minimum
Overtime
Rate (% of
base rate)
Allied
Shipbuilders
Welder 1.A 23.5 22 150
Allied
Shipbuilders
Welder 1.B 25 23.5 150
Allied
Shipbuilders
Equipment
operator
1.A 21 20 150
Allied
Shipbuilders
Equipment
operator
1.B 22 20 150
You can define rates for a single criteria value (such as organization = Sales East), or a
range of values (such as age 18 to 21), or a group of values (such as grade = Senior or
Principal).
Retrieving Rates for Payroll
To use criteria-based rates in Oracle Payroll, you include the Rate by Criteria function in
the payroll formula for the element that you want to calculate from the matrix. This
2-76 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
function calls the rate retrieval API to retrieve the appropriate rate for the person, based
on their personal and assignment details or overriding information on their timecard.
For the setup steps to create a rate matrix and use it in Oracle Payroll, see: Setting Up a
Rate Matrix, page 2-76
Setting Up a Rate Matrix
Create a rate matrix to define rates of pay against combinations of criteria, such as base
pay that varies by job, grade, age, and length of service, and overtime that is a
percentage of base pay where the percentage varies by position.
Note: Within a rate matrix, if base pay varies by job, grade, age, and
length of service, and overtime is a percentage of base pay, then
overtime can also vary only by job, grade, age, and length of service; in
other words, you cannot vary rates by one criteria for one rate type and
by another criteria for another rate type within one rate matrix.
To set up a rate matrix:
1. Design your matrix by deciding which rates of pay are variable, and which criteria
determine each rate. List the rates that are dependent on other rates so you can
create them in the correct sequence.
2. Define one or more elements for each rate.
To use timecards to specify a criteria value for a rate, create an input value to hold
the criteria value. For example, if your workers can specify a location on their
overtime timecard entries, create a location input value on the Overtime element.
Use sequence 12 through 15 for these input values.
3. Link the elements. Typically you create open element links (with no assignment
components) since you are not using the link to determine eligibility for the rates.
4. If you are using Oracle Payroll, ensure that the payroll formulas for your rate
elements call the function RBC_Rate_Retrieval. See: Writing Formulas for Rate by
Criteria Calculations, Oracle HRMS FastFormula User Guide
5. Review the predefined criteria. If you want to use timecards to specify a person's
value for any predefined criteria, query the criteria on the Eligibility Criteria page
and, in the Define Timecard Override region, enter the table and column holding
the timecard information. If you are using Oracle Time and Labor, the table is
pay_batch_lines, and the column is the element input value that holds the override
information.
6. Define any additional criteria you require. To use a formula rule to determine the
Salary and Grade Related Pay and Progression 2-77
criteria values for an employee (rather than retrieving the values from a table), you
must write the formula first. Select the formula type Eligibility Access Calculation.
See: Defining Your Own Eligibility Criteria, page 1-143
7. If you are using Oracle Time and Labor and you want your workers to specify
criteria override values on their timecards, modify the timecard layout to include
the criteria you want, such as location. For a worked example of all the steps to use
timecards to provide override values, see the white paper Setting Up the
RBC/OTL/Payroll Integration, My Oracle Support Note ID 369044.1.
8. Create your criteria rate definitions on the Criteria Rate Definition page, selecting
the elements you created for the rate. To use a formula rule to determine how the
application calculates or rounds the rate value, or selects the preferred rate when
the employee is eligible for more than one, you must write your formulas first.
Select the formula types Compensation Calculation, Rounding, or Preferential Rate
Calculation.
9. Create your rate matrix by ordering the criteria and entering values for each rate
definition against each combination of criteria.
What's Next
You can test your setup by entering the rate element for an employee, running
QuickPay, and checking the statement of earnings. If you are using timecard overrides,
you must enter a timecard for the employee, transfer the timecard from OTL to BEE
(batch element entries), and process the batch before you run QuickPay.
2-78 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Workforce Intelligence Key Concepts for Salary,
Grades, and Pay Administration
Key Concepts for Salary, Grades, and Pay Administration Intelligence
The Salary, Grades, and Pay Administration Intelligence reports enable you to compare
and contrast salaries among employees working in different circumstances, such as
different jobs or organizations, within your enterprise. You can also examine salary
trends, or you can view salary details for individual employees. You can set Key
Performance Indicators to alert you to critical changes in salaries.
Note: These reports will not return data if you have not attached your
Grade Rates to a Salary Basis.
To enable you to get the most out of the Salary, Grades, and Pay Administration
intelligence reports, you need to understand the following key concepts:
• Salary Currencies, page 2-78
• Salary Annualization, page 2-78
• Grade Annualization, page 2-79
• Salaries and Assignments, page 2-79
Salary Currencies
The Salary, Grades, and Pay Administration reports enable you to select the currency
on which you want to report. If salaries exist that are not paid in the currency you
select, you can include or exclude them from the report. If you include salaries that are
not in the currency you select, the reports convert the salary using the general ledger
(GL) daily rates. If the report cannot find a valid exchange rate, it ignores the salary.
For more information, see Entering A Conversion Rate Type, Oracle HRMS Configuring,
Reporting, and System Administration Guide.
Salary Annualization
Most of the reports display salary values as annualized figures. Reports use the salary
basis set up for the assignment to calculate the annualized figure. Reports only include
the salary values they can convert to an annualized figure.
Salary and Grade Related Pay and Progression 2-79
Grade Annualization
Reports display the minimum, mid-point, and maximum payments in a grade range as
annualized figures. Reports use the grade annualization factor set up as part of the pay
basis to calculate the annualized figure.
Salaries and Assignments
The Salary, Grades, and Pay Administration reports show salaries for all assignments
that satisfy the following criteria. For an assignment to be included in the reports, it
must:
• Be active or suspended.
Note: By including employees with a status of suspended, the
reports ensure that employees on military leave, or those who have
been temporarily suspended, are still included in the salary
analysis.
• Have the latest approved salary proposal. Assignments with unapproved salary
proposals are not included.
• Have all components of a salary increase approved.
• Have a performance rating related to a current approved salary, if you group by
performance.
• Fit the criteria you enter. For example, if you enter a location, the assignment must
be for that location.
Each assignment that matches the selection criteria appears on the report. If an
employee has more than one assignment that matches all the criteria, the employee
appears more than once on the report.
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Workforce Intelligence for Salary, Grades, and Pay
Administration
Employee Primary Assignment with Salary and Grade Rate Detail
Workbook
This workbook enables you to report on employees based on their primary assignment.
The workbook output is in a non-legislative specific format, which is useful for global
reporting.
You can report on employee details, including:
• Current annual salary
• Previous annual salary
• Salary grade rates
• Date of birth
• Working hours
• Gender
• Age
Worksheets
This workbook has the following worksheets:
• Organization Hierarchy
• Supervisor Hierarchy
Organization Hierarchy Worksheet
This worksheet enables you to report on employee details based on the employee
primary assignment (in a non-legislative specific format) for a given organization and
its subordinate organizations.
Business Questions
How much do my employees within each organization earn and how does that compare with
their grade rate?
Salary and Grade Related Pay and Progression 2-81
Worksheet Parameters
You must specify values for the following parameters:
• Organization Hierarchy
• Top Organization
• Effective Date
The worksheet includes those employees who held a primary assignment at the time of
the Effective Date, and were employed in the selected organization hierarchy at the time
of the Effective Date.
Headings and Calculations
This report uses the following calculations:
• Annualized Grade Minimum
Calculates the annualized minimum payment in a grade range. The calculation uses
the grade annualization factor that is set up as part of the pay basis.
• Annualized Grade Mid Value
Calculates the annualized mid value payment in a grade range. The calculation uses
the grade annualization factor that is set up as part of the pay basis.
• Annualized Grade Maximum
Calculates the annualized maximum payment in a grade range. The calculation
uses the grade annualization factor that is set up as part of the pay basis.
• Salary Increment
Calculates an employee's salary increment as a percentage of the previous salary.
• Recent Years Service
Calculates the employee's length of service as the number of years since their most
recent hire date.
Supervisor Hierarchy Worksheet
This worksheet enables you to report on employee details based on the employee
primary assignment (in a non-legislative specific format) for a given supervisor and
his/her subordinates.
Business Questions
How much do the employees for a given supervisor earn and how does that compare with their
2-82 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
grade rate?
Worksheet Parameters
You must specify values for the following parameters:
• Supervisor
• Effective Date
The worksheet includes those employees who held a primary assignment at the time of
the Effective Date, and were assigned to the selected supervisor at the time of the
Effective Date.
Headings and Calculations
This report uses the following calculations:
• Annualized Grade Minimum
Calculates the annualized minimum payment in a grade range. The calculation uses
the grade annualization factor that is set up as part of the pay basis.
• Annualized Grade Mid Value
Calculates the annualized mid value payment in a grade range. The calculation uses
the grade annualization factor that is set up as part of the pay basis.
• Annualized Grade Maximum
Calculates the annualized maximum payment in a grade range. The calculation
uses the grade annualization factor that is set up as part of the pay basis.
• Salary Increment
Calculates an employee's salary increment as a percentage of the previous salary.
• Recent Years Service
Calculates the employee's length of service as the number of years since their most
recent hire date.
Related Topics
Salary, Grades, and Pay Administration Key Concepts, page 2-78
Employee Primary Assignment with Salary Detail Workbook
This workbook enables you to report on employee details based on employee primary
assignment, in a non-legislative specific format. This is useful for global reporting.
Salary and Grade Related Pay and Progression 2-83
Employee details include:
• Current annual salary
• Hire date
• Employment category
Worksheets
This workbook has the following worksheets:
• Organization Hierarchy
• Supervisor Hierarchy
Organization Hierarchy Worksheet
This worksheet enables you to report on employee details based on employee primary
assignment, in a non-legislative specific format, for a given organization and its
subordinate organizations.
Business Questions
How much do my employees within each organization earn?
Worksheet Parameters
You must specify values for the following parameters:
• Organization Hierarchy
• Top Organization
• Effective Date
The worksheet includes those employees who held a primary assignment at the time of
the Effective Date, and were employed in the selected organization hierarchy at the time
of the Effective Date.
Supervisor Hierarchy Worksheet
This worksheet enables you to report on employee details based on employee primary
assignment, in a non-legislative specific format, for a given supervisor and his/her
subordinates.
2-84 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Business Questions
How much do the employees for a given supervisor earn?
Worksheet Parameters
You must specify values for the following parameters:
• Supervisor
• Effective Date
The worksheet includes those employees who held a primary assignment at the time of
the Effective Date, and were assigned to the selected supervisor at the time of the
Effective Date.
Related Topics
Salary, Grades, and Pay Administration Key Concepts, page 2-78
Employee Salary Change Detail Workbook
This workbook investigates salary changes over specified periods of time within your
organization. The resulting information allows you to:
• Compare salary changes for similar organizations
• Analyze employee salary by length of service
• Analyze salary change by gender
• Ensure employees are rewarded for high performance
Worksheets
This workbook has the following worksheets:
• Summary
• By Years of Service
• By Gender
• By Performance Rating
• By Person
Salary and Grade Related Pay and Progression 2-85
Summary Worksheet
This worksheet enables you to view information about salary changes within your
organization. The resulting information allows you to analyze salary changes across all
organizations in a Business Group.
Business Questions
What are the details of the most recent salary changes for employees?
Parameters
You must specify a value for the following parameter:
• Salary Change Date
By Years of Service Worksheet
This worksheet displays salary change information by years of service across
organizations. The resulting information allows you to:
• Compare salary change across Business Groups and organizations.
• View salary change information by length of service.
Business Questions
What are the details of the most recent salary changes for my employees, by years of service?
Parameters
You must specify a value for the following parameter:
• Salary Change Date
By Gender Worksheet
This worksheet enables you to analyze salary change within your organization, by
gender. It enables you to analyze differences in salary changes between male and
female employees across organizations.
Business Questions
What are the details of the most recent salary changes for my employees, by gender?
Parameters
You must specify a value for the following parameter:
2-86 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
• Salary Change Date
By Performance Rating Worksheet
This worksheet enables you to investigate the effects of performance ratings on
employee salary change across organizations. It enables you to ensure employees are
rewarded for performance.
Business Questions
What are the details of the most recent salary changes for my employees, by performance?
Parameters
You must specify a value for the following parameter:
• Salary Change Date
By Person Worksheet
This worksheet enables you to investigate salary changes for individual employees.
Business Questions
What are the details of the most recent salary changes for my individual employees?
Parameters
You must specify a value for the following parameter:
• Salary Change Date
Related Topics
Salary, Grades, and Pay Administration Key Concepts, page 2-78
Employee Salary Change Workbook
This workbook enables you to report on employee salary change details; for example,
the latest salary increment, the effective date of a salary change, the salary level
compared to the grade minimum, mid value and maximum value. The details can be
shown for a chosen period of time.
Worksheets
This workbook has the following worksheets:
Salary and Grade Related Pay and Progression 2-87
• Organization Hierarchy
• Supervisor Hierarchy
Organization Hierarchy Worksheet
The Organization Hierarchy worksheet enables you to report on employee salary
change details by organization hierarchy for a given time period.
Business Questions
When did my employees' salaries change, and by how much?
Parameters
You must specify values for the following parameters:
• Organization Hierarchy
• Top Organization
• Start Date
• End Date
The worksheet includes those employees who held a primary assignment, were
employed in the selected organization hierarchy, and had a salary change, during the
period from your selected Start Date to your selected End Date.
You can also enter a value for the following optional parameter:
• Organization Hierarchy Effective Date
If you use the Organization Hierarchy Effective Date parameter, the worksheet will use
the Organization Hierarchy Version effective on this date to display organization
Hierarchy information.
This date will affect the output of your worksheet if your selected Start Date and End
Date parameters cover more than one Organization Hierarchy Version for your selected
Organization Hierarchy.
If you do not use the Organization Hierarchy Effective date parameter, the worksheet
will default to the Organization Hierarchy Version effective on your selected End Date.
Headings and Calculations
This report uses the following calculations:
• Annualized Grade Minimum
Calculates the annualized minimum payment in a grade range. The calculation uses
2-88 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
the grade annualization factor that is set up as part of the pay basis.
• Annualized Grade Mid Value
Calculates the annualized mid value payment in a grade range. The calculation uses
the grade annualization factor that is set up as part of the pay basis.
• Annualized Grade Maximum
Calculates the annualized maximum payment in a grade range. The calculation
uses the grade annualization factor that is set up as part of the pay basis.
• Previous Annual Salary
Calculates the previous annual salary amount for an employee.
• Salary Increment
Calculates an employee's salary increment as a percentage of the previous salary.
Supervisor Hierarchy Worksheet
The Supervisor Hierarchy worksheet enables you to report on employee salary change
details by supervisor hierarchy for a given time period.
Business Questions
When did my employees' salaries change, and by how much?
Parameters
You must specify values for the following parameters:
• Supervisor
• Start Date
• End Date
The worksheet includes those employees who held a primary assignment, were
employed by the selected supervisor, and had a salary change, during the period from
your selected Start Date to your selected End Date.
Headings and Calculations
This report uses the following calculations:
• Annualized Grade Minimum
Calculates the annualized minimum payment in a grade range. The calculation uses
the grade annualization factor that is set up as part of the pay basis.
Salary and Grade Related Pay and Progression 2-89
• Annualized Grade Mid Value
Calculates the annualized mid value payment in a grade range. The calculation uses
the grade annualization factor that is set up as part of the pay basis.
• Annualized Grade Maximum
Calculates the annualized maximum payment in a grade range. The calculation
uses the grade annualization factor that is set up as part of the pay basis.
• Previous Annual Salary
Calculates the previous annual salary amount for an employee.
• Salary Increment
Calculates an employee's salary increment as a percentage of the previous salary.
Related Topics
Salary, Grades, and Pay Administration Key Concepts, page 2-78
Employee with Tenure Detail Workbook
This workbook enables you to report on current employee tenure details based on the
employee primary assignment in a non-legislative specific format.
In addition to the basic employee primary assignment details, you can report on:
• Most recent hire date
• Original date of hire
• Total years of service
• Recent years of service
Worksheets
This workbook has the following worksheets:
• Organization Hierarchy
• Supervisor Hierarchy
Organization Hierarchy Worksheet
This worksheet enables you to report on employee tenure details (based on the
employee primary assignment in a non-legislative specific format) for a given
2-90 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
organization and its subordinate organizations.
Business Questions
How long have my employees within a given organization hierarchy been working within my
enterprise?
Parameters
You must specify values for the following parameters:
• Organization Hierarchy
• Top Organization
• Employment Category
The worksheet includes those employees currently employed within the selected
organization hierarchy, and within the selected employment category.
Headings and Calculations
This report uses the following calculations:
• Recent Years Service
Calculates the employee's length of service since their most recent hire date as a
number of years.
• Total Years Service
Calculates the employee's length of service since their first hire date as a number of
years.
Supervisor Hierarchy Worksheet
This worksheet enables you to report on employee tenure details (based on the
employee primary assignment in a non-legislative specific format) for a given
supervisor and his/her subordinates.
Business Questions
How long have employees, reporting directly or indirectly to a given supervisor, been working
within my enterprise?
Parameters
You must specify values for the following parameters:
• Supervisor
Salary and Grade Related Pay and Progression 2-91
• Employment Category
The worksheet includes those employees currently employed by the selected
supervisor, and within the selected employment category.
Headings and Calculations
This report uses the following calculations:
• Recent Years Service
Calculates the employee's length of service since their most recent hire date as a
number of years.
• Total Years Service
Calculates the employee's length of service since their first hire date as a number of
years.
Related Topics
Salary, Grades, and Pay Administration Key Concepts, page 2-78
Compensation and Awards Management 3-1
3
Compensation and Awards Management
Compensation and Awards Management Overview
In an enterprise, you need to compensate and award benefits to eligible employees.
Your enterprise determines who is eligible for compensation and awards, and who can
allocate them. Most compensation cycles include or exclude certain employees, based
on enterprise requirements. Compensation could include salary, bonus, allowances,
vehicle mileage payments, and stock options. Allocation of compensation may depend
on factors such as current salary, grade, position, time since last pay raise, and other
factors. You also need to convey this compensation information to your employees
easily.
Managing Compensation and Awards Using Oracle HRMS
You can set up compensation and awards programs for managers to use to evaluate
and make compensation decisions. Well-designed programs help you achieve your
goals, retain qualified employees, and reward performance. Oracle HRMS helps you
design a successful compensation program and convey compensation information to
your employees.
See: Setting Up Compensation Workbench Plans, page 3-49
See: Setting Up Individual Compensation Distributions, page 3-117
See: Setting Up Compensation History, page 3-146
See: Setting up Total Compensation Statement, page 3-154
Using Oracle SSHR to Manage Compensation and Awards
As a manager, you can use Oracle SSHR to effectively manage compensation, make
informed decisions and create and allocate budgets.
Using Individual Compensation Distribution (ICD), you can:
3-2 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
• Assign one-time or recurring awards, bonuses, and allowances to qualified
employees.
• Navigate a self-service flow that creates a proposal for a spot bonus. You can use
the same process to award a car allowance or relocation package to an eligible
employee.
• Define recommended amounts by using the plan and a common eligibility engine.
• Enroll and set contribution levels in discretionary contribution plans such as a
charitable contribution plan, or a savings bond plan.
Other modules enable adjustment of employee or contingent worker pay. The Pay Rate
module enables you to change a person's overall pay rate or update an individual
component of the pay rate. HR Views provide insight into the compensation activity
within your organization.
See: Self-Service Individual Compensation Distribution, page 3-115
See: Compensation History, page 3-139
See: Vehicle Repository, page 3-166
Key Concepts
To use Compensation and Awards to suit your enterprise's requirements, you need to
understand the following key concepts and activities:
• Key Decision Areas in Compensation Workbench, page 3-11
• Plan Design for Compensation Workbench, page 3-19
• Budgeting in Compensation Workbench, page 3-22
• Promotion and Rating in Compensation Workbench, page 3-23
• Standard Rates for Compensation Workbench, page 3-24
• Hierarchies for Award Allocations and Approvals, page 3-63
• Eligibility, Award Limits and Targets, page 3-66
• Access Levels in Compensation Workbench, page 3-64
• Switch Manager, page 3-65
• Approval Modes, page 3-65
• Self-Service Individual Compensation Distribution, page 3-115
Compensation and Awards Management 3-3
• Compensation History Views, page 3-140
• Total Compensation Statement Overview, page 3-150
• Vehicle Repository, page 3-166
Reporting on Compensation and Awards
To track compensation and awards activities in your enterprise, Oracle HRMS provides
you a range of reports. For example:
• Managers use the Flexible Summary Report to view Salary, Bonus, and Stock
Option totals for their direct reports. The report also includes values such as each
manager's budget and the amount used.
• Managers or Administrators use the Employee Stock Options Total Position Report
to view summary or detailed information about employee stock option grants, such
as total shares granted, and total vested shares.
• Compensation Professionals use the Stock Option Download for Third Party
Administration Systems to download stock option grant results for all participants
in a plan in an enrollment period.
• Administrators use the Total Compensation Progress Report to check the progress
of the compensation cycle for a specific availability period and plan.
See: Compensation and Awards Management, Oracle HRMS Configuring, Reporting, and
System Administration Guide in Reports and Processes in Oracle HRMS.
Compensation Awards Management: Requirements
Using Compensation and Awards Management, you can determine and allocate
compensation and awards for your enterprise.
Can managers view employee details from Compensation Workbench?
Yes, managers can view employee details for their direct reports and any employee
further down in the reporting hierarchy. You can update certain employee information
in Compensation Workbench, so you do not have to change functions while you are
working in your compensation cycle.
How are compensation allocations awarded?
A line manager uses the Allocate Compensation task to award compensation to any
employee at a lower level in the reporting hierarchy. Line managers cannot allocate
their own compensation.
3-4 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
How are budgets prepared?
You can define a budget at the top-level of an organization hierarchy. A high-level
manager in the hierarchy issues budgets to managers who have direct reports -- and
these direct reports can be managers as well. You can issue monetary amounts or
percentages of eligible salaries. You can also use the Allocation wizard to help you
calculate the amount/percentages to issue.
Additionally, you can auto-issue a predefined budget (typically as a flat percentage of
eligible salaries) to all allocating managers.
Can other managers fill in for me if I am unavailable?
Using Switch Manager, you can act as another manager within your security profile,
and view or make updates to another manager's worksheet.
Can managers assign employees to their own worksheets?
The Employee Reassignment feature provides managers a facility to add an employee
to their own worksheets as well as to assign employees to other managers' worksheets.
The employee reassignment is valid for the selected compensation plan and enrollment
period and does not affect the current supervisor relationship.
Can managers promote and rate or assess employees at the same time as allocating
salaries?
Yes, using the Promotion and Performance features, you can process a promotion or
complete a performance rating and ranking in conjunction with processing a pay
increase, bonus, or stock award. Self-service Compensation Workbench uses the same
jobs, position, and grades as the compensation professionals use in the "back office."
Does Compensation Workbench handle approving allocations, promotions, appraisals,
and employee performance ranking?
Oracle HRMS routes a completed worksheet for approval based on the Compensation
Workbench hierarchy as specified in the enrollment requirements for the compensation
plan. There is a single approval for the entire worksheet.
Additionally, if you use Performance Management to manage performance appraisals,
managers can view complete appraisal details directly from the Compensation
Workbench allocation worksheet. As a manager, you can review your employees' latest
completed Appraisals using CWB without having to switch responsibilities to
Performance Management.
Compensation and Awards Management 3-5
Can I budget and allocate compensation based on salary components?
If you itemize a compensation plan into two or more components, for example Cost of
Living and Performance, you can budget and allocate for each component. You can link
compensation components to Oracle HRMS salary components.
Can I budget and allocate compensation across business groups?
Yes, you can budget and allocate compensation across business groups, between
different currencies, and plan types within the same compensation cycle.
Can I download and save information visible on the worksheets?
Yes, you can download information available on the worksheets. Use the Download to
Spreadsheet feature to download the default definition or download the custom
definition of worksheet columns.
Can I attach supporting documents in Compensation Workbench?
Yes. If your organization requires you to provide justification or supporting documents,
then during the compensation process, you can attach files such as a Microsoft Word or
Microsoft Excel spreadsheet to each employee record. Note that these attachments are
specific to a plan and a plan period and are not automatically carried over to another
plan or plan period.
If you do not want managers to attach supporting documents, you can hide the
attachment feature using Self-Service Personalization.
When I allocate compensation or prepare budgets, are there any guidelines that I can
follow?
Yes, you can use Company Targets as a guideline when you prepare a budget or
allocate compensation. Target amounts include an actual target and a range. You can
also view the target percentage of eligible salary. You can use the Quick Fill feature to
copy the target amounts into the compensation amount for a specific employee or for all
employees displayed in the worksheet.
You use Budgeting Targets to view the aggregate of all employee level targets for a
manager. For example, if you have two employees with a compensation target amount
of 1000 US dollars, your target budget will display 2000 US dollars.
What type of information can I view in Compensation History?
As a manager, you can get a complete view of the compensation, performance, ranking,
and job history for all employees in your security group. This includes information
about all in-progress transactions as well for salary changes, bonuses, basic or stock
3-6 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
option history, ranking, jobs, and details of other non-monetary compensation.
Can employees use Compensation History?
Yes. Employees can view all their compensation information. They can view
information about current compensation data and previously processed salary changes,
bonuses, basic or extended stock option history, and details of other non-monetary
compensations. Employee ranking is hidden by default in the employee view but you
can configure Compensation History to make it viewable. Employees can view their job
details such as name, date of the job change, position, grade, people group, and reason
for the job change.
Are there any security features associated with Compensation History?
Yes - Oracle HRMS security features ensure that you view ranking history of employees
within your security group. History includes in-progress transactions. This information
is hidden from employees.
To whom can I assign an Individual Compensation Distribution?
As a manager, you can assign an Individual Compensation Distribution only to those
qualified employees who belong to your security group. In addition, participant
eligibility profiles offer a further method to limit eligibility for those employees who are
eligible to receive compensation.
Does Individual Compensation Distribution use Approvals?
Yes. Oracle Self-Service HR provides a workflow approval process. This automatically
sends a notification to the supervisor of the manager who distributes the award. The
supervisor can either approve or reject the distribution.
Can employees use Individual Compensation Distribution ?
Yes - if your enterprise configures employee self-service Individual Compensation
Distribution for use by non-manager employees. Employees can use Self-Service
Individual Compensation Distribution to contribute to charitable contribution plans,
savings bond plans and so on.
Can I grant Compensation Awards based on employee specific effective dates?
Yes. You can allocate compensation awards to employees based on their individual
effective date. You can configure the effective date according to your business rules
such as date of the employee's last salary increase, or their hire date.
Compensation and Awards Management 3-7
Can I view award information in a currency of my choice?
Yes, ICD enables you to view award amounts in your preferred currency to avoid
having to convert the currency manually.
What type of information can I record in the vehicle repository?
You can record the following information:
• Registration number
• Make and model
• Registration date
• Engine capacity
• List price and value of optional accessories fitted initially and added later
• Fiscal rating
• Status, and reason for Inactive status
• Whether the vehicle can be allocated to multiple users
What type of information can I display in Total Compensation Statements?
You can configure Total Compensation Statement to display information based on your
enterprise's requirements. You can tailor statements to display information for groups
of employees in your enterprise. You can group compensation into categories such as
benefits, cash compensation, company stock, stock options, retirement and savings, or
create your own custom category. You can display information from various sources,
including Oracle Payroll, third party payroll, element entries, and rules (fast formulas).
Is the Total Compensation Statements feature applicable to contingent workers?
Yes, you can use Total Compensation Statements to configure and generate statements
for contingent workers also.
Can I customize the display of the Total Compensation Statements?
Yes, you can customize Total Compensation Statements to suit your enterprise's
requirements. Besides configuring the items that display in the statement, you can use a
rich text editor to format the welcome page for employees to view. You can also add
graphs and links to your statements. Employees can print and view their statements in
a pdf format at their convenience.
3-8 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Compensation Workbench License
Compensation Workbench License
To enable Compensation Workbench (CWB), you must first purchase the appropriate
license from Oracle. For information on licenses, contact your Oracle sales
representative.
Starting June 18th 2007, Oracle's Compensation Workbench is a separately licensed
product and will not remain a part of Compensation and Benefits and SSHR. You must
purchase the new CWB license only (apart from the Oracle HRMS License) and are not
required to purchase SSHR for using CWB.
To use Total Compensation Statement, you must have the CWB or Oracle Advanced
Benefits license.
Important: You must set the new system profile option HR:
Compensation Workbench Licensed to Yes either at Site or
Responsibility level in System Administrator to access CWB functions.
Compensation and Awards Management 3-9
Compensation Workbench
Compensation Workbench Overview
Compensation Workbench is a flexible tool enabling line managers to publish
compensation budgets, and allocate compensation awards and salary increases to their
teams. Using Compensation Workbench for Administrators, compensation
administrators can also monitor the progress of compensation cycles and perform
overrides and exception processing, as required.
Super Administrators can control or grant access of compensation workbench plans to
administrators.
This topic provides an overview of what you can do using Compensation Workbench.
Line Managers
Your compensation administrator gives you access to a set of tasks for each
compensation cycle, such as budgeting, allocating compensation, entering performance
ratings, entering job changes, and approving the work of subordinate managers. For
determining budgets and allocating compensation, you can enter values directly on a
worksheet that enables you to see all your employees in a single view. Alternatively
you can download information to a spreadsheet and work there, or you can use the
Allocation Wizard to help you determine budgets and allocations according to the rules
and criteria you choose.
If your manager or compensation administrator gives you a budget, you can choose to
hold the entire budget yourself, or allocate it to your direct reports only, or to all your
subordinate managers. If you use the Allocation Wizard to determine the budget, you
can provide budget targets for each employee so your managers understand the criteria
you used for creating their budgets.
See: Budgeting in Compensation Workbench, page 3-22
See: Promotions and Rating in Compensation Workbench, page 3-23
You can save your work at any stage, and submit it for approval when you are ready.
See: Hierarchies for Award Allocations and Approvals, page 3-63
You can use the online reports to view:
• Summary information for one or more compensation plans
• Compensation history for each employee
• Stock option history, including estimated walk-away values
• Changes made to an employee record by other managers in Compensation
Workbench (Audit History)
3-10 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
See: Reports in Compensation Workbench, page 3-85
There are some additional features that your compensation administrator may give you
access to:
• Overriding an employee's eligibility or ineligibility for an award
• Reassigning an employee to another manager, for the purposes of award allocation
only
• Switching to subordinate managers to enter allocations on their behalf
• Generating a compensation statement for employees to communicate their award
See: Access Levels in Compensation Workbench, page 3-64
See: Eligibility, Award Limits and Targets, page 3-66
See: Configure Worksheet and Budget Sheets, page 3-68
See: Switch Manager, page 3-65
Compensation Administrators
You can use Compensation Workbench to perform all the tasks available to line
managers, either for the whole workforce (if you decide not to delegate the task to line
managers), or in place of individual managers, for example to cover absences. You have
access to plan information for every employee within your security profile, including
information about the progress each manager is making in distributing budgets and
allocating awards. You can reprocess a single employee or change their eligibility,
salary, or assignment information.
See: Key Decision Areas in Compensation Workbench, page 3-11
See: Plan Design for Compensation Workbench, page 3-19
You can use the Plan Administration page to override certain plan setup information
for the current compensation cycle, such as period dates, budget information, tasks
available to managers, and rates.
See: Maintain Compensation Workbench Plan Mid-cycle, page 3-98
See: Steps to Administer a Compensation Workbench Plan, page 3-101
You can use reports to monitor the progress of the compensation cycle, and to gather
manager feedback.
Compensation Super Administrators
As a Compensation Super Administrator you can provide administrators access to
plans based on their responsibility. You can ensure that when administrators log in for
their administrative tasks, they can view only those plans for which you have granted
access.
See: Responsibility Based Access to Plans, page 3-64
Compensation and Awards Management 3-11
See: Key Decision Areas in Compensation Workbench, page 3-11
See: Defining Responsibility Based Access to Plans, page 3-66
Key Decision Areas in Compensation Workbench
You must first design your plans and how you want the self-service pages to look, then
you can begin to set them up. There are four main types of decision you must make,
summarized in the table below and explored in more detail in subsequent topics.
Decision Area Questions to Ask
Yourself
Setup Tools Additional
Information
Compensation Plan
Design
Which awards do you
handle together
within the same
compensation cycle?
Which awards do you
allocate from the
same budget?
Do you want to
promote, change jobs,
and give ratings at
same time as
allocating awards, or
separately?
Plans, Plan
Enrollment
Requirements, and
Standard Rates
windows.
Plan Administration
page
See: Compensation
Plan Design, page 3-
19
See: Promotion and
Rating in
Compensation
Workbench, page 3-
23
3-12 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Decision Area Questions to Ask
Yourself
Setup Tools Additional
Information
Controlling Access,
Eligibility, and
Award Amounts
Do you make all
allocations centrally
or delegate to line
managers?
Do you allocate each
manager a budget
centrally or give
high-level managers a
budget and let them
decide how to roll it
down?
Do you control who
can receive awards
with eligibility
criteria? Do you let
managers override
the criteria?
What management
hierarchy do you use
for allocations,
roll-down budgeting
and approvals?
Do you want to
restrict which
managers have access
to plans?
Which items do you
give managers access
to on their task list
and what level of
access do you give
them?
Do you want to
restrict
administrators' access
to individual plans?
Do you want to grant
Compensation
Awards on employee
specific effective
dates?
Plans, Plan
Enrollment
Requirements, and
Standard Rates
windows.
Plan Administration
Page
AME or FastFormula
to define the rules for
passing budgets
down and approvals
up the management
hierarchy (unless you
use standard
supervisor or position
hierarchies)
Compensation
Workbench
Preferences page,
Add Administrator
Responsibilities Page,
Compensation
Workbench Plan and
Responsibility
Mapping page, and
Administer Plan
Access
Award Effective Date
column.
See: Budgeting in
Compensation
Workbench, page 3-
22
See: Hierarchies for
Award Allocations
and Approvals, page
3-63
See: Access Levels in
Compensation
Workbench, page 3-
64
See: Approval Modes,
page 3-65
Eligibility, Award
Limits and Targets,
page 3-66
See: Responsibility
Based Access to
Plans, page 3-64
See: Defining
Responsibility Based
Access to Plans, page
3-66
See:Compensation
Awards
Management:
Requirements, page
3-3
See: Configure
Worksheet and
Budget Sheets, page
3-68
See: Writing
Allocated Amounts
from the
Compensation
Workbench Cycle,
page 3-107
Compensation and Awards Management 3-13
Decision Area Questions to Ask
Yourself
Setup Tools Additional
Information
Worksheet and
Budget Sheet
Configuration
Which rates do you
display?
Do you validate Jobs,
Grades, and
Positions?
Which flexfields do
you include?
Which custom and
dynamic columns do
you configure?
Which columns do
you want to display
and what should the
column headings be?
Do you enable
upload/download
using WebADI?
Self-service
personalization to
hide or display items,
rename or reorder
columns, or make
them read-only. You
can use
personalization by
plan to vary the
worksheet layout
between plans.
See: Configure
Worksheet and
Budget Sheets, page
3-68
Reports and
Notifications
Will you use the
Employee
Statements?
Do you need to
personalize any of the
reports or
notifications?
Which plan do you
want to use as context
for the Salary
Statistics and
Employee
Compensation
History Reports?
Reporting from the
self-service interface
Plan Administration
Page
See: Reports in
Compensation
Workbench, page 3-
85
See: Notifications in
Compensation
Workbench, page 3-
88
Compensation Workbench Components
For a full functional description of the Compensation Workbench, see: Compensation
Workbench, page 3-9.
3-14 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Important: You must set the system profile option HR: Compensation
Workbench Licensed to Yes either at Site or Responsibility level in
System Administrator to access CWB functions.
Menu and Function Names
This module can be accessed from the following menus and functions:
User Menu Name Function Name
Compensation Workbench for Managers Compensation Workbench
Compensation Workbench for Administrators Compensation Workbench for Administrators
Workflow
Compensation Workbench uses the following workflows:
Internal Name Display Name
RECALL_PROC Worksheet Recalled Process
ACCESS_NTF_SUB_PROCESS Customizable Access Notification Sub Process
ACCESS_PROC Access Process
BDGT_ISS_NTF_SUB_PROCESS Customizable Issued Budget Notification Sub
Process
BUDGET_ISSUED_PROC Issued Budget Process
CWB_EMP_ELIG CWB Employee Eligibility Main Process
CWB_NTF_FINAL_HOOK CWB Notification Finalize Hook
CWB_NTF_INIT_HOOK CWB Notification Initialize Hook
CWBFYINTF Comp Workbench Notifications
HR_APPROVAL HR Approval
Compensation and Awards Management 3-15
Internal Name Display Name
RSGNNTFP Employee Reassignment Notifications
RSGNP Employee Reassignment Process
WS_REJ_NTF_SUB_PROCESS Customizable Worksheet Rejected
Notification Sub Process
WS_REJECTED_PROC Worksheet Rejected Process
WS_SUB_NTF_SUB_PROCESS Customizable Worksheet Submitted
Notification Sub Process
WS_SUBMITTED_PROC Worksheet Submitted Process
Configurable Tips and Instructions
Region Tip Type Message Name
Employee Reassignment:
Employee Selection Page
Instruction Text BEN_93088_CWB_RSGN_EM
P_MSG
Allocation Budgets Instruction Text BEN_94021_CWB_SET_PREF
_CURR
Allocation Budgets Tip BEN_92974_NO_EXCHANG
E_RATE
Currency Switcher Short Tip BEN_94021_CWB_SET_PREF
_CURR
Currency Switcher Tip BEN_92974_NO_EXCHANG
E_RATE
Allocation Wizard -
Component Selection Content
Instruction Text BEN_93304_CWB_WIZ_OPTI
ON_INSTR
Manager Selection Instruction Text BEN_92824_WIZ_MGR_SEL_
HDR
3-16 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Region Tip Type Message Name
Allocation Wizard
Distribution Method Content
Instruction Text BEN_92826_WIZ_DIST_MTH
D_HDR
Allocation Wizard
Distribution Method Content
Long Message BEN_93136_WIZ_DIST_MAT
RIX_INFO
Allocation Wizard
Distribution Method Content
Long Message BEN_92862_WIZ_DIST_EQP
CT_INFO
Allocation Wizard
Distribution Method Content
Long Message BEN_92838_WIZ_DIST_PRA
MT_INFO
Allocation Wizard
Distribution Method Content
Long Message BEN_92839_WIZ_DIST_RCA
MT_INFO
Distribution Method Instruction Text BEN_92826_WIZ_DIST_MTH
D_HDR
Distribution Method Long Message BEN_93136_WIZ_DIST_MAT
RIX_INFO
Distribution Method Long Message BEN_92862_WIZ_DIST_EQP
CT_INFO
Distribution Method Long Message BEN_92838_WIZ_DIST_PRA
MT_INFO
Distribution Method Long Message BEN_92839_WIZ_DIST_RCA
MT_INFO
Matrix - Content Long Message BEN_94000_CWB_WIZ_POP_
TRG_AMTS
Matrix - Content Long Message BEN_93999_CWB_WIZ_BASI
S_CALC
Details Long Message BEN_93999_CWB_WIZ_BASI
S_CALC
Details Long Message BEN_94000_CWB_WIZ_POP_
TRG_AMTS
Compensation and Awards Management 3-17
Configurable FlexFields
Descriptive Flexfields display on their own flexfield worksheet group subtab within the
worksheet.
See: Configuring Flexfields, Oracle HRMS Deploy Self-Service Capability Guide
Configurable Profile Options
Compensation Workbench provides the following configurable profile options:
Profile Configurable Levels Values Default
BEN: CWB Download
Expire Seconds
All Levels Positive Integer 60
BEN: CWB
Encrypt/Decrypt Key
All Levels String. (If you change
this value, you cannot
upload spreadsheets
you have already
downloaded. You
must download the
spreadsheets again
with the new key.)
BEN:CWB History
Type Display
All Levels Basic Stock Option
History/Extended
Stock Option History
BEN: CWB Home
Plans Displayed
All Levels Positive Integer
BEN: CWB Layout
Lock Time
All Levels Positive Integer 10
BEN: CWB Maximum
Number of Layouts
All Levels Positive Integer 10
BEN:CWB Reporting
Plan Context
Site Level Plan or Period
BEN: CWB Wizard
Compratio Range
All Levels Positive Integer 5
3-18 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Profile Configurable Levels Values Default
BEN: CWB Wizard
Years Worked Range
All Levels Positive Integer 1
BEN:CWB Display
Currency Type
All Levels Employees' Local
currency
Corporate currency
Preferred currency
Corporate currency
BEN:CWB Summary
Level
All Levels All Employees
Direct Employees
BEN:CWB Table
Population
All Levels All Employees
Direct Employees
BEN: CWB History
Type Display
All Levels Basic Stock Option
History
Extended Stock
Option History
Basic Stock Option
History
BEN: CWB Estimated
Market Price
All Levels Any numeric value
HR:FTE Factor All Levels Budget Full Time
Equivalent
Budget Percent of
Full Time
No Conversion
Based on Working
Hours
No Conversion
Compensation and Awards Management 3-19
Compensation Plan Design
Plan Design for Compensation Workbench
Which Awards Do You Want to Budget for and Allocate Together?
Your primary design decision is how many compensation plans to create. If you want to
handle awards together on a single worksheet or allocate them from a single budget,
you must set them up within the same plan or group of plans. You group plans by
associating them with one global plan, even if the plans are defined in different
business groups and using different currencies.
For example, if you want to allocate compensation across currencies or business groups,
create a local plan for each business group and associate all the local plans with the
same global plan, which uses your corporate currency. You create a single budget for
the global plan, which you can distribute across the local plans in their local currencies.
This is called a global basic plan structure.
If you are allocating in one business group, you can create a single standalone plan that
acts as its own global plan. However, if you have several plans of the same plan type in
your business group and you want to allocate money across the plans from one budget,
you can group them under a single global plan using the global basic plan structure.
See: Setting Up a Basic Plan, page 3-31
3-20 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Note: Local plans do not have budgets. You always budget at the global
plan level.
For all global and local plans, you can define up to four options.
If you want to break down allocations into components such as cost of living increase
and merit awards, select the same plan type, such as Salary Increase, for all the options
(and the plans). These plans are called component plans. You can set up rates based on
your business requirements. Decide whether you store your budgets as a percentage of
eligible salaries or as amounts. For example, you can set up option level budgets for a
component plan with 5% for merit, 2% for cost of living, and 3% for company
performance or set up a plan for 10% to budget or allocate between salary increases and
bonuses.
See: Setting Up a Component Plan, page 3-36
Compensation and Awards Management 3-21
If you want to allocate different types of compensation (such as salary increases and
bonuses) on the same worksheet, select different plan types for the options, and select
Combination Plan as the plan type for the plan. You can publish a separate budget for
each option in the global plan.
See: Setting Up a Combination Plan, page 3-42
3-22 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Combination plans do not total options so you can create options with different units of
measurement.
Budgeting in Compensation Workbench
Compensation Workbench provides two general styles of budgeting:
• Automatic Budgeting: use this type of budget if you predetermine budgets prior to
giving managers access. For example, you enter a budget of 7.5% for all managers
in the west, and 10% for all managers in the east. Auto-issuing budgets gives the
compensation professional control over the amount a manager can allocate to
reporting employees and creates a uniform compensation distribution across the
enterprise. You can set up variable rate profiles to vary the flat percentage or
amount based on a variety of eligibility criteria such as location.
• Roll-Down Budgeting: use this type of budget if you predetermine the initial
budget only, and line managers complete the budgeting task. As a compensation
administrator, you publish the initial budget with the highest-level manager, or
with multiple lower managers. Managers roll the budgets down the hierarchy by
distributing the budget. Managers decide the level to which they want the budget
Compensation and Awards Management 3-23
to trickle down by selecting the budgeting method on the Budget Task.
You include the budgeting task in the plan design only if you want to use roll-down
budgeting. You can define budgets as monetary amounts or as a percentage of eligible
salary in the Plan Enrollment Requirements window. You can also define the budget in
non-monetary units such as Shares or Stock Options.
To configure the number of decimal places to display for budget and worksheet
amounts that are expressed as a percentage of eligible salary, you must set the following
profile options:
• BEN: CWB Budget as Percent of Eligible Salary Decimals – set this profile option to
Yes to display budgets as percent of eligible salary
• BEN: CWB Allocation as Percent of Eligible Salary Decimals – set this profile option
to Yes to display decimals for percent of eligible salary based on allocated amounts
You can decide how you store your budgets - either as a percentage of eligible salary or
as an amount. You can also choose to maintain fixed amounts or to recalculate the
budget based on a percentage.
If you have a combination plan, you must budget for at least one component, but you
are not required to budget for each component of the plan.
Promotion and Rating in Compensation Workbench
Do You Want To Enter Promotions and Performance Ratings At the Same Time as
Awards?
You can enter employee ratings and assignment changes during a compensation award
cycle, or enter them separately, depending on how your business operates. You can:
• Create a plan that includes tasks for managers to enter performance ratings, job
changes or promotions, and compensation awards at the same time.
This plan design speeds up the annual review process because managers can
submit, review, and approve all changes that affect a person's compensation at
once. Doing these tasks together helps managers award compensation to employees
in the position, job, or grade equitably, and reduces the amount of plan design
setup required.
• Create a plan that only allows managers to process job changes and promotions.
This plan design enables you to schedule a compensation period to only process job
changes and promotions, before you process compensation awards. This is helpful
when you base compensation limits or recommendations on an employee's
assignment information.
Performance ratings and assignment changes can cross global plans. If you want the
3-24 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
values your managers enter in one plan to show in another plan, you enter the same
effective date for ratings and assignment changes for each plan on the Timing tab of the
Plan Enrollment Requirements window.
Standard Rates for Compensation Workbench
You can define standard rates to meet a variety of business needs for a Compensation
Workbench plan. Most rates display fixed or enterable amounts that appear as columns
in the self-service interface. You can also base a rate on a multiple of compensation that
uses a derived compensation factor you have defined.
The activity type you select when you define a standard rate determines how
Compensation Workbench uses the rate.
When you define Compensation Workbench standard rates for certain global plan
structures, you must alkso define a compensation category. You can choose from Salary
Change, Bonus, Stock Option, Other, Combination Plan, and Option Level Component.
You must define this because the worksheet, history page, and the Compensation
Workbench Post Process use the compensation category to determine the type of
compensation that you award under the plan. For example, if the application does not
automatically calculate the new salary on the worksheet, then it is probably because
you have not defined the compensation category.
For Basic Plans, when you define Standard Rates with the Activity Type of CWB
Worksheet Amount or an Additional History Element, you must provide a
Compensation Category of Salary Change, Bonus, Stock Option, or Other.
For Component Plans, the plan level CWB Worksheet Amount Standard Rate must have
a Compensation Category of Salary Change, Bonus, Stock Option, or Other. You must
define Option Level Component as the option level CWB Worksheet Amount Standard
Rate.
For Combination Plans, you do not define a plan level CWB Worksheet Amount
Standard Rate. The option level CWB Worksheet Amount Standard Rates compensation
category must be either Salary Change, Bonus, Stock Option, or Other.
Rate Types
CWB Worksheet Amount
This rate stores an employee's award amount.
If you attach an element and input value to the rate, then the Post Process Batch job will
create an element entry in Oracle HRMS and pass the allocation as the entry value. Use
this rate if you define a plan that allocates compensation of any type, for example Stock
Options or Bonus. For salary plans or salary options, do not attach an element to this
rate. You do not require this rate if the plan is non compensation plan, such as a
Performance Appraisal Plan.
Compensation and Awards Management 3-25
You can associate a minimum and maximum rule for rates with this activity type to set
a range that managers can allocate to employees. If you select a Min Max Value Rule in
the Standard Rates window, then when you run the participation process, the
application automatically calculates the minimum and maximum values that managers
can allocate to employees. If the Minimum, Maximum, or Default values vary based on
Criteria, then attach the rate to a Variable Rate Profile.
You can use the Default value as an initial amount that appears on the worksheet. You
can use this with a Calculation method of Multiple of Compensation. You can use a
Calculation Method of Rule to default to the worksheet amount based on any fast
formula. Use rules to supply the worksheet amount.
The Rounding Code is multi-functional, and rounds off the amount you enter. It also
controls if the amounts display with decimals. To change the number of decimal places
to which the application rounds all amounts, you configure the precision (number of
decimal places) for a currency using the Define Currency window in Oracle GL.
Rounding codes larger or equal to Round to the nearest One suppress the decimal
amounts to display the amount as a whole number. You must ensure that the Increment
and Rounding Codes are consistent. Use the Currency Precision field on the Plan
Administration page to designate the number of decimal places to display when
rounding salary amounts when converting the amount from pay frequency to plan
frequency.
Compensation Category determines how rates display in history, as well as apply
special processing logic required for Salary Plans such as calculation of the New Salary
column on the worksheet.
CWB Distribution Budget
This activity type stores the budget amount or percent of eligible salaries issued by a
high-level manager to another manager.
If you auto-issue budgets, define the Distribution Budget rate so that it is equal to the
Worksheet Budget rate. Leave the Enter Value at Enrollment and Enter Annual Value
fields unchecked. Enter the auto-issue percent or amount in the Flat Amount field.
Use the Preserve Budget Column field on the Plan Enrollment Requirements window to
set whether the application stores budgets as amounts or percents.
Required? Required if budgeting
Maximum Defined Per Plan or Option One
Assign on Enrollment Recommendation Clear
Enter Value at Enrollment Recommendation Clear (Selected for auto-issued budgets)
3-26 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Override Recommendation Selected
Unit of Measure Recommendation Shares or Blank if monetary
Attach elements? No
CWB Worksheet Budget
The total monetary or share amount available to a manager to distribute to employees.
If you auto-issue budgets, define the Worksheet Budget rate equal to the Distribution
Budget rate. Leave the Enter Value at Enrollment and Enter Annual Value fields
unchecked. Enter the auto-issue percent or amount in the Flat Amount field.
Required? Required if budgeting
Maximum Defined Per Plan or Option One
Assign on Enrollment Recommendation Clear
Enter Value at Enrollment Recommendation Selected (Clear for auto-issued budgets)
Override Recommendation Selected
Unit of Measure Recommendation Shares or Blank if monetary
Attach elements? No
CWB Reserve
A reserve enables a manager to retain a certain amount of money or shares in a budget
for distribution at a later time.
If you define distribution rates for components (options in plan), you must define
reserve rates at the same level. If you auto-issue budgets, you should not define a
reserve rate since managers will not have access to the Budget sheet to reserve any
portion of their budget.
Required? Never required
Maximum Defined Per Plan or Option One
Compensation and Awards Management 3-27
Assign on Enrollment Recommendation Clear
Enter Value at Enrollment Recommendation Selected
Override Recommendation Selected
Unit of Measure Recommendation Blank or Shares
Attach elements? No
CWB Eligible Salary
This activity type is required if you distribute budgets by percentage, and
recommended for bonus and salary plans if you budget by amount.
If you define Worksheet Amount rates for components (options in plan), you must
define Eligible Salary rates at the same level.
The Eligible Salary rate uses a derived compensation factor to determine an employee's
eligible salary. You can prorate an employee's salary based on length of service using a
FastFormula rule to determine their eligible salary.
Required? Required if distributing budgets by
percentage
Maximum Defined Per Plan or Option One
Assign on Enrollment Recommendation Clear
Enter Value at Enrollment Recommendation Clear
Override Recommendation Clear
Unit of Measure Recommendation Blank
Attach elements? No
CWB Stated Salary
Use for salaries that can be converted to a different frequency than the one set in a
person's pay basis. The stated salary is stated as of a specific date and is usually a
multiple of a compensation factor. Use stated salary if you want an amount other than
eligible salary. Unlike eligible salary, you cannot prorate stated salary.
3-28 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Required? Never required
Maximum Defined Per Plan or Option One
Assign on Enrollment Recommendation Clear
Enter Value at Enrollment Recommendation Clear
Override Recommendation Clear
Unit of Measure Recommendation Blank
Attach elements? No
CWB Other Salary
Used when eligible and stated salary are not sufficient to display the result of a
calculated derived factor in Compensation Workbench.
Required? Never required
Maximum Defined Per Plan or Option One
Assign on Enrollment Recommendation Clear
Enter Value at Enrollment Recommendation Clear
Override Recommendation Clear
Unit of Measure Recommendation Blank
Attach elements? No
CWB Misc Rate 1, 2, and 3
You can define miscellaneous standard rates to use for storing any numeric value in
Compensation Workbench, for example, vacation hours, performance ratings, or length
of service. Miscellaneous rates often require a FastFormula rule to derive a value. You
can rename these columns in the self-service interface.
Compensation and Awards Management 3-29
Required? Never required
Maximum Defined Per Plan or Option One of each
Assign on Enrollment Recommendation Clear
Enter Value at Enrollment Recommendation Clear
Override Recommendation Clear
Unit of Measure Recommendation Blank if monetary, or use any value--this has
no impact on processing
Attach elements? No
CWB Recommended Amount/Target Amount
Displays minimum and maximum recommended compensation increases or awards on
the worksheet. Often, recommended rates use variable rate profiles--based on a
percentage of a multiple of compensation--to derive the recommend increase based on
an employee's compensation.
You can associate a minimum and maximum rule for rates with this activity type to set
a range that managers can allocate to employees. If you select a Min Max Value Rule in
the Standard Rates window, then when you run the participation process, the
application automatically calculates the minimum and maximum values that managers
can allocate to employees. For example, if your calculation method is Multiple of
Compensation, the Operator is Multiply By, select Default as the Target, and enter .01 as
the minimum and maximum values, then the application calculates the target as 10% of
compensation.
If you define Worksheet Amount rates for components (options in plan), then you must
define Recommended Amount rates at the same level.
A manager can distribute a recommended amount using the Allocation Wizard.
Required? Never required
Maximum Defined Per Plan or Option One
Assign on Enrollment Recommendation Clear
Enter Value at Enrollment Recommendation Clear
3-30 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Override Recommendation Selected
Unit of Measure Recommendation Blank or Shares
Attach elements? No
CWB Total Compensation
The total of a person's compensation stated as a monetary amount. You must define a
derived factor that provides the total through a balance or a FastFormula rule. Attach
this derived factor to the rate that uses this activity type.
Required? Never required
Maximum Defined Per Plan One
Assign on Enrollment Recommendation Clear
Enter Value at Enrollment Recommendation Clear
Override Recommendation Selected
Unit of Measure Recommendation Blank
Attach elements? No
CWB Additional Element History
Displays element entry history for compensation elements. The Compensation Category
you define determines the history group in which the details display, for example,
bonus, stock option or other compensation history.
Use this to display element entries that are not already linked to a Standard Rate. To do
this, you must define a plan type called CWB History Plan Type, and a plan called CWB
History Plan, and link the plan to the CWB History Plan Type. For each element entry,
you want to display in history, define a standard rate with an activity type of CWB
Additional History Elements. Ensure you define an element entry and an input value,
and use a calculation method of No Standard Value Used. Define the Compensation
Category as Bonus, Stock Option, or Other Compensation to determine the appropriate
history grouping
Compensation and Awards Management 3-31
Setting Up a Basic Plan
This topic is a worked example of the steps for setting up a global basic plan structure
across three business groups. Use this type of plan setup to allocate compensation
across currencies or business groups for a single compensation award using a single
budget. For example, you can award a single salary increase amount, a single bonus
amount, or a single stock option amount to eligible employees.
This sample setup creates plans in US, UK, and Canadian business groups. You can
replace these with business groups relevant to your enterprise. This sample setup is an
example of how you can use three different business groups to create a global plan. In
this example, the US business group is the master business group in which you define
the global plan.
Note: Ensure you use the business group in which you define the
global plan to complete administrative processing.
Note: You should have defined your business groups and set up
conversion rates before you complete your plan design.
Business Rules
Use this sample setup if your business requirements are as follows:
• Each country has a country-specific currency
• You publish budgets in a single currency - in this example, we use US dollars
• You publish budgets as a percentage of eligible salary
• You administer bonuses annually.
• Your target bonus amount for eligible employees is a percentage of their eligible
salary - in this example, we use 5% of eligible salary
• You limit access to plans for line managers for a specific period - in this example,
they have access to the plan from January 1, 2006 until December 31, 2006
• You disallow updates to the plan beyond a particular date - in this example, this
date is November 30, 2006
• You display all person-related information as of a specific date - in this example, we
display all person related information as of January 1, 2006
• You use the Supervisor Hierarchy for Approvals
3-32 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
• You enable managers to submit worksheets for approval at any time.
1. Define Plan Years as follows:
• 01-JAN-2005 - 31-DEC-2005
• 01-JAN-2006 - 31-DEC-2006
• 01-JAN-2007 - 31-DEC-2007
• 01-JAN-2008 - 31-DEC-2008
See: Defining a Program or Plan Year Period, page 1-115
2. Define a Life Event called Global Basic Bonus with Compensation as the Type.
See: Defining General Characteristics of Life Event Reasons, page 5-62
3.
Define another Life Event called US Basic Bonus with Compensation as the Type.
4. Define a Derived Factor called Stated Salary, where US dollar is the currency, Stated
Compensation is the source, Annually is the Stated Compensation Periodicity,
select the No Minimum and No Maximum check boxes, and As of Event Date as the
Determination Code.
See: Defining Derived Factors: Compensation Level, page 1-145
5. Define a Plan Type called Bonus Award, where Compensation Workbench is the
Option Type and Comp-Bonus is the Compensation Category. Select the No
Minimum and No Maximum check boxes.
See: Defining Plan Types, page 1-95
6. Define a Plan called Global Basic Bonus Plan with Bonus Award as the Plan Type,
May Not be in a Program is the Usage, US dollar is the Currency, and Annually is
the Activity Reference Period.
Add all the plan periods you defined to your plan, and add the following tasks:
Task Type Self-Service Task Name Access
Set Budgets Set Budgets Full Access
Allocate Compensation Award Bonuses Full Access
Manage Approvals Approve Awards Full Access
Compensation and Awards Management 3-33
Task Type Self-Service Task Name Access
Review and Submit Review & Submit Full Access
7.
Define a Plan called US Basic Bonus Plan with the same parameters as the Global
Basic Plan.
Note: For this plan you must also select the Restrictions tab and
select Global Basic Bonus Plan as the Global Plan Name.
See: Defining a Compensation Workbench Plan, page 3-54
8. Define Plan Enrollment Requirements for the Global Basic Plan as follows:
• Select Explicit as the Method in the Enrollment alternate region.
• On the Scheduled tab, select Compensation as the Enrollment Type.
• In the General alternate region, enter 01-JAN-2006 as the Start and 31-DEC-2006
as the End as the Enrollment or Availability Period.
• Enter 01-JAN-2006 as the Assigned Life Event Date.
• Select Global Basic Bonus as the Life Event.
• Select Processing End Date as the Close Enrollment Date to Use.
• Select 01-JAN-2005 to 31-DEC-2005 as the Year Period.
• In the Coverage alternate region, select Event as the Enrollment Coverage Start
Date. Select 1 Day Before Event as the Enrollment Coverage End Date.
• Select the Rates alternate region and select Elections as the Rate Start Date.
Select 1 Day Before Event as the Rate End Date
• In the Budget alternate region, select the Uses Budget check box if you use
budgets. Select Store Budgets as Percentages in the Preserve Budget Column.
• In the Miscellaneous alternate region, select Supervisor Hierarchy as the
Hierarchy to Use. Select At Any Time as the Approval Mode of Submission.
Enter 01-JAN-2006 and 30-NOV-2006 as the Self Service Worksheet Update
Period Start and End dates. Select Full Access as the Default Worksheet Access
and enter 01-JAN-2006 as the Freeze Date.
See: Defining an Enrollment Method for a Plan, page 5-99
3-34 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
9.
Define Plan Enrollment Requirements for the US Basic Plan with the same
parameters as the Global Basic Plan.
Note: For the US Basic Bonus Plan, select US Basic Bonus as the Life
Event instead of Global Basic Bonus.
10. Define Standard Rates for the Global Basic Plan as follows:
For Distribution Budgets
• Create a new rate called Global Basic Bonus Plan - DB
• Select Plan as the Level.
• Select Global Basic Bonus Plan as the Compensation Object.
• Select Not Applicable as the Tax Type.
• Select CWB Distribution Budget as the Activity Type.
• Clear the Element and Input Value Required check box.
• On the Calculation Method tab, select Flat Amount as the Method, select the
Enter Value at Enrollment and the Calculate for Enrollment check boxes. Enter
0 as the Minimum, 1000000000 as the Maximum, 1 as the Increment Amount,
and 0 as the Default. Select Round to Nearest One as the Rounding Code.
For Budget Reserves
• Create a new rate called Global Basic Bonus Plan - BR with the same parameters
as you define for the Distribution Budget.
Note: For this rate, select CWB Reserve as the Activity Type.
For Worksheet Budgets
• Create a new rate called Global Basic Bonus Plan - WB with the same
parameters as you define for the Distribution Budget.
Note: For this rate, select CWB Worksheet Budget as the
Activity Type.
See: Defining Activity Rates for a Standard Contribution/Distribution, page 5-146
See: Standard Rates for Compensation Workbench, page 3-24
11.
Define Standard Rates for the US Basic Bonus Plan as follows:
Worksheet Amounts
Compensation and Awards Management 3-35
• Create a new rate called US Basic Bonus Plan - WA with the same parameters as
you defined for the Distribution Budget except the following:
• Select US Global Basic Bonus Plan as the Compensation Object.
• Select Taxable as the Tax Type.
• Select CWB Worksheet Amount as the Activity Type.
• Select the appropriate Element and Input Value.
• On the Processing Information tab, select Bonus as the Compensation
Category.
Recommended Amount
• Create a new rate called US Global Basic Bonus Plan - RA with the same
parameters as you defined for Worksheet Amounts except the following:
• Select CWB Recommended Amount as the Activity Type.
• Select Not Applicable as the Tax Type.
• Clear the Element and Input Value Required check box.
• On the Calculation Method tab, select Multiple of Compensation as the
Method.
• Enter .05 as the Multiplier and select Multiply by as the Operator.
• Select Stated Salary as the Compensation Factor.
Eligible Salary
• Create a new rate called US Global Basic Bonus Plan - ES with the same
parameters as you defined for Worksheet Amounts except the following:
• Select CWB Eligible Salary as the Activity Type.
• Select Not Applicable as the Tax Type.
• Ensure to select the Calculate for Enrollment check box.
• On the Calculation Method tab, select Multiple of Compensation as the
Method.
• Select the Enter Value at Enrollment check box.
• Enter 1 as the Multiplier and select Multiply by as the Operator.
3-36 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
• Select Stated Salary as the Compensation Factor.
12. Repeat the steps (3, page 3-32, 7, page 3-33, 9, page 3-34, and 11, page 3-34) you
used to create the US Basic Bonus Plan to set up your CA and UK plans.
Setting Up a Component Plan
This topic is a worked example of the steps for setting up a component plan structure
across three business groups. Use this type of plan setup to budget and award
compensation based on different components or reasons. You can create up to four
components of the same plan type for a single award. For example, you can budget and
allocate a salary increase based on a merit component, cost of living component, and a
company performance component. Although the award is based on different
components, employees receive a single compensation award.
This sample setup creates plans in US, UK, and Canadian business groups. You can
replace these with business groups relevant to your enterprise. This sample setup is an
example of how you can set up a global component plan to award salary increases
based on the following components: merit, cost of living, and company performance. In
this example, the US business group is the master business group in which you define
the global plan.
Note: Ensure you use the business group in which you define the
global plan to complete administrative processing.
Note: You should have defined your business groups and set up
conversion rates before you complete your plan design.
Use this sample setup if your business requirements are as follows:
• Each country has a country-specific currency
• You publish budgets in a single currency - in this example, we use US dollars
• You publish budgets as a percentage of eligible salary
• You enable line managers to update rankings and rate employee performance
• You enable line managers to view and update employee assignment information
• You administer salary increases annually
• You limit access to plans for line managers for a specific period - in this example,
they have access to the plan from January 1, 2006 until December 31, 2006
Compensation and Awards Management 3-37
• You disallow updates to the plan beyond a particular date - in this example, this
date is November 30, 2006
• You display all person-related information as of a specific date - in this example, we
display all person related information as of January 1, 2006
• You use the Supervisor Hierarchy for Approvals
• You enable managers to submit worksheets for approval at any time.
1.
Define Plan Years as follows:
• 01-JAN-2005 - 31-DEC-2005
• 01-JAN-2006 - 31-DEC-2006
• 01-JAN-2007 - 31-DEC-2007
• 01-JAN-2008 - 31-DEC-2008
See: Defining a Program or Plan Year Period, page 1-115
2.
Define a Life Event called Global Component with Compensation as the Type.
See: Defining General Characteristics of Life Event Reasons, page 5-62
3.
Define another Life Event called US Global Component with Compensation as the
Type.
4.
Define a Derived Factor called Stated Salary, where US dollar is the currency, Stated
Compensation is the source, Annually is the Stated Compensation Periodicity,
select the No Minimum and No Maximum check boxes, and As of Event Date as the
Determination Code.
See: Defining Derived Factors: Compensation Level, page 1-145
5. Define a Plan Type called Component Plan, where Compensation Workbench is the
Option Type and Comp - Salary Change is the Compensation Category.
See: Defining Plan Types, page 1-95
6. Define an Option called Global Merit, where Component Plan is the Plan Type. The
application automatically updates the Group Option field and the Group Option
check box when you save your work.
7. Define two new Options called Global Company Performance and Global Cost of
Living.
8.
Define local options for US Merit, US Company Performance, and US Cost of
Living. For each local option, in the Group Option field, select the corresponding
3-38 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
global option name.
See: Defining Options, page 1-113
9. Define a Plan called Global Component Plan with Component Plan as the Plan
Type, May Not be in a Program as the Usage, US dollar as the Currency, and
Annually as the Activity Reference Period.
Add all the plan periods you defined to your plan, and add the following tasks:
Task Type Self-Service Task Name Access
Set Budgets Set Budgets Full Access
Job Changes/Promotions Update Assignment
Information
Full Access
Performance Ratings Rate Employee Performance Full Access
Allocate Compensation Award Bonuses Full Access
Manage Approvals Approve Awards Full Access
Review and Submit Review & Submit Full Access
Attach the Global Merit, Global Company Performance, and Global Cost of Living
options to the plan. Set the status to Active.
10.
Define a Plan called US Component Plan with the same parameters as the Global
Basic Plan.
Note: For this plan you must also select the Restrictions tab and
select Global Component Plan as the Global Plan Name.
Attach the US Merit, US Company Performance, and US Cost of Living options to
this plan.
See: Defining a Compensation Workbench Plan, page 3-54
11. Define Plan Enrollment Requirements for the Global Component Plan as follows:
• Select Explicit as the Method in the Enrollment alternate region.
• On the Scheduled tab, select Compensation as the Enrollment Type.
• In the General alternate region, enter 01-JAN-2006 as the Start and 31-DEC-2006
Compensation and Awards Management 3-39
as the End as the Enrollment or Availability Period.
• Enter 01-JAN-2006 as the Assigned Life Event Date.
• Select Global Component as the Life Event.
• Select Processing End Date as the Close Enrollment Date to Use.
• Select 01-JAN-2005 to 31-DEC-2005 as the Year Period.
• In the Coverage alternate region, select Event as the Enrollment Coverage Start
Date. Select 1 Day Before Event as the Enrollment Coverage End Date.
• Select the Rates alternate region and select Elections as the Rate Start Date.
Select 1 Day Before Event as the Rate End Date
• In the Budget alternate region, select the Uses Budget check box if you use
budgets. Select Store Budgets as Percentages in the Preserve Budget Column.
• In the Miscellaneous alternate region, select Supervisor Hierarchy as the
Hierarchy to Use.
• In the Performance alternate region, enter 01-Dec-2006 as the New Ratings
Become Effective date.
• In the Miscellaneous alternate region, enter 01-JAN-2006 and 30-NOV-2006 as
the Self Service Worksheet Update Period Start and End dates. Select Full
Access as the Default Worksheet Access and enter 01-JAN-2006 as the Freeze
Date. Select Promotion as the Salary Change Reason.
See: Defining an Enrollment Method for a Plan, page 5-99
12.
Define Plan Enrollment Requirements for the US Component Plan with the same
parameters as the Global Component Plan.
Note: For the US Component Plan, select US Component as the Life
Event instead of Global Component.
13. Define Standard Rates for the global component plan as follows:
For Distribution Budgets
• Create a new rate called Global Component Plan DB - Merit.
• Select Plan as the Level.
• Select Global Component Plan – Global Merit as the Compensation Object.
3-40 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
• Select Not Applicable as the Tax Type.
• Select CWB Distribution Budget as the Activity Type.
• Clear the Element and Input Value Required check box.
• On the Calculation Method tab, select Flat Amount as the Method, select the
Enter Value at Enrollment and the Calculate for Enrollment check boxes. Enter
0 as the Minimum, 1000000000 as the Maximum, 1 as the Increment Amount,
and 0 as the Default. Select Round to Nearest One as the Rounding Code.
For Budget Reserves
• Create a new rate called Global Component Plan RB - Merit with the same
parameters as you define for the Distribution Budget.
Note: For this rate, select CWB Reserve as the Activity Type.
For Worksheet Budgets
• Create a new rate called Global Component Plan WB - Merit with the same
parameters as you define for the Distribution Budget.
Note: For this rate, select CWB Worksheet Budget as the
Activity Type.
See: Defining Activity Rates for a Standard Contribution/Distribution, page 5-146
See: Standard Rates for Compensation Workbench, page 3-24
14.
Define Standard Rates for the US Component Plan as follows:
Worksheet Amounts
• Create a new rate called US Component Plan WA - Merit with the same
parameters as you defined for the Distribution Budget except the following:
• Select US Component Plan – US Merit as the Compensation Object.
• Select CWB Worksheet Amount as the Activity Type.
• Clear the Element and Input Value Required check box.
• Select the Enter Value at Enrollment and Calculate for Enrollment check
boxes in the Calculation Method tab.
• On the Processing Information tab, select Option Level Component as the
Compensation Category.
Eligible Salary
Compensation and Awards Management 3-41
• Create a new rate called Global Component Plan ES - Merit with the same
parameters as you defined for Worksheet Amounts except the following:
• Select CWB Eligible Salary as the Activity Type.
• Select Not Applicable as the Tax Type.
• Clear the Element and Input Value Required check box.
• Ensure to select the Calculate for Enrollment check box.
• On the Calculation Method tab, select Multiple of Compensation as the
Method.
• Select the Calculate for Enrollment check box.
• Clear the Enter Value at Enrollment check box.
• Enter 1 as the Multiplier and select Multiply by as the Operator.
• Select Stated Salary as the Compensation Factor.
15. Follow the same steps to set up rates for Global Component Plan – Global Cost of
Living and Global Component Plan – Global Company Performance.
16. To create the setup for the UK and CA plans, follow the steps you completed to
define Plan Years, page 3-37, Derived Factors, page 3-37, and Life Events, page 3-37.
Use Plan Design Copy to copy the rest of the setup.
Note: Ensure you copy the US Component Plan and all its child
records into your UK and CA business groups one at a time. Do not
copy the global plan.
To copy the US Component Plan, you must do the following:
1. On the Plan Design Copy page, select the link to copy and enter UK
Component as the Plan Name.
2. Enter 01-Jan-1990 as the Effective Date.
3. Select your US Component Plan.
4. Select the Target Category as Different Business Group.
5. Select your UK business group as the Target Business Group.
6. Enter 01-Jan-1990 as the Effective Date to Copy.
3-42 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
7. Select Reuse existing objects if current name exists in target as the Reuse
Method.
8. Enter a Prefix of UK.
Note: Ensure that the Global Component Plan is the Global Plan
and verify that the copied compensation objects names are updated
to UK or CA as required. Also, ensure you change the currency for
these local component plans as required.
Note: Optionally, update the rate names as well.
See: Copying a Program or Plan, page 1-119
Setting Up a Combination Plan
This topic is a worked example of the steps for setting up a combination plan structure
across three business groups. Use this type of plan setup to use a single budget amount
to allocate awards across different types of compensation. For example, you can allocate
salary increases, bonuses, and stock option awards from the same budget, also on the
same worksheet.
This sample setup creates plans in US, UK, and Canadian business groups. You can
replace these with business groups relevant to your enterprise. This sample setup is an
example of how you can set up a global combination plan to award salary increases and
bonuses. In this example, the US business group is the master business group in which
you define the global plan.
Note: Ensure you use the business group in which you define the
global plan to complete administrative processing.
Note: You should have defined your business groups and set up
conversion rates before you complete your plan design.
The Total column in the Compensation Summary table within the Allocate
Compensation task does not provide a real total for each row of data. This is because
you define budgets at the plan level in this sample setup. You can hide the option level
columns (global merit and global bonus) using Personalization, so that managers will
not be confused. The table displays an example of the data provided in the
Compensation Summary table based on this sample setup.
Compensation and Awards Management 3-43
Compensation
Summary
Total Global Merit Global Bonus
Eligible Employees 100 100 100
Employees Receiving 95 95 95
% Receiving 95 95 95
Total Eligible Salaries 1,500,000 USD 1,500,000 USD 1,500,000 USD
Budget 150,000 USD 150,000 USD 150,000 USD
Budget as % of Total
Eligible Salaries
10% 10% 10%
Total Allocated 145,000 USD 90,000 USD 90,000 USD
Unused Budget 5,000 USD
Average Allocated as
% of Eligible Salaries
9.67% 6% 3.67%
Use this sample setup if your business requirements are as follows:
• Each country has a country-specific currency
• You publish budgets in a single currency - in this example, we use US dollars
• You publish budgets as a percentage of eligible salary
• You enable line managers to update rankings and rate employee performance.
• You enable line managers to view and update employee assignment information
• You administer salary increases annually
• You limit access to plans for line managers for a specific period - in this example,
they have access to the plan from January 1, 2006 until December 31, 2006
• You disallow updates to the plan beyond a particular date - in this example, this
date is November 30, 2006
• You display all person-related information as of a specific date - in this example, we
display all person related information as of January 1, 2006
3-44 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
• You use the Supervisor Hierarchy for Approvals
• You enable managers to submit worksheets for approval at any time.
1.
Define Plan Years as follows:
• 01-JAN-2005 - 31-DEC-2005
• 01-JAN-2006 - 31-DEC-2006
• 01-JAN-2007 - 31-DEC-2007
• 01-JAN-2008 - 31-DEC-2008
See: Defining a Program or Plan Year Period, page 1-115
2. Define a Life Event called Global Combination with Compensation as the Type.
See: Defining General Characteristics of Life Event Reasons, page 5-62
3.
Define another Life Event called US Combination with Compensation as the Type.
4.
Define a Derived Factor called Stated Salary, where US dollar is the currency, Stated
Compensation is the source, Annually is the Stated Compensation Periodicity,
select the No Minimum and No Maximum check boxes, and As of Event Date as the
Determination Code.
See: Defining Derived Factors: Compensation Level, page 1-145
5. Define a Plan Type called Combination Plan, where Compensation Workbench is
the Option Type and Combination Plan is the Compensation Category.
See: Defining Plan Types, page 1-95
6. Define an Option called Global Salary Increase, where Combination Plan is the Plan
Type. The application automatically updates the Group Option field and the Group
Option check box when you save your work.
7. Define another Option called Global Bonus.
8. Define local options for US Salary Increase and US Bonus. For each local option, in
the Group Option field, select the corresponding global option name.
See: Defining Options, page 1-113
9. Define a Plan called Global Combination Plan with Combination Plan as the Plan
Type, May Not be in a Program as the Usage, US dollar as the Currency, and
Annually as the Activity Reference Period.
Add all the plan periods you defined to your plan, and add the following tasks:
Compensation and Awards Management 3-45
Task Type Self-Service Task Name Access
Set Budgets Set Budgets Full Access
Job Changes/Promotions Update Assignment
Information
Full Access
Performance Ratings Rate Employee Performance Full Access
Allocate Compensation Award Bonuses Full Access
Manage Approvals Approve Awards Full Access
Review and Submit Review & Submit Full Access
Attach the Global Salary and Global Bonus options to the plan. Set the status to
Active.
10. Define a Plan called US Combination Plan with the same parameters as the Global
Combination Plan.
Note: For this plan you must also select the Restrictions tab and
select Global Combination Plan as the Global Plan Name.
Attach the US Salary and US Bonus options to this plan.
See: Defining a Compensation Workbench Plan, page 3-54
11. Define Plan Enrollment Requirements for the Global Combination Plan as follows:
• Select Explicit as the Method in the Enrollment alternate region.
• On the Scheduled tab, select Compensation as the Enrollment Type.
• In the General alternate region, enter 01-JAN-2006 as the Start and 31-DEC-2006
as the End as the Enrollment or Availability Period.
• Enter 01-JAN-2006 as the Assigned Life Event Date.
• Select Global Combination as the Life Event.
• Select When Elections Are Made as the Close Enrollment Date to Use.
• Select 01-JAN-2005 to 31-DEC-2005 as the Year Period.
3-46 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
• In the Coverage alternate region, select Event as the Enrollment Coverage Start
Date. Select 1 Day Before Event as the Enrollment Coverage End Date.
• Select the Rates alternate region and select Elections as the Rate Start Date.
Select 1 Day Before Event as the Rate End Date
• In the Budget alternate region, select the Uses Budget check box if you use
budgets. Select Store Budgets as Percentages in the Preserve Budget Column.
• In the Miscellaneous alternate region, select Supervisor Hierarchy as the
Hierarchy to Use and select At Any Time as the Approval Mode of Submission.
• In the Performance alternate region, enter 01-Dec-2006 as the New Ratings
Become Effective date.
• In the Miscellaneous alternate region, enter 01-JAN-2006 and 30-NOV-2006 as
the Self Service Worksheet Update Period Start and End dates. Select Full
Access as the Default Worksheet Access and enter 01-JAN-2006 as the Freeze
Date. Select Periodic Review as the Salary Change Reason.
See: Defining an Enrollment Method for a Plan, page 5-99
12. Define Plan Enrollment Requirements for the US Combination Plan with the same
parameters as the Global Combination Plan.
Note: For the US Basic Bonus Plan, select US Combination as the
Life Event instead of Global Combination.
13.
Define Standard Rates as follows:
For Distribution Budgets
• Create a new rate called Global Combo Plan – DB.
• Select Plan as the Level.
• Select Global Combination Plan as the Compensation Object.
• Select Not Applicable as the Tax Type.
• Select CWB Distribution Budget as the Activity Type.
• Clear the Element and Input Value Required check box.
• On the Calculation Method tab, select Flat Amount as the Method, select the
Enter Value at Enrollment and the Calculate for Enrollment check boxes. Enter
0 as the Minimum, 1000000000 as the Maximum, 1 as the Increment Amount,
and 0 as the Default. Select Round to Nearest One as the Rounding Code.
Compensation and Awards Management 3-47
For Budget Reserves
• Create a new rate called Global Combo Plan - RB with the same parameters as
you define for the Distribution Budget.
Note: For this rate, select CWB Reserve as the Activity Type.
For Worksheet Budgets
• Create a new rate called Global Combo Plan - WB with the same parameters as
you define for the Distribution Budget.
Note: For this rate, select CWB Worksheet Budget as the
Activity Type.
Worksheet Amounts
• Create a new rate called Global Combo Plan - WA with the same parameters as
you defined for the Distribution Budget except the following:
• Select Global Combination Plan as the Compensation Object.
• Select CWB Worksheet Amount as the Activity Type.
• Clear the Element and Input Value Required check box.
• Select the Enter Value at Enrollment and Calculate for Enrollment check
boxes in the Calculation Method tab.
• On the Processing Information tab, select Combination Plan as the
Compensation Category.
Eligible Salary
• Create a new rate called Global Combo Plan – ES with the same parameters as
you defined for Worksheet Amounts except the following:
• Select CWB Eligible Salary as the Activity Type.
• Select Not Applicable as the Tax Type.
• Clear the Element and Input Value Required check box.
• Ensure to select the Calculate for Enrollment check box.
• On the Calculation Method tab, select Multiple of Compensation as the
Method.
• Select the Calculate for Enrollment check box.
3-48 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
• Clear the Enter Value at Enrollment check box.
• Enter 1 as the Multiplier and select Multiply by as the Operator.
• Select Stated Salary as the Compensation Factor.
See: Defining Activity Rates for a Standard Contribution/Distribution, page 5-146
See: Standard Rates for Compensation Workbench, page 3-24
14. Follow the same steps, page 3-46 to set up rates for US Combination Plan, US
Combination Plan – Salary, and US Combination Plan – Bonus.
15. To create the setup for the UK and CA plans, follow the steps you completed to
define Plan Years, page 3-44, Derived Factors, page 3-44, and Life Events, page 3-44.
Use Plan Design Copy to copy the rest of the setup.
Note: Ensure you copy the US Combination Plan and all its child
records into your UK and CA business groups one at a time. Do not
copy the global plan.
To copy the US Combination Plan, you must do the following:
1. On the Plan Design Copy page, select the link to copy and enter UK Combo as
the Plan Name.
2. Enter 01-Jan-1990 as the Effective Date.
3. Select your US Combination Plan.
4. Select the Target Category as Different Business Group.
5. Select your UK business group as the Target Business Group.
6. Enter 01-Jan-1990 as the Effective Date to Copy.
7. Select Reuse existing objects if current name exists in target as the Reuse
Method.
8. Enter a Prefix of UK.
Note: Ensure that the Global Combination Plan is the Global Plan
and verify that the copied compensation objects names are updated
to UK or CA as required. Also, ensure you change the currency for
these local combination plans as required.
Compensation and Awards Management 3-49
Note: Optionally, update the rate names as well.
See: Copying a Program or Plan, page 1-119
Setting Up Compensation Workbench Plans
You set up Compensation Workbench plans using the Total Compensation data model.
The windows you use to define a Compensation Workbench plan are a subset of those
windows that you use to implement and administer Standard and Advanced Benefits.
Follow this process to set up plans for Compensation Workbench. Refer to the
cross-references for further details.
For information about administering Compensation Workbench plans that you have
defined, see: Compensation Workbench Processing, page 3-101
To set up a Compensation Workbench plan:
1. Define one life event reason for each plan.
2. Define plan years for the Compensation Workbench plan.
3. Define a plan type, selecting a compensation category.
4. Optional: define participant eligibility profiles to limit the employees who are
eligible for a Compensation Workbench plan.
5. Define the Compensation Workbench plan.
6. Link the plans and eligibility.
7. Optional: define a derived compensation factor if compensation awards are based
on a stored or system calculated value, such as eligible or stated salary.
8. Optional: define options.
9. Optional: define elements if you want to transfer activity rates to Oracle Payroll or
to third party applications. Link the elements.
10. Optional: define variable rate profiles if an activity rate can vary according to one or
more factors.
11. Define standard activity rates.
12. Optional: define or load the GL Daily Rates if you enable managers to view
amounts in different currencies.
3-50 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Compensation Life Event:
Set up a life event reason.
• Enter a life event Name that corresponds to your plan. Provide a life event name
that identifies the compensation type, and--if you operate globally--the legislation
of the plan. A naming convention helps you to identify the life event.
• Select a life event Type of Compensation.
Compensation Workbench life events require no additional set up.
See: Defining General Characteristics of Life Events, page 5-62
Plan Years:
You use the Program/Plan Years window to set up plan years that define the year--or
period within a year--during which an employee earned their compensation. You can
use this amount, if, for example, you award a bonus based on a percentage of
compensation earned during the period.
Note: The application requires year periods for life event processing.
• Enter the plan year start and end dates. This is the year in which the employee
earned the compensation.
• For compensation types that you award more than once per year (such as quarterly
bonus plans)--or for which the employee earning period is less than a full
year--enter a Within Year Period that represents that period.
Select the Unit of Measure that best represents your period. For example, select
Semi-Year for compensation plans administered twice yearly.
Compensation Plan Types:
Your plan requires a compensation plan type.
Select Compensation Workbench as the Option Type.
Select a Compensation Category from the list:
See: Defining Plan Types, page 1-95
Compensation Workbench Plans:
You define a Compensation Workbench plan for a group of tasks that are a single
collection, available to managers at the same time, processed at same time, and use the
same hierarchy and approval chain.
Typical compensation plans include salary increases linked to a yearly focal review
period, scheduled bonuses, and stock option grants.
Compensation and Awards Management 3-51
You can also define plans for promotions/job changes and performance ratings.
See: Defining a Compensation Workbench Plan, page 3-54
See: Setting Up a Basic Plan, page 3-31
See: Setting Up a Component Plan, page 3-36
See: Setting Up a Combination Plan, page 3-42
Compensation Components:
If you itemize your compensation plan, you can define components to represent each
item (Cost of Living or Merit, for example). You should attach two or more components
to an itemized compensation plan.
You define components as Total Compensation options. For each option, select a plan
type you defined with an Option Type of Compensation Workbench.
You can link a salary increase component to a salary administration component. Run
the Compensation Workbench Post Process to update salary component values for an
employee who received an award or compensation increase.
You can attach the options to a global or a local plan. A group option belongs to a group
plan and you can use it for global component or global combination plans. You
maintain budgets at the group option level. Options you define for a group plan display
on the same worksheet within Compensation Workbench. A local option belongs to a
group option or to a local plan. You can define all rates, except budget rates, at the local
option level. You can also define eligibility at the local option level.
See: Defining Options, page 1-113
Plan Enrollment Requirements:
Set up plan enrollment requirements to determine the availability period of
Compensation Workbench in Self-Service for a plan.
You also use plan enrollment requirements to enter items such as the:
• Assigned life event date
• Plan year or within year period for the compensation plan
• Close enrollment date
• Enrollment coverage and activity rate start and end dates
• Budget and worksheet characteristics and availability periods
• Supervisor or position hierarchy to use for budgets
• Dates on which performance ratings or job changes become effective
3-52 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
See: Defining Enrollment Requirements for Compensation Workbench Plans, page 3-57
Elements:
Use elements to transfer activity rates to Oracle Payroll or to third party applications.
Elements record items such as the compensation that a line manager distributes to an
employee.
Note: You do not need to define elements for salary plans, only for
bonus and stock option plans. The application automatically updates
the employee's salary basis on the Salary page.
If you have previously defined an element that you now want to use for a
Compensation Workbench plan, you can use that element without defining a new one.
For Compensation Workbench, a typical element setup includes:
• A Primary Classification of Supplemental Earnings, for bonuses
• A Processing Type of Non-Recurring
• An Input Value of Pay Value in Units of Money
• For Stock Option plans with a unit of measure of Shares, select an element type of
Information
See: Defining an Element, page 1-31
Element Links:
You set up element links for Compensation Workbench plans as you would for
Standard and Advanced Benefits.
See: Defining Element Links, page 1-44
Variable Rate Profiles:
Variable rate profiles are optional for Compensation Workbench plans.
You can use a variable rate profile, for example, if you provide an initial recommended
amount for a compensation distribution. You could vary this amount based on a
manager's demographics. A line manager can override the recommended amount
within the guidelines of a minimum and maximum compensation range that you
define.
Variable rate profiles are also useful if you auto-issue a fixed budget to all managers
and you want to vary the issued amount based on a manager's demographics.
See: Defining General Information for a Variable Rate Profile, page 5-156
Compensation and Awards Management 3-53
Standard Rates:
You set up standard activity rates to record a variety of compensation amounts, such as:
• Distribution budgets
• Worksheet budgets
• Budget reserves
• Eligible or Stated Salary
You can use rules to configure the minimum and maximum values for standard rates.
The Participation Process uses these rules to dynamically calculate the minimum and
maximum values. You can also use a rounding code for any Compensation Workbench
standard rate.
Important: You can specify rule only for rates with an Activity Type of
CWB Worksheet Amount or CWB Recommended Amount.
Each standard rate uses an activity type to control many of the columns that display in
Compensation Workbench. You set up different activity rates--with different activity
types--depending on the kinds of values you want to record in Compensation
Workbench.
If you budget or allocate for a component, you must set up activity rates for the option
in plan rather than for the plan. If you have multiple components, and you check the
Uses Budget check box on the Plan Enrollment Requirements window, you must
budget for at least one component.
See: Defining Activity Rates for a Standard Contribution/Distribution, page 5-146
See: Standard Rates for Compensation Workbench, page 3-24
GL Daily Rates:
Setting up GL Daily Rates enables your managers to use Compensation Workbench to
enter and view budget and worksheet distributions in a currency that differs from the
currency set for the profile option BEN: Benefits Preferred Currency, or, if you do not
set this profile option, for the currency defined for the business group.
Line managers can select their preferred currency--you should only enable those
currencies for which you have conversion rates.
• You must use a GL Daily Rate Conversion Type of Corporate for each currency you
want to use with Compensation Workbench.
Note: Conversions are for display purposes only and do not affect
actual paid amounts.
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See: Entering Daily Rates, Oracle General Ledger Users' Guide
Defining a Compensation Workbench Plan
Use the Plans window to define a Compensation Workbench plan.
Note: You can also use the Plans window to define employee benefits
plans. Compensation plans use only a subset of the features available
on the Plans window.
1. Enter the plan Name.
Note: By using a generic plan name (one that does not include a
particular year period), you can reuse the plan over multiple award
periods.
2. Select a Status of Active.
Change the status to Inactive to make the plan unavailable in Compensation
Workbench.
3. Select the Plan Type you created for this plan.
4. In the Plan Usage field, select May not be in Program.
5. To allow your compensation administrator to personalize the column prompts for
this plan when using the spreadsheet download utility, or to display Salary Survey
data in the worksheet for this plan, click the Extra Information button. Select the
CWB Group Plan Defaults type, and click the Details field.
Note: Ensure you use the Extra Plan Information Type only for the
Group Plan. CWB does not use any information you enter for this
Extra Plan Information Type at the local plan level.
In the Extra Plan Information Type window, select Yes to enable Custom
Download. If you enable Custom Download, you can personalize the CWB
Compensation Allocations worksheet download column prompts for each group
plan. If you set this to No, Compensation administrators can still customize
prompts and those prompts will be applicable to all group plans with the flag set to
No.
In the Extra Plan Information Type window, select the name of the Compensation
Survey to use to display data for comparison on the worksheet.
Compensation and Awards Management 3-55
Note: CWB only uses Salary Survey data. You must have mapped
the Salary Survey detail lines to the employee's job to view the
survey details in CWB. The CWB participation process reviews the
active survey line (based on the start and end dates) and only
selects the current/valid survey lines for loading into CWB, based
on the effective date of the process.
See: Entering Compensation Surveys, page 2-25 for more information on how to
enter data into Compensation Survey.
See: Mapping Surveys, page 2-27 for information on how to map Compensation
Survey lines.
In the Extra Plan Information Type window for the information type CWB Group
Plan Defaults, select Yes or No to Post Zero Salary Increase to enable recording of a
zero change amount in salary proposals of employees who did not receive any
salary increase.
In the Extra Plan Information window for the information type CWB Group Plan
Defaults, enter a value in the Show Appraisals Completed in Last N Days field, as
applicable. This allows the administrator to control the period of time used by CWB
to look back to show completed appraisals from within the allocation worksheet.
For example, if it is set to thirty days, then managers will only be able to view
appraisals completed by their employees in the last 30 days (based on the effective
date of the Participation Process). Any employee appraisals with a completed date
earlier than that thirty day period will not be visible from within the allocation
worksheet.
6. Choose the Eligibility Rates tab.
7. Select the Track Ineligible Person check box to track ineligibility without having to
rerun the Participation Process: Compensation Workbench to determine eligibility
or rates.
8. Select the Participation Eligibility Override Allowed check box to enable managers
to override eligibility requirements for the plan.
9. Select the Restrictions tab.
By default, the Global Plan Name is the plan name you defined, and the Global Plan
check box is selected. To link a different global plan to the plan you are defining,
deselect the Global Plan check box, and select a different Global Plan Name.
10. Choose the Not in Program tab.
11. Enter the Sequence number of this plan if you want compensation plans to display
in a particular order in Self-Service.
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12. Select the Currency of your plan.
You must create a separate plan for each plan with a unique currency.
13. Leave the Enrollment Rate/Frequency field blank.
14. Select an Activity Reference Period that matches your most common pay basis.
This determines the period for which the base salary is displayed, and the amount
in which salary increases are entered.
Note: If you select Hourly as the Activity Reference Period, ensure
you have defined a value for the BEN:BEN HOURLY
ANNUALIZATION FACTOR user profile option. This defaults to
2080, meaning that there are assumed to be 2080 hours in a year (8
hours * 5 days * 52 weeks).
15. Choose the Details button to open the Maintain Plan Related Details window.
16. Choose the Plan Periods tab.
17. Attach the plan years you defined to the plan.
18. Select the Compensation Workbench tab, and enter a sequence number for the first
Task Type to add. You can attach any combination of the same or different tasks.
Note: If you do not attach any tasks, then Self-Service defaults to
show the Compensation Worksheet Group. Existing Compensation
Plans do not require modification.
19. Select a Task Type from the list, enter a Self Service Task Name, and select the Site
Level Access. The task name you specify appears on the Self-Service interface, and
the access level you select determines the level of access managers have to the task.
20. Close the Maintain Plan Related Details window.
21. Choose the Plan Eligibility button if you want to link a participant eligibility profile
to the plan.
22. Choose the Eligibility button.
23. Attach any applicable participant eligibility profiles that you created.
24. Close both the Eligibility window and the Maintain Plan Eligibility window.
25. Choose the Options button if you itemize this compensation plan.
Compensation and Awards Management 3-57
26.
Enter the sequence number of the first component.
27. Select the component in the Option field.
28. Select a Status of Active.
29. Check the Hidden check box if you want to hide this component from a manager's
budget and worksheet.
30. Choose the Eligibility tab.
31. Attach any applicable participant eligibility profiles that you created.
32.
Check the Track Ineligible Person field to enable eligibility overrides without
having to rerun the Participation Process: Compensation Workbench.
33. Repeat steps 25, page 3-57 to 31, page 3-57 for each component in the plan.
34. Save your work.
Defining Enrollment Requirements for Compensation Workbench Plans
Use the Plan Enrollment Requirements window to define the scheduled availability
period for a Compensation Workbench plan and to establish certain budget and
worksheet properties.
Note: You can also use the Plan Enrollment Requirements window to
define electability requirements for employee benefits plans.
Compensation Workbench plans use only a subset of the features
available on this window.
Use the Plan Enrollment Requirements window to setup the
Performance Appraisal value in the CWB Worksheet.
1. Query the plan for which you are defining enrollment requirements in the Plan
field.
2. With the General tab and the Plan tab selected, select the Enrollment region.
3. Select Explicit as the enrollment Method.
4. Select Current, Can Keep or Choose; New, Can Choose as the Enrollment Code.
5. Select the Coverage region.
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Note: By setting coverage and activity rate start and end dates at
the plan level you will not have to update these codes for each
availability period.
6. In most instances, select Elections as the Enrollment Coverage Start Date.
This starts the employee's coverage as of the effective date of the Compensation
Workbench Post Process.
7. Required: select 1 Prior or Event as the Enrollment Coverage End Date.
This ends the employee's coverage one day prior to the start of any subsequent
coverage.
8. Select the Rates region.
9. In most instances, select Elections as the Rate Start Date.
This starts the employee's rate--and element entry--as of the effective date of the
Compensation Workbench Post Process.
10. Required: select 1 Prior or Event as the Rate End Date.
11. Choose the Timing tab and then the Scheduled tab.
12. Select Compensation as the Enrollment Type.
You can only select this Enrollment Type if the option type of the plan type you
attached to this plan is Compensation Workbench. Additionally, choose this plan
type to setup values and performance ratings to view performance appraisals.
13. In the Enrollment or Availability Period Start and End fields, enter the date range
for which Compensation Workbench is available in Self-Service for this plan.
Availability periods for the same plan cannot overlap.
Note: Once you run the Participation Process: Compensation
Workbench, you cannot change the availability period unless you
back out the life event. Subsequent runs of the process must be after
the previous life event has been closed for all individuals and the
previous availability period has ended.
14. Enter the effective date of the compensation life event in the Assigned Life Event
Date field.
The assigned life event date sets the date on which the Participation Process:
Compensation Workbench evaluates your plan design to determine eligibility,
activity rates, and each employee's worksheet manager.
Compensation and Awards Management 3-59
15. Select a previously defined compensation life event reason for this plan in the Life
Event field.
Note: You can only have one life event per plan.
16. In the No further processing is allowed after field, enter the last date on which you
can make changes in the professional user interface to this compensation plan.
17. Enter a Close Enrollment Date to use code that determines the date when the life
event status is changed from started to processed:
• Processing End Date (Closed by the Close Compensation Enrollments Process
on the No further processing date)
• When Elections Are Made (Recommended--Closed by the Compensation
Workbench Post Process on the effective date of the process)
• When Enrollment Period Ends (Closed by the Close Compensation Enrollments
Process as of the Availability Period end date)
18. Select the Year Period of this plan.
19. Select a Within Year Period if this plan uses a period of less than a year to
determine available compensation.
20. Budget Characteristics
Note: Because Budgets are not used for Promotion and
Performance Plans, you must leave the budget tabbed region blank.
For promotion and performance plans, skip to step 25., page 3-60
Select the Budget region.
21. Select the Uses Budget check box to enable higher level managers to issue budgets
to lower level managers.
You must select this field to enable the use of budgets at any level in the
application.
22. Optionally, select the Automatically Allocate Defined Budgets check box to update
the allocation worksheet for all managers with a predefined budget amount after
you run the Compensation Pre-Process.
23. Select whether to store budgets as percents or amounts in the Preserve Budget
Column field.
If you select percent (recommended), then the application automatically
3-60 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
recalculates a manager's distribution budget and worksheet budget if an employee
becomes eligible or ineligible or is reassigned from one manager's worksheet to
another's.
24. Worksheet and Budget Sheet Characteristics
25.
Select the Miscellaneous region.
26. Enter the date range for which a manager can access and update worksheets in the
Self Service Update Period block.
You can change the date range for the worksheet at any time without having to
re-run Participation Process: Compensation Workbench for the change to take
effect.
27. Select the Default Access to Tasks:
• Full Access
• Hidden
• No Access
• Read Only
Note: You can override the default worksheet access for lower level
managers within your hierarchy using the Plan Administration
page.
28. Select the Freeze Date (Omit for Most Recent Data) to freeze and display person
data as of this date. When you run the Compensation Workbench Refresh process,
it displays data as of this date, if you do not specify an effective date when running
the process, even if a person's data changes.
29. Enter an Assignment Changes Become Effective date to display assignment data as
of this date.
Note: To share performance ratings and assignment changes (job,
position, grade, and group) across group plans, provide the same
value for the New Ratings Become Effective field (to share
performance ratings) and the Assignment Changes Become
Effective field (to share proposed job, proposed position, proposed
grade, or proposed group) for all plans between which data should
be shared. Ranking values are automatically shared across plans.
30. Select a Salary Change Reason from the list to define a common salary change
Compensation and Awards Management 3-61
reason that the application uses in the Salary Proposal Page when you run the
Compensation Workbench Post Process.
31. Hierarchy and Performance Ratings
Select the Hierarchy region.
32. Select the Hierarchy Type to determine how you administer this plan.
You can choose from:
• AME Transaction
If you select this hierarchy type, then application tests each employee against
your AME definition and uses the Next Approver as the worksheet manager for
the employee. When you create your AME definition, ensure there is only one
Next Approver.
• Position Hierarchy
If you select this hierarchy type, then the application checks for a manager's
supervisor if it cannot find a position in the hierarchy above the manager's
current level. This supervisor can be in a different business group.
If you use position hierarchies--and you want an employee to report to a
supervisor in a different business group for budget purposes--create a
placeholder position above that employee in the hierarchy and do not assign a
person to the position.
• Rule
If you select this hierarchy type, then application returns the PERSON_ID of the
worksheet manager for each employee. You must ensure that the formula
builds a hierarchy that has no breaks, no one managing themselves, and no
recursive relationships (where A reports to B, and B reports to A).
Note: If you define a formula with a recursive relationship,
then the Participation Process: Compensation Workbench
processes the rest of the organization unaffected by the
recursive hierarchy and creates an error log that displays the
employees within the recursive hierarchy so you can fix it.
• Supervisor Hierarchy
If you select this hierarchy type, then you must select an approval mode. You
can choose from:
• Submission at any time
• Submission only after approved
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33. Select the Performance region.
34. If you maintain employee performance ratings in Oracle HRMS, and you want to
display those rating in Compensation Workbench, select the Performance Rating
Type to use for this plan.
You can only display one performance rating type at a time for a compensation
plan in Compensation Workbench.
Enter the date in the New Ratings Become Effective field.
35. Save your work.
Compensation and Awards Management 3-63
Controlling Access, Eligibility, and Award Amounts
Hierarchies for Award Allocations and Approvals
As you set up Compensation Workbench, you can choose which managers can use the
tool, which plans they have access to, and which tasks are available to them for each
plan.
Who Enters and Approves Awards?
For a manager to use Compensation Workbench, they must have:
• Access to a Manager Self-Service responsibility
• Employees reporting to them who are eligible for an active plan with a current
availability period.
You define the employees reporting to them for each plan by selecting a hierarchy type
for that plan.
Hierarchy Types
The hierarchy determines:
• The employees and subordinate managers that managers see on their worksheets
• The managers to whom they can roll down a budget
• The approval chain when managers submit their worksheets: high level managers
approve the worksheets of direct reporting managers. The high level manager's
worksheet is a consolidation of the entries of lower level managers.
You select the hierarchy type for a plan on the Miscellaneous tab of the Plan Enrollment
Requirements window. You can choose from the following types:
• Position hierarchy
• Supervisor hierarchy
• Hierarchy defined by a FastFormula of type Manager Hierarchy
• AME Transaction
Using FastFormula: During processing, the application returns the PERSON_ID of the
worksheet manager for each employee. You must ensure that the formula builds a
hierarchy that has no breaks, no one managing themselves, and no recursive
relationships (where A reports to B, and B reports to A).
3-64 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
For a formula example see: Oracle FastFormula Reference Guide for Standard and
Advanced Benefits My Oracle Support Note ID 218059.1
Using AME: During processing, the application tests each employee against your AME
definition and uses the Next Approver as the worksheet manager for the employee.
When you create your AME definition, ensure there is only one Next Approver.
See: Approvals Overview, Oracle SSHR Deploy Self-Service Capability Guide
Allocating Awards Centrally
If you don't want line managers to have access to Compensation Workbench at all, you
can define a hierarchy rule (using FastFormula) or AME transaction to create a
hierarchy where all employees report to HR managers. Another approach is to use a
hierarchy that involves line managers, but also define security profiles for HR managers
that control which employees' records they can see. HR managers can then use the
Switch Manager feature to perform allocations and other tasks for the managers within
their security profile.
Access Levels in Compensation Workbench
Who Can Access Plans and Tasks?
Access to Plans
You set default (site) access for plans by setting a status code on the Plan
Administration page:
• Active
• Inactive – only administrators can see the plan
• Closed – neither administrators nor managers can see the plan in Compensation
Workbench
• Pending – neither administrators nor managers can see the plan in Compensation
Workbench
For active plans, you can give managers No Access, Read Only Access or Full Access on
the Employee Administration page. But managers can override the access level for their
lower level managers if you make the Change Access link available to them.
Responsibility Based Access to Plans
As a Super Administrator, you can provide administrators access to specific plans
relevant to their responsibility.
See: Defining Responsibility Based Access to Plans, page 3-66
Access to Tasks
You can use the Plan form or the Plan Administration page to define default access to
Compensation and Awards Management 3-65
each task for the plan, and you can vary the access level for individual managers using
the Employee Administration page. You can set the access levels for tasks to:
• Hidden – managers cannot see the task on the Home Page
• No access – managers can see the task on the Home Page but cannot access it
• Read only – managers can view the task but cannot make any changes
• Full access – managers can view and update the task
You can change these access labels using the BEN_WS_ACC lookup type.
Note: Managers cannot override task access.
Switch Manager
Managers can enter allocations and assignment changes for any employee who reports
directly or indirectly to them, according to the selected hierarchy. If you make the
Switch Manager feature available to them, they can view and edit the budgetsheets and
worksheets of any manager within their security view (defined by the security profile
attached to their responsibility). Switch Manager enables you to act as another manager
or as a super-user and do everything that the manager can do except view their
notifications. You can search for and select another manager to switch to even if you
don't know the exact name, employee number or email address of the manager you
want to switch to.
The Switch To Manager search results page includes the Worksheet Manager. This
column displays the name of the worksheet manager of an employee in addition to
their supervisor. For managers, the column displays the manager hierarchy.
Compensation Workbench is delivered with Switch Manager enabled for the HR
Professional and Manager Self-Service responsibilities. A system administrator can
disable Switch Manager using the Form Functions window.
• Query Compensation Workbench Home for Administrators in the User Function
Name field.
• Choose the Web HTML tab to display the following HTML Call:
OA.jsp?akRegionCode=BEN_CWB_HOME_PAGE&akRegionApplicationId=805&displa
yDate=N&displaySwitchManager=Y
Approval Modes
Approval modes enable you to control when managers submit their worksheets to the
next level for approval.
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You can choose between two approval modes:
• Submission at any time – Managers can submit their worksheets at any time
provided they have full access to the task and none of the worksheets of their direct
reports has a Rejected status.
• Submission only after approved – In addition to the above limitations, managers
must approve the worksheets of all lower managers before submitting their own.
Additionally, managers may not approve a lower manager's worksheet until the
lower manager submits it.
You configure the approval mode on the Plan Enrollment Requirements form > Timing
tab > Miscellaneous region. You can also change the approval mode using the Plan
Administration form.
Eligibility, Award Limits and Targets
Who Receives Awards, Ratings, or Assignment Changes?
When you set up your Compensation Workbench plan, you can define participant
eligibility profiles to determine if an employee is eligible to receive an award, a
promotion, or even a performance evaluation. You can set different eligibility criteria
for each option and for each local plan.
Compensation administrators can override eligibility results. You can give managers
the ability to request a change in eligibility results too, and make these override
requests subject to an approval process.
Note: Contingent workers cannot receive awards, ratings, or
assignment changes through Compensation Workbench though they
can participate as managers.
Controlling the Value of Awards
When you define the rates to display on the Allocations worksheet, you can set
company targets and impose minimum and maximum award amounts.
Notice that the application does not enforce budget limits. However, managers can
reject worksheets when managers have allocated awards in excess of their budgets.
Compensation administrators can monitor allocations throughout the compensation
cycle, and can override any awards that are outside of company policy.
Defining Responsibility Based Access to Plans
You can provide Compensation Workbench Administrators responsibility based access
Compensation and Awards Management 3-67
to plans. By following these steps, you can ensure that administrators view only those
plans that are specific to their responsibility.
1. Open the Compensation Workbench Preferences page.
2. Scroll down to the Set Plan Security section.
3. Set the Plan Security option to Yes if you want to provide responsibility based
access of plans to administrators.
After you have set the Compensation Workbench preferences, do the following to
map responsibilities to plans:
1. Using the Compensation Workbench Super Administrator responsibility, open
the Compensation Workbench home page.
Note: You can use the Super Administrator privileges by
adding the new sub menu, Compensation Workbench Super
Administrator to the responsibility of an administrator.
2. Click the Plan Security link in the Administration section of the page.
3. Click the Add Responsibilities button to add responsibilities in the
Compensation Workbench Plan and Responsibility mapping page.
4. Search and select the responsibilities for which you want to grant plan access in
the Add Administrator Responsibilities page and click Apply.
5. In the Compensation Workbench Plan and Responsibility mapping page, add
plans to the responsibility by clicking the Add Plans icon.
6. Select the plans by checking the check box against each plan and click Apply.
Confirm your plan selection by clicking the Yes button for the Are you Sure
prompt.
You can add multiple plans to the selected responsibilities.
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Worksheet and Budget Sheet Configuration
Configure Worksheet and Budget Sheets
You can configure the worksheet and the budget sheet to determine which columns to
display and how the column headings read. You can configure these sheets and other
pages in Compensation Workbench to also hide or display links to other features such
as reassigning employees, and Switch Manager.
Which Columns Do You Want to Display?
The worksheet displays a variety of information about an employee that helps
managers determine allocations. For example, you can display rank, rating, number of
years employed, and historical compensation information for the employee.
You configure the worksheet using Personalization and select the columns that
managers can view and update. You can make the following columns available for
update:
• Assignment Change Reason (the reason that a promotion or job change has
occurred) – You can restrict the change reasons available on the worksheet by
creating codes containing "CWB" in the EMP_ASSIGN_REASON lookup type.
Otherwise, all codes are available on the worksheet.
• Proposed Job
• Proposed Position
• Proposed Grade
You can make the following columns available for managers to view while promoting
or changing assignment information:
• Employee Name – when you access this column from the Allocation worksheet, the
Performance, or Job/Assignment changes tasks, you can also view the employee's
Performance and Promotion History details via a Popup. This popup displays
historical and current performance and promotion-related data for the employee
via two tabs – Ranking and Performance and Job.
• Employee Full Name
• Job
• Position
• Grade
Compensation and Awards Management 3-69
You can make the following column available for managers to view and update the
effective (start) date of an award for an employee in the allocation worksheet.
• Award Effective Date
You must first personalize the worksheet using Plan Personalization.
You can also rename column headings to suit your enterprise requirements.
See: Personalize By Plan, page 3-74
Which Rates Do You Want to Display?
You can define rates to display amounts that appear as columns on the worksheet or
budget sheet. Rates can be:
• Fixed
• Enterable
• Calculated as a multiple of compensation using a derived factor
For enterable rates you can display default values and specify minimum and maximum
values so that Compensation Workbench displays an error if managers enter a value
outside the range. You can include the minimum and maximum amounts as columns
on the worksheet using Personalization.
The activity type you select when you define a standard rate determines how
Compensation Workbench uses the rate. For example, you can display columns for the
award amount, budget amount, eligible salary, stated salary, vacation hours,
performance ratings, length of service, and so on.
See: Standard Rates for Compensation Workbench, page 3-24.
Rounding Codes
For each rate you can specify a rounding code, which applies to the amount, and not the
percentage, of the award. For example, if you specify a rounding code for a salary
award that is defined as a percentage of eligible salary, the application calculates the
award using the percentage the manager enters, applies the rounding code, and then
adjusts the percentage and new salary using the rounded amount. If you do not define a
rounding code for a rate, the application uses the rounding rules defined for the plan
currency, which you enter using a General Ledger responsibility.
Note: The Currency Precision field on the Plan Administration page
defines the number of decimal places the application displays for salary
amounts it converts from pay frequency to plan frequency.
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Which Flexfields Do You Want to Display?
You can set up the Additional CWB Person Information flexfield to add up to 30
columns to the worksheet for managers to enter values. There are certain limitations to
using flexfields:
• You cannot download Compensation Workbench flexfields to a spreadsheet.
• You can use only Compensation Workbench flexfields 1-6 as grouping criteria on
the Allocation Matrix, Summary by Directs report, and the Stock Option History
report.
• You cannot assign a default value for flexfields.
• You must not use multiple contexts when defining flexfield. Use only the Global
context for the flexfield definition and disable all others. Hide the context and do
not make any mandatory.
You store flexfield values in the BEN_CWB_PERSON_INFO table.
See: Configuring Descriptive Flexfields Within Compensation Workbench, page 3-76
Which Custom Columns Do You Want to Configure?
You can use PL/SQL to create custom columns that you add to the worksheet using
Personalization. These columns are read-only, and you can use them to group data or
for reporting.
Some of the restrictions of custom columns are:
• You can retrieve values only using a batch process (Participation Process:
Compensation Workbench or the Compensation Workbench Refresh Process.
• The values in custom columns are fixed and display only in Compensation
Workbench. Line Managers cannot enter or update the values in these custom
columns. To enable managers to enter or update values, use the Descriptive
Flexfields in Compensation Workbench. You can change custom column values
using the Employee Administration page.
• There are ten alphanumeric custom columns (Custom1-10) and ten numeric
columns (Custom 11-20).
• Numeric columns are not formatted or subject to currency conversion when they
display in Compensation Workbench. You can use Miscellaneous Rates for
currency conversions.
• You cannot display numeric custom columns on the Budget Page. You can use
Miscellaneous Rates to do this.
Compensation and Awards Management 3-71
• You cannot use the same custom column for different items across plans because
not all tables allow Personalization By Plan.
You store custom column values in BEN_CWB_PERSON_INFO table.
See: Configuring Custom Columns Within Compensation Workbench, page 3-80
Which Dynamic Columns Do You Want to Configure?
You can add up to ten numeric and ten non-numeric columns that:
• Either display values calculated from other columns
• Or display fixed values depending on conditions you define with respect to the
values in other columns.
For example, you could define a numerical column to show the percentage change from
last year's bonus, or you could define a Yes/No column to show whether this year's
bonus is greater than last year's. You do not have to display the columns on which you
base the calculations or conditions (last year's bonus, in the example).
See: Configuring Dynamic Columns Within Compensation Workbench, page 3-78
Which Other Features Do You Want to Make Available?
By choosing which links you display on each page, you can control which features you
make available to managers. You can choose to enable:
• Reassignment, so managers can transfer employees between worksheets
• Upload/Download to Spreadsheet, so managers can manipulate budget figures and
allocations in a spreadsheet
• Switch Manager, so managers can operate as other managers within their security
profile
• Audit History
• Flexible Summary
• Allocation Wizard
• Validation of Jobs, Grades, and Positions in Compensation Workbench
• Configure targets
Employee Reassignment
Employee Reassignment enables managers to award compensation to employees who
do not report to them, but who have performed some task for them that warrants
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compensation. The employee reassignment is valid for the selected compensation plan
and enrollment period, and does not affect the current supervisor relationship.
You can require that reassignments gain approval. There are three delivered approvals,
which use Workflow and AME:
• Approval 1: Party 1 – The manager whose worksheet is losing the employee must
approve the reassignment.
• Approval 2: Party 2 – The manager whose worksheet is gaining the employee must
approve the reassignment.
• Approval 3: Party 3 -- No approver is necessary
Both managers receive notifications if the request is approved or approval is not
required. Only the requester (who may be a third party) receives notification if the
request is rejected.
Configuring the Home Page
You can configure the home page in the following ways:
• In the Plans window, select which tasks appear in the Task list. If you select the
Employee Statements task, you must perform some additional setup.
See: Configuring Employee Statements For Use by Managers Within Compensation
Workbench, page 3-81
• Using Personalization, add a status column to the Task list, and choose whether to
display status using an icon (the default) or text.
• Using the user profile option BEN: CWB Home Plans Displayed, you can limit the
number of plans displayed on the home page
• Using Personalization, select which links to display to give access to additional
features such as Switch Manager, and reports.
Displaying Corporate Standard Format Names
If you are a global enterprise and you store employee names in a corporate standard
format to avoid problems with displaying names using different character sets, you can
display the corporate standard name in Compensation Workbench. You must add code
to the custom column hook and set the system profile HR: Display Person Name at the
site level to Custom Name.
For details about the package you need to configure, see: Global Employee Names in
Compensation Workbench Family Pack J Enhancements and Clarifications, My Oracle
Support Note ID: 303198.1
Compensation and Awards Management 3-73
Validating Jobs, Grades, and Positions in Compensation Workbench
You can configure whether Compensation Workbench validates a proposed grade, job,
or position based on the job or position an employee currently holds. This ensures that
managers propose new jobs, grades, and positions for employees for which the
employees are eligible. You can configure the worksheet to do the following.
• Display only valid grades – when a line manager proposes a new grade for an
employee, the application displays only those grades for which the employee is
eligible.
• Default the proposed grade based on proposed job or position
• Disallow a manager from proposing a new position if a proposed job exists for jobs
and positions that are directly correlated
• Enable managers to select only from currently active and valid proposed jobs,
grades, and positions based on the job, grade, position combination. The application
displays these jobs, grades, and positions as a List of Values
• Make the proposed job, grade, and positions columns read-only if managers cannot
change them. Alternatively, hide the job, grade, and position from the list of values
To validate grades, jobs, and positions in Compensation Workbench, you must set the
following profile options:
• BEN: CWB Valid Grade Filtering – set this profile option to Yes to indicate that the
application must display valid grades for a proposed job/position within the
business group.
• BEN: CWB Validate Performance/Assignment Changes Online – set this profile
option to Yes to validate assignment changes online.
Configuring Targets
Worksheets display company target amounts. Managers can select the displayed
minimum, maximum, or target values to populate the worksheet amount column with
the amount selected.
When you select company targets from the list, it refreshes the page to display a table
for the employees you select, and the amount and percent of their target minimum,
actual target, and maximum. The worksheet also displays the worksheet amount and
percentage of eligible salary column that you can modify. The target percentage
columns display only if you define a Standard Rate for eligible salary and the
corresponding target amount.
The application uses the following icons to indicate the target status for the worksheet
amount:
3-74 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
• Circle – On target
• Green arrow pointing upwards – Above target
• Green arrow pointing downwards – Below target
• Red arrow pointing upwards – Above target maximum
• Red arrow pointing downwards – Below target minimum
Use the quick fill feature to select individual values and display them in the worksheet
amount column. You can also do a mass selection for all eligible employees using links.
These links are only visible for the respective target minimum, target, or target
maximum you define for the plan. The mass selection feature only applies target
amounts to employees filtered and displayed in the target view.
Personalize By Plan
Plan-level personalization allows you as a professional user to configure the worksheet
groups and the information that managers are able to view and update. This enables
you to use personalization to have multiple and different views of the same
information.
For instance, you can configure worksheets so managers can:
• View compensation history
• View job information
• View previous employee performance ratings
• Perform employee evaluations
• Award allocations
You can use personalization to move columns into a more meaningful arrangement,
choose to display or not display items, render columns read-only, and rename columns
to match your business terminology. Use Plan Design Copy to copy plan
personalization for custom and dynamic columns.
You enable self-service personalization through the System Profiles window using the
System Administrator responsibility.
1. Navigate to Profile > System.
2. In the System Profile Values window, select either the Site or the Responsibility
check box to enable personalization at the appropriate level.
3. In the Find field, search for the Personalize Self Service Definition Profile.
Compensation and Awards Management 3-75
4. Select Yes for either Site- or Responsibility-level, as appropriate.
Important: Your system administrator must bounce the Apache
server before personalization is enabled in Self-Service.
Note: Use Oracle SSHR to complete the following steps:
5. Log into the Manager Self-Service responsibility, and select Compensation
Workbench.
6. On the Home page, select the plan, the allocate compensation task or the set the
budgets task, and then the view you want to personalize.
7. Click the Personalize This Region for Benefits Plan Design link.
Note: The left side displays all Available Columns you can choose
to display in the view for the selected plan; the right side lists the
Columns Displayed in the view for the selected plan.
8. Select items to add or remove by highlighting them in either column and using the
appropriate left or right arrow on the slider. Additionally, you can reorder the
sequence of columns displayed by using the up and down arrows on the slider.
9. To change the name of a column, click Rename. Select the item you want to rename
and change the name.
10. Save your work.
11. Click Apply to save your changes to the view, or click Delete to cancel your
changes.
Note: Click Delete Customization to return to the original design of
the view after changes have been applied.
Viewing Appraisal Details in Compensation Workbench
To view your employees' latest completed Performance Appraisal details in the
Compensation Workbench worksheet without switching responsibilities to
Performance Management, do the following:
1. Select the Performance Appraisal value using the Plan Enrollment Requirements
window to ensure that the CWB Worksheet displays the Performance Appraisal
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details.
Note: If plan enrollment requirements are set up appropriately, the
Participation batch process will pass the (completed) appraisal ID
of each employee to CWB. Running both the Single Person
Participation and the Refresh processes will also perform the same
action. Running the latter processes may be useful if more
employee appraisals are completed after the plan is already open
(assuming the completed date is on or before the plan's life event
date).
See: Defining Enrollment Requirements for Compensation Workbench Plans, page
3-57
2. Run the Participation Process for a plan with the enrollment requirements
configured to view Performance Appraisal details
See:Running the Participation Process: Compensation Workbench, page 3-106
3. Personalize the worksheet for the group plan by adding the new Appraisal Details
field:
1. Navigate to the Compensation Workbench homepage using a CWB
responsibility.
2. Select a plan and click the worksheet allocation Task icon.
3. Click the Personalize for Selected Compensation Plan link.
4. Select Appraisal Details from Available Items and move it to the Displayed
Items column and click Save.
5. From the CWB worksheet, click on the enabled icon in the Appraisal Details
column to view an employee's completed performance appraisal.
Note: The Appraisal icon is highlighted only for employees
who have a completed appraisal with a completed date on or
before the life event date of the CWB plan
Configuring Descriptive Flexfields Within Compensation Workbench
You can configure thirty descriptive flexfields for use on the Worksheet Detail Table.
System Administrators can define these descriptive flexfields also known as CPI
flexfields. These flexfields enable managers to enter values within Compensation
Workbench.
Compensation and Awards Management 3-77
You cannot download data stored on Compensation Workbench flexfields to Microsoft
Excel and this data is not a part of the grouping criteria on the Allocation page,
Summary by Directs report, and the Stock Option History report. To create a default
value for the flexfields, you must use the Custom Columns. The values of these
flexfields are stored in the BEN_CWB_PERSON_INFO table.
You define the Descriptive Flexfields from the Access Descriptive Flexfield Segment
window.
Define the flexfield, and the table query to add a Poplist or a List of Values. Avoid using
multiple contexts when you define a flexfield - use only the Global context for the
flexfield definition, and disable all others. Hide the context, and do not make any
context mandatory. Include and Rename the Columns on the Compensation Detail
report using Personalization by Plan. Configure the Downloads to have proper column
heading names, and configure the view name for use in the Allocation Wizard,
Summary By Directs Report, and the Stock Option History Report. To do this, access the
Lookup Type BEN_CWB_MATRIX_ROW_CRITERIA, and
BEN_CWB_MATRIX_COLUMN_CRITERIA, and rename the Descriptive Flexfield or
the Custom Column and disable any Descriptive Flexfields or Custom Columns you do
not use.
To personalize your views in the CWB user interface:
Important: Ensure that personalization links are turned on and that you
have run the Participation Process: Compensation Workbench.
1. Select the Plan from the homepage and continue to the Worksheet
2. Click the Personalize Page link.
3. Choose a personalization level, and ensure that PelFlex is a displayed column.
4. Define the Flex Settings and apply.
Note: In the Flex Segment List, you must enter the Segment
Information using the following structure:
ContextName|SegmentName1|SegmentName2|"ContextName2"|
SegmentName3|SegmentName4
Example: Global Data Element|Compensation Month|Misc Use
Important: Spelling must match exactly as defined in the Flexfield.
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Configuring Dynamic Columns Within Compensation Workbench
Using dynamic columns, you can configure unique worksheet columns to display
calculated values, fixed values or messages based on defined conditions. You can use
dynamic columns to define calculations, conditions for 20 custom and rate columns,
and define messages. Use custom attributes 1-10 for non-numeric values and 11-20 for
numeric values. You use custom columns and rate columns to display the results of
calculations or conditions you define in dynamic columns.
For details about custom columns, see: Configuring Custom Columns Within
Compensation Workbench, page 3-80
Configure dynamic columns to do the following:
• Calculation: To display a fixed value based on other numeric columns that use
basic math operations such as addition, subtraction, multiplication, and division.
Example
New Salary + Bonus = Total Compensation Amount or Last Year Bonus/Bonus
Amount * 100 = Percentage Change from Last Years' Bonus
• Condition: To display a fixed value or a regular value based on values of other
columns that the application determines based on your choice of multiple relational
operators such as ends with, is between, is greater than, is less than.
• Message: To display an error message or an information message on satisfying a
condition.
To configure dynamic columns:
1. On the Compensation Workbench Home page, select the plan to personalize.
2. Select the Allocations task.
3. Click Personalize Dynamic Columns.
4. On the Dynamic Columns page, select the column to personalize and click the
Define Column icon.
5.
On the Define Dynamic Column page, select the type of dynamic column.
You can choose Calculation, Condition, or Message.
6. Enter a value in the Execution Sequence field.
The application uses the calculations or conditions in this sequence starting with the
lowest number in the sequence.
If you select Calculation as the type of dynamic column in Step 4, then complete
Compensation and Awards Management 3-79
Steps 7 to 11.
7. Enter a sequence number.
8.
Select a Column, such as New Salary.
9. Select an Operator, such as Divided By.
Note: You can specify a Fixed Value only if you choose the column
as Fixed Value.
10. Click Add Another Row and follow Steps 6 to 9 to enter more rows for the
calculation.
11. Click Apply to save and calculate.
12. If you select Condition as the type of dynamic column in Step 4, then complete
Steps 13 to 22..
13. Enter a sequence number.
14. Select a Column.
Note: If you select a Fixed Value Column, enter a value in the
Column Result field.
15. Click the Conditions icon to display the Define Conditions page.
16. Enter a Sequence number. This is the order in which the application evaluates
conditions.
17. Select a Column for example, Eligible Salary.
18. Select an Operator, for example, Is Between.
19. Select an attribute in Attribute 1 Column and Attribute 2 Column (such as
Amount), and enter values for each attribute. For example, enter the Value 0 for
Attribute 1 Column and Value 100 for Attribute 2 Column.
Note: You need to enter this value if you select Is Between as an
operator.
20. Optionally, select a value from the And/Or list.
21. Click Add Another Row and follow Steps 11 to 19 to enter more rows for the
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condition.
22. Click Apply to save your work.
23. If you select Message as the type of dynamic column in Step 4, then complete
Steps 24 to 27.
Note: You can specify messages only on Custom Columns 1-10.
24. Enter a sequence number.
25. Choose a message from the predefined list.
26. Specify if the message is an error or an information message.
27. Define Conditions by following Steps 13 to 22.
Configuring Custom Columns Within Compensation Workbench
You can use custom columns to group data for view on worksheets or for reporting
purposes.
To configure custom columns:
1. Write your PL/SQL code to retrieve the values for a custom column and add this
code to a custom column hook. This procedure is predefined blank and is called
ben_cwb_custom_person_pkg. There are twenty separate functions in this for each
corresponding custom column. These are called get_custom_segment1,
get_custom_segment2, and so on.
2. Compile the package on the database. The application executes this logic when you
run the Participation Process: Compensation Workbench or the Compensation
Workbench Refresh process.
3. Configure the worksheet through Personalization to rename the column heading
appropriately and include the column on any worksheet.
4. Optionally, configure the Compensation Detail report columns to include the
custom column.
5. Configure the Downloads to have provide valid column heading names.
See: Downloading to Excel using WebADI, Oracle HRMS Configuring, Reporting, and
System Administration Guide.
6. Configure the correct grouping name for use in the Allocation Wizard Matrix,
Compensation and Awards Management 3-81
Summary By Directs Report, and the Stock Option History Report. To do this,
access Lookup Type BEN_CWB_MATRIX_ROW_CRITERIA and
BEN_CWB_MATRIX_COLUMN_CRITERIA and rename the Custom Column.
Configuring Employee Statements For Use by Managers Within
Compensation Workbench
You can configure and use Employee Statements to communicate with employees. Use
this to inform employees about promotions, raises and any other information.
Compensation Workbench uses Document Management and XML publisher to create
an Adobe Portable Document Format (PDF) file of these employee statements, which
you can generate and print.
To configure employee statements:
1. Create an Employee Statement template in Microsoft Word or WordPad.
2. Format the statement including any text and data tags based on your requirements.
Data tags are placeholders for employee specific data that the application merges
into the individual statement for each employee. You can use any text for the tag
name. Ensure you format the tag , for example,
3. To display your company logo, paste a .jpg file in the template.
4. To display text conditionally, use the tags. The application
displays any data you enter between these tags if the condition is met.
See: My Oracle Support Note ID 311702.1 for more information on available tags.
5. Save the template as a .rtf file.
6. Log into Oracle HRMS using a Super HRMS Manager responsibility that has the
Document Management menu item associated with it.
7. Navigate to the Document Management page.
8. Click Create Group to create a group to contain the document you created.
9. In the Define Group page, enter a Group Name and a Short Name.
10. Click Apply.
11. In the Map Documents to Group page, click Create Document.
12. In the Define Document page, enter a Document Name.
13. Select Compensation Workbench as the Document Category.
3-82 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
14. Enter a Short Name for the document.
15. Select an effective date for the document.
16. Select Upload a new file, and browse to select the .rtf template you created.
17. Click Continue.
18. In the Define Document: Attribute Mapping page, map all the tags you defined to
the appropriate data attribute.
19. Click Finish.
20. In the Map Documents to Group page, search for, select your document and click
Go.
21. In the Define Document Properties page, click Finish.
22. Navigate to the Plans window.
23. Query the plan for which you created the statement template, and click Details.
24. Select the Compensation Workbench tab.
25. Add Employee Statement as a new Task Type.
26. Use the HR Professional responsibility and navigate to the Compensation
Workbench Home page.
27. Click Plan Administration.
28. Select the plan for which you created the employee statement and click Continue.
29. In the Plan Hierarchy page, click the Details icon for the group plan.
30. Select the group that you defined for your template from the Employee Statement
Template list.
31. Click Apply Updates.
32. Run the Participation Process: Compensation Workbench. Line managers will see a
new task Employee Statement for the group plan to which you added the employee
statement. They can select one or more employees and click Generate Statements.
They can click Open to view the employee statement, and print or email it.
Related Topics
Document Management, Oracle HRMS Deploy Self Service Capability Guide
Compensation and Awards Management 3-83
Capturing Grant Price With a Stock Option Element Entry
You can capture grant information of any type (Grant Price, Vesting Schedule, Expire
Date, Lot Number, etc.) in the same element entry as a separate input value.
To set up extra stock option input values for use in Compensation Workbench, do the
following:
Define a formula:
1. Navigate to the Formula window.
2. Enter a Name for the formula.
3. Select Extra Input as the formula type.
4. Click Edit.
5. In the Edit Formula window, enter the formula values as shown in the example that
follows:
GRANT_PRICE = 24.13
GRANT_DATE = "01-MAR-2005"
VEST_SCHED = "YEARLY = 4 YR"
LOT_NAME = "A45B19"
EXPIRE_DATE = "01-MAr-2015"
GRANT_TYPE = "ISO"
GRANT_TICKER = "ORCL"
6. Click Verify.
Define an element and input values:
1. Navigate to the Element window.
2. Enter the Name for the element.
3. Select Supplemental Earnings as the Primary Classification.
4. Click Input Values.
5. In the Input Values window, create input values that represent the amounts to
display in Compensation Workbench. Ensure you include input values for the
values you defined in the formula.
6. Save your work.
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Link the element and formula to the CWB Amount Standard Rate:
1. Navigate to the Standard Rates window.
2. Query the CWB Worksheet Amount Standard Rate.
3. Select the Element and Input Required check box.
4. Select the Element you defined for the stock option plan.
5. Select the Input Value to display in Compensation Workbench, for example, Shares.
6. Select the formula you defined in the Extra Input Rule list.
7. Click Extra Inputs.
8. In the Extra Input Values window, map the remaining input values to the
appropriate formula return variables you defined.
9. Run the Compensation Workbench Participation Process.
Compensation and Awards Management 3-85
Reports and Notifications
Reports in Compensation Workbench
Compensation Workbench includes the following reports:
Report Name Use Further Information
Compensation Detail Managers and Administrators
use this report to view details
of a compensation plan in a
single report. The report
displays a summary of
employees receiving
compensation under the plan,
details about their award, and
assignment information.
You can download data using
Web ADI for this report.
See: Compensation Detail
Report, page 3-89
Combined Plan View Managers and administrators
use this to compare results of
different compensation plans
in one report
See: Combined Plan View
Report, page 3-90
Employee Stock Option
History Report
Managers and administrators
use this report to view stock
option history for current
employees, including an
estimated walk-away value at
a summary and employee
level.
•
Load the
BEN_CWB_STOCK_OPT
N_DTLS table
•
Set the system profile
BEN: CWB History Type
Display to Extended
Stock Option History to
display this report
See: Employee Stock Option
History Report, page 3-91
Flexible Summary Managers use this to view
summarized compensation
information for each direct
report. Use this to view
allocations you made for
example, allocations for a
country or a job.
You can download data using
Web ADI for this report.
See: Flexible Summary
Report, page 3-91
3-86 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Report Name Use Further Information
Administration Progress
Report
Administrators use this report
to obtain a progress report for
any global plan after running
the Participation Process:
Compensation Workbench ,
during the allocation period,
or after running the
compensation post process.
See: Administration Progress
Report, page 3-92
Employee Compensation
History Report
Managers use this to view the
compensation history for an
employee irrespective of the
current compensation period.
See: Employee Compensation
History Report, page 3-93
Audit History Report Administrators use this report
to track changes managers
make to records in CWB. The
report tracks changes such as
Update Stated Salary and
Update Performance Rating.
See: Audit History Report,
page 3-94
Manager Feedback Report Administrators use this report
to view consolidated manager
feedback about the
Compensation Workbench
system. The report provides a
summary region that
provides the count of
managers who rated
Compensation Workbench.
Configure the ratings using
the
BEN_CWB_SUBMIT_FEEDB
ACK lookup type.
See: Manager Feedback
Report, page 3-94
Salary Statistics Report High-level managers and HR
Professionals use this report
to get an insight into the
details of the enterprise's
salary expenses. The report
provides details of the total
salaries, mean and median
salaries, growth of salaries
over time. The report also
displays how salaries line up
against defined measures
such as grade ranges or
market data.
Use the BEN: CWB Plan
Context for Stock Option
Reporting profile to configure
the group or local plan for
which you want to view
salary statistics.
See: Salary Statistics Report,
page 3-95
Compensation and Awards Management 3-87
Report Name Use Further Information
Post Process Run Reports Compensation administrators
use this report to view details
of the Compensation
Workbench: Post Process,
including the following
additional reports:
•
Post Process Audit
Report - displays all
successes and failures on
the post process, showing
local and corporate
currency amounts.
•
Post Process Summary
Report - displays a
summary of data
proposed in CWB versus
the actual data posted to
Oracle HRMS.
You can download data using
Web ADI from the Post
Process Audit report.
See: Post Process Run
Reports, page 3-96
If you need to see additional reporting information, you can create other reports using
Discoverer (which requires an HR Intelligence license). All Compensation Workbench
tables are available to System Extract and the Discoverer end-user layer.
Web ADI
You can download several of the reports, the Budget worksheet, and the Allocation
worksheet to an .xls file using Oracle Web Applications Desktop Integrator (Web ADI) a
Self-Service application accessed using a browser. Managers do not need to install Web
ADI on their own computer. Processing takes place on the server rather than on the
individual's machine.
When you select a report, Web ADI generates an .xls document on your desktop and
downloads the data from the report. You can edit and modify the document if
necessary, and upload from Web ADI into Compensation Workbench. You can
download and upload CPI flexfield attributes, amounts, ranking, and rating data using
Web ADI.
For information on how to configure Web ADI, see: Configuration of Data Download
and Upload Using Web ADI, Oracle HRMS Configuring, Reporting, and System
Administration Guide
See also:
• Data Download Using Web ADI, Oracle HRMS Configuring, Reporting, and System
Administration Guide
3-88 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
• Data Upload Using Web ADI, Oracle HRMS Configuring, Reporting, and System
Administration Guide
Notifications in Compensation Workbench
The following events trigger notifications within Compensation Workbench:
Notification Use
Publishing a Budget The application sends this FYI notification to
lower managers receiving a budget
Submitting for Approval The application sends this FYI notification to
the manager one level up
Recalling Your Worksheet The application sends this FYI notification to
the approving manager
Rejecting the Worksheet The application sends this FYI notification to
the manager whose worksheet you reject
Manager's Change of Access The application sends this FYI notification to
the manager whose access levels you change
Request for Reassignment The application sends this action-required
notification (AME defined) to the manager
one level up from the initiating manager.
Alternatively, you can configure this
notification so it is approved automatically.
Request for Eligibility Change The application sends this action-required
notification (AME defined) to the manager
one level up from the initiating manager.
None of the transactions performed within the Administration pages trigger
notifications.
See: Creating Mass Notifications for Compensation Workbench, page 3-111
Final Notification From Highest Level Approver
To receive a notification when all approvals are complete, define an HR role using
Transaction Maintenance, choosing a role type of Compensation Administrator, and
selecting the appropriate person in the User field.
Compensation and Awards Management 3-89
Compensation Detail Report
Managers and Administrators can use the Compensation Detail report to view
employee details in plans such as Salary Plans, Bonus Plans and Combination Plans.
Administrators can view reports for employees within their security profile by checking
the Do Not Restrict by Hierarchy check box on the report.
You can use filters such as Compensation Plan, Period, Country and Business Group for
filtering the reports.
The Compensation Detail report displays several tabs including:
• Employee Details
• Compensation
• Compensation: Option 1
• Compensation: Option 2
• Compensation: Option 3
• Compensation: Option 4
• Salary Statistics
• Job Changes
• Manager Hierarchy
• Performance
The auto hide, hidden and visible columns include:
• Employee Name
• Manager
• Person Flex
• Job Flex
• Currency/Units
• Eligible Salary
• New Salary
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• Grade
• Range Midpoint
• New Performance
• Ranking
• Prior Job
• New Position
• Worksheet Manager
• Level 1 Manager
• Level 3 Manager
You can download the Compensation Detail report to a spreadsheet using Oracle Web
ADI.
See
ata Download and Upload Using Web ADI, Oracle HRMS Configuring, Reporting,
and System Administration Guide
Combined Plan View Report
Managers and administrators use this to compare results of different compensation
plans in one report.
You can configure this report to view up to six compensation plans in a single report.
You can only select those plans for which you have Read-Only or Full Access, and
which contain rates.
Before using this report, the administrator must set the BEN: CWB Plan Context for
Reporting profile option to the name of the group or local plan for which you want to
view this report.
See: BEN: CWB Plan Context for Reporting, Oracle HRMS Configuring, Reporting, and
System Administration Guide
You can personalize the following columns:
• Employee Country
• Employee Job
• Latest Performance Rating
• Latest Ranking
Compensation and Awards Management 3-91
• Eligible Salary
• Amount as a percentage of the eligible salary
• Allocation Amount
• Currency
• Base Salary
• New Salary
Employee Stock Option History Report
You can use this report only if you upload the BEN_CWB_STOCK_OPTN_DTLS table,
and set the system profile BEN:CWB History Type Display to Extended Stock Option
History. Additional profile options that affect the display of the report are:
• BEN: CWB Estimated Market Price - Configure this profile at the site level to store
the estimate market price to calculate the walk-away value of stock option grants.
• BEN: CWB Plan Context for Reporting - Use this profile to configure the plan and
period to use to obtain employee related information for summarizing such as Job
or Performance Rating.
The report contains the following tabs:
• Employee Information: displays data for direct employees only, all employees, or
all employees of a direct reporting manager.
• Summary Information: displays data for a group of employees, who meet the
selection criteria for the parameters you select.
You can view the walk-away value which is the value the employee would forfeit if
they were to leave today. The walk-away value is the Estimated Market Value Grant
Price multiplied by the number of unvested shares.
Flexible Summary Report
Use this report to display summarized compensation information for each manager's
direct reports. You access this report from the Compensation Allocations worksheet.
Managers can change the context of the report to further break down results by country,
grade, job, or performance rating for example. This report enables managers to verify
that allocations have been distributed in a fair manner across all direct reports.
The report displays the following tabs:
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• General Summary - provides a summary of amounts budgeted and allocated, the
number of eligible employees and the number of employees who actually received
compensation.
• Advanced Statistics - provides statistical information such as the mean and median
of amounts allocated as well as the standard deviation of the highest and lowest
amount allocated for the plan.
• Grade Statistics - if you use grades and grade ranges, then this tab displays the
number of employees in each quartile based on their new compensation and the
compensation immediately before the current award. It also displays the number of
employees above or below their range, and median comparatio.
Administration Progress Report
As an administrator, you use this report to obtain a progress report for any global plan.
You can access this report from the Administration Page for any plan after you run the
Participation Process: Compensation Workbench, during the allocation period, or after
running the compensation post-process. The report displays data dynamically based on
real-time data, and contains the following sections and information:
Section Information
Manager Status Provides a summary of all tasks for all
managers and displays how many are
complete, in progress or not started; number
of worksheets submitted or not submitted;
number or worksheets approved, pending
approval, rejected, processed; summary of
manager access levels.
Employee Event Status Displays group and local plan names, life
event names, and number of life events
started, processed, and backed-out.
Employee Eligibility Status Displays local plan and option names and
number of employees eligible and not eligible.
Worksheet Rate Summary Displays a list of all eligible employees, local
plan and option names, and a total of all
worksheet amounts, number of employees
with compensation, total eligible salaries, total
compensation, and so on.
Compensation and Awards Management 3-93
Section Information
Budget Rate Summary Displays information about all local plans and
options, eligible employee count, manager
count, total worksheet budget, currency or
units of awards.
Performance Rating Summary Displays a list of employee count and
percentage of total of each rating type.
Assignment Change Summary Displays the employee count and percentage
of total of each assignment change reason.
Post Process Results Displays a summary of all posted element
entries, posted salary or pay, and posted
assignment change or performances.
Employee Compensation History Report
This report displays the full compensation history for an employee irrespective of the
current compensation period, and enables managers to view all compensation,
supported by compensation history, such as Pay Rate, Bonus, Overtime, Commissions,
and Other. The report displays the pay value of the element entry associated with the
CWB Worksheet Amount Standard Rate and the Compensation Category specified on
the rate in each pay period.
The report enables managers to:
• View compensation history for multiple employees at one time, in a corporate
currency, the employee's local currency, or their preferred currency for consistency
and ease of comparison
• View details of compensation for previous years
• View all employees in their team, directs only, or a subset of employees
• Isolate employees from the search results to display compensation history only for
those employees
• Compare compensation history of up to five employees in a single line graph.
• Use annualize amounts converted to a common currency
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Audit History Report
Since multiple managers can make changes to the same compensation plan in
Compensation Workbench, use Audit History to review those changes. You can view
these changes based on audit types for a specific plan and plan period or a specific
employee.
You enable audit types in the BEN_CWB_AUDIT_TYPE lookup type to define the
changes the report tracks.
You can view updates to the following:
• Compensation Amounts
• Eligible Salary
• Stated Salary
• Recommended Amount
• Eligibility Status
• Budget Amount
• Performance Rating
Manager Feedback Report
Administrators use this report to view consolidated manager feedback for
Compensation Workbench. When managers submit their work for approval, a
notification prompts them to supply feedback. Administrators use this feedback to
improve future compensation cycles and to make the entire process more effective and
user friendly.
You access this report from the Compensation Workbench Administration Home page.
You can run this report for any group plan to see how managers fared using
Compensation Workbench. The report displays a summary region that provides:
• The count of managers who rated Compensation Workbench. The rating options
are Excellent, Good, Poor and two configurable ratings that you configure using the
BEN_CWB_SUBMIT_FEEDBACK lookup type
• The percentage of managers who gave those ratings
The report also displays this information in graphical format.
In the details section of the report, you can view manager feedback by rating type or for
all ratings. The report provides the following details for the manager giving the
Compensation and Awards Management 3-95
feedback:
• Date
• Time
• Manager name
• Business group
• Rating
• Comments
You can also view employee number and email address of the managers if you enable
these using Self-Service Personalization. By default, these are hidden. You can also
choose to view only feedback that includes comments.
Salary Statistics Report
As a high-level manager or as an HR Professional, you can use the Salary Statistics
Report to get an insight into the details of your enterprise's salary expenses. You can
view the total salaries, mean and median salaries for your enterprise, and even growth
of salaries over time. The report displays how salaries line up against defined measures
such as grade ranges or market data. The report enables you to group salary data, so
you can compare data against different grouping criteria.
Before using this report, the administrator must set the BEN: CWB Plan Context for
Reporting profile option to the name of the group or local plan for which you want to
view salary statistics. Note that the Combined Plan View Report also uses this profile
option.
See: BEN: CWB Plan Context for Reporting, Oracle HRMS Configuring, Reporting, and
System Administration Guide
If you use annualized values, then the administrator must set the HR: FTE Factor profile
option.
See: HR: FTE Factor, Oracle HRMS Configuring, Reporting, and System Administration
Guide
When you run the report, you can set three parameters – country, type of employees to
include, and the currency to view amounts. These parameters apply to all regions of the
report and do not change when navigating from one region to another in the report.
This report displays:
• Analytics such as total salary, mean salary and median salary
• Salaries against grade rates and market data when available.
3-96 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
• Data in tables and graphs
• Data by groups of employees such as hourly and salaried, hourly only, or salaried
employees only who receive compensation for the plan. For global plans, the report
also displays data by country and currency for global plans.
The report organizes data into the following regions that display dynamically based on
the information available. These are:
• Statistics – this region displays the total pay, low, median and high pay a well as
the standard deviation for the selected plan. It enables you to group data by certain
criteria such as country, job, grade, etc. You can choose to use full-time equivalents
and display annualized values.
• Grade Ranges – if you use grades, then this region provides a list of all grades held
by the employees receiving compensation in the plan. It provides grade data as well
as statistics for employees in each of those grades.
• Quartiles – if you use grades and have defined grade rates, then this region
displays the number and percent of employees in each quartile. You can also view
counts by quintiles and deciles
• Comparatios – this region displays comparatios by 5, 10 and 15% increments. This
region enables you to group data by criteria such as country, job, or grade.
• Pay Growth Rate - if you award employees compensation in this plan in prior
periods, then this region displays the change in total pay over time. You can view
the change over 1, 3 and 5 years.
Post Process Run Reports
Compensation administrators use this report to view an online list of the Compensation
Post Process runs and access the Summary, Audit Log, and Error Reports generated by
the post process. You use this information to correct any errors that might occur during
the compensation cycle.
You can view the following reports:
• Audit Log Report - this displays all successes and failures on the post process,
showing local and corporate currency amounts for employees. This also displays
any employees that the application did not process because they were part of a
recursive hierarchy. You can access the report only if you have security access to see
the data. This report
• Provides a full and accurate picture of all amounts and assignment changes
proposed in CWB as well as those posted in the HR system.
Compensation and Awards Management 3-97
• Organizes data into tabs, which display processing statuses, allocations at the
plan or option level, assignment, and performance rating changes.
• Provides additional parameters to filter the report – the selection you make on
the Audit Log Report page apply to all the tabs for the report
• For global plans that use multiple currencies, displays amounts in local and
corporate currencies
• Summary Report - this displays the parameters executed by the process, and a
summary of the employees evaluated, compensation life events open and closed, as
well as the number of employees whom the process did not process. This report:
• Provides a full and accurate picture of all amounts and assignment changes
proposed in CWB as well as those posted in the HR system.
• Organizes data into tabs, which display processing statuses, allocations at the
plan or option level, assignment, and performance rating changes, assignment
changes, and error summary.
• Provides additional parameters to filter the report – the selection you make on
the Summary Report page apply to all the tabs for the report
• For global plans that use multiple currencies, displays amounts in local and
corporate currencies
• Error Report - this lists any persons evaluated by the process that erred or warned
and the accompanying error message.
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Plan Administration
Maintain Compensation Workbench Plans Mid-Cycle
Use Plan Administration to administer your Compensation Workbench plans after you
define them in Oracle HRMS using the Total Compensation data model.
Use the Plan Administration page to make updates to plans for the specific
compensation period. To make permanent changes, you must update the original plan
definition.
Note: The changes you make using the Plan Administration page are
not carried over to other plan periods and are lost when you run the
Compensation Workbench Back-out Life Events Process.
You can select any group plan to update. If you select a plan containing options, then
the plan hierarchy displays all the options separately. The application does not display
a hierarchy for Global Basic or Global Stand Alone plans.
You can make the following changes:
• Plan and Option names
• Plan status (Active, Inactive, Closed)
• Task types, names, sequences, and access levels
• Self-Service availability period
• Effective date of performance ratings or assignment changes
• Salary Change Reasons
• Select the template for Employee Statements
• Post Zero Salary Increase - select Yes to Post Zero Salary Increase to enable
recording of a zero change amount in salary proposals of employees who did not
receive any salary increase.
• Show Appraisals Completed in Last N Days - enter a value in the Show Appraisals
Completed in Last N Days field, as applicable. This allows the administrator to
control the period of time used by CWB to look back to show completed appraisals
from within the allocation worksheet. For example, if it is set to thirty days, then
managers will only be able to view appraisals completed by their employees in the
last 30 days (based on the effective date of the Participation Process). Any employee
Compensation and Awards Management 3-99
appraisals with a completed date earlier than that thirty day period will not be
visible from within the allocation worksheet.
• Grade Range Validation - select Error or Warning, or leave blank. When set to Error
or Warning, the application validates the employee's New Salary amount against
the employee's grade range (i.e. grade min and max values). Leave this field blank
(default), to not perform any validation. Select Error if you want the application to
display an error when the New Salary amount is outside the employee's grade
range and to prevent the allocation amount from being saved in the worksheet.
Select Warning if you want the application to only display a warning when the
employee's New Salary amount is outside of the employee's grade range and still
permit the allocation amount to be saved in the worksheet. Error or Warning values
must be selected every plan cycle.
Note: After you enter configuration details in the Show Appraisals
Completed in Last N Days field, you MUST run the Compensation
Workbench Refresh Process and select the Refresh Person option.
• Standard rate details
• Currency exchange rates
• Hide Options/Components
• Rounding/Formatting Codes
Note: To configure the number of decimal places to display for
budget and worksheet amounts that are expressed as a percentage
of eligible salary, you must set the following profile options:
• BEN: CWB Budget as Percent of Eligible Salary Decimals – set
this profile option to Yes if the application displays budgets as
percent of eligible salary
• BEN: CWB Allocation as Percent of Eligible Salary Decimals –
set this profile option to Yes if the application displays
decimals for percent of eligible salary based on allocated
amounts.
• Add new rows to refresh exchange rates for those currencies
Note: You must always run the Refresh Summary Batch process
after you change exchange rates.
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You cannot do the following:
• Add a new rate
• Update rate calculation definitions
• Update eligibility definitions
• Add a New Local Plan
• Add a New Option
• Add a New Task
• Change the Hierarchy Type Definition
Note: You can use this page to update details only after you run the
Participation Process: Compensation Workbench. All changes affect
only the specific period and do not affect the original plan definition.
Plan changes made here act as temporary overrides. The changes you
make here are lost and overridden during subsequent runs of the
Participation Process: Compensation Workbench for the same plan and
period.
You can also use the Plan Administration page to:
• View the entire hierarchy above an employee
• View an employee's extended job information
• Update performance information and ranking
• Update promotion and assignment change information
• Update Compensation Workbench Flexfield information
• Refresh person data from Oracle HRMS at any time
• Update an employee's Base Salary
• Run the Participation Process for a single person
• See a complete audit trail of all changes made in Compensation Workbench
• Include new custom attributes
• View pending eligibility changes made in (Self-Service) Compensation Workbench.
Force approve pending changes
Compensation and Awards Management 3-101
• View pending worksheet manager changes made in (Self-Service) Compensation
Workbench. Force approve pending changes
• View when a manager was processed only as a placeholder in the Single Person
Participation Process.
• Personalize Administration pages
Steps to Administer Compensation Workbench Plans
Use the following process to administer your Compensation Workbench plans after you
define them in Oracle HRMS using the Total Compensation data model.
For information about implementing compensation plans, see: Setting Up a
Compensation Plan, page 3-49
1. Run the Participation Process: Compensation Workbench.
Run this process prior to the availability period of Compensation Workbench to
prepare the Self-Service interface for data entry by your line managers.
The process assigns the compensation life event to a person and determines
eligibility and rates.
If you auto-issue budgets, the process updates the allocation worksheet for all
managers with a predefined budget amount that cannot be updated.
See: Opening a Compensation Workbench Award Cycle, page 3-103
2. If you do not auto-issue budgets, use roll-down budgeting to publish the initial
budget with the highest-level manager, or with multiple lower managers.
The highest level manager can then use Compensation Workbench to issue budgets
to lower level managers.
You include the budgeting task in the plan design if you do not auto-issue budgets.
You can define budgets as monetary amounts or as a percentage of eligible salary in
the Plan Enrollment Requirements window. You can also define the budget in
non-monetary units such as Shares or Stock Options.
See: Budgeting in Compensation Workbench, page 3-22
3. Run the Compensation Workbench Back-out Life Events process to remove the
results of the Participation Process: Compensation Workbench for a compensation
life event in the case of errors or changes in plan design. If you need to back-out a
compensation life event, you run this process before you run the Compensation
Workbench Post Process. You can, however, run the process any time before a
payroll run has processed your results.
See: Backing out a Compensation Workbench Plan, page 3-105
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4. If you need to run the participation process for employees not previously selected
for processing, new or terminated employees, or employees who had a status of life
event started, or for managers who are now eligible for awards, then run the
participation process for an individual even after you run the Participation Process:
Compensation Workbench for a plan. The Single Person Participation process
determines a person's eligibility for the plan and rates, and places the person in the
correct position in the hierarchy.
You run the Single Person Participation process for a single participant using the
Submit Requests window, or the Compensation Workbench Administration Home
page.
See: Adding an Individual into a Started Compensation Workbench Cycle, page 3-
106
5. Line managers use Compensation Workbench to enter compensation awards.
6. Run the Progress Report to monitor the progress of the compensation cycle for a
specific availability period and plan. You can run the report at any time after you
run the Participation Process: Compensation Workbench, during the allocation
period, or after running the Compensation Workbench Post Process. The report
results differ depending on when you run it during the compensation cycle. You
can run this report using the Submit Requests window or from Compensation
Workbench Administrators Home page.
See: Administration Progress Report, page 3-92
7. To update plan information mid-cycle, use the Plan Administration page.
See: Maintain Compensation Workbench Plans Mid-Cycle, page 3-98
8. Run the Compensation Workbench Refresh Process to refresh employee or plan
design data in Compensation Workbench.
See: Refreshing Compensation Workbench Data, page 3-109
9. Run the Compensation Workbench Mass Notification Process to generate approval
notice and other notifications.
See: Creating Mass Notifications for Compensation Workbench, page 3-111
10. Run the Compensation Workbench Post Process.
Run this process after all worksheet allocations have been approved to write the
distribution totals to enrollment results. This also posts assignment changes,
performance ratings and rankings.
See: Writing Allocated Amounts from the Compensation Workbench Cycle, page 3-
107
11. Optionally, perform enrollment overrides.
Compensation and Awards Management 3-103
If necessary, use the Enrollment Override window to override an amount for a
person after you run the Compensation Workbench Post Process.
Note: Values you enter in this window update element entries for
bonus and stock option plans. However, for salary plans, overrides
you enter on this window do not update the Salary page.
See: Overriding Enrollment Results for a Plan, page 6-77
12. Run the Close Compensation Enrollments Process.
Typically, you run this process for a bonus plan if you set the Close Enrollment
Date code to Processing End Date. This process closes the compensation life event
for one or more persons as selected by the batch process parameters.
You can run the Compensation Workbench Post Process to close the compensation
life event if you set up the processing end date as 'When elections are made.'
Typically, you run the Post Process for salary and stock option plans.
You do not need to run the Close process if you set up the Compensation
Workbench Post Process to close the compensation life event.
However, future-dated enrollments always require you to run the Close
Compensation Enrollments Process.
See: Closing a Compensation Workbench Award Cycle, page 3-112
Opening a Compensation Workbench Award Cycle
You run the Participation Process: Compensation Workbench before the availability
period of a compensation plan. The process determines eligibility, calculates rates, and
assigns the compensation life event to each eligible person.
If you auto-issue budgets, then the process updates the allocation worksheet with a
predefined budget amount for all managers.
If you do not auto-issue budgets, you use roll-down budgeting to publish the initial
budget with the highest-level manager, or with multiple lower managers. The highest
level manager can then use Compensation Workbench to issue budgets to lower level
managers. You include the budgeting task in the plan design if you do not auto-issue
budgets. You can define budgets as monetary amounts or as a percentage of eligible
salary in the Plan Enrollment Requirements window. You can also define the budget in
non-monetary units such as Shares or Stock Options.
Publish the budget for a plan so that managers can access the budget task.
You run this process from the Submit Requests window.
3-104 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
To run the Participation Process: Compensation Workbench:
1. Select Participation Process: Compensation Workbench in the Name field.
2. Enter the Parameters field to open the Parameters window.
3. Set the effective date of the process to a date on or after the assigned life event date.
4. Select Commit - Database will be updated or Rollback - Database will not be
updated in the Validate field.
Select Rollback to check your results before committing them to the database. It is
easier to correct errors before you commit results.
5. Select the compensation plan in the Group Plan Name field.
6. Select a year Period.
7. Select a Person Selection Rule to run the process for persons who match the criteria
of your rule.
8. Select a Benefits Group to limit the search to a benefits group.
9. Select Yes in the Audit Log to create a file that lists the eligibility results for each
person evaluated by the process.
Note: If the Participation Process: Compensation Workbench
detects a recursive hierarchy exists, then it continues to processes
the organization and creates an error log that displays the Person
IDs in the order Employee A, Employee B, Employee C, Employee
A in the format ~A~B~C~A to identify the location of the error. You
fix the error using Employee Reassignment.
If you select Yes, you should periodically run the Participation Audit Activity Purge
process to purge the audit log tables.
10. Click OK, and click Submit to complete the batch process request.
Publishing a Budget
Publishing the budget enables managers to access their budget tasks. Until you publish
the budget for a plan, the budget task is disabled and managers may not access the task.
You typically publish the budget with the highest-level manager, although you can
publish the budget at any level in the hierarchy. You can also publish more than 1
budget for a plan with multiple managers.
Use the Employee Administration link on the Compensation Administrators Home
Compensation and Awards Management 3-105
Page to publish budgets.
To publish a budget:
1. On the Compensation Administrators Home Page, click Employee Administration.
2. Search for and select the manager for whom you want to publish the budget.
3. Click the Details icon for the plan for which you want to publish the budget.
4. Select the Manager Information tab.
5. Enter either the Total Budget Amount (Published) or the Total Budget as % of
Eligible Salaries (Published), and the Budget Published Date in the Budget
Summary region.
6. Click Update to publish the budget.
Backing out a Compensation Workbench Plan
You run this process to remove the results of the Participation Process: Compensation
Workbench for a compensation life event in the case of errors or changes in plan design.
If you need to back-out a compensation life event, you run this process before you run
the Compensation Workbench Post Process. You can, however, run the process any
time before a payroll run has processed your results.
Note: Use caution if you run this process. Persons selected by the
process lose all rates assigned during the selected period--including
amounts they entered on a budget or worksheet, or an award
distributed to the person by another manager.
If you run the Compensation Workbench Back-out Life Events Process after running the
Compensation Workbench Post Process, then the application backs out salary proposals
but does not back out the performance ratings and assignment changes.
As an alternative to backing-out the compensation life event, use the Enrollment
Override window to override an activity rate result for a person, or use the Plan
Administration page.
You run processes from the Submit Requests window.
To run the Compensation Workbench Back-out Life Events Process:
1. Select Compensation Workbench Back-out Life Events Process in the Name field.
2. Enter the Parameters field to open the Parameters window.
3-106 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
3. Enter the effective date of the process.
Typically, this is the same as the To Occurred Date in step 6.
4. Select Commit - Database will be updated or Rollback - Database will not be
updated in the Validate field.
Select Rollback to check your results before committing them to the database.
5. Select the compensation Life Event to back out.
6. Enter the date range for which you want to back out results in the From Occurred
Date and To Occurred Date fields.
7. To further limit the persons evaluated by the process, select one or more of the
following parameters.
• Organization
• Location
• Person Benefit Group
• Legal Entity
• Person Selection Rule
8. Choose the OK button.
9. Complete the batch process request and choose Submit.
Adding an Individual into a Started Compensation Workbench Cycle
Run the participation process for an individual even after you run the Participation
Process: Compensation Workbench for a plan. The Single Person Participation process
determines a person's eligibility for the plan and rates, and places the person in the
correct position in the hierarchy. Run this process from the Administrator's page in
Oracle Self-Service Human Resources. The application processes the individual based
on one of the following Detected Processing Methods:
• Normal Processing - processes participants who were not selected for the run
previously
• Special Processing - processes participants who were not current employees as of
the plan design freeze date or the life event occurred date, for example, new
employees or terminated employees. You must select a valid override date that the
application uses to calculate eligibility and for employee data.
Compensation and Awards Management 3-107
• Reprocess - processes participants whom Compensation Workbench has already
processed with a started life event status. This process backs out and reprocesses
the person. The application reevaluates eligibility and recalculates rates.
Note: When you run this process, you lose any progress made
within Compensation Workbench for this person.
• Placeholder to Normal - processes managers who are now eligible for the award.
For example, as a manager, the person was not eligible for compensation, but at
least one of their lower employees was eligible. The application creates a
placeholder record for the manager to enable the manager to log into Compensation
Workbench and perform duties as a manager. This process converts the placeholder
to an eligible employee. This person now appears on another manager's worksheet
for compensation activities to begin.
Note: This process may result in loss of budget amounts previously
issued to the manager within Compensation Workbench.
The application creates a placeholder record for managers who are not eligible to
receive compensation under the plan, but who have employees under them who
are eligible.
To run the single person participation process:
1. Click Employee Administration on the Compensation Workbench Home page.
2. On the Employee Search page, enter the parameters to search for an employee.
3. Select an employee from the search result, and click Continue.
4. On the Plan Overview page, click Run Participation Process to run the participation
process for the selected employee.
Writing Allocated Amounts from the Compensation Workbench Cycle
You run the Compensation Workbench Post Process after line managers have approved
all budget and worksheet entries.
The process updates the database and writes the allocated amounts to an employee's
salary proposal record or to an element entry--for salary changes--or to element entries
for other activity rates (such as bonuses) if you attach an element to the applicable rate
when you define the rate.
You can selectively filter eligible employees for Post Process by using the Person
Selection Rule.
3-108 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
To use the Person Selection Rule during Post Process, ensure that you have defined a
FastFormula of type Person Selection.
See: Total Compensation Formula Types, Oracle HRMS FastFormula User Guide
See: Writing or Editing a Formula, Oracle HRMS FastFormula User Guide
You run processes from the Submit Requests window, or from the Compensation
Workbench Administration Home page.
Important: Ensure that you download the amount column to a
spreadsheet to upload the award effective date.
To run the Compensation Workbench Post Process:
1. Click Run Post Process on the Compensation Workbench Administration Home
page.
2. On the Run Post Process: Select Group Plan and Period for Processing page that
displays, select the plan to run the post process.
Note: You select the group plan here.
3. Select the Period to run the post process and click Next.
4. On the Run Post Process: Select Local Plans for Processing page that displays, select
the local plans to run the post process.
5. On the Run Post Process: Compensation Element Types and Effective Date
Overrides page, enter the effective date.
Note: For Non-Salary plans, you can override the Element Type
and Input Value. For salary plans, the application automatically
updated the element entries associated with an employee's pay
basis. You can override the dates that the Compensation becomes
effective. For Salary Plans, this is the Salary Change Date, for
Element Entries, this is the Effective Start Date.
To grant compensation on employee specific effective dates, ensure that you select
Yes in the Use Award Effective Date drop-down list.
6. On the Run Post Process: Assignment and Performance Effective Date Overrides
page, enter the Assignment Effective Date and the Performance Rating/Ranking
Effective Date.
Compensation and Awards Management 3-109
Note: If your setup does not allow assignment changes within
Compensation Workbench, then leave that column blank. If your
setup does not allow performance ratings or rankings within
Compensation Workbench, then leave that column blank.
7. On the Submit Request: Parameters page, enter the following details:
1. Select Commit - Database will be updated or Rollback - Database will not be
updated in the Validate field.
Note: Select Rollback to check your results before committing
them to the database. It is easier to correct errors before you
commit results.
2. Select Yes in the Audit Log to create a file that lists the results for each person
evaluated by the process.
Note: If you select Yes, you should periodically run the
Participation Audit Activity Purge process to purge the audit
log tables.
3. If you select Yes in the Audit Log field, then select a Debug Level from the list.
4. Select the name of a specific person in the Specific Employee Only list to run the
process for one person, or to test the process.
5. Select a manager's name from the Process Employees Under Manager list to run
the process for all employees in that manager's hierarchy.
6. Select a business group from the list of Employees in a Business Group to run
the process for all employees in that business group.
7. In the Person Selection Rule field, select the FastFormula you defined for
filtering employees for Post Process.
8. Click Submit.
Refreshing Compensation Workbench Data
Use the Compensation Workbench Refresh Process to refresh employee or plan design
data in Compensation Workbench. Administrators can also run this process to
recalculate summary data and to consolidate summary totals into a single row. You run
the Compensation Workbench Refresh Process from the Submit Requests window to
3-110 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
refresh employee or plan details. You can also run these processes from the
Compensation Workbench Administration Home Page as follows:
• Use the Employee Administration page to refresh employee details for a selected
employee
• Use the Plan Administration page to refresh plan design details for a selected plan
• As a batch process from the Compensation Workbench Home page to refresh plan,
summary, exchange rate, employee HR data or award effective dates within
Compensation Workbench.
To run the Compensation Workbench Refresh Process:
1. Select Compensation Workbench Refresh Process in the Name field.
2. Enter the Parameters field to open the Parameters window.
3. Select the Group Plan to refresh data for the plan.
4. Select the Period to refresh data for that period.
5. Enter the effective date of the process. If you do not set an effective date, then the
process uses the Freeze Date you specified in the Plan Enrollment Requirements
window.
6. Select Yes in the Refresh Summary list to run this process to recalculate summary
data. The summary data that is stored in BEN_CWB_SUMMARY table is the same
data that appears at the top of the budget sheet and worksheet pages. If summary
data is out of synch due to manual changes in the database, then you can run this
process to correct the data. By default, this is set to No.
7. Select Yes in the Refresh Person Info list to refresh Compensation Workbench
BEN_CWB_PERSON_INFO table with the latest Base Salary or Current Job
information details. By default, this is set to No.
8. Select Yes in the Refresh Plan Design list to refresh plan design data in the
BEN_CWB_PL_DSGN table. By default, this is set to No.
Note: If you want to make plan design changes after running the
Participation Process: Compensation Workbench, then you should
use the Plan Administration pages and make the updates
manually.
9. Select Yes in the Consolidate Summary list to consolidates all summary totals into a
single row. A single summary amount may consist of multiple records due to
Compensation and Awards Management 3-111
simultaneous updates in the system. You do not need to run this process in
conjunction with the recalculation process, as both processes consolidate
automatically.
10. Select Yes in the Initialize Rankings list to delete current ranking records in CWB.
11. Select Yes in the Refresh Exchange Rates list to refresh the exchange rates for the
plan.
12. Select Yes in the Refresh Worksheet Award Effective Date list to refresh employee
award effective dates in the allocation worksheet.
Note: If the Rate Start Date is set to Enterable in Plan Enrollment
Requirements, then setting this to Yes will reset all Award Effective
Dates to null in the allocation worksheet.
13. Click OK in the Parameters window.
14. Click Submit in the Submit Request window.
Restrictions
The Compensation Workbench Refresh process only overwrites previously stored
person and assignment data from Oracle HRMS into Compensation Workbench. The
process does not:
• Retain changes that you made using the Plan or Employee Administration pages
• Reevaluate eligibility
• Change the number of people processed by the Participation Process:
Compensation Workbench
Creating Mass Notifications for Compensation Workbench
Use this process to generate approval notice and other notifications as follows:
• All Approvals are obtained - to managers
• Compensation Period Commences - to managers
• Compensation Period is Ending - to managers
• Period Has Ended - to managers
• Mass Eligible Employee Notifications - to employees
3-112 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Note: Ensure you select Oracle Advanced Benefits as the application,
when you create messages for the Compensation Workbench Mass
Notification process.
Use the Compensation Workbench Administration Home page to run Mass
Notifications.
To run the Compensation Workbench Mass Notification Process:
1. Click Run Mass Notification on the Compensation Workbench Administration
Home page.
2. On the Schedule Request: Parameters page, select the Group Plan Name and the
Period.
3. Enter a Message Title. This is the title of the notification you send.
4. Select a Message Name and the Target Population.
5. Select an access level from the Managers with Access Level list to send the
notification to managers who have the selected access.
6. Select a Target Population Selection Rule from the list to send the notification to
select people based on the criteria specified in the rule.
7. Select Yes to Include Link to Compensation Workbench. By default, this is set to
No.
8. Select Yes to Resend If Previously Sent. By default, this is set to No.
9. Select a name from the Send a Notification to Username list to send a test mail.
10. By default, the Withold Notification (Report Only) list displays Yes, and the
application does not send the notification to the population that is to receive the
notification. This is useful to test the notification before you actually send it.
11. Click OK in the Parameters window.
12. Click Submit to run the process.
Closing a Compensation Workbench Award Cycle
This process closes the compensation life event for the selected persons when the
following conditions exist:
• The availability period for the compensation plan is passed
Compensation and Awards Management 3-113
• The final processing date for the plan is passed
You must run this process for each local plan that you define. You cannot run this
process for a group plan.
You must run this process only when the Close Enrollment Code for your plan is
Processing End Date as is used for bonus or stock option plans.
If you set the Close Enrollment Date code for a plan to When Elections are Made (such
as for a salary or stock option plan), you do not need to run this process. Run the
Compensation Workbench Post Process to close the life event.
You run processes from the Submit Requests window.
To run the Compensation Workbench Close Enrollment Process:
1. Select Compensation Workbench Close Enrollment Process in the Name field.
2. Enter the Parameters field to open the Parameters window.
3. Enter the effective date of the process.
4. Select the Program Name from the list.
5. Select the compensation plan in the Plan Name list.
6. Select a Location to close the compensation life event for persons who work in a
specific location.
7. Select the compensation Life Event to close.
8. Select an Assigned Life Event Date to close a life event that was assigned on a
particular date.
9. Select the name of a specific person from the Person Name list to run the process for
one person.
10. Select a Person Selection Rule to run the process for persons who match the criteria
of your rule.
11. Select Commit - Database will be updated or Rollback - Database will not be
updated in the Validate field.
Select Rollback to check your results before committing them to the database.
12. Select Yes in the Audit Log to create a file that lists the results for each person
evaluated by the process.
If you select Yes, you must periodically run the Participation Audit Activity Purge
process to purge the audit log tables.
3-114 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
13. Select a Close Mode.
• Force Close always closes the life event.
• Normal Close closes the life event based on the close enrollment date.
• Preserve Pending Transaction Closecloses life events only for participants with
no pending approvals. This process does not close life events for participants
with pending approvals. You can view the process log to identify the list of
these participants by the status Life Event is not closed due to pending
approvals.
14. Choose the OK button.
15. Complete the batch process request and choose Submit.
Compensation and Awards Management 3-115
Individual Compensation Distribution
Self-Service Individual Compensation Distribution
Important: This section is applicable for existing users who will
continue to use existing ICD. New users or existing users planning to
uptake new ICD must refer to 'Using Individual Compensation
Distributions: Line Managers, Employees and HR Professionals'
section. See: Overview: Individual Compensation Distributions for Line
Managers, Employees, and HR Professionals, page 3-129
Managers and other employees responsible for distributing compensation use
Self-Service ICD to assign one-time or recurring awards, bonuses, and allowances such
as housing allowances, spot bonuses, and company cars to qualified employees.
Employees use Self-Service ICD to enter voluntary contributions such as savings plans,
charitable organizations, and company perquisites.
Using Oracle HRMS, you can grant managers throughout your enterprise the authority
and ability to assign one-time or recurring awards, bonuses, and allowances to qualified
employees and other individuals using Oracle Self-Service Human Resources.
Components
Compensation managers use the Oracle HRMS professional user interface to define
components of the award or allowance. They also configure employee self-service ICD
for use by non-manager employees. The manager or the employee uses Oracle SSHR to
assign the award. Compensation managers set up the following:
• Plan Design - plan types, plans and options
• Enrollment Requirements for the Plan - coverage/rates start and end dates, action
items and certifications
• Activity Rates and Coverage Calculations for the Plan
You can also configure employee self-service ICD for use by non-manager employees. For
example, if your enterprise offers a charitable contribution plan or a savings bond plan
to which employees contribute at their own discretion, you can enable the contribution
through the self-service interface.
Using elements, you can process the distributions through Oracle Payroll. For recurring
distributions, you can define the distribution end date, or, using FastFormula, enforce
the total maximum distribution you allow in a period.
3-116 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Security Features
Security features in Oracle HRMS ensure that managers can assign a distribution only
to employees and contractors within their security group.
Participant eligibility profiles offer a further way to limit distributions to eligible
employees based on a range of criteria, such as assignment data.
Workflow Approval
Oracle SSHR predefines a workflow approval process that automatically sends a
notification to the supervisor of the manager, or the manager of the employee who
assigned the distribution. The supervisor or manager can either approve or reject the
distribution.
Individual Compensation Distributions (SSHR Components)
The Individual Compensation Distributions (ICD) module enables managers to assign
compensation distributions to employees. Use ICD for both one-time and recurring
awards, such as bonuses or allowances to employees.
You can also set up ICD for non-manager employees if your enterprise offers
discretionary contribution plans, such as a charitable contribution or savings bond plan.
The Benefits or Compensation administrator needs to define the individual
compensation distribution plans using Oracle Advanced Benefits or the standard
benefits features in Oracle HRMS.
See: Self-Service Individual Compensation Distributions, page 3-117
Menu and Function Names
This module can be accessed from the following menus and functions:
User Menu Name Function Name
Manager Self Service Individual Compensation Distributions
See: Defining User Access and Menus, Oracle HRMS Deploy Self-Service Capability Guide
Workflow
The workflow details for this module are listed below:
Compensation and Awards Management 3-117
Workflow Process Display Name:
Compensation Distribution
Configurable Workflow Attributes:
Not applicable
Configurable Tips and Instructions
Region Tip Type Message Name
Comp Plan Selection Benefits Communication
Type
CPS.PLAN_SELECTION_CO
NTENT
Compensation Update Mode
Selection Content
Long Message BEN_92737_COMP_UPD_M
D_INSTR
Compensation Details
Content
Benefits Communication
Type
CPD.
COMP_DETAILS_CONTENT
Compensation Review
Content
Benefits Communication
Type
(Review Page):
CPC.COMP_CONFIRM_CO
NTENT (Confirmation Page):
CPR.COMP_REVIEW_CONT
ENT
See: Adding Instructions to Web Pages, Oracle HRMS Deploy Self-Service Capability Guide
Configurable FlexFields
Not applicable
Configurable Profile Options
Not applicable
Setting Up Individual Compensation Distributions for Employees and
iRecruitment Applicants
As a compensation manager, you set up individual compensation distribution (ICD)
plans to define the components of an award or allowance. The line manager uses the
3-118 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
self-service interface to assign the award - setting the start and end date of the
distribution - while the back-office maintains control of the plan's administration. You
can set up compensation plans so that hiring or line managers assign benefits
components to applicants when they create or update offers in iRecruitment.
Follow these process steps to set up a variety of plans for ICD and iRecruitment offers,
such as:
• Periodic or spot bonuses
• Sponsored allowances
• Resettlement compensation
• Severance Payments
• Relocation
• Sign-on bonus
• New hire stock
• Other periodic or recurring awards
As a compensation and benefits administrator, you define plans for individual
compensation distribution and iRecruitment using the features of standard benefits or
Oracle Advanced Benefits following the guidelines in these sections.
• Define Plans, page 3-118
• Define Enrollment Requirements for the Plan, page 3-121
• Set Up Activity Rates and Coverages for the Plan, page 3-123
• Configure Web Pages, page 3-126
• Enter People for Test Purposes, page 3-126
• Set Up Employee Self-Service Access to ICD, page 3-127
Define Plans:
You set up plans for individual compensation distribution and iRecruitment by
defining the characteristics of the plan and any electable options in the plan. If
necessary, you can define participant eligibility profiles to limit the participants who are
eligible for the plan or option.
Compensation and Awards Management 3-119
To set up plans for self-service individual compensation distribution and
iRecruitment
1. Define the Plan Year start and end dates for the compensation plan. Set up several
plan years to account for future plan years.
See: Defining a Program or Plan Year Period, page 1-115
2. Optional: define a participant eligibility profile to control eligibility for the
compensation plan.
If you do not define a participant eligibility profile:
• ICD finds all employees and contractors reporting to the manager eligible for
the distribution.
• iRecruitment finds all applicants eligible for the compensation plans defined for
applicant offers.
Note: Set the participant eligibility profile status to active if you
define a profile.
See: Defining an Eligibility Profile, page 1-141
3. Set up one or more Plan Types to group the compensation plans you administer.
• Required: select an Option Type of Individual Compensation Distribution to
enable a manager to distribute the award or assign benefits to applicants. When
you define Plan Types for iRecruitment, select Enterable Amount or Select List
as the option for Self Service Display format. Currently the other self-service
options do not apply for iRecruitment plans.
• Optional for ICD: select a Compensation Category of Compensation for
reporting purposes or for system extracts.
You can choose to set up a single plan type for all your compensation plans, or you
can define multiple plan types for groupings of plans (Bonus, Allowance,
Severance, and others).
Note: You should base the number of plan types you define on
your reporting requirements.
See: Defining Plan Types, page 1-95
4. Required for iRecruitment: Define reporting groups to group the compensation
plans for iRecruitment. Select the purpose as iRecruitment to display the plans on
the Compensation page of iRecruitment.
See: Defining a Reporting Group, page 1-125
3-120 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
5. Optional: define the options in the compensation plan.
• Enter a user friendly option name to display in the self service web page.
• Select the corresponding plan type of each option.
Note: Use options when there is a logical grouping of choices
within a plan, such as a car allowance plan with options of BMW,
Honda, and Ford. For bonus plans, severances, and allowances, set
up each compensation type as a separate plan.
See: Defining Options, page 1-113
6. Define compensation plans for ICD and iRecruitment
• Enter a user friendly plan name to display in the self service web page.
• Select the plan type of the plan.
• Set the plan status to active. You can update the status to inactive if you need to
temporarily disable the plan.
• Select a Plan Usage code of May Not Be In a Program.
In the Not in Program tabbed region:
• Enter a sequence number that indicates the order in which the plan displays in
the self service web page relative to other plans in the plan type.
• Select the currency of the plan for monetary distributions. You do not enter a
currency for non monetary allowances, such as cars.
• Select the Activity Reference Period of the plan. For recurring awards, the
activity reference period is the period the manager sees when distributing the
award, for example, $100 per period.
For non recurring awards, you can select any activity reference period.
Note: For an iRecruitment plan, ensure that you select frequency
specific values such as Per Month or Per Year as the Enrollment
rate/frequency. As applicants are not assigned any payrolls, if you
select values such as Per Pay Period no plans will be displayed to
hiring managers when they create or update offers.
See: Defining a Benefits Plan, page 1-97
7. Link the Plan Years to the plan that you defined in Step 1.
Compensation and Awards Management 3-121
See: Maintaining Plan Related Details, page 1-106
8. If you defined options in Step 5, link the options to the plan.
• Set the status for each option to active. You can update the status to inactive if
you need to temporarily disable an option.
See: Associating Options with a Plan, page 1-104
9. Link a participant eligibility profile to the plan if you limit eligibility for the plan.
10. For iRecruitment: Define a single life event reason with the iRecruitment type.
Oracle iRecruitment uses this life event type to process compensation plans for
applicants.
See: Defining General Characteristics of Life Event Reasons, page 5-62
Define Enrollment Requirements:
You use the Plan Enrollment Requirements window to control the enrollment method.
ICD only: You can also set up required certifications that the individual must provide
before Oracle Payroll distributes the award.
To define enrollment requirements for ICD and iRecruitment plans
1.
Define enrollment requirements for the plan.
• Query the plan you defined in step 6 above.
• Select an enrollment method of Explicit.
• Check the Allows Unrestricted Enrollment check box.
• Select Current, Can Keep or Choose; New, Can Choose as the Enrollment code.
For ICD Plans
• If you define coverages, select a Coverage Start Date code of Enterable if you
want to let the manager enter the coverage start date. The application
distributes the award to Payroll following the date. If you do not want the
manager to enter the start date, select any other coverage state date code.
• Select a Coverage Start Date code of Event to set the start date to the system
date when the manager enters the self service web page. Use this code for
non-recurring awards. The application distributes the award to Payroll in the
following payroll period.
• Required: select a Coverage End Date code that corresponds to your Coverage
Start Date code.
3-122 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
• Activity Rate Start and End Date codes function similarly to coverage codes.
Choose Enterable for recurring allowances; for non-recurring allowances,
choose Event.
For iRecruitment Plans
You must define enrollment requirements by specifying coverage and rates start
and end codes.
General Tab
1. With the General tab and the Plan tab selected, select the Coverage tabbed
region.
2. Enter the enrollment coverage start and end dates to specify when the coverage
begins and ends for participants in the plan. For example, select Event as the
start date and 1 Day Before Event as the end date code.
3. Select the Rates tabbed region.
4. Enter the rates start and end date codes to specify when the activity rates start
and end for participants in this plan. For example, select Event as the start date
and 1 Day Before Event as the end date code.
When you set up compensation plans for iRecruitment offers, you must associate
the plans with the iRecruitment life event. When a hiring manager completes the
basic details of an offer and clicks Continue on the Basic Details page, the
application detects that the iRecruitment life event has occurred for the applicant
assignment and runs the Participation process. The Participation process evaluates
the eligibility for the applicant and displays the appropriate benefit plans in the
Compensation page.
Timing Tab
Define the following iRecruitment Life Event in the Life Event region of the Timing
tab to allow users to make or change elections.
• Select Enrollment Type as the life event.
• Select iRecruitment Life Event as the life event.
• Select a Coverage Start Date code of Event and select the corresponding code 1
Day Before Event as the end date code.
• Select Event as the Rate Start Date and select the corresponding code 1 Day
Before Event as the end date code.
• Select As of Event Date as the Enrollment Period Start date code and select a
Enrollment Period end date that corresponds to the Period start date such as
Thirty Days After Event Date or Sixty Days After Event.
Compensation and Awards Management 3-123
For information on compatible start and end codes, see the white paper, Oracle
Applications HRMS Compatible Start & End Date Codes, My Oracle Support Note ID:
247317.1
See: Defining Enrollment Requirements for Not in Program Plans, page 5-106
2. Optional for an ICD plan: for Advanced Benefits users, link one or more
certifications to the plan if you request or require certification from the participant
before you make the distribution.
Oracle HRMS supplies the certification types available with the application.
Note: If you require a certification, the application suspends the
payroll distribution of the award until the participant returns the
certification. A message displays to the issuing manager indicating
that the distribution is suspended.
See: Defining Certifications for Enrollment in a Plan, page 5-119
See: Defining an Action Item Due Date (Advanced Benefits), page 5-82
3. Optional for ICD: for Advanced Benefits, you can define communication types that
the application generates to inform the participant of a suspended distribution.
You set up a system extract to write the applicable information from the
communication type to a text file. You can then merge the data from the text file
into the body of the participant communication.
See: Defining Communication Types, page 5-180
Set Up Activity Rates and Coverages for the Plan:
You set up activity rates to define:
• The amount of a distribution (for fixed rate distributions) or to indicate that the
manager enters the distribution amount when the award is assigned in the
self-service web page.
Note: You can set up multiple activity rates for an ICD plan;
however, you can choose only one rate to display on enrollment to
the self-service user.
• The amount ranges that hiring managers can assign when they create or update
offers for applicants in iRecruitment
To set up activity rates for a plan
1.
Optional: set up an activity rate for an ICD/iRecruitment plan or option in the
following cases:
3-124 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
• You do not use coverages.
• You offer a monetary award and you want to distribute the amount of the
award to payroll.
• You create element entries for the award.
• You award a non monetary gift (defined as a coverage) and you need to keep
records of the taxable benefit.
• You want to control the maximum amount that can be distributed for a
recurring element.
Note: In order to control the maximum distribution amount, you
must configure Oracle Payroll using FastFormula.
Follow these guidelines when setting up the activity rate:
• Set the activity rate status to active.
• Indicate if the activity rate applies to a plan or to an option in a plan.
• Select any Activity Type code.
• Select a Usage code of Standard Contribution/Distribution.
• Select a Unit of Measure if the award is non monetary.
Note: If the Unit of Measure is monetary, do not select any unit of
measure.
• For ICD only: Select a rate certification type if you want to suspend the rate
until the appropriate certification is received and approved.
Define the calculation method for the activity rate.
• If the award is a flat amount, enter the value of the award.
• If the award is not a flat amount, check the Enter Value at Enrollment check
box. For recurring awards, the value the manager enters at enrollment is per the
activity reference period defined for the plan.
• Check the Assign on Enrollment and Display on Enrollment check boxes.
See: Defining Activity Rates for a Standard Contribution/Distribution, page 5-146
Compensation and Awards Management 3-125
Note: Steps 2 - 3 do not apply to iRecruitment plans.
2. Optional for ICD: define a variable rate profile if the activity rate varies according to
one or more factors, such as the assignment of the person to whom the manager
distributes the award.
You can also use variable rate profiles to define minimum and maximum
distributions, increments, and default rates.
See: Defining General Information for a Variable Rate Profile, page 5-156
3. Optional for ICD: create a taxable benefit rate for use with non monetary coverages.
You set up a taxable benefit rate for non monetary coverages like you define a
standard activity rate, with the following exceptions:
• Leave the Unit of Measure field blank.
• Select a Calculation Method of Multiple of Coverage.
• Uncheck the Enter Value at Enrollment field.
• Define a multiplier where the number represents the value of one non
monetary award.
• Select a Coverage Operator of Multiply by.
• Select a Rounding Code of Round to Nearest Hundredth.
• Uncheck the Display on Enrollment check box.
Note: You may have to define your coverage first before saving this
rate.
4. Optional for ICD and iRecruitment: create a Maximum Distribution Rate to
accompany the standard rate.
You set up a Maximum Distribution Rate like you define a standard activity rate,
with the following exceptions:
• Select an Activity Type of Total Distribution Limit.
• Leave the Unit of Measure field blank.
• Leave the Recurring field blank.
5. Optional for ICD: define coverages for the plan if:
3-126 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
• The award is non monetary and you do not want element entries created for the
non monetary award.
• The award is a non monetary gift (which is defined as a coverage) and you need
to keep records of the taxable benefit.
• You do not define standard activity rates.
See: Defining a Coverage Calculation, page 5-161
Follow these guidelines when you set up a coverage definition:
• Enter a name for the coverage.
• Select a coverage type.
• Select a Unit of Measure if the Type is not Coverage.
• On the Calculation Method Tab, select a Calculation Method of Flat Amount.
Note: If you want the user to enter the value during the enrollment
check the Enter Value at Enrollment check box. Otherwise, enter
the amount.
• For recurring distributions, the coverage amount is per the activity reference
period defined in the plan.
Note: You should set up no more than one coverage per
compensation plan or option.
Configure Web Pages:
To configure ICD web pages, use the Application Dictionary to configure the field
labels, hints, tips, and messages that display in an ICD web page. You can also
configure menu names, function names, and certain workflow attributes, see:
Individual Compensation Distributions (ICD), page 3-116
To configure iRecruitment offers pages, including the Compensation page, see: Setting
Up Offers, Oracle iRecruitment Implementation and User Guide
Enter People for Test Purposes:
You can enter sample people into the Oracle HRMS database to test your Individual
Compensation Distribution plan.
Define a Manager
Using the People window, define a manager with a date of birth, social security
Compensation and Awards Management 3-127
number, and address.
1. Enter an Assignment for the manager.
2. Check the Manager check box located in the Miscellaneous tabbed region.
3. Select the manager's GRE in the GRE tabbed region.
Define an Employee
Using the People window, define an employee with a date of birth, social security
number, and address.
Note: If you use eligibility profiles, make sure the test employee meets
your eligibility requirements.
1. Enter an Assignment for the employee.
2. Select the test manager you created as the employee's supervisor on the Supervisor
tabbed region.
3. Select the employee's GRE in the GRE tabbed region.
Create a User Name and Password for the Test Manager
As a system administrator, open the User Types window to define a user name and
password for the manager you created.
1. Link the Manager Self Service responsibility to the user name.
2. Save your work and close the window.
Assign an Individual Compensation Distribution to the Employee
1. Using the manager's user name and password, log on to Oracle Self Service HR.
2. Choose the Individual Compensation menu item.
3. Find the Employee you created.
4. Assign the individual an award.
Set Up Employee Self-Service Access to ICD:
You can configure ICD for employee self-service access. Use this feature if your
enterprise administers charitable contribution plans, savings bond plans, or service
recognition plans where you allow the employee to select from one or more awards.
3-128 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Note: You set up employee self-service plans as you would other plans,
using the professional user interface. However, you should include
employee self-service plans in their own plan type, so that participants
cannot view plans only available to managers.
To set up employee self-service access to ICD
1. Log in to Oracle HRMS using a System Administrator responsibility and open the
Form Functions window.
2. Choose the Description tab.
3. Enter a new function name--without spaces--in the Function field.
4. Enter a User Function Name for this function.
5. Select SSWA JSP Function as the function Type.
6. Optional: enter a Description of the function.
7. Choose the Form tab.
8. Enter the following parameter, substituting the function name you entered in Step 3
and your plan type IDs where indicated:
• pProcessName=HR_INDIVIDUAL_COMP_PRC&pItemType=HRSSA&pCalled
From=&PLANTYPE=
9. Choose the Web HTML tab.
10. Enter the following string in the HTML Call field:
• OA.jsp?akRegionCode=HR_CREATE_PROCESS_TOP_SS&akRegionApplicatio
nId=800
11. Save your work.
12. Close the Form Functions window and open the Menus window.
13. Add the function you just created to the Employee Self-Service Menu.
14. Save your work.
See: Defining Communication Types, page 5-180
See: Defining When a Communication is Used, page 5-181
Compensation and Awards Management 3-129
Using Individual Compensation Distributions: Line
Managers, Employees and HR Professionals
Overview: Individual Compensation Distributions for Line Managers,
Employees, and HR Professionals
Important: This section is applicable for new ICD users and existing
users planning on moving to the new ICD. Existing users must refer to
the 'Individual Compensation Distribution' section. See: Individual
Compensation Distribution, page 3-115
Often, organizations need an effective method of managing off-cycle compensation.
This is necessary to motivate workers to meet their business objectives and to quickly
react to changing business conditions. Individual Compensation Distribution (ICD) acts
as a framework that captures and manages data to administer monetary and
non-monetary awards for an individual.
Line Managers, Compensation Administrators, HR Professionals and Employees use
ICD to perform compensation related tasks.
To perform compensation tasks, you must setup ICD plans. Below is a graphic
overview of ICD plan administration.
Line Managers and Employees
Line Managers can control element entries and compensation awards using
compensation plans. As a self-service manager, you can record and manage adhoc
3-130 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
variable compensation such as bonuses, employee payroll deductions, enrollment or
registration of events, and non-payroll related information. Additionally, you can
extend these tasks to other self-service processes and element entries.
Employees can use ICD to self-enroll into company specific reward programs like
tenure gifts and travel allowance. Employees can also enroll in company stock purchase
plans by specifying a payroll deduction, or contribute to a company-supported charity
plan.
Below is a graphic representation of task flow associated with a manager and employee.
See: Line Managers and Employees, page 3-132
See: Manager Self Service Interface, page 3-133
See: Managing Ad-hoc variable Compensation, Payroll Deductions, Event Registrations
and Non-Payroll related Information, page 3-137
See: Awarding Ad-hoc Variable Compensation: Example, page 3-137
Administrators and HR Professionals
Compensation and Awards Management 3-131
Administrators can view and update compensation details, and control action items
such as, putting compensation on hold for a participant until the action item is
completed, override employee eligibility, view transaction history, control action items,
and use element entry forms.
Below is a graphic representation of task flow associated with an administrator and a
HR professional..
See: Administrators and HR Professionals, page 3-134
See: Employee Administration Interface, page 3-135
See: Configure Plans, Manage Eligibility, Transactions, and Action Items, page 3-136
See: Plan Administration using Quick Setup, page 3-136
3-132 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Line Managers and Employees
As a line manager, you can use ICD to allocate adhoc rewards to employees within your
reporting hierarchy such as lump-sum bonuses, spot bonuses, company stocks, and
special allowances for cars and house rent. You can award such compensation at any
time of the year. You can also update and delete compensation details entered into the
application.
As an employee, you can use ICD to self-enroll into company specific reward programs
like tenure gifts and travel allowance. You can also enroll in company stock purchase
plans by specifying a payroll deduction, or contribute to a company-supported charity
plan.
As a self-service manager, you can do the following using ICD:
• Enter compensation details in multiple input values associated with an element in a
compensation plan.
• Flexibly use the entire or a partial list of predefined input values associated with an
element.
• Grant multiple compensation (same or different types) awards to an employee
within a single transaction on the same or different dates.
• Update and delete active and future compensation awards. For example, update
compensation amount, change the effective dates or entirely delete the award, and
indicate a distribution end date for a recurring compensation within the same
transaction it is awarded.
• Review compensation details and submit for approval.
Menu and Function Names
You can access this module from the following menus and functions:
User Menu Name Function Name
Manager Self Service Individual Compensation Distributions
Employee Self Service Individual Compensation Distributions
See: Manager and Employee Self Service Interface, page 3-133
See: Managing Ad-hoc variable Compensation, Payroll Deductions, Event Registrations
and Non-Payroll related Information, page 3-137
See: Awarding Ad-hoc Variable Compensation: Example, page 3-137
Compensation and Awards Management 3-133
Manager and Employee Self Service Interface
The user interfaces for manager and employee includes the following four pages:
• Overview page
• Details page
• Review page
• Confirmation page
Overview Page
The Overview page is the first page that the ICD application displays. As a manager
you must select a person in your reporting hierarchy before starting a compensation
action in ICD. You can award new compensation and update or delete an existing
compensation. It is possible to perform multiple compensation actions such as create,
update and delete, within the same transaction starting on this page.
The table on this page displays active and future element entry records for an employee
as well as compensation records from temporary storage that are not yet submitted for
processing or approval or have been submitted but suspended or awaiting approval.
This table will filter compensation plans based on plan types specified in the menu
function.
Note: Element entries in this table for a person may originate from
sources other than ICD.
Details Page
When you click the Award Compensation button or the Update icon in the Overview
page, the application displays the Details page. You can select the compensation plan
type and enter related details on this page. You can additionally specify a start and end
date for a recurring compensation to indicate the distribution period. For a one-time or
non-recurring compensation, you must enter only the start date.
Note: If you enter the Details page in Update mode, you cannot change
the plan and option.
You can refer to the embedded instructions that are configured at the Plan level that the
application displays on selecting the Plan.
If you click the Apply button, the application transfers and displays the entered
information as a new record on the Overview page.
Review Page
The Review page displays all values including dates from the Details page. You can
3-134 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
enter the Review page by clicking Next on the Overview page.
On this page, you can submit data for further processing by clicking the Submit button.
If approval is configured for a transaction, on clicking the Submit button, the
application sends the data for approval. If approval is not configured, the data is
directly written into payroll element entries.
Approvers view the review page as part of notifications. When the transactions are in
the approval process, the application displays their status as Pending Approval in the
Overview page. On approval, the applications displays the corresponding element
entry record on the Overview page with the status as Applied. If transactions need
further information, then the approval process sends notifications to lower levels in the
hierarchy, with the status remaining as Pending Approval. If transactions are rejected,
then ICD notifies the lower levels in the hierarchy and these transactions are not
displayed as part of ICD.
Confirmation Page
This page displays the confirmation message after you review and submit transactions.
See: Managing Adhoc variable Compensation, Payroll Deductions, Event Registrations
and Non-Payroll related Information, page 3-137
See: Awarding Adhoc Variable Compensation: Example, page 3-137
Administrators and HR Professionals
As an HR professional or an administrator, you can perform the same tasks as line
managers but with additional capabilities using Individual Compensation Distributions
(ICD). You can manage and modify all transactions in the application, manipulate
action items, and override the eligibility of a person. You can take decisions on
transactions that are pending approval, or suspended because of required action items.
Additionally, you can override the eligibility or ineligibility date of a person to
accommodate unique business scenarios.
As an administrator, you can do the following using ICD:
• Configure the input value validation based on value sets, data types, minimum,
maximum and default, lookups, and fast formula.
• Configure element entry flexfields to capture compensation-related information for
an employee. For example, you can capture compensation justification in a flexfield
during the transaction and store it as part of the employee element entries
• Use the default input values as a fixed value or use a fast formula.
• Search for employees.
• View, update, and delete element entries that do not originate from ICD.
Compensation and Awards Management 3-135
• Control action items for compensation plans. For example, you can put
compensation on hold for a participant until the action item is completed.
See: Employee Administration Portal, page 3-135
See: Configure Plans, Manage Eligibility, Transactions, and Action Items, page 3-136
See: Plan Administration using Quick Setup, page 3-136
Menu and Function Names
You can access this module from the following menus and functions:
User Menu Name Function Name
HR Professional Individual Compensation Distributions for
Administrators
Employee Administration Interface
As an administrator, you must use the Employee Administration interface to manage
pending transactions, override employee eligibility, view transaction history, control
action items, and use element entry forms
The Employee Administration interface includes the following four tabs on the
Employee Administration page:
• Plan Participation
• Pending Transactions
• Action Items
• Eligibility
Plan Participation Tab
This tab displays employee element entries linked to compensation plans with any
status. You can view compensation plan details such as plan name, plan type, and plan
category. You can view element entry details such as element type, name of the element
type, recurring or non-recurring element, element start date and end date, and the
linked element entry. Additionally, you can view the element entry history.
Pending Transactions Tab
This tab displays incomplete transactions initiated from self-service pages. Pending
transactions are categorized into Saved, Pending Approval and Suspended transactions.
Action Items Tab
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On this tab, you can view action times linked to plans. Use this tab to complete pending
transactions, reopen completed transactions and delete transactions.
Transaction Page
You must use the Transaction page from the Actions Item tab to modify transactions.
You can modify updatable input values, date and justification.
To manually unsuspend a transaction that is suspended, use the Unsuspend button.
Eligibility Tab
You can evaluate employee eligibility to Compensation Plans and Options based on the
various parameters.
See: Configure Plans, Manage Eligibility, Transactions, and Action Items, page 3-136
See: Plan Administration using Quick Setup, page 3-136
Configure Plans, Manage Eligibility, Transactions, and Action Items
As an administrator, you can perform a number of tasks related to compensation plans
such as configure plans, manage pending transactions, override employee eligibility,
view transaction history, and control action items.
To manage plan administration from the Employee Administration page:
1. Create plan types, plans and options and standard rates using Quick Setup. See:
Plan Administration using Quick Setup., page 3-136
2. Navigate to the Employee Administration page and use the Plan Participation,
Pending Transactions, Action Items, and Eligibility tabs to perform the applicable
tasks. See: Employee Administration Interface., page 3-135
Plan Administration using Quick Setup
Oracle recommends you to use Quick Setup to configure a basic compensation plan
after elements are setup.
Using Quick Setup, you can quickly and efficiently set up new compensation plans
based on the definition of an element type and edit existing plans. Setting up
compensation plans creates options; plan types, rates, element types, element links,
eligibility profiles, standard rates, action items, plan enrollment requirements,
communications, and formula.
To setup compensation plans for an element, do the following:
1. Launch the Quick Setup function from the ICD Setup page.
2. Enter the effective date in the Effective Date field.
Compensation and Awards Management 3-137
3. Specify the applicable plan to link to the element. You can link an existing plan or
create a new plan and link it to the element.
4. Choose the appropriate option, if necessary.
5. Click Create to create the plan.
The plan table displays information such as element type, plan, option, plan type,
and plan type ID. The application displays the plan type ID for each plan type as a
reference point for administrators, as it is necessary for the plan type ID to be
specified in the employee or manager menu functions to filter compensation plans.
Managing Adhoc variable Compensation, Payroll Deductions, Event
Registrations, and Non-Payroll related Information
As a self service manager, you can award ad-hoc variable compensation such as
bonuses and employee payroll deductions, enrollment or registration of events and
non-payroll related information.
To award adhoc variable compensation:
1. Create compensation plans for employees using the Administrator responsibility
and Quick Setup. Seelan Administration using Quick Setup., page 3-136
Note: You can also create compensation plans using form from the
Professional User Interface.
2. Access the Manager Self Service Interface using the Manager Self Service
responsibility and award adhoc variable compensation. See:Awarding Adhoc
Variable Compensation: Example, page 3-137
Awarding Adhoc Variable Compensation: Example
You can award adhoc variable compensation such as bonus and payroll deductions,
enrollment or registration of events, and non-payroll related information to your
employees.
Below is an example on how you can award a bonus to your employee. Consider a
situation where you want to award $2000 bonus to Blair Palmer.
Note: You must follow the same steps to award other adhoc variable
compensation such as payroll deductions, enrollment or registration of
events, and non-payroll related information.
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Complete the following steps to award a bonus to your employee
1. Using the Manager Self Service responsibility, on the ICD: People page, select Blair
Palmer from the reporting hierarchy.
2. Click the Action icon against Blair Palmer's name.
3. On the Overview page, click the Award New Compensation button.
4. On the Details page, select the compensation type as Bonus, and fill-in the
applicable compensation details and click the Apply button.
Note: To award other adhoc variable compensation, select the
appropriate compensation type.
The Overview page displays the transaction details in a tabular format.
5. Click the Next button to enter the Review page. On this page, you review the
proposed compensation details, view the approver, and enter comments.
6. Click the Submit button to submit the compensation proposal. You will receive a
confirmation message on the Confirmation page.
Compensation and Awards Management 3-139
Compensation History
Compensation History
Compensation History refers to groups of historical data. You can view groups such as
Salary History, Bonus History, Stock Option History, Other Compensation History,
Ranking History, Performance Rating History, and Job History. The compensation
category you define for standard rates in Individual Compensation History and
Compensation Workbench determine the history group to which the elements belong.
HR Professionals and Managers use Compensation History to view employee
information from a single page in Compensation Workbench (CWB) and Individual
Compensation Distribution (ICD).
Employees use Compensation History to view their information from a single page in
ICD.
Based on the responsibility used to log in to Self-Service Human Resources, certain
sub-tabs are visible to HR Professionals and Managers, and not to Employees.
HR Professionals and Managers can view information about all compensation awarded
and transactions made to an employees record - historical, current and pending from all
assignments. You can view information such as salary changes, bonuses, basic or
extended stock options, monetary compensation grouped by year, ranking assigned to
the employees based on number of employees ranked and rank quartile, jobs, and
details of other non-monetary compensations given to an employee. You can also view
performance information, such as rating types and actual ratings, for the employees in
their security group. In addition, managers can also view in-progress transactions.
Employees can view information such as salary changes, bonuses, basic or extended
stock options, monetary compensation for a single year period, their job details such as
name, date of the job change, position, grade, people group, and reason for the job
change, and details of other non-monetary compensations received.
See: Compensation History Views, page 3-140
You can configure any of the history groups to show or hide them.
Note: You can personalize the views at the Function, Localization, Site,
Organization, and Responsibility level. The Responsibility level
personalization enables you to configure manager and employee views
to display different sub-tabs and columns.
See: Personalizing Sub-tabs for Compensation History, page 3-148
See: Seeded Hidden Columns, page 3-144
3-140 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Compensation History Setup
During implementation, Compensation Administrators use the Oracle HRMS
professional user interface to define an additional standard rate so that Compensation
History is available for ICD.
In addition, they set up a Plan Type, a Plan, and a Standard Rate with activity type of
Additional History Element. They associate the element and input value to the
Additional History Element standard rate to ensure that Compensation History
displays details of those elements entered from the Element Entries window.
Compensation Administrators set up the following to view Compensation History from
ICD:
• Standard Rate with activity type Additional History Element, and status Inactive
Compensation Administrators also set up the following to ensure that details of
elements entered from the Elements window display in Compensation History:
• Plan Type
• Plan with a status Inactive – used only to display history of element entries created
outside ICD or CWB.
• Standard Rate with activity type of Additional History Element.
See: Setting Up Compensation History, page 3-146
Also See: Compensation History Menu and Function Names, page 3-144
Security Features
Security features in Oracle HRMS ensure that managers view ranking assigned only by
those managers within their security profile. In addition, while managers can view
ranking, and in-progress transactions, employees do not have access to view this
information.
Compensation History Views
When you use the HR Professional or Manager responsibility to log into CWB or ICD,
you can view the compensation and ranking information for employees on a single
page.
If an employee has only one open assignment, you can view details for that assignment.
However, if the employee has multiple open assignments, select the assignment from
the list to view history details for the selected assignment. If you do not select an
assignment, the system displays the details of the primary assignment.
The views that you see may differ because the system displays some information (but
not all) by default. You can personalize other information to display.
Compensation and Awards Management 3-141
See: Seeded Hidden Columns, page 3-144
You can view compensation history for employees based on:
• Salary: In this sub-tab, you can view details of all compensations that belong to
either the Salary Proposal in the Salary page or the CWB Worksheet Amount
Standard Rate. The system displays each change in salary in a single row. If there is
a change in the components of the salary, you can view the sum total of each
component. The amounts are based on the employee's pay basis.
The following table describes some important details you can view as part of the Salary
sub-tab:
Label Displayed Detail for Status - In
Progress
Displayed Detail for Status -
Process/Approved
Date In Progress Effective date of salary change
Change Amount Change Amount (in pay basis) Change Amount (in pay basis)
Change Percent
Change amount as a % of starting
salary
New Salary
Starting salary plus change amount
Frequency Pay Basis Pay Basis
Currency Plan currency Element input value currency code
• Bonus Sub-tab: In this sub-tab, you can view compensation details for plans with a
plan type Compensation Category of Comp - Bonus. The system displays each
bonus in a single row. If you itemize a bonus, you can view all components of the
bonus.
The following table describes some important details in the Bonus sub-tab:
Label Displayed Detail for Status - In
Progress
Displayed Detail for Status -
Processed
Date In Progress Non-recurring - effective end date
of element
Recurring - effective start date of
element - effective end date, or
Ongoing
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Label Displayed Detail for Status - In
Progress
Displayed Detail for Status -
Processed
Description Element reporting name or element
name
Element reporting name or element
name
Frequency Activity Reference Period of plan Per Pay Period
Currency Element input value currency code Element input value currency code
• Stock Option Sub-tab: This sub-tab displays compensation details for plans with a
plan type Compensation Category of Comp - Stock. Based on how you configure
the application, a manager can view either the Basic Stock Option History or the
Extended Stock Option History.
Note: When you configure the application to show Extended Stock
Option History, the data that is displayed is from an outside party,
it is not tied to a Comp - Stock category plan.
In the Basic Stock Option view, you can view details such as the date, description,
number of shares, grant price enrollment rate amount , grant value, and currency.
In the Extended Stock Option view, you can view details such as grant name,
number, type, shares, and price; value at grant; current outstanding shares; market
value; gain; vested market value; exercisable shares, market value, gain; exercised
gain; cancelled shares; reason code; and class. You can also view details based on
the estimated market price per stock that you enter.
• Compensation by Year Sub-tab: This sub-tab displays details - organized by the
year - about salary changes, bonuses, stock options, and other monetary forms of
compensation.
Note: This sub-tab does not include details of in progress
transactions, recurring entries or non-monetary forms of
compensation.
• Ranking Sub-tab: This sub-tab displays only when you log in using the manager
responsibility. It displays ranking details by managers within your security group.
Rankings are correlated with salary, bonus, and stock option plans, and CWB plans
that belong to the category Comp - Other.
• Performance Sub-tab: This sub-tab displays only when you log in using the
manager responsibility. It displays the rating type, the rating, and the date of the
Compensation and Awards Management 3-143
rating for the selected employee. Performance ratings may be related to salary,
bonus or stock option plans, and plans that belong to the category Comp – Other.
• Job Change Sub-tab: This sub-tab displays details of job changes for the selected
employee. You can view the date of the change, the job, the grade, the people
group, and the change reason.
• Other Sub-tab: In this sub-tab, you can view all monetary and non-monetary
awards that do not belong to the Salary, Bonus, and Stock Options sub-tabs. This
sub-tab displays compensation details for plans with a plan type Compensation
Category of either of the following - Comp - Allowance; Comp - Gift/Service
Award; Comp - Other; or Comp - Company Car.
The following table describes important details you can view in the Others sub-tab:
Label Displayed Detail
Date Non-recurring - effective end date of element
Recurring - effective start date of element -
effective end date, or Ongoing
Description Element name
Amount Distribution amount
Frequency Non-recurring - Once
Recurring - Plan's activity reference period
Units Monetary - Element input value currency code
Non-monetary - Non-monetary UOM of
associated rate
When you use the employee responsibility to log into ICD, you can view all the details
that you can view when you log in using the manager responsibility with the following
exceptions:
• Ranking sub-tab
• Performance sub-tab
• In-progress transactions
3-144 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Compensation History Menu and Function Names
Compensation History enables managers to view compensation and ranking
information of employees in their security group from Compensation Workbench and
Individual Compensation Distribution.
Compensation History also enables employees to view their compensation information
from Individual Compensation Distribution.
See: Compensation History, page 3-139
Menu and Function Names
This module can be accessed from the following menus and functions:
User Menu Name Function Name
Manager Self-Service Individual Compensation Distribution
Manager Self-Service Compensation Workbench
Employee Self-Service Individual Compensation Distribution
Configurable Tips and Instructions
Region Column Name Message Name
HistoryContent Instructions BEN_93424_COMP_HISTORY_INSTR
BenHistoryComp
ByYearRN
TipComp BEN_93436_HSTRY_COMP_BY_YR_TIP
BenHistoryExtend
edStockRN
Tip BEN_93430_HSTRY_EXT_STK_TIP
Seeded Hidden Columns
Compensation and Awards Management 3-145
Column Name Displayed Detail
Salary Sub-tab
Annualized Starting Salary Starting Salary (in annual basis)
Annualized Change Amount Change Amount (in annual basis)
Annualized New Salary New Salary (in annual basis)
Bonus Sub-tab:
Plan Name Name of Plan corresponding to
Bonus
Basic Stock Option Sub-tab:
Plan Name Name of Plan corresponding to
Stock Option
Extended Stock Option Sub-tab:
Grant Date Date of grant
Current Option Price Current price of the option
Vested Shares Total number of vested shares
Unvested Shares Total number of shares not vested
Unvested Market Value Value of the unvested shares
multiplied by the market price
Unvested Gain Unvested shares multiplied by the
Grant Price minus the unvested
market value
Trading Symbol Trading Symbol used by the
organization
Expiration Date Date of expiry of the unvested
shares
3-146 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
See: The Personalization Framework, Oracle HRMS Deploy Self-Service Capability Guide
Setting Up Compensation History
As a Compensation Administrator, you need to configure some additional details so
that processed ICD transactions are visible in Compensation History.
You need to create an additional Standard Rate for the ICD Plan whose history you
want displayed. This ensures that all occurrences of these element entries are visible in
the history.
In addition, you need to set up a Plan Type, a Plan, and an additional Standard Rate to
ensure that entries created from the Element Entries window, are visible in the
Compensation History.
See the following topics for more information on how to set up Compensation History:
1. Setting Up Compensation History for ICD Plans, page 3-146
2. Setting Up Compensation History for Entries Created from Element Entries, page 3-
146
Setting Up Compensation History for ICD Plans
As the Compensation Administrator, you set up Compensation History for ICD Plans.
To ensure that processed ICD transactions are visible in compensation history, you need
to configure an additional standard rate for the ICD plan whose history you want to
display. This ensures that all occurrences of these element entries are visible in history.
To set up an additional standard rate:
1. Select Inactive as the Status.
2. Select Additional History Element as the Activity Type.
3. If you selected an Element for the ICD rate, select the same Element here.
4. If you selected an Input Value for the ICD rate, select the same Input Value here.
5. Choose the Calculation Method tab, and select No Standard Value Used as the
Calculation Method.
See: Defining Activity Rates for a Standard Contribution/Distribution, page 5-146
Setting Up Compensation History for Entries Created from Element Entries
As the Compensation Administrator, you can set up Compensation History to display
information for entries created from the Element Entries window. For example, you can
Compensation and Awards Management 3-147
view information about commissions and automobile allocations in the Others sub-tab.
To do this, you must set up a Plan Type, a Plan, and an additional Standard Rate.
Note: The system uses the following Plan Type and Plan to process the
entries.
To configure this, use the following guidelines:
To create a Plan Type:
1. Enter a Name for the Plan Type. For example, History Bonus, History Stock, or
History Others.
2. Select Compensation Workbench or Individual Compensation Distribution as the
Option Type.
Note: You require to select either of these to ensure that the system
processes these entries.
3. Select the most appropriate Compensation Category. This determines the sub-tab
on which the compensation history will appear.
See: Defining a Benefits Plan, page 1-97
To create a Plan:
1. Enter a Name for the Plan. For example, History Bonus, History Stock, or History
Other.
2. Select Inactive as the Status.
3. Select the Plan Type you defined earlier.
See: Defining a Benefits Plan, page 1-97
Note: Ensure that you also set up Plan Enrollment Requirements and a
Standard Rate before you proceed further.
See: Defining Plan Enrollment Requirements, page 3-121
See: Defining Activity Rates for a Standard Contribution/Distribution, page 5-146
To create an Additional Standard Rate:
1. Enter a Name for the Rate. For example, History Bonus, History Stock, or History
Other.
3-148 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
2. Select Plan as the Level.
3. Select the Plan you defined earlier as the Compensation Object.
4. Select Additional History Elements as the Activity Type.
5. Select the Element you want displayed on the history page.
6. Select the Input Value you want displayed on the history page.
Note: You can add multiple rates under the same plan if you have
multiple element types.
See: Defining Activity Rates for a Standard Contribution/Distribution, page 5-146
Personalizing Sub-tabs for Compensation History
You can personalize Compensation History to configure multiple and different views
for managers and employees. You can hide or rename sub-tabs, and the columns within
these sub-tabs. You can also use Personalization to restrict visibility of data on the
Stock, Bonus and Other tab. For instance, you can restrict managers from viewing
employee savings plan contributions, retirement plans, or the charitable contributions,
and restrict employees from viewing certain awards. You can configure the plans that
are available to display to a user to do this.
To hide or rename sub-tabs in Compensation History:
1. Navigate to the Compensation History page.
2. Click Personalize Region in the top right corner of the page.
3. Select the Personalization Level and click Next.
4. In the Create/Update Personalization page, select the Name of the personalization
level and click Next.
5. In the Create View page, expand the BEN_COMP_HISTORY_PAGE or the
Worksheet History Page list.
6. Click the arrow next to the BenHistorySubTabs link to show the list.
7. Select the sub-tab you want to hide or rename, and click the arrow to show the link.
8. In the General Properties region, enter a name in New Label to rename the sub-tab.
Alternatively, to hide the sub-tab, delete the contents in New Label.
Compensation and Awards Management 3-149
9. Click Apply to apply the personalization.
To restore a hidden sub-tab in Compensation History:
1. Follow steps 1 – 6.
2. Click the arrow next to the sub-tab you want to restore.
3. Click Delete in the Create View page.
Note: If the personalization page contains a hidden sub-tab, the
sub-tab's text link on the tree displays the technical name of the
subgroup. For instance, if you hid the Bonus sub-tab, the link will
appear as BenHistoryBonusRN.
To restrict access to plans for employees or managers:
1. Follow steps 1 – 6.
2. Click the arrow next to the sub-tab you want to display.
3. Click BenHistorySubtabNameDetailsTblRN
4. In the Search Query to Filter Data in Table region, specify the conditions required
for the tab to display the data. If you do not define any conditions, then all
information on the sub-tab will be visible to both managers and employees.
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Total Compensation Statement
Total Compensation Statement Overview
You can create Total Compensation Statements to communicate compensations,
rewards, and benefits to your employees and contingent workers. They can use this
statement to view their total compensation for a specified period, often one year,
through an easy-to-use self-service interface.
This topic provides an overview of what you can do using Total Compensation
Statement.
Since compensation and benefits packages differ from enterprise to enterprise, you can
configure statements based on your enterprise requirements. You can display employer
and employee costs or contributions for different types of compensation including
earnings, bonuses, taxes, stock options, benefits, savings and retirement, perquisites,
time-off, and so on. You can display information from various sources, including Oracle
Payroll, third party payrolls, element entries, rules (formulas), and payroll run results.
See: Key Decision Areas in Total Compensation Statement, page 3-151
You can design different statements for different groups of employees and generate
statements as often as you require. You can create variations of statements by
duplicating and modifying a statement setup. Your statements evolve as your
compensation packages evolve. You can add new items or categories to existing
statement setups so that the next time you generate statements, the new compensation
offerings display.
See: Setting Up Total Compensation Statement, page 3-154
See: Processing and Reporting for Total Compensation Statements, page 3-159
As a compensation administrator, or an HR professional, you can view employee
statements before you make the statements available to employees. By previewing
statements, you can ensure that the information effectively communicates the
compensation, rewards and benefits you provide.
As an administrator, you can print statements for groups of employees at a single time.
The enhanced printing ability enables you to efficiently print and distribute Total
Compensation Statements to employees who do not have online access.
Seerint Employee Statements, page 3-161
See:Generating Employee Statements, page 3-160
Presentation is key, and Total Compensation Statement enables you to add graphs and
links to additional information. Using a rich text editor, you can compose a welcome
message that greets employees when they view their statements. Employees can print a
PDF of the statement and view it at their convenience.
Compensation and Awards Management 3-151
Prerequisites
There are certain prerequisites to using Total Compensation Statement:
• You should have implemented Salary Administration - this is essential to ensure
that your employees' rate of pay displays on the Total Compensation Overview
Page.
• If you map compensation items to element entries, then you must assign each
employee to a payroll.
• The payroll to which you assign employees must have valid pay periods if your
total compensation statement includes element entries.
Key Decision Areas in Total Compensation Statement
Before you set up Total Compensation Statement for your enterprise, you need to make
some key decisions to establish an outline of the statement you want to present to your
employees. This topic gives you an insight into the key decision areas. This topic also
explains the key concepts you will use to set up Total Compensation Statement for your
enterprise.
Key Concepts in Total Compensation Statement
Statement Period - The period of time for which Total Compensation Statements
display compensation. Statements display compensation distributed from the period
start day through the period end day.
Compensation Source - The source from which Total Compensation Statement obtains
a particular compensation detail, such as element entries or benefits balances. The
following diagram illustrates the sources available:
You create compensation items that map to these compensation sources.
For more information on Third Party Payroll Backfeed, see:
Oracle Generic Third Party Payroll Backfeed, Oracle HRMS Implementation Guide
3-152 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
For information on Rules for Total Compensation Statement, see: Oracle FastFormula
Reference Guide for Standard and Advanced Benefits My Oracle Support Note ID
218059.1
Compensation Item - A mapping to a one-time or recurring instance of a compensation
source, such as a specific element input value, benefit balance, or rule (FastFormula).
Compensation Category - A group of compensation items. You can define
subcategories within a compensation category, for example, a cash compensation
category with subcategories bonus and salary.
Key Decision Areas in Total Compensation Statement
• How do you intend to organize the statement? Decide on the structure of the
statement and the items you want to display to different groups of employees. You
can also decide on the statement period, display graphs, and add links to
supplemental information you want to provide. In addition to web-based
statements, the application creates pdf statements using XML Publisher.
You can customize the predefined XML Publisher template to suit your business
requirements. You use XML Publisher to duplicate the template and download the
new template. You use a rich text editor to customize the new template. After you
make your changes, you use XML Publisher to upload your template to make it
available for use in Total Compensation Statement.
You can search for and locate the default BENTCSRPT.rtf template in XML
Publisher. To do this, search for the template with the template code BENTCSRPT.
When you duplicate the default template, you must give the new template a
template code that begins with BENTCSRPT, for example, BENTCSRPT2.
Download the new template and customize it as required.
Note: You can alter only the header and footer information, the
order in which you display the fields are displayed, and make
changes to the font color, font size, and background. After
uploading the customized template, you must assign an end date to
the default template, as only one template can be active at any
given time.
For information on customizing the template, see: Viewing and Updating a
Template in the Oracle XML Publisher User's Guide.
• What specific information do you want to display on the statement? Decide on the
compensation items to include within the statement. You need not recreate
compensation items for each different statement you set up. You can reuse the
compensation items you create across different statements.
• How do you want to group compensation items into categories and subcategories?
Decide on the main categories and subcategories to display on the statement. You
need not recreate compensation categories and subcategories for each different
Compensation and Awards Management 3-153
statement you set up. You can reuse the compensation categories and subcategories
you create in more than one statement.
• What do you want to display on the Overview page that you present to your
employees? Decide on the information you want to display to employees - for
example, monetary, non-monetary, and time-off information. You can also decide
on the welcome message that displays on the first page of employee statements.
The following diagram depicts the three main steps in the business process and how
they map onto the specific setup steps, which are outlined in a separate topic.
See: Setting Up Total Compensation Statements, page 3-154
Total Compensation Statement (SSHR Components)
This topic provides you details of items you must configure for Total compensation
Statement and items you can personalize for display in Oracle Self-Service HR. For a
full functional description of Total Compensation Statement, see Total Compensation
Statement Overview, page 3-150
Menu and Function Names
You can access Total Compensation Statement from the following menus and functions:
User Menu Name Function Name
Employee Self Service Total Compensation Statement Welcome Page
3-154 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
User Menu Name Function Name
HR Professional Total Compensation Statement Employee
Search Page
Administrator TCS Launchpad page
See: Defining Menus for SSHR, Oracle HRMS Configuring, Reporting, and System
Administration Guide
Configurable Profile Options
Total Compensation Statement uses the following configurable profile options:
Profile Configurable Levels Values
Ben: TCS Maximum Number
of Statement Periods
All Levels Positive Integer
Setting Up Total Compensation Statement
To set up Total Compensation Statements, you need to follow the steps outlined in this
topic. The steps depict a typical setup. However, you can modify the examples based on
your business needs. All steps are mandatory, except the defining eligibility profiles
and composing the welcome page steps. You must complete all the mandatory steps
before you generate statements for employees to view.
Before you set up Total Compensation Statements, you should have:
• Decided upon the information you plan to include in the statements for example,
salary, bonuses, medical benefits, dental benefits, stock options and so on.
• Identified the source of data for the information. For example, a Payroll Costing
entry associated with a particular element-input value, an element-input value, a
Compensation Item Rule formula that you create, a benefits balance, a third party
payroll entry associated with a particular element-input value and so on.
• Decided how to group the information. These groups of information are the
compensation categories. Ensure you group similar items into categories - for
example, monetary and non-monetary.
• Decided if you want to further group information into sub-groups. These are the
sub-categories. Employees can view details of these sub-categories on the
statement.
Compensation and Awards Management 3-155
To set up Total Compensation Statements:
1. Define the statement name to identify the statement for future use. For example,
Benefits for Salaried Workers. This name does not appear on the statement that
employees view. You must define a statement before you can perform any of the
other steps.
2. Define the Overview Sections, such as Cash Compensation, Benefits, and Savings
and Retirements. This task governs the sections that display on the Overview page
that employees view. Choose from Monetary, Non-Monetary, and Time-Off as the
compensation types for these sections. You can create as many sections as you
require for your statement. You must complete this step before you can add details
for the Overview sections.
Note: Employee statements display table totals and charts only for
monetary sections.
3. Define the details for the Overview sections. Add the compensation items and
compensation categories you want to display here. For example, define Payroll
Costing as a compensation item and cash compensation as a category with bonus
and salary as subcategories. When you add compensation categories to the section,
all subcategories for the category are also associated with the section. When you
add compensation categories and compensation items to an Overview section, you
must ensure that they are of the same compensation type. For example, you cannot
add a monetary compensation category or compensation item to a Non-Monetary
section.
Note: You cannot add categories to time off sections.
Note: You can create compensation items and compensation
categories before defining any of the other steps. For example, you
can create compensation items, compensation categories, and then
create the statement setup. You can reuse compensation items and
categories across different statements.
4. Define statement periods for which Total Compensation Statements display the
compensation information. For example, 01-Jan-2005 to 31-Dec-2005. You can
choose the date when statements for a statement period are available to your
employees. You can also select the date the application uses to calculate the
exchange currency rates.
Enter the Available to Employees date to indicate the date when statements
covering a period are available to your employees. If you do not specify this date,
then the statements are not accessible to your employees.
3-156 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Note: A statement displays amounts in a single currency. This is
the employee's preferred currency, their pay basis currency, or the
business group currency. The application obtains exchange rates
from the GL Daily Rates table. If you do not specify an exchange
rate date, then the application uses the exchange rate in effect on
the Interim Statement End Date or on the Statement Period End
Date. The Interim Statement End Date is the end date of an interim
statement that covers part of a statement period. You can enter an
Interim Statement End Date to create interim statements in the
Generate Employee Statements batch process.
5. Optionally, select the Eligibility Profile to limit the statement to a select group of
employees. For example, select Full Time to limit your statement to salaried full
time employees only. You can also create or update eligibility profiles.
Note: If you maintain multiple versions of an eligibility profile,
effective on different dates, then the Generate Employee Statements
batch process uses the version that is in effect on the Interim
Statement End Date or on the Statement Period End Date.
6. Optionally, compose a welcome page using the rich text editor. Employees see this
page when they access their statements. You can insert substitution fields to
personalize your welcome message.
7. Review and complete your statement set up.
8. Updating Statements
The following table summarizes the changes you can make to a statement setup
after generating it, and whether the changes are reflected in the statements that you
have already generated.
Note: You must rerun the Generate Employee Statements process
before your changes display in the pdf statements.
Task Action Impact on Already
Generated
Web-Statements
Define Statement Update all details Yes
Compensation and Awards Management 3-157
Task Action Impact on Already
Generated
Web-Statements
Define Overview Sections Add:
•
New sections
Update:
•
Section names that
appear on the employee
statements
•
Display of employee
contributions
•
Chart and chart
measures that appear in
the monetary sections
•
The order in which
sections display on the
statement overview
page
Add
•
N/A
Update
•
Yes
•
Yes
•
Yes
•
Yes
•
Yes
Define Overview Section
Details
Add:
•
Categories and
compensation items
Update:
•
The order of section
contents
•
Display names
•
Delete any categories
and compensation
items you added after
generating the
statement
Add
•
N/A
Update
•
Yes
•
Yes
•
Yes
3-158 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Task Action Impact on Already
Generated
Web-Statements
Compensation Categories Add
•
Add sub-categories and
compensation items
Update
•
Category name
•
Order of category
contents
•
Display names
•
Chart types and
measures
•
Additional information
link details
Add
•
N/A
Update
•
N/A
•
Yes
•
Yes
•
Yes
•
Yes
Compensation Items Update
•
Compensation Item
Name
•
Denote as estimated
amount
Update
•
N/A
•
Yes
Compensation and Awards Management 3-159
Task Action Impact on Already
Generated
Web-Statements
Define Statement Periods Add:
•
Add statement periods
Update:
•
Display names
•
The date when
statements are available
to employees
•
A statement period to
make it unavailable to
employees
•
The exchange rate date
Add
•
N/A
Update
•
Yes
•
Yes
•
Yes
•
Yes
Compose Welcome Page
•
Always display the
welcome page to
employees
•
Enable employees to
hide the welcome page
•
Hide the welcome page
•
Change the salutation
and the welcome page
text
Yes
Processing and Reporting for Total Compensation Statements
Once you have set up Total Compensation Statements for your enterprise, you can run
the following processes:
1. Generate Employee Statements Process Use this process to generate Total
Compensation Statements using a statement setup and period you defined.
See: Generating Employee Statements, page 3-160
3-160 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
2. Print Employee Statements Use this process to generate statements for groups of
employees at a single time.
See: Print Employee Statements, page 3-161
3. Purge Employee Statements Process Use this process to purge Total Compensation
Statements for the statement and period you select.
See: Purging Employee Statements, page 3-162
4. Reopen Welcome Page Process Use this process to reset the welcome page. If you
configured your setup to enable employees to hide the welcome page, then this
process clears employees' selections to hide the welcome page.
See: Reopening Welcome Pages, page 3-163
5. Batch Process Run Reports Use this report to view details of all batch processes
you run.
See: Running the Batch Process Run Reports, page 3-164
Generating Employee Statements
Use the Generate Employee Statements process to create total compensation statements
using a statement setup and period you defined. If statements for a period already exist,
then the process purges and recreates them irrespective of whether the statement is an
interim or complete statement.
You can also generate statements for a group of employees by selecting the appropriate
criteria and parameters.
To generate an employee statement:
1. Select a Statement Name on the Generate Employee Statements: Select Statement
and Period page.
Note: The list displays only those statements that are complete.
2. Select a Statement Period. This is the period for which you generate the statement.
3. Optionally, enter an Interim Statement End Date. Use this date to create a statement
that covers a part of the statement period. For example, if your statement period is
01-Jan-2006 to 31-Dec-2006 and you enter an interim statement of 31 April 2006,
then the generate employee statement process creates a statement that covers the
period between 01-Jan-2006 and 31-April-2006. If you do not select an interim
statement end date, then the application creates a statement for the statement
period.
4. Click Continue
Compensation and Awards Management 3-161
5. On the Generate Employee Statements: Select Parameters and Submit page, select
the Run Mode:
• Rollback - Database will not be updated
• Commit - Database will be updated
By default, the process runs in the Rollback mode.
6. Select Yes or No from the Audit Log list. This parameter indicates if the application
should create an audit report when running the process. By default, the process
does not create an audit report.
7. In the Select Criteria to Generate Statements section, select the Generate Statements
For Employees In All Business Groups option to generate statements with the same
name and period across all business groups.
Otherwise, click the Generate Statements for Selected Employees option and enter
the applicable parameters to generate statements for selected employees.
8. Click Submit to generate the employee statement.
Print Employee Statements Process
Use the Print Employee Statements process to print statements for groups of employees.
Note: Ensure that you run the Generate Employee Statement process
before printing employee statements.
To Print Employee Statements:
1. Select a statement name on the Print Employee Statements: Select Statement Period
page.
2. Select the period for which you want to print the statement.
3. Click Continue
4. On the Print Employee Statement: Select Parameters and Submit page, select the
Print Statements of Employees in all Business groups option and enter the
appropriate parameters to print statements with the same name and period across
business groups.
Otherwise, select the Print Statements only for Selected Employees option to print
statements for a particular employee.
5. Click Next.
3-162 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
6. In the Print Employee Statements: Select Print Options page, enter the appropriate
print options.
7. Click Submit.
Purging Employee Statements
Use the Purge Employee Statements process to purge total compensation statements for
the statement and period you select.
To purge an employee statement:
1. Select a statement name on the Purge Employee Statements: Select Statement and
Period page.
2. Select a Statement Period. This is the period for which you purge the statement.
3. Click Continue
4. On the Purge Employee Statements: Select Parameters and Submit page, select the
Run Mode:
• Rollback - Database will not be updated
• Commit - Database will be updated
By default, the process runs in the Rollback mode.
5. Select Yes or No from the Audit Log list. This parameter indicates if the application
should create an audit report when running the process. By default, the process
does not create an audit report.
6. Select Yes or No in the All Business Groups list. This parameter indicates if the
process should purge total compensation statements that were generated from
statement setups of all business groups that have the same statement name and
period you select. To use this, you should have defined statement setups with the
same statement name and statement period dates for all of your business groups.
7. Select a specific person to run the process for an individual employee.
Note: If you select Yes in the All Business Groups list, then you
cannot run this process for an individual employee.
8. Click Submit.
Compensation and Awards Management 3-163
Reopening Welcome Pages
Use the Reopen Welcome Page process to reset the Total Compensation Statement
welcome page. If you configured your setup to enable employees to hide the welcome
page, then this process clears employees' selections to hide the welcome page.
To run the reopen welcome pages process:
1. Select a statement name on the Reopen Welcome Page: Select Statement and Period
page.
2. Select a Statement Period. This is the period for which you reopen the welcome
page for the statement.
Note: If multiple statements are available to employees, and if you
generated statements using different statement setups, then the
welcome message that displays is that of the statement with the
most recent end date, start date, and available date.
3. Click Continue
4. On the Reopen Welcome Page: Select Parameters and Submit page, select the Run
Mode.
• Rollback - Database will not be updated
• Commit - Database will be updated
By default, the process runs in the Rollback mode.
5. Select Yes or No from the Audit Log list. This parameter indicates if the application
should create an audit report when running the process. By default, the process
does not create an audit report.
6. Select Yes or No in the All Business Groups list. This parameter indicates if the
process should reopen the welcome page for total compensation statements that
were generated from statement setups of all business groups that have the same
statement name and period you select. To use this, you should have defined
statement setups with the same statement name and statement period dates for all
of your business groups.
7. Select a specific person to run the process for an individual employee.
Note: If you select Yes in the All Business Groups list, then you
cannot run this process for an individual employee.
3-164 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
8. Click Submit.
Total Compensation Statements Batch Process Run Reports
Use this report to view details of the batch processes you run.
To view the batch process run reports:
1. On the Total Compensation Setup Wizard page, select Total Compensation
Statement as the Business Area Selection to display the Launchpad page.
2. Click Batch Process Run Reports on the Launchpad page.
3. The Requests page displays. You can view details of your requests including the
status and the mode in which you ran the process.
4. Click the Summary Report icon to view the summary report for the selected
request, including:
• The business groups for which you ran the process
• The eligibility profile for which you ran the process
• The setup evaluation for the process
• The number of eligible persons for the process
• The number of persons processed
• The number of persons that processed with errors
• The number of persons without reportable compensation
5. Click the Audit Report icon to view the Audit Report. You can view the request
details and other details that include:
• Total Eligible Persons
• Total Persons with Statements Created
• Total Persons with Errors
• Total Persons without Reportable Compensation
• Total Assignments Evaluated
• Total Statements Created
Compensation and Awards Management 3-165
• Total Assignments With Errors
• Total Assignments Held
• Total Assignments Without Reportable Compensation
Note: If the application encounters errors while processing a
person's assignment, then the application will not process the
person's other assignments. The Total Assignments Held field
displays the number of assignments the application did not
process.
In addition to total counts, this report also displays details of all eligible people
processed and whether or not the process was successful for each of these
persons.
6. Click the Error Report icon to view the error report for the process. The details you
can view on the Error Report page are:
• The request details
• Total Persons With Errors
• Total Assignments With Errors
7. Click the View Log icon to view the log for the process.
3-166 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Vehicle and Mileage Processing
Vehicle Repository
In the vehicle repository, you can store details of company vehicles and private vehicles
used for business purposes. This information is datetracked so that you can record
changes to the vehicle - such as its status (active or inactive) - over time. Storing this
data in a repository removes the need for repetitive and error-prone data entry.
Use Oracle SSHR to record vehicle repository information in the Vehicle Repository
Page. The vehicle repository information includes:
• Registration number
• Make and model
• Registration date
• Engine capacity
• List price and value of optional accessories fitted initially and added later
• Fiscal rating
• Status, and reason for Inactive status
• Whether the vehicle can be allocated to multiple users
• For Russian users only:Vehicle Category, mileage/fuel limits, usage schedule, and
lease details.
• For Russian users only:Extra information about vehicle insurance details
Note: You can enter multiple insurance details for the same vehicle.
• For Polish users only: Vehicle-card identification number, engine number,
inspection dates, and additional, user-defined technical information about the
vehicle
You can import company vehicle information from a car fleet management system,
storing a fleet identifier and date transferred on each vehicle record.
Vehicle Allocation
Use Oracle SSHR to allocate vehicles to your employees so they can be used in
Compensation and Awards Management 3-167
employee mileage claims (UK and Poland) or Benefit in Kind processing (Ireland). You
can allocate two types of vehicles : company and private.
• You can allocate one primary company vehicle to each employee, and as many
additional company vehicles as your business rules allow.
• You can allocate as many private vehicles as your business rules allow. You mark
one vehicle as the default.
Business rules are held in the PQP_CONFIGURATION_VALUES table. See:
Configuration Settings for Vehicle Repository and Mileage Claims, page 3-168
When you allocate a vehicle, you can override some of the configuration settings for
your business group.
You can record a vehicle against a single assignment, or against all of an employee's
assignments.
You can allocate vehicles from the Vehicle Repository page.
When you move the mouse over the Users icon, you can view the user details in a
pop-up window.
Vehicle Repository Menu and Function Names
The Vehicle and Mileage Processing module enables managers to add vehicles to the
repository in Oracle SSHR. You can add details of company and private cars, and
allocate vehicles to employees.
UK users can use this module to enter their mileage claims in Oracle SSHR.
Menu and Function Names
You can access this module from the following menus and functions:
User Menu Name Function Name
Vehicle Repository Vehicle Repository
Vehicle Mileage Claims Vehicle Mileage Claims
Workflow
The workflow details for this module are listed below:
Workflow Process Display Name:
Private Vehicle Allocation
3-168 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Configurable Workflow Attributes:
Not applicable
Workflow Process Display Name:
Vehicle Mileage Expense
Configurable Workflow Attributes:
Not applicable
Configuration Settings for Vehicle Repository and Mileage Claims
Global and localized configuration settings provide the appropriate defaults for your
business groups. You can add this information using the Configuration Values Page.
Select the Vehicle Mileage module and the Configuration Type Vehicle Mileage Generic
Information to view, update or delete data for your business group.
Global and Localization Settings
This table displays the localization settings available.
Column Segment Meaning Global UK Ireland
LEGISLATIO
N_CODE
Legislation
Code
- -- GB IE
PCV_INFOR
MATION_C
ATEGORY
Vehicle and
Mileage
Settings
- PQP_VEHIC
LE_MILEAG
E
PQP_VEHIC
LE_MILEAG
E
PQP_VEHIC
LE_MILEAG
E
PCV_INFOR
MATION1
Calculation
Method
Proration or
Exhaustive--d
etermines
how you
apply
mileage band
limits across
payroll
periods. You
can override
this default
when you
allocate
vehicles or
enter claims.
-- Exhaustive Null
Compensation and Awards Management 3-169
Column Segment Meaning Global UK Ireland
PCV_INFOR
MATION2
Maximum
Company
Vehicles
Allowed
Limit on the
number of
company
vehicles that
can be
allocated to
an
assignment
-- 2 Null
PCV_INFOR
MATION3
Maximum
Private
Vehicles
Allowed
Limit on the
number of
private
vehicles that
can be
allocated to
an
assignment
-- -- Null
PCV_INFOR
MATION4
Share
Company
Vehicle
Yes means
that the
vehicle can be
shared by
several
employees.
No means the
vehicle
cannot be
shared.
Y N Y
PCV_INFOR
MATION5
Share Private
Vehicle
Yes means
that the
vehicle can be
shared by
several
employees.
No means the
vehicle
cannot be
shared.
Y Y Y
3-170 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Column Segment Meaning Global UK Ireland
PCV_INFOR
MATION6
Previous Tax
Year Claim
Valid Until
All claims for
previous tax
year must be
submitted
before the
date entered.
The year in
the date is
ignored.
-- 5 July Null
PCV_INFOR
MATION7
Allow Both
Company
and Private
Vehicles
Claims
No means
that you
cannot
allocate both
company and
private
vehicles to an
employee at
the same
time, nor
submit mixed
claims.
Y N N
PCV_INFOR
MATION8
Search
Criteria for
Rates Table
The default
(%) means
that the Rates
Table list of
values
displays all
user defined
tables. To
restrict the
list, use a
naming
convention
for mileage
rate tables.
For example,
include the
word "car" in
all names and
enter %car%
in this field.
% % %
Compensation and Awards Management 3-171
Column Segment Meaning Global UK Ireland
PCV_INFOR
MATION9
Validate
Private
Vehicle
Claims in
Repository
Yes means
that you can
only enter
claims
against a
vehicle
already
assigned to
the employee
in the
repository.
No means
that you can
enter a claim
against a
vehicle that is
not in the
repository.
Y N N
PCV_INFOR
MATION10
Vehicle
Claims
Correction
Period in
Days
An input of
30 would
mean that
only those
claims that
have a claim
date within
the last 30
days could be
corrected.
-- -- Null
PCV_INFOR
MATION11
Use Sliding
Rates
Yes means
you use the
sliding rates
table for
additional
passengers.
No means
you use the
rates table
instead of the
sliding rates
table.
-- PQP_VEHIC
LE_MILEAG
E
--
3-172 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Column Segment Meaning Global UK Ireland
PCV_INFOR
MATION12
Combine
Taxable and
NonTaxable
Claims
Yes means
you combine
taxable and
non-taxable
balances to
calculate
rates. No
means you
do not
combine
taxable and
non-taxable
balances to
calculate
rates.
-- PQP_VEHIC
LE_MILEAG
E
--
Leave and Absence Management 4-1
4
Leave and Absence Management
Leave and Absence Management Overview
Employees take paid or unpaid time off from work for a variety of purposes, such as
illness or injury, vacation, labor or trade union representation and professional
activities. Maintaining information on employee absences for reporting and analysis is
an important aspect of human resource management. Oracle HRMS provides a
convenient way to maintain information about the various absence types your
enterprise recognizes.
Managing Absence Information
In Oracle HRMS you can define as many absence types as you need to track employee
time off, and you can group these types into categories and define absence reasons to
provide further information for absence reporting.
You can associate each absence type with a recurring or nonrecurring absence element.
Each element has an input value with either hours or days as its unit of measure.
You can also set up absence benefit plans so that the Participation process checks
employee eligibility for the plans when it processes absence life events.
See: Absence Categories and Types, page 4-6
Using SSHR, employees can enter their own absence, and managers can enter or view
absences for their employees. HR Managers can also enter absence records, or you can
upload absence information from timecards using Batch Element Entry.
Note: If you use OTL absence integration, then you cannot create or
update the absence type from Self-Service or HR if a timecard exits for
that time period in OTL and the application displays an error.
Employees can view their accrued leave details, and managers can view the same for
employees in their team
4-2 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
See: Accrual Balances Maintained by SSHR, page 4-71
See: How do we track and analyze absences and net accrual entitlement: Leave and
Absence Management, page 4-3
See: Self Service Entry of Absences, page 4-55
See: Leave and Absence Management: Self-Service Functionality, Oracle HRMS Deploy
Self-Service Capability Guide
In the UK, there is government legislation regarding the payment of employees during
periods of sickness, maternity, paternity and adoption leave (SSP, SMP, SPP and SAP).
These requirements are handled by the Statutory Absence Payments feature of Oracle
HRMS.
Managing PTO Accruals
Many organizations permit employees to accrue hours or days of paid time off (PTO) as
they work, to use for sick or vacation leave. In such enterprises, setting up and
maintaining PTO plans is another part of absence management.
In Oracle HRMS you can set up any number of accrual plans, each with its own units of
accrued time (hours or days) and its own rules. For example, you can set up rules for
the frequency of accruals, maximum carryover to a new accrual year, accrual bands,
eligibility rules for enrolling in a plan, and accrual start rules for new hires.
Oracle Human Resources users can use PTO accrual plans; this functionality does not
require Oracle Payroll.
See: Accrual Plan Structure, page 4-24
Reporting on Leave and Absence Management
Oracle HRMS and Oracle HRMSi supply several reports to track absences and analyze
absence trends in your enterprise. For example, you can use the Absences Report to
track the absence details for an employee or organization, for some or all absence types.
See: Leave and Absence Management -- Reports, Oracle HRMS Configuring, Reporting,
and System Administration Guide
Key Concepts
To enable you to get the most out of the Absence Management and PTO Accruals
functionality, you need to understand the following key concepts:
• Absence Categories and Types, page 4-6
• Absence Elements, page 4-8
• Absence Recording, page 4-55
Leave and Absence Management 4-3
• Accrual Plan Administration, page 4-57
• Accrual Plan Structure, page 4-24, including elements, formulas, and the net
accrual calculation rules
• Accrual Balances Maintained by the Payroll Run, page 4-29
• Accrual Start Date for New Hires, page 4-40, and ineligibility period rules
• Accrual Bands, page 4-42, for determining accrual amounts and ceilings
• PTO Carry Over Process, page 4-43
Leave and Absence Management
Flexibility is the keynote of Oracle's approach to absence management and PTO accrual
plans. You set up the rules that define how you record absences, who is entitled to paid
leave of each type, and how much time can be taken.
Can I define which types of absence I want to track and the units of time in which they
are recorded?
Yes, you can define as many types of absence as you require, and assign them to
categories for ease of reporting. You can also define reasons for absence, to provide
additional reporting information. For example, the category might be "family leave," the
type might be "maternity," and the reason might be "birth." Each absence type can be
recorded in days or hours.
What about study leave and other absence types that are not available to all employees?
You can control which groups of staff are eligible to take absences of each type.
Absences are recorded on element entries. By linking the element to organizations, jobs,
grades, employment categories, or other assignment components, you control who can
take each absence type.
How do I record absences?
You can use Batch Element Entry (BEE) to make entries of absence elements, and other
timecard data. You can record the number of days or hours absent, and any other
information you have designed the element to hold (such as absence reasons). If you
use Oracle Time & Labor, or another time entry application, you can send timecards to
BEE using the API.
Alternatively, employees can enter their own absences through self-service, or their line
managers can do this for them. These absence records can be submitted for approval
before they are recorded in Oracle HRMS.
4-4 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
You can also use the Absence Detail window to enter proposed or actual absences, and
to see the effect of the absence on any corresponding PTO accrual plan.
How do absence types relate to PTO accrual plans?
Each accrual plan is associated with one absence element (and hence one absence type).
Each entry of time off reduces the net accrual on the plan. You can also associate any
number of other elements with a plan and determine how entries to these element affect
the accrual calculation. This is useful for recording time bought or sold, or unused PTO
brought into a new plan on enrollment.
What rules govern PTO accrual plans in Oracle HRMS?
A few types of accrual plan are seeded with the system. However, accrual plan rules
vary from enterprise to enterprise, and country to country. Oracle HRMS provides you
with the flexibility to define your own plan rules. Here is just a selection of the rules
you can set up:
• The length of the accrual term (often one year), and the start date, which may be
fixed (such as 1 January) or vary by employee (such as the anniversary of the
employee's hire date). Some plans have no start date, but always calculate accruals
for the previous 12 months (or other length of time).
• The frequency of accrual, such as monthly, or once each pay period. In other plans,
employees receive their full entitlement up front, at the beginning of the accrual
term.
• The amount of accrual and any ceiling on the amount that can be held. These
figures may be fixed or vary by length of service, grade, time worked, or other
factors.
• What happens to unused PTO at the end of the accrual term.
• Rules for part time employees, and for employees with suspended assignments
• Rules for new hires, including when they can begin accruing PTO and when they
can begin to use it.
How do we track and analyze absences and net accrual entitlement?
When you enter an absence you can see, at the employee level, how much absent time
of the same type has already been recorded for the employee. If the absence affects net
entitlement in a PTO accrual plan, you can see current and projected entitlement figures
for the plan. In another window, you can view a full absence history for an employee.
Across all employees, you can view absences of a certain type or category, within a
specified time period. Using the Absences Report, you can track absences of one or
Leave and Absence Management 4-5
more types for employees in each organization.
Employees can view their own accrual balance on the web using Self Service, and line
managers can do the same for all the employees they manage.
See:Accrual Balances Maintained by SSHR, page 4-71
See: Leave and Absence Management:Self-Service Functionality, Oracle HRMS Deploy
Self-Service Capability Guide
4-6 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Absence Management Setup
Absence Categories and Types
Oracle HRMS provides a convenient way to maintain information about the various
absence types your enterprise recognizes. To facilitate reporting and analysis of
employee absences, you can distinguish between absence types and absence categories. An
absence category is a group of related absence types.
Some absence categories may be predefined for your legislation. The table below
contains examples of absence categories and types, for illustration purposes only. You
can extend the list of predefined categories and define your own absence types, as
required.
Example Absence Categories and Types:
Absence Category Absence Type
Medical Leave Illness or Injury
Work-related Injury
Work-related Illness
Medical Appointment
Family Leave Paid Maternity/Paternity
Unpaid Maternity/Paternity
Dependent Care
Personal Leave Compassionate Leave
Personal Business
Professional Leave Certification Classes
Meeting Attendance
Also, to assist with absence reporting and analysis, you can provide reasonsto select
from when recording employees' time taken for an absence type. For example, if you
Leave and Absence Management 4-7
need information to analyze the particular family-related responsibilities that cause
employees to miss work, you can define reasons for absence types as follows:
Example Absence Category, Types and Reasons:
Absence Category Absence Type Absence Reasons
Family Leave Paid Maternity/Paternity Birth of a child
Adoption of a child
Dependent Care Child Care
Elder Care
Disabled Care
Setup of Absence Types
Setting up each absence type is essentially a two-step process. One step involves
defining the type, that is, entering its name, and optionally selecting a category and
reasons for it. The other step involves defining an element to associate with the type.
This element serves two important purposes:
• It provides a way to maintain a running total of time taken for the absence type. The
Absence Detail window shows the running total of absences with an end date
before the effective date, and with an absence duration on record. Each absence can
add to, or subtract from, the running total, depending on how you define the
absence type.
• It provides a way to restrict employee eligibility for the absence type. The links you
build for the element establish which employees are eligible to use the type.
For example, if the absence type compassionate leave is available only to full time
employees, you link its element to the assignment category Full Time.
To hold a single running total of time taken for two or more absence types, you
associate all the types with the same absence element. For example, your absence
category Personal Leave may include two absence types you need for certain reporting
purposes, Compassionate Leave and Personal Business. However, you require just one
running total to be kept of employees' time taken for both types of personal leave. In
this case you simply associate both absence types with the same absence element.
Note: If you want to use absence types without recording accrued totals
or eligibility rules, you can define the type with no associated element.
4-8 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Absence Elements
You can associate each absence type with a recurring or nonrecurring absence element.
Each element has an input value with either hours or days as its unit of measure.
Using a Nonrecurring Element
Nonrecurring element entries are valid for one payroll period. When you enter an
absence of a type associated with a nonrecurring element, the application creates an
element entry for the period in which the absence start date falls. For example, if you
enter an absence that starts on 4 May for someone on a monthly payroll, the entry is
dated 01 May to 31 May.
The entry is only created when you enter the absence end date, and you must enter the
absence duration at the same time. The duration can be defaulted if you set up an
absence duration formula. The full value of the absence duration is recorded in the
absence element entry, even if the end date falls outside of the payroll period.
Using a Recurring Element
Important: This option is only available if you use Oracle Payroll and
the Proration functionality is enabled in your localization.
UK Users: If you use the Statutory Absence Payments feature you must continue to use
nonrecurring elements to record long term sick leave.
Use this approach if you want to begin processing absences before end dates are
recorded. You do not enter absence duration on the recurring element entry. Instead,
you use a payroll formula to calculate the absence duration to be processed in each
payroll period. Use the absence duration formula to calculate the duration displayed on
the Absence Detail window. This value is deducted from the current PTO accrual when
you enter an end date for an absence type that is associated with a PTO accrual plan.
Recurring element entries start on the absence start date and end on the absence end
date (if there is an end date). If the absence ends in the middle of a payroll period, the
payroll run detects and processes the absence using the proration functionality.
Absence Balance Information
When you define an absence type, you specify whether the application should maintain
an increasing balance, a decreasing balance, or no balance of time off. The balance isa
running total of the hours or days an employee has taken for the absence type, as
recorded in the Duration field.
Leave and Absence Management 4-9
Increasing Balances of Time Taken
As you would expect, an increasing balance for an absence type starts with no time
entered, and increases as you enter employees' hours or days absent. For example, if the
absence type Compassionate Leave has an increasing balance, the balance starts from
zero for each employee and increases by the number of hours entered for each absence
of this type.
Increasing balances are appropriate for most absence types. For absence types for which
your enterprise sets a maximum time allowed, the system issues a message when an
entry of time absent exceeds this maximum, or Oracle Alert can notify you when an
employee reaches the maximum time or takes excess time.
See: Oracle Alert User's Guide
When defining an absence type for a PTO accrual plan, you give it an increasing balance
that shows the employee's accrued time taken. When you record an absence using the
Absence Detail window, you can see the amount of accrued time a plan participant has
available for use as vacation or sick leave.
Decreasing Balances of Time Remaining
If your enterprise sets a maximum time allowed for an absence type, you have the
option of setting up a decreasing balance for this type, instead of an increasing balance. (If
the absence type is used for a PTO accrual plan, it is simpler to use an increasing
balance and an accrual formula that records an up-front accrual amount.)
For example, suppose your enterprise allows certain employees 32 hours leave per year
for professional development. The Professional Leave absence type can have a
decreasing balance, and an initial entry of 32 hours.
If you record an employee absence of 4 hours for this absence type, the decreasing
balance shows 28 hours still available to be taken.
Decreasing absence balances require more maintenance than increasing balances. They
need a prorated initial balance entry for all eligible new hires throughout the year, and
require resetting each year for all eligible employees.
Notice that an absence type cannot have both a decreasing and an increasing balance; it
has one or the other.
Initializing an Absence Balance
You can initialize or adjust an absence balance using the Element Entries window, or
the Element Entry API. You can also initialize a decreasing balance by entering a
negative value using BEE. For example, if you enter -16 hours using BEE, a decreasing
balance starts at 16 hours. However, be aware that using BEE creates an absence record
that will show on employees' absence history.
4-10 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Referencing Absent Time in Payroll Runs
You can define an absence element as an Information element or an Earnings element.
Using an Information Absence Element
If you define an Information absence element, you can use a recurring Earnings element
to manage the calculation and payment of vacation and sick pay. When you define the
absence element, you check the Database Item box for the input value that holds the
absence balance. Entries to this input value then become database items that formulas
for payroll calculations can access.
US Users: You will typically set up your absence elements in the Information
classification for employees who do not submit timecards (Timecard Required = No on
the Statutory Information tab of the Assignment window). If you are using the seeded
Regular Salary or Regular Wages elements, the payroll run creates indirect results for
the seeded Vacation Pay or Sick Pay elements when it finds absence entries in the
Vacation or Sickness categories. These elements appear on the Statement of Earnings,
but the Information elements do not. You do not need to set up any additional absence
Earnings elements for these employees.
Other localizations: Typically, you define an Earnings element to have a skip rule that
triggers processing when it finds an entry for the absence element. The element's
payroll formula uses the database item for the entry value so that it automatically gets
the sum of all the entries in the pay period. Then, using the salary database item to get
the salary or hourly rate, it calculates the total absence pay for the period. You can also
use the formula to reduce regular earnings for the period so employees do not get paid
twice.
The advantage of this approach is that it simplifies the processing of absence payments
into one calculation.
Using an Earnings Absence Element
Select the Earnings classification for absence elements if you want to process absences
individually in each payroll period. You can use these elements with Oracle Time and
Labor. This approach creates a one-line entry on the statement of earnings for each
absence type. Typically, you would create nonrecurring Sick and Vacation Pay earnings
elements. You can also create different absence elements for each rate or multiple of pay
if the element must appear on the statement of earnings as a different line item.
US Users: For employees who do submit timecards (making entries in BEE to the Time
Entry Wages element), you can create your absence elements as Earnings. This also
applies if you do not use the seeded Regular Salary and Regular Wages elements, and
you want your absence payment to show on the Statement of Earnings. Use the
Earnings window to initiate the element. Select the Category Regular and check the
Reduce Regular box.
Leave and Absence Management 4-11
Retrospective Entries and Adjustments
Oracle Payroll users: If you enter or update an absence retrospectively, or you delete an
absence that started in the past, these changes are listed in the Retro Notification report
the next time you run this report. This enables you to use RetroPay to correct any
payroll processing.
Setting Up Absence Management
Use the following steps to set up absence management.
1. If you want to associate recurring elements with absence types, you must set up
proration and retro notifications. This ensures that absences that end in the middle
of a payroll period are detected and processed by the payroll run, and that
retrospective changes to absences are recorded in the Retro Notifications report.
Note: Proration is available to Oracle Payroll users in selected
localizations only.
To set up proration and retro notifications, you must:
• Find all the dynamically generated triggers for the table
PAY_ELEMENT_ENTRIES_F in the Dynamic Trigger Definition window. (You
must deselect the Insert triggering action so that all the triggers are returned by
the Find.) Make sure the Generated and Enabled check boxes are checked for all
the continuous calculation triggers.
• Query the Incident Register functional area in the Functional Area Maintenance
window, and enter the business groups for which you want to enable proration
on the Business Group tab. Optionally, you can further secure the proration
functionality by selecting payrolls on the Payroll tab.
• Use the Table Event Group window to group the two events that you need to
detect to prorate absences - datetracked updates to absence start date and
absence end date. Select Proration for the event group type, and Payroll Period
for the proration period. In the Datetracked Events region, select DateTrack
Update as the update type, PAY_ELEMENT_ENTRIES_F as the table, and
EFFECTIVE_START_DATE and EFFECTIVE_END_DATE as the columns.
• Use the Table Event Group window to group the datetracked events on the
PAY_ELEMENT_ENTRIES_F table you want to track in the Retro Notifications
report. The event group type is Retro.
See: Setting Up Proration and Retro Notifications, page 7-25
2. Define an absence element, with at least one input value, for each absence type.
4-12 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Link this element to define who is eligible.
See: Defining and Linking an Absence Element, page 4-13
Note: Omit this step if you are setting up an absence type for which
you do not need to maintain a running total of time taken or
remaining, and you do not need eligibility rules.
US and Canada Payroll only: If you want to process the absence
element in the payroll run, generate it using the Earnings window.
Mexico only: If you want to process the absence element in the
payroll run, generate it using the Element Design Wizard.
3. Define categories of absence types as values for the Lookup Type
ABSENCE_CATEGORY, and your absence reasons as values for the Lookup Type
ABSENCE_REASON. In some legislations there are predefined categories and
reasons.
You can select the same reason for different absence types.
See: Adding Lookup Types and Values, Oracle HRMS Configuring, Reporting, and
System Administration Guide
4. Define each absence type, and associate it with an absence element.
See: Defining an Absence Type, page 4-15
Note: To keep a single record of employees' time taken for two or
more different absence types, you can associate the same element
with several types.
5. For an absence type with a decreasing balance, use BEE or the Absence Detail
window to initialize the absence balances for employees eligible for the type.
If you want to make batch entries, see Making Batch Element Entries Using BEE,
Oracle HRMS Configuring, Reporting, and System Administration Guide.
6. If you defined a recurring element, create a payroll formula that handles proration
to process the element and calculate the appropriate absence duration in each pay
period (taking into account the number of days or hours in a month, working and
shift patterns, public holidays, and so on).
Sample Proration Formulas, Oracle HRMS FastFormula User Guide
7. If you want to set up the application to calculate the duration of an absence
automatically, you have two options:
• Set the HR: Schedule Based Absence Calculation profile option to Yes, if you
Leave and Absence Management 4-13
want the application to use the worker's schedule and calendar events from
their primary assignment to calculate absence durations. To use this option, you
must first define schedules and calendar events that are relevant to your
enterprise and assign them to various levels in your work structures.
See: Setting Up Availability , Oracle HRMS Workforce Sourcing, Deployment, and
Talent Management Guide
• To calculate absence duration from the absence start and end dates without
using the schedules and calendar events information of an employee, create a
basic formula. If you want the absence duration calculation to update
automatically each time you change the absence dates, you must set the profile
option HR: Absence Duration Auto Overwrite to Yes.
See: Writing Formulas to Calculate Absence Duration, Oracle HRMS
FastFormula User Guide
Defining and Linking an Absence Element
Define an absence element in the Element window.
US and Canada Payroll only: If you want to process the absence element in the payroll
run, initiate it on the Earnings window instead of using the Element window.
Mexico only: If you want to process the absence element in the payroll run, initiate it
with the Element Design Wizard instead of using the Element window.
Spain only:If you want to compute the social security earnings you must use the
predefined elements for Sickness Details, Maternity Details, Part-time Maternity Details,
Pregnancy-at-Risk Details and Adoption Details.
To define an absence element:
1. Set your effective date to a day on or before the start of the first payroll period for
which you want to enter absences.
2. Enter a name for the element, and select the classification Information or Earnings.
Tip: Give the absence element and its absence type the same name,
or coordinate the element name with the type name. For example,
for the absence type Compassionate Leave, name the element
Compassionate Leave or Compassionate Leave Absence.
3. Enter a reporting name, for display on reports.
4. If you are creating a recurring absence element, select your absence element event
group in the Proration Group field. This field is only available to Oracle Payroll
4-14 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
users in certain localizations.
5. Select the processing type.
• Select Recurring if you want to be able to process absences that do not have an
end date and you want to apportion absence time correctly across payroll
periods.
Note: You can only select Recurring if you use Oracle Payroll and
the Proration functionality is enabled for your localization. (In this
case, you should see the Proration Group field on the Element
window)
• Select Nonrecurring if it is acceptable to record the full duration of the absence
in the payroll period in which the absence starts.
6. Select the termination rule. This is normally Actual Termination.
7. Check the Multiple Entries Allowed box if you want to enable employees to have:
• (Nonrecurring) More than one instance of the absence type within a pay period.
• (Recurring) Overlapping entries of the absence.
8. If this is an absence element for a PTO accrual plan, do not select Process in Run.
Uncheck this box if necessary.
If the element is recurring, ensure that the Process in Run box is checked so that the
absence duration can be calculated by the payroll run.
9. If employees must be a certain age or have served for a certain number of years to
be allowed this absence, enter this information in the Qualifying Conditions region.
Note: If this is an absence element for a PTO accrual plan, the plan
setup relates length of service to accrued time off. Do not make an
entry here for length of service.
10. Save the element, then choose the Input Values button.
11. In the Input Values window, create an input value to hold the amount of time
taken. Select units of Day, Hours in HH format, or Hours in Decimal Format (to
one, two, or three decimal places).
If you are defining an absence element for a PTO accrual plan, give the input value
the name Hours or Days, to accord with the unit of measure of the plan. When you
define the plan using the Accrual Plan window, this input value name appears in
Leave and Absence Management 4-15
the Units field of the Absence Information region.
Important: If you select Required for an input value, you must
select this input value on the Absence Attendance Type window.
Do not select Required for more than one input value.
New Zealand users only: You must also create the following input values:
• Seasonal Shutdown - for Annual Leave and Annual Leave Termination
elements
• Number of complete weeks - for the Special Leave and Protected Voluntary
Service Leave elements.
12. You can define minimum and maximum days or hours that can be entered in an
absence record. If you do this, select what happens if these limits are breached:
• Select Warning for the system to warn users but allow them to breach the limits.
• Select Error for the system to issue an error message and prevent users from
saving an entry that breaches the limits.
13. Save your work.
To link the absence element:
1. Set your effective date to a day on or before the start of the first payroll period for
which you want to enter absences.
2. In the Element Link window, select the absence element you defined.
3. Select eligibility criteria for this absence element, if appropriate. If you want to
make the element available to all employees, do not select any criteria.
4. Save the link. Then define the absence type associated with this absence element.
See: Defining an Absence Type, page 4-15
Defining an Absence Type
Use the Absence Attendance Type window to define an absence type and associate it
with an element.
To define an absence type:
1. Enter a name and category for the absence type.
4-16 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Tip: Give the absence type and its associated element the same
name, or coordinate the type name with its element name. For
example, name the absence type for a PTO accrual plan Salaried
Sick PTO Plan, and its associated element, Salaried Sick PTO
Absence.
2. Select Allow Absence Overlaps if absences of this type can overlap other absences.
If you deselect this option, the application warns you if you enter an absence that
overlaps another absence of any type.
3. In the Associated Element region, select the element defined for this absence type.
Select the element's input value that holds days or hours. The unit of measure for
the input value appears in the Units region.
4. In the Balance region, select Increasing if you want each absence entry to add to a
running total of time taken to date. The running total covers all absence types
associated with the selected element. Select increasing balances for absence types
for PTO accrual plans, and for most other absence types.
For absence types that have a set maximum amount of hours or days allowed, you
may select Decreasing. In this case, each absence recorded reduces an initial balance
to show time remaining to be taken for the type.
Note: Decreasing balances require more maintenance. You must
enter an initial balance amount for each new hire eligible for the
absence type, and must initialize the balance for all eligible
employees at the start of each year.
5. Optionally, select reasons that are valid for entries of this type of absence.
6. Save the absence type.
Setting Up an Absence Benefit Plan
You can set up absence benefit plans so that the Participation process checks employee
eligibility for the plans when it processes absence life events. You set up participant
eligibility profiles to determine which absence categories or types are valid for each
plan. Both Standard and Advanced Benefits users can set up absence benefit plans.
Tip: Use the same effective date, such as 01 Jan 1951, for all your
definitions
UK Users only: There are sample plans provided for Occupational Sick Pay and
Occupational Maternity Pay, called PQP OSP Plan and PQP OMP Plan. You can copy
Leave and Absence Management 4-17
these plans using Plan Design Copy and configure them to meet your needs. If you are
not using the sample plans, see: Creating Your Own Absence Plan, page 4-19.
Using the Sample Plans
To set up an absence benefit plan using a sample plan:
1. Set the BEN:Enable Absence Plans Functionality profile option to Yes for the users
or responsibilities who will enter absences for absence benefit plans, if you want
them to run the Participation Process to process the absence life events. This
displays the Enroll Absences button on the Absence Detail window.
See: System Profile Values Window, Oracle Applications System Administrators Guide
2. In the Submit Requests window, select the process Plan Design Copy - ImportIn the
Data File parameter, enter the file pqgbgapl.ldt, which is located at
patch/115/import/us in Product Top: PQP.
See: Importing a Plan Design From a File, page 1-123
3. Use Plan Design Copy to copy the imported plan. In the Process Name field, enter
PQP GB OSP/OMP Absence Plan.
See: Copying a Program or Plan, page 1-119.
Tip: First make a copy of the seeded plan in your business group
without entering any prefix or suffix for your copy. Select the first
option on the Enter Target Details page, which is "Reuse existing
objects if current name exists in the target." Then you can make
further copies of this copy to configure your plans. When you make
further copies, you can select the same option if you want plans to
share objects, such as eligibility profiles, or you can select the
option "Reuse existing objects if new name exists in target".
4. Write or configure any formula rules you require, such as the following:
Important: The formulas attached to the sample plans are for UK
users only. In other legislations, you must create your own
formulas.
4-18 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Rule Formula Type Supplied Examples (UK
Only)
Eligibility rule Participation Eligibility PQP_OSP_PARTICIPATIO
N_
ELIGIBILITY_PROFILE_OT
HER_RULE
PQP_OMP_PARTICIPATIO
N_
ELIGIBILITY_PROFILE_OT
HER_RULE
Person Change Person Change Causes Life
Event
PQP_GB_BEN_ABSENCE_S
TART_LER_
PERSON_CHANGE_RULE,
PQP_GB_BEN_ABSENCE_E
ND_LER_
PERSON_CHANGE_RULE,
PQP_GB_BEN_ABSENCE_
DELETE_LER_
PERSON_CHANGE_RULE
Extra Input Rule Extra Inputs PQP_OSP_STANDARD_RA
TES
_GENERAL_EXTRA_INPU
T_RULE
PQP_OMP_STANDARD_R
ATES
_GENERAL_EXTRA_INPU
T_RULE
Length of service rate Length of Service
Calculation
PQP_OSP_STANDARD_RA
TES
_CALCULATION_METHO
D_VALUE_RULE
PQP_OMP_STANDARD_R
ATES
_CALCULATION_METHO
D_VALUE_RULE
See: Total Compensation Formula Types, Oracle HRMS FastFormula User Guide
5. Ensure you have Program/Plan years set up.
See: Defining a Program or Plan Year Period, page 1-115
6. Select the appropriate Person Changes for the three absence life event reasons,
Leave and Absence Management 4-19
created by the Plan Design Copy process. There is one life event reason for each Life
Event Operation Code: Start Event, End Event, Delete Event.
Note: You only perform this step once. You use the same life event
reasons for all your absence plans.
• The Start Absence life event reason must detect changes to any columns except
the end date. Use the Person Change formula rule you created in step 4 to
define the columns you want to use to trigger this life event.
UK users: You must attach the PQP_GB_BEN_ABSENCE_
START_LER_PERSON_CHANGE_RULE formula to the absence start life event
• You can also use formula rules to define the person changes that trigger the
End Absence and Delete Absence life events too.
See: Life Event Definition, page 5-61
7. Query the absence plan in the Plans window, and change the status from Pending
to Active. Choose the Details button and select your plan periods.
See: Defining a Benefits Plan, page 1-97
You have completed the plan setup based on a seeded plan, but make sure you
complete the Next Steps, page 4-23.
Creating Your Own Absence Plan
To set up an absence benefit plan without using the sample plans:
1.
Set the BEN:Enable Absence Plans Functionality profile option to Yes for the users
or responsibilities who will enter absences for absence benefit plans, if you want
them to run the Participation Process to process the absence life events. This
displays the Enroll Absences button on the Absence Detail window.
See: System Profile Values Window, Oracle Applications System Administrators Guide
2.
Write or configure any formula rules you require, such as the ones shown in the
following table.
Note: UK users: If you want to use the supplied formulas, you must
run the following scripts:
• PQPGBLER.SQL script to create the life event formulas
• PQPGBOSP.SQL script to create the OSP formulas
• PQPGBOMP.SQL script to create the OMP formulas
4-20 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Rule Formula Type Supplied Examples (UK
Only)
Eligibility rule Participation Eligibility _OSP_PARTICIPATI
ON_
ELIGIBILITY_PROFILE_OT
HER_RULE _OMP_PARTICIPATI
ON_
ELIGIBILITY_PROFILE_OT
HER_RULE
Person Change Person Change Causes Life
Event
PQP_GB_BEN_ABSENCE_S
TART_LER_
PERSON_CHANGE_RULE,
PQP_GB_BEN_ABSENCE_E
ND_LER_
PERSON_CHANGE_RULE,
PQP_GB_BEN_ABSENCE_
DELETE_LER_
PERSON_CHANGE_RULE
Extra Input Rule Extra Inputs _OSP_STANDARD_R
ATES
_GENERAL_EXTRA_INPU
T_RULE _OMP_STANDARD_
RATES
_GENERAL_EXTRA_INPU
T_RULE
Length of service rate Length of Service
Calculation
_PQP_OSP_STANDA
RD_RATES
_CALCULATION_METHO
D_VALUE_RULE _PQP_OMP_STAND
ARD_RATES
_CALCULATION_METHO
D_VALUE_RULE
See: Total Compensation Formula Types, Oracle HRMS FastFormula User Guide
3. Define a new plan type, selecting Absences as the Option Type.
See: Defining Plan Types, page 1-95
Leave and Absence Management 4-21
4. Ensure you have Program/Plan years set up.
See: Defining a Program or Plan Year Period, page 1-115
Eligibility Profiles
5. Create a participant eligibility profile for each absence benefit plan.
Important: Ensure that these profiles are exclusive: participants
must only be eligible for one plan at a time.
• Ensure that your eligibility profile checks that the absence is for the appropriate
absence category, such as sickness. You can further restrict eligibility to one or
more absence types.
• UK users: Choose the Others tab and select Rule. Select the supplied rule _OSP_PARTICIPATION_ ELIGIBILITY_PROFILE_OTHER_RULE for an
OSP scheme, or _OMP_PARTICIPATION_ELIGIBILITY_PROFILE_ OTHER_RULE for
an OMP scheme, or another formula that you have created.
See: Defining an Eligibility Profile, page 1-141
Life Event Reasons
6.
Create three life event reasons, all of type Absence, and one for each Life Event
Operation Code: Start Event, End Event, Delete Event.
Note: You only perform this step once. You use the same life event
reasons for all your absence plans.
• Select the Person Changes that trigger these life events. The table is
PER_ABSENCE_ATTENDANCES. Select columns and values as follows:
Life Event Column Old Value New Value
Start Absence DATE_START any value any value
End Absence DATE_END any value any value
Delete Absence DATE_START any value no value
• The Start Absence life event reason must detect changes to any columns except
the end date. Use the Person Change formula rule you created in step 2 to
4-22 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
define the columns you want to use to trigger this life event.
UK users: You must attach the PQP_GB_BEN_ABSENCE_
START_LER_PERSON_CHANGE_RULE formula to the absence start life event
• You can also use formula rules to define the person changes that trigger the
End Absence and Delete Absence life events too.
See: Life Event Definition, page 5-61
Plan
7. Define the absence plan.
• Select your plan type.
• Select May Not Be In Program for the Plan Usage.
See: Defining a Benefits Plan, page 1-97
• On the Eligibility Rates tab, check all the check boxes. Select Participant in the
Eligibility Check field.
See: Defining Eligibility and Activity Rate Requirements for a Plan, page 1-100
• On the Not in Program tab, enter a Sequence number and the activity rate
details.
UK users: Select Per Pay Period for the Enrolment Rate/Frequency and select a
value, such as Monthly, for the Activity Reference Period.
See: Defining a Plan Not in a Program, page 1-103
• Choose the Details button and select your plan periods. Return to the Plans
window.
See: Maintaining Plan Related Details, page 1-106
• Choose the Plan Eligibility button then the Eligibility button. Select your
eligibility profile on the Profile tab. Close this window.
See: Defining Participant Eligibility Criteria for a Compensation Object, page 1-
89
• Choose the Life Event button. Select your End Absence life event and select
Ineligible in the Eligible/Ineligible field.
See: Associating a Life Event Reason With a Compensation Object, page 1-91
Enrollment Requirements
8. Define the plan enrollment requirements.
Leave and Absence Management 4-23
• Choose the General tab, the Plan tab, then Enrollment. Select Automatic in the
Method field.
• Select Current Can Keep or Choose; New Can Choose as the Enrollment Code.
See: Defining an Enrollment Method for a Plan, page 5-99
• Choose Coverage. Select Event as the Enrollment Coverage Start Date Code and
End Date Code.
See: Defining Enrollment Coverage Requirements for a Plan , page 5-101
• Choose Rates. Select Event as the Rate Start Date Code and End of Pay Period
as the Rate End Date Code.
• Choose the Timing tab and the Life Event tab. Select Life Event as the
Enrollment Type. Select your Start Absence life event in the Life Event column
and select When Elections are Made as the Close Enrollments Date to Use.
See: Defining Requirements for a Life Event Enrollment for a Plan, page 5-111
• Click on General and choose the Periods region. Select As of Event Date for the
Enrollment Period Start Date, and End of Pay Period for the Enrollment Period
End Date.
Next Steps
Define or generate the elements required for the plan, then define a standard rate for
the plan to calculate values for the absence element entry.
UK Users: Use the Absence Scheme Creation template, then set up the generated
user-defined tables, and define a standard rate for the absence plan (or configure the
copied rate if you are using a copy of the seeded plans).
4-24 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
PTO Accruals Setup
Accrual Plan Structure
In Oracle HRMS, accrual plans are based on elements, formulas, and a net accrual
calculation. All of these are available for you to configure so you have complete control
over the rules underlying your plans.
Oracle HRMS does not store net accrual totals. It calculates gross accruals dynamically
by calling the Accrual formula. The net accrual calculation specifies the element entries
that should add to or subtract from this figure to create the net entitlement.
If you use Oracle Payroll, you can set up your accrual plan so that gross accruals are
stored in a payroll balance. Each payroll run retrieves the latest balance and calls the
accrual formula to calculate new accruals since the end of the last payroll period. This
approach - using a payroll balance - is optional but provides performance
enhancements if you need to calculate accruals in a batch process. See: Accrual Balances
Maintained By the Payroll Run, page 4-29.
The table below further explains the role of the elements, formulas, and net accrual
calculation.
Leave and Absence Management 4-25
This aspect of an accrual
plan ...
Is for... Generated Automatically?
Absence element Storing entries of days or
hours absent.
No
Accrual plan element Enrolling employees in the
accrual plan.
Yes
Carry Over element Storing unused time at end of
plan term; Carry Over process
makes entry.
Yes
Residual element Storing unused time that
cannot be carried over at end
of plan term; Carry Over
process makes entry.
Yes
Payroll balance element Feeding the payroll balance
that stores gross accruals;
payroll run makes entry.
Yes
Tagging element Identifying absences and
other element entries that
have been entered
retrospectively and not yet
included in the gross accrual
calculation. The payroll run
creates a tagging element
entry and updates accrual
accordingly.
Yes
Other elements Storing other amounts of time
to be included in the net
accrual calculation (such as
time bought and sold); you
create any other elements
your plan requires.
No
Accrual formula Calculating gross accrual to
date
No, but predefined examples
4-26 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
This aspect of an accrual
plan ...
Is for... Generated Automatically?
Carry Over formula Returning the maximum
permitted time an employee
can carry over, and the
effective date and expiry date
of the carry over; called by the
Carry Over process.
No, but predefined examples
Ineligibility formula Checking whether an
employee is eligible to use
accrued PTO on the effective
date of an absence entry made
by BEE (Batch Element Entry);
called by BEE validation.
NOTE: This formula is not
required if you enter the
plan's ineligibility period in
the Accrual Plan window.
No, but predefined examples
Payroll formula Calling the accrual formula
during a payroll run and
returning the gross accrual to
the payroll balance element,
which feeds the payroll
balance.
Yes
Net accrual calculation Defining which element
entries add to or subtract
from the gross accrual to
create net.
Yes, but you can update
Payroll balance Storing the gross accrual so
that batch processes do not
have to recalculate the accrual
from the beginning of the
accrual term each time they
are run.
Yes
Accrual Elements
For each accrual plan, you define and link an absence element and then define a plan
using this absence element. The system generates elements for the plan.
Leave and Absence Management 4-27
Generated Elements
The system generates the following elements when you save a new accrual plan:
• An element representing the plan and which has the same name as the plan. You
use this element to enroll participants in the plan.
• An element to hold participants' unused PTO that is available for carry over to the
next year.
• An element to hold residual PTO, that is, unused PTO not available for carry over
under plan rules.
If you use Oracle Payroll and have elected to store gross accruals in a payroll balance,
the system also generates:
• An element to feed a payroll balance. This element receives an entry from the
accrual formula during a payroll run.
• A tagging element, which the payroll run uses to keep track of retrospective
absences (and other element entries included in the net accrual calculation) that
need to be included in the gross accrual calculation.
The Carried Over and Residual elements have input values that automatically receive
entries when you run the PTO Carry Over process:
• Hours or Days (depending on the plan's units)
• Effective Date
• Expiry Date (on the Carry Over element), which is the date by which the employee
must use the carried over time.
Oracle HRMS automatically links these elements using the same link criteria that you
created for the absence element associated with the plan. If you change the links for the
absence element, you should also update the links for the other plan elements.
Other Elements
Your enterprise may require other elements to reflect individual plan policies. For
example:
• Employees may be permitted to sell back PTO they have accrued but not used.
• Employees may also be permitted to purchase additional PTO in certain
circumstances.
• You may need to store time in a special balance after running the Carry Over
4-28 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
process, such as a balance of time that can be carried over for several plan terms
and is not subject to the usual expiry date
• You may need an element for entering unused PTO from another plan that is being
transferred to this plan on enrollment.
These policies are not standard across enterprises. So, in Oracle Human Resources you
can define elements, configured to your own requirements, for entering or storing these
accrual amounts.
Accrual Formulas
Most accrual plan rules are incorporated in two formulas:
• An Accrual formula, which calculates the amount of PTO accrued at any given
time, and
• A Carry Over formula, which returns the maximum amount of accrued time that a
plan participant can carry over to the next plan period, the date on which this carry
over is effective (normally the first day of the new accrual term), and any expiry
date by which the carried over PTO must be used, or forfeited.
When the Formulas Are Run
The Carry Over formula is called by the Carry Over process. When the Accrual formula
is run, it always receives a calculation date as input, as shown in the following table.
Accrual formula is run when you: Calculation date is:
Enter an absence associated with an accrual
plan and open the Associated Accrual Plans
window. Accrual formula is run three times to
calculate the time accrued before and after the
current absence, and at the end of the plan
term
Start date of the absence, or Day before the
start date of the absence, or End of plan term
View PTO entitlement in the Accruals
window
Effective date entered in Change Effective
Date window
Run the Carry Over process Entered as a parameter
Run your payroll and some other batch
processes (Oracle Payroll users only)
The date paid, or date earned, of the current
payroll run - determined by the PTO Balance
Type selected for your business group
Leave and Absence Management 4-29
Examples of Plan Rules
These formulas can access certain data that is available as database items. For example,
they can use hire date, plan enrollment date, grade, job, assignment status, assignment
category (full time/part time), hours worked, or pay elements to determine:
• The employee's entitlement each accrual period
• Any accrual ceiling beyond which the employee will accrue no more time
• The maximum amount that can be carried over to the next accrual term
These values can be embedded in the formulas, or entered in a user table. If they vary
with length of service, which is a common criterion for accrual bands, they can be
entered in the Accrual Bands window when you define the accrual plan.
Some accrual plans allow new hires to accrue time from the date of their hire. Others
allow accrual to begin at the start of the next accrual term, or six months after hire, or
some other start date. Some plan rules incorporate a period of ineligibility, when a new
employee can accrue time but not use it. Start rules such as these can be incorporated in
your Accrual formulas.
Note: Depending on how you define the ineligibility period, you may
have to associate an Ineligibility formula with your plan, if you want to
make absence entries using BEE (Batch Element Entry). See: Period of
Ineligibility, page 4-40.
Adding Your Own Plan Rules
Some formulas are seeded. You can use these, as supplied, or use them as models to
create your own, incorporating the rules required for your accrual plans.
Accrual Balances Maintained By the Payroll Run
If you use Oracle Payroll, you can choose to use a payroll balance to store gross accruals
for an accrual plan. You do this by selecting a balance dimension (such as calendar year
to date) when you define the accrual plan. The system then automatically generates the
balance and other components you require.
Why Use a Payroll Balance?
Some batch processes, such as the US Check Writer, call the accrual formula to calculate
PTO accruals for each assignment. If you use such processes, you will benefit from
faster batch processing if you set up your accrual plan to use a payroll balance. This
reduces the number of calculations the formula has to perform.
4-30 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
How The Balance Is Maintained
The payroll balance is maintained by the payroll run. When the payroll run processes
an accrual plan element entry, it calls an Oracle Payroll formula associated with the
accrual plan element. This formula calls your accrual formula to calculate the gross
accrual, passing in the following information:
• The name of the database item for the payroll balance, so the accrual formula can
retrieve the number of days or hours currently in the payroll balance
• Date to begin calculating new accruals, which is the day after either the Date
Earned or the Date Paid of the last payroll period in which the assignment was
processed
You can choose whether the formula uses Date Paid or Date Earned by selecting the
Payroll Balance Type for your business group in the Organization window.
Date Earned is the date the payroll run uses to determine which element entries to
process. In North America (and typically elsewhere too) it is the last day of the
payroll period being processed. Date Paid is the date that appears on pay advices.
The payroll run uses this date to select taxation rules, and store balances. In some
legislations, these dates are always the same.
• Calculation date, which is either the date earned or the date paid of the payroll run
The accrual formula returns the new gross accrual to an element that feeds the balance.
So normally the formula only has to calculate accruals since the last payroll run, and
add this value to the existing payroll balance. However, if the accrual formula finds
retrospective absences or other assignment changes that affect entitlement, it
Leave and Absence Management 4-31
recalculates accruals for the whole accrual term. This processing ensures that the
employee receives their full accrual entitlement.
Note: You can also force the payroll run to recalculate accruals for the
full accrual term by setting the action parameter Reset PTO Accruals to
"Y" before running a payroll for a set of assignments. Update the
parameter to "N" after processing these assignments to ensure faster
processing in your normal run.
Example
Supposing an accrual plan has a ceiling of 10 days, and two days accrual per month. An
employee has a net accrual of 10 at the end of May. The June payroll run does not
award any new accrual to this employee because the net accrual must not exceed the
ceiling. However, in July the employee's manager enters five days vacation in May,
retrospectively. The July payroll run recalculates the accrual and updates the gross
accrual balance to 14. The net accrual is now nine (14 minus 5).
How To Set Up An Accrual Plan To Use a Balance
If you want the payroll run to maintain an accrual balance, you must use a formula that
supports balances. This means that the system can pass the latest accrual balance to the
formula, along with the date to start calculating new accruals to add to the balance.
You can use or configure one of the following seeded formulas:
• PTO_HD_ANNIVERSARY_BALANCE
• PTO_PAYROLL_BALANCE_CALCULATION
• PTO_SIMPLE_BALANCE_MULTIPLIER
You must also select a balance dimension when you define the accrual plan. The
balance dimension controls the period of time over which the balance accumulates
before it is reset to zero. Three types of dimension are predefined:
Note: For each type, there are two dimensions. Use the Date Earned
dimension (such as _ASG_PTO_DE_YTD) if you selected Date Earned
as the PTO Balance Type for your business group. Otherwise use the
Date Paid dimension (such as _ASG_PTO_YTD).
See: Business Groups: Selecting a PTO Balance Type, Oracle HRMS
Enterprise and Workforce Management Guide
• _ASG_PTO_YTD and _ASG_PTO_DE_YTD
The balance accumulates over a calendar year, resetting on 01 January. Select one of
4-32 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
these dimensions if you are using the
PTO_PAYROLL_BALANCE_CALCULATION formula.
• _ASG_PTO_SM_YTD and _ASG_PTO_DE_SM_YTD
The balance accumulates over a year, resetting on 01 June, or at the end of the
payroll period that contains this date. Select one of these dimensions if you are
using the PTO_SIMPLE_BALANCE_MULTIPLIER formula.
• _ASG_PTO_HD_YTD and _ASG_PTO_DE_HD_YTD
The balance accumulates over a year, resetting on the anniversary of the employee's
hire date, or at the end of the payroll period that contains this date. Select one of
these dimensions if you are using the PTO_HD_ANNIVERSARY_BALANCE
formula.
For further information on balance dimensions, see the technical essay: Balances in
Oracle Payroll, Oracle HRMS Implementation Guide.
Notice that the Oracle Payroll formula, payroll balance, element that feeds the balance,
element link, and formula processing and result rules are all generated by the system
when you save your accrual plan.
If you want Oracle Payroll to recalculate the accrual balance from the beginning of the
accrual term when there are retrospective assignment changes that affect entitlement,
you must ensure your accrual formula can track these changes. You enable a trigger for
assignment updates, define an event group for the assignment changes you want to
track, and ensure your PTO accrual formula references this event group. See: Setting Up
PTO Accrual Plans, page 4-46.
Note: The predefined PTO_PAYROLL_BALANCE_CALCULATION
formula handles retrospective changes to assignment status.
Net Accrual Calculation
Oracle HRMS uses the following calculation for an employee's net accrual:
Net PTO accrual = (Accrued PTO + PTO carried over) - PTO taken to date
Accrued PTO is the sum of regular accruals to date in this accrual term, calculated by
your Accrual formula.
PTO Carried Over is the hours or days carried over from the previous accrual term,
obtained from the plan's Carried Over element.
PTO Taken To Date is all PTO taken in this accrual term, obtained from the entries to
the plan's absence element.
You may require a more complex calculation of net accruals, perhaps to take some
account of time stored in the residual PTO element, or to take account of time entered
Leave and Absence Management 4-33
on other elements that you have created. You cannot change the predefined rules for
PTO taken to date (the absence element) and PTO carried over, but you can add your
own rules in the Net Calculation Rules window.
Notice that the system does no automatic processing of the entries of employees'
residual PTO. Your enterprise may want to use these entries to inform employees of
accrued but unused time they may forfeit, or to make payments for part or all of this
time.
Seeded Accrual Type Formulas
There are four seeded formulas (of formula type Accrual) for calculating accruals. Each
repeatedly calls another formula (of type Accrual Subformula), in a loop, to calculate
the accrual for each accrual period. There is a Carry Over formula supplied to use with
each Accrual formula. The top level seeded Accrual formulas are:
• PTO_PAYROLL_BALANCE_CALCULATION
• PTO_SIMPLE_BALANCE_ MULTIPLIER
• PTO_ROLLING_ACCRUAL
• PTO_HD_ANNIVERSARY_BALANCE
The formulas with "Balance" in their names can be called from the payroll run to
maintain a balance of gross accruals. See: Accrual Balances Maintained By the Payroll
Run, page 4-29.
4-34 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Note: There are also two seeded formulas called
PTO_PAYROLL_CALCULATION and PTO_SIMPLE_MULTIPLIER.
These incorporate the same rules as
PTO_PAYROLL_BALANCE_CALCULATION and
PTO_SIMPLE_BALANCE_ MULTIPLIER, except that they cannot be
called from the payroll run to maintain a balance of gross accruals. We
recommend that you use the formulas that support balances so you can
use balances now or in the future.
Ineligibility Formula
There is also a seeded Ineligibility formula:
• PTO_INELIGIBILITY_CALCULATION
You may require an Ineligibility formula if you use BEE (Batch Element Entry) to enter
absences against an accrual plan. BEE validation must ascertain whether an employee is
eligible to use accrued PTO on the effective date of an absence entry in a batch line. First
it checks the Accrual Plan table, so if you enter the period of ineligibility in the Accrual
Plan window, you do not need to create an Ineligibility formula.
If there is no ineligibility information in this table, BEE validation checks whether there
is an Ineligibility formula to call. You need an Ineligibility formula if you use BEE and
you calculate the period of ineligibility within your Accrual formula, rather than
entering it in the Accrual Plan window. This formula is only used by BEE.
Note: If you use the seeded formulas, you do not need an Ineligibility
formula, because these formulas take the ineligibility period from the
Accrual Plan table.
Description of Seeded Accrual Formulas
This section describes the main features of each of the seeded formulas. The rules are
summarized, later, in tables.
PTO_PAYROLL_BALANCE_CALCULATION
This formula calculates accruals in the same way as the accrual function in earlier
releases of Oracle HRMS. It calls another formula which is called
PTO_PAYROLL_PERIOD_ACCRUAL. It is designed to be used with the Carry Over
formula PTO_PAYROLL_CARRYOVER.
These formulas are based on the following rules:
• An accrual term of one calendar year, starting 1 Jan. So, accrual calculations restart
at the beginning of each calendar year.
Leave and Absence Management 4-35
• An accrual frequency based on the participant's pay periods. So, employees on a
monthly payroll accrue time each month, employees on semi-monthly payrolls
accrue time twice each month, and so on. PTO accrual occurs automatically for each
eligible plan participant on the last day of his or her pay period, independently of
any payroll run.
• Accrual amounts and ceiling are determined by length of service.
• Accruals are prorated for suspended assignments.
• Carry over is always effective on 31 Dec of the plan year being processed. So, if you
run the Carry Over process and specify the parameters '15 January 2000' and
'Previous' (plan year), the formula calculates the carry over for the year 1 Jan to 31
Dec 1999 and the result has the effective date 31 Dec 1999.
• Carry over expires at the end of the plan year. So carried over time with the
effective date 31 Dec 1999 must be used before 31 Dec 2000.
• Maximum carryover depends on length of service bands.
PTO_SIMPLE_BALANCE_MULTIPLIER
This is a simple formula to provide a useful starting point for your own accrual plans. It
calls another formula, called PTO_SIMPLE_PERIOD_ACCRUAL. It is designed to be
used with the Carry Over formula PTO_SIMPLE_CARRYOVER.
These formulas are based on the following rules:
• An accrual term of one calendar year, starting 1 June. So, accrual calculations restart
at the beginning of each June.
• An accrual frequency of one month.
• Accrual amounts and ceiling are fixed within the formula.
• Carry over is always effective on 31 May of the plan year being processed.
• Carry over expires at the end of the plan year. So carried over time with the
effective date 31 May 1999 must be used before 31 May 2000.
• Maximum carry over is fixed within the formula.
PTO_HD_ANNIVERSARY_BALANCE
This formula is very similar to PTO_SIMPLE_BALANCE_MULTIPLIER, but the accrual
start date is the anniversary of the employee assignment's hire date.
4-36 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Note: Notice that the accrual term starts on the anniversary of the hire
date. It is not affected by the entry of a continuous service date for an
employee on enrollment in the plan. The continuous service date affects
length of service calculations (for accrual bands and calculation of
period of ineligibility), but it does not affect the accrual term.
PTO_ROLLING_ACCRUAL
This is an example formula for an accrual plan that does not have a fixed term start
date. It calls the formula PTO_ROLLING_PERIOD_ACCRUAL. It is designed to be
used with the Carry Over formula PTO_ROLLING_CARRYOVER. (Although carry
over is not relevant to rolling accrual plans, you must select this formula for your
accrual plan. It returns an effective date to the Absence Detail window.)
These formulas are based on the following rules:
• An accrual term of one calendar year, with no fixed start date. Accruals are
calculated for the previous 12 months.
• An accrual frequency of one month.
• Accrual amounts and ceiling are fixed within the formula.
• Carry over is not relevant, since the accrual term never ends, but rolls forward.
Time is lost if it is not used within 12 months.
Summary of Rules in Seeded Formulas
The following tables summarize the rules incorporated in the seeded Accrual formulas.
Length of Accrual Term
All Seeded Formulas
One year
Accrual Term Start Date
Leave and Absence Management 4-37
PTO_PAYROLL_BALANCE
_CALCULATION
PTO_SIMPLE_BALANCE_M
ULTIPLIER and
PTO_HD_ANNIVERSARY_B
ALANCE
PTO_ROLLING _ACCRUAL
1 January 1 June
(PTO_SIMPLE_BALANCE_M
ULTIPLIER)
Anniversary of hire date
(PTO_HD _ANNIVERSARY
_BALANCE)
No fixed date; accruals
calculated for preceding 12
months
Accrual Frequency
PTO_PAYROLL_BALANCE
_CALCULATION
PTO_SIMPLE_BALANCE_MULTIPLIER,
PTO_HD_ANNIVERSARY_BALANCE, and
PTO_ROLLING_ACCRUAL
Payroll period Monthly
Accrual Amount
PTO_PAYROLL_BALANCE
_CALCULATION
PTO_SIMPLE_BALANCE _MULTIPLIER,
PTO_HD_ANNIVERSARY_BALANCE, and PTO_ROLLING
_ACCRUAL
Depends on length of service
accrual bands
A fixed amount per month (2 days)
Accrual Ceiling
Note: For all the formulas, the accrual ceiling is a limit at which the
employee will accrue no more time. However, net accrual can exceed
the ceiling if you have made an entry of the Carry Over element, or
another adjustment element affecting net calculation rules. If you have
adjusted net accrual so that it exceeds the ceiling, the employee will
accrue no time until net accrual falls below the ceiling.
4-38 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
PTO_PAYROLL_BALANCE
_CALCULATION
PTO_SIMPLE_BALANCE _MULTIPLIER,
PTO_HD_ANNIVERSARY_BALANCE, and PTO_ROLLING
_ACCRUAL
Depends on length of service
accrual bands
Set within the formula to 20 days
Length of Service
All Seeded Formulas
Uses continuous service date (if present) or hire date. Note: continuous service date is entered
using an input value on the accrual plan element.
Accrual Start Date for New Hires
PTO_PAYROLL_BALANCE
_CALCULATION
PTO_SIMPLE_BALANCE _MULTIPLIER,
PTO_HD_ANNIVERSARY_BALANCE, and PTO_ROLLING
_ACCRUAL
Choice of start rules on
Accrual Plan form: hire date,
or six months after hire date,
or 01 Jan after hire date
Accrual starts in the first
accrual period after the
chosen date (or plan
enrollment date if this is
later).
Accrual starts in the first accrual period after hire date or plan
enrollment date, whichever is later.
Period of Ineligibility
All Seeded Formulas
Accrued amounts are not credited until end of period of ineligibility (entered on Accrual Plan
form), which is calculated from the hire date (or continuous service date if this was entered).
Note that accrued amounts are not carried forward if the end of the accrual term falls within
the ineligibility period.
Leave and Absence Management 4-39
Calculation of Gross Accrual
PTO_PAYROLL_BALANCE
_CALCULATION
PTO_SIMPLE_BALANCE
_MULTIPLIER and
PTO_HD_ANNIVERSARY_B
ALANCE
PTO_ROLLING _ACCRUAL
Sums accruals in all full pay
periods of the year ending on
or before the calculation date;
takes account of any
employee termination date,
accrual start rules, ineligibility
period, assignment status,
and accrual ceiling.
Sums accruals in all full
months of the year ending on
or before the calculation date;
takes account of any
employee termination date,
ineligibility period, and
accrual ceiling.
Sums accruals in the 12
months ending on or before
the calculation date;
takes account of any
employee termination date,
ineligibility period, and
accrual ceiling.
Suspended Assignments
PTO_PAYROLL_BALANCE
_CALCULATION
PTO_SIMPLE_BALANCE
_MULTIPLIER and
PTO_HD_ANNIVERSARY_B
ALANCE
PTO_ROLLING _ACCRUAL
Calculates the number of
working days (Monday to
Friday) in the payroll period
and checks assignment status
for each day. Multiplies
normal accrual rate by active
days divided by working
days, to prorate the accrual.
No processing of assignment
status.
No processing of assignment
status.
Changing and Adding Rules in Formulas
If you write your own formulas (perhaps using the simple multiplier or rolling accrual
formula as a basis) you can change any of these rules and add new rules as required.
However, your formulas must return certain values and must check for certain
conditions (such as employee termination) to avoid errors.
For information about required formula content, see: Writing Formulas for Accrual
Plans, Oracle HRMS FastFormula User Guide.
For a sample accrual formula and suggestions on how to edit it to incorporate a whole
range of plan rules, see: Sample Accrual Formula, Oracle HRMS FastFormula User Guide.
4-40 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Accrual Start Date for New Hires
Using the seeded PTO_PAYROLL_BALANCE_CALCULATION formula, accrual of
PTO begins on a fixed date each year (01 January). For each plan that uses this formula,
you can select a value in the Accrual Start field of the Accrual Plan window. This
specifies when newly hired employees start to accrue PTO. The seeded choices are:
• Hire Date
• Beginning of Calendar Year after their hire date
• Six Months after Hire Date
If you need additional start rules, you can define them as values for the Lookup Type
US_ACCRUAL_START_TYPE. You must add a line to the seeded formula to calculate
the accrual start date using your new start rule.
The other seeded formulas (PTO_SIMPLE_BALANCE_MULTIPLIER,
PTO_HD_ANNIVERSARY_BALANCE, and PTO_ROLLING_ACCRUAL) do not use
values in the Accrual Start field. For plans using these formulas, new hires begin
accruing on their hire date or plan enrollment date, whichever is later.
If you are writing your own accrual formulas, you can choose whether to use the
Accrual Start field on the Accrual Plan form to specify start rules for new hires. This is
only useful if you are using the same formula for several accrual plans with different
start rules. Otherwise you can specify the start rule within the formula.
Period of Ineligibility
Some accrual plans require participants to work for a period of time, perhaps three or
six months, before they are eligible to use accrued PTO. They accrue time at the usual
rate during this time, but it is not registered on the system until the Period of
Ineligibility expires. If plan participants take vacation or sick leave during this period,
the system displays a negative value for accrued time. Many enterprises set up an
absence type for "approved but unpaid leave" to use for absences taken during periods
of ineligibility.
You can enter the period of ineligibility on the Accrual Plan form. The seeded Accrual
formulas illustrate how a formula should use the entered values. They calculate the
period of ineligibility from the continuous service date (if it was entered) or the
employee's hire date.
Alternatively, you can define the period of ineligibility within your Accrual formula.
Note: If you use the seeded formulas, time accrued during the
ineligibility period is not carried over if the end of the accrual term falls
within the ineligibility period.
Leave and Absence Management 4-41
Batch Element Entry and the Ineligibility Period
If you want to use Batch Element Entry (BEE) to make absence entries against the
accrual plan, the BEE validation process must be able to check when the ineligibility
period expires.
• If you record the ineligibility period for the plan on the Accrual Plan form, BEE
retrieves the ineligibility period directly from the table. It interprets it as a period of
time from the employee's continuous service date or hire date.
• If the period of ineligibility is defined within your Accrual formula, you must
associate an Ineligibility formula with the plan. BEE calls the formula, which
returns Y or N to indicate whether the employee is eligible to use accrued PTO on
the date supplied by BEE. This formula should calculate the end of the ineligibility
period in the same way as the Accrual formula for the plan.
If the employee is not eligible, the BEE validation process creates a warning on the
batch line for the absence entry.
Note: If you use a custom method of entering timecard data, calling the
Element Entry API, you can add logic to call the Ineligibility formula.
How the Seeded PTO_PAYROLL_BALANCE_CALCULATION Formula Interprets the Start
Rules
The formula calculates the start date from hire date and compares it with the
employee's plan enrollment date. Accrual begins on whichever of these two dates is
later.
Start Rule: Hire Date
For plans with this rule, participants' accruals begin from the first full period following
their hire date. For example, if the hire date of a participant on a semi-monthly payroll
falls on the first day of either the first or second period in the month, PTO accrual starts
as of that date.
If the hire date falls sometime after the first of the month but before the end of the first
period, accruals start in the second period of the month. If the hire date falls after the
first day of the second period but before its end, accruals start with the first period in
the next month.
Start Rule: Beginning of Calendar Year
With this start rule, participants' accruals begin from the start of the year following the
year in which they are hired. This means that a participant with a hire date of 1 January
1999 and another with a hire date of 31 December 1999 both start to accrue time as of 1
January 2000.
4-42 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Notice that the amount of PTO each accrues may not be the same, as accrual amounts
often depend on employees' length of service.
Start Rule: Six Months After Hire
For plans with this start rule, participants' accruals do not begin until the first full pay
period after the six-month anniversary of their hire date. For example, someone on a
semi-monthly payroll who is hired on 5 February 1996, completes six months of service
on 5 August 1996, and starts to accrue PTO in the second period in August.
Notice that if people are hired on the first day of a period, their accruals begin with the
pay period of the six-month anniversary of their hire date. For example, someone on a
semi-monthly payroll who is hired on 1 February 1996 completes six months of service
on 1 August 1996, and hence starts to accrue PTO in the first period in August.
The period of ineligibility is not applicable to plans with the start rule Six Months After
Hire.
Accrual Bands
For many accrual plans, the time off that plan participants can accrue increases with
their length of service, or varies by job, grade, or number of hours worked. That is,
accrual bands determine accrual amounts. In addition, these bands can determine ceiling
and maximum carry over amounts.
Ceiling rules, found in some vacation accrual plans, set a maximum amount of PTO an
employee can hold at any time. When a participant's accrued PTO reaches the ceiling,
no additional time accrues. Accruals begin again only after the participant uses some
accrued time.
In the PTO_PAYROLL_BALANCE_CALCULATION seeded formula, the accrual
amount, ceiling and maximum permitted carry over depend on length of service bands.
Alternatively, you can use bands based on other factors, such as grade, or a
combination of factors, to determine the accrual amounts for your plans.
Length of Service Bands
You set up length of service bands using the Accrual Bands window. For each band
(such as 0 to 5 years of service), you can enter the accrual amount for the whole accrual
term (such as an annual amount), an accrual ceiling, and the maximum permitted carry
over.
Length of Service Override
In Oracle HRMS, the first day of the month of an employee's hire date is the default
date from which his or her length of service is calculated for accrual purposes. For
example, someone hired on 18 January 1997 completes one year of service on 1 January
1998, and someone hired on 31 December 1996 completes one year of service on 1
Leave and Absence Management 4-43
December 1997.
For individual accrual plan participants, you can override the default date from which a
plan starts its length of service calculations. This is useful for managing exceptional
cases that arise when, for example, employees who already have accumulated periods
of service in your enterprise transfer from one place to another. You enter the date
override when enrolling a participant in a plan.
Note: The default length of service start date (or the overriding
continuous service date) determines the length of service for accrual
bands and for the calculating the end of the ineligibility period.
However it is not the same as the accrual start date. This is determined
by the accrual start rules selected in the Accrual Plan window or set
within the accrual formula.
Other Banding Criteria
For some accrual plans, the amount of time accrued may vary by other criteria, such as
job or grade. You can create a user table to hold time accrued, ceiling rules, maximum
carryover rules, and any other information you require for each job or grade. See:
User-Defined Tables, Oracle HRMS Configuring, Reporting, and System Administration
Guide
Include the GET_TABLE_VALUE function in your accrual and carry over formulas for
the plan to access the information held in the user table. For an example of using a user
table to store banding criteria, see: Sample Accrual Formula, Oracle HRMS FastFormula
User Guide.
PTO Carry Over Process
To manage the carry over of employees' unused PTO to a new accrual term, you run the
PTO Carry Over process from the Submit Requests window:
• For accrual plans with a fixed term start date (such as 1 April), you run the process at
the end of each accrual term.
• For accrual plans with a variable term start date (such as hire date or seniority date),
you should run the process every night to update plan information for any
employees whose term has ended that day.
• For accrual plans based on a rolling plan term (such as those using the seeded
PTO_ROLLING_ACCRUAL formula), this process is not relevant.
4-44 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
For each participant in an accrual plan, the PTO Carry Over process first uses the
Accrual formula to calculate the participant's accrued PTO as of the last day of the
plan's accrual term. The process then uses the Carry Over formula to get:
• the maximum amount of time this employee can carry forward to the next accrual
term
• the effective date for the carry over, and
• any expiry date by which the employee must use the time carried over, or lose it.
The process calculates the net accrual using time off recorded on the Absence element
and any other elements associated with the plan. Finally, it compares the net accrual
with the maximum carry over. permitted to determine both the amount to carry over,
and the amount of any residual PTOthat cannot be carried over.
Leave and Absence Management 4-45
For employees with unused, accrued time to carry over, Oracle HRMS enters this time
on the plan's Carried Over element. Similarly, for employees with unused,
accrued time they cannot carry over, Oracle HRMS enters this time on the plan's
Residual element.
Accrual Plan Example
This topic looks at a sample set of accrual rules and discusses how you might configure
the predefined accrual formulas to accommodate these rules.
An enterprise has the following vacation rules:
• All employees accrue two days vacation per month (pro rata for part time
employees)
• The accrual term is 12 months from hire date and new employees join the plan on
their hire date
• The ineligibility period (when employees accrue time but cannot use it) varies by
grade. It is two months for grades 1, 2, and 3, and three months for grades 4 and 5.
• The accrual ceiling is 10 days for full time employees (pro rata for part time
employees).
• The amount that can be carried forward to the next accrual term is five days for
grades 1, 2, and 3, and eight days for grades 4 and 5.
The enterprise uses BEE to enter vacation time taken.
You can set up one accrual plan for these rules, linking the accrual element to all
employees. You can use the predefined PTO_SIMPLE_MULTIPLIER formula as the
basis for your accrual formula. You need to configure this formula in the following
ways.
Accrual Amount
Change the accrual calculation so that it takes into account an employee's standard
hours (part time or full time). You can use HR Budgets to define an assignment's value
as a proportion of FTE. Then you need to define a database item for this budget value so
you can use it in the accrual formula.
Accrual Term Start Date
Change the accrual term start date from 01 June to hire date by referencing a database
item such as ACP_SERVICE_START_DATE within the formula.
To see how to use this database item within the formula, see the section Changing the
Accrual Term Start Date in Sample Accrual Formula, Oracle HRMS FastFormula User
Guide.
4-46 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Ineligibility Period
Derive the ineligibility period within the formula--rather than from the Accrual Plan
window--since it varies by grade. The data could be hard coded within the formula or
maintained in a user table, such as the following (which also holds the maximum carry
over, since this data varies by grade too):
Example User Table for Varying Accrual Rules By Grades
Grade Ineligibility Period Max. Carry Over
1 -3 2 months 5 days
4 - 5 3 months 8 days
Since the ineligibility period is defined within the formula, and the enterprise uses BEE
to enter vacation time, you need to create an ineligibility formula that BEE validation
can use to check whether an employee is entitled to take time under the accrual plan.
Accrual Ceiling
Change the accrual ceiling from a standard 20 days in the predefined formula to a
variable amount depending on an employee's standard hours. You address this in a
similar way to the calculation of the accrual amount.
Maximum Carry Over
Change the maximum carryover from a fixed amount within the formula to an amount
that varies by grade. The data could be hard coded within the formula or maintained in
a user table, such as the example above.
Setting Up PTO Accrual Plans
1. Define and link an element for the plan's absence type.
See: Defining and Linking an Absence Element, page 4-13
Important: It is important that you link the absence element before
you define the accrual plan since Oracle HRMS automatically
creates links for the accrual plan elements based on your absence
element links. If you define criteria on the link so that employees
lose eligibility for the accrual plan as their assignments change, you
must manually transfer accrual balances to the employee's new
accrual plan. For simplicity, consider using open element links (that
is, links with no assignment criteria).
Leave and Absence Management 4-47
2. Define an absence type for the plan, associating its absence element with this type.
See: Defining an Absence Type, page 4-15
3. Optionally, define new accrual start rules as values for the Lookup Type
US_ACCRUAL_START_TYPE. There are three seeded categories: Hire Date,
Beginning of Calendar Year and Six Months after Hire Date.
See: Adding Lookup Types and Values, Oracle HRMS Configuring, Reporting, and
System Administration Guide
4. Decide which Accrual and Carry Over formulas to use. You can use the seeded
formulas, configure them, or write your own.
See: Writing Formulas for Accrual Plans, Oracle HRMS FastFormula User Guide
5. If your Accrual formula defines a period of ineligibility and you want to use BEE to
enter absences against the accrual plan, define an Ineligibility formula. BEE calls
this formula to check whether an employee is eligible to use accrued PTO.
See: Period of Ineligibility, page 4-40
Note: If you use the seeded Accrual formulas, you do not need to
define an Ineligibility formula. They use a period of ineligibility
entered in the Accrual Plan window, and BEE validation can use
the same value.
This does not apply to the New Zealand seeded formulas. If you are using these
formulas, do not define an Ineligibility formula or enter a period of ineligibility in
the Accrual Plan window.
6. Optionally, define new accrual categories as values for the Lookup Type
US_PTO_ACCRUAL. There are predefined categories for some legislations.
See: Adding Lookup Types and Values, Oracle HRMS Configuring, Reporting, and
System Administration Guide
7. Oracle Payroll users:
The following three steps are for Oracle Payroll users only. Skip these steps if you
do not want to use a payroll balance to store gross accruals.
Decide whether the payroll run should update accruals as of the run's date earned
(the date the payroll run uses to determine which element entries to process) or date
paid (the date that appears on pay advices). Select your choice for the business
group.
See: Business Groups: Selecting a PTO Balance Type, Oracle HRMS Enterprise and
Workforce Management Guide
8. Consider which balance dimension to use. Dimensions are predefined that reset the
4-48 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
balance each year on 1 January, 1 June, or hire date anniversary. UK users: If you
require your balance to accumulate over a different period of time, or reset at a
different date, you can create your own balance dimension.
See: Balances in Oracle Payroll, Oracle HRMS Implementation Guide
9. If you want Oracle Payroll to recalculate the accrual balance from the beginning of
the accrual term when there are retrospective assignment changes that affect
entitlement, you must perform this setup:
1. Navigate to the Dynamic Trigger Generation window. In the Find Triggers
window, enter the following values then click Find:
• Dynamically Generated Triggers: selected
• Application: Oracle Human Resources
• Trigger Name: PER_ALL_ASSIGNMENTS_F_ARU
• Triggering Actions: Update selected
Ensure that this trigger is generated and enabled. On the Components tab,
ensure that the module
pay_continuous_calc.PER_ALL_ASSIGNMENTS_F_ARU is enabled.
2. In the Functional Area Maintenance window, query the seeded functional area
called PTO Events. Check that the trigger PER_ALL_ASSIGNMENTS_F_ARU
is listed in the Details region. Select the Business Group tab in the Details region
and select the business groups that are to track the assignment changes.
3. In the Table Event Group window, query the seeded PTO Event Group. This
group includes the following datetracked events; you can add others that you
want to track:
• Date Track Update: Table - per_all_assignments_f, Column -
assignment_status_type_id
• Date Track Correction: Table - per_all_assignments_f, Column -
assignment_status_type_id
• Date Track Delete Future: Table - per_all_assignments_f, Column - blank
4. Ensure that your accrual formula uses the Get_Earliest_AsgChange_Date
function to handle the events you want to track. Refer to the
PTO_PAYROLL_BALANCE_CALCULATION formula as an example of how
to use this function.
10. Define the accrual plan, selecting the formulas and absence element it is to use.
Leave and Absence Management 4-49
See: Defining a PTO Accrual Plan, page 4-49
11. Optionally, set up length of service bands for the plan.
See: Setting Up Length of Service Bands, page 4-51
12. Oracle Payroll users: If you want the payroll run to calculate employer liability for
PTO, define an employer liability element and balance, link the element, and edit
the generated payroll formula and result rules.
See: Costing Liability for PTO Accruals, page 4-53
13. Review the net calculation rules for the plan. If necessary, create additional
elements and associate them with the plan by selecting them in the Net Calculation
Rules window.
See: Changing Net Accrual Calculations, page 4-52
14. SSHR users: If you want to view employee accrual balances using SSHR, create an
element set that include elements that correspond to the appropriate accrual plans,
and attach the element set to the profile HR: Accrual Plan Element Set Displayed to
User at the appropriate levels.
See: Viewing Accrual Balances in SSHR, Oracle HRMS Deploy Self-Service Capability
Guide.
Defining a PTO Accrual Plan
Use the Accrual Plans window to define an accrual plan.
To define a PTO accrual plan:
1. Enter the plan name, and select an accrual category for it.
Tip: Coordinate the names of the accrual plan, the plan's absence
type if any, and the element used to record absences taken under
the plan. For example, for the Hrly Vacation PTO Plan for your
hourly workers, you could name the absence type and its element
Hrly Vacation PTO Absence.
2. Optionally, select a start rule for the plan in the Accrual Start field. This rule
determines the date on which newly hired employees begin to accrue PTO.
Note: Some plans do not use this value; it depends which Accrual
formula you select.
4-50 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
3. Select Days or Hours in the Accrual Units field. The units selected here must be the
same as the units for the input value you select in the Absence Information region.
4. You can enter a description, summarizing the purpose and rules of the plan.
5. Select the Accrual formula and Carry Over formula to associate with the plan.
For a description of the seeded formulas, see Seeded Accrual Type Formulas, page
4-33.
6. In the Name field of the Absence Information region, select the element associated
with the plan's absence type. In the Units field, select the element's input value that
holds the entries of hours or days absent.
Selecting a Payroll Balance
7. Oracle Payroll users: If you want to use a payroll balance to store gross accruals for
the plan, select the date when the balance should reset to zero.
Note: The balance may not reset on the exact date you select, since
it depends on the payroll period dates. For example, if you select a
Reset Date of 1 January, the balance may in fact reset on 22
December if that is the start date of the first payroll period in the
new year.
If you select 1 June, 1 January, or Hire Date Anniversary, a value appears
automatically in the Dimension Name field. If you select Other, you must select a
balance dimension that you have created for this purpose.
Important: Select a date in this field only if you are using a formula
that supports payroll balances. US users: The Check writer process
and Deposit Advices do not display the correct accrual balances if
you enter a balance reset date but do not use a formula that
supports payroll balances.
Setting a Period of Ineligibility
8. If the start rule for this plan is Hire Date or Beginning of Year you can enter a
period of ineligibility, during which a plan participant can accrue PTO but cannot
use accrued PTO. For example, enter 3 in the Length field and select Calendar
Month in the Units field.
9. Optionally select an Ineligibility formula. This formula is called by the BEE
validation process for a batch line that enters an absence against the accrual plan. It
checks whether the employee is eligible to use accrued time on that date.
Leave and Absence Management 4-51
Note: If you enter the period of ineligibility in the Length field, you
do not need to select a formula. The BEE validation process gets
this value and interprets it as a period of time from the employee's
continuous service date.
10. Save your work.
When you do this, the application generates three new elements for the plan - one
to represent the plan, and one each to hold carried over and residual amounts of
accrued, unused PTO. The application creates links for these elements to match the
links you defined for the plan's absence element.
If you selected a date in the Payroll Balance Reset Date region, the application also
generates a payroll balance, an element to feed the balance, a tagging element,
formula processing and result rules, and a payroll formula to call the accrual
formula from the payroll run.
11. Choose the Accrual Bands button to set up length of service bands for the plan. This
is optional, but may be required by your accrual formula.
12. If the Further Accrual Information is configured for your localization, enter the
relevant information.
Australian users: Select the leave balance type as either Entitlement or Entitlement
and Accrual for display in the Leave of Absence screen in Self-Service.
13. Choose the Net Calculation Rules button to view or change the rules for calculating
employees' net PTO.
Setting Up Length of Service Bands
Use the Accrual Bands window to define length of service bands for an accrual plan.
To set up length of service bands for a PTO plan:
1. For each length of service band applicable to this plan, establish the band's duration
by making an entry in the To field. The first band starts from zero years of service.
If it extends for five years, enter 5 in the To field. The system then sets the From
field for the second band at 5, as the second band starts after five years of service.
For the last band you enter, in order to cover all participants with any length of
service beyond the band's From entry, enter 99 in the To field. For example, if your
bands cover service of 0-5 years, 5-10 years and 10+ years, the third band's From
and To entries should be 10 and 99.
2. For each band, enter in the Term Accrual field the number of hours or days that
participants whose length of service falls into this band can accrue each accrual
4-52 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
term. For example, if plan participants accrue 80 hours of vacation per year during
their first five years of service (band 0 - 5), enter 80 in the Term Accrual field.
3. If a band does not permit participants to carry unused accrued time over to the next
accrual term, leave the Maximum Carryover field blank. Otherwise, enter in this
field the maximum number of accrued, unused hours or days that participants at
this band may carry forward.
4. If a band has no ceiling that limits the total number of hours or days participants at
this band can accrue at any one time, leave the Ceiling field blank. Otherwise, enter
the ceiling number for the band.
5. Save your work.
Changing Net Accrual Calculations
The rules for automatic calculation of employees' net PTO appear in the Net Calculation
Rules window. You enter this window by choosing the Net Calculation Rules button in
the Accrual Plan window.
The default net accrual calculation takes account of absences (entered on the Absence
element) and time carried over from the previous accrual term (entered by the Carry
Over process on the plan's Carried Over element). You cannot change these rules.
However, if your plan's calculation needs to take account of other values (such as time
bought or sold), you can add new rules in this window.
To change the net accrual calculation:
1. Create and link any additional elements you need for the plan. For example, you
might need an element to store the amount of PTO an employee has bought or sold.
Use the Information classification for these elements, define them as nonrecurring,
and give them at least two input values:
• An input value with the same units (days or hours) as you selected for the
accrual plan, and
• An input value with the units Date (to hold the effective date).
Tip: Use names for these elements that clearly link them to the
appropriate accrual plan. For example, if the accrual plan is called
Standard Vacation, you could name the element Standard Vacation
Bought or Sold.
2. Query the new elements in the Net Calculation Rules window.
3. Select the input value that hold the days or hours you want to use in the net accrual
Leave and Absence Management 4-53
calculation.
4. Select the date input value that holds the effective date for the accrual calculation.
Note: The predefined rule for the absence element does not include
a date input value because the application uses the absence start
date as the effective date for subtracting the time taken from the
gross accrual.
5. For each input value, select Add or Subtract to determine whether the value should
increase or decrease the net accrual available to an employee.
6. Save your work.
Costing Liability For PTO Accruals
Follow these setup steps if you use Oracle Payroll and you want the payroll run to
calculate the change in employer liability for PTO, as well as the gross accrual.
For example, the payroll run might calculate the following changes to employer
liability, using this calculation:
Current Liability Increment = (((YTD accrual + Current net accrual) * Current Rate of
Pay) - ITD PTO liability)
Payroll
Run
ITD
Liability
YTD
Accrual
Current
Pay Rate
Current
Accrual
Absence Current
Net
Accrual
Liability
Increme
nt
Run 1 0 0 10 4 0 4 40
Run 2 40 4 10 4 5 -1 -10
Run 3 30 3 12 4 0 4 54
To set up costing of PTO accrual liability:
1. In the Element window, define an employer liability element. The only required
input value is the pay value.
2. In the Balance window, create a liability balance fed by the pay value of the element
you created in the previous step.
3. In the Formula window, edit the payroll formula that was generated for your
4-54 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
accrual plan so that it calculates changes in employer liability. The formula has the
name _ORACLE_PAYROLL. It contains a sample liability
calculation, which you can edit to meet your requirements.
The formula must return the Current Liability Increment.
4. In the Formula Result Rules window, query the accrual plan element. You will see a
processing rule associating this element with the payroll formula you edited in the
previous step, and a result rule passing the accrual to the element that maintains the
accrual balance. Create another result rule to pass the Current Liability Increment
formula result to the pay value of the employer liability element.
5. Use the Element Link window to link the employer liability element and to cost it
appropriately.
Leave and Absence Management 4-55
Absence and Accrual Plan Administration
Absence Recording
When you record an absence for an employee using the Absence Detail window or
self-service, you must always select an absence type.
Dates and Times
In the Absence Detail window you can conveniently record start and end dates and
times of a particular type of absence, as well as the date you receive notification of the
absence.
You can enter either projected or actual dates and times. When an actual absence occurs
in accordance with projected absence information already entered, you record this by
simply clicking a button.
Oracle HRMS records an employee's absences using the employee's payroll calendar, so
all employees for whom you record absence information must have a payroll
component in their primary assignment.
Some absence types are associated with nonrecurring elements. For these types, the
absence is not recorded on the employee's element entries until you enter the absence
end date. You cannot change the absence start date so that it is outside the original
payroll period--you must delete the absence and create a new one.
Note: For Oracle Payroll users in some localizations: some absence
types may be associated with recurring elements. For these types, the
absence is recorded in element entries when you enter an actual start
date. If you change the start date, the element entry is deleted and a
new one created. When you enter or change the end date, the element
entry's end date is date effectively updated.
Absence Duration
To calculate the duration of an absence automatically, you can either use the schedule
and calendar event features from Oracle HRMS and Common Application Components
(CAC), or use a formula that calculates absence duration from the absence start and end
dates.
For the first method, the application calculates the duration of the absence based on the
worker's schedule and applicable calendar events for their primary assignment. To use
these features, set the HR: Schedule Based Absence Calculation profile option to Yes.
You set up availability information such as shifts, schedules, and calendar events, and
4-56 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
assign them to various levels in your work structures.
See: Setting Up Availability, Oracle HRMS Workforce Sourcing, Deployment, and Talent
Management Guide
For the second method, you write a formula to calculate absence duration from the start
and end dates and times entered for an absence. Your localization team may have
written a formula that the application uses by default.
See: Writing Formulas To Calculate Absence Duration, Oracle HRMS FastFormula User
Guide
To control whether the formula automatically recalculates and overwrites the absence
duration when a user updates the end date or time, set the user profile option
HR:Absence Duration Auto Overwrite to Yes or No. For example, if you do want the
duration to be updated when the end date changes, set the profile option to Yes.
When you enter an absence, the application warns you if:
• Duration is greater than the person's net entitlement recorded in a PTO accrual plan
• A decreasing absence balance becomes negative
• Duration is not equal to the value calculated by the absence duration formula. Or, if
there is no absence duration formula, duration is not equal to . Here, the application calculates the hours using the standard hours
recorded for the assignment (or for the business group if the assignment contains
no record).
Authorization and Replacement
When recording a projected or actual absence in the Absence Detail window, you can
select both the name of an employee authorizing the absence, and of an employee
replacing the absent worker.
Absence Cases
If an employee has multiple absences that result from the same cause or are associated
in another way that you want to record in Oracle HRMS, you can enter an absence case
for the employee. For example, if an employee takes two periods of sick leave due to a
back injury sustained at work, you can create an absence case, associate the two
absences with the case, and link the case to the work incident.
Batch Entry of Accrued Time Taken
For fast batch entry, you can use BEE, instead of the Absence Detail window, to enter
sick or vacation time recorded together with other timecard data. You can enter the
absence start and end dates, as well as any input values defined for the element. If you
leave the date fields blank, they both default to the effective date for a nonrecurring
Leave and Absence Management 4-57
absence element; only the start date defaults for recurring elements. Note that the batch
line produces an error if you enter a duration but no end date for a recurring element.
Self-Service Entry of Absences
If you have licensed Oracle SSHR, you can delegate the responsibility for recording
absences to individual employees or their line managers. They can enter proposed or
actual absences and submit them for approval by their supervisors (or any other
approvers in a workflow).
Additionally, using self-service, employees can view their accrued leave details, and
managers can view the same for employees in their team.
See: Accrual Balances Maintained by SSHR, page 4-71
See: Leave and Absence Management Overview, page 4-1
See: How do we track and analyze absences and net accrual entitlement: Leave and
Absence Management, page 4-3
See: Leave and Absence Management:Self-Service Functionality, Oracle Self-Service
Human Resources Deploy Self-Service Capability Guide
Viewing and Reporting on Absence Information
For monitoring and analyzing recorded employee absences, use the:
• View Absence History window, page 4-68
• List Employees by Absence Type window, page 4-68
• Absences Report, page 4-68
For reviewing PTO plan participants' accrued time earned and taken, use the Accruals
window, page 4-67.
Accrual Plan Administration
Just as elements constitute the underlying structure of absence types, so they provide
the structure of accrual plans. Each accrual plan is associated with an absence element,
which holds information about absences taken under the plan. There is also an element
for the plan itself, which you use to enroll participants in the plan.
Enrollment
You enroll an employee in an accrual plan by entering the accrual plan element. You
can only enroll employees who are eligible for the plan (that is, their assignments match
the element's links). When you do the enrollment you can override the default date for
calculating length of service (which is used in many accrual plans to determine the
4-58 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
appropriate accrual amount and the start date of accruals for new hires).
Note: You enter the accrual plan element for the employee's primary
assignment. If another assignment becomes the primary one, you must
re-enter the accrual plan element for the new primary assignment. You
can transfer the accrual balance to the new assignment using a balance
adjustment element entry, if your implementation team has added a
balance adjustment element to the net calculation rules for this accrual
plan.
Recording Accrued Time Taken
You record time taken under the accrual plan by making entries of the absence element
associated with the plan.
Normally you make these entries using the Absence Detail window so you can record
additional information, such as an absence reason, the name of the employee
authorizing the absence, and the name of the employee replacing the absent worker.
The window shows the participant's net accrual at the start of the absence and the
projected accrual at the end of the accrual term.
You can also use BEE to make batch entries of hours of accrued sick or vacation time
that employees have taken and noted on their timecards. Any entries you make to
absence elements using BEE for an employee's primary assignment can then be viewed
in the Absence Detail window. Entries made using BEE can include a reason, but the list
of absence reasons available in the Absence Detail window is not automatically
available here.
Viewing Accruals
You can use the Accruals window to see, at any time, how much time an employee has
accrued and used under an accrual plan. You cannot change the amount accrued using
this window. The gross accrual is calculated by a formula that may, for example, vary
the accrual according to length of service, grade, overtime or other factors.
Recording PTO Sold or Purchased
If your enterprise pays employees for time they have accrued but not used, or if you
permit employees to buy additional time, you may decide to define your own
PTO-related elements to record information about these transactions. You then use the
Element Entry window to enter these elements for the appropriate employees.
Running the Carry Over Process
Once each year (or other plan term), an employee's balance of unused accrued time
must be cleared down ready for the new plan term. You run the PTO Carry Over
Leave and Absence Management 4-59
process to clear down these balances and record both unused time available for
carryover, and residual time unavailable for carryover. For accrual plans with a variable
term start date (such as hire date or seniority date), you should run the process every
night to update plan information for any employees whose term has ended that day.
Note: Some accrual plans are based on a rolling plan term. The Carry
Over Process is not relevant to this type of plan.
Entering Absences
Enter projected or actual absences for an employee using the Absence Detail window.
Because the calendar holding absence records for an employee is the same as that of the
employee's payroll, the primary assignments of employees for whom you enter absence
information must include an assignment to a payroll. For absence types based on
nonrecurring elements, the effective start date of this assignment must be no later than
the start of the current payroll period.
To enter absences for an employee:
1. Select the absence type.
The following information appears:
• The category of the type.
Note: For Denmark users only: Enter absence information, as
required, in the descriptive flexfields associated with the
Absence Categories.
• The occurrence of the new absence record you are entering. For example, if the
employee has already incurred two absences of this type, the occurrence of the
new record is 3.
• The running total of hours or days absent for all the absence types associated
with the element. For absence types with increasing balances, this is the number
of days or hours absent with an end date on or before your effective date. For
any types with decreasing balances, this is the number of hours or days
remaining to be taken.
• The number of days absence recorded for the absence type in the current
calendar year.
• The name of the element that maintains each employee's time taken or time
remaining for this absence type.
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Note: For Denmark, Finland, Norway, and Sweden users only:
When you create an absence, Oracle HRMS enters the absence
element for all the employee's assignments including the primary
assignment. You can decide whether each assignment requires the
element entry and better track absences for multiple assignments.
You can also edit element entries to change the absence details for a
specific assignment.
Note: For Denmark users only: You can override absence details in
the Absence Details window by entering the override element in
the Element Entries window. Use the same start and end dates for
the override element that you use in the Absence Details window.
See: Making Manual Element Entries, page 1-57
2. If the Further Information field is visible for your localization, click in the field and
select a context value relevant to your localization.
• Canada HRMS: Specify the ROE Reason and ROE Comments. You enter a ROE
Reason and ROE Comments for an employee in the Additional Absence Detail
Information window. The ROE Reason appears in Block 16 of the ROE. The
ROE Comments appear in Block 18 of the ROE.
• Dutch HRMS: If you have a category of sickness selected, you can enter a
percentage sick by selecting the NL_S context value.
Select No in the Non SI/Pension Absence field to count an absence as a real
social insurance day. Selecting Yes excludes the absence from counting as a real
social insurance day.
• Denmark HRMS: When you set up employees for Maternity/Adoption leave,
you can choose whether or not to accrue holiday during the absence. Use the
Absence category descriptive flexfield, to indicate if you use the accrual or not.
• Hungary HRMS: If your absence category is Maternity, enter the expected and
actual birth dates (and other dates if applicable). If your absence category is
Paternity, enter the child's birth date.
• Mexico HRMS: Specify your type of disability:
• General Disease
• Maternity
• Risk Incident
Leave and Absence Management 4-61
The list of available Disability IDs depend on if you have assigned this
disability with a Causal Incident (in the case of Risk Incident disabilities) or no
Causal Incident (in the case of Maternity or General Disease disabilities).
• Russia HRMS: If your absence category is Maternity Leave, enter the number
of children and the new born child's date of birth. If the absence category is
Child Rearing Leave, enter the new born child's date of birth. If you select the
absence type as Temporary Disability with Sickness Allowance Payment, then
select the disability details.
• Finland HRMS: If your absence category is Annual Holiday, Layoff, Labour
Dispute, or Unauthorized, enter the details of a similar absence taken by the
employee. For the absence category Sickness, select the doctor's certificate and
contract details. For the Accident category, select the work incident and doctor's
certificate details. If your absence category is Family Leave, enter the child and
maternity leave details.
• UK HRMS: For an OSP or OMP scheme and an absence that is, or contains, a
part of a day, select a unit of measure - days or hours - for measuring part days.
For a days-based scheme, select Day and select full or half day . For an hours
based scheme, select Hours and select the number of hours absent. Select the
appropriate value for the start date, end date, or both. If the entire absence is
less that a full day, select the value in the Start Date field.
3. Do one of the following:
• Enter projected dates for the absence. You can copy these later to the Actual Date
fields by choosing Confirm Projected Dates.
• Enter actual dates and duration as days or hours, according to the units of the
balance. If you enter an end date, you must also enter the duration.
If you want the application to automatically calculate the duration of the
absence, then you can either use the schedules and calendar events features
from Oracle HRMS and Common Application Components (CAC) or use a
formula.
See: Absence Duration, page 4-55
4. You can also select:
• Reasons for the absence
• The employee authorizing the absence
• The employee who replaces the absent employee for the duration of the absence
5. Save your work.
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Note: If this absence is related to another absence (for example,
they both result from the same cause), you can associate the
absences using the Absence Case page.
6. If you entered an absence type that is eligible under an absence benefit plan, you
can choose Enroll Absences to run the Participation Process in Absence mode. This
process assesses the person's eligibility for the absence plan. If they are eligible, the
process changes the status of the potential absence life event to Processed, and
evaluates any standard rates linked to the plan.
Alternatively, you can run this process for a group of employees from the Submit
Requests window. See: Running the Participation Process: Absence, page 4-64.
Note: UK Users: The Evidence and Statutory Payments buttons
display, if you opened this window from an SSP menu. Please note
that these buttons are only relevant to statutory absence types
(sickness, maternity, paternity, and adoption).
Viewing Accruals for Plans Associated with the Absence Type
If the employee is enrolled in an accrual plan, the Accruals button is available. Choose
this button to display the Associated Accrual Plans window, where you can see
information about any accrual plans associated with the type of absence you are
entering.
To view accruals:
1. Enter or query an absence in the Absence Detail window, and choose Accruals.
2. If nothing is displayed, run a query in the Associated Accrual Plans window to
display the name and category of any accrual plans associated with the absence
type.
For each plan, three net accrual amounts are displayed:
The Net Entitlement figures on the This Absence tab show the effect of the absence
displayed in the Absence Detail window.
• The Before Absence figure is the net accrual calculated on the day before the
absence.
• The After Absence figure is calculated on the start date of the absence.
In most cases these figures will differ by the length of the absence you are entering.
However, if the absence happens to start on the day that this period's PTO
entitlement is accrued, the new accrual is also shown in the After figure. Similarly,
if any other time (such as time bought or sold) is debited or credited to the accrual
Leave and Absence Management 4-63
on that day, it is reflected in the After figure.
Projected Entitlement on the End of Plan tab shows the projected net accrual at the
end of the current accrual plan term, taking account of any future absences already
entered on the system. If the employee has future-dated assignment changes that
affect his or her accrual entitlement, these are taken account of in the calculation.
Note: This figure does not take account of absences with a projected
start date. It only includes absences that have an actual start date.
Example
Suppose Ms. Shah is enrolled on a vacation plan that runs each calendar year
starting 1 January, with a gross accrual of 2 days per month. Ms. Shah did not carry
over any entitlement from last year and has taken no absences before May.
Net entitlement is calculated for the last complete accrual period (that is, the period
that ends on or before the start of the absence being entered). This absence is only
included in the calculation if it starts on the last day of an accrual period.
The following table shows the accrual amounts (net entitlement) that would display
if you enter four absences in the sequence shown.
Absences: 2 - 4 May 31 May - 3
June
12 - 15 Aug 15 June
Before absence 8 5 7 3
After absence 5 3 3 2
End of plan
term
21 17 13 12
Enrolling Employees in PTO Accrual Plans
Enroll individual participants in an accrual plan by entering for them the element
generated to represent the plan.
To enroll participants in a PTO accrual plan:
1. Do one of the following:
• For enrollment of an individual employee, perhaps as a part of the hiring
process, enter the element representing the plan for him or her using the
Element Entries window.
4-64 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
See: Making Manual Element Entries, page 1-57
• For enrollment of a batch of employees in a plan, perhaps a newly-developed
plan, use BEE.
See: Making Batch Element Entries Using BEE, Oracle HRMS Configuring,
Reporting, and System Administration Guide
Overriding Length of Service
The default date for calculating length of service is the first day of the month of an
employee's hire date. You can override this by entering another date when you enroll
the participant in the plan. This is relevant to plans that have accrual bands based on
length of service.
If you enter a date here, it is also used, instead of the employee's hire date, when the
seeded formulas calculate the appropriate accrual start date for the employee. For
example, if the plan's start date rule is Six Months After Hire Date, accrual will begin six
months after the continuous service date you enter.
To override the default date for calculating length of service:
1. When enrolling the participant, enter the override date in the Continuous Service
Date entry value of the element representing the plan.
Running the Participation Process: Absence
You can run the Participation Process: Absence to process any absence-type life events
for an individual person or a group of people. The process assesses the person's
eligibility for the absence plan. If they are eligible, the process changes the status of the
potential life event to Processed, and evaluates any standard rates linked to the plan.
You run processes from the Submit Requests window.
To run the Participation Process: Absence
1. Select Participation Process: Absence in the Name field.
2. Enter the Parameters field to open the Parameters window.
3. Set the effective date of the process.
4. Select Commit or Rollback in the Validate field.
Select Rollback to check your results before committing them to the database. It is
easier to correct errors before you commit the results.
5. If you want to restrict the process to one person, select them in the Person Name
field.
Leave and Absence Management 4-65
6. If you have not selected one person, you can limit the persons evaluated by the
process by selecting from one or more of the following parameters.
• Person Type
• Organization
• Benefits Group
• Location
• Postal Zip Range (US only)
• Reporting Group
• Legal Entity (US only)
• Payroll
7. Select Yes in the Audit Log to create a file that lists the eligibility results for each
person evaluated by the process.
If you select Yes, you should periodically run the Participation Audit Activity Purge
process to purge the audit log tables.
8. Select Yes or No in the Limit by Person's Organization field. If you select Yes, the
process only handles compensation objects that have the person's organization
attached.
9. Choose the OK button.
10. Complete the batch process request and choose Submit.
Running the PTO Carry Over Process
The net accrual calculation for PTO includes carried over PTO in determining an
employee's accrued PTO to date. To set the net calculation rules, use the Net Calculation
Rules window. To review an employee's carry over of accrued time, use the Accruals
window.
Run the PTO Carry Over Process at the end of the accrual term using the Submit
Requests window. For accrual plans with a variable term start date (such as hire date or
seniority date), you should run the process every night to update plan information for
any employees whose term has ended that day.
Troubleshooting
The concurrent request log contains a summary of the accrual plans and assignments
4-66 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
processed.
The Payroll Action Parameter Max Errors Allowed determines the behavior of the
process when it encounters an error. If it encounters fewer than the maximum number
of errors, the process completes with a warning, commits the successful assignments,
and writes details to the concurrent request log of the assignments that did not process
due to an error. If the process encounters the maximum number of errors, it stops
processing, rolls back any processed assignments, and writes details of the errors to the
log.
To help Oracle's Support organization debug an issue, you can use the Payroll Action
Parameter Logging. If the parameter value includes a 'G' (General), all debug
information is written to the log. Logging significantly reduces performance and
generates large log files so it should be switched off in normal circumstances and only
used for debugging purposes.
To run the PTO Carry Over process:
1. Select PTO Carry Over in the Name field. If the Parameters window does not open
automatically, click in the Parameters field.
2. Enter a date in the PTO Calculation Date field and Current or Previous in the
Accrual Term field. These are used by the plan's Carry Over formula to determine
the effective date of the carried over PTO.
Typically you will use the following values if you are using seeded formulas:
• PTO_PAYROLL_CARRYOVER formula--use a calculation date of 31 December
with Accrual Term = Current, or a calculation date of 1 January with Accrual
Term = Previous. The effective date of the carry over is always 31 December (of
current or previous year).
• PTO_SIMPLE_CARRYOVER--use a calculation date of 31 May with Accrual
Term = Current, or a calculation date of 1 June with Accrual Term = Previous.
The effective date of the carry over is always 31 May (of current or previous
year).
• PTO_HD_ANNIVERSARY_CARRYOVER--set calculation date to the effective
date and use Accrual Term = Previous.
Important: If you select Current for the Accrual Term and enter a
calculation date that is not the end of the accrual term, this process
creates future-dated carry over and residual element entries.
3. Select the name of one accrual plan to process, or select a category to process all
plans in the category.
4. The Reprocess All Participants field defaults to No, so that the process affects only
Leave and Absence Management 4-67
those plan participants not previously processed for this accrual term. To process all
participants regardless of any previous processing, select Yes in this field.
Important: Select Yes if any employees have retrospective absences
or other entries that might affect net entitlement.
5. When the entry of parameters is complete, choose OK. Choose Submit to submit the
request.
The Carry Over process enters the Carried Over and Residual elements for all
employee assignments included in the process.
Reviewing Employees' PTO Accruals
To view information on employees' accrued PTO, use the Accruals window.
To view an employee's net PTO accrual:
1. Set your effective date to the day for which you want to calculate PTO entitlement.
2. In the Assignments Folder, query the employee's name. Choose the Accruals button
to go to the Accruals window.
3. Query the accrual plan in the Name window.
The Dates region shows the dates that the accrual formula uses for the entitlement
calculation. These are typically from the start of the accrual term to your effective
date. The Net Entitlement field displays the net accrued days or hours between
these dates. The Last Accrual date is the end of the last complete accrual period, if
the formula does not calculate accrual for partial periods.
If you allow maintenance of negative balances of accrued time at your installation
and an employee's time absent exceeds time accrued, the net entitlement appears as
a negative number.
Note: Net Entitlement can exceed the accrual ceiling if you have
increased entitlement using an adjustment element or the Carry
Over element. If you have adjusted net accrual so that it exceeds the
ceiling, the employee will accrue no time until net accrual falls
below the ceiling.
The Entitlement Details region shows the values used in the calculation of the net
entitlement:
• The element stores current accrued time.
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• The Carried Over element stores accrued time carried over from
the previous accrual term. If the plan has an expiry date for carried over time,
the value shown after the expiry date is the amount of accrued time that was
used. Any remaining time was lost.
• The absence element stores accrued time taken.
• Any other elements created at your site to hold values used for calculating net
entitlement, such as elements to store bought or sold PTO.
If the accrual plan uses the seeded formulas, note that an absence is included in the
accrued time taken figure if it starts on or before your effective date.
Important: When reviewing employee accruals at the end of an
accrual term, remember that carried over and residual PTO appear
only after the PTO Carry Over process is run.
Viewing Absence History
Use the View Absence History window to view all absences for an employee.
To view absences for an employee:
1. Select an employee then choose the Find button.
The absences appear in the lower part of the window. Use the standard Folder
features to select a subset of these absence records, and to choose the fields to see.
Listing Employees by Absence Type
Use the List Employees by Absence Type window to see all the absence records for a
particular absence type, or category of types.
To list employees by absence type:
1. Enter any combination of absence type, category, and start and end dates to define
the absences to view. Choose the Find button.
The absences appear in the lower part of the window. Use the standard Folder
features to select a subset of these absence records, and to choose the fields to see.
Running the Absences Report
The Absences Report shows information about employee absences during a specified
period. It can show absences:
Leave and Absence Management 4-69
• For an individual employee, or for all the employees in an organization
• For all types of absence, or for selected types
The report summarizes the information as totals for each absence type since the
employee was first hired.
You run reports in the Submit Requests window.
To run the Absences Report:
1. In the Name field, select Absences Report.
2. Enter the Parameters field to open the Parameters window.
3. Enter the effective date for which you want to see the report.
4. Select either an organization or an employee.
5. Enter the start and end dates of the period for which you want to report absences.
6. You can choose up to 10 absence types for the report. To report on all types, leave
the absence type fields blank. Choose OK.
7. Choose the Submit button.
Resetting a Stored Accrual Balance
If you use Oracle Payroll, you may have set up your accrual plans so that the payroll
run maintains a stored accrual balance. Batch processes and reports that calculate
accruals use this stored balance for faster processing.
Normally the payroll run maintains this balance by calculating the accrual change each
period. It recalculates the accrual from the beginning of the accrual term when there are
any retrospective changes that affect entitlement. However, if you have made a
retrospective assignment change that your accrual formula cannot handle, you might
want to force the next payroll run to recalculate accruals from the beginning of the
accrual term for one or more assignments.
Note: This procedure assumes that your accrual formula uses the Reset
PTO Accruals function to check the setting of the Reset PTO Accruals
parameter. Refer to the seeded accrual formulas for an example of how
to use this function.
1. In the Action Parameters window, check the Default Group check box to view the
default action parameters. On the Parameters tab, scroll down to find the Reset PTO
Accruals parameter, and change its value from N to Y.
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2. Create an assignment set containing the assignments whose accrual balances you
want to reset.
3. Run a QuickPay or payroll run for these assignments.
4. In the Action Parameters window, check the Default Group check box to view the
default action parameters. On the Parameters tab, scroll down to find the Reset PTO
Accruals parameter, and change its value from Y to N.
Important: Make sure you reset the parameter to N to ensure faster
processing in your normal payroll processes.
Leave and Absence Management 4-71
Accrual Balances Maintained by SSHR
Accrual Balances Maintained by SSHR : Overview
Managers and employees can view accrued leave details based on an effective date
using Oracle SSHR.
Managers
Using the Manager Self-Service responsibility, you can view accrued leave details for
employees in your team and allocate or plan deliverable accordingly.
You can:
• View Accrual balances in the View Entitlement Balances pop-up window from
approval notifications
Note: This does not apply to email notifications.
• The notification for approval displays the accrual balance as of the system date, by
default. You can enter an effective date and query for accrual balance as of that date
in the View Entitlement Balances pop-up window. Additionally, you can
personalize the effective date to display the accrual balance only as of the system
date, or personalize to hide the View Entitlement Balance pop-up window.
• When you create, update, confirm, or submit an absence on behalf on an employee,
you can view the employee's entitlement balances in the View Entitlement Balances
pop-up window. You can also view the accrual balances for all assignments of an
employee when you navigate to the notification from the worklist or workflow
responsibilities.
Note: If a terminated employee queries for leave accrual on a future
date beyond the termination date, instead of the accrual information,
the application will display the following message: Contact your HR
Representative for information on your accrual balance.
Employees
Using Employee Self-Service, you can view your accrued leave, allowing you with the
flexibility of planning vacations well in advance.
You can:
• View accrual balance in the View Entitlement Balances pop-up window when
creating, updating and submitting an absence
4-72 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
• View accrual balance in the View Entitlement Balances pop-up window when
confirming a planned absence
• By default, you can view the accrual balances as of the system date. You can enter
an effective date and query for accrual balance as of that date in the View
Entitlement Balances pop-up window. Additionally, you can personalize the
effective date to display the accrual balance only as of the system date, or
personalize to hide the View Entitlement Balance pop-up window.
Managers and employees must use the Effective Date field on the tab Entitlement
Balances, of the Absence Management Summary table, to query for accrued leave.
See: Leave and Absence Management Overview, page 4-1
See: How do we track and analyze absences and net accrual entitlement:Leave and
Absence Management, page 4-3
See: Leave and Absence Management:Self-Service Functionality, Deploy Self-Service
Capability Guide
Leave and Absence Management 4-73
Workforce Intelligence Key Concepts for Leave and
Absence Management
Workforce Intelligence Key Concepts for Leave and Absence Management
To enable you to get the most out of Leave and Absence Management intelligence
reports, you need to understand the following key concepts:
• Absence Hours, page 4-73
• Working Hours, page 4-73
Absence Hours
The Absence Hours reports use the element information created when you enter either
an absence against the absence element, or an absence in the Absence Details window.
The report plots the absence hours for the date earned. This is entered for the element. If
a date earned has not been entered, then the element's effective start date is taken as the
date earned.
Note: If you have entered your absences using the Absence Details
window, a date earned is not set up; therefore the report uses the
effective start date of the element.
Regardless of the length of time an employee has been absent, the report always plots
his or her absence hours on the date earned, or the effective start date of an element. It is
possible, because of the frequency and time period you select, that an absence may fall
into two different time periods. The absence hours are always shown in the first time
period, rather than pro-rata across two time periods.
A pre-defined formula, TEMPLATE_BIS_DAYS_TO_HOURS, calculates the absence
hours. You can configure this formula to meet your requirements.
See: Discoverer Workbooks Implementation Steps, Oracle HRMS Strategic Reporting
(HRMSi) User Guide
Working Hours
Within Oracle HRMS, you record the number of regular and overtime hours worked
using elements. The Hours Worked reports process information for the hours worked
through formulas, which you must provide using Oracle FastFormula.
See: Setting Up and Customizing Working Hours, Oracle HRMS Strategic Reporting
(HRMSi) User Guide
4-74 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
The Hours Worked reports calculate the hours worked for each payroll time period
using employee assignments. For the assignment to be included it must:
• Be active or suspended.
• Fit the criteria you enter. For example, if you enter a grade name, the assignment
must have that grade entered against it.
Note: You can only run the Hours Worked reports if you previously set
up Oracle FastFormula to calculate your employees' regular hours and
overtime hours.
The Hours Worked reports display information about the payroll periods that most
closely match the start and end dates that you enter for the report. For example, if the
first date you enter is 05-Jan-2001, and the payroll begins on 01-Jan-2001, the report
includes information from 01-Jan-2001.
Leave and Absence Management 4-75
Workforce Intelligence for Leave and Absence
Management
Employee on Leave Detail Workbook
This workbook enables you to report on employees who are on a leave of absence on a
particular effective date. The workbook shows the following employee primary
assignment details:
• Employee number
• Organization
• Supervisor
• Location
• Hire date
• Absence details, including date start and date end
Worksheets
This workbook has the following worksheets:
• Organization Hierarchy
• Supervisor Hierarchy
Organization Hierarchy Worksheet
This worksheet enables you to report on employees who are on leave on the effective
date chosen. Employees are listed for a given organization and its subordinate
organizations. The additional parameter, Absence Types to Exclude, enables you to
exclude absence types that are not of interest, for example, Unpaid Leave.
Business Questions
When are my employees in an organization hierarchy on leave?
Parameters
You must specify values for the following parameters:
• Organization Hierarchy
4-76 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
• Top Organization
• Effective Date
Supervisor Hierarchy Worksheet
This worksheet enables you to report on employees who are on leave on the effective
date chosen. Employees are listed for a given supervisor and his/her subordinates. The
additional parameter, Absence Types to Exclude, enables you to exclude absence types
that are not of interest, for example, Unpaid Leave.
Business Questions
When are employees, reporting directly or indirectly to a specific supervisor, on leave?
Parameters
You must specify values for the following parameters:
• Supervisor
• Effective Date
Setup for Health and Welfare Management 5-1
5
Setup for Health and Welfare Management
Setup for Health and Welfare Management Overview
You use the implementation features of Standard and Advanced Benefits to design the
benefit programs that you offer to your employees and other eligible participants. You
can define eligibility and enrollment requirements for programs and plans, set up
activity rate calculations, and define reporting groups and system extracts.
Advanced Benefits includes all the components of Standard Benefits plus features for
managing life events and setting up flexible benefit programs.
See: Advanced Benefits Setup: Overview, page 5-3
Use the administration features of Standard and Advanced Benefits to manage benefits
enrollments and to maintain your benefit programs.
See: Standard and Advanced Benefits Administration: Overview, page 6-1
See: Advanced Benefits Administration: Overview, page 6-3
The application provides a Total Compensation Setup Wizard to guide you through the
setup process.
See: Total Compensation Setup Wizard, page 5-4
Features Common to Standard and Advanced Benefits
Standard and Advanced Benefits share a number of common setup features:
• Plan Design: You can design the program structure of the benefits you offer to your
employees and other qualified participants and dependents. Use the Total
Compensation Setup Wizard to help automate the setup process.
• Eligibility Profiles: You set up participant eligibility profiles and dependent
coverage eligibility profiles to restrict who is able to participate in a benefit
plan.
5-2 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
• Enrollment Requirements: You define enrollment requirements to determine
when an eligible person can enroll in a benefit plan.
• Activity Rates: You define an activity rate calculation to determine the standard
or variable contribution or distribution for a benefit. Activity rates also control
the calculation of coverage amounts, monthly premiums, and imputed income
taxation.
• Communications: Oracle HRMS helps you manage employee communications.
You set up communication type definitions to control the data the application
generates for inclusion in a communication. For example, you can extract a
participant's available benefit choices and price tags into a flat file that you then
merge into the body of a pre-enrollment letter.
Note: The application restricts Standard Benefits users to setting up
communications for COBRA and HIPAA administration.
• System Extract: The system extract feature lets you manage the extract and format
of person benefits data for delivery to organizations such as third party benefits
administrators.
• Plan Design Copy: Use this feature to save time during your implementation. You
can set up your plan design in a test database, for example, then use Plan Design
Copy to transfer the finalized design into your production database without
repeating data entry. For plans that share components, you can define a plan once,
then modify copies of the base plan as necessary.
Managing Benefits Using SSHR
You can set up Standard and Advanced Benefits so that individuals can manage their
elections through a web browser, thus saving the back office from the task of election
processing.
For information on setting up Self-Service Benefits enrollments, refer to My Oracle
Support Note 215159.1, Self-Service Benefits Enrollments with Standard and Advanced
Benefits.
Key Concepts
To broaden your understanding of Standard Benefits, and features common to both
Standard and Advanced Benefits, see:
Plan Design, page 1-69
Plan Design Copy, page 1-76
Eligibility Requirements for Total Compensation, page 1-128
Setup for Health and Welfare Management 5-3
Activity Rates, page 5-123
System Extract, Oracle HRMS Configuring, Reporting, and System Administration Guide
Self-Service Benefits Enrollments, page 5-9
Advanced Benefits Setup: Overview
Advanced Benefits enables administration based on life events that occur to
participants. You can generate enrollment actions, activity rate changes, and
communications based on seeded life events or events you define.
You also use Advanced Benefits to design benefit programs that are based on flex credit
accrual.
Advanced Benefits Features
In addition to the core features available with Standard Benefits, Advanced Benefits
comprises several distinct features:
• Life Events: The system lets you trigger enrollments, activity rate changes, and
communications based on the occurrence of a life event to a primary participant or
dependent.
• Life Event Reasons: These are the changes to a person's HR record that you
define as valid reasons for an enrollment action. Life events can be external,
such as the birth of a dependent, or internal, such as a work location change or
the start of an open enrollment period.
• Online Benefits Administration: This feature is useful for HR call centers. Using
the Benefits Service Center, you can record a change to a person's HR record,
evaluate the change for enrollment impact, and process an election online all from a
centralized form. You control the application windows, reports, and processes
available to your benefits administrators.
• Flex Credit Calculation: For those programs where you offer a choice of benefits
and coverage levels, you can define flex credit calculations that determine the
amount of flex credits a person must spend to purchase a benefit. You also define
restrictions as to how a participant can distribute unused flex credits.
Key Concepts
To learn more about Advanced Benefits, see:
Life Events Reasons, page 5-52
Seeded Life Event Reasons, page 5-58
Enrollment Requirements, page 5-69
Enrollment Types, page 5-73
5-4 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Flex Credit Calculations, page 5-169
Communications, page 5-178
Online Benefits Administration, page 6-38
Total Compensation Setup Wizard
Use Total Compensation Setup Wizard for a fast and easy way to enter your plan
design into Oracle HRMS. Total Compensation Setup Wizard uses the Oracle
Applications Framework to provide a task-oriented process for creating Health and
Welfare programs and the business processing rules associated with them.
Advanced Benefits customers can use Total Compensation Setup Wizard to set up:
• General program details for flex credit and non-flex credit programs
• Health and Welfare plans, options, coverage amounts, coverage restrictions, interim
coverages, standard and variable rate calculations, dependent and beneficiary
eligibility, and designation requirements
• Annual open enrollment periods
• Explicit life events from a set of pre-determined data triggers that generate a
corresponding enrollment period
• Enrollment requirements for unrestricted programs
• Enrollment requirements for specific life event processing (along with available
dependent changes)
• General or life event specific default enrollment requirements
• Final plan design review page and submit process to load data into the business
group
For Standard Benefits, the Total Compensation Setup Wizard automatically determines
your configuration options. Use the Wizard to:
• Configure your plan design
• Set up unrestricted programs
• Define participant eligibility requirements
• Set up activity rates, including variable rates and coverage calculations
After you complete your plan design, you can use the Wizard to:
• Update FastFormula in plan design objects
Setup for Health and Welfare Management 5-5
• Update multiple standard and variable activity rates simultaneously (Mass Update
of Rates)
You can then use the professional user interface to:
• Define flex credit calculations and benefit pools (OAB)
• Set up actual premium calculations
• Define colliding life event logic (OAB)
• Set up distribution rules if you offer reimbursement plans
• Define communication types
• Set up the Benefits Service Center for centralized administration (OAB)
Advantages of Advanced Benefits Life Event Processing
As an Advanced Benefits customer, you can take advantage of a range of features,
including:
• Automated Life Event Management
• What-If Eligibility Determination
• Mass Enrollment Processing
Oracle strongly recommends that you implement the Life Event processing model to
automate benefits administration. This model enables you to configure enrollment
restrictions based on specific life events that you define. Life event processing manages
complex situations; for example, when a participant reports a life event that occurred in
the past and other elections are already in place, or when the elections and rates for a
life event must become effective in the past.
Consider the following questions that illustrate the advantages of the Life Event
processing model:
• Do you want to process mid-year election changes automatically for a single
participant? Would you like to perform mass enrollment updates or corrections?
• Do you need to automatically assign certain benefits to employees or family
members?
• Do you anticipate automating your administration practices in the future? Do you
need to enforce business rules, such as requiring or reminding a participant to
designate dependents or requiring a participant to provide "Evidence of
Insurability?"
5-6 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
• Do you restrict an employee's benefit choices based on life events, such as a
marriage or the addition of a child?
• Would you like to operate in a Self-Service environment where employees record
their own elections through a web browser? Would you like to allow employees to
use Self-Service for mid-year election changes and to restrict the allowable updates
based on the reason for the change?
Answering Yes to any of the above questions--in conjunction with planning the
components of your benefits program--should justify implementing the life event
model. The Total Compensation Setup Wizard assists you with this configuration.
Standard and Advanced Benefits Implementation
Oracle HRMS provides a complete solution for Total Compensation management. Your
Oracle Human Resources license includes the Standard Benefits feature set that enables
you to manage your enterprise's benefits offerings.
The Oracle Advanced Benefits license provides the Standard Benefits feature set plus
additional functionality enabling you to design flexible benefit programs and to
administer benefits based on life events.
See: Advanced Benefits Implementation, page 5-7
Standard Benefits Implementation
Standard Benefits provides the functionality you need to administer benefit programs
that do not offer flex credit based benefits. The Standard product is also useful if you
outsource a significant portion of your benefits administration.
What kinds of benefit plans are supported by Oracle HRMS?
You can use the product to manage the most typical plan types, including:
• Medical plans
• Dental plans
• Vision plans
• Prescription drug plans
• Short term and long term disability plans
• Group term life insurance
• Dependent life insurance
Setup for Health and Welfare Management 5-7
• Group legal services
• Savings plans (such as 401(k) and money purchase)
• Vacation Buy/Sell plans
• Continuing benefits (such as COBRA and HIPAA)
In addition, you can accommodate other forms of benefits such as company cars,
reduced rates on loans, subsidized dependent care, or other goods or services for which
your enterprise offers employee reimbursement.
Can you restrict who is eligible to receive a benefit?
You use eligibility profiles to restrict which participants may enroll in a given benefit.
You create an eligibility profile by grouping together your eligibility criteria, such as
work and personal factors.
You create a dependent coverage eligibility profile when you want to restrict the criteria
that must be met for a dependent to be covered by a benefit.
How do I schedule an enrollment period?
In Standard Benefits, you use the unrestricted enrollment method to process your
enrollments. Unrestricted enrollments are not limited to a period of time. You can
record the dates of your open enrollment in the system, but these dates do not restrict
your enrollment processing.
How do I define payroll deductions and payments for benefits?
You define activity ratecalculations for a benefit plan that determine the contribution
amount required to purchase the benefit. Activity rates can also be used to calculate
employer contributions to a plan and distribution payments from a plan.
Can you vary the rate that different participants pay to purchase a benefit?
If your plan rules stipulate that the amount a participant must pay to purchase a benefit
varies based on certain factors, you can define a variable rate profile to define these
variable criteria. Then, when eligible participants meet these criteria, they will receive
the variable rate.
You can vary an activity rate based on employment factors, such as an employee's work
location, or length of service with your organization.
Advanced Benefits Implementation
By licensing Advanced Benefits, you can also fulfill the following business
5-8 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
requirements.
How do I define qualifying life events?
You define a life event reason as a database change to a person's HR record. This change
may require or enable an enrollment action. An enrollment action is an enrollment,
de-enrollment, change in election, or change in contribution rate that is implemented
either automatically, by default, or at the explicit request of the participant.
You link life events to scheduled enrollment periods, benefit plans, and
communications. When a life event occurs to a participant, the system evaluates the life
event to determine benefits eligibility and electable enrollment choices.
For example, if an employee's work location changes, you might want to evaluate this
change to see if there is a corresponding change in benefits eligibility or contribution
rates. If an employee's status changes from active to terminated, you may need to
generate a continuing benefits action (such as for COBRA in the US).
How do I implement a flex credit program?
You can use Advanced Benefits to create flex credit based programs that offer a range of
benefit choices to your employees and other eligible participants.
You create activity rate calculations that determine the number of flex credits required
to purchase a particular benefit. You can select from a variety of calculation methods,
from a flat amount to a multiple of compensation. You can associate a variable rate
profile with your flex credit calculation if contribution rates vary for an individual
based on factors that you define.
Using benefit pools, you specify how credits may be rolled over between plans and how
excess flex credits can be distributed.
Does the application support automatic and default enrollments?
Yes, Advanced Benefits customers can define automatic enrollments to enroll
participants in benefits without their explicit request. For example, you could trigger an
automatic enrollment based on a life event so that when a person is hired, they
automatically receive certain coverages.
Advanced Benefits customers can also define default elections for participants who fail
to explicitly make benefit elections.
Setup for Health and Welfare Management 5-9
Self-Service Benefits Enrollments
Self-Service Benefits Enrollments
Self-Service Benefits supports a variety of enrollment types, including open,
unrestricted, and life event enrollments for one or more flex or non-flex programs.
The enrollment choices, price tags, and other information in Self-Service Benefits web
pages are derived from Oracle Applications database tables using the rules of your plan
design. Updated information is stored in the Oracle Applications database tables using
standard Application Programmable Interfaces (APIs).
Self-Service Benefits supports enrollment for plans and options in a program. Use
vertical plan types, which can have multiple rates, to enable plan level enrollments and
horizontal plans types to enable enrollments in options inside a plan level with single
rate. Use Oracle's professional forms interface or the self-service Individual
Compensation Distribution web pages to enroll participants in all plans not in a
program such as savings plans, Employee Stock Purchase Plans (ESPP), or 401(k) plans.
Self-Service Benefits Enrollment Functionality
Self-Service Benefits offers an employee the opportunity to:
• Review current, and future program benefits enrollments, and up to ten past
enrollments, within the last two years
• Select benefits
• Distribute excess flex credits (Advanced Benefits)
• Add, update, or review family member information
Note: Family member information entered through the self-service
interface and personal contact data entered through the professional
forms interface share the same table. Any data entered or updated in
Self-Service HRMS or the professional forms interface is reflected in
both interfaces.
• Add, update, or remove dependents
Note: Self-Service requires dependents and beneficiaries to have the
personal relationship check box checked on the Contacts window.
• Add, update, or remove beneficiaries
5-10 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Employees can select organizational beneficiaries provided that the administrator
has entered the Beneficiary Organization using the professional forms interface, and
selected the May Designate Organization as Beneficiary check box in the plan
enrollment requirements.
• Search for and select primary care providers
• Print a temporary participant identification card
• Save or print an enrollment confirmation statement as a PDF document
Legal Disclaimer Page
During implementation, you can choose to display a predefined Legal Disclaimer page
in Self-Service Benefits. Before self-service users can enroll in a benefit, they must read
and accept the terms provided in the Legal Disclaimer page. If they do not accept these
terms, the application will not enable the users to enroll.
You can enter the instruction text for the Legal Disclaimer page in the Self Service
Instructor Text field in the Communication Types Usages window. This is a one-time
process that you can complete when you set up Self-Service Benefits. You can also
include HTML tags in the Disclaimer text for formatting effects, such as bold and
indented text.
Enrollment Change Workflow Notifications
You can configure the Workflow Builder to send a notification to an HR professional
whenever a participant updates a Self-Service Benefits Enrollment web page, excluding
the Primary Care Provider page. The notification contains the following information
and provides direct access to the Confirmation page for the participant, but is not linked
to any Workflow approval process:
• Name of Employee
• Social Security Number or National Identifier
• Life Event Name
• Enrollment Period
• Selected Benefit Plans and Options
• List of Covered Dependents
Oracle Workflow sends a notification to a worklist or group that you maintain after the
participant completes the enrollment update. If the participant closes the browser
window prior to reaching the Confirmation page, Oracle Workflow sends a notification
within one hour of the first enrollment change.
Setup for Health and Welfare Management 5-11
You can manually override the enrollment or contact the participant to correct and
resubmit the election if necessary.
See: Self-Service Workflows, Oracle HRMS Deploy Self-Service Capability Guide
Hidden Fields in Self-Service Benefits
There are a number of fields that are delivered hidden by default on the self-service
pages. You can choose to display them. They include:
• Coverage start and end dates for specific enrollments
• Cost 2 (after tax), 3 (taxable), and 4 (miscellaneous) columns for displaying multiple
rates for a vertical display plan type
• Physician group and hospital, on the Primary Care Provider Search page
• Full name
See: Benefits Enrollments, page 5-17 for further details of these hidden fields and the
regions where you can display them.
Displaying Descriptive Flexfields
The following descriptive flexfields can be entered in self-service Benefits:
• Additional Ben Prtt Enrt Rslt F Details (BEN_PRTT_ENRT_RSLT_F)
You enter this flexfield data on the Benefits Information page, which appears after
the Benefits Selection page if the flexfield has been set up and there are global
segments, or segments defined for the selected plan type.
• Add'l Contact R'ship Det's (PER_CONTACTS)
You enter this flexfield data in the Miscellaneous region of the Family Member Add
page. You can also view or enter the flexfield data in the Personal Information
module of SSHR.
• Further Person Information (Person Developer DF)
You enter this flexfield data in the Name and Relationship region of the Family
Member Add page.
If you have set up the Further Person Information or Additional Contact Relationship
Details flexfields, you can choose to display some or all of the segments in self-service
using the Personalization Framework. See: Configuring Flexfields, Oracle HRMS Deploy
Self-Service Capability Guide
The Additional Ben Prtt Enrt Rslt F Details flexfield appears automatically if you define
and freeze this flexfield. You must bounce the Apache server after freezing or
unfreezing the flexfield to ensure that your changes are displayed.
5-12 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Plan Type Context
You may want to display the Additional Ben Prtt Enrt Rslt F Details flexfield only for
enrollment in specific compensation objects. For example, you may want to display
prior years commission information to participants for a supplemental life insurance
plan, while hiding commission information used to calculate group life insurance rates.
To display the flexfield differentially by compensation object, you must define a context
for the flexfield based on BG_ID_PL_TYP_ID. On the Descriptive Flexfield Segments
window, uncheck the Displayed check box for the context if you do not want to show
the context poplist to the user. Notice that if you display this list, it will contain all the
contexts for the flexfield (even those for other business groups) unless you restrict them
by a value set defined for the context.
If there are frozen segments for the descriptive flexfield but no global segments defined
and no segments defined for the selected plan type, the Benefits Information page
appears in the enrollment chain but the region pertaining to this plan type does not
display. Existing data set up in the flexfield is not affected by any new contexts you
define for self-service.
Plan Design Considerations for Self-Service Benefits
Before eligible participants can enroll in self-service benefits using the self-service
interface, you must design your benefit plan using Oracle's professional forms interface.
The following topics look at the points you should consider when designing your plan
for the self-service environment.
Legislative Configurations
Self-Service Benefits is delivered with US-style formatting for the following fields:
• Address
• Social Security Number
• Pre Tax Cost
• After Tax Cost
For non-US self-service implementations, you can edit field labels to fit your legislative
requirements and you can also hide and unhide fields. For example, you may want to
hide the list of States from the address fields.
Note: The address style and country used by Self-Service Benefits is
inherited from the primary benefits participant.
If your legislation or benefit plan design does not allow for after tax contributions,
consider hiding the after tax columns on the tables contained in the following web
Setup for Health and Welfare Management 5-13
pages:
• Benefits Enrollment Overview
• Current Benefits Overview
• Benefits Selection
• Confirmation
See: Setting Up Self-Service Benefits Web Pages, page 5-35
See: Benefits Enrollments, page 5-17 for a list of the configurable user interface
elements in each delivered web page.
Integration with Authoria HR (US and UK)
The third party product Authoria HR provides a common knowledge repository to
manage and communicate HR and benefits information.
After a self-service implementer defines a total compensation plan in the Oracle HRMS
professional user interface, licensees of Authoria HR can configure links between Oracle
HRMS and Authoria HR.
End users can click on links in the applicable self-service web pages to display
context-sensitive Authoria HR documentation.
You can configure the following self-service enrollment windows for use with Authoria
HR:
• Benefits Enrollment Overview page
• Current Benefits page
• Confirmation page
• Benefits Selection page
See Configuring Links Between Oracle Standard and Advanced Benefits and Authoria
HR, Oracle HRMS Configuring, Reporting, and System Administration Guide
Multiple Rates
You can display up to four standard rates for each compensation object to enable
employees to see employee and employer paid premiums, and related costs such as
fringe benefit taxes and administrative fees. Multiple rates are displayed on the
Overview, Benefits Selection, Current Benefits, and Confirmation pages.
Only vertical display Plan Types are able to be custom formatted in self-service to
display multiple rates for a single compensation object. Due to display and sizing
constraints, horizontal display Plan Types cannot display multiple rates. You can only
display one standard rate per column.
5-14 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
When you define standard rates for self-service, you can select any activity type and tax
type. However, you must check the Display on Enrollment check box (Processing
Information tab) and you must specify the Self Service Display Order number (1 to 4).
When you display multiple rates, the column headings in self-service are Cost 1, Cost 2,
Cost 3, and Cost 4. Otherwise, a single rate displays as either Pretax or Aftertax. You
can change the column headings using the Personalization Framework.
When defining your standard rate, consider the following:
• For Costs 2, 3, and 4 you can select the Display on Enrollment check box (Processing
Information tab of Standard Rates window) or the Enter Value at Enrollment check
box (Calculation Method tab). However, do not select the Enter Annual Value check
box on the Calculation Method tab. Annual Value can only be entered in Cost 1, if
applicable.
• Costs 2, 3, and 4 can be used to calculate additional amounts, either based on the
coverage or the amount in Cost 1. For example, if you charge a 2% administration
fee for a spending account, you would set up the rates as follows:
Coverage-Check the Enter Value at Enrollment box
Cost 1 = Contribution - Select Same as Coverage as the Calculation Method
Cost 2 = Administration Fee - Select Multiple of Coverage as the Calculation Method
(0.02 * coverage, in this example)
Cost 3 = Total Cost - Select Multiple of Coverage as the Calculation Method (1.02 *
coverage, in this example)
Benefits Pools (Advanced Benefits)
If you are displaying multiple rates, you may not want them all deducted from flex
credits. Use the Application tab on the Benefits Pool window to determine which
standard rate to deduct. All rates selected on this tab are included in the Flex Credit
Used Total. Unused Flex Credits (rollovers) displayed are not impacted by the use of
multiple rates.
Flexible Spending Accounts (US)
To ensure that your qualifying participants can enroll in Flexible Spending Account
(FSA) plans using Self-Service Benefits, you must set up your plans using one of the
following two methods:
The preferred method is to use the Plan Types window to define one plan type for each
FSA plan. For example, you define one plan type for Dependent Care FSA plans and a
second plan type for Health Care FSA plans. For each plan type, you define the
coverage plan or plans into which participants and their dependents can enroll. You
also define a decline coverage plan which is linked to each plan type.
Alternatively, you can set up one FSA plan type that covers both dependent care and
health care plans. Within this plan type, you define plans for both dependent care and
Setup for Health and Welfare Management 5-15
health care. Then, within these plans, you link options for both selecting and declining
coverage.
Other items for consideration:
• When you define the activity rate for the FSA plan, check the Enter Value at
Enrollment field in the Calculation Method region of the Standard Rates window.
• Select Set Annual Rate Equal to Coverage as the calculation method.
• In the Coverages window, define the minimum and maximum contribution
amounts for the FSA plan. Indicate that values for this plan are entered at
enrollment.
Flexible Benefits Programs (Advanced Benefits)
With Flexible Benefits Programs, you can offer flex credits to eligible participants to
offset the cost of benefits. When you defining a benefit program in the Programs
window, select the same periodicity for the activity reference period (the time period in
which the system expresses activity rates) and the enrollment rate frequency (the
activity rate that is communicated to participants). This ensures that the price tags for
selecting benefits and the flex credits available to participants are expressed for the
same time period.
Other items for consideration:
• Unless your flex credits are determined using the result of a calculation, you
indicate the number of flex credits associated with a compensation object by
entering the value in the Flat Amount field in the Calculation Method region of the
Flex Credits window.
• You must set up a flex credits placeholder plan and link this plan to the flex program.
This plan records the total flex credits for the program. Define a rate for this plan by
entering zero in the Flat Amount field of the Calculation Method region of the
Standard Rates window.
• Set the processing type of the corresponding element to Recurring.
Temporary Participant Identification Cards
A temporary identification card allows a participant to obtain medical, dental, or other
benefit treatment before the participant receives the official membership card from the
provider. Using Self-Service Benefits, a participant can print one card for each elected
plan that allows for temporary identification cards. The participant can also print a card
for each covered dependent.
The application generates a temporary ID card upon:
• Enrollment
5-16 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
• Re-enrollment
• Change in Enrollment
• Participant Request (due to loss)
The identification card includes information such as:
• Employee Name and Social Security Number
• Member Name and Social Security Number (for dependents)
• Employer Name
• Plan Name
You indicate that a plan allows for the printing of temporary ID cards by checking the
Allow Temporary Identification field on the Plans window.
Declining Coverage
Depending on your plan design, you must set up either a decline coverage plan or
option that allows a participant to waive an enrollment opportunity for which they are
otherwise eligible.
If a plan type contains multiple plans, you create a decline coverage plan in the Plans
window (in addition to the regular plans) and indicate that the plan is of the specified
plan type. If a plan type has only one plan, you define a decline coverage option and link it
to the plan. This ensures that participants can either select or decline benefit coverage.
Note: If your plan design requires that a participant select at least one
option from a group of options or at least one plan from a group of
plans, do not define a decline coverage plan or option.
Self-Service Benefits What-if
Self-Service Benefits What-if enables you to model electability for benefits based on
proposed changes to a person's HR record, before you make the actual change. When
you model electability, the database does not save changes, so you can view different
electability scenarios without having to manually save data.
The Self-Service Benefits What-if page is available from Manager and Employee
Self-Service Responsibilities. To ensure that certain data is not visible to all users, as an
administrator, you can define roles for Self-Service Benefits What-if. Managers can
review changes to benefits for employees in their security group that would result from
proposed changes to the employee's HR record. Employees can view changes to their
benefits based on proposed data changes to their HR records. The comparison is in
terms of their electable choices, plan or option enrollment rate.
Setup for Health and Welfare Management 5-17
As a manager or an employee, you can compare current benefits with the proposed
benefits based on the electable choices, and a plan or option enrollment rate. For
example, you can view the benefits impact of relocation or a change in weekly hours
worked.
See: Modeling a Person's Benefits Eligibility (Advanced Benefits), page 6-37
The system does not allow you to model electability if current life events are in
progress. What-if electability depends only on the data changes you elect to model.
Using the HRMS System Administrator responsibility, you need to enable the Benefits
Compensation Objects Extra Information Type (EIT). This EIT enables you to add
information about the type of compensation object such as program, plan type,
compensation object name, and a flag indicating whether the compensation object is
visible to the user.
See: Setting Up Extra Information Types Against a Responsibility, Oracle HRMS
Configuring, Reporting, and System Administration Guide
You also define the What-if Label that displays to users who perform the what-if
modeling, and the life events for compensation objects and link one or more person
changes to each life event.
See: Setting Up What-if Modeling, page 6-36
You can use the HRMS System Administrator responsibility to configure Self-Service
Benefits What-if so that managers only view changes to benefits for employees in their
security profile.
By default, the Self-Service Benefits pages do not display some fields. However, you can
choose to display them using the Personalization Framework.
See: Benefits Enrollments, page 5-33
Benefits Enrollments
This topic provides reference information you need to configure your Self-Service
Benefits web pages using the Personalization Framework.
For instruction text, the tables below list--by web page region--the communication
short name and the valid communication usages that are required when you define a
communication type to display instruction text for a particular program, plan type,
plan, or life event.
See: Defining Self-Service Instruction Text, page 5-45
Hidden Fields: This topic also lists--by web page region--all fields the application
delivers as hidden which you can display using the Personalization Framework.
For example, by default all person name fields in Self-Service Benefits display names in
the format 'First Last Suffix' (without commas between the parts of the name.) You can
add the Full Name field to a web page and remove the delivered Name field. In the US,
the Full Name field uses the format 'Prefix Last, First Middle Suffix'.
5-18 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Menu and Function Names
This module can be accessed from the following menus and functions:
User Menu Name Function Name
Employee Self-Service Self-Service Benefits Enrollment - Employee
Employee Self-Service Self-Service Benefits Enrollment - Federal
Configurable Pages and Shared Regions
The following definitions can be configured using the Personalization Framework:
Family Members and Others, and Family Members and Others Detail Page
The Family Members and Others page enables a participant to view a record of their
family members and other persons enrolled as dependents or beneficiaries of their
benefits. Benefits participants can add another person to the Family Members and
Others table by choosing the Add Another Person button, which opens the Family
Members and Others Details page.
This page only displays when a person has either:
• An enrollment opportunity
• Eligibility for an unrestricted program
• A detected or unprocessed potential life event as of the system date
If one of these conditions does not exist, the application opens the Current Benefits
page.
The seeded life event reason of Added During Enrollment prevents a life event from
occurring when you create a family member or update a family member's details. If you
define a life event reason of the type Personal, that you make Selectable for Self Service,
you can trigger a life event when a person enters or deletes a contact on the Self-Service
Human Resources Contacts page and selects a relationship start or end reason.
Note: It is recommended that you provide instruction text indicating
that eligibility for benefits may be based on family members. However,
you cannot use communication usages to restrict the display of
instruction text to a compensation object or a life event for the Family
Members page.
Setup for Health and Welfare Management 5-19
Hidden Field: Use the BEN_FAMILY_MBRS_TABLE region to add the hidden Full
Name field to the page and to remove the Name field if necessary.
Family Members and Others
Region Tip Type Message Name Required
Communication
Short Name
Valid
Communication
Usages
Members
Content
Instruction
FML.FAMILY_
MBRS_CONTEN
T
Program, Life
Event
Family Members
Content
Help Tip
Family Members and Others Detail Page
Region Tip Type Message Name Required
Communication
Short Name
Valid
Communicatio
n Usages
Add or Update
Family Members
Instruction
FML.FAM_ADD
_CONTENT
Program, Life
Event
Name and
Relationship
Instruction
FML.FAM_ADD
_NAME
Program, Life
Event
Address Instruction
FML.FAM_ADD
_ADDRESS
Program, Life
Event
Miscellaneous
Information
Instruction
FML.FAM_ADD
_OTHER
Program, Life
Event
Second Medical
Coverage
Instruction
FML.FAM_ADD
_SECOND_MEDI
CAL
Program, Life
Event
Address Help Tip
Name and
Relationship
Hint (Suffix) 92638 __ __
5-20 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Region Tip Type Message Name Required
Communication
Short Name
Valid
Communicatio
n Usages
Address Hint (Postal
Code)
92639 __ __
Miscellaneous
Information
Hint (National
Identifier)
92640 __ __
Miscellaneous
Information
Hint (Date of
Birth)
92637 __ __
Message
(Required Field
Missing)
92601 __ __
Message
(Invalid Birth
Date)
92598 __ __
Configurable FlexFields
Family Members and Others Page
Region Flex Name Flex Code
Add or Update Family
Members
Further Person Information hrpersondevdfflex
Miscellaneous Information Additional Contact
Relationship Details
Add Cont Details D Flexfield
See: Configuring Flexfields, Oracle HRMS Configuring, Reporting, and System
Administration Guide
Benefits Enrollment Overview Page
The Benefits Enrollment Overview web page enables a participant to view a record of
their current benefits and to enroll into a new set of benefits.
Hidden Fields: You can use the following regions to add the hidden Full Name field to
Setup for Health and Welfare Management 5-21
the page and to remove the Name field if necessary.
• BEN_OVW_SELECTIONS_TABLE
• BEN_OVW_CVRD_DEPS_TABLE
• BEN_OVW_BENEF_TABLE
• BEN_OVW_PCP_TABLE
You can use the BEN_OVW_SELECTIONS_TABLE region to display a column for the
taxable cost of a benefit. This column corresponds to a standard rate with an activity
type of Self-Service Display, or--if you are displaying multiple rates for the
compensation object--to the rate you have defined with 3 in the Self Service Display
Order field. If you are displaying multiple rates, you can also display the Cost 2 (After
Tax Cost) and Cost 4 (Miscellaneous) columns to show the rates you have defined with
2 and 4 in the Self Service Display Order field.
You can also use the BEN_OVW_SELECTIONS_TABLE region to display Coverage
Start and End Date columns. These columns show the coverage start and end dates for
each election.
Benefits Enrollment Overview Page
Region Tip Type Message Name Required
Communicatio
n Short Name
Valid
Communication
Usages
Enrollment
Overview
Content
Instruction
BEO.ENRL_OV
ERVIEW_CON
TENT
Program, Life
Event
Flex Credits Instruction
BEO.FLEX_CRE
DITS
Program, Life
Event
Flex Credit
Summary
Instruction
BEO.OVERVIE
W_FC_SUMMA
RY
Program, Life
Event
Flex Credit
Rollovers
Instruction
BEO.FLEX_CRE
DIT_ROLLOVE
RS
Program, Life
Event
Benefit
Selections
Instruction
BEO.OVERVIE
W_SELECTION
S
Program, Life
Event
5-22 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Region Tip Type Message Name Required
Communicatio
n Short Name
Valid
Communication
Usages
Covered
Dependents
Instruction
BEO.OVERVIE
W_CVRD_DEP
S
Program, Life
Event
Beneficiary
Enrollment
Overview
Instruction
BEO.ENRL_OV
ERVIEW_BENE
F
Program, Life
Event
Primary Care
Providers
Enrollment
Overview
Instruction
BEO.ENRL_OV
ERVIEW_PCP
Program, Life
Event
Enrollment
Overview
Content
Message (No
Enrollment
Opportunity,
Brief Message)
92570 -- --
Enrollment
Overview
Content
Message (No
Enrollment
Opportunity,
Detail Message)
92571 -- --
Current Benefits Overview Page
The Current Benefits Overview web page enables a participant to see a record of their
current benefits.
Hidden Fields: You can use the following regions to add the hidden Full Name field to
the page and to remove the Name field if necessary.
• BEN_OVW_CVRD_DEPS_TABLE
• BEN_OVW_BENEF_TABLE
• BEN_OVW_PCP_TABLE
You can also use the BEN_OVW_SELECTIONS_TABLE region to display Coverage
Start and End Date columns. These columns show the coverage start and end dates for
each election.
Setup for Health and Welfare Management 5-23
Current Benefits Overview Page
Region Tip Type Message Name Required
Communication
Short Name
Valid
Communicatio
n Usages
Current Benefits
Overview
Content
Instruction
CBO.CURRENT
_OVERVIEW_C
ONTENT
Program
Flex Credits Instruction
CBO.FLEX_CRE
DITS
Program
Flex Credit
Summary
Instruction
CBO.OVERVIE
W_FC_SUMMA
RY
Program
Flex Credit
Rollovers
Instruction
CBO.FLEX_CRE
DIT_ROLLOVER
S
Program
Benefit
Selections
Instruction
CBO.OVERVIE
W_SELECTIONS
Program
Covered
Dependents
Instruction
CBO.OVERVIE
W_CVRD_DEPS
Program
Beneficiary
Overview
Instruction
CBO.OVERVIE
W_BENEF
Program
Primary Care
Providers
Overview
Instruction
CBO.OVERVIE
W_PCP
Program
Current Benefits
Overview
Content
Message (No
Current
Enrollment, Brief
Message)
92572 __ __
Current Benefits
Overview
Content
Message (No
Current
Enrollment,
Detail Message)
92573 __ __
5-24 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Benefits Selection Page
The Benefits Selection page enables a participant to select one or more plans in which to
enroll.
Region Tip Type Message Name Required
Communicatio
n Short Name
Valid
Communication
Usages
Enrollment
Selection
Content
Instruction
BNS.ENRT_SEL
ECTION_CONT
ENT
Program, Life
Event
Top Flex Credit
Region
Instruction
BNS.ENRT_SEL
ECTION_CR_T
OP
Program, Life
Event
Bottom Flex
Credit Region
Instruction
BNS.ENRT_SEL
ECTION_CR_B
OTTOM
Program, Life
Event
Selection Area Instruction
BNS.ENRT_SEL
ECTION_SELE
CT_AREA
Program, Plan
Type, Life Event
Selection Area Help Tip
(Certification
Legend)
Selection Area Help Tip (Enter
Annual Rate
Input Box, Long
Tip)
Selection Area Help Tip (Enter
Rate Input Box,
Long Tip)
Selection Area Help Tip (Enter
Benefit Amount
Input Box, Long
Tip)
Setup for Health and Welfare Management 5-25
Region Tip Type Message Name Required
Communicatio
n Short Name
Valid
Communication
Usages
Selection Area Message (Enter
Annual Rate,
Long Tip)
BEN_ENRT_AN
N_RTVAL_TIP
Selection Area Message (Enter
Rate, Long Tip)
BEN_ENRT_BNF
TAMT_TIP
Selection Area Message (Enter
Benefit Amount
Tip)
BEN_ENRT_RTV
AL_TIP
Selection Area Message (Tokens
for above
messages)
BEN_ENRT_SLE
CT_TIP_ANY_A
MOUNT
Selection Area Message (Tokens
for above
messages)
BEN_ENRT_SLE
CT_TIP_ANY_V
ALUE
Dependents Selection Page
The Dependents Selection page enables a participant to add their dependents to a plan.
Note: For Advanced Benefits customers: if participant dependents are
not displaying in this page, verify that you have linked the appropriate
life events to the program or plan enrollment requirements in the
Dependent Change of Life Event window.
Hidden Field: Use the BEN_ENRL_DEPEN_SELECTION_TABLE region to add the
hidden Full Name field to the page and to remove the Name field if necessary.
Dependents Selection Page
5-26 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Region Tip Type Message Name Required
Communication
Short Name
Valid
Communication
Usages
Dependents
Selection
Instruction
-- --
Dependents
Selection
Instruction
DPS.ENRL_DEP
ENDENTS_CON
TENT
Program, Life
Event
Dependents
Selection
Hint (Dependent
Table)
DPS.ENRL_DEP
ENDENTS_CON
TENT_PL
Program, Plan
Type, Plan, Life
Event
Dependents
Selection
Message (Can't
Designate)
92588 __ __
Beneficiary Selection Page
The Beneficiary Selection page enables a participant to add their beneficiaries to a plan.
Hidden Field: Use the BEN_BENEF_SELECTION_TABLE region to add the hidden
Full Name field to the page and to remove the Name field if necessary.
Region Tip Type Message Name Required
Communication
Short Name
Valid
Communication
Usages
Beneficiary
Selection
Instruction
(Page)
BFS.BENEFICIA
RY_CONTENT
Program, Life
Event
Beneficiary
Selection
Instruction (Plan
Level Table)
BFS.BENEFICIA
RY_CONTENT_
PLAN
Program, Plan
Type, Plan, Life
Event
Family Members
and Others
Instruction
BFS.BENEFICIA
RY_CONTENT_
FAMILY
Program, Plan
Type, Plan, Life
Event
Organizations Instruction
BFS.BENEFICIA
RY_CONTENT_
ORGS
Program, Plan
Type, Plan, Life
Event
Setup for Health and Welfare Management 5-27
Region Tip Type Message Name Required
Communication
Short Name
Valid
Communication
Usages
Beneficiary
Totals Table
Hint
Beneficiary
Selection
Message (Can't
Designate)
92587 __ __
Primary Care Provider Page
The Primary Care Provider page enables a participant to select a care provider. If your
enterprise partners with a third party supplier of primary care provider information,
you can configure this page to allow web-based searches of a database of provider
information.
See: Configuring the Primary Care Provider Search Facility, page 5-46
Region Tip Type Message Name Required
Communication
Short Name
Valid
Communication
Usages
Primary Care
Provider
Selection
Content
Instruction Instruction PCP.PcpSelectCo
ntentPageLevel
Program, Life
Event
Primary Care
Provider
Selection
Content
Instruction Instruction PCP.PcpSelectCo
ntentPlanLevel
Program, Plan
Type, Plan, Life
Event
Primary Care
Provider
Selection
Content
Hint
__ __
Primary Care
Provider
Selection
Content
Message (Can't
Designate)
92567 __ __
5-28 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Primary Care Provider Summary and Search Pages
Hidden Fields: You can use the following regions to add the hidden Full Name field to
the page and to remove the Name field if necessary.
• BEN_PCP_SEARCH_TABLE
• BEN_PCP_SELECT_TABLE
On the Primary Care Provider Search page, you can use the
BEN_PCP_SEARCH_CRITERIA region to add the hidden fields of Physician Group and
Hospital. The hidden fields of Location, School, and Degree are reserved for future use.
For the Physician Group, Hospital, Language, and Specialty fields, you must load the
available data as provided by your third party provider into the corresponding Lookup
Codes--in the following order--using the Application Utilities Lookups window in the
Professional User Interface.
• BEN_PCP_MED_GRP
• BEN_PCP_HOSPITAL
• BEN_PCP_LANGUAGE
• BEN_PCP_SPCLTY
Region Tip Type Message Name Required
Communication
Short Name
Valid
Communication
Usages
Primary Care
Provider Search
Instruction
PCS.PCP_SEAR
CH
Program, Plan
Type, Plan, Life
Event
Search Instruction
PCS.PCP_SEAR
CH_CRITERIA
Program, Plan
Type, Plan, Life
Event
PCP Result Table Instruction
PCS.PCP_SEAR
CH_RESULT
Program, Plan
Type, Plan, Life
Event
Ben PCP XML
Request Params
Tip
Setup for Health and Welfare Management 5-29
Region Tip Type Message Name Required
Communication
Short Name
Valid
Communication
Usages
Ben PCP XML
Request Params
Message (No
PCPs found)
Confirmation Page
The Confirmation page enables a participant to see a summary of their choices and a
warning of any oversights or miscalculations they may have made.
Note: You can also use the Confirmation page to display a signature
region for participants to print from their web browser. Use this region
if you require a participant's signature as part of a benefits enrollment.
Use the Personalization Framework to display the signature region for
this page.
Benefits users can print a summary statement of their enrollment, along with their
signature, to keep as a proof of their records or to submit to an HR Representative if
required. They can also view, print, or save the summary as a PDF document instead.
The statement page displays a summary of the participant's benefits enrollment along
with any warning messages, oversights, or miscalculations the participant may have
made during the enrollment. Depending on the participant's enrollment data and
personalization on the page, the Confirmation Page displays the following:
• Flex credits summary
• Benefits selection
• Covered dependents
• Beneficiaries
• Primary care providers
• Signature region
To print a benefits confirmation statement, click Printable Page. The printable page
prints only the relevant information, excluding navigation buttons, tip messages,
instruction text, tabs, and other user interface components.
To open or save the statement as a PDF document, click Publish PDF. Choose Open or
Save in the File Download dialog box. You can print the document once you open it.
If you want to change the layout of the PDF Confirmation page, you can configure a
5-30 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
copy of the default RTF template that XML Publisher uses for this page, which is
Benefits Enrollment Confirmation.
Hidden Fields: You can use the following regions to add the hidden Full Name field to
the page and to remove the Name field if necessary.
• BEN_OVW_BENEF_TABLE
• BEN_OVW_CVR_DEPS_TABLE
• BEN_OVW_PCP_TABLE
You can use the BEN_OVW_SELECTIONS_TABLE region to display a column for the
taxable cost of a benefit. This column corresponds to a standard rate with an activity
type of Self-Service Display, or--if you are displaying multiple rates for the
compensation object--to the rate you have defined with 3 in the Self Service Display
Order field. If you are displaying multiple rates, you can also display the Cost 2 (After
Tax Cost) and Cost 4 (Miscellaneous) columns to show the rates you have defined with
2 and 4 in the Self Service Display Order field.
You can also use the BEN_OVW_SELECTIONS_TABLE region to display Coverage
Start and End Date columns. These columns show the coverage start and end dates for
each election.
Region Tip Type Message Name Required
Communication
Short Name
Valid
Communicatio
n Usages
Ben Enrollment
Confirmation
Content
Instruction
BEC.ENRL_CON
F_CONTENT
Program, Life
Event
Flex Credits Instruction
BEC.FLEX_CRED
ITS
Program, Life
Event
Flex Credit
Summary
Instruction
BEC.OVERVIEW
_FC_SUMMARY
Program, Life
Event
Flex Credit
Rollovers
Instruction
BEC.FLEX_CRED
IT_ROLLOVERS
Program, Life
Event
Benefit Selections Instruction
BEC.OVERVIEW
_SELECTIONS
Program, Life
Event
Covered
Dependents
Instruction
BEC.OVERVIEW
_CVRD_DEPS
Program, Life
Event
Setup for Health and Welfare Management 5-31
Region Tip Type Message Name Required
Communication
Short Name
Valid
Communicatio
n Usages
Beneficiaries
Enrollment
Confirmation
Instruction
BEC.ENRL_CON
F_BENEFICIARI
ES
Program, Life
Event
Primary Care
Providers
Enrollment
Confirmation
Instruction
BEC.ENRL_CON
F_PCP
Program, Life
Event
BEN_ENRL_CO
NF_WARNINGS
Message
(Confirmation
Success)
92605 __ __
BEN_ENRL_CO
NF_WARNINGS
Message (Action
Item Warning)
92606 __ __
Configurable FlexFields
Confirmation Page
Region Flex Name Flex Code
Benefit Selections Additional Ben Prtt Enrt Rslt
F Details
N/A
Unused Flex Credits Page
The Unused Flex Credits page provides a summary of the flex credits left unspent by a
participant.
5-32 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Region Tip Type Message Name Required
Communication
Short Name
Valid
Communication
Usages
Unused Flex
Credits Content
Instruction
FLX.UNUSED_F
LEX_CREDIT_C
ONTENT
Program, Life
Event
Unused Flex
Credits Content
Instruction
FLX.UNUSED_F
LEX_CREDIT_N
ONE
Program, Life
Event
Unused Flex
Credits Content
Message (No
Unused Flex
Credits)
92633 __ __
Unused Flex
Credits Content
Message 92632 __ __
Change Session Date Page
The Change Session Date page lets you test future-dated elections. For example, you
may want to perform system testing before the start of an open enrollment period. This
page should be removed in your production environment so that benefits participants
do not alter their enrollment date.
See: Setting the Effective Date of a Scheduled Enrollment in Self-Service Benefits, page
5-41
Region Tip Type Message Name
Session Date Content Instruction 92604
Session Date Content Tip (Effective Date) 92637
Temporary ID Card Page
The Temporary ID Card page lets a participant print an ID card which the participant
can use to obtain medical, dental, or other benefit treatment before the participant
receives the official membership card from the provider.
Setup for Health and Welfare Management 5-33
Region Tip Type Message Name Required
Communication
Short Name
Valid
Communication
Usages
Oracle
Self-Service
Human
Resources
Identification
Card
Instruction
TMP.ENRL_TE
MP_ID_PAGE
Program, Life
Event
Ben Temporary
ID Card Content
Instruction
TMP.ENRL_TE
MP_ID_PLAN
Program, Plan
Type, Plan, Life
Event
Temporary ID
Card
Instruction
TMP.ENRL_TE
MP_ID_CARD
Program, Plan
Type, Plan, Life
Event
See: Configuring Web Pages, Oracle HRMS Deploy Self-Service Capability Guide
Self-Service Benefits What-if Pages
You can access Self-Service Benefits What-if from the following menus and functions:
Menu and Function Names
User Menu Name Function Name
Manager Self-Service Self-Service Benefits What-if Manager
Employee Self-Service Self-Service Benefits What-if Employee
You can configure the following definitions using the Personalization Framework.
Configurable Tips and Instructions
Region Tip Type Message Name
Impact on Benefits Region Header Text BEN_93423_SS_WATIF_HDR
_LABEL
5-34 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Region Tip Type Message Name
Choose Winning Life Event
Region
Message (Error) BEN_93393_WATIF_CONFLI
CT_LER
Choose Winning Life Event
Region
Instruction BEN_93392_WATIF_CNFLT_
LER_INS
Effective Date Region Instruction BEN_93389_WATIF_EFF_DA
TE_INS
Associated Data Changes
Region
Instruction BEN_93391_WATIF_DATA_
CHG_INS
Impact on Benefits Region Instruction BEN_93394_WATIF_PG_INS_
TEXT
You can personalize the following columns to display them:
Seeded Hidden Columns
Column Name Displayed Detail
Reference Period Activity Reference Period
Current Electable Compensation objects currently electable
Current Coverage Coverage information about currently
electable compensation objects
Current Defined Amount Defined Amount
What-If Electable Compensation objects based on the what-if
modeling
What-If Coverage Coverage information about compensation
object based on the what-if modeling
What-If Defined Amount Defined Amount based on what-if modeling
Setup for Health and Welfare Management 5-35
Setting Up Self-Service Benefits Enrollments
You must complete your plan design in the professional forms interface before you can
view a Self-Service Benefits enrollment web page. If you license Advanced Benefits, you
can run the Participation Batch Process from the Concurrent Manager to create electable
choices for eligible participants.
If you use Standard Benefits, or if you are an Advanced Benefits customers using the
unrestricted enrollment method, you can begin to allow participant enrollments after
you create your plan design. The application creates the self-service enrollment page
when the person logs into Self-Service Benefits.
To set up self-service benefits enrollments:
1. Review the sample benefits web pages. You can configure the following elements
using the Personalization Framework:
• Section titles
• Table Layout
• Hints
• Tips
• Fields (you can choose to display fields that are hidden by default)
• Field labels
See: Configuring Web Pages, Oracle HRMS Deploy Self-Service Capability Guide
2. Choose whether to display a predefined Legal Disclaimer page that the user must
accept before processing an election.
Oracle Self-Service Benefits delivers the Legal Disclaimer page as hidden by default.
See: Setting Up User Access to Self-Service Benefits, page 5-38
3. Define instruction text for each web page region. You do this by defining a
communication type and associating the instruction text with a web page Region.
See: Defining Communication Types, page 5-180
You can include a link in your instruction text to another web site using HTML
syntax. You could create a link to reference information contained in a summary
plan description. For example:
See the
HRM Study on Compensation and Benefits Management
Oracle® Human Resources Management Systems
Compensation and Benefits Management Guide (India)
Release 12.1
Part No. E13564-04
July 2010
Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India),
Release 12.1
Part No. E13564-04
Copyright © 2005, 2010, Oracle and/or its affiliates. All rights reserved.
Primary Author: Swathi Mathur
Contributing Author: Sriram Krishnamurthy
Oracle is a registered trademark of Oracle Corporation and/or its affiliates. Other names may be trademarks
of their respective owners.
This software and related documentation are provided under a license agreement containing restrictions on
use and disclosure and are protected by intellectual property laws. Except as expressly permitted in your
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iii
Contents
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Preface
1 General Compensation Structures
General Compensation Structures Overview........................................................................... 1-1
General Compensation Structures............................................................................................ 1-4
Elements.................................................................................................................................... 1-8
Elements: Building Blocks of Pay and Benefits.................................................................... 1-8
Input Values: Flexible Description of Compensation......................................................... 1-11
Rules for Allocating Compensation................................................................................... 1-11
Compensation Entry: Making It Fast and Reliable.............................................................1-13
Element Classifications and Processing Sequence............................................................. 1-17
Survey of the Classifications ............................................................................................. 1-19
Predefined Elements.......................................................................................................... 1-22
Compensation Policy Changes.......................................................................................... 1-28
Setting Up Total Compensation Elements......................................................................... 1-30
Defining an Element.......................................................................................................... 1-31
Defining an Element's Input Values................................................................................... 1-39
Defining and Linking an Element for Standard and Advanced Benefits........................... 1-41
Deleting an Element........................................................................................................... 1-43
Defining Element Links..................................................................................................... 1-44
Generating Element Links.................................................................................................. 1-47
Running the Element Link Details Report......................................................................... 1-47
Defining an Element or Distribution Set............................................................................ 1-49
Compensation Entry and Reporting....................................................................................... 1-51
Compensation Entry.......................................................................................................... 1-51
iv
Compensation Reporting................................................................................................... 1-52
HR or Payroll Extracts....................................................................................................... 1-53
Making Manual Element Entries....................................................................................... 1-57
Adjusting a Pay Value....................................................................................................... 1-60
Deleting Element Entries................................................................................................... 1-61
Listing Employees by Element........................................................................................... 1-62
Viewing Element Entry History......................................................................................... 1-63
Configuring the HR or Payroll Extracts............................................................................. 1-63
Running the HR or Payroll Extracts................................................................................... 1-66
Compensation Objects............................................................................................................ 1-69
Plan Design........................................................................................................................ 1-69
Reimbursement Plans.................................................................................................. 1-76
Plan Design Copy.............................................................................................................. 1-76
Special Requirements for Plan Design............................................................................... 1-81
Reporting Groups.............................................................................................................. 1-83
Defining a Benefits Program.............................................................................................. 1-84
Associating Plans and Plan Types with a Program............................................................ 1-86
Defining Waive Reasons for Plan Types in a Program(Advanced Benefits)..................... 1-88
Defining Participation Eligibility Criteria for a Compensation Object...............................1-89
Associating a Life Event Reason with a Compensation Object (Advanced Benefits)......... 1-91
Associating an Organization with a Benefits Program...................................................... 1-93
Associating Reporting Groups with a Program................................................................. 1-94
Associating Programor Plan Year Periods with a Program.............................................. 1-94
Defining Plan Types........................................................................................................... 1-95
Setting Up Spending Account Plans for Forfeitures (Advanced Benefits)......................... 1-96
Defining a Benefits Plan..................................................................................................... 1-97
Defining Eligibility and Activity Rate Requirements for a Plan.......................................1-100
Defining Plan Restrictions................................................................................................ 1-101
Defining a MaximumWaiting Period Requirement for a Plan........................................ 1-102
Defining a Plan Not in Program.......................................................................................1-103
Associating Options with a Plan...................................................................................... 1-104
Maintaining Plan Related Details..................................................................................... 1-106
Defining Combinations of Plans and Plan Types............................................................. 1-109
Defining Waive Reasons for a Plan (Advanced Benefits).................................................1-109
Maintaining Primary Care Providers for a Plan...............................................................1-110
Defining Options............................................................................................................. 1-113
Navigating the ProgramStructure Hierarchy.................................................................. 1-114
Defining a Programor Plan Year Period.......................................................................... 1-115
Defining a Reimbursement Plan (Advanced Benefits)..................................................... 1-116
Defining Reimbursable Goods and Service Types........................................................... 1-119
Copying a Programor Plan............................................................................................. 1-119
v
Exporting a Plan Design to a File..................................................................................... 1-123
Importing a Plan Design Froma File............................................................................... 1-123
Purging Plan Design Copy Data...................................................................................... 1-124
Defining a Reporting Group............................................................................................ 1-125
Defining Regulatory Bodies for a Plan............................................................................. 1-126
Defining Regulations for a Plan....................................................................................... 1-127
Benefits Eligibility................................................................................................................ 1-128
Eligibility Requirements for Total Compensation............................................................ 1-128
Waiting Periods............................................................................................................... 1-131
Continuing Eligibility: Benefits Assignments.................................................................. 1-133
Eligibility Profile Criteria................................................................................................. 1-135
User-defined Eligibility Criteria....................................................................................... 1-138
Derived Factors................................................................................................................ 1-139
Defining an Eligibility Profile.......................................................................................... 1-141
Defining Your Own Eligibility Criteria............................................................................ 1-143
Defining Derived Factors: Compensation Level.............................................................. 1-145
Defining Derived Factors: Percent of Full Time Employment......................................... 1-146
Defining Derived Factors: Hours Worked In Period........................................................1-147
Defining Derived Factors: Age......................................................................................... 1-148
Defining Derived Factors: Length of Service................................................................... 1-149
Defining Derived Factors: Combination Age and Length of Service............................... 1-151
Defining a Dependent Coverage Eligibility Profile.......................................................... 1-151
Defining Benefits Groups................................................................................................. 1-152
Defining Regulations....................................................................................................... 1-153
Defining Postal Zip Ranges.............................................................................................. 1-153
Defining Service Areas..................................................................................................... 1-154
2 Salary and Grade Related Pay and Progression
Salary, Grades, and Pay Administration Overview................................................................. 2-1
Salary, Grades, and Pay Administration.................................................................................. 2-4
Salary Administration Setup.................................................................................................... 2-7
Salary Earnings Elements..................................................................................................... 2-7
Salary Basis.......................................................................................................................... 2-7
Salary Components.............................................................................................................. 2-8
Setting Up Salary Administration........................................................................................ 2-9
Creating a Salary Element.................................................................................................. 2-10
Linking the Salary Element................................................................................................ 2-12
Validating Salary Entries................................................................................................... 2-12
Creating Salary Components............................................................................................. 2-13
Defining a Salary Basis ...................................................................................................... 2-14
vi
Salary Administration............................................................................................................. 2-16
Starting Salary and Salary Proposals................................................................................. 2-16
Salary Spreadsheets........................................................................................................... 2-17
Using the Salary Management Folder................................................................................ 2-18
Reviewing Current Salaries............................................................................................... 2-21
Viewing Salary History...................................................................................................... 2-22
Running the Salary Review Report.................................................................................... 2-23
Compensation Surveys............................................................................................................ 2-24
Compensation Survey Identifiers...................................................................................... 2-24
Entering Compensation Surveys........................................................................................ 2-25
Mapping Compensation Survey Lines............................................................................... 2-27
Grades and Pay Setup............................................................................................................. 2-29
Grades and Grade Structures............................................................................................. 2-29
Recognizing Your Grade Implementation Model.............................................................. 2-30
Implementing Grade Related Pay...................................................................................... 2-34
Grade Rates to Relate Pay to Grades.................................................................................. 2-35
Pay Scales to Relate Pay to Grades..................................................................................... 2-37
Grade/Step Progression..................................................................................................... 2-39
Setting Up a Grade Ladder................................................................................................ 2-44
Defining a Grade................................................................................................................ 2-48
Deleting Grades................................................................................................................. 2-49
Defining a Grade Rate........................................................................................................ 2-49
Defining a Pay Scale........................................................................................................... 2-50
Defining Scale Rates........................................................................................................... 2-51
Relating Grades to Progression Points............................................................................... 2-51
Grades and Pay Administration.............................................................................................. 2-53
Grades and Pay Administration........................................................................................ 2-53
Increment Progression Points Process............................................................................... 2-58
Placing an Employee on a Grade Step............................................................................... 2-59
Viewing Grade Comparatios............................................................................................. 2-60
Running the Batch Enrollment - Grade/Step Progression Process..................................... 2-61
Running the Participation Process: Grade Step..................................................................2-62
Running the Rank Employees for Grade/Step Progression Process................................... 2-63
Approving and Rejecting Grade/Step Progression (Manual)............................................. 2-64
Process Employees Progressed Manually.......................................................................... 2-65
Running the Recalculate Participant Values: Grade/Step Progression process ................. 2-66
Running the Purge GSP Transactions in Staging Table Process.........................................2-68
Incrementing Grade Step Placements (Without Using Grade Ladders).............................2-69
Running the Current and Projected Progression Point Values Report ..............................2-71
Running the Employee Increment Results Report ............................................................ 2-73
Criteria-Based Rates................................................................................................................ 2-74
vii
Criteria-Based Rates for Variable Pay................................................................................ 2-74
Setting Up a Rate Matrix.................................................................................................... 2-76
Workforce Intelligence Key Concepts for Salary, Grades, and Pay Administration............ 2-78
Key Concepts for Salary, Grades, and Pay Administration Intelligence............................ 2-78
Workforce Intelligence for Salary, Grades, and Pay Administration.................................... 2-80
Employee Primary Assignment with Salary and Grade Rate Detail Workbook................ 2-80
Employee Primary Assignment with Salary Detail Workbook.......................................... 2-82
Employee Salary Change Detail Workbook....................................................................... 2-84
Employee Salary Change Workbook................................................................................. 2-86
Employee with Tenure Detail Workbook.......................................................................... 2-89
3 Compensation and Awards Management
Compensation and Awards Management Overview............................................................... 3-1
Compensation Awards Management: Requirements.............................................................. 3-3
Compensation Workbench License.......................................................................................... 3-8
Compensation Workbench License...................................................................................... 3-8
Compensation Workbench........................................................................................................ 3-9
Compensation Workbench Overview.................................................................................. 3-9
Key Decision Areas in Compensation Workbench............................................................ 3-11
Compensation Workbench Components........................................................................... 3-13
Compensation Plan Design..................................................................................................... 3-19
Plan Design for Compensation Workbench....................................................................... 3-19
Budgeting in Compensation Workbench........................................................................... 3-22
Promotion and Rating in Compensation Workbench........................................................ 3-23
Standard Rates for Compensation Workbench.................................................................. 3-24
Setting Up a Basic Plan...................................................................................................... 3-31
Setting Up a Component Plan............................................................................................ 3-36
Setting Up a Combination Plan.......................................................................................... 3-42
Setting Up Compensation Workbench Plans..................................................................... 3-49
Defining a Compensation Workbench Plan....................................................................... 3-54
Defining Enrollment Requirements for Compensation Workbench Plans.........................3-57
Controlling Access, Eligibility, and Award Amounts............................................................ 3-63
Hierarchies for Award Allocations and Approvals........................................................... 3-63
Access Levels in Compensation Workbench...................................................................... 3-64
Switch Manager................................................................................................................. 3-65
Approval Modes................................................................................................................ 3-65
Eligibility, Award Limits and Targets................................................................................ 3-66
Defining Responsibility Based Access to Plans.................................................................. 3-66
Worksheet and Budget Sheet Configuration.......................................................................... 3-68
Configure Worksheet and Budget Sheets.......................................................................... 3-68
viii
Personalize By Plan............................................................................................................ 3-74
Viewing Appraisal Details in Compensation Workbench................................................. 3-75
Configuring Descriptive Flexfields Within Compensation Workbench.............................3-76
Configuring Dynamic Columns Within Compensation Workbench................................. 3-78
Configuring CustomColumns Within Compensation Workbench................................... 3-80
Configuring Employee Statements For Use by Managers Within Compensation Workbench
........................................................................................................................................... 3-81
Capturing Grant Price With a Stock Option Element Entry............................................... 3-83
Reports and Notifications....................................................................................................... 3-85
Reports in Compensation Workbench............................................................................... 3-85
Notifications in Compensation Workbench....................................................................... 3-88
Compensation Detail Report.............................................................................................. 3-89
Combined Plan ViewReport............................................................................................. 3-90
Employee Stock Option History Report............................................................................. 3-91
Flexible Summary Report.................................................................................................. 3-91
Administration Progress Report........................................................................................ 3-92
Employee Compensation History Report.......................................................................... 3-93
Audit History Report......................................................................................................... 3-94
Manager Feedback Report................................................................................................. 3-94
Salary Statistics Report....................................................................................................... 3-95
Post Process Run Reports................................................................................................... 3-96
Plan Administration................................................................................................................ 3-98
Maintain Compensation Workbench Plans Mid-Cycle ..................................................... 3-98
Steps to Administer Compensation Workbench Plans.................................................... 3-101
Opening a Compensation Workbench Award Cycle....................................................... 3-103
Publishing a Budget......................................................................................................... 3-104
Backing out a Compensation Workbench Plan................................................................ 3-105
Adding an Individual into a Started Compensation Workbench Cycle...........................3-106
Writing Allocated Amounts fromthe Compensation Workbench Cycle......................... 3-107
Refreshing Compensation Workbench Data.................................................................... 3-109
Creating Mass Notifications for Compensation Workbench............................................3-111
Closing a Compensation Workbench Award Cycle......................................................... 3-112
Individual Compensation Distribution................................................................................ 3-115
Self-Service Individual Compensation Distribution........................................................ 3-115
Individual Compensation Distributions (SSHR Components)........................................ 3-116
Setting Up Individual Compensation Distributions for Employees and iRecruitment
Applicants........................................................................................................................ 3-117
Using Individual Compensation Distributions: Line Managers, Employees and HR
Professionals.......................................................................................................................... 3-129
Overview: Individual Compensation Distributions for Line Managers, Employees, and HR
Professionals.................................................................................................................... 3-129
ix
Line Managers and Employees........................................................................................ 3-132
Manager and Employee Self Service Interface................................................................. 3-133
Administrators and HR Professionals..............................................................................3-134
Employee Administration Interface................................................................................. 3-135
Configure Plans, Manage Eligibility, Transactions, and Action Items............................. 3-136
Plan Administration using Quick Setup.......................................................................... 3-136
Managing Adhoc variable Compensation, Payroll Deductions, Event Registrations, and
Non-Payroll related Information..................................................................................... 3-137
Awarding Adhoc Variable Compensation: Example....................................................... 3-137
Compensation History.......................................................................................................... 3-139
Compensation History..................................................................................................... 3-139
Compensation History Views.......................................................................................... 3-140
Compensation History Menu and Function Names........................................................ 3-144
Setting Up Compensation History................................................................................... 3-146
Setting Up Compensation History for ICD Plans............................................................ 3-146
Setting Up Compensation History for Entries Created fromElement Entries................. 3-146
Personalizing Sub-tabs for Compensation History ......................................................... 3-148
Total Compensation Statement............................................................................................. 3-150
Total Compensation Statement Overview....................................................................... 3-150
Key Decision Areas in Total Compensation Statement.................................................... 3-151
Total Compensation Statement (SSHR Components)...................................................... 3-153
Setting Up Total Compensation Statement...................................................................... 3-154
Processing and Reporting for Total Compensation Statements....................................... 3-159
Generating Employee Statements.................................................................................... 3-160
Print Employee Statements Process................................................................................. 3-161
Purging Employee Statements......................................................................................... 3-162
Reopening Welcome Pages.............................................................................................. 3-163
Total Compensation Statements Batch Process Run Reports........................................... 3-164
Vehicle and Mileage Processing........................................................................................... 3-166
Vehicle Repository........................................................................................................... 3-166
Vehicle Repository Menu and Function Names...............................................................3-167
Configuration Settings for Vehicle Repository and Mileage Claims................................ 3-168
4 Leave and Absence Management
Leave and Absence Management Overview............................................................................ 4-1
Leave and Absence Management.............................................................................................. 4-3
Absence Management Setup..................................................................................................... 4-6
Absence Categories and Types............................................................................................ 4-6
Absence Elements................................................................................................................ 4-8
Setting Up Absence Management...................................................................................... 4-11
x
Defining and Linking an Absence Element ....................................................................... 4-13
Defining an Absence Type................................................................................................. 4-15
Setting Up an Absence Benefit Plan................................................................................... 4-16
PTO Accruals Setup................................................................................................................ 4-24
Accrual Plan Structure....................................................................................................... 4-24
Accrual Elements............................................................................................................... 4-26
Accrual Formulas............................................................................................................... 4-28
Accrual Balances Maintained By the Payroll Run.............................................................. 4-29
Net Accrual Calculation..................................................................................................... 4-32
Seeded Accrual Type Formulas......................................................................................... 4-33
Accrual Start Date for NewHires...................................................................................... 4-40
Accrual Bands.................................................................................................................... 4-42
PTO Carry Over Process.................................................................................................... 4-43
Accrual Plan Example........................................................................................................ 4-45
Setting Up PTO Accrual Plans........................................................................................... 4-46
Defining a PTO Accrual Plan ............................................................................................ 4-49
Setting Up Length of Service Bands................................................................................... 4-51
Changing Net Accrual Calculations................................................................................... 4-52
Costing Liability For PTO Accruals................................................................................... 4-53
Absence and Accrual Plan Administration............................................................................ 4-55
Absence Recording............................................................................................................ 4-55
Accrual Plan Administration............................................................................................. 4-57
Entering Absences.............................................................................................................. 4-59
Enrolling Employees in PTO Accrual Plans....................................................................... 4-63
Running the Participation Process: Absence...................................................................... 4-64
Running the PTO Carry Over Process............................................................................... 4-65
Reviewing Employees' PTO Accruals ............................................................................... 4-67
Viewing Absence History.................................................................................................. 4-68
Listing Employees by Absence Type................................................................................. 4-68
Running the Absences Report ........................................................................................... 4-68
Resetting a Stored Accrual Balance.................................................................................... 4-69
Accrual Balances Maintained by SSHR ................................................................................. 4-71
Accrual Balances Maintained by SSHR : Overview........................................................... 4-71
Workforce Intelligence Key Concepts for Leave and Absence Management .......................4-73
Workforce Intelligence Key Concepts for Leave and Absence Management..................... 4-73
Workforce Intelligence for Leave and Absence Management .............................................. 4-75
Employee on Leave Detail Workbook................................................................................4-75
5 Setup for Health and Welfare Management
Setup for Health and Welfare Management Overview............................................................ 5-1
xi
Advanced Benefits Setup: Overview.................................................................................. 5-3
Standard and Advanced Benefits Implementation.................................................................. 5-6
Self-Service Benefits Enrollments............................................................................................ 5-9
Self-Service Benefits Enrollments......................................................................................... 5-9
Benefits Enrollments.......................................................................................................... 5-17
Setting Up Self-Service Benefits Enrollments..................................................................... 5-35
Setting Up Flexible Spending Accounts............................................................................. 5-37
Enabling Self-Service Benefits Enrollment Notifications....................................................5-38
Setting Up User Access to Self-Service Benefits................................................................. 5-38
Setting the Effective Date of a Scheduled Enrollment in Self-Service Benefits................... 5-41
Configuring Unrestricted ProgramEnrollment Processing............................................... 5-43
Defining Self-Service Instruction Text................................................................................5-45
Configuring the Primary Care Provider Search Facility.................................................... 5-46
Generating Self-Service Benefits Trace Files...................................................................... 5-50
Life Events............................................................................................................................... 5-52
Life Event Reasons............................................................................................................. 5-52
Collapsing Life Events (Advanced Benefits)...................................................................... 5-57
Seeded Life Event Reasons................................................................................................. 5-58
Life Event Definition (Advanced Benefits)........................................................................ 5-61
Defining General Characteristics of Life Event Reasons.................................................... 5-62
Defining Person Changes .................................................................................................. 5-65
Associating a Person Change with a Life Event ................................................................ 5-67
Defining a Collapsing Life Event (Advanced Benefits)...................................................... 5-68
Benefit Enrollment Requirements.......................................................................................... 5-69
Enrollment Requirements.................................................................................................. 5-69
Enrollment Types............................................................................................................... 5-73
Enrollment Codes.............................................................................................................. 5-75
Enrollment Period Determination for Life Events............................................................. 5-77
Reinstatement of Elections for Reprocessed Life Events.................................................... 5-79
Dependent Coverage and Beneficiary Designation Requirements.................................... 5-79
Defining Enrollment Methods for a Program.................................................................... 5-80
Defining Coverage Requirements for a Program............................................................... 5-81
Defining an Action ItemDue Date (Advanced Benefits)................................................... 5-82
Defining Activity Rate Enrollment Requirements for a Program...................................... 5-82
Defining Enrollment Requirements for Plan Types in a Program......................................5-83
Defining Enrollment Limitations for Plan Types in a Program..........................................5-84
Defining Enrollment Requirements for a Plan in a Program............................................. 5-85
Defining Coverage Requirements for a Plan in a Program................................................ 5-86
Defining Coverage Start and End Dates for a Plan Type in a Program..............................5-86
Defining Activity Rate Start and End Dates for a Plan in a Program................................. 5-87
Defining Activity Rate Start and End Dates for a Plan Type in a Program........................ 5-87
xii
Defining a Scheduled Enrollment for a Program............................................................... 5-88
Defining Requirements for a Life Event Enrollment for a Program(Advanced Benefits)
........................................................................................................................................... 5-90
Defining Enrollment Periods for Life Event Enrollments for a Program(Advanced Benefits)
........................................................................................................................................... 5-91
Defining Coverage and Activity Rate Periods for a Plan in a Program..............................5-92
Associating an Enrollment Rule with a Program............................................................... 5-93
Defining Life Event Enrollment Requirements.................................................................. 5-93
Defining Dependent Coverage Enrollment Requirements for a Programor a Plan Type in
Program............................................................................................................................. 5-95
Defining Dependent Coverage Certifications for a Program............................................. 5-96
Defining Dependent Coverage Eligibility Profiles for a Program...................................... 5-97
Defining Dependent Coverage Eligibility Profiles for a Plan Type in a Program.............. 5-97
Defining Dependent Coverage Change of Life Event Enrollment Requirements.............. 5-98
Defining Dependent Coverage Certifications for Change of Life Event Enrollment
Requirements..................................................................................................................... 5-99
Defining an Enrollment Method for a Plan........................................................................ 5-99
Defining Enrollment Coverage Requirements for a Plan................................................. 5-101
Defining Activity Rates Requirements for a Plan.............................................................5-104
Defining Enrollment Limitations for a Plan..................................................................... 5-104
Defining Designation Enrollment Requirements for a Plan or Option in Plan................ 5-105
Defining Enrollment Requirements for Not in ProgramPlans........................................ 5-106
Defining Enrollment Requirements for Options in a Plan............................................... 5-106
Defining Enrollment Limitations for an Option in a Plan................................................ 5-108
Defining a Scheduled Enrollment for a Plan.................................................................... 5-108
Associating Enrollment Rules with a Plan....................................................................... 5-110
Defining Requirements for a Life Event Enrollment for a Plan (Advanced Benefits)...... 5-111
Defining a Life Event Enrollment Period for a Plan (Advanced Benefits)....................... 5-112
Defining Life Event Enrollment Certifications for a Plan or Option in Plan (Advanced
Benefits)........................................................................................................................... 5-113
Defining Life Event Enrollment Requirements for a Not in ProgramPlan...................... 5-114
Defining Life Event Enrollment Requirements for an Option in a Plan........................... 5-115
Defining Dependent Coverage Requirements for a Plan................................................. 5-116
Defining Dependent Coverage Eligibility Profiles for a Plan........................................... 5-118
Defining Dependent Coverage Change of Life Event Enrollment Requirements for a Plan
......................................................................................................................................... 5-118
Defining Certifications for Enrollment in a Plan.............................................................. 5-119
Defining Beneficiary Designation Requirements for a Plan............................................. 5-120
Activity Rates and Coverage Calculations............................................................................ 5-123
Activity Rates................................................................................................................... 5-123
Coverage Calculations............................................................................................... 5-128
InterimCoverage (Advanced Benefits)..................................................................... 5-129
xiii
Unsuspended Enrollments (Advanced Benefits)....................................................... 5-131
Imputed Income Calculations (US only)................................................................... 5-132
Actual PremiumCalculations.................................................................................... 5-132
Period-to-Date Limits................................................................................................ 5-135
Variable Rate Factors....................................................................................................... 5-136
Calculation Methods: Values, Increments, and Operations............................................. 5-139
Activity Rate Calculations................................................................................................ 5-140
Coverage Calculations..................................................................................................... 5-143
Actual PremiumCalculations.......................................................................................... 5-145
Defining Activity Rates for a Standard Contribution/Distribution.................................. 5-146
Defining a Calculation Method for a Standard Contribution or Distribution.................. 5-148
Defining Proration for a Standard Contribution or Distribution Calculation.................. 5-148
Defining Characteristics of Annual Rates........................................................................ 5-150
Defining Processing Information for a Standard Contribution/Distribution................... 5-151
Defining Deduction and Payment Schedules for a Standard Contribution/Distribution
......................................................................................................................................... 5-153
Defining a Non-Oracle Payroll Systemto Process Benefit Earnings and Deductions...... 5-154
Associating a Variable Rate Profile with a Standard Contribution/Distribution Calculation
......................................................................................................................................... 5-154
Defining Matching Rates for a Standard Contribution Calculation................................. 5-155
Associating a Period-to-Date Limit with a Standard Contribution/Distribution Calculation
......................................................................................................................................... 5-156
Defining General Information for a Variable Rate Profile................................................5-156
Defining a Calculation Method for a Variable Rate Profile.............................................. 5-158
Defining the Criteria in a Variable Rate Profile................................................................ 5-158
Defining Matching Rates for a Variable Rate Calculation................................................ 5-160
Defining a Coverage Calculation..................................................................................... 5-161
Defining a Coverage Calculation Method........................................................................ 5-162
Associating a Variable Rate Profile with a Coverage Calculation Method...................... 5-162
Defining a Coverage Limit Across Plan Types.................................................................5-163
Defining an Imputed Income Calculation........................................................................ 5-164
Defining an Actual Premium........................................................................................... 5-166
Defining Period-to-Date Limits........................................................................................ 5-167
Defining a Benefit Balance............................................................................................... 5-168
Flex Credits and Benefit Pools (Advanced Benefits)............................................................ 5-169
Flex Credit Calculations (Advanced Benefits)................................................................. 5-169
Defining Flex Credits (Advanced Benefits)...................................................................... 5-170
Defining Regular Processing for a Flex Credit Activity Rate (Advanced Benefits).......... 5-171
Defining Partial Month Processing for a Flex Credit Activity Rate (Advanced Benefits)
......................................................................................................................................... 5-173
Defining the General Characteristics of a Benefits Pool (Advanced Benefits)..................5-174
Applying a Benefit Pool to a Plan and Option (Advanced Benefits)................................ 5-175
xiv
Defining Rollover Rules for a Benefit Pool (Advanced Benefits)..................................... 5-176
Communications................................................................................................................... 5-178
Communications.............................................................................................................. 5-178
Defining Communication Types...................................................................................... 5-180
Defining When to Use a Benefits Communication........................................................... 5-181
Defining a Communication Trigger................................................................................. 5-182
Defining a Communication Delivery Method..................................................................5-183
Online Benefit Services (Advanced Benefits)...................................................................... 5-184
Online Benefits Administration (Advanced Benefits)...................................................... 5-184
Maintaining Online Activities (Advanced Benefits)........................................................ 5-185
Maintaining Pop Up Messages (Advanced Benefits)....................................................... 5-186
6 Administration for Health and Welfare Management
Administration for Health and Welfare Management Overview............................................ 6-1
Advanced Benefits Administration: Overview.................................................................. 6-3
Standard and Advanced Benefits Administration................................................................... 6-4
Participant Eligibility Management (Standard Benefits)......................................................... 6-7
Maintain Participant Eligibility (Standard Benefits)............................................................ 6-7
Running the Maintain Participant Eligibility Process (Standard Benefits)........................... 6-7
Running the Eligibility and Enrollment List Report............................................................ 6-8
Participation Management (Advanced Benefits)....................................................................6-11
Participation Batch Processes (Advanced Benefits)........................................................... 6-11
Benefits Batch Processes (Advanced Benefits)................................................................... 6-15
Participation Management (Advanced Benefits)............................................................... 6-19
Participation Information (Advanced Benefits)........................................................... 6-19
Life Events and Electable Choices (Advanced Benefits).............................................. 6-20
Manually Created Life Events and Voided Life Events (Advanced Benefits)............. 6-21
What-if Eligibility (Advanced Benefits)....................................................................... 6-21
Runtime Parameters for the Participation Batch Process (Advanced Benefits).................. 6-21
Defining Batch Process Parameters (Advanced Benefits).................................................. 6-24
Running the Participation Batch Process (Advanced Benefits).......................................... 6-24
Monitoring Batch Processes (Advanced Benefits).............................................................. 6-25
Setting Up a Role Based on a Life Event Type................................................................... 6-25
Running the Life Events Summary Report........................................................................ 6-26
Running the Reopen Life Events Process........................................................................... 6-29
Running the Participation Audit Activity Purge Process (Advanced Benefits)................. 6-29
Purging Person Data for Backed-Out and Voided Life Events.......................................... 6-30
Viewing a Person's Participation Information (Advanced Benefits).................................. 6-32
Viewing a Person's Life Event Information........................................................................ 6-32
Viewing Electable Choices for a Person Based on a Life Event (Advanced Benefits).........6-33
xv
Manually Creating a Potential Life Event for a Person (Advanced Benefits)..................... 6-34
Manually Voiding a Potential Life Event for a Person (Advanced Benefits)......................6-35
Re-opening a Processed Life Event for a Person (Advanced Benefits)............................... 6-35
Setting Up What-if Modeling............................................................................................. 6-36
Modeling a Person's Benefits Eligibility (Advanced Benefits)........................................... 6-37
Online Benefits Services (Advanced Benefits)....................................................................... 6-38
Online Benefits Administration (Advanced Benefits)........................................................ 6-38
Processing a Request Using the Benefits Service Center (Advanced Benefits)...................6-39
Enrollment Management......................................................................................................... 6-41
Enrollment Management................................................................................................... 6-41
Enrolling a Person in a Flex Program(Advanced Benefits)............................................... 6-48
Manually Deleting an Enrollment...................................................................................... 6-52
Viewing a Person's Flex Credits (Advanced Benefits)....................................................... 6-53
Allocating Excess Credits for a Person Enrolling in a Flex Program(Advanced Benefits)
........................................................................................................................................... 6-53
Enrolling a Person in a Non-Flex Program........................................................................ 6-54
Enrolling a Person in a Savings Plan.................................................................................. 6-57
Enrolling a Person in a Miscellaneous Plan....................................................................... 6-62
Viewing Special Rates for a Plan or Option....................................................................... 6-65
Maintaining a Participant's Primary Care Provider........................................................... 6-65
Running the iRecruitment Create Enrollment Process....................................................... 6-66
Displaying Enrollment Results.......................................................................................... 6-67
Running the Benefits Enrollment and Confirmation Reports............................................ 6-68
Running the Manage Open Enrollment Window Process................................................. 6-69
Viewing Dependent Information....................................................................................... 6-70
Maintaining Dependent Designations............................................................................... 6-70
Maintaining Beneficiary Designation Information for a Participant.................................. 6-72
Recording Enrollment Actions Items for a Person (Advanced Benefits)............................6-73
Recording Receipt of Enrollment Certifications (Advanced Benefits)............................... 6-75
Overriding Enrollment Results for a Plan (Advanced Benefits)........................................ 6-77
Overriding Participation Information for a Person............................................................ 6-79
Overriding Eligibility Participation Information for a Person........................................... 6-80
Overriding Waive Participation Information for a Person (Advanced Benefits)............... 6-81
Overriding Participation Information for a Person for an Option in a Plan (Advanced
Benefits)............................................................................................................................. 6-82
Managing Eligible Person Waivers (Advanced Benefits)................................................... 6-83
Maintaining Court Orders for a Participant....................................................................... 6-84
Recording a Continuing Benefits Payment........................................................................ 6-85
Recording a Contribution or Distribution.......................................................................... 6-85
Continuing Benefits Eligibility...............................................................................................6-87
Continuing Benefits Eligibility........................................................................................... 6-87
xvi
Maintaining a Benefits Assignment................................................................................... 6-87
Rates, Premiums, Balances, and Reimbursements................................................................. 6-89
Recalculate Participant Values Overview (Standard Benefits)........................................... 6-89
Updating Activity Rates fromYear-to-Year....................................................................... 6-89
Running the Recalculate Participant Values Process (Standard Benefits).......................... 6-90
Running the PremiumReconciliation Report.................................................................... 6-91
Viewing and Adjusting Monthly Premiums for a Plan or Option in Plan......................... 6-93
Viewing and Adjusting Monthly Premiums for a Participant........................................... 6-94
Defining Person Benefit Balances....................................................................................... 6-96
Recording a Reimbursement Request (Advanced Benefits)............................................... 6-96
Running the Process Forfeitures Concurrent Request (Advanced Benefits)...................... 6-99
Communications................................................................................................................... 6-101
Determine Communications Batch Process..................................................................... 6-101
Maintaining Person Communications............................................................................. 6-104
Running the Determine Communications Batch Process................................................. 6-105
Workforce Intelligence for Health and Welfare Administration.........................................6-107
Action Items and Certifications Workbook...................................................................... 6-107
Dependents and Beneficiaries Workbook........................................................................ 6-108
Enrollment Rates and Premiums Workbook....................................................................6-110
Health Cost Report Workbook......................................................................................... 6-111
Life Event Summary Workbook.......................................................................................6-112
Person Life Event Details Workbook............................................................................... 6-113
7 Payroll Earnings and Deductions
Payroll Earnings and Deductions Overview............................................................................ 7-1
Payroll Earnings and Deductions............................................................................................. 7-2
Additional Element Setup for Payroll...................................................................................... 7-6
Formulas and Payroll Run Results ...................................................................................... 7-6
Pay Values........................................................................................................................... 7-7
Predefined RetroPay Elements.............................................................................................7-8
Retropay Component Usages............................................................................................ 7-10
Proration............................................................................................................................ 7-12
Net-to-Gross Processing of Earnings................................................................................. 7-13
Setting Up Total Compensation Elements for Payroll........................................................7-14
Defining Frequency Rules.................................................................................................. 7-18
Defining Formula Processing and Result Rules................................................................. 7-19
Setting Up Elements for Net-to-Gross Processing.............................................................. 7-21
Setting Up Proration or Retro-Notification........................................................................ 7-25
Defining Event Groups...................................................................................................... 7-27
Balances................................................................................................................................... 7-29
xvii
Payroll Balances................................................................................................................. 7-29
Defining Secondary Element Classifications ..................................................................... 7-30
Creating Balance Feeds for Individual Elements............................................................... 7-31
Creating Classes of Balance Feeds..................................................................................... 7-32
Defining User Balances...................................................................................................... 7-32
Running the India Initial Balance Structure Creation process........................................... 7-35
Uploading Initial Balances................................................................................................. 7-36
HRMS Glossary
Index
xix
Send Us Your Comments
Oracle Human Resources Management Systems Compensation and Benefits Management Guide
(India), Release 12.1
Part No. E13564-04
Oracle welcomes customers' comments and suggestions on the quality and usefulness of this document.
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xxi
Preface
Intended Audience
Welcome to Release 12.1 of the Oracle Human Resources Management Systems
Compensation and Benefits Management Guide (India).
This guide assumes you have a working knowledge of the following:
• The principles and customary practices of your business area.
• Oracle HRMS.
If you have never used Oracle HRMS, Oracle suggests you attend one or more of
the Oracle HRMS training classes available through Oracle University
• Oracle Self-Service Web Applications.
• The Oracle Applications graphical user interface.
To learn more about the Oracle Applications graphical user interface, read the
Oracle E-Business Suite User's Guide.
See Related Information Sources on page xxii for more Oracle E-Business Suite product
information.
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To reach Oracle Support Services, use a telecommunications relay service (TRS) to call
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available athttp://www.fcc.gov/cgb/dro/trsphonebk.html.
xxii
Documentation Accessibility
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Structure
1 General Compensation Structures
2 Salary and Grade Related Pay and Progression
3 Compensation and Awards Management
4 Leave and Absence Management
5 Setup for Health and Welfare Management
6 Administration for Health and Welfare Management
7 Payroll Earnings and Deductions
HRMS Glossary
Related Information Sources
Oracle HRMS shares business and setup information with other Oracle Applications
products. Therefore, you may want to refer to other user guides when you set up and
use Oracle HRMS.
You can read the guides online by choosing Library from the expandable menu on your
HTML help window, by reading from the Oracle Applications Document Library CD
included in your media pack, or by using a Web browser with a URL that your system
administrator provides.
xxiii
If you require printed guides, you can purchase them from the Oracle store athttp://oraclestore.oracle.com.
Guides Related to All Products
Oracle E-Business Suite User's Guide
This guide explains how to navigate, enter data, query, and run reports using the user
interface (UI) of Oracle E-Business Suite. This guide also includes information on setting
user profiles, as well as running and reviewing concurrent requests.
Guides Related to This Product
Oracle Daily Business Intelligence for HRMS User Guide
This guide describes the dashboards and reports available for HR Line Managers, Chief
HR Officer, Budget Managers, and Benefits Managers using Daily Business Intelligence
for HRMS. It includes information on using parameters, how DBI for HRMS derives
values, and how to troubleshoot dashboards and reports.
Oracle Daily Business Intelligence for HRMS Implementation Guide
This guide provides basic setup procedures for implementing and maintaining
HRMS-related dashboards.
Oracle Daily Business Intelligence Implementation Guide
This guide describes the common concepts for Daily Business Intelligence. It describes
the product architecture and provides information on the common dimensions, security
considerations, and data summarization flow. It includes a consolidated setup checklist
by page and provides detailed information on how to set up, maintain, and
troubleshoot Daily Business Intelligence pages and reports for the following functional
areas: Financials, Interaction Center, iStore, Marketing, Product Lifecycle Management,
Projects, Procurement, Sales, Service, Service Contracts, and Supply Chain.
Oracle Daily Business Intelligence User Guide
This guide describes the common concepts for Daily Business Intelligence. It describes
the product architecture and provides information on the common dimensions, security
considerations, and data summarization flow. It includes a consolidated setup checklist
by page and provides detailed information on how to set up, maintain, and
troubleshoot Daily Business Intelligence pages and reports for the following functional
areas: Financials, Interaction Center, iStore, Marketing, Product Lifecycle Management,
Projects, Procurement, Sales, Service, Service Contracts, and Supply Chain.
Oracle Application Framework Personalization Guide
Learn about the capabilities of the OA Framework technologies.
Oracle Human Resources Management Systems Enterprise and Workforce
Management Guide
Learn how to use Oracle HRMS to represent your enterprise. This includes setting up
your organization hierarchy, recording details about jobs and positions within your
enterprise, defining person types to represent your workforce, and also how to manage
xxiv
your budgets and costs.
Oracle Human Resources Management Systems Workforce Sourcing, Deployment, and
Talent Management Guide
Learn how to use Oracle HRMS to represent your workforce. This includes recruiting
new workers, developing their careers, managing contingent workers, and reporting on
your workforce.
Oracle Human Resources Management Systems Payroll Processing Management Guide
Learn about wage attachments, taxes and social insurance, the payroll run, and other
processes.
Oracle Human Resources Management Systems Compensation and Benefits
Management Guide
Learn how to use Oracle HRMS to manage your total compensation package. For
example, read how to administer salaries and benefits, set up automated grade/step
progression, and allocate salary budgets. You can also learn about setting up earnings
and deductions for payroll processing, managing leave and absences, and reporting on
compensation across your enterprise.
Oracle Human Resources Management Systems Configuring, Reporting, and System
Administration Guide
Learn about extending and configuring Oracle HRMS, managing security, auditing,
information access, and letter generation.
Oracle Human Resources Management Systems Implementation Guide
Learn about the setup procedures you need to carry out in order to implement Oracle
HRMS successfully in your enterprise.
Oracle Human Resources Management Systems FastFormula User Guide
Learn about the different uses of Oracle FastFormula, and understand the rules and
techniques you should employ when defining and amending formulas for use with
Oracle applications.
Oracle Self-Service Human Resources Deploy Self-Service Capability Guide
Set up and use self-service human resources (SSHR) functions for managers, HR
Professionals, and employees.
Oracle Performance Management Implementation and User Guide
Learn how to set up and use performance management functions. This includes setting
objectives, defining performance management plans, managing appraisals, and
administering questionnaires.
Oracle Succession Planning Implementation and User Guide
Learn how to set up and use Succession Planning functions. This includes identifying
succession-planning requirements, using talent profile, suitability analyzer, and
performance matrices.
xxv
Oracle Human Resources Management Systems Deploy Strategic Reporting (HRMSi)
Implement and administer Oracle Human Resources Management Systems Intelligence
(HRMSi) in your environment.
Oracle Human Resources Management Systems Strategic Reporting (HRMSi) User
Guide
Learn about the workforce intelligence reports included in the HRMSi product,
including Daily Business Intelligence reports, Discoverer workbooks, and Performance
Management Framework reports.
Oracle Human Resources Management Systems Approvals Management
Implementation Guide
Use Oracle Approvals Management (AME) to define the approval rules that determine
the approval processes for Oracle applications.
Oracle Human Resources Management Systems Window Navigation and Reports
Guide
This guide lists the default navigation paths for all windows and the default reports and
processes as they are supplied in Oracle HRMS.
Oracle iRecruitment Implementation and User Guide
Set up and use Oracle iRecruitment to manage all of your enterprise's recruitment
needs.
Oracle Learning Management User Guide
Use Oracle Learning Management to accomplish your online and offline learning goals.
Oracle Learning Management Implementation Guide
Implement Oracle Learning Management to accommodate your specific business
practices.
Oracle Time and Labor Implementation and User Guide
Learn how to capture work patterns, such as shift hours, so that this information can be
used by other applications, such as General Ledger.
Oracle Labor Distribution User Guide
Learn how to maintain employee labor distribution schedules, distribute pay amounts,
encumber (commit) labor expenses, distribute labor costs, adjust posted labor
distribution, route distribution adjustment for approval, and manage error recovery
processes. You also learn how to set up effort reporting for Office of Management and
Budget (OMB) compliance.
Other Implementation Documentation
Oracle Workflow Administrator's Guide
This guide explains how to complete the setup steps necessary for any product that
includes workflow-enabled processes. It also describes how to manage workflow
xxvi
processes and business events using Oracle Applications Manager, how to monitor the
progress of runtime workflow processes, and how to administer notifications sent to
workflow users.
Oracle Workflow Developer's Guide
This guide explains how to define new workflow business processes and customize
existing Oracle E-Business Suite-embedded workflow processes. It also describes how
to define and customize business events and event subscriptions.
Oracle Workflow User's Guide
This guide describes how users can view and respond to workflow notifications and
monitor the progress of their workflow processes.
Oracle Workflow API Reference
This guide describes the APIs provided for developers and administrators to access
Oracle Workflow.
Oracle E-Business Suite Flexfields Guide
This guide provides flexfields planning, setup, and reference information for the Oracle
E-Business Suite implementation team, as well as for users responsible for the ongoing
maintenance of Oracle E-Business Suite product data. This guide also provides
information on creating custom reports on flexfields data.
Oracle eTechnical Reference Manuals
Each eTechnical Reference Manual (eTRM) contains database diagrams and a detailed
description of database tables, forms, reports, and programs for a specific Oracle
Applications product. This information helps you convert data from your existing
applications, integrate Oracle Applications data with non-Oracle applications, and write
custom reports for Oracle Applications products. Oracle eTRM is available on My
Oracle Support.
Integration Repository
The Oracle Integration Repository is a compilation of information about the service
endpoints exposed by the Oracle E-Business Suite of applications. It provides a
complete catalog of Oracle E-Business Suite's business service interfaces. The tool lets
users easily discover and deploy the appropriate business service interface for
integration with any system, application, or business partner.
The Oracle Integration Repository is shipped as part of the E-Business Suite. As your
instance is patched, the repository is automatically updated with content appropriate
for the precise revisions of interfaces in your environment.
Do Not Use Database Tools to Modify Oracle E-Business Suite Data
Oracle STRONGLY RECOMMENDS that you never use SQL*Plus, Oracle Data
Browser, database triggers, or any other tool to modify Oracle E-Business Suite data
xxvii
unless otherwise instructed.
Oracle provides powerful tools you can use to create, store, change, retrieve, and
maintain information in an Oracle database. But if you use Oracle tools such as
SQL*Plus to modify Oracle E-Business Suite data, you risk destroying the integrity of
your data and you lose the ability to audit changes to your data.
Because Oracle E-Business Suite tables are interrelated, any change you make using an
Oracle E-Business Suite form can update many tables at once. But when you modify
Oracle E-Business Suite data using anything other than Oracle E-Business Suite, you
may change a row in one table without making corresponding changes in related tables.
If your tables get out of synchronization with each other, you risk retrieving erroneous
information and you risk unpredictable results throughout Oracle E-Business Suite.
When you use Oracle E-Business Suite to modify your data, Oracle E-Business Suite
automatically checks that your changes are valid. Oracle E-Business Suite also keeps
track of who changes information. If you enter information into database tables using
database tools, you may store invalid information. You also lose the ability to track who
has changed your information because SQL*Plus and other database tools do not keep a
record of changes.
General Compensation Structures 1-1
1
General Compensation Structures
General Compensation Structures Overview
Using Oracle HRMS, you have all the flexibility you need to model your compensation
and benefit packages. You decide exactly what information you want to hold for
compensation management and, if you require it, for payroll processing.
This overview outlines the generic concepts and procedures for setting up
compensation. However, there are additional considerations for salaries, absences and
PTO accruals, benefit plans, collective agreements, and setting up earnings and
deductions for payroll processing. These are covered in other areas.
Elements: Define - Administer - Process
Element is an Oracle HRMS term for the components of a compensation and benefits
package, such as salary, PTO accrual plan, and health plan. By defining elements, you
can structure information relating to employees' compensation and benefits in a highly
flexible way.
First, you define elements, then you administer and process them.
Define
Definition includes rules about valid compensation values, who can receive the
elements, and how they are processed. You define elements, and associated rules and
formulas, as part of your Oracle HRMS implementation. You can define new elements
and make certain changes to existing definitions at any time.
Administer
When definition is complete, you administer compensation and benefits by making
element entries for your employees. You can quickly record earnings, deductions, time
worked and other information by entering elements in batches.
1-2 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Process
You process earnings and deductions by running payrolls. The payroll run
automatically uses the calculations you have written as formulas, and uses other rules
(such as processing frequency) that you have defined.
Compensation Objects
For most benefits and some types of compensation, you define compensation objects as
well as elements. You can define a hierarchy of compensation objects, optionally
starting with programs at the highest level, to represent a package of benefits you offer,
followed by plan types, plans, and options. A plan type is a category of plans, such as a
medical plan type. A plan is a specific offering, such as a bonus or a dental plan, and an
option is an electable choice within a plan, such as 1 x Salary.
If you use SSHR, defining compensation objects enables you to delegate tasks such as
the allocation of salary increases or bonuses to line managers, by issuing budgets.
Employees can use self-service to enter voluntary contributions, such as savings plans,
or charitable donations. They can also manage their own enrollments in benefit plans,
while the back-office maintains control of the plan's administration.
If you use iRecruitment, defining compensation objects enables your hiring or line
managers to assign benefits components to eligible applicants when they create or
update offers. For example, you can set up plans such as car and relocation.
To speed up implementation, you can use Plan Design Copy to copy a plan or program
and all its associated definitions, then you can configure these to create a new plan or
program.
Eligibility Profiles
If you have defined compensation objects, you manage participation by defining
eligibility profiles and attaching them to the appropriate level of the hierarchy. You can
define several profiles for each object, and each profile can contain both required and
optional criteria. For example, the profile could specify that eligible employees must
work full time, and either have been employed for at least two years, or be assigned to a
manager grade.
Activity Rates
You can attach any number of activity rates to a plan or option to specify the
contributions made by employee and employer, or the distributions, such as
compensation awards. When you define an activity rate, you can associate it with an
element. Activity rates support a variety of calculation methods to determine how much
a person pays or receives: flat amount, multiple of premium, multiple of elected
coverage, and so on. When a participant enrolls in a plan, the enrollment process runs
the calculation and enters the result on an element entry for the employee.
General Compensation Structures 1-3
General Compensation Structures
Reporting On Compensation Data
Oracle HRMS includes a number of windows and reports for compensation data, such
as the Salary Review Report, and the List Employees by Element window.
In SSHR, you can use the Compensation History page to view employee information
such as salary changes, bonuses, stock options, monetary compensation grouped by
year, ranking, jobs, and non-monetary compensation. If you use Compensation
Workbench, this feature supplies several reports for salary changes, bonuses, and stock
options.
Oracle HRMS also includes some Discoverer Workbooks to enable you to analyze
salary information by organization, supervisor, and job, comparing with grade rate
values where appropriate.
See: General Compensation Structures -- Reports, Oracle HRMS Configuring, Reporting,
and System Administration Guide
1-4 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Using System Extract, you can define interfaces to extract compensation data for
reporting or transfer to third parties. Oracle HRMS supplies predefined extracts that
you can use or configure. See: HR/Payroll Extracts, page 1-53.
Key Concepts
To get the most out of the compensation and benefits functionality of Oracle HRMS,
you need to understand the following key concepts:
• Elements
• Input values
• Element links
• Element classifications
• Element entries
• Plan design
• Eligibility profiles
• Activity rates
General Compensation Structures
What kinds of compensation information can you record?
All kinds, depending on how much information you require. You decide what types of
compensation and benefits you want to track, the information you need to hold for each
type, and the rules that determine who receives the compensation and how often it is
paid.
Can you monitor the costs of compensation policies?
Yes, you can allocate labor costs to particular departments, products, or projects. You
can enter default cost centers for organizations and employees, then override these, if
required, when you enter timecard data.
How can you review the effectiveness of compensation packages?
You can compare salaries and other compensation for any groups of employees, for
example grouped by organization, position or grade. You can break down salary
changes into components, such as Cost of Living, Location Adjustment, or Promotion,
to identify any performance-related increases. You can also associate salary changes
General Compensation Structures 1-5
with performance reviews.
Using HRMS Intelligence, you can compare salary trends, manpower changes, and
group skills analyses.
What happens when you need to change compensation policies?
With DateTrack you can make future-dated changes to your information safe in the
knowledge that these changes will not become effective in the system until the correct
date.
In this way you can use your compensation and benefit information to plan changes
ahead of time; analyze the impact of these changes; adjust these changes and generally
smooth out the workload that is often associated with major changes in compensation
and benefits policy.
How do you manage individual salary packages?
You can define salaries for groups of employees, with default values and validation
rules if you require them, and enter individual salary changes for employees at any
time. You can associate salary changes with the results of performance reviews, and you
can show the composition of any increase by components such as cost of living, and
individual performance. You can enter proposed changes to take effect in the future and
confirm these later with the click of a button.
What about grade-related pay?
Oracle HRMS handles both pay rates that are directly related to grades, and rates on
grade-related pay scales. To relate pay directly to grades, you can specify valid salary
ranges or fixed pay rates for each grade. If your employees are paid from a pay scale
(perhaps determined by collective agreement), you can associate each grade with
several points on a pay scale.
How do you ensure employees receive the compensation dictated by a collective
agreement?
You can define entitlement items to represent the compensation and benefits that are
subject to a collective agreement. You define an eligibility profile to determine who can
receive this entitlement item, and associate both with a collective agreement. Provided
that an employee already has an element entry for the compensation or benefit,
applying the collective agreement to the employee updates the entry to the values
recorded in the collective agreement.
What does Oracle offer for benefits administration?
We offer a choice, to match the varying complexity of benefits administration
requirements.
1-6 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
The Standard Benefits feature set lets you define your benefits offering in a hierarchical
manner, so that requirements you specify at the program level are inherited by the
plans and options in that program. You can use a variety of factors, such as length of
service, to define eligibility requirements for participation in a plan. The system
supports centralized enrollment by benefit administrators or web-based self-service
enrollments. Standard benefits is best for organizations that outsource a significant
portion of their benefits administration. System extract features let you export data to
third party benefits administrators.
If you administer your own benefits, or your requirements include offering flexible
benefit plans, you should implement Oracle Advanced Benefits. This provides the full
solution for benefits management, including life event triggered enrollments and
communications, online life event processing, processing of flexible spending account
claims, and what-if eligibility analysis.
For US implementations, we also continue to offer Basic Benefits, which is a limited
feature set that supports administration of benefit plans for employees and their
dependents, including COBRA coverage.
Can you be sure that compensation information remains confidential?
Yes, you can. Oracle HRMS security features enable you to choose which users can view
compensation information, what types of compensation they need access to, which
employees records they can see, and whether they are able to update them.
Can you enter weekly timecard data?
Yes, using Batch Element Entry, you can enter timecard information for a group of
employees, using default values as appropriate. You can validate your entries against
system rules and external control totals before uploading it to the database in time for
the payroll run.
How does Oracle HRMS help reduce data entry errors?
There are three ways:
• By removing the need to make entries at all, when compensation entries are
standard for a group of employees and can be entered automatically.
• By reducing keystrokes when you use Batch Element Entry to enter batches of
entries.
• By validating all entries using rules you define at setup time.
Can you make one-time changes to entries?
Yes. Some types of compensation or payment (such as expense reimbursements) need
General Compensation Structures 1-7
only be entered for the period to which they apply. For others, the regular value can be
adjusted if you need a different value for one payroll run.
I'm entering compensation details for analysis but not for payroll processing. How do
you reduce data entry work to a minimum?
If the same compensation entry applies to a group of employees, the system can enter it
automatically. You need to set up the element with standard links. Use Batch Element
Entry to start or update other entries in batches.
You can download salary information to a spreadsheet, update it there, and upload the
new information to the database.
Can you see a history of all compensation values for an employee over time?
Yes, you can view all changes for one or more types of compensation. For salaries, you
can also see new proposed salary changes.
How do you compare compensation for groups of employees?
You can select employees by organization, job, position, or grade and view past and
current salaries or new salary proposals. For other types of compensation, you can
compare the latest values for all employees in any period of time you choose.
If you use grade rates, you can compare compensation entries for all employees on a
certain grade, and also see these values as a percentage of the midpoint defined for the
grade.
1-8 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Elements
Elements: Building Blocks of Pay and Benefits
With Oracle HRMS, you define a working model of your own types of compensation
and benefits and the policies or business rules that govern the allocation of these to your
employees. You define these types as elements. Elements are the building blocks of pay
and benefits, both for HR analysis and payroll processing.
Example
Elements can represent:
• Earnings, such as salary, wages, and bonuses
• Benefits, such as employee stock purchase and pension plans
• Absences from work
• Non-payroll payments, such as expense reimbursements
• Tangible items distributed to employees, such as tools, uniforms, mobile phones, or
computers
• Voluntary and involuntary deductions, as well as pre-tax and tax deductions
• Employer taxes and other employer liabilities
There is no limit to the number of elements you can define, and all your definitions are
datetracked.
How Are Elements Created?
Some elements are supplied predefined with Oracle HRMS, some are available in
template libraries, others are generated by the system when you define certain types of
compensation and benefits, and the remainder you can define using the Element
window to best meet the needs of your own enterprise.
Predefined Elements
The predefined elements are specific to your localization. They typically include
deductions for tax and wage attachments. They may also include standard earnings,
such as salary. You should not make any changes to these predefined elements.
Template Elements
Using the Configuration Workbench, you can select many earnings and deductions
from a template library for your country and industry. Your selected earnings and
deductions form a template set that you can load into your business group. The
General Compensation Structures 1-9
template set includes the elements and the balances, balance feeds, and formulas
required for payroll processing. You can configure any of these definitions to match
your specific requirements.
Generated Elements
In certain legislations, including North America and the UK, Oracle Payroll users can
initiate earnings and deductions, and the system generates the elements you require,
along with balances, balance feeds, and formulas. The method of initiating earnings and
deductions depends on your localization. Typically you use the Element Design
Wizard, Earnings and Deductions windows, or other template windows for specific
earnings and deduction types. The processing options you select in the wizard or
window determine the rules embedded in the generated elements and formulas. As
with template elements, you can configure generated elements and formulas to match
any special requirements.
Also, when you create PTO Accrual Plans, the system generates elements for you.
Introduction to Element Definition
The following diagram illustrates the items that you can define or select to control the
entry and processing of any earning, deduction, basic benefit, or payment.
1-10 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Compensation Definition
To take a simplified example, you could define an element called Wage, for hourly paid
employees. You classify it in the predefined classification Earnings, which determines
when it is processed in the payroll run and what payroll balances it feeds.
You specify one input value, Hours Worked, which must be entered in each pay period.
(If necessary, you can define up to 15 input values, with fixed values, defaults, or
validation.)
You associate a formula with the element, to calculate the wage for the pay period. A
simple formula might be hours worked (from the input value) multiplied by hourly rate
(which might, for example, be entered in the Grade Rate window).
You define who is eligible for the element by linking it to components of the employee
assignment, such as grade, payroll, salary basis, or organization. In this example, the
wage element is available to all employees on the weekly payroll.
You can define other processing rules, such as a termination rule. For example, you
might specify that the employees' entry of the wage element should not close down on
their termination date but remain open for processing of final pay.
General Compensation Structures 1-11
Input Values: Flexible Description of Compensation
To give an employee an earning or deduction, you make an element entry. An entry can
contain up to 15 items of information, which you define when you create the element.
For example, for a company car element, you might want to store car make, model,
year, date of issue to the employee, and mileage when issued.
These items of information are called input values. You decide what validation to apply
to these values, whether they are required or optional, and the type of information they
can accept:
• Alphabetic characters or words
• Integers or numbers
• Money
• Hours and minutes
• Date, day, or time
This list of unit types is predefined and you cannot add to it.
Processing Input Values
Input values are so called because they are the inputs to calculations performed by
Oracle Payroll. In a payroll run, formulas process the input values and other database
information to produce run results.
For example if you have Payroll and your enterprise makes overtime payments, you
might write a formula to calculate the payment amounts for each assignment from
inputs of the overtime rate and the hours worked for the period. The payroll run then
processes each assignment and produces the overtime payment amounts as run results.
Rules for Allocating Compensation
While some elements may represent compensation, equipment, or deductions available
to all employees, many elements are available only to certain groups of employees. For
example, your enterprise may provide company cars only to employees in the Sales
Department.
To determine which employees are eligible for an element, you build links to the
assignment components that employees must have to receive entries of the element.
Links rule out the possibility of employees getting element entries by mistake.
For example, you might want to give a production bonus only to those employees who
work full time in Production and are on the weekly payroll. To do this you would
define a link between the element Production Bonus and the combination of the
1-12 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Production organization, the Full-Time assignment category and the Weekly payroll.
Note: When you define a link for a benefit, do not select any
assignment components to restrict eligibility for the benefit. Instead use
participation eligibility profiles.
Similarly when you define a link for an element that you are going to
select as an entitlement item for a collective agreement, do not restrict
eligibility using the link. You restrict eligibility using eligibility profiles.
Assignment Components
The assignment components to which you can link elements are:
• Payroll: If employees on all your payrolls are eligible for an element, you can link it
to all payrolls.
• Salary basis, whichestablishes the period of time (often hourly or monthly) for
which you quote the employee's salary or wages.
• Assignment category, for example, Full Time-Regular or Part Time-Temporary
• Organization,for example department or section, in which employees work
• Location of employee's office
• Job,for example, Associate Professor or Secretary
• Grade
• Groups to which the employee belongs: You set up all the groups that are
appropriate for your enterprise. For example, you could decide to group employees
by company within a multi-company enterprise, and by union membership.
• Position, which is a class of job performed in a particular organization, for example,
Associate Professor of Chemistry, or Finance Department Secretary.
Multiple Rules of Eligibility
You can define more than one link for each element but there must be no overlap
between the eligibility criteria for the links. For example, you could create one link to
the combination of grade 'A' and the job 'Accountant'. However, you could not create
one link to grade 'A' and a second link to the job 'Accountant'. This would imply that an
accountant on grade A is eligible for the same element twice.
If you have more than one link for an element, you can enter different default values,
qualifying conditions, and costing information for each eligibility group.
General Compensation Structures 1-13
Qualifying Conditions: Minimum Age or Period of Service
An employee might be eligible for an element and yet not receive it because he or she
does not meet other qualifying conditions.
Two common qualifying conditions are a minimum age or a minimum period of service
in the current assignment. You can define these conditions when you define the
element. You can enter or adjust these conditions when you define the element links so
that you have different qualifying conditions for different groups of assignments.
These qualifying conditions are checked automatically when you try to enter an
element for an employee.
Compensation Entry: Making It Fast and Reliable
To reduce the work of entering compensation information for employees and to reduce
the risk of errors, you specify rules about entries when you define an element. For
example:
• You can specify defaults, lookups, minimum and maximum values, or other
validation to control what is entered in input values.
• You also specify the duration of entries, that is, whether they are valid for one pay
period only, or whether they persist until further action is taken to end the entry.
• For some elements, you can even set up automatic entry with default values so that
no action is required to ensure that employees get the compensation for which they
are eligible.
You can create customized versions of the Element Entries window. A customized
version might restrict the elements a user can enter. This enhances speed, usability, and
security for specific data entry scenarios. Users can also enter batches of entries using
default values to reduce keystrokes and thus speed up data entry and reduce errors.
Duration of Element Entries
Some entries are valid for one pay period only. For example, to produce an employee's
wages or overtime pay for a period you process the entries of regular hours worked or
overtime hours. You define these elements with the processing type nonrecurring.
Notice that pay periods are determined by the payroll to which an employee is
assigned. Employees must be assigned to a payroll to receive nonrecurring elements,
even if you are entering these for information only and not processing them.
Other entries, such as salary or company car, should persist until you change them, or
they reach their end date, or the employee's assignment changes so that he or she is no
longer eligible for the element. You define these elements with the processing type
recurring.
1-14 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Element Entry Validity Across Pay Periods
A recurring element entry is normally processed in every pay period, as determined by
the employee's payroll. However, you can associate frequency rules with a recurring
element to specify in which pay periods it should process. For example, you might
deduct a monthly subscription in the second week of each month for weekly-paid
employees.
Allowing Multiple Entries
Normally you can only give an employee one entry of an element. This is a useful
safeguard against duplication errors. However, when you define an element, you can
choose to allow multiple entries. For example, if you enter overtime hours on a weekly
basis for monthly-paid employees, you might need to give an employee five entries of
an overtime element in each period.
Automatic Entry
If you want all eligible employees to receive a recurring element automatically, you can
define standard links to the element. With this link, the element and all its default input
value entries go on record for all eligible employees, now and in the future.
For example, suppose your enterprise has an employee Sports Club whose members all
agree to pay a fixed subscription each month by payroll deduction. You can set up an
employee group called Sports Club on the system and record membership by assigning
employees to the group. You can then link a Sports Club Dues element to the Sports
Club employee group, mark this link as standard, and enter a default value reflecting
the current monthly subscription.
Clearly, you will not choose to create standard links if there are any performance
criteria (such as achieving a certain volume of sales) that employees must meet before
General Compensation Structures 1-15
they qualify for an element.
You can create a standard link if both the element is recurring and multiple entries are
not allowed for the element
If you have not defined age or period of service criteria, the start date of the automatic
entry is the date the assignment becomes eligible for the element. For example, this
might be the employee's hire date, or the date of a promotion or transfer.
If you entered age or period of service criteria for the element, the start date of the
automatic entry reflects the date on which the employee meets the qualifying
conditions. For example, if a new hire is entitled to a company car after six months, an
element entry is automatically created when the employee is entered on the system, and
the start date of the entry is six months after the hire date.
If the employee's date of birth is altered on the system, this may change the date on
which he or she qualifies for the element. In this case, the start date of the element entry
changes automatically.
Default Values and Validation
When you define inputs for an element, you also define the validation for each input
value. The validation you define controls the values a user can enter. The options are to:
• Provide a default value (or several defaults - one for each eligibility group, defined
by a link)
• Provide a minimum and maximum value range
• Provide a fixed value
• Provide a lookup list of valid values
• Validate the input value using a formula
Using the formula option you can model complex business rules for validating entries.
For example, for a bonus payment you might want to set a maximum bonus value that
depends on length of service and current salary. With Oracle's formula writing tool,
Oracle FastFormula, you can include conditional logic to validate input values using
different criteria for different employees.
If you define a default value, you can specify that it is a hot default. This means that any
changes to the default value not only affect future entries but will also update existing
entries, provided that the default was not overridden when the entry was made.
When Assignments Change
When you update an assignment (for example, by promoting or relocating the
employee), some changes are made automatically to the assignment's element entries:
1-16 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
• If the assignment is newly eligible for any elements with standard links, entries of
these elements are created automatically.
• If the assignment is no longer eligible for an element, the existing element entry is
ended.
• If the assignment continues to be eligible for an element but via a different
non-standard element link, the existing element entry is ended and a new one
created with the same values and costing information as the old entry.
Note: This means that the system ignores any default values, default
costing information, and qualifying conditions on the element link
associated with the new entry. All values are taken from the old entry
instead to provide continuity for the employee. Of course you can
change the entry values manually if required.
This does not apply to salary elements that are entered automatically
when you approve a salary proposal. In this case the existing element
entry is ended and a warning message is issued. You must re-enter and
approve the salary proposal following the assignment change. This
ensures the integrity of your salary data.
• If the assignment continues to be eligible for an element but via a different standard
element link, the existing element entry is ended and a new one created using the
default values on the standard element link.
Batch Entry
Using BEE (Batch Element Entry), you can enter earnings, deductions, timecard data,
and other compensation and benefit information in batches. This is especially useful
when the same values can be used for many employees. After entering a batch (for as
many employees and elements as you require), you can validate it, make corrections,
and validate again before transferring the information to the database.
Collective Agreements
If your employees are subject to collective agreements, you can define compensation
elements as entitlement items, which form part of the collective agreement. You
associate each entitlement item with one or more eligibility profiles to define who is
eligible to receive the item and how much they should receive. Alternatively, you can
write a formula to determine eligibility and how much eligible people should receive.
You must define and link the element before you apply a collective agreement to
employee's assignments. This ensures that, when you apply collective agreement
values, the application updates the element entry with the appropriate value (as defined
in the Collective Agreement Entitlements window).
General Compensation Structures 1-17
Configuring the Element Entries Window
You can create configured versions of the Element Entries window. A configured
version restricts the elements a user can enter. For example, one version could be
restricted to the element name Timesheet and accessed from a menu entry labelled
Timesheet Entries.
Element entry can be restricted by:
• Element set (that is, a group of elements that you define)
• Element type (that is, recurring or nonrecurring)
• Element classification (such as, Earnings, or Direct Payment)
See: CustomForm, Oracle HRMS Configuring, Reporting, and System Administration Guide
Non-Updateable Element Sets
You can prevent users updating the entry values of a set of elements on the Element
Entries window. These will typically be elements that you update through
legislation-specific forms. You must create a customization element set, and select it for
the HR:Non-Updateable Element Set user profile option. You can set this profile option
at any level: Site, Application, Responsibility, or User. You can edit the element set after
selecting it in the user profile option.
Users will be able to view these elements in the Element Entries window, and they can
edit fields such as Reason and Costing, but not the entry values. They cannot use the
Update Override and Delete DateTrack modes, because these might remove entry
values set elsewhere.
Element Classifications and Processing Sequence
Elements are grouped into primary classifications, such as Earnings and Voluntary
Deductions. In a human resources department, you can use the primary classifications
to identify groups of elements for information and analysis purposes. In a payroll
department, the classifications control processing, including the sequence in which
elements are processed and the balances they feed.
Oracle HRMS provides you with these primary classifications and some balances,
mainly to reflect tax legislation. They are designed to meet the legislative requirements
of your country, so you cannot change them. You can create additional balances to be
fed by any of the primary classifications.
Processing Sequence in the Payroll Run
An element's primary classification provides a default processing priority for the
1-18 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
element in payroll runs. Lower priority numbers process first.
Most classifications also have a priority range. When you define an element in these
classifications, you can overwrite its default processing priority with another number
from the range. This is useful if you need to establish the order in which the element
processes with respect to other elements in the classification.
Sometimes you must prioritize the processing of certain element entries for an
individual employee. For example, you may need to determine the precise order in
which deductions taken for wage attachments process for an employee. You can enter a
subpriority number for element entries in the Entry Values window.
Canada only: Processing sequence for wage attachments is not determined by
subpriority. Instead you can specify Attachment Priority and Prorate Rules in the
Further Information field on the Entry Values window.
Secondary Classifications
You can define secondary classifications to feed your own user defined balances. These
secondary classifications are subsets of the primary classifications. In some legislations,
secondary classifications have been predefined. As with primary classifications, you
cannot remove or change any predefined secondary classifications, and you cannot
disable any of the predefined balance feeds created for them.
Note: Secondary classifications are not used in the United States,
Canada, or Singapore versions of Oracle Payroll at this time.
Mexican implementations use classifications and sub-classifications.
Categories - for US and Canadian Classifications
Most US and Canadian classifications are subdivided into several categories. Categories
further define an element's purpose, and can help to determine applicable processing or
tax rules. You can define additional categories.
Costing
On the Costing tab of the Element Classifications window, you can view whether
elements of this classification are Costable and Distributable. If the classification is
Costable, you can select any costing option for elements when you define the element
links. If the classification is Distributable, you can create a distribution set from
elements of this classification over which you can distribute costs (such as overheads).
You can also view the cost type for elements in the classification, that is, whether they
debit or credit the accounts they feed.
General Compensation Structures 1-19
Frequency Rules
On the Frequency Rules tab of the Element Classifications window, you can view
whether you can define frequency rules for elements of this classification. The payroll
run uses a frequency rule to determine in which pay periods it processes a recurring
element. On this tab you can also see which date the payroll run uses, by default, to
assess frequency rules in your localization. You can select a different date when you
define a frequency rule.
Survey of the Classifications
The survey of the classifications identifies:
• The function of elements within each primary classification, page 1-19
• The processing priority range, default priority, and cost type for each classification,
page 1-21
• A list of the predefined secondary classifications within each primary classification,
page 1-21
Primary Element Classifications
Primary element classifications are supplied as startup data, and you cannot delete or
update them as they are designed to meet legislative requirements.
Classification Meaning
Information Represents information items that are not used in
payroll processing. Used to hold information for use
in other elements, and to trigger the processing of
other elements, for example, Section 88B, Section 88
Absences Represents elements that store employee absences.
Use the classification Information to set up accruals.
Earnings Represents payments made to an employee other
than perquisites and allowance.
Allowances Represents the allowances that are paid to an
employee, for example, conveyance allowance and
house rent allowance.
1-20 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Classification Meaning
Direct Payments Represents payments given to the employee that are
not a part of the payroll. They are not a part of the
gross or net pay but are considered for tax
calculations, for example, remuneration received for
services rendered outside India.
Perquisites Represents benefits given to an employee in
addition to the salary, for example, domestic maid
allowance and rent free accommodation.
Employer Charges Represents employer contributions that are not
included in the employee's salary, for example,
employer provident fund contribution and
provident fund Interest.
Termination Payments Represents employer payments at the time of
employee's termination from the organization, for
example, voluntary retirement scheme and
retrenchment payments.
Pre-Tax Deductions Represents deductions made before tax calculation,
for example, pension fund and medical insurance
premium.
Tax Deductions Used to store tax deductions, for example, tax
deducted at source and surcharge.
Involuntary Deductions Represents statutory deductions, for example, ESI,
Professional Tax deduction.
Voluntary Deductions Represents deductions that are initiated by the
employee, for example, voluntary provident fund
contribution.
Fringe Benefits Represents benefits given to an employee in
addition to salary, for example, hospitality
expenditure and medical claim.
Advances Represents advance payments given to employees
in addition to salary, for example, conference
expenditure and sales promotion expenditure.
General Compensation Structures 1-21
Primary Classification Processing Properties and Cost Types
The following table shows the default processing priority and costing details for the
primary classifications.
Primary
Classification
Priority Range Default Priority Cost Type
Information 1-2000 1000 N/A
Absences 4001-6000 5000 N/A
Advances 6001-8000 7000 Debit
Earnings 8001-10000 9000 Debit
Allowances 8001-10000 9000 Debit
Direct Payments 12001-14000 13000 Debit
Perquisites 16001-18000 17000 Debit
Fringe Benefits 18001-20000 19000 Debit
Employer Charges 20001-22000 21000 Debit
Termination
Payments
24001-26000 25000 Debit
Pre-tax Deductions 32001-34000 33000 Credit
Tax Deductions 36001-38000 37000 Credit
Involuntary
Deductions
40001-42000 41000 Credit
Voluntary
Deductions
44001-46000 45000 Credit
Predefined Secondary Element Classifications
This table shows the predefined secondary classifications supplied. You cannot update
or delete these predefined classifications.
1-22 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
An element automatically receives any default secondary classifications defined for its
primary classification.
Primary Classification Secondary Classifications Default
Information None N/A
Absences None N/A
Earnings Statutory Bonus
Non Statutory Bonus
N/A
Direct Payments None N/A
Perquisites Monetary Perquisites
Non Monetary Perquisites
N/A
Employer Charges Employer Charges Non
Taxable
Employer Charges Taxable
N/A
Termination Payments None N/A
Pre-tax Deductions None N/A
Tax Deductions None N/A
Involuntary Deductions None N/A
Voluntary Deductions None N/A
Fringe Benefits None N/A
Advances None N/A
Allowances None N/A
Predefined Elements
The following table lists the predefined elements that are specific to Oracle HRMS for
India
General Compensation Structures 1-23
Element Name Description
House Rent Information Holds house rent related information.
Deductions under Chapter VIA Holds deductions under Chapter VIA,
deducted from the gross income before tax
computation.
Deduction under Section 80DD Holds deductions under Section 80DD,
applicable to employees with disabled
dependents.
Deduction under Section 80G Holds deductions that fall under Section 80G,
for donations to listed charitable institutions
and funds.
Life Insurance Premium Holds deductions from life insurance
premiums.
LIC Salary Savings Scheme Holds deductions from life insurance
premiums through salary saving scheme
Tuition Fee Holds details about tuition fees, for up to two
children.
Other Income Holds information regarding other income.
Income Tax Information Information element to initialize tax
processing.
Income Tax Holds the income tax to be paid in a pay
period.
Taxable HRA Information element to calculate the taxable
portion house rent allowance.
Previous Employment Information Initiates the previous employment tax
calculation.
Exemption Under Section 16 Holds details of exemptions under Section 16.
Max Exemption Under Section 80 Holds the maximum exemption under Section
80.
1-24 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Element Name Description
Max Exemption Under Section 80DD Holds the maximum exemption under Section
80DD.
Max Exemption Under Section 80G Holds details maximum exemption under
Section 80G.
Max Exemption Under Section 80GG Holds details maximum exemption under
Section 80GG.
Relief Under Section 89 Information element to hold relief under
Section 89.
Max Exemption for LIC Premium Information element to hold the maximum
exemption for Life Insurance Corporation
(LIC) premium.
Employee Statutory PF Contribution Holds the statutory Provident Fund (PF)
contribution of the employee.
Professional Tax Information Information element to initiate Professional
Tax calculation.
Professional Tax Deduction Holds the Professional Tax to be deducted.
ESI Information Information element to initiate Employee State
Insurance (ESI) calculation.
Employee ESI Contribution Holds the employee's ESI contribution.
Employer ESI Contribution Holds the employer's ESI contribution.
PF Information Information element to hold Provident Fund
(PF) calculation.
Employee Voluntary PF Contribution Holds employee's voluntary PF contribution
Employer PF Contribution Holds employer's PF contribution.
EDLI Contribution Holds the contribution made by the employer
towards Employee Deposit Linked Insurance
(EDLI) or other similar group insurance for
the employees.
General Compensation Structures 1-25
Element Name Description
EPS Contribution Holds the employer's contribution to towards
employee's PF. The contribution is made to
two separate funds - Provident Fund and
Pension Fund.
Gratuity Information Information element to hold the details of
terminated employees' gratuity calculation.
Gratuity Payment Holds the gratuity to be paid to terminated
employees.
Notice Period Information Holds notice period information required to
calculate notice period pay.
Notice Period Pay Holds the amount to pay employees as notice
period pay.
Leave Encashment Information Holds the information required to calculate
leave encashment.
Leave Encashment Holds the amount to pay employees as leave
encashment.
Retrenchment Compensation Information Holds the information required to calculate
retrenchment compensation for terminated
employees.
Voluntary Retirement Information Holds the information required to calculate
voluntary retirement benefits, for employees
who have opted for the scheme.
Commuted Pension Information Holds the information required to calculate
taxation for the pension amount received by
employees, at the time of termination.
Commuted Pension Holds the pension amount to pay a
terminated employee.
PF Settlement Information Holds information regarding the PF
settlement amount to be paid to the employee.
1-26 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Element Name Description
PF Settlement Holds the amount to pay employees as PF
settlement.
Loan Recovery Holds information regarding any loans to
recover from terminated employees.
Tax on Bonus Holds the amount to deduct as tax from
bonus.
Deduction under Section 80CCE Holds the deductions declared by employee
under section 80CCE.
Deduction under Section 80D Holds the deductions declared by employee
under section 80D.
Deduction under Section 80DDB Holds the deductions declared by employee
under section 80DDB.
Deduction under Section 80E Holds the deductions declared by employee
under section 80E.
Deduction under Section 80GGA Holds the deductions declared by employee
under section 80GGA.
Deduction under Section 80U Holds the deductions declared by employee
under section 80U.
Income Information Holds employee's income information for tax
calculation.
Deduction Information Holds employee's salary deduction
information for tax calculation.
Form16 Deduction Information Holds deduction information for Form 16.
Form16 Income Tax Information Holds income tax information for Form 16
Bonus Separate Information Holds bonus information in case the bonus the
processed separately.
General Compensation Structures 1-27
Element Name Description
Separation Income Information Holds employee's income information to
calculate income in case of transfer from a tax
unit to the other.
Separation Deduction Information Holds employee's deduction information to
calculate deductions in case of transfer from a
tax unit to the other.
Separation Income Tax Information Holds a new input value to feed the Tax Unit
balance for employer tax on non monetary
perquisites.
Deduction under Section 80GG Holds the deductions declared by employee
under section 80GG
Deferred Annuity Holds employee's deferred annuity under
section 88.
Employee Total PF Contribution Holds employee's total Provident Fund
contribution.
Employer Excess PF Contribution Holds the employer's excess contribution
towards employee's provident fund.
Form16 Income Information Holds employee's Form 16 income
information used for tax calculation.
Other Termination Payments Holds information regarding other
termination payments.
Pension Fund 80CCC Hold's employee's contribution towards a
pension fund under section 80CCC, for a
financial year.
Professional Tax Adjustments Holds the professional tax adjustments for an
employee, if any, for the financial year.
Income Tax Challan Info Holds the details of challan payments and tax
deducted for an employee.
Employer Paid Tax Holds the overriding value of employer paid
tax.
1-28 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Element Name Description
Employer Tax on Non Monetary Perquisite Holds the calculated value of employer paid
tax on non monetary perquisites.
Employer Tax on Others Holds the calculated value of employer paid
tax on income other than non monetary
perquisites.
Employer Tax Iteration Holds the formula for running the Iterative
Engine and calculations.
Employer Tax on Bonus Holds the value employer paid tax on bonus
and other standard earnings paid in a separate
run.
Projected Company Accommodation Holds the input values for tracking employer
tax.
Employee LWF Contribution Holds the employee's LWF contribution.
Employer LWF Contribution Holds the employer's LWF contribution.
LWF Adjustments Holds the LWF adjustments for an employee,
if any, for the financial year.
LWF Information Holds the LWF information for LWF
calculations.
Compensation Policy Changes
It is inevitable that your business rules for compensation and benefits will change over
time. You can create new elements and disable existing ones at any time. You can also
make certain changes to existing elements and links, as outlined below.
Element definitions, link definitions, and element entries are all datetracked. This lets
you track the changes to your compensation and benefit policies without losing any of
your historical employee information. The history of your definitions remains in place
for validation and reporting, and for future calculations of back pay.
Maintaining Elements
After you have defined and used an element, you can make the following changes:
General Compensation Structures 1-29
• Change a required input value to be not required.
• Alter the sequence in which input values appear in the Element Entries window.
• Change the input value validation rules for minimum, maximum, lookup, or
formula.
• Change your specification of which input values create Database Items. Note,
however, you cannot remove Database Items if they are used in any formulas or
QuickPaint reports.
You cannot remove existing input values or add new ones if you have created any
entries for the element. To add an input value to an element before you create any
entries, ensure that you set your effective date to the element's start date.
Maintaining Links
Link rules always control the entry of element values at the time of entry. Changes to
link rules affect existing entries in different ways, depending on your use of standard
links and hot defaults. After you have used an element you can make the following
changes to the link rules:
• Change the input value defaults and validation.
These changes affect all new entries. Changes to hot defaults affect existing entries.
The system also uses the new validation rules to check any updates you make to
existing entries.
• Date-effectively end all of the rules that apply to an element and define a new set of
rules, which are effective from a later date. For example, suppose you have defined
eligibility for a company car based on grade. Following a change of policy you must
now define eligibility based on job.
• You will not be allowed to end the link if any nonrecurring entries exist at the
date you want to end the rule. You must delete existing entries before you end
the link.
• You can end the link if recurring entries exist. Any existing entries will be
ended automatically when you end the link.
• Change the qualifying conditions of age and length of service that employees must
meet to be eligible for the element.
Policy Development
With DateTrack you can also make future-dated changes to your information safe in the
knowledge that these changes will not become effective in the system until the correct
date.
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In this way you can use your compensation and benefit information to plan changes
ahead of time; analyze the impact of these changes; adjust these changes and generally
smooth out the workload that is often associated with major changes in compensation
and benefits policy.
Setting Up Total Compensation Elements
Follow this process to set up elements for items in the compensation package you offer
to employees. There are additional steps for setting up the following types of
compensation and benefits:
• Salaries for Salary Administration
See: Setting Up Salary Administration, page 2-9
• Absence elements and PTO accrual plans
See: Setting Up Absence Management, page 4-11
See: Setting Up PTO Accrual Plans, page 4-46
• Benefits
See: Standard and Advanced Benefits Implementation, page 5-6
Also, there are additional steps if you want to process the elements in a payroll run.
See: Setting Up Total Compensation Elements for Payroll, Oracle HRMS Compensation
and Benefits Management Guide
Define Validation and Lookups
Define validation for entries of any new elements you are creating.
1. To restrict compensation entries to a list of valid values, define a new Lookup Type
and add Lookup Values for this new lookup.
See: Adding Lookup Types and Values, Oracle HRMS Configuring, Reporting, and
System Administration Guide.
2. To validate compensation entries using formulas, write a formula of type Element
Input Validation.
See: Writing Formulas for Validation, Oracle HRMS FastFormula User Guide.
3. To create a matrix of values (such as bonus amount against years of service) for use
in formulas or QuickPaint reports, set up user tables.
See: Setting Up User Tables, Columns, and Rows, Oracle HRMS Configuring,
Reporting, and System Administration Guide
Define Elements and Links
General Compensation Structures 1-31
4. Define elements and element input values to record information about employee
compensation, benefits, and equipment:
See: Defining an Element, page 1-31.
See: Defining an Element's Input Values, page 1-39.
See also: Defining and Linking an Element for Standard and Advanced Benefits,
page 1-41
See also: Deleting an Element, page 1-43
5. Define element links to identify one or more groups of employees who are eligible
to receive an element.
See: Defining Element Links, page 1-44
See also: Running the Element Link Details Report, page 1-47
6. For elements without Standard links, make entries of your elements for all
employee who should receive them.
See: Making Manual Element Entries, page 1-57
Defining an Element
Use the Element window to create an element to represent compensation and benefit
types or earnings and deductions.
This procedure describes how to define elements using a Payroll responsibility (that is,
a responsibility with the HR User Type profile option set to Payroll User or HR with
Payroll User). If you are an HR-only user, you will not see certain fields relating to
element processing information. You can just ignore the steps that apply to these fields.
Note: Depending on your localization and the types of element you
want to create, you may not need to start from scratch in the Element
window. Check which earnings and deductions are available in the
template library in the Configuration Workbench. If these template
elements do not meet your requirements, you may be able to generate
earnings and deductions using Earnings and Deductions windows or
the Element Design Wizard. You can use the Element window to
further configure template elements and generated elements.
• For the United States and Canada, see: Earnings and Other
Payments Overview, Oracle HRMS Compensation and Benefits
Management Guide and Deductions Overview, Oracle HRMS
Compensation and Benefits Management Guide
• For Mexico, see: Element Design Wizard, Oracle HRMS
1-32 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Compensation and Benefits Management Guide
• For UAE, see: Element Design Wizard, Oracle HRMS Compensation
and Benefits Management Guide
• For Norway: For each element, you must enter the End of Year
codes using the list of values provided in the Further Information
field.
Dates, Names and Classifications
To enter dates, names, and a classification for the element:
1. Set your effective date early enough to handle any historical element entries you
want to make. Note that an element cannot be linked or entered until its start date.
2. Enter a unique:
• Name
• Reporting name
Start the names with a letter of the alphabet (not a number or symbol). The
reporting name is a short identifier for reports and pay advices.
3. Enter a description for the element.
4. Select a Primary Classification.
This controls an element's processing priority and the balances it feeds. If you are
defining a salary element for Salary Administration, you must select the
classification Earnings.
Processing Information
To enter processing information for the element:
1. Select the processing type. Select Recurring if an entry of this element applies in
every period until the entry is ended, or Nonrecurring if an entry applies in one pay
period only. The dates of the pay period are determined by the payroll to which the
employee is assigned.
Note: If you are defining a salary element for salary administration,
you must select the type Recurring. If you are defining a
net-to-gross element you must select the type Nonrecurring.
General Compensation Structures 1-33
2. Select a termination rule to determine how entries of the element are processed after
termination of the employee:
Note: UK only: Always select Actual Termination for UK
proration.
• Actual Termination if you want recurring entries to close down on the date the
employee leaves. For a nonrecurring element, select Actual Termination if you
want the entries to close down at the end of the pay period in which the
employee leaves, or on the date the assignment ends (the final process date) if
this is earlier.
• Final Close if you want the entries to stay open beyond the employee's leaving
date so that you can continue to pay the employee.
If you are a Payroll user, you can also select:
• Last Standard Process for all recurring and nonrecurring elements if you want
their entries to close down on the Last Standard Process date or on the date the
assignment ends (the final process date) if this is earlier. The Last Standard
Process date defaults to the last day of the pay period in which the employee is
terminated, but you can set it to a later period when you terminate an
employee.
3. Select the Multiple Entries Allowed check box if you want to give an employee
more than one entry of the element at the same time. If you are creating a
net-to-gross element, you must select Multiple Entries Allowed.
4. Select the Additional Entries Allowed check box if you want to make occasional
one-time entries of a recurring element (instead of, or in addition to, a normal
recurring entry).
US and Canada only: The Additional Entry Allowed rule is not applicable for US
and Canadian installations.
5. Select the Closed for Entry check box if you want to prevent any new entries being
made for the element, either temporarily or permanently. This does not affect any
existing entries of the element.
Important: Use this feature with caution. When you perform certain
important tasks in Oracle HRMS, the application may
automatically create or delete element entries. These tasks include
hiring and terminating people, and updating assignments.
Therefore, if you check Closed for Entry on an element, this might
prevent users terminating employees and updating assignments. If
there are standard links for the element, it will also prevent users
1-34 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
hiring people who are eligible for the element.
HR-only users: Go to Currency.
Oracle Payroll Users:
6. Select the Process in Run check box if you want the element to process in payroll
runs.
7. Select the Once Each Period check box to ensure that only the first payroll run of
each period processes entries of this element.
Note: If this check box is not available for your localization, you can
select a ONCE_EACH_PERIOD skip rule for the element instead.
8. Select the Indirect Results check box if you want the element only to accept entries
from indirect formula results. Leave the check box unchecked if you want to accept
entries both from indirect formula results and from manual entries in the Element
Entries window.
9. Select the Adjustment Only check box if you want to use the element only for
creating balance adjustments.
10. Select the Third Party Payments check box if you want to use the element only for
creating third party payments.
11. Overwrite the default priority number in the Priority field if you want to determine
the order in which the element processes within its classification range. Lower
numbers process before higher ones.
If the order of processing within the element classification is not important, you can
accept the default priority number, which is the midpoint of the range.
12. Select a formula in the Skip Rule field if you have written a skip rule formula to
determine the circumstances in which the element should be processed.
UK only: If you are using different run types, select the ONCE_EACH_PERIOD
skip rule for all earnings, to ensure they are not processed by each child run type.
Currency
The default currency for element entry values is the currency defined for the
Business Group. You can select a different currency for the element if required.
Advanced Processing Information
Oracle Payroll users only: Use the Advanced tab to enter further processing
information if you are defining:
General Compensation Structures 1-35
• An earnings type, such as a bonus, that is to be taxed separately from the normal
payroll run. The element can also be paid separately.
• An earnings type that requires a net-to-gross calculation. For example, this applies
to bonus payments that are a fixed net amount. Oracle Payroll calculates the gross
amount needed to meet the net pay.
• UK: A pre-tax deduction that you want to reduce if there is insufficient pay to cover
the deduction along with taxes and court orders. This requires iterative processing.
Note: The Advanced tab may not be available for some localizations.
To define an element as a separate payment:
1. On the Advanced tab, select the Separate Payment check box.
The Process Separate box is checked automatically.
UK users: Do not select this check box. This functionality is not currently available
for UK Payroll.
To define an element to process separately:
1. On the Advanced tab, select the Process Separate check box.
To define an element for net-to-gross calculation:
1. On the Advanced tab, select the Gross Up check box.
The Iterative Flag and Process Separate boxes are checked automatically.
2. Select DEFAULT_GROSSUP in the Iterative Formula field. This formula controls
the iterative calculation of the pay value, adjusting an input value as necessary to
get a result that is defined to be close enough to the required net payment.
Note: After saving your element, choose the Iterative Rules button
to specify how to use the formula results. Also choose the Exclude
Balances button to select which balances are grossed up for the
element (meaning that these deductions are paid by the employer).
3. Optionally, enter a value in the Iterative Priority field to determine the sequence in
which elements are adjusted during iterative calculations. Elements with lower
iterative priority values are adjusted first.
4. Select the Separate Payment box if you want the payment to be made separately
from the regular payment. UK Payroll, Irish Payroll: Do not select this check box.
1-36 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
5. Save your work.
To set up iterative processing for a pre-tax deduction (UK):
1. Check the Iterative Flag box.
2. Select PQP_GB_ITERATIVE_ARREARAGE in the Iterative Formula field.
3. Enter an Iterative Priority number in the range 1 to 1500. The element with the
lowest iterative priority number is reduced first. If this deduction is reduced to zero
and net pay is still insufficient to cover taxes and court orders, the element with the
next lowest priority number is reduced, and so on.
Important: Iterative priority numbers must be in the reverse
sequence of the processing priority numbers. This means that the
element that is processed first is reduced last.
4. Choose Iterative Rules, and select the L_stopper rule.
Advance Pay Processing Information
Oracle Payroll Users only except Ireland. If Advance Pay by Element is enabled in
your legislation, use the Advance Pay tab to:
• Indicate that an element may be processed as an Advance Pay element
• Establish the processing conditions for your Advance Pay element.
To define an element as an Advance Pay element:
1. On the Advance Pay tab, check the Mark as an Advance Pay Indicator check box.
This marks the element as an Advance Pay indicator. This means that when you
run the Advance Pay by Element process, it will identify this that this element can
be potentially processed as an Advance Pay element according to the processing
conditions that you define.
To set the processing conditions for an Advance Pay element:
On the Advance Pay tab:
1. Check the Include as an Advance Element check box if you want to process this
element as an Advance Pay element.
2. If you want to specify a separate Advance Pay element, select this element from the
list of available elements in Use Advance Element. If you leave Use Advance
Element blank and do not specify an element, then you do not select a separate
advance pay element. You can still process advance payments, but all the entries
General Compensation Structures 1-37
are held within your current earnings element rather than reported separately in an
advance pay element.
3. Check the Deduct Advance Amount check box if you want to show the deduction
for the advance in the current payroll period. Every advance payment has a
deduction associated with it to bring the overall payroll amounts back into balance.
You can use this check box to control the point at which the deduction should be
applied.
4. If you want to specify a separate Deduction element, select this element from the
list of available elements in Use Deduction Element. If you leave Use Deduction
Element blank and do not specify an element, then you do not create a separate
deduction element. You can still process deductions for advance payments, but all
the entries are held within your current earnings elements rather than reported
separately in a deduction element.
Note that when you create either an Advance Pay element, or a Deductions
element, you must ensure that it exists for the same period of time as the
underlying earnings element, and that the input values match those on the
underlying element.
5. Check the Process Advance Entry in Run check box if you want to include this
element in a payroll run, If you do not check this box, then the element does not
process in a payroll run and is reported as information in your Statement of
Earnings report.
Continuous Calculation
For prerequisite steps to set up continuous calculation, see: Setting Up Continuous
Calculation, Oracle HRMS Payroll Processing Management Guide
To set up an element for continuous calculation:
1. Choose the Recalculation tab and select a RetroPay element. This is an event group
that defines the events that trigger proration for this element.
Proration
In some localizations, Oracle Payroll can calculate proportionate earnings amounts
whenever payroll-relevant data changes during a payroll period. The Payroll Earnings
and Deductions section describes the full setup steps for the relevant localizations. To
enable proration for an element, choose the Proration tab.
To set up an element for proration:
1. Choose the Proration tab and select a proration group. This is an event group that
defines the events that trigger proration for this element.
2. Optionally, select a proration formula. Alternatively you can edit the element's
1-38 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
payroll formula to handle proration.
Further Information
1. Enter the Further Information field if:
• Your Oracle localization team has set up additional fields for element definition
• You are in the UK, and you use Oracle SSP/SMP
French Payroll:
• Select a group, which is the name by which this element, and the others in the
group, appears as one line on the pay advice.
• On the pay advice, most earnings and deductions are shown as a base, a rate,
and an amount. Select the base unit if you want this displayed on the pay
advice.
South African Payroll
• Enter a clearance number for Statutory Information and Deduction elements, if
applicable. This number appears on the tax certificate.
Kuwait Payroll
• Select a deduction type for the Deductions elements. This information is used
by the PIFSS report.
2. Choose Input Values to define input values for the element
See: Defining an Element's Input Values, page 1-39
Oracle Payroll Users:
3. Choose Balance Feeds to select balances you want this element to feed
See: Creating Balance Feeds for Individual Elements, page 7-31
4. Click Balance Feed Control to add or remove secondary element classifications for
this element.
Mexico only: Click this button to attach sub-classifications to your element.
See: Creating Classes of Balance Feeds, page 7-32
5. Choose Frequency Rules to enter frequency rules to determine when the element
should be processed.
See: Defining Frequency Rules, page 7-18
6. For a net-to-gross element, choose Exclude Balances to select the deductions to be
paid by the employer.
General Compensation Structures 1-39
7. For a net-to-gross element, or any other element that is processed iteratively, choose
Iterative Rules to specify how to use the Iterative Formula results.
Extra Information
Choose the Extra Information button to enter extra attribution for the element. You can
link as much attribution as you need to an element.
Note: You can only access Extra Information types if your system
administrator has set them up for your responsibility.
Usages
To exclude the element from a run type:
1. Choose the Usages button if you want to exclude this element from a run type, or
combination of run types.
2. Select the run type or combination of run types from which you want to exclude
this element.
Note: For Norway: You must select the Employer Contributions
run type to exclude the elements.
3. Select the effective dates for your exclusions.
4. Save your work.
Defining an Element's Input Values
Use the Input Values window to define the input values for the element. You can define
up to 15 input values for an element.
Depending on the type of element you have defined, Oracle HRMS may have applied
one or more default input values.
North America users: All elements must have the default Jurisdiction input value.
Norway users: All elements that feed the Holiday Pay Base classification must have the
Tax Municipality input value. This input value must have the
HR_NO_TAX_MUNICIPALITY valueset attached to it.
Payroll users: If you are creating balance feeds for individual elements, ensure you
define an input value of the same unit of measure as the balance. Money units must be
the same currency.
You can add new input values to a saved element only if you have not entered the
element for any employees. To add an input value, you must set your effective date to
1-40 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
the element's start date.
To define input values:
1. Set your effective date early enough to handle any historical element entries you
want to make.
2. Enter or query the element in the Element or Element Link window and choose the
Input Values button.
3. Enter the name of the first input value. Remember that if you want to define a pay
value to hold run results, you must name it Pay Value.
4. Select the unit type of your input value (money, hours, character, date, number, or
time). A Pay Value must have the unit type Money if the element is in a Payments
type classification.
5. You can enter numbers in the Sequence field to change the order in which the input
values appear in the Entry Values window.
6. Check the Required check box if all entries of the element must have a value for this
input.
Note: When you have saved an input value, you cannot change it to
be Required. If you have saved it as Not Required by mistake (or
you have generated an element that has an input value you want to
make required), delete the input value and re-enter it with the
correct values. If you are re-entering a generated input value, be
careful to enter exactly the same name. You cannot delete the input
value if you have made any entries of the element for employees.
7. Check the User Enterable check box if users can enter a value for this input.
Uncheck it if you want to ensure that the default value is entered for all employees.
8. Check the Database Item check box if you want the value to be available to
formulas or QuickPaint inquiries.
Database Items are simple identifiers that the system uses to find specific items of
information in the human resources database. Any spaces in the input value name
are converted to underscores in the Database Item name.
Entering Element-Level Defaults
If you enter defaults at the element link level, these override the defaults at element
level. If you update an element-level default, remember to check the values on the
element links too.
General Compensation Structures 1-41
To enter a default for an input value:
1. Enter the value in the Default field.
2. If you want existing entries to be updated whenever the default is changed, check
the Hot Default check box. The input value must be required if you want to use this
option.
A hot default appears in the Entry Values window in quotation marks.
Important: If a user overrides a hot default in the Entry Values
window, subsequent changes to the default will not affect the entry.
For this reason, you may prefer to use BEE to change defaults for
large groups of employees, rather than the hot default feature.
Defining Entry Validation
To enter validation for an input value:
1. Do one of the following:
• Enter maximum and minimum values for the input.
• Select a Lookup Type to act as a lookup supplying a list of valid values.
• Select a formula to validate entries for this input value. Formulas can return
messages to users about the success or failure of the validation.
2. Select Warning or Error to determine whether the system warns users that an entry
is invalid or prevents them from saving an invalid entry. You cannot select a value
if you chose a Lookup because a user cannot enter an invalid value for an input
value validated by lookup.
Defining and Linking an Element for Standard and Advanced Benefits
You set up elements for Standard and Advanced Benefits as you would other elements,
with certain restrictions noted below. Element setup is the same for Standard and
Advanced Benefits.
In the US and Canada, use the Earnings or Deduction window to create an element if
you process the element in a payroll run.
Outside the US and Canada--or if you are an HR-only customer in any legislation--use
the Element window to create an element.
1-42 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
To define an element for Standard and Advanced Benefits:
1. Set your effective date early enough to handle any historical element entries you
want to make.
2. Enter a unique element Name.
When you define a standard activity rate, you select the element that corresponds to
the rate you are defining.
3. Select the appropriate Classification for the earning or deduction.
4. For Payroll users in the US and Canada, select a Category on the Earnings or
Deduction window.
If you are using the Element window, you can select a Category in the Further
Element Information flexfield.
5. In the US, optionally select a Benefit Classification.
Note: For any element attached to a standard activity rate, do not
select a Benefit Classification of Dental, Medical, or Vision.
6. Select a Termination Rule of Final Close for any element attached to an activity rate.
7. Do not check the Standard Link check box (Earnings and Deduction windows) or
the Standard check box (Element and Element Link windows) since you use
eligibility profiles to control benefits eligibility.
8. Complete the definition of the element according to your business rules.
9. Save your work.
10. Choose Input Values.
You can define multiple input values for the element, but you can only link one
input value to a standard activity rate.
11. Save your work.
Defining an Element Link for Standard and Advanced Benefits
After you define an element, open the Element Link window. Because you create
eligibility profiles for Standard and Advanced Benefits, you should limit use of the
Element Link window to creating an open link for elements you do not cost.
General Compensation Structures 1-43
To define an element link for Standard and Advanced Benefits:
1. Set your effective date.
2. In the Element Name field, select the element for which you are defining a link.
3. Save the record without selecting any assignment links to create an open link.
Note: If you define links for costing, your links must not conflict
with any eligibility profiles you set up for Standard and Advanced
Benefits. Your element must have a valid link at all times.
For more help on element links and costing, see: Defining Element Links, page 1-44
Deleting an Element
Before you delete an element, you must first delete any entries of the element recorded
for employees and then any links defined for the element.
Use the following process to delete any elements you defined in the Element window,
Earnings or Deduction template, or Element Definition Wizard.
Important: Do not delete any predefined elements.
To delete an element:
1. Use the List Employees by Element window to get a list of all employees with
entries for the element.
2. For each employee, query the element entry in the Element Entries window, choose
Delete Record, and save.
3. Query the element in the Element Link window and, for each link for this element,
choose Delete Record, and save.
4. Perform one of the following:
• If you created this element through the Element Definition Wizard, query this
element from within the wizard.
• If you created this element through the US and Canadian Earnings or
Deductions templates, query this element from within the template.
• If you created this element through the Element window, query this element
from that window.
1-44 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
5. Delete the element and save.
The system prompts you to either End Date the element or Purge it. Select End Date
if you want the element to remain in the system but be effective through a certain
date. Select Purge if you made a mistake defining the element and you want to
delete it from the system altogether.
Defining Element Links
Use the Element Link window to define groups of assignments that are eligible for an
element.
Note: When you define a link for a benefit or for an entitlement item in
a collective agreement, do not select any eligibility criteria. Instead use
participation eligibility profiles to restrict eligibility for the benefit or
entitlement item.
Note: When querying data the Element Link window returns values for
Payroll, Location and Position and Organizations, irrespective of the
security profile restrictions set, enabling you to view the links already
created. You cannot create links for data outside your security profile.
To define an element link:
1. Set your effective date to the date you want the eligibility criteria to come into
effect.
2. In the Element Name field, select the Element for which you are defining a link.
3. Check the Standard check box if you want all employees who are made eligible by
the link to receive the element automatically.
You can only create a standard link if the element is recurring and multiple entries
are not allowed by the element definition.
4. In the Eligibility Criteria region, select the assignment components that constitute
this eligibility rule. If you want to link to all employees, do not enter any eligibility
criteria.
You can link to all payrolls or to a specific payroll. Do one of the following:
• Leave the Payroll field blank and check the Link to all Payrolls check box if you
want employees assigned to any payroll to be eligible. This rule excludes
employees who are not assigned to a payroll.
• Select the name of a specific payroll if you want only employees on that payroll
General Compensation Structures 1-45
to be eligible for the element. Do not check the Link to all Payrolls check box.
• Leave both fields blank if assignment to a payroll is irrelevant to eligibility for
the element.
Costing
To enter costing information for the link:
1. Select the Costable Type. The default is Not Costed, meaning that the system
maintains no costing information for the element.
• To allow entry of costing information at all levels, including the assignment and
element entry levels, select Costed This is the appropriate selection for most
elements representing earnings types.
• If you do not need to cost the element at organization and assignment levels,
select Fixed Costed. This is appropriate for some deductions, which are
irrelevant to labor distribution analyses.
• If you want to distribute overhead costs (such as employer contributions to a
pension plan) over other elements, select Distributed.Then select a Distribution
Set.
Note: Some element classifications for your legislation may be
predefined as Not Costed and you cannot override this.
2. Check the Transfer to GL check box if the payroll run results from this link should
be transferred to the general ledger.
3. Use the Costing field to select a GL account code and, if present, account codes of
labor distribution or other systems in which to collect the run results of this
element. Then use the Balancing field to select the GL account that balances this
one.
For deductions elements:
• Select the code for the GL account to credit in the Costing field, and the code for
the account to debit in the Balancing field.
For elements in all other classifications:
• Select the code for the GL account code to debit in the Costing field, and the
code for the account to credit in the Balancing field.
Note: Depending on your set up of the Cost Allocation flexfield, the
1-46 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Balancing field may not be enabled.
Batch Creation of Element Links
You can use a batch process to create multiple links more efficiently than creating each
link individually.
To create element links in a batch operation
1. Check the Create in Batch Mode check box to specify that you want to defer
creation of this element link until later when you run the Generate Element Links
process. Alternatively, leave the box unchecked if you want to create this element
link immediately.
2. View the Link Status to confirm the status of your link:
• Unprocessed - you have selected this element link for creation as part of a
batch, but the Generate Element Links process has not started yet.
• Processing - the Generate Element Links process is now attempting to create
this link.
• Complete - the Generate Element Links process has completed, and you have
successfully created this element link.
• Incomplete - the Generate Element Links process has completed, but this
element link was not included in the processing and you have not yet created
the element link. Correct the link definition before rerunning the Generate
Element Links process.
• Error - the Generate Element Links process failed to complete, and you have not
yet created the element link. Correct the link definition before rerunning the
Generate Element Links process.
3. Run the Generate Element Links process to complete the creation of those links that
you selected for batch processing.
See Generating Element Links, page 1-47
Qualifying Conditions
To enter qualifying conditions for the link:
1. Go to the Qualifying Conditions region. Here you can add or change age or length
of service requirements for this particular eligibility rule.
The system checks these conditions when you make an entry of the element. If the
employee does not meet the qualifying conditions, you receive a warning.
General Compensation Structures 1-47
Input Values
To adjust input values for the link:
1. Save your link definition and choose the Input Values button to display the Link
Input Values window.
Use this window to:
• Enter a new default or change one entered at the element level
• Check the Costed box to maintain costing information for an input value.
• Change the maximum, minimum or both for an input value. Logically, the new
values should be within the range you defined for the element as a whole.
However the system does not enforce this.
Generating Element Links
Use the Generate Element Links process to create element links quickly. You must first
select the links for batch creation when defining them on the Element Links window.
Then, run the Generate Element Links process from the Submit Requests window to
link to the element entries created.
To generate element links:
1. Select one of the following Generate Types to determine whether you want to
process:
• All element links that are not completed and are not processing currently.
• A single element link. If you make this selection, go on to select the particular
element link that you want to create. Note that you are selecting one element
link from the range of links that are awaiting processing. You cannot change the
characteristics of the link at this point, but you can return to the Element Links
window to make changes.
2. Click OK
3. Click Submit
Running the Element Link Details Report
Use this report to check the eligibility criteria that have been defined for elements
within a classification. You can report on links for the following categories:
1-48 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
• All elements within a classification
• Either recurring or nonrecurring elements in the classification
• Just a single element
You can choose to see only standard or non-standard links, and only active or inactive
links. Further, you can choose to see links to a particular job, organization, payroll, or all
payrolls.
You run reports from the Submit Requests window.
To run the Element Link Details report:
1. In the Name field, select Element Link Details Report.
2. Enter the Parameters field to open the Parameters window.
3. Enter the effective date for which you want to see the report.
4. Select the classification of elements you want to report on. Optionally select an
element processing type (recurring or nonrecurring) or an individual element to
report on.
5. To report only on standard links, select Yes in the Standard Link field. Select No to
report only on non-standard links. Leave blank to report on all links.
6. Select a link status to report only on links that are either active or inactive as of the
report's effective date.
7. To report on links to payrolls:
• For links to one payroll only, select No in the All Payrolls field and select the
payroll in the Payroll field.
• For links to all payrolls, select Yes in the All Payrolls field and leave the Payroll
field blank.
• To see links irrespective of their payroll criteria, select No in the All Payrolls
field and leave the Payroll field blank.
8. You can also select a job or organization to report on links to these assignment
components only.
9. If you want to produce this report in Portable Document Format (PDF), select a
template.
10. Choose the Submit button.
General Compensation Structures 1-49
Defining an Element or Distribution Set
In the Element and Distribution Set window, you can select element classifications or
individual elements to define a set. There are three types of set:
• Customization set: You can use a Customization set to:
• Restrict the elements that can be entered or viewed on a configured version of
the Element Entries window
• Specify the elements to be entered for assignments using BEE in the Batch
Assignment Entry window.
• Prevent users updating entry values in the Element Entries window for a group
of elements. You select the element set in the HR:Non-Updateable Element Set
user profile option.
• Restrict the elements displayed in the Compensation Activity view in SSHR.
You select this element set in the Element Set Name user profile option.
• Run set: You can use a Run set to:
• Specify the elements that the application must process in a payroll run. This
functionality is available only for Oracle Payroll users. If you are creating a Run
set for US payroll, and you are using the Enhanced Tax Interface, you must
include the US_TAX_VERTEX recurring element (see step 4). If you have not
enabled the Enhanced Tax Interface, you must include the VERTEX recurring
element.
• Display accrual balances
• Distribution set: Oracle Payroll users can use a Distribution set to define the
elements over which the costs of other elements are to be distributed.
To define an element or distribution set:
1. Enter a unique name for the set and select the type: Distribution, Run, or
Customization.
2. Save your new set.
3. If you want to include all elements in a classification, choose the Classification Rules
button.
• In the Classification Rules window, select one or more classifications to include.
Save the set and close this window.
1-50 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
The elements in the classifications you choose are now listed in the Elements
region.
• If you want to exclude individual elements, place your cursor in the element's
row and choose the Exclude Element button.
4. If you want to include particular elements from other classifications, choose the
Include Element button.
5. Select the element you want to include in the Elements window, and choose the OK
button.
Note: After you include a particular element, you cannot go to the
Classification Rules window and include the classification to which
this element belongs.
6. Save your set.
7. If you want to see a list of the individual elements you have included or excluded
from the set, choose the Element Rules button. The Element Rules window is
view-only.
General Compensation Structures 1-51
Compensation Entry and Reporting
Compensation Entry
To record any form of compensation, benefit, or deduction liability for an employee,
you make an element entry. There are several ways to do this:
• You can use BEE (Batch Element Entry) to enter or update a batch of element entries
for many employees, using defaults for fast entry. For example, you can use BEE to
enter timecard data and to enroll employees in PTO accrual plans.
• You can enter salaries, as proposals or confirmed values, on the Salary page.
• You can enter absences or accrued time taken in the Absence Detail window or in
SSHR.
• You can enroll employees in benefit plans and select the appropriate coverage for
themselves and their dependents. There are different windows for enrolling in Flex
Programs, Non-flex Programs, Savings Plans, and Miscellaneous Plans.
Alternatively, employees can set up their own enrollments, using Self Service HR.
• You can make or update individual entries of other compensation elements for an
employee using the Element Entries window.
At your enterprise, some elements may be defined with standard links so that eligible
employees receive an entry automatically. You do not need to do anything to record
these forms of compensation for employees.
Dates for Compensation Entries
There are two types of element: recurring and nonrecurring.
Entries for recurring elements remain effective indefinitely, until you update them or
the employee ceases to be eligible for the element, for example after a change of work
assignment. You can start entries of a recurring element at any point in time. Use
DateTrack to set the effective start date of new entry or update. This maintains a
complete history of values and the dates they changed.
Entries for nonrecurring elements are one-time entries. They are effective only for the
current pay period (defined by the payroll to which an employee is assigned). To make
the entry, you set your effective date to any date in the appropriate pay period. Any
changes you make to nonrecurring entries are always corrections. There can be no
history of changes to these entries within a pay period. However, the entries for each
period (if any) are stored as history for an employee.
1-52 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Compensation Reporting
Oracle HRMS provides a range of reporting mechanisms to monitor and analyze the
compensation and benefits data in your enterprise. This topic explains the windows and
reports that Oracle HRMS provides to meet your different compensation reporting
requirements.
The View Element Entry History for Employees window enables you to view a history
of different element entries for an employee assignment.
See: Viewing Element Entry History, page 1-63
The List Employees by Element window provides you with a list of employees with
entries to an element in any period of time you choose.
See: Listing Employees by Element, page 1-62
The Salary History window gives you a complete history of approved salary changes
for an employee, along with associated performance reviews.
See: Viewing Salary History, page 2-22
Using the Salary Review Report you can check the current and past salaries for some or
all of your employees.
See: Salary Review Report, page 2-23
The Compensation Workbench reports enable you to track how you have distributed
compensation and awards to your employees using Compensation Workbench.
See: Reporting in Compensation Workbench, page 3-85
The Compensation History page in SSHR enables you to view the in-progress, current,
and historical information about compensation and ranking of your employees,
including the history for elements not linked to Compensation Workbench or
Individual Compensation Distributions.
See: Compensation History, page 3-139
Using the HR/Payroll Extracts you can extract employee and payroll data, such as the
details of earnings, deductions, and information elements for internal reporting and for
transfer to third-party providers. The extracts support both XML and ASCII formats,
you can generate postscript reports, and export a file to Excel for reporting.
See: HR/Payroll Extracts, page 1-53
Oracle HRMS also includes various Workforce Intelligence reports that help you
analyze salary and grade-related information. You can also report on absences and
analyze absence trends in your enterprise using the Workforce Intelligence reports in
this area.
General Compensation Structures 1-53
Related Topics
Reports and Processes in Oracle HRMS, Oracle HRMS Configuring, Reporting, and System
Administration Guide
Information Access Overview, Oracle HRMS Configuring, Reporting, and System
Administration Guide
HR or Payroll Extracts
The HR/Payroll Extracts feature enables you to extract employee and payroll data, such
as the details of earnings, deductions, and information elements for reporting purposes.
You can use the extract reports for internal reporting, such as listing all employees in
receipt of a bonus, or for transfer to third-party providers, such as pension providers.
For example, you can send details of new hires and terminations to a provider on a
weekly basis.
You can also make copies of the seeded extracts and modify their layout or add
different data elements to suit your reporting requirements. You can view and correct
the extracted information before writing the data to a file.
The extracts support both XML and ASCII formats, you can generate postscript reports,
and you can export a file to Excel for reporting.
Predefined System Extracts
Oracle HRMS supplies the following predefined system extract definitions:
• Global HR/Payroll Extract - (full-profile extract) extract the payroll data of your
employees. This extract contains identification and demographic information of
your employees and reports on payroll data such as earnings, deductions, and other
information elements.
• Global HR/Payroll Information Changes (Single Record) - (extract for changes)
report on changes to employee personal and plan details, such as the name change
of an employee. You can also report on new hires and terminated employees using
this extract. This extract does not include payroll data. It includes only employees
whose records have changed, and you can configure which changes trigger the
extract. It displays all the changes for each employee as part of a single record, in
the same row.
You can either use the predefined extracts or make copies of them and modify the
copies to suit your reporting requirements.
The extracts include the assignment details of both the primary and secondary
employee assignments.
Mexico Users: For reporting voluntary contributions to SUA, the Mexico HR/Payroll
Outbound Interface uses the Global HR/Payroll Extract only as a template. Users must
1-54 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
make legislative changes to this extract definition before they can perform these
operations. Refer to the "Oracle HRMS for Mexico - Payroll System Extract for SUA -
Voluntary Contributions" whitepaper (My Oracle Support ID #336495.1).
US Users: You can also use the following predefined US HR/Payroll extracts. To use
these extracts you must create your elements using the Deduction window.
• US HR/Payroll Extract.
• US HR/Payroll Information Changes (Single Record). This extract displays all the
changes for each employee as a single record.
• US HR/Payroll Information Changes (Multi-Record). This extract displays each
change for each employee as a separate record.
When you are extracting pensions data, the US extracts the US extracts automatically
extract data for the additional elements for pension plans, such as Catch-up, After-tax,
and ER Match apart from the primary earnings and deduction elements.
Apart from the above generic US extracts you can also use the following preconfigured
US extracts to report specifically on Pre-tax EE, Catch-Up, ER Match, Loan Re-Payment
and deferred compensations:
• US HR/Payroll Pension EE Contribution
• US HR/Payroll Pension EE Def. Comp Pre-Tax Contribution
• US HR/Payroll Pension CatchUp
• US HR/Payroll Pension ER Match
• US HR/Payroll Loan Re-Payment
The following list shows the data elements typically used in the extract reports:
Employee Data Extracted from
National Identifier Social Security/National Identifier field on the
People window
Name (First Name, Last Name, Middle Name,
Prefix, and Suffix)
Last, First, Middle, Prefix and Suffix, fields in
the Name region of the People window
Address (Line 1 - 3, Region 1-3, Town or City,
Post Code, Country)
Primary address fields
Date of Birth Birth Date field on the People window
General Compensation Structures 1-55
Employee Data Extracted from
Recent Hire Date Latest Start Date field on the People window
Termination Date Actual termination-date field on the
Termination window
Marital Status Status field on the People window
Sex Gender field on the People window
Normal Hours Working Hours field of the Assignment
window
Employment Category Assignment Category field on the Assignment
window
Employment Status Status field on the Assignment window
Projected Compensation Person base salary
Actual Salary Balance of the regular salary element
Payroll Date Date of the payroll run
Employee Number Person employee number
Plan Contr Run result value of the of the pre-tax
deduction element
Pay Value Run result value of the selected element
Payroll Frequency Person payroll period type
Sample Balance Value Value of the balance specified in the formula
Sample Element Entry Value Run result value of the payroll element
specified in the formula
Typical data elements used in the header and footer regions of the extract reports are:
1-56 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Header
Creation Date
Payroll Date
Pay Cycle or Payroll Frequency
Group ID
The parameters you specify when running the extract process
Total Participant Records
You can change the header and footer information to suit your reporting needs.
Use the Global Pension Change Events Extract to report on changes in:
• Employee name
• Employee address
• Employee status
• Employee category
• Employee movements (new hires and terminations)
Note: The Global HR/Payroll Information Changes report displays all
the data elements that the predefined extract contains, not just the
elements for which you are reporting a change. To include only those
data elements for which you are reporting a change, make a copy of the
seeded extract and modify the layout accordingly.
Some of the elements have attached formulas. You can make copies of the extracts and
modify these formulas to extract the appropriate data. The following table lists those
data elements, the extracted values for those data elements and the attached formulas.
Data Element Fetched Value Formula to Edit
Sample Element Entry Value The value of any payroll
element's input value
PAY_GLOBAL_PEXT_GET_E
LE_ENTRY_VALUE
General Compensation Structures 1-57
Data Element Fetched Value Formula to Edit
Sample Balance Value The value of any balance
specified in the formula
PAY_GLOBAL_PEXT_GET_B
ALANCE_VALUE
US Users: If you are using the US extracts, you can update the following formulas to
extract the balance or input values you want to extract:
• PAY_US_PEXT_GET_ELE_ETRY_VALUE
• PAY_US_PEXT_GET_BALANCE_VALUE
Related Topics
Configuring the HR/Payroll Extracts, page 1-63
Running the HR/Payroll Extracts, page 1-66
Making Manual Element Entries
You enter compensation and basic benefits for employee assignments in the Element
Entries window. If employees are assigned to a salary basis, you enter their salaries in
the Salary page.
You can use the Element Entries window to make entries or to query existing entries.
Use the Period field, Classification field, and Processing Types option buttons to restrict
the entries you see when making inquiries.
Several Oracle HRMS features, such as Absence Management, RetroPay, and Salary
Administration, create element entries automatically. You cannot update these element
entries on the Element Entries window. You must update the source record (such as the
absence or salary record) to change the element entry.
The Processed check box shows if Oracle Payroll has processed the entry in the current
pay period. Notice that you can change an entry that has been processed. This enables
you to correct entries for retropay processing. Changing the entry does not alter the
payroll run results so you can consult these for a complete record of payroll processing
and payments.
See: Setting Up RetroPay, Oracle HRMS Payroll Processing Management Guide
Note: Your system administrator might have restricted the elements
you can enter in this window by element set, classification or
processing type.
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To enter an element for an employee assignment:
1. If necessary, change your effective date to:
• The correct start date for a recurring element entry
• Any date in the correct pay period for a nonrecurring element entry
If the pay period is closed at your effective date, you cannot enter any nonrecurring
elements that process in payroll runs. If a current or future pay period is closed, you
cannot enter any recurring elements that process in payroll runs.
2. To reduce the list of elements to choose from, select a classification, a processing
type, or both in the first region.
3. In the Element Name field, select an element.
Note: Elements this employee is eligible for by means of a standard
link appear automatically.
The system displays a warning message if the employee fails to meet any qualifying
conditions of age or length of service.
4. If the Costing field is enterable, you can enter cost codes, for example to indicate the
cost center the employee's time should be charged to.
5. You can select a reason for an element entry you make or update. As part of your
system setup, you can enter valid reasons for the Lookup Type
ELE_ENTRY_REASON.
6. You can check the Override check box to create an entry that overrides all other
entries of this element in the current period. You cannot create an override entry if
one already exists, or if any of the entries of this element have been adjusted.
7. If you want to create a one-time entry of a recurring element, check the Additional
check box.
An Additional entry is valid only for the current pay period, shown in the Effective
Dates fields.
You can only check Additional if:
• The element definition allows additional entries, and
• An additional entry does not already exist for the assignment in this period,
and
• The employee is assigned to a payroll
General Compensation Structures 1-59
• There is a payroll period defined at your effective date
8. Choose the Entry Values button to open the Entry Values window.
9. Enter values in the Entry Values fields. Notice that:
• Entry to some fields may not be permitted.
• Some fields may be required.
• Some fields may have a list of values; others may be validated as you leave the
field. You will receive a message if your entry is not a valid value.
• Some fields may contain default values. If the default value is in quotation
marks, it is a "hot default".
Important: You should consider carefully before overriding a
hot default. If you override it, then any subsequent changes to
the default value on the element or element link definition will
notaffect the element entry. However, you can clear your entry
if you want the default value to come back into effect.
For Kuwait users only: To enter information about the elements with deduction
classification, click on Further Entry Information and enter the following:
• Reference number, which is the sequence number used while setting up the
deduction type
• Authority for the deduction account
• Select the type of deduction
• Total deduction amount for the element
• Start and end date for the deduction. The deduction process depends on the
start and end dates that you select for the element. Oracle HRMS uses these
dates for reporting purpose.
10. For a non-recurring element, optionally select a date within the current payroll
period in the Date Earned field. The entry will not be processed until this date (that
is, the Date Earned of the Payroll Run must be on or after this date).
11. To enter information about a third party recipient of a payment resulting from a
deduction element, use the Payee Details field. Select the name of the third party
payment method set up for this payment.
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12. To determine the processing sequence of multiple entries in the payroll run, enter a
subpriority number in the Processing Priority field. Lower priority numbers process
first.
Note: The Processing Priority field is not available to HR-only
users. For more information on user types and the HR:User Type
profile option, see: User Profiles, Oracle HRMS Configuring,
Reporting, and System Administration Guide.
13. Save your work.
Adjusting a Pay Value
Oracle Payroll users can adjust the Pay Value of any normal recurring payroll element
entry. When you open the Entry Values window for an entry of this kind, you will see a
Show Adjustment check box in the lower left corner of the window. You do not see this
check box until you have saved the entry.
You can adjust a Pay Value by adding an amount to the initial value, subtracting an
amount from the initial value, or replacing the initial value with a specified amount.
You can also remove an adjustment and return the Pay Value to the initial value.
The following conditions apply to adjusting a Pay Value:
• You cannot adjust an entry that has been overridden (that is, the Override check
box has been checked for an entry of this element in this period).
• You can make multiple changes to the adjustment before processing but only the
single most recent change to the adjustment will be processed.
• You will not overwrite the Pay Value stored in your database. The Pay Value will
still be used in subsequent payroll runs. The adjustment is used in the next
processing run.
Important: Do not use this method of adjustment if the element's
formula performs essential processing, such as checking limits or
iterative processing for a pre-tax deduction. If you select the Replace
option, the element's formula is ignored in the payroll run. If you select
the Add or Subtract options, the amount you specify is added or
subtracted after the formula processing is complete, without regard for
any limits set by the formula. US users: Instead, you can replace the
Pay Value using the Special Inputs element.
General Compensation Structures 1-61
To adjust a Pay Value:
1. Query the element entry in the Element Entries window and choose the Entry
Values button.
2. Check the Show Adjustment check box.
In the Adjustment pop-up list, you will see a description of the current adjustment.
• None means that there are no adjustments to the Pay Value.
• Add means that the adjustment shown has been added to the Pay Value.
• Subtract means that the adjustment shown has been subtracted from the Pay
Value.
• Replace means that the adjustment shown has replaced the Pay Value.
3. To cancel an existing adjustment, select None. Now you can enter a new
adjustment, if necessary.
4. To enter a new adjustment, select Add, Subtract or Replace. You can only select
Add or Subtract if the Pay Value is numeric.
5. Enter the value to add to, subtract from, or replace the existing Pay Value entry.
6. Save the change.
Deleting Element Entries
You can delete element entries in the Element Entries window.
To delete a nonrecurring element entry:
1. Set your effective date to any date within the payroll period for which the entry
exists.
2. Click on the entry to select it, choose Delete Record, and save.
To delete a recurring element entry:
1. Set your effective date to any date within the payroll period for which the entry
exists.
2. Click on the entry to select it and choose Delete Record.
3. Choose Purge in the dialog box that displays, and save.
1-62 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Note: Your ability to purge element entries is controlled by the user
profile option HR: Purge Element Entry Permission, which is set by
your system administrator. You may be able to purge all element
entries, entries of information elements only, or none.
Deleting Processed Entries
You can delete an element entry that the payroll run has processed. You receive a
warning message. This does not remove the payroll run results so you can consult these
for a complete record of payroll processing and payments.
To reprocess corrected element entries from the past, run the retropay processes.
See: Setting Up RetroPay, Oracle HRMS Payroll Processing Management Guide.
Listing Employees by Element
In the List Employees by Element window, you can view a list of the employees with
entries to an element in any period of time you choose. You can also see the last entry
value (in that time period) for each assignment.
Note: If your system administrator has customized this window, you
may be restricted to selecting elements of a certain processing type or
element set.
To view a list of employees receiving an element:
1. Select an element.
2. Select Current Employees, Ex-employees, or both.
3. You can also enter a date range. Both date fields default to your effective date.
4. Choose the Find button.
5. You can enter additional query criteria in the Element Entries region. For example,
click in an Entry Value field, choose View > Query by Example > Enter, enter a
value, and run the query.
The Element Entries region displays all entries of the element for employees of the
type you selected in the chosen time period.
Note: This window does not display datetracked updates to
recurring element entries. You only see the latest value (within your
chosen time period) of each element entry. The date of the last
General Compensation Structures 1-63
datetracked update may vary from employee to employee. The
Start and End Date fields in the Element Entrues region show the
dates of the last update.
Viewing Element Entry History
In the View Element Entry History for Employee window you can view, for a single
employee assignment, a history of entries for:
• One element
• All recurring elements, all nonrecurring elements, or both
• Elements from a selected classification
Note: If your system administrator has customized this window, you
may be restricted to viewing elements of a certain processing type or
element set.
To view element entry history for an employee:
1. Enter your selection criteria. You can:
• Select a classification.
• Select a processing type.
• Enter a date range. The end date defaults to your effective date.
2. Place your cursor in the Element Name field and run the query.
The window displays all entries of the types of element you selected within the time
period, including datetracked updates to entries. New entries are shown in bold to
contrast with datetracked updates, which are listed under the initial entry.
3. Select an entry and choose the Entry Values button to view the entry values.
Configuring the HR or Payroll Extracts
Oracle HRMS supplies the following seeded HR/Payroll extract definitions:
• Global HR/Payroll Extract
• Global HR/Payroll Information Changes (Single Record)
1-64 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Mexico Users: For configuration instructions, refer to the "Oracle HRMS for Mexico -
Payroll System Extract for SUA - Voluntary Contributions" whitepaper (My Oracle
Support ID #336495.1).
US Users: You can also use the following predefined US HR/Payroll extracts:
• US HR/Payroll Extract
• US HR/Payroll Information Changes (Single Record)
• US HR/Payroll Information Changes (Multi-Record)
• US HR/Payroll Loan Re-Payment
• US HR/Payroll Pension CatchUp
• US HR/Payroll Pension EE Contribution
• US HR/Payroll Pension EE Def. Comp Pre-Tax Contribution
• US HR/Payroll Pension ER Match
To configure the extracts for your own reporting needs, copy and modify them as
follows.
1. Use the copy function within the system extract to copy the predefined extract you
want to modify. In the extract Definition window, query the seeded extract
definition, enter a prefix in the New Extract Prefix field, and choose the Copy
Extract button.
2. Edit the copies of the following sample formulas to perform the processing you
require:
Data Element Fetched Value Formula to Edit
Sample Element Entry Value The run result value of any
payroll element's input
value
PAY_GLOBAL_PEXT_GET_
ELE_ETRY_VALUE
Sample Balance Value The value of any balance
specified in the formula
PAY_GLOBAL_PEXT_GET_
BALANCE_VALUE
US Users: If you are using the US extracts, update the following formulas to extract
the balance or input values you want to extract:
• PAY_US_PEXT_GET_ELE_ETRY_VALUE
General Compensation Structures 1-65
• PAY_US_PEXT_GET_BALANCE_VALUE
3. Modify the extract layout definition to change the data elements that the extracts
include and the format of the extract definitions.
See: Defining an Extract Layout, Oracle HRMS Configuring, Reporting, and System
Administration Guide
4. Modify the extract criteria profile to change the extract criteria. The extract criteria
you select determine the data that the application extracts to your reports.
See: Defining an Extract Criteria Profile, Oracle HRMS Configuring, Reporting, and
System Administration Guide
To define the extract criteria profile for the extract for changes, you must enable the
change events in the Application Utilities Lookups window. Query the Lookup
type BEN_EXT_CHG_EVT and select Enabled for the change event.
5. Create the extract definition to set the parameters for the extract.
Your extract definition includes an extract criteria profile and an extract layout
definition that you have already defined. It also includes other parameters needed
for the extract batch process, such as the output directory and file name of the
extract file.
See: Defining a System Extract, Oracle HRMS Configuring, Reporting, and System
Administration Guide
6. If you have more than one element to report on, create an element set and specify
the set name as one of the parameters of the extract process. For example, if you
want to report on several pension plans together, create an element set.
See: Defining an Element or Distribution Set, page 1-49.
Note: US Users: If you are configuring the US extracts for a pension
plan, include only the primary pension elements in the element set.
Do not include other pension elements such as Catchup, After-Tax,
or ER Match. You can include in the element set only those
elements that you created using the Deduction window. The
elements you include in the set must be of the same type. You
cannot combine 401k, 403b, and 457 elements in the same set.
7. The Global Extracts concurrent programs are currently available for US and UK
responsibilities only. To allow other users to run these programs from the Submit
Request window, add the relevant programs to the request group for their
responsibility.
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Running the HR or Payroll Extracts
Using the HR/Payroll extracts you can extract employee and payroll data, such as the
details of earnings, deductions, and information elements for reporting purposes.
Use the Submit Request window to run the HR/Payroll extract you require.
To run the Extracts:
Mexico Users: To run the extracts, refer to the "Oracle HRMS for Mexico - Payroll
System Extract for SUA - Voluntary Contributions" whitepaper (My Oracle Support ID
#336495.1).
1. Select Global HR/Payroll Outbound Interfaces in the Name field.
US Users: To run a US HR/Payroll extract select US HR/Payroll Outbound
Interfaces.
2. Click in the Parameters field to open the Parameters window.
3. Select the extract you require. You can choose from the following predefined
extracts or from the copies of the extracts you have modified.
• Global HR/Payroll Extract (full-profile extract)
• Global HR/Payroll Information Changes (Single Record)
US Users: To run a US HR/Payroll extract, choose from the following predefined
extracts or from the copies of the extracts you have modified:
• US HR/Payroll Extract
• US HR/Payroll Information Changes (Multi-Record)
• US HR/Payroll Information Changes (Single Record)
• US HR/Payroll Loan Re-Payment
• US HR/Payroll Pension CatchUp
• US HR/Payroll Pension EE Contribution
• US HR/Payroll Pension EE Def. Comp Pre-Tax Contribution
• US HR/Payroll Pension ER Match
4. Select the appropriate reporting options.
The reporting options available for the full-profile extract are:
General Compensation Structures 1-67
• Details - provides details of each assignment action for an assignment
• Summary - provides a summary of all assignment actions for an assignment for
a given period
The reporting options for the extract for changes are:
• All Employees - provides details of all employees in the organization
• Employees Enrolled in Plan - provides details of only those employees who are
enrolled in a specific plan
5. In the Selection Criteria field, select either Element Name or Element Set.
6. Do one of the following:
• Select the element name.
Note: US Users: If you are running US extracts, this should be
one of the primary deduction elements you would have created
for the 401(k), 403(b), and 457 plans.
• Select the element set name.
7. Enter the dates for which you want to generate the report.
8. Select a value for one or more of the following parameters to restrict the employees
included in the extract:
• Payroll
• Consolidation Set
• Organization
• Person Type
• Location
9. Click OK then Submit.
10. View the output in the Extracts Results window.
11. View the change events that have occurred to a person or modify the change event
log using the Change Event Log window.
12. Run the Extract Write Process to write the results of the extract to the file you
1-68 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
specified in your extract definition.
General Compensation Structures 1-69
Compensation Objects
Plan Design
Your plan design defines, categorizes, and helps you to manage the benefits that you
offer to your employees and other eligible participants. The plan design is the domain
of the benefits practitioner who uses the product to define the structure and elements of
the benefits offering and the rules that administer these benefits.
At its core, the plan design determines the benefits that eligible participants may
receive. Examples of such benefits include health and welfare plans, savings plans, and
group term life insurance.
You structure your benefits offerings according to a hierarchy so that the rules and
definitions that are set at the top level (the program) cascade to the benefits at the
bottom level (the options in the program).
Your plan design also includes eligibility definitions and enrollment requirements, and
the activity rates calculations that determine the contributions and distributions
associated with a plan.
Compensation Objects
Central to benefits administration are the compensation objects that you use to define,
categorize, and manage the benefits that you offer to eligible participants. The four
compensation object types that you use to structure your benefits offerings are
programs, plan types, plans, and options.
Defining compensation objects is a key part of your overall plan design that includes
defining eligibility and enrollment requirements, plan year periods, activity rates, and
other elements of benefits management.
• The hierarchical structure of compensation objects
• Viewing a program structure that you have defined
Hierarchical Structure of Compensation Objects
Compensation objects are designed hierarchically so benefits that share similar features
can be defined in similar ways. You build this hierarchical structure by defining
attributes of the different compensation objects and then linking the components into a
hierarchy.
Compensation Object Hierarchy
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A description of the four compensation objects follows:
Program: A package of benefits offerings. Programs are important because they set the
boundaries for the benefits you offer. You define many administrative procedures and
rules at the program level.
Plan Type: A grouping of similar benefits offerings to facilitate their management.
Example plan types include medical, dental, employee group life insurance, and
savings.
Plan: A formally defined benefits offering that a participant can elect, such as a medical
plan.
Option: A level of coverage for a participant's election, such as Employee Only for a
medical plan, or 2x Salary for a life insurance plan.
Attributes set at the program level are inherited by each level of the compensation
object hierarchy. However, if these same attributes are set at a lower level in the
hierarchy, the compensation object inherits those attributes set at the lowest level at or
above its level. A compensation object never inherits attributes set at a lower level in the
compensation object hierarchy.
General Compensation Structures 1-71
Program Structure Terminology
Before you set up a benefits program, you should familiarize yourself with fundamental
terms that refer to associations between the four compensation objects. Whether or not
you choose to link compensation objects together depends on your eligibility rules and
the breadth of benefits that you offer to your participants. The table below outlines the
programme structure terminology:
Programme Structure Terminology
Terminology Description
Program Any program, regardless of whether that program has been
associated with any other compensation objects.
Plan Type Any plan type, regardless of whether that plan type has been
associated with a program.
Plan Type in Program A plan type that has been associated with a program.
Plan Any plan, regardless of whether that plan has been associated with
a program.
Plan in Program A plan that has been associated with a program.
Not in Program Plan A plan that has not been associated with a program.
Option Any option, regardless of whether that option has been associated
with a plan.
Option in Plan An option that has been associated with a plan.
Compensation Object Definition
You define your compensation objects in the order below. As you define objects in the
hierarchy, you associate objects together to form your program structure.
1. Define plan types.
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2. Define options.
3. Associate options with plan types.
4. Define plans.
5. Associate options with plans.
6. Associate plans with plan types.
7. Identify which plans are not part of a program.
8. Define programs.
9. Associate plans and plan types with programs.
For example, let's say you want to define the medical plans offered by a benefits
program you are administering. You first define the plan type of medical. Then, you
define the coverage options available for the medical plan type, such as Family and
Employee only.
Next, you define the medical plans in the plan type, such as an HMO or a PPO offering.
Lastly, you associate the plans or plan type with a program that groups together a
variety of plans and plan types into a single benefits offering.
Plan Types
You define plan types as categories of benefits grouped according to the type of benefit
provided. Common plan types include medical, employee group life insurance, and
savings.
Plan types are used to record administrative rules for all benefits of the same type.
When you define a program that groups plans together, you specify parameters that
control how plans of the same plan type behave.
Plan types are the most stable of the four compensation objects. Once you define the
plan types that you need to support your benefits offerings, you rarely need to modify
them.
Options
You can define options for many purposes, but commonly you do so to define coverage
available under one or more plans.
Options are re-usable. Once defined, you can associate an option with one or more
plans. When you associate an option type with a plan type, you make options of that
type available for selection to all plans in that plan type.
For example, you could define the options Employee Only, Employee Plus Spouse, and
Employee Plus Family and then associate each option with the plan types of Medical,
Dental, and Vision.
General Compensation Structures 1-73
Designation Requirements for Options
Some benefits plans require that dependents and beneficiaries covered by an option are
a specific familial relation to the primary participant. You can limit the relationship
types covered under an option by defining a relationship group that includes specific
types of people. Group relationship types include:
• Children
• Domestic partner
• Family
• Nonpersonal
Within a group relationship, you define which relationship types apply to the group.
For the group relationship of Children, you might include the relationship types:
• Adopted child
• Natural child
• Step child
You can also limit the number of dependents covered by an option. A designee that
does not meet the designation requirements for an option is not eligible for coverage
under that option.
Plans
You define a plan as a formal benefits offering. Your organization may define medical,
dental, and savings plans among many others.
Your plan definition consists of:
• The kind of plan you are defining and its plan type
• The eligibility profile that controls who is eligible for the plan
• The plan's activity reference period
• The options in the plan
• The plan year
In addition to these definitions, there are a variety of other factors that you include
when defining a plan. However, these are some of the most common.
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Programs
You define programs in order to group benefits together as a package. Your program
definition consists of:
• The plan types and plans in the program
• The eligibility profile that controls who is eligible for the program
• The program year period
• For Advanced Benefits customers, the life events that enable enrollment in the
program
Programs are important because they set the boundaries for what benefits are offered to
your employees and other eligible participants. Also, it is at the program level that you
define many administrative procedures and rules, such as eligibility requirements that
cascade to the plan types, plans, and options in the program.
You define currency types at the program level. A plan in program must inherit the
program's currency definition. You cannot associate a plan with more than one
program if those programs use different currency types.
For Advanced Benefits users, you can specify the valid reasons for waiving out of
waivable plan types in a program. You can then define the waive certification that you
accept for each valid waive reason.
Program Structure Display
You use the Hierarchy window to display the program structure that you have created.
The program structure shows how plan types, plans and options are grouped
hierarchically in your program.
You can display four views of a program's structure. Each view displays data by
program year or plan year and by effective date.
Plans in Programs: Displays all programs, and under each program, its plan types, the
plans in each of these plan types, and the options in each of these plans. This is the most
comprehensive view.
All Plans: Displays all plan types, the plans in each of these plan types, and the options
in each of these plans.
Plans Not In Programs: Displays those plans types that contain the not in program
plans, the not in program plans in each of these plan types, and the options in these not
in program plans.
Options In Plans: Displays all active options, the plans that use these options, and the
programs that use these plans.
General Compensation Structures 1-75
Program and Plan Year Periods
You define program and plan year periods--as well as fiscal years--using the calendar
start and end dates through which programs or plans are in effect.
Once you define a year period, you associate it with the appropriate program or plan.
Integration with Authoria HR (US and UK)
You can establish context-sensitive information access between Oracle HRMS and the
third party information product Authoria HR.
Authoria HR uses a common knowledge repository to manage and communicate HR
and benefits information. Once you set up a total compensation plan, you can configure
links between Oracle HRMS and Authoria HR. End users can click on links in Total
Compensation windows and self-service pages to display context-sensitive Authoria
HR documentation.
You can configure the following windows in the Professional User Interface for
Authoria HR:
• View Enrollment Results window
• View Participation Information window
• Flex Program window
• Non-Flex Program window
• Savings Plan window
• Miscellaneous Plan window
• Person Life Events window
You can configure the following self-service pages for Authoria HR:
• Benefits Enrollment Overview page
• Current Benefits page
• Confirmation page
• Benefits Selection page
See Configuring Links Between Oracle Standard and Advanced Benefits and Authoria
HR, Oracle HRMS Configuring, Reporting, and System Administration Guide
1-76 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Reimbursable Goods and Service Types
In addition to traditional benefits offerings, such as health and welfare and savings
plans, you can define goods and services that your organization approves for
reimbursement.
You can use this feature to define flexible spending account plans or to define other
reimbursable goods and services, such as a medical insurance claim form, a monthly
invoice from a registered dependent care provider, a cash award, or a wall plaque.
Reimbursement Plans
Flexible Spending Accounts (FSAs) and other plans that reimburse participants for
certain incurred expenses have special plan design features. You define information
that is specific to reimbursement plans after you perform basic plan set up tasks, such as
defining a plan's eligibility requirements.
Note: When you set up the coverage for a flexible spending account,
select a coverage calculation method of Same As Annualized Elected
Activity Rate so that the participant receives the amount of coverage
they elected for the year.
Plan Design Copy
Plan Design Copy enables you to copy program and plan design data that you have
already entered into an Oracle HRMS database. The copy process creates a new instance
of the compensation object and its associated child records.
Note: The Copy Process does not copy person related records, only
plan design data.
You can use Plan Design Copy to save time during your implementation by avoiding
repetitive data entry where plan design components are similar or identical. For
example, you can copy a base plan, then makes changes to the new plan with the
applications windows you used to create the base plan.
Plan Design Copy is available to all Oracle HRMS customers and does not require a
license for Self-Service or Advanced Benefits. You can use Plan Copy for any plans that
you administer using the Total Compensation data model, including:
• Standard and Advanced Benefits Programs and Plans
• Compensation Workbench Plans
• Individual Compensation Distributions Plans
General Compensation Structures 1-77
• Absence Plans
When you copy a program or plan, the copy process copies the compensation object
and plan design data associated with the object stored in benefits tables. For example, if
you copy a program, the copy process also copies:
• Plan types in program
• Plans in program
• Options in plan
• Participant and dependent eligibility profiles
• Enrollment requirements
• Life events
• Standard and variable rate calculations
• Coverage and premium calculations
• Flex Credit calculations and benefit pools (Advanced Benefits)
• FastFormulas (however, the process does not verify the formula or copy any
functions called by the formula)
For a list of items that the copy process does not copy, see: Exceptions to the Copy
Process, page 1-80
Copy Target
You can copy a compensation object and its child records to the same business group or
to a different business group.
You can also export a program or one or more plans into a flat file. Exporting a
compensation object is useful if you want to transfer a plan design between database
instances, for example, between a test and a production database. You export a plan
design by selecting Export to File on the Select Target page.
You import the file into the database through a concurrent request and then complete
the transaction using Plan Design Copy.
See: Importing a Plan Design From a File, page 1-123
Reuse of Existing Child Objects
Child objects are components of a plan design that you attach to a higher level object,
such as a plan in a program or an activity rate attached to an option.
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You can reuse child objects that exist in your target business group. For example, you
may want to reuse a plan that is shared between two programs rather than maintaining
two versions of the same plan.
You can choose how the copy process functions when duplicate objects exist in the
target database. You can:
• Reuse existing objects if objects with the current namein the source business group
exist in the target business group.
• Reuse existing objects if objects with thenew nameformed by adding a prefix or
suffix to the current name exist in the target business group.
• Create new objects without reusing duplicate objects.
Application of these rules--along with certain exceptions required by the Total
Compensation data model--are documented below.
Copy Within a Business Group
When you copy a plan design within a business group, a prefix or suffix is mandatory.
Top level objects that you copy (such as a program or plan not in program) must be
unique within the business group.
If you reuse objects with the current name in the business group, the copy process:
• Creates top level objects with a new name based on the prefix or suffix you supply.
• Generates an error if top level objects exist with the new name based on the prefix
or suffix you supply.
• Reuses child objects with the current name or, if no objects are found, creates child
objects with the current name.
• Creates activity rate objects with the new name.
If you reuse objects when the new name exists in the business group, the copy process:
• Creates top level objects with the new name.
• Generates an error if top level objects exist with the new name.
• Reuses child objects with the new name or, if no objects are found, creates child
objects with the new name.
• Reuses life event reasons and FastFormulas with the new name. If the process does
not find an object with the new name, it reuses an object with the current name. If it
does not find an object with the current name, it creates an object with the new
name.
General Compensation Structures 1-79
If you do not reuse existing objects, the copy process:
• Creates top level and child objects with the new name.
• Generates an error if top level or child objects exist with the new name.
• Reuses life event reasons and FastFormulas with the current name, or, if no objects
are found, creates objects with the new name.
Copy to a Different Business Group
When you copy a plan design to a different business group, a prefix or suffix is optional
.
If you reuse objects with the current name in the different business group, and you do
not enter the optional prefix or suffix, the copy process:
• Creates top level objects with the current name.
• Generates an error if top level objects exist with the current name.
• Reuses child objects with the current name or, if no objects are found, creates child
objects with the current name.
Note: If the copy process finds a child record with a different name, but
the same sequence number (such as for eligibility profiles or options in
plan), the process generates an error.
If you reuse objects with the current name in the different business group, and you
enter a prefix or suffix, the copy process:
• Creates top level objects with the new name.
• Generates an error if top level objects exist with the new name.
• Reuses child objects with the new name or, if no objects are found, creates child
objects with the new name.
• Creates activity rates with the current name if rates with the current name are not
found. If rates with the current name are found, the process creates rates with the
new name. If the process finds existing rates with the new name, the process
generates an error since activity rate names must be unique.
• Reuses life event reasons and FastFormulas with the current name or creates objects
with the new name.
If you reuse objects when the new name exists in the different business group, the copy
process:
1-80 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
• Creates top level objects with the new name.
• Generates an error if top level objects exist with the new name.
• Reuses child objects with the new name or, if no objects are found, creates child
objects with the new name.
• Reuses life event reasons and FastFormulas with the new name. If the process does
not find an object with the new name, it reuses an object with the current name. If it
does not find an object with the current name, it creates an object with the new
name.
If you do not reuse existing objects in the different business group, and you do not
enter the optional prefix or suffix, the copy process:
• Creates top level and child objects with the current name.
• Generates an error if top level or child objects exist with the current name.
• Reuses life event reasons and FastFormulas with the current name, or else creates
objects with the current name.
If you do not reuse existing objects in the different business group, and you enter a
prefix or suffix, the copy process:
• Creates top level and child objects with the new name.
• Generates an error if top level or child objects exist with the new name.
• Reuses life event reasons and FastFormulas with the new name. If the process does
not find an object with the new name, it reuses an object with the current name. If it
does not find an object with the current name, it creates an object with the new
name.
Exceptions to the Copy Process
The copy process does not copy:
• Non-benefits data, such as HR and Payroll data referenced by your plan design.
You must map this data to targets in the new business group as part of the copy
process.
• Regulations
• Person changes and related person changes for life event reasons. The process
copies the top level of your life event reason definition, but you must reselect the
table and column names that define the data change.
General Compensation Structures 1-81
• Eligibility and variable rate criteria based on enrollment in another plan, the People
Group flexfield, or status as a COBRA Qualified Beneficiary (US).
• Functions called by FastFormulas you have written. Nor does the process verify the
formula. The copy process does, however, copy the formula and its associated code.
Note: If a Lookup Type used in your plan design changes from
Extensible to System (due to an application upgrade), and you have
added new codes to the Lookup Type, the process will not copy the
plan design. In this case, you must remove any codes you have added
to the Lookup Type before you can copy the plan design.
Activity Rates and Combination Plans
Because you link activity rates to compensation objects, activity rates must be unique to
the compensation object. Therefore, whenever possible, the activity rate is copied with
the prefix or suffix that you supply. Activity rates include:
• Standard rates
• Flex credits
• Benefit pools
• Coverage calculations
• Actual Premiums
Combinations always include a program (plans in program, plan types in program, or
options in program) thus the program must have a unique name.
Special Requirements for Plan Design
Certain types of plans have special requirements that you should know about before
you begin to record your plan design in the system. These special plans include flex
credit plans, flexible spending accounts, life insurance plans, and imputed income
plans.
Flex Credits Plans (Advanced Benefits)
If you are offering a flex credit plan, you must set up a flex credits program, even if
there is only one plan for which you offer flex credits.
Flexible Spending Account Plans (Advanced Benefits)
If you want to identify reimbursable goods and services for FSAs, you must set up these
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accounts as separate plans, rather than as separate options within an FSA plan. You
cannot associate goods and services at the option level. Examples of FSAs include US
health care and dependent care plans.
Imputed Income Plans (US)
When you administer a plan that is subject to imputed income there are certain
requirements that you need to follow during your plan design.
You must create two plans, one that is subject to imputed income and a second plan,
called a placeholder plan, that you use to record the imputed income calculation. You can
have only one placeholder plan per program, or a placeholder plan can be linked to
multiple programs.
• Select the person type that is Subject to Imputed Income in the General tabbed
region of the Plans window. Choose participant, spouse, or dependent based on the
person type covered by this plan.
• Select the person type for which you are recording imputed income in the
placeholder plan using the Imputed Income Type field in the Restrictions tabbed
region of the Plans window.
• Select an Age to Use code in the Age tabbed region of the Derived Factors window
based on the person type covered by the plan when you define the derived factor.
• You can define only one imputed income plan in a program.
• You can associate an imputed income plan with more than one program.
• You cannot link an eligibility profile to the imputed income placeholder plan.
Note: By default, the imputed income calculation assumes that the
employer pays 100% of the benefit, and the benefits system does not
subtract employee contributions from the calculation. However, you
can set the BEN:Imputed Income Post Tax Deduction profile to Y so
that the imputed income process deducts the sum of all standard rates
defined as Subject to Imputed Income with a Tax Type of After Tax and
an Activity Type of either Employee Payroll Contribution, Employee
Individual Contribution, or Employee Plan Contribution.
Life Insurance Plans
If you offer dependent and spousal life insurance, and you limit the level of dependent
or spousal coverage as a percentage of the employee's life insurance coverage, system
processing requires that you set up three plans (Employee Life Insurance, Spousal Life
Insurance, and Dependent Life Insurance) and associate them with corresponding plan
General Compensation Structures 1-83
types (Employee Life Insurance, Spousal Life Insurance, and Dependent Life
Insurance).
Considerations for Associating a Plan with a Program
When you define a benefits plan, it is not necessary that the plan be placed in a
program. However, there are advantages to associating a plan with a program. In
general, a plan belongs in a program when:
• Participants typically enroll in the plan at the same time they enroll in other plans in
the program.
• Participation eligibility requirements defined for the program also apply to the
plan.
In general, a plan does not belong in a program (termed a "not in program plan") when:
• Participants typically enroll in the plan at a different time than other plans in the
program.
• Participation eligibility requirements defined for the program differ substantially
from those defined for the plan.
• The benefits the plan provides differ substantially from the benefits provided by
other plans in the program.
Currency Definition for Multinational Organizations
You define currency types at the program level. A plan in program must inherit the
program's currency definition. You cannot associate a plan with more than one
program if those programs use different currency types.
For example, let's say your organization defines two programs, a US Benefits Program
and a Canadian Benefits Program. You must define different currency types for these
two programs.
Accordingly, you must define two employee stock purchase plans: the US Employee
Stock Purchase Plan and the Canadian Employee Stock Purchase Plan to accommodate
the different currency types of the programs with which they are associated.
Reporting Groups
A reporting group is a collection of programs and plans that you group together for
reporting purposes, such as for administrative use or to meet regulatory requirements.
At the plan level, you can define the regulatory bodies and regulations that govern a
reporting group.
For each regulatory body that you link to a plan, you can define how the regulatory
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body governs that plan. You can also record the date the plan was qualified by the
regulatory body and the approved termination date if the regulatory body does not
recognize a plan's qualifications after a certain date. An approved termination date is
typically defined when a reporting group must be re-evaluated by the regulatory body
on a periodic basis.
Since US benefit plans are subject to federal nondiscrimination testing requirements,
you may define special FastFormula rules to help determine compliance with these
regulations. You can define the following rules:
Contribution Nondiscrimination is used to identify those participants who cause the
plan to be out of compliance with contribution nondiscrimination provisions.
Coverage Nondiscrimination is used to identify those participants who cause the plan
to be out of compliance with coverage nondiscrimination provisions.
Five Percent Owner is used to determine those participants who are 5% owners of the
business.
Highly Compensated Determination is used to determine those participants who are
highly compensated in the context of the plan for nondiscrimination testing purposes.
Key Employee Determination is used to determine those participants who are key in
the context of the plan for nondiscrimination testing purposes.
Defining a Benefits Program
You use the Programs window to date effectively create and maintain your program
design. Many of the values that you set at the program level cascade to the plan types,
plans, and options that you define and associate with this program.
To define general characteristics of a program:
1. Enter a unique Program Name starting with a letter of the alphabet (not a number
or symbol).
2. Enter a Description of the program.
3. Select the Program Status.
Pending: No participants are actively enrolled in plans in this program, but could
be in the future if you change this program's status to Active. Select the Pending
status when setting up a program that possibly may not become Active.
Eligibility processes operate on pending programs in "evaluate-only" mode, and do
not create active records.
Active: Eligible persons currently may be enrolled in plans in this program.
Inactive: Current participants can remain in plans in this program, but no new
participants can enroll in plans in this program.
General Compensation Structures 1-85
Closed: No participants are enrolled in any plans in this program, nor will any
enroll in the future (unless you reactivate the program).
4. For Advanced Benefits users, enter the alphanumeric identifier in the IVR field that
a participant uses to identify this program using interactive voice response or
telephony technology.
5. Select a Program Type for this program.
6. Select an Activity Reference Period to specify the time period in which the system
expresses activity rates for all plans in this program.
7. Select a Program Group to group this program with other programs for reporting
purposes.
8. Select an Enrollment Rate/Frequency. This is the rate that is communicated to
participants.
• Select Estimated Per Pay Period to calculate the element entry based on a fixed
number of pay periods, 52 for weekly and 26 for bi-weekly pay periods.
9. Select the standard monetary Currency for all plans in this program.
10. Enter a URL in the Web Address field to create a hypertext link from the program
name on an Oracle Self-Service Human Resources benefits enrollment web page to
a URL containing information about this program. This URL can reside on an
intranet or the World Wide Web.
11. For US customers, select the level at which you are administering COBRA
programs in the Determine Enrollment Period Level field.
• Select Program if your COBRA administration rules are set at the program level
and apply to all plan types and plans in the COBRA program.
• Select Plan Type in Program if your COBRA administration rules vary between
the plan types in the COBRA program.
12. Select a Family Member Code or rule to indicate the kind of family members that
must be recorded in a participant's contact record in order for the participant to be
eligible for this program.
Defining Eligibility and Override Parameters for a Program
You use the check boxes in the General tabbed region of the Programs window to set
eligibility and override parameters for a program.
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To define eligibility and override parameters for a program:
1. Check the Participation Eligibility Override Allowed field to enable an override
using the Participation Override window.
Checking this field is necessary if you want to allow plan participation under
special circumstances, such as a negotiated benefits package for a new hire.
Important: All plans and options in this program inherit this setting
unless you specify differently at the plan or option in plan levels.
2. Check the Use All Assignments for Eligibility field to inform the system to consider
all of an employee's active assignments (rather than just the primary assignment)
when determining eligibility for this program.
3. For Advanced Benefits users, check the Track Ineligible Person field to cause the
system to track persons who are found ineligible for participation in this program
when the Participation process is run.
Note: You use the View Participation Information window to view
the compensation objects for which a participant is either eligible or
ineligible.
Note: You must check this field if you determine benefits eligibility
based on temporal factors, such as age or length of service.
4. Check the Use All Assignments for Rates field to inform the system to consider all
of an employee's active assignments (rather than just the primary assignment) when
determining activity rates for the plans and options in this program.
5. Save your work.
Associating Plans and Plan Types with a Program
You use the Plan and Plan Type window to put one or more plans or plan types into a
program.
To associate a plan or plan type with a program:
1. Enter or query the program to which you are adding a plan or plan type in the
Programs window and choose the Plans and Plan Types button.
2. Choose the Plans tabbed region to add a plan to the program.
General Compensation Structures 1-87
3. Choose the Plan Type tabbed region to add a plan type to the program.
Note: When you link a plan type to a program, you must still link
the plans in that plan type to the program using the Plans tabbed
region.
4. Enter a Seq (sequence) number for a plan or plan type you are associating with this
program.
Note: You enter a sequence number to define the order in which
the compensation object appears in an enrollment window.
Advanced Benefits customers can use sequence numbers to control
the interim coverage assigned when an election is suspended.
5. Select the Plan or Plan type that you are associating with this program.
6. For Advanced Benefits users, enter the alphanumeric identifier in the IVR field that
participants use to identify this plan or plan type using interactive voice response or
telephony technology.
7. Select the Status of this plan or plan type.
Active: Participants can enroll in this plan or the plans in this plan type.
Pending: No participants are actively enrolled in this plan or plan type, but could
be in the future if you change its status to Active. Eligibility processes operate on
this compensation object in "evaluate-only" mode, but do not create active records.
Select the Pending status when setting up a plan or plan type that might not
become Active.
Inactive: Current participants can remain enrolled in this plan or the plans in the
plan type, but no new participants can enroll.
Closed: No participants are enrolled in this plan or the plans in this plan type, nor
will any enroll in the future (unless you reactivate the program).
8. Enter a URL in the Web Address field to create a hypertext link from this plan or
plan type name on an Oracle Self-Service Human Resources benefits enrollment
web page to a URL containing information about this program. This URL can reside
on an intranet or the World Wide Web.
9.
Check the Waivable field in the Plan Types tabbed region if eligible persons can
waive participation in all plans of this plan type.
10. For Advanced Benefits users, check the Track Ineligible Person field to cause the
system to track persons who are found ineligible for participation in the plans and
plan types in this program when the Participation Process is run. If you want to
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track ineligibility, you must also check the Track Ineligible Person field for the
program.
Note: You use the View Participation Information window to view
the compensation objects for which a participant is either eligible or
ineligible.
Note: You must check this field if you determine benefits eligibility
based on temporal factors, such as age or length of service.
11. For Advanced Benefits users, check the Participation Eligibility Override Allowed
field if you can override standard eligibility criteria for the plans and plan types in
this program.
Checking this field is necessary if you want to allow participation under special
circumstances, such as a negotiated benefits package for a new hire.
12. Select a Family Member Code or rule to indicate the kind of family members that
must be recorded in a participant's contact record in order for the participant to be
eligible for the plans and plan types in this program.
13. Save your work.
Defining Waive Reasons for Plan Types in a Program (Advanced Benefits)
You use the Program Waive Reasons window to specify the valid reasons for waiving
out of waivable plan types in a program.
To define waive reasons for a plan type in a program:
1. Enter or query the program for which you are defining plan type waive reasons in
the Programs window.
2. Choose the Plan and Plan Type button then choose the Plan Type tabbed region.
3. Select a Plan Type and choose the Waive button.
4. Select a Waive Reason for waiving out of this plan type in this program.
5. Check the Default field if this waive reason is the default when an eligible person is
waiving, but does not specify a reason.
6. Choose the Certification button to specify the waive certifications that you accept
for a waive reason.
General Compensation Structures 1-89
7. Select a Waive Participation Certification Type for this waive reason.
8. Check the Required field if this waive certification must be submitted for a
participant to waive this plan type.
• If special circumstances apply, select a Certification Required When Rule to
specify when waive certification is required.
9. Check the Preferred field if this certification is preferred, but not required, for
waiving out of this waivable plan type.
10.
Check the Lack of Certification Suspends Enrollment field if failure to provide this
certification results in a suspended election.
11. Save your work.
Defining Participation Eligibility Criteria for a Compensation Object
You link eligibility criteria profiles to a compensation object to restrict eligibility for that
benefit. You can also define participation start and end dates and required waiting
periods that control when an eligible person can enroll in a benefit.
You can link participation eligibility criteria to a compensation object at the following
levels in the compensation object hierarchy:
• Program (Program Participation Eligibility window)
• Plan type in program (Plan Type Participation Eligibility window)
• Plan in program (Plan in Program Participation Eligibility window)
• Plan (Maintain Plan Eligibility window)
• Option in plan (Maintain Options Eligibility window)
Follow the steps below regardless of the level or levels in the compensation object
hierarchy at which you define participation eligibility.
See: Compensation Objects, page 1-69
To define participation eligibility criteria for a compensation object:
1. Query or enter the compensation object for which you are defining participation
eligibility requirements.
Note: The window in which you query or enter the compensation
object varies based on the level at which you define the
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participation eligibility criteria.
2. Navigate to the appropriate Participation Eligibility window.
3. Select a Participation Start Date code or rule to define when a person becomes
eligible for this compensation object.
4. Select a Participation End Date code or rule to define the date on which a person
becomes ineligible for this compensation object.
5. Enter the period that an eligible participant must wait before enrolling in the Wait
Period Value field.
• Or, select a waiting period rule.
6. Select the unit of measure for the waiting period in the Wait Period UOM field.
7. Select a waiting period Date to Use Code or rule that defines the start date from
which the waiting period is calculated.
In the Maximum Enrollment block:
8. Enter a Value that represents the maximum length of time in which a participant
can be enrolled in this compensation object.
9. Select the unit of measure of this value in the UOM field.
10. Select a rule if you use a formula to determine the maximum enrollment period for
this compensation object.
11. Select a Determination Date Code or rule to indicate if the maximum enrollment
period is determined from the participant's enrollment coverage start date or, for
COBRA purposes, from the COBRA qualifying event date.
12. Select a value in the Applies To field if you want to limit the persons for whom the
maximum enrollment period is applicable.
13. Save your work.
To link an eligibility profile to a compensation object:
1. Query or enter the compensation object for which you are defining participation
eligibility requirements.
Note: The window in which you query or enter the compensation
General Compensation Structures 1-91
object varies based on the level at which you define the
participation eligibility criteria.
2. Navigate to the Eligibility window based on the level in the compensation object
hierarchy at which you are defining eligibility.
3. Choose the Profiles tab and select an Eligibility Profile that determines eligibility to
participate in this compensation object.
4. Check the Required field if a person must meet all of the criteria in this profile in
order to be eligible to participate.
Note: If multiple eligibility profiles are defined, a person must
satisfy all profiles marked as Required, and at least one that is not
marked Required.
5. Check the Score field if you rank a participant's eligibility for this compensation
object relative to the total evaluated population.
6. Check the Track Score for Ineligible Person field if you want to compute the
person's score even if they do not meet all required eligibility criteria.
7. Choose the Rules tab if you want to use a rule to determine participation eligibility
instead of an eligibility profile.
• Enter a Seq (sequence) number specifying the order in which the system
processes this eligibility rule relative to any other eligibility rules for this
compensation object.
• Select an eligibility rule in the Rule field.
• Check the Derivable Factors Available field if this formula uses derived factors
to determine eligibility.
• Check the Required field if a person must meet all of the criteria in this rule in
order to be eligible to participate in this compensation object.
8. Save your work.
Associating a Life Event Reason with a Compensation Object (Advanced
Benefits)
You link a life event definition to a compensation object to restrict eligibility for that
benefit to participants who experience that life event.
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You can also define the participation start and end dates and required waiting periods
that control when an eligible person can enroll in a benefit based on the occurrence of
the life event.
You can link a life event definition to a compensation object at the following levels in
the compensation object hierarchy:
• program (Life Event window)
• plan type in program (Life Event window)
• plan in program (Life event window)
• plan (Maintain Plan Related Details window, Life Events tabbed region)
• option in plan (Life Event Reason Impact on Eligibility window)
Follow the steps below regardless of the level or levels in the compensation object
hierarchy at which you link a life event to a compensation object.
To associate a life event reason with a compensation object:
1. Query or enter the compensation object for which you are defining participation
eligibility requirements based on a life event.
Note: The window in which you query or enter the compensation
object varies based on the level at which you define the
participation eligibility criteria.
2. Navigate to the Life Event window based on the level in the compensation object
hierarchy at which you are defining eligibility based on a life event.
3. Select a Life Event.
4. Select a Participation Start Date code or rule to define when a person becomes
eligible for this compensation object based on this life event.
5. Select a Participation End Date code or rule to define the date on which a person
becomes ineligible for this compensation object based on this life event.
6. Check the Ignore Participation Override field to specify that the system ignore
previously overridden participation eligibility results for this life event and
re-determine eligibility.
7. Check the Overridable field to allow manual overriding of the eligibility results that
the system calculates following this life event.
Checking this field is useful when you want to allow special circumstances for
General Compensation Structures 1-93
participation, such as a negotiated benefits package for a new hire.
8. Enter the period that an eligible participant must wait after experiencing this life
event before enrolling in the Wait Period Value field.
• Or, select a waiting period rule.
9. Select the unit of measure for the waiting period in the Wait Period UOM field.
10. Select a waiting period Date to Use Code or rule that defines the start date from
which the waiting period is calculated based on this life event.
In the Maximum Enrollment block:
11. Enter a Value that represents the maximum length of time in which a participant
can be enrolled in this compensation object based on the occurrence of this life
event.
12. Select the unit of measure of this value in the UOM field.
13. Select a rule if you use a formula to determine the maximum enrollment period for
this compensation object.
14. Select a Determination Date Code or rule to indicate if the maximum enrollment
period is determined from the participant's enrollment coverage start date or, for
COBRA purposes, from the COBRA qualifying event date.
15. Select a value in the Applies To field if you want to limit the persons for whom the
maximum enrollment period is applicable based on this life event.
16. Select a Family Member Code or rule to indicate the kind of family members that
must be recorded in a participant's contact record in order for the participant to be
eligible for this compensation object based on this life event.
17. Choose a value in the Eligible/Ineligible field that indicates if the occurrence of this
life event results in a person's being eligible or ineligible to participate in this
compensation object.
18. Save your work.
Associating an Organization with a Benefits Program
You use the Organizations tabbed region of the Programs window to identify
organizations, such as third party administrators or benefits suppliers, that provide
services to your benefits program.
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To associate an organization with this program:
1. Query or enter a program in the Programs window and choose the Organizations
tabbed region.
2. Select an Organization that provides goods or services for this program.
3. Enter a customer identifier number for this organization in the Customer field.
4. Enter the Policy or Group identifier for this organization.
5. Enter a description of the roles and responsibilities of this organization in the
Organization Roles field.
6. Save your work.
Associating Reporting Groups with a Program
You use the Report Groups tabbed region of the Programs window to associate a
benefits reporting group with a program.
See: Defining a Reporting Group, page 1-125
To associate a benefits reporting group with a program:
1. Query or enter a program in the Programs window and choose the Report Groups
tabbed region.
2. Select the Name of the reporting group you use to report on this program.
3. Add this program to more reporting groups by selecting additional groups, as
needed.
4. Save your work.
Associating Program or Plan Year Periods with a Program
You use the Periods tabbed region of the Programs window to associate one or more
year periods with a program. Year periods are defined using the Program/Plan Year
Periods window.
See also: Defining a Program or Plan Year Period, page 1-115
To associate a year period with a program:
1. Query or enter a program in the Programs window and choose the Periods tabbed
region.
General Compensation Structures 1-95
2. Enter the Seq (sequence number) of the year period you are associating with this
program.
3. Select a Start date for this year period.
The End date for this program year period automatically displays.
4. Save your work.
Defining Plan Types
You use the Plan Types window to date effectively define, update, and delete or
end-date plan types.
To define a plan type:
1. Enter a unique Name for the plan type you are defining.
2. Select an Option Type to classify the options you associate with this plan type.
3. For Advanced Benefits users, enter the alphanumeric identifier in the IVR field that
participants use to identify this plan type using interactive voice response or
telephony technology.
4. Select a Compensation Category that classifies the benefit provided by the plans
and options in this plan type.
Note: You can use this information in system extracts that you send
to benefits carriers and other third party agents.
5. Select a Self Service Display format of horizontal or vertical to control how you
display the plans and options in a self-service enrollment form.
Note: The display format defaults to horizontal.
In the Enrollment block:
6. Enter the Minimum number of plans in this plan type in which an eligible person
can be enrolled simultaneously or check the No Minimum field if there is no
minimum.
7. Enter the Maximum number of plans in this plan type in which an eligible person
can be enrolled simultaneously or check the No Maximum field if there is no
maximum.
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8. Save your work.
Setting Up Spending Account Plans for Forfeitures (Advanced Benefits)
For spending account plans--or other plans that offer reimbursements or
distributions--you can set up Oracle HRMS so that a participant's unspent contributions
or credits are forfeited back to your enterprise.
At the end of a plan year (or similarly defined period), Oracle Advanced Benefits
customers schedule the Process Forfeitures concurrent request to calculate and record
the total forfeited amount for each participant in a spending account plan.
You set up benefits balances--maintained manually using the Benefits Balances
window--or use defined balances maintained by Oracle Payroll to record participant
contributions and distributions.
Note: Depending on your plan design, the Process Forfeitures
concurrent request calculates forfeitures based on either the
participant's total contributions for the year or the participant's year to
date contributions. The forfeitures process determines the forfeited
amount based on the value stored by the balance.
Follow this process to set up a reimbursement plan for forfeiture processing. As a
prerequisite, you should have already defined the plan using the Plans window.
To set up reimbursement plans for forfeitures:
1. Set up your contribution and distribution balances.
To process forfeitures, each participant must have a separate contribution and
distribution balance. Oracle Payroll customers can use defined balances to record
totals automatically.
If you do not use Oracle Payroll, you must manually maintain a contribution and
distribution benefits balance for each participant.
See: Defining a Benefit Balance, page 5-168 for information on setting up a benefits
balance.
See: Defining Person Benefit Balances, page 6-96 for information on recording
benefits balances for a participant.
2. Define a derived compensation level factor for each contribution and distribution
balance.
You link the derived factors to the standard contribution and distribution rates you
define in step 4.
See: Defining Derived Factors: Compensation Level, page 1-145
General Compensation Structures 1-97
3. Set up a spending account plan that enables forfeitures.
Use the fields available on the Forfeiture tabbed region of the Plan Reimbursement
window to define forfeiture requirements.
See: Defining a Reimbursement Plan (Advanced Benefits), page 1-116
4. Define the standard contribution and distribution rates.
• For contributions, select an activity type of Employee Payroll Contribution
• In the Total Rate field of the Calculation Method tabbed region, select the
derived compensation level factor for the contribution that you defined in
step 2
• For distributions, select one of the following activity types: Participant Expense
Reimbursement, Participant Payroll Reimbursement, or Participant
Reimbursement
• In the Total Rate field of the Calculation Method tabbed region, select the
derived compensation level factor for the distribution that you defined in
step 2
See: Defining Activity Rates for a Standard Contribution/Distribution, page 5-146
5. After the plan year has ended, run the Process Forfeitures concurrent request for a
single plan to calculate participant forfeitures.
Note: As a prerequisite, update the balances to make sure that
contribution and distribution totals are current and accurate.
See: Running the Process Forfeitures Concurrent Request (Advanced Benefits), page
6-99
6. View the results of the Process Forfeitures request.
• View the Process Forfeitures Audit Log and the Process Forfeitures Summary
Report for information about errors and process totals
• Open the Plan Reimbursement window and choose the Forfeiture tab to see the
total forfeitures for a plan
• Open the View Enrollment Results window, query a person, and choose the
Rates button to see forfeiture results for a participant
Defining a Benefits Plan
You use the Plans window to date effectively define the plans that you offer to
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employees and other eligible participants.
To define a benefits plan:
1. Set the effective date to the date on which you want to create the plan.
Note: You must create the plan with an effective date on or before
the first day of the enrollment period in which it will be used.
2. Enter the Name of this plan starting with a letter of the alphabet (not a number or
symbol).
Note: By setting the profile option BEN: Compensation Objects
Display Name Basis in the System Profile Values window, you can
choose whether compensation object names display in application
windows (both in the professional and Self-Service user interfaces)
based on the life event occurred on date or the user's session date.
The default option value is Session.
3. Select the plan Status.
Pending: No participants are actively enrolled in this plan, but could be in the
future if you change its status to Active. Eligibility processes operate on this plan in
"evaluate-only" mode, but do not create active records. Select the Pending status
when setting up a plan that possibly may not become Active.
Active: Eligible persons currently may be enrolled in this plan.
Inactive: Current participants may remain in this plan, but no new participants
may enroll in this plan.
Closed: No participants are enrolled in this plan, nor will any enroll in the future
(unless you reactivate the plan).
4. Enter a Short Name if you also refer to this plan by an abbreviation.
5. Enter a Short Code if you also refer to this plan by a code.
You can extract data for a compensation object based on its Short Name or Short
Code.
6. Select the plan type for which you are defining a plan in the Type field.
7. For Advanced Benefits users, enter the alphanumeric identifier in the IVR field that
participants use to identify this plan using interactive voice response or telephony
technology.
8. Choose the Inception Date to specify the calendar date on which you first
General Compensation Structures 1-99
introduced this plan.
9. Select if this plan must be in a program or may not be in a program in the Plan
Usage field.
Note: If you include this plan in a program, benefits eligibility is
determined when eligibility is determined for the program. If you
do not want to determine participant eligibility for this plan during
a specific time period, you can link a required dummy eligibility
profile to the plan (for example, a benefits group containing no
people) so that no persons are found eligible for the plan.
10. Choose the General tabbed region.
11. Check the Savings Plan field if you are defining a savings plan.
12. Enter the COBRA Payment Day that corresponds to the day of the month on which
COBRA payments are due for this plan.
For example, 1 refers to the first day of each month.
13. Select the Primary Funding Method to specify the source of funds for this plan.
Self Insured: You self-insure to fund this plan.
Trust: A financial institution such as a bank maintains a trust to fund this plan.
Split: You self-insure as well as use a trust to fund this plan.
Fully Insured: You set up an annuity to fund this plan.
14. Select a Health Service code to describe the type of health service this plan provides.
15. Select the participant type whose coverage is subject to imputed income taxation in
the Subject to Imputed Income field. Choose either participant, dependent, or
spouse.
16. Enter a URL in the Web Address field to create a hypertext link from this plan name
on an Oracle Self-Service Human Resources benefits enrollment web page to a URL
containing information about this plan. This URL can reside on an intranet or the
World Wide Web.
17. Select a Family Member Code or rule to indicate the kind of family members that
must be recorded in a participant's contact record in order for the participant to be
eligible for this plan.
18. Save your work.
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Defining a Plan to Determine Eligibility for a Self-Service Action:
You can use Compensation and Benefits functionality as a generic engine to determine
eligibility for self-service actions. You define a plan to represent a sub action, such as
Promotion (Sales) or Promotion (Italy). After defining a plan type with the option type
Personnel Action, use the Plans window to define a sub action and link it to a form
function. When users choose the function from a menu, the application calculates each
person's eligibility for the action.
See: Set Up Eligibility Processing, Oracle HRMS Deploy Self-Service Capability Guide
See: Overview of Self-Service Actions , Oracle HRMS Workforce Sourcing, Deployment, and
Talent Management Guide
1. On the Miscellaneous tab, in the Personnel Action Function Name field, select the
name of the form function from the LOV.
2. Make sure to activate the Plan Years Not Applicable check box. Plan years do not
apply to self-service actions, and this step eliminates needless processing.
Defining Eligibility and Activity Rate Requirements for a Plan
Use the Eligibility Rates tabbed region of the Plans window to define participation
eligibility requirements and activity rates for a plan.
To define eligibility requirements and activity rates for a plan:
1. Enter or query the plan in the Plans window for which you are defining eligibility
and activity rate requirements and choose the Eligibility Rates tabbed region.
2. Check one or more of the following fields in the Eligibility to Participate
Information block:
Track Ineligible Person: For Advanced Benefits users, checking this field tracks
people who are found ineligible for participation in this plan when the Participation
batch process is run.
Note: You use the View Participation Information window to view
the compensation objects for which a participant is either eligible or
ineligible.
Note: You must check this field if you determine benefits eligibility
based on temporal factors, such as age or length of service.
Allows Override: For Advanced Benefits users, indicates that you may override
eligibility requirements for this plan.
General Compensation Structures 1-101
Checking this field is useful when you want to allow special circumstances for
participation in this plan, such as a negotiated benefits package for a new hire.
Participation is Waivable: For Advanced Benefits users, indicates that an eligible
participant may elect to waive this plan.
Use All Assignments for Eligibility: Informs the system to consider all of an
employee's active assignments (rather than just the primary assignment) when
determining participation eligibility for this plan.
3. Select if the participant's eligibility for this plan is based on dependent eligibility in
the Eligibility Check field. Choose one:
• Participant: The participant is eligible if he or she meets the participant
eligibility requirements associated with the plan. Eligibility for the plan is not
based on dependent eligibility.
• Participant and Dependent: The participant is eligible only if he or she meets
the participant eligibility requirements associated with the plan, and his or her
dependents meet the dependent eligibility profiles and designation
requirements associated with the plan.
• Dependent Only: The participant is eligible if the participant's dependents
meet the dependent eligibility profiles and designation requirements associated
with the plan. If you select this value, the system does not check for participant
eligibility.
4. Check the Use All Assignments for Rates field to inform the system to consider all
of an employee's active assignments (rather than just the primary assignment) when
determining activity rates for this plan.
5. Save your work.
Defining Plan Restrictions
You use the Restrictions tabbed region of the Plans window to specify whether a plan is
subject to certain US federal regulations, such as Qualified Domestic Relations Orders.
You also can also indicate if this plan is used to record flex credits or imputed income or
if this is a waive plan.
To define plan restrictions:
1. Query or enter a plan in the Plans window and choose the Restrictions tabbed
region.
2. Check the Flex Credits Plan field to identify this plan as the placeholder plan used to
record the total flex credits for all plans in a program.
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Note: This plan will not appear as an electable choice in the Flex
Program enrollment form since a participant cannot elect this plan.
3. Check the Waive Plan field if a person's election of this plan represents the waiver
of coverage.
4. Select the Imputed Income Type if this plan is a placeholder plan used to record
imputed income totals for all participants, dependents, or spouses covered by a
plan that is subject to imputed income.
5. Check the Highly Compensated Rule Applies field if this plan uses rules defined by
the US Internal Revenue Service to identify highly compensated employees.
6. Check the Allow Qualified Domestic Relations Order field if this plan is subject to
this US regulation.
Thus, a court or similar body may issue an order requiring a participant to provide
a portion of this plan's benefits to another person, typically a former spouse.
Important: If you are defining plans outside the US, you can use
this field when defining plans that behave similarly to US QDRO
plans.
7. Check the Allow Qualified Medical Child Support Order field if this plan is subject
to this US dependent coverage regulation.
Thus, a court or similar body may issue an order requiring a participant to provide
medical coverage for another person, typically a dependent child.
Important: If you are defining plans outside the US, you can use
this field when defining plans that behave similarly.
8. Check the Subject to Health Care Financing Administration field if this plan is
subject to health care rate regulations.
9. If you use Oracle Self-Service Human Resources, check the Allow Temporary
Identification field if benefits participants can print an enrollment identification
card for this plan from their web browser.
10. Save your work.
Defining a Maximum Waiting Period Requirement for a Plan
You use the Participation tabbed region of the Plans window to define the maximum
General Compensation Structures 1-103
required waiting period for a plan.
To define a maximum waiting period requirement for a plan:
1. Enter or query the plan in the Plans window for which you are defining a
maximum waiting period requirement and choose the Participation tabbed region.
2. Enter the maximum waiting period for this plan in the Value field.
Note: You define a maximum waiting period to override a waiting
period that you define for a plan. For example, you could define a
waiting period which required a participant to work 500 hours
before becoming eligible for a plan. You could define a
corresponding maximum waiting period of 6 months so that a
participant who had worked 6 months, but had not worked 500
hours, would be eligible for the plan.
3. Select a unit of measure for the maximum waiting period in the UOM field.
4. Select a Rule to define the maximum waiting period for the plan, if necessary.
5. Select a code or rule to define the date from which the system calculates the
maximum waiting period.
6. Save your work.
Defining a Plan Not in Program
Use the Not in Program tabbed region of the Plans window to define special
requirements for plans that you do not associate with a program. Plans that are not in a
program must have a plan usage code of May Not Be in Program.
To define special requirements for a plan not in program:
1. Enter a Sequence number for this plan.
2. Select the Currency in which activity rates for this plan are expressed.
3. Select the Enrollment Rate/Frequency. This is the activity rate that is communicated
to participants on their payslip and in Self-Service.
• Select Estimated Per Pay Period to calculate the element entry based on a fixed
number of pay periods, 52 for weekly and 26 for bi-weekly pay periods.
4. Select an Activity Reference Period to specify the time period in which the system
expresses activity rates for this plan.
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Note: The Hourly activity reference period is only for plans used by
Compensation Workbench. See: Defining a Compensation
Workbench Plan, page 3-54.
5. Save your work.
Associating Options with a Plan
You use the Maintain Plan Options window to associate an option with a plan.
Advanced Benefits users can define how life event reasons impact a person's
participation eligibility for an option in a plan.
To associate an option with a plan:
1. Enter or query a plan in the Plans window.
2. Choose the Options button.
3. Enter a Seq (sequence) number for an option you are associating with this plan if
you want the options to display in a particular order in the enrollment window.
Note: Advanced Benefits customers can use sequence numbers to
control the interim coverage assigned when an election is
suspended.
4. Select an Option you are associating with this plan.
5. Select the Status of the option.
Pending: No participants are actively enrolled in this option, but could be in the
future if you change its status to Active. Eligibility processes operate on this option
in "evaluate-only" mode, but do not create active records. Select the Pending status
when setting up an option that possibly may not become Active.
Inactive: No participants currently are enrolled in this option in this plan, but may
be in the future.
Active: Participants currently may be enrolled in this option in this plan.
Closed: No participants are enrolled in this option in this plan, nor will any enroll
in the future (unless you reactivate the plan).
6. For Advanced Benefits users, enter the numeric identifier in the IVR field that
participants use to identify this option using interactive voice response or telephony
technology.
General Compensation Structures 1-105
7. Enter the URL for this option in plan in the Web Address field if participants can
enroll in this option by using the product's self-service web interface.
8. Enter a URL in the Web Address field to create a hypertext link from this option
name on an Oracle Self-Service Human Resources benefits enrollment web page to
a URL containing information about this plan. This URL can reside on an intranet
or the World Wide Web.
9. Choose the Eligibility tab.
10. For Advanced Benefits users, check the Participation Eligibility Override Allowed
field if the standard eligibility criteria that this option inherits from this plan can be
overridden.
Checking this field is useful when you want to allow special circumstances for
participation in this option, such as a negotiated benefits package for a new hire.
11. For Advanced Benefits users, check the Track Ineligible Person field to cause the
system to track persons who are found ineligible for participation in this plan when
the Participation batch process is run.
Note: You use the View Participation Information window to view
the compensation objects for which a participant is either eligible or
ineligible.
Note: You must check this field if you determine benefits eligibility
based on temporal factors, such as age or length of service.
12. Choose the Dependent Criteria tab.
13. Select a person type or person type combination in the Eligibility Check field to
determine eligibility for this option for these person types.
14. Select if the participant's eligibility for this option is based on dependent eligibility
in the Eligibility Check field. Choose one:
• Participant: The participant is eligible if he or she meets the participant
eligibility requirements associated with the option. Eligibility for the option is
not based on dependent eligibility.
• Participant and Dependent: The participant is eligible only if he or she meets
the participant eligibility requirements associated with the option, and his or
her dependents meet the dependent eligibility profiles and designation
requirements associated with the option.
• Dependent Only: The participant is eligible if the participant's dependents
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meet the dependent eligibility profiles and designation requirements associated
with the option. If you select this value, the system does not check for
participant eligibility.
15. Select a Family Member Code or rule to indicate the kind of family members that
must be recorded in a participant's contact record in order for that participant to be
eligible for this option.
Note: Family Members are recorded in the Contact window.
16. Save your work.
Maintaining Plan Related Details
You use the Maintain Plan Related Details window to:
• Associate a plan year period with a plan
• Associate a reporting group with a plan
• Associate reimbursable goods or services with a plan
• Associate regulations and reporting groups with a plan
• Associate an organization with a plan
Associating a Plan Year Period with a Plan
You associate a plan year period with a plan to define the period for which the plan is
active.
To associate a plan year period with a plan:
1. Enter or query the plan in the Plans window to which you are associating a plan
year period and choose the Details button.
2. Choose the Plan Year Periods tabbed region.
3. Enter a Seq (sequence) number to specify the order in which the system processes
this plan year period relative to any other plan year period for this plan.
4. Select the plan year period Start date.
The period end date displays based on the start date you select.
5. Save your work.
General Compensation Structures 1-107
Associating a Reporting Group with a Plan
You can associate a plan to those reporting groups that you use to report on the plan.
To associate a reporting group with a plan:
1. Enter or query the plan in the Plans window to which you are associating a
reporting group and choose the Details button.
2. Choose the Reporting Group tabbed region.
3. Select the Name of a reporting group that you use to report on this plan.
• Select more reporting groups, as necessary.
4. Save your work.
Associating Goods or Services with a Plan
You can associate the goods or services that your enterprise provides as a benefit or has
approved for reimbursement as part of a plan.
To associate a good or service with a plan:
1. Enter or query the plan in the Plans window to which you are associating goods or
services and choose the Details button.
2. Choose the Goods or Services tabbed region.
3. Select the type of goods or services that you are associating with this plan in the
Type field.
4. Save your work.
Associating Regulations with a Plan
You can associate regulations with a plan and the reporting groups that support these
regulations.
To associate a regulation or a reporting group with a plan:
1. Enter or query the plan in the Plans window to which you are associating a
regulation and choose the Details button.
2. Choose the Regulations tabbed region.
3. Select a Regulation.
4. Select a Reporting Group associated with this regulation.
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5. Complete the following fields based on the regulations that govern this plan. These
regulations support US non-discrimination legislation.
• Regulatory Plan Type is used to define the type of regulation that governs this
plan, such as Fringe benefit regulations or pension regulations.
• Contribution Nondiscrimination is used to identify those participants who
cause the plan to be out of compliance with contribution nondiscrimination
provisions.
• Key Employee Determination is used to determine those participants who are
key in the context of the plan for nondiscrimination testing purposes.
• Highly Compensated Determination is used to determine those participants
who are highly compensated in the context of the plan for nondiscrimination
testing purposes.
• Five Percent Owner is used to determine those participants who are 5% owners
of the business.
• Coverage Nondiscrimination is used to identify those participants who cause
the plan to be out of compliance with coverage nondiscrimination provisions.
6. Save your work.
Associating an Organization with a Plan
You can associate organizations with a plan, such as third party administrators and
benefits suppliers. For example, you can link an organization to a plan when the
organization is a benefits supplier to whom you owe a monthly premium.
To define an organization for a plan:
1. Enter or query the plan in the Plans window to which you are associating an
organization and choose the Details button.
2. Choose the Organizations tabbed region.
3. Select the name of this Organization.
4. Enter the Customer Identifier this organization uses to identify this plan.
5. Enter the Policy or Group Number this organization uses to identify this plan.
6. Enter the Organization Role that describes the services this organization provides
for this plan.
7. Save your work.
General Compensation Structures 1-109
Defining Combinations of Plans and Plan Types
You use the Combinations window to define combinations of:
• Plans
• Plan Types
• Plan Type and Options
Combinations are useful for Advanced Benefits customers who want to calculate flex
credits for a pool of compensation objects.
As a prerequisite, you must first define the plans, plan types, and options that you are
including in your combination and associate these compensation objects with a
program.
To define a combination:
1. Choose one of the following tabbed regions depending on the combination type
you are defining.
• Combination Plans
• Combination Plan Types
• Combination Plan Type and Options
2. Enter or query the Name of the plan or plan type combination.
3. Select the Program to which you have linked the plans or plan types that you are
including in your combination.
4. Check the Applies To field next to each compensation object that you are including
in your combination.
Note: The Already Used field appears checked if this plan, plan
type, or option is already included in another combination. You can
only include a compensation object in one combination.
Defining Waive Reasons for a Plan (Advanced Benefits)
You use the Waiving window to define the conditions under which an eligible person
can waive participation in a plan.
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To define waive reasons for a plan:
1. Enter or query the plan for which you are defining plan waive reasons in the Plans
window.
2. Choose the Waiving button.
3. Select the Waive Participation Reason that supports why a person can elect to waive
participation in this plan.
4. Check the Default field if this waive reason is the default reason to use when a
participant does not state their reason for waiving a plan.
5. Choose the Waive Certification button to specify the waive certifications that you
accept for a waive reason.
6. Select a Certification Type that indicates the kind of certification associated with
waiving participation in this plan.
7. Select a rule if you limit the conditions under which certification is associated with
waiving a plan in the Certification Required When Rule field.
8. Check the Preferred field if this waive certification is preferred for this plan, but not
required.
9. Check the Required field if this certification is required for an eligible participant to
waive this plan.
10. Check the Lack of Certification Suspends Waiving field if failure to provide this
certification results in the participant's inability to waive this plan.
11. Save your work.
Maintaining Primary Care Providers for a Plan
Based on your plan design, benefits participants may have the option, or be required, to
select a Primary Care Provider (PCP) when electing a benefit plan.
You use the Maintain Plan Primary Care Providers window to define restrictions for the
selection of a primary care provider. You also use this window to set high level
configuration options for web-based PCP database searches that are performed through
Oracle Self-Service Benefits.
To maintain primary care providers for a plan:
1. Select the Name of the plan for which you are maintaining primary care provider
data.
General Compensation Structures 1-111
2. Check the From Repository field if you are using Oracle Self-Service Benefits and
the benefits participant selects a primary care provider through a searchable
database of providers.
Note: As a prerequisite, you must link an organization to this plan
(using the Maintain Plan Related Details window) which has an
Organization Role Type of Primary Care Provider Locator.
Note: If you do not check the From Repository field, a participant
cannot select a PCP from a list of valid PCPs. The participant must
enter the PCP ID number or name in a free form text field.
3. Note: The Can Keep Provider field is reserved for future use.
4. Select a Designation Code to indicate if a participant who enrolls in this plan is
required to select a PCP, or if PCP selection is optional.
5. Select a Dependent Designation Code to indicate if a participant who enrolls in this
plan is required to select a PCP for each dependent covered by the plan, or if PCP
selection is optional.
6. Select a Start Date Code that indicates when the selected provider becomes the
participant's primary care provider.
7. Enter the number of times a participant is permitted to change primary care
providers per month in the Number of Changes Allowed field.
8. For primary care provider searches, select the maximum Radius in miles which the
PCP database should consider when returning the results of a search query.
9. Check the Radius warning field to issue a warning message to the participant
indicating that the selected PCP is outside the range allowed by the plan. Checking
this field lets a participant override the warning and select a PCP outside the
prescribed range.
Note: If you do not check this field, a participant cannot select a
PCP outside the radius.
Note: This warning only occurs in the professional forms user
interface, not in Self-Service Benefits.
10. Save your work.
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11. Choose the Option Restrictions button to open the Plan Primary Care Provider
Restrictions window if the Plan has options. It is mandatory to enter the restrictions
at the option level for the plans with options in order to retain/drop the PCP in the
subsequent life event.
Note: For example, if a participant who elects participant only
coverage is not required to select a PCP, but a participant who
elects employee plus spouse coverage is required to select a PCP for
dependent coverage, you would need to specify designation
restrictions at the option level, instead of the plan level.
12. Select the option for which you are specifying PCP designation requirements in the
Options field.
13. Select a Designation Code to indicate if a participant who enrolls in this option is
required to select a PCP, or if PCP selection is optional.
14. Select a Dependent Designation Code to indicate if a participant who enrolls in this
option is required to select a PCP for each dependent covered by the plan, or if PCP
selection is optional.
15. Save your work and close the Plan Primary Care Provider Restrictions window.
16. Choose the Plan Restrictions button if the requirements for designating a primary
care provider for this plan vary based on the primary care provider type (such as
Gynecology or Pediatric Medicine) and the age or gender of the benefits participant.
Note: The Plan Restrictions button is only activated if you check the
From Repository field.
17. Select a primary care provider type for which you are specifying PCP designation
requirements based on the age or gender of the benefits participant.
You maintain primary care provider types using the Lookup Type
BEN_PCP_SPCLTY if your primary care providers are stored in an external
repository. Use the Lookup Type BEN_PRMRY_CARE_PRVDR_TYP if your PCPs
are not stored in a repository.
18. Enter a Minimum Age if the participant must be of a minimum age or older to
select this provider type, such as a geriatric care provider.
19. Enter a Maximum Age if the participant must be of a maximum age or younger to
select this provider type, such as a pediatric care provider.
20. Select a Gender Allowed Code of Female or Male to restrict the selection of this
General Compensation Structures 1-113
provider type to one gender, such as female for a gynecology provider.
Defining Options
You use the Options window to date effectively define, maintain, and delete options.
To define an option:
1. Enter a unique Name for the option you are defining starting with a letter of the
alphabet (not a number or symbol).
2. Enter a Short Name if you also refer to this option by an abbreviation.
3. Enter a Short Code if you also refer to this option by a code.
You can extract data for a compensation object based on its Short Name or Short
Code.
4. Check the Waive Option field if a person's election of this option represents the
waiver of coverage.
5. If this option is for a Compensation Workbench plan, select a Salary Component if
you want to link the option to a salary component.
At the end of a salary review cycle, a system administrator runs the Compensation
Workbench Post Process to update salary components with the new values stored
by the compensation components.
In the Required Period of Enrollment block:
6. Enter a Value that represents the length of time in which a person must be enrolled
in this option.
7. Select the unit of measure of this value in the UOM field.
8. Select a rule if you use a formula to determine the required period of enrollment for
this option.
9. Select one or more plan types you are associating with this option to indicate that
plans of this plan type may provide this option.
The option type displays in the Option Usage field to indicate the benefits category
for this option.
10. Save your work.
Defining Designation Requirements for an Option
You use the Designation Requirements window to limit the personal relationship types
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that are covered by an option.
If you do not define designation requirements for an option, a participant can designate
a person of any relationship type as the designee for an option.
You can only have one designation profile per option, even if you associate the option
with more than one plan.
Note: Regardless of the designation requirements you define, you must
check the Personal Relationship field in the Contacts window in order
for a contact to display in a participant's list of eligible dependents.
To define designation requirements for an option:
1. Enter or query an option in the Options window and choose the Designation
Requirements button.
2. Select a Group Relationship for which you are defining designation requirements.
3. Specify if this designation requirement applies to dependents or beneficiaries in the
Type field.
4. Enter the minimum and maximum number of designees that can be covered under
this option or indicate that there is no minimum or maximum number of designees
by checking the appropriate field.
Note: Select a Group Relationship type of No Designees and enter
the maximum number of designees as zero for an employee only
coverage option.
5. Check the Cover All Eligible field if there is no minimum or maximum number of
designees for this option and you want to provide coverage to all designees who
meet your eligibility criteria.
6. Select one or more Relationship Types to include with this group relationship.
7. Save your work.
Navigating the Program Structure Hierarchy
You use the View Program Structure window to view the benefit programs that you
have defined and the plan types, plans, and options that comprise these programs. Use
this window after you have recorded your plan design in the system to make sure you
have correctly defined the structure of your benefits programs.
In the hierarchy:
General Compensation Structures 1-115
+ A plus symbol to the left of a compensation object indicates that there are lower levels
that are not currently displayed.
- A minus symbol to the left of a compensation object indicates that you are viewing a
collapsible list that you have expanded fully.
= An equals symbol indicates that you are viewing the lowest level within a collapsible
list that you have expanded fully.
Go To modify the definition of a compensation object, select the compensation object
and choose the Go (traffic light) button.
You can expand or contract the program hierarchy in the same way that you expand or
contract the Oracle Applications Navigator.
1. To expand the view of a compensation object by one level, select the compensation
object and choose the Plus (+) button (or double-click on that compensation object).
2. To contract the view of a compensation object by one level, select the compensation
object and choose the Minus (-) button (or double-click on that compensation
object).
3. To fully expand the view of a compensation object, select the compensation object
and choose the Full Plus (+->) button.
4. To fully contract the view of a compensation object, select the compensation object
and choose the Double Minus (- -) button.
Defining a Program or Plan Year Period
You use the Program/Plan Year window to record the dates through which programs or
plans are in effect.
To define a program or plan year period:
1. Enter the Start and End dates in the Plan region through which this program or
plan year period is valid.
In the Limitation region:
2. Choose the Start and End dates that define the limitation year that acts as the
reference period used to calculate a participant's yearly compensation.
You typically define a limitation year to determine a participant's yearly
contribution ceiling for a benefits plan such as a 401(k) plan in the US.
In the Period region:
3. Select the period Type code that identifies the period type by which you divide the
program or plan year, for example fiscal or calendar.
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Note: The period type must be Fiscal if you are defining a year
other than from 01-JAN to 31-DEC. When the year period is from
01-JAN to 31-DEC the period type must be Calendar.
In the Within Year Periods block:
4. Enter the first day and first month of the within year period and the last day and
last month of the within year period in the following fields:
• Start Day
• Start Month
• End Day
• End Month.
5. Select the Unit of Measure by which you are dividing this period.
6. Save your work.
Defining a Reimbursement Plan (Advanced Benefits)
You use the Plan Reimbursement window to define special requirements for plans that
offer reimbursable goods and services and to set up spending account plans.
Note: As a prerequisite to defining reimbursement criteria, you must
first create the plan using the Plans window. If you limit
reimbursements to specific goods or services, you can define these in
the Goods and Services window.
You can define the date through which you accept reimbursement requests for the plan
and the last date in the plan year for which an expense will be reimbursed.
You can also define the certifications that are required or preferred for reimbursement
of a good or service. You can limit the personal and familial relationship types, such as
a spouse or a child, whose expenses are reimbursable under the terms of a plan.
To define a reimbursement plan:
1. Query the Plan for which you are defining reimbursement criteria.
2. In the Compare Claims field, select a code to indicate if the application validates a
reimbursement request against the participant's current request balance or the
coverage elected for the plan year. Choose either:
General Compensation Structures 1-117
• Compare claims to balance accumulated (reserved for future use)
• Compare claims to coverage elected
3. Check the Allows Reimbursement field to indicate that you allow participants to
submit reimbursement requests for the goods and services in this plan.
Timing Tab
4. Choose the Timing tab.
5. Select the Plan Year Start Date for the year period you are associating with this
reimbursement plan.
The End Date for this year period automatically displays based on the plan years
you established during your implementation.
6. Select the date by which Expenses Must Be Incurred On Or Before.
This is the last date in the plan year on which a participant can incur an expense
and still have the expense reimbursed. Typically, this is the last day of the year
period.
7. Select the date by which a Request Must Be Received On Or Before.
This is the date through which you accept claim reimbursement requests for this
year period. For example, your enterprise may accept reimbursement requests for
two months after the end of the previous plan year.
Good or Service Tab
Note: Goods and services are required for reimbursement request
processing.
8. Choose the Good or Service tab.
9. Select a Good or Service that is reimbursable for this plan.
Use the Goods and Services window to define those items you approve for
reimbursement.
10. Check the Recurring Claims field if participants can instruct you to automatically
make payments for recurring claims without submitting a reimbursement request
for every incurred expense.
Note: This field is reserved for future use.
11. Choose the Certification button to open the Reimbursement Certifications window.
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You can define the certifications that you require or prefer to validate a
reimbursement request for a good or service.
12. Select a certification Type--such as a paid invoice or a receipt--that you require or
prefer to validate a reimbursement request.
You can add to the list of certification types by using the Lookup Type
BEN_REIMBMT_CTFN_TYP in the Application Utilities Lookups window.
13. Check the Required field if you deny a claim reimbursement when a participant
fails to provide this certification type.
• If special circumstances apply, select a Reimbursement Certification Rule to
indicate those instances where you allow reimbursement when a participant has
not submitted a required certification. Use the Lack Certification Allow
Reimbursement formula type to write this rule.
14. Close the Certifications window.
Relationship Tab
15. Choose the Relationship tab.
16. Select the Relationship Type of the persons related to the primary participant who
can also submit reimbursement requests.
17. Save your work.
Forfeiture Tab
18. Check the Forfeitures Apply field if the application forfeits a person's unspent
credits for this plan at the end of the plan year.
You run the Process Forfeitures concurrent request to determine a participant's
forfeitures.
19. Select Provider as the Distribution Method to forfeit unspent contributions to the
plan provider.
20. Select Use Compensation Level Factor as the Contribution Determination Code.
21. For the Distribution Determination Code, select:
• Use Compensation Level Factor to calculate distributions based on a benefits
balance or a defined balance in Oracle Payroll.
• Use Approved Reimbursement Requests to calculate distributions based on the
amount distributed to the participant using the Reimbursement Requests
window.
General Compensation Structures 1-119
22. Enter a GL Account for Debit and Credit to record the Oracle General Ledger
accounts you use to track forfeiture totals for the plan.
23. Check Post to GL if you post forfeitures to the Oracle General Ledger credit account
you entered in the previous step.
Note: This feature is reserved for future use.
24. After you run the Process Forfeitures concurrent request, you can view forfeiture
totals for the plan by clicking the Forfeiture Values button.
• Open the View Enrollment Results window, query a person, and choose the
Rates button to see forfeiture results for a participant.
Defining Reimbursable Goods and Service Types
You use the Goods and Services window to define those goods and services that you
approve for reimbursement. You then associate one or more goods and services types
with a plan.
To define a reimbursable good or service:
1. Enter a Name for the good or service.
2. Select the Type of the good or service.
Use the Lookup Type BEN_GD_R_SVC_TYP in the Application Utilities Lookups
window to add to the list of goods and service types.
3. Enter a text Description of the good or service.
4. Save your work.
Copying a Program or Plan
Follow this process to use Plan Design Copy to copy or export a program or a plan.
To copy a program or plan:
1. Log in to the Oracle HRMS professional user interface.
2. Choose the Plan Design Copy function from the Navigator.
Home Page
3. Do one of the following:
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• Click the Copy or Export Plan Design link to start a new copy process
• Click View Plan Design to select a program or plan for viewing. Use this
read-only feature to review data before you copy a plan design.
• Choose an existing copy process from the Process History table and click
Continue or Delete
Note: The application displays processes initiated with the
responsibility you used to log in to Oracle HRMS.
You can continue a process with a status of Saved for Later, Interrupted, Imported,
or Completed.
Process Status If you click Continue . . .
Saved for Later The application displays the web page on
which you saved the process.
Interrupted The application displays the web page before
the page you displayed when the process
was interrupted.
Imported The application displays the Target Details
page that lets you select the Business Group
into which you want to import the data.
Completed The application displays the Select Target
page where you select whether to copy or
export the data.
Process Name and Effective Date
4. Enter a name for the copy process.
You can select this copy process by name from the Home Page if you return to the
transaction at a later date.
5. Select the effective date to limit the programs and plans available for copying.
Select Programs and Plans
6. Select one or more programs and plans to copy or export.
You can search for a compensation object by program, plan, or program and plans
not in program. The search limits results to compensation objects in the business
General Compensation Structures 1-121
group of your responsibility.
To improve application performance, you should not select more than five
programs at a time, depending on the size of your programs.
Select Target
7. Choose one of the following:
• Copy the selected programs and plans to the same business group.
• Copy the selected programs and plans to a different business group.
Note: The application restricts the target business groups to those
business groups attached to the user's responsibilities. A system
administrator can prevent the copying of data between business
groups by setting the system profile option BEN: CROSS
BUSINESS GROUP FOR PLAN DESIGN COPY to 'N.' The default
is 'Y.'
• Export the selected programs and plans to a file.
You can also export the data to a file by running the export process from the
concurrent manager.
See: Exporting a Plan Design to a File, page 1-123
Enter Target Details
8. Do one of the following:
• If you are copying to a different business group, select the target business
group.
• Select the Effective Date to Copy. The copy process assigns the effective date to
the new objects in the target business group. The date cannot be earlier than the
effective date of the objects in the source business group. Objects with an
effective start date after the date entered will retain the same effective start date
they had in the source business group. Objects ended prior to the copy date are
not copied. If you complete any mapping prior to entering the Effective Date to
Copy, you should verify the mappings.
Note: If you do not enter an Effective Date to Copy, the Copy
Process uses the existing dates of any copied objects.
• If you are copying to either the same business group or a different business
group, indicate how the copy process treats instances where it finds an object
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with the same name in the target business group. You can choose to use the
existing object (without copying the duplicate object) or create a copy of the
object with a prefix or a suffix that you supply.
Note: When you copy a program and create a new program with a
prefix or suffix, the copy process searches the target business group
for child objects that contain the prefix or suffix, not for child
objects with the same name as the original child objects that you
copied.
• If you are exporting to a file, provide the absolute directory path in your
applications environment and the file name of the exported file. If you do not
enter a directory path, the application writes the export file to the location
specified in the environment variables APPLCSF/APPLLOG.
Select Mapping
9. Use the Mapping page to select additional plan design components for copying or
exporting that are not stored in the base plan design tables.
For example, you must map elements and eligibility and variable rate profiles that
use HR assignment criteria.
Note: If an object name matches exactly in the Source and Target
business groups as of the Effective Date to Copy, the application
automatically maps the object to the Target business group. You
can override auto-mapped objects as necessary. The Target
business group should have the same Lookup Codes as the Source
business group. For example, you should add any Relationship
Types to the Target business group that you have added to the
Source.
Review
10. Use this page to review the compensation object that will be copied when you click
Submit.
You can deselect any program, plan in program, or plan not in program that you do
not want to copy.
Select the personalizations you want to copy for the plan you copy from the Task
Personalization list.
After you click Submit, the Concurrent Manager runs the copy process and returns
a Request ID. You can monitor the process status on the View Request page or the
Requests window in the professional user interface.
General Compensation Structures 1-123
Confirmation
11. This web page indicates if the copy process was successful. For exports, the
Confirmation page provides a concurrent request ID. You can use this ID to view
the results of the process in the Concurrent Manager.
Exporting a Plan Design to a File
You can export a plan design to a file and then import the data into another database
instance. Use this feature to transfer plan design data between your test and production
environments.
Use the Submit Request window.
To export a plan design to a file:
1. Select Plan Design Copy - Export in the Name field.
2. Enter the Parameters field to open the parameters window.
3. In the Data File field, enter the absolute directory path and file name in your
applications environment to which you want to export your plan design data.
If you do not enter the full directory path, the application writes the export file to
the location specified in the environment variables APPLCSF/APPLLOG.
4. Enter a Display Name for this plan design data.
The display name appears in the list of processes when you import the plan design
back into Oracle HRMS.
5. Enter the Effective Date of the plan design data that you want to export.
6. Choose the OK button.
7. Complete the batch process request and choose Submit.
You can now run the import process to import the plan design data into a new
database instance.
Importing a Plan Design From a File
After you export a program or plan to a flat file, you can import the file back to your
Oracle HRMS database. Typically, you would use this feature to transfer plan design
data between database instances.
Use the Submit Request window.
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To import a plan design from a file:
1. Select Plan Design Copy - Import in the Name field.
2. Enter the Parameters field to open the parameters window.
3. In the Data File field, enter the absolute directory path and file name of the file that
you want to import.
If you do not enter the full directory path when you export the file, the application
writes the file to the location specified in the environment variables
APPLCSF/APPLLOG.
4. Choose the OK button.
5. Complete the request and click Submit.
6. Close the Submit Request window.
7. Open the Plan Design Copy page.
8. Select the imported file from the Copy History table and click Continue.
9. From the Target Details page, select the Business Group into which you are
importing the plan design.
10. Complete the plan copy steps by entering target details, mapping to HR and Payroll
data, and submitting the copy process.
See: Copying a Program or Plan, page 1-119, steps 8-11 for more information.
Purging Plan Design Copy Data
When you copy a plan design, the application stores the data in transaction tables. If
you have run multiple plan copy processes, and if your plan design is large, the volume
of stored data may trigger performance issues.
Run the Purge Plan Design Copy Process to delete data from the Plan Copy transaction
tables and improve copy performance. To verify the data that you want to delete, you
can test the results of the purge process before committing your changes to the
database.
Use the Submit Request window.
To purge Plan Design Copy data:
1. Select the Purge Plan Design Copy Process in the Name field.
General Compensation Structures 1-125
2. Enter the Parameters field to open the Parameters window.
3. In the Process Name field, select the copy process that you want to purge.
Note: If you do not select a specific process, the application purges
data based on the other parameters you enter.
4. In the Mode field, select whether to Commit or Rollback the results of the purge
process.
Select Rollback if you want to review the results in the process log file without
committing the changes to the database.
5. In the On or Prior to Effective Date field, enter the effective date of the purge.
The application purges all data on or before this date that meet the parameters you
select.
6. Select a Status (such as Completed or Saved for Later) to limit the purge to copy
processes of that status.
7. Select Yes in the Retain Log field to prevent the purge process from deleting the log
files of the copy processes that you want to delete.
8. Click OK.
9. Complete the request and click Submit.
Defining a Reporting Group
You use the Reporting Groups window to define a reporting group and to associate
programs and plans with the reporting group. You can also define which regulatory
bodies and regulations govern the reporting group.
You can create reporting groups to represent:
• Groups of programs and plans that you report on as a set by entering the reporting
group name as a report parameter.
• Self-service personnel actions, such as promotions or transfers, and to configure
rules for these business processes.
See: Overview of Self-Service Actions, Oracle HRMS Workforce Sourcing, Deployment,
and Talent Management Guide
• Compensation plans for applicants on the Compensation page of iRecruitment.
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To define a reporting group:
1. Enter a unique Name for the reporting group.
2. Select the Global check box to include plans in the reporting group from any
business group.
3. Select the Purpose of the reports that will be generated for this reporting group.
Select the Personnel Action purpose if you are defining a self-service action.
Select the iRecruitment purpose if you are defining plans for iRecruitment applicant
offers. The Compensation page displays only reporting groups defined with the
purpose of iRecruitment.
4. Enter a Description for the reporting group. The description that you enter for
iRecruitment reporting group appears as an instruction text on the Enter
Compensation page of iRecruitment.
5. Select the first Program Name if the reporting group is to consist of one or more
programs.
Alternatively, select the first Plan Name in the reporting group.
Note: Ensure that you do not include the same plan in multiple
reporting groups with the purpose iRecruitment.
Any row (record) in this table can include a Program Name or a Plan Name, but not
both simultaneously. While it is unlikely that you would want to use the same
reporting group to report at the program and plan levels, you could do so by
choosing a Program Name for one record, and then choosing a Plan Name for each
subsequent record in the reporting group.
Note: When a plan is selected, the Regulatory Bodies and
Regulations button is enabled, indicating that you can define
regulatory bodies for, and associate regulations with, that plan.
6. Save your work.
Defining Regulatory Bodies for a Plan
You use the Regulatory Bodies and Regulations window to date effectively define the
regulatory bodies that approve or govern this plan.
General Compensation Structures 1-127
To define a regulatory body for a plan:
1. Choose the Plan Regulatory Bodies tab if it is not already selected.
2. Enter the Name of the regulatory body associated with this plan.
In the Dates block:
3. Enter the Approved Termination date on which this regulatory body ceases to
recognize this plan's validity.
4. Enter the date this regulatory body qualified this plan in the Qualified field.
5. Select one or more Regulatory Purpose Codes that describe how this regulatory
body governs this plan.
6. Save your work.
Defining Regulations for a Plan
You use the Regulatory Bodies and Regulations window to date effectively define the
regulations that approve or govern this plan.
To associate regulations with a plan:
1. Choose the Plan Regulations tab if it is not already selected.
2. Select a Regulatory Plan Type.
3. Select the name of the regulation that governs this plan in the Regulation field.
4. Select one or more rules to determine how plan regulations define:
• Contribution Nondiscrimination
• Coverage Nondiscrimination
• Five Percent Owner
• Highly Compensated Determination
• Key Employee Determination
Note: These rules reflect US non-discrimination legislation.
5. Save your work.
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Benefits Eligibility
Eligibility Requirements for Total Compensation
You define eligibility requirements as part of your plan design to determine eligibility
for compensation and benefits.
You group eligibility criteria into participant eligibility profiles for primary participants
and dependent coverage eligibility profiles for dependents. Eligibility profiles are re-usable.
After you create an eligibility profile, you can link it to a compensation object (such as a
program, plan, or option), a collective agreement, a grade ladder, or a work schedule to
restrict eligibility for these.
Eligibility is determined according to the order of the compensation object hierarchy:
• Program
• Plan Type in Program
• Plan in Program
• Plan
• Option in Plan
If a participant is eligible for a program, then the system checks for plan type in
program eligibility, and so on down the hierarchy. This allows you to link different
eligibility profiles to different benefits that you offer within a program.
Eligible participants are created when you run the Participation batch process (if you
are an Advanced Benefits customer) or when you process a participant's election using
an enrollment form (if you use Standard Benefits).
Participant Eligibility Profiles
The standard criteria that you can include in an eligibility profile are grouped into five
factors:
• Personal Factors
• Employment Factors
• Derived Factors
• Related Coverages
• Other Factors
General Compensation Structures 1-129
Each factor contains a variety of criteria from which you select one or more criteria
values.
For example, let's say you administer a benefit plan with the eligibility requirement that
all participants must work in California, Washington, or Indiana. You could define an
eligibility profile using the Employment Factor criteria of Work Location. The values for
the Work Location criteria would be California, Washington, and Indiana. (You need to
define these work locations using the Locations form). A participant must meet one of
the criteria values.
Apart from the above standard criteria that Oracle HRMS delivers, you can create your
own criteria that meet the particular needs of your organization. For example, if your
organization employs deep sea divers and varies benefits to the divers based on how
deep they dive, you can create your own depth of diving criteria that you can use in
your eligibility profiles.
See: User-defined Eligibility Criteria, page 1-138
See: Defining an Eligibility Profile, page 1-141
Dependent Coverage Eligibility Profiles
You define dependent coverage eligibility profiles to restrict the criteria that a
dependent must meet in order to be covered by a benefit. Dependent coverage profiles
are often used to exclude certain dependents from receiving coverage under a plan. For
example, you can define a plan that excludes coverage for dependents age 21 and over.
Dependent eligibility factors include the dependent's:
• Relationship (to the primary participant)
• Age
• Status (disabled, marital, military, student)
• Postal zip
• Other
After you define a dependent coverage eligibility profile, you associate it with one or
more programs, plans, or options to limit the dependents covered by that benefit.
Required and Optional Eligibility Criteria
When you select more than one value for an eligibility criterion, at least one of the
values must be present in the participant's record for the participant to be eligible for
the benefit. In our example above, the participant must have a Work Location of either
California, Washington, or Indiana.
However, when you use multiple criteria in an eligibility profile (for example, a Work
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Location and an Organization), the participant must meet at least one criteria value for
each criterion.
Note: If you use a FastFormula eligibility rule as part of your eligibility
profile, the participant must meet the criteria of the rule and one value
from any other criteria that you include in the eligibility profile. If you
use more than one FastFormula rule, by default the participant must
meet the criteria of all the rules. If you change the user profile option
BEN:Eligible Profile Rule from AND to OR, the participant need only
meet the criteria of one rule.
Eligibility Ranking for Grade/Step Progression
For situations where eligibility does not guarantee access to a personnel action or a
compensation object (for example, due to limited vacancies or restricted budget), you
can rank an employee's eligibility relative to the eligibility of other employees.
During implementation, you can define a score and weight for each criteria in a
participant eligibility profile. The application totals the score for all criteria that the
person satisfies and assigns the person a rank relative to the total evaluated population.
You enter a score as a flat value for an eligibility criteria. If a person satisfies the
eligibility criteria, the application records the score for the person.
A weight is a value that the application multiplies with a criteria value to compute a
total. You can only use weights with criteria that contain numeric values.
Scores and weights are independent of one another. You can specify a score for a
criteria, a weight, or both a score and a weight.
Currently, this feature is only available for Grade/Step Progression.
See: Grade/Step Progression, page 2-39
Linking an Eligibility Profile to an Object
Because eligibility profiles are re-usable, you define them separately from any object.
You link a profile to a compensation object, collective agreement, grade ladder, or a
work schedule that you have created, to restrict eligibility for these.
When you link the eligibility profile to the object, you specify if the profile is required.
The participant must satisfy all profiles marked as Required and at least one profile that
is not marked Required.
Minimum and Maximum Enrollment Periods
As part of your plan design, you can specify the minimum and maximum length of
time that a participant is either required or allowed to remain enrolled in a
compensation object.
General Compensation Structures 1-131
Required Enrollment Periods
Define a minimum enrollment period for those compensation objects that require a
participant to remain enrolled for a specified period.
For example, you could define a required enrollment period of two years for a dental
plan.
Maximum Enrollment Periods
Define a maximum enrollment period for those compensation objects that place a time
limit on length of coverage. Maximum enrollment periods are often used in the US for
managing COBRA participation.
If you are an Advanced Benefits customer, the system automatically detects when a
participant has reached a maximum enrollment period that you have defined. Standard
customers are notified that a participant has reached a maximum enrollment period
when an enrollment form is opened and that person's record is queried.
Benefits Groups
When eligibility for a plan varies for a group of persons, you can define a benefits group
to explicitly group those persons together. Defining a benefits group is useful for
grouping grandfathered participants, or administering highly complex participation
eligibility involving a small number of people.
You use the Benefits Groups window to define a Benefits Group and you enter a person
into a group using the Person form.
Important: You may assign a person to only one benefits group.
Postal Zip Ranges and Service Areas
You can define a range of postal zip codes that can be used to determine eligibility and
activity rates for a benefit. Postal code ranges can be combined into service areas that you
can also use as eligibility criteria.
Service areas are a useful means of defining eligibility for a particular geographical
region when Work Location is not adequate.
Waiting Periods
You define a waiting period as the period of time that must elapse before a newly
eligible person can enroll in a benefit. Waiting periods allow participants to make
elections that will become effective at a later date.
You can define waiting periods at the following levels:
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• Program
• Plan type in Program
• Plan in Program
• Plan
• Option in Plan
Waiting periods you define at a higher level in the compensation object hierarchy
cascade to all other compensation objects in the same hierarchy.
When you define a waiting period, you specify the unit of measure in which the waiting
period is determined, for example, length of service or hours worked. For waiting
period that you define at the plan level, you can set a corresponding maximum waiting
period that can be in a different unit of measure, if required.
For example, you could define a waiting period of 200 hours worked before an eligible
employee can enroll in a medical plan. You could define a maximum waiting period for
the plan of 180 days of service. A person with less than 200 hours worked but with 180
days of service would be eligible for this medical plan based on the maximum waiting
period.
Waiting Period Determination Dates
As part of defining a waiting period, you select a waiting period date to use code that
determines the comparison date from which the system calculates the waiting period
completion date. The waiting period date to use code identifies an event from which the
waiting period is calculated, such as a participant's date of hire.
Because waiting periods can also be applied to non-employees, you can select a waiting
period date to use code that uses one comparison date for an employee and a second
comparison date for a non-employee.
For example, for a medical plan, the system could determine the waiting period for
employees based on hire date and for non-employees based on the life event that
caused the participation eligibility to be determined. In this scenario, you would select a
waiting period date to use code of "If Employee, Date of Hire; Not Employee, Life Event
Date."
You can select from the following waiting period comparison dates:
• Date of Hire
• Adjusted Service Date
• Override Service Date
• Eligibility Begin Date
General Compensation Structures 1-133
• Original Hire Date
• Life Event Date (Advanced Benefits)
• Later of the Life Event or Notification Date (Advanced Benefits)
• FastFormula Rule
Waiting Periods by Life Event
Advanced Benefits customers can vary the waiting period requirement for a benefit by
life event reason. You can define one waiting period for the compensation object and
another waiting period that applies only in the occurrence of a particular life event. You
can define waiting periods by life event at the following levels:
• Program
• Plan
• Option in Plan
Waiting Period Processing
In Standard Benefits, waiting periods are calculated based on your waiting period
definition when you open an enrollment form for a person.
For Advanced Benefits customers, waiting periods and eligibility are determined when
you run the Participation batch process. The Participation process calculates the waiting
period by adding the waiting period value (such as 60 days) to the waiting period
comparison date (such as date of hire).
If the Participation process detects a potential life event between the effective date of the
Participation process and the waiting period completion date, then no waiting period is
determined for that participant. An error is written to the log file indicating that the
waiting period must be re-determined after the intervening life event is processed.
The system also checks for temporal life events and does not create a waiting period if it
detects a temporal event that will occur between the effective date of the Participation
process and the waiting period completion date.
Continuing Eligibility: Benefits Assignments
Because you can use an employee's assignment to determine benefits eligibility, you
must maintain assignment information for terminated or deceased employees and their
qualified dependents for the purpose of providing continuing benefits.
A benefits assignment is a copy of an employee's primary assignment that is created
when one of the following events occur:
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• The employee terminates: when an administrator enters a termination date, the
application creates a benefits assignment for the employee and any dependents
with an effective date of the actual termination date plus one day.
• The employee becomes divorced or legally separated: when the status of the
worker changes to Divorced, the application creates a benefits assignment for the
ex-spouse. The person type usage of former spouse is created for the spouse on the
day of the divorce.
• The employee dies:when an administrator terminates an employee with the
Leaving Reason of Deceased, the application creates a benefits assignment for the
surviving spouse and any surviving family members. Where appropriate, the action
creates person type usage of Surviving Spouse, Surviving Family Member, Surviving
Domestic Partner, and Surviving Domestic Partner Child.
Note: The new benefits assignment does not appear until the date
after the termination, so you may need to change the system date to
view the new assignment.
• Dependent loss of eligibility (Advanced Benefits): the Maintain Designee
Eligibility process checks the eligibility of dependents of the subject employee. The
application creates a benefits assignment for the dependent who has lost eligibility.
• Reduction in hours: the application creates a benefits assignment for an employee
and any personal contacts when the employee experiences any life event reason
with a type of Reduction in Hours.
Note: Creating a Full Time-to-Part Time life event does not
automatically create a Reduction in Hours life event. You must first
set up a formula function to evaluate the number of hours from the
assignment process results.
You can also manually create a benefits assignment if the application fails to create one,
and you can update a system-generated benefits assignment.
Note: You set up the auto-generation of benefits assignments when you
define the default payroll for a business group.
You can manually add, purge, and end element entries for benefits assignments,
provided these entries are not for elements attached to an activity base rate. (When you
make an election change or enrollment override, the application updates the entries of
elements attached to an activity base rate.)
General Compensation Structures 1-135
Benefits Assignments and Payroll
For US and Canadian customers, benefits assignments must have a payroll with a
monthly periodicity since continuing benefits for ex-employees and their dependents
are typically administered on a monthly basis. When a benefits assignment is created
for an employee, the benefits default payroll that you set up for the business group is
automatically linked to the person's benefits assignment. You can change the benefits
assignment payroll to another payroll using the Benefit Assignment window.
Note: US and Canadian customers cannot process an employee
termination unless the employee's business group has a default payroll.
Customers outside the US and Canada can maintain benefits assignments with a payroll
of any periodicity; however, they must have a default payroll for benefits assignments.
See: Defining Benefits Defaults for a Business Group, Oracle HRMS Enterprise and
Workforce Management Guide
Eligibility Profile Criteria
You can define from one to dozens of eligibility criteria for an eligibility profile. Criteria
are divided into personal criteria, employment criteria, derived factors, and other
criteria, as follows.
Note: The criteria that you can select depends on whether you have
accessed the Participation Eligibility Profiles window from the Total
Compensation or Collective Agreements area of the application.
Personal Criteria
You select personal eligibility criteria from the Personal tab of the Eligibility Profiles
window.
Competencies: Uses the first three enabled segments defined for the Competency Key
Flexfield for the business group as criteria.
Disability: Uses an employee's disability category as eligibility criteria.
Gender:Uses an employee's gender as eligibility criteria.
Leaving Reason: Uses an employee's termination reason as eligibility criteria. This
criteria are often used for continuing benefits eligibility, such as for COBRA in the US
Opted for Medicare: Uses whether or not an employee is enrolled in Medicare as
eligibility criteria.
Person Type: Uses a person's person type(s) as eligibility criteria.
1-136 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Postal Zip: Uses individual zip/postal codes or ranges of zip/postal codes as eligibility
criteria.
Qualification Title: Uses a person's qualification title as eligibility criteria.
Service Area: Uses a person's service area, such as a city or other geographical area, as
an eligibility criteria.
Tobacco Use: Uses whether or not a person uses tobacco as a variable factor to associate
with an activity rate. In countries where it is illegal to hold information about a person's
tobacco usage, for example, Italy, this personal factor is unavailable.
Employment Criteria
You select employment criteria from the Employment tab of the Eligibility Profiles
window.
Assignment Set: Uses an employee's assignment or a set of assignments as eligibility
criteria.
Assignment Status: Uses a person's state of employment (Active, Inactive, or On Leave)
as an eligibility criteria.
Bargaining Unit: Uses an employee's bargaining unit (local union group) as eligibility
criteria.
Full/Part Time: Uses whether an employee works full-time or part-time as eligibility
criteria.
Grade: Uses an employee's grade as eligibility criteria.
Hourly/Salaried: Uses an employee's pay basis, either hourly or salaried, as eligibility
criteria.
Job: Uses an employee's job classification as eligibility criteria.
Labor Union Member: Uses whether an employee is a union member as eligibility
criteria.
Leave of Absence: Uses an employee's leave of absence reason as an eligibility criteria.
Legal Entity: Uses an employee's legal entity (GRE) as eligibility criteria for a benefit
(US only).
Organization Unit: Uses an employee's organization as eligibility criteria.
Pay Basis: Uses an employee's pay basis as eligibility criteria.
Payroll: Uses the employee's payroll as eligibility criteria.
People Group: Uses a person's People group as eligibility criteria.
Performance Rating: Uses an employee's performance rating as criteria.
Position: Uses a person's position as eligibility criteria.
Quartile in Grade: Uses an employee's pay range for a grade, divided by four, to
General Compensation Structures 1-137
determine the quarter into which the person's salary amount falls.
Range of Scheduled Hours: Uses the number of hours an employee is scheduled to
work as eligibility criteria. This is taken from the Working Hours field on the
assignment. For employees with more than one assignment, the hours are totaled across
all assignments if you check the 'Use All Assignments for Eligibility' check box on either
the Programs or Plans window. If you define multiple scheduled hours ranges, the
Participation Process evaluates each range as an 'Or' condition.
Work Location: Uses an employee's work location as eligibility criteria.
Derived Factor Criteria
You select derived factor eligibility criteria from the Factors tab of the Eligibility Profiles
window.
Age: Uses an employee's age as eligibility criteria.
Combination Age/LOS: Uses an employee's combination age and length of service
factor as eligibility criteria.
Compensation Level: Uses an employee's compensation level as eligibility criteria.
Full-time Equivalent: Uses an employee's percent of full-time employment as eligibility
criteria. The full-time equivalent source derives from the Assignment Budget Values
window.
Hours Worked: Uses an employee's hours worked in a given period as eligibility
criteria.
Length of Service: Uses an employee's length of service as eligibility criteria.
Other Criteria
You select miscellaneous eligibility criteria from the Other tab of the Eligibility Profiles
window.
Benefits Group: Uses a person's benefits group as eligibility criteria.
COBRA Qualified Beneficiary: Uses whether a person is considered a qualified
beneficiary under COBRA regulations to determine eligibility (US only).
Continuing Participation: Used to set the date on which an ex-employee's payment for
a continuing benefit must be received.
Participant in Another Plan: Uses a person's participation in another plan as eligibility
criteria.
Total Coverage Volume: Uses the total coverage elected for a plan or option in plan by
all participants as a variable factor in determining the actual premium owed by a plan
sponsor to the benefits supplier.
Total Participants: Uses the total number of participants covered by a plan or option in
plan as a variable factor in determining the actual premium owed by a plan sponsor to
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the benefits supplier.
User Defined Criteria: Displays the user-defined criteria that you created to meet the
particular needs of your organization. These criteria are not part of the standard criteria
that Oracle HRMS delivers, and you must create these on your own. See: User-defined
Eligibility Criteria, page 1-138
Rule: Uses an eligibility rule, instead of an eligibility profile, to refine or augment
eligibility criteria for a benefit or collective agreement entitlement.
Related Coverages
The criteria available under the Related Coverages tab are designed primarily for
COBRA administration in the US but, you can use them for other purposes.
See: COBRA Eligibility Profiles, Oracle HRMS Compensation and Benefits Management
Guide
User-defined Eligibility Criteria
You can create eligibility criteria you need for use in your eligibility profiles, to meet the
particular requirements of your organization. You can use these criteria to determine
employee eligibility for compensation, benefits, entitlements in collective agreements,
personal actions, and so on.
Oracle HRMS comes with numerous standard eligibility criteria that support common
industry requirements for defining eligibility, see: Eligibility Profile Criteria, page 1-135.
You can also define various system-calculated eligibility factors, that change over time,
as eligibility criteria, see: Derived Factors, page 1-139.
User-defined criteria gives you the additional flexibility to create your own criteria to
meet specific needs of your enterprise that the standard and derived factor criteria do
not meet.
For example, if your organization employs deep sea divers and varies benefits to the
divers based on how deep they dive, you can create Depth of Diving as a new eligibility
criterion.
You create these criteria using the Create Eligibility Criteria page or from the User
Defined Eligibility Criteria window. You can access the user defined eligibility criteria
from the Participation Eligibility Profiles window or the Dependent Coverage Eligibility
Profiles window.
See: Creating your own Eligibility Criteria, page 1-143.
You can define eligibility criteria out of person information by specifying the table and
column name where the application stores that information. In the above example, if the
application stores the details of the depth to which a person can dive in the table
PER_ALL_ASSIGNMENTS_F and column attribute 8, you specify these details in your
criteria definition to create the Depth of Diving criteria.
General Compensation Structures 1-139
Note: You can specify the table and column names that identify your
user-defined criteria values, only if you are using the tables
PER_ALL_PEOPLE_F and PER_ALL_ASSIGNMENTS_F for
participant eligibility. You can create user defined eligibility criteria for
dependents for values stored on the PER_ALL_PEOPLE_F table. If you
want to use any other table, you must use a formula. To be able to
choose the correct values, you must have a basic understanding of the
structure of the application tables that hold the required information.
For more details on these tables, please refer to Oracle HRMS electronic
Technical Reference Manual (eTRM), available on My Oracle Support.
You can also define existing hierarchies such as an organization hierarchy or position
hierarchy as criteria for use in your eligibility profiles.
Note: The hierarchies are available only for participants, and not for
dependents.
Derived Factors
Derived Factors are system calculated eligibility factors that change over time. You
define a derived eligibility factor to use as a criteria element in an eligibility profile for a
benefit plan or a collective agreement, or a variable activity rate. You can use the
derived factor of age in a dependent coverage eligibility profile.
The product supports the calculation of six derived factors:
• Compensation level
• Percent of full-time employment
• Hours worked in period
• Age
• Length of service
• Combination age and length of service
Compensation Level
You define a compensation level derived factor if you use a person's compensation
amount as an eligibility criterion or as a factor in a variable rate profile.
You can select as a compensation source a person's stated compensation, a payroll
balance type, or a benefits balance type that you define.
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Percent of Full-time Employment
You define a percent of full-time employment derived factor if you determine eligibility
or rates based on a person's percentage of full-time work.
You can choose to use a person's primary assignment only or the sum of all their
assignments when determining their percent of full-time employment.
Hours Worked in Period
You define an hours worked in period factor if you determine eligibility or rates based
on the number of hours a person works in a given period that you define.
You can choose to derive the number of hours worked from a balance type or a benefits
balance type.
Age
You define an age factor if you determine eligibility for a person or a dependent based
on age. You can define a minimum or a maximum age beyond which a person becomes
eligible or no longer eligible for a particular benefit.
You can also define an age factor that derives the age of a participant's spouse.
Note: If you calculate both a participant's age and a spouse's age to
determine eligibility or a variable rate - and enrollment restrictions vary
for the spouse and the dependent - you must duplicate the seeded Age
Change life event reason. A system administrator must then write a
Life Event Evaluation rule to determine which Age Change event to
detect.
Note: If you are defining a derived factor based on age for a collective
agreement you can only use the person's age.
Length of Service
You define a length of service factor if you determine eligibility based on how long a
person has worked for your enterprise.
You can choose to calculate length of service from a person's hire date, adjusted hire
date, or override service date.
Combination Age and Length of Service
You create a combination age and length of service factor by linking an age factor and a
length of service factor that you have defined into a new factor.
General Compensation Structures 1-141
Defining an Eligibility Profile
You use the Participation Eligibility Profiles window to define an eligibility profile with
an effective start date of your choice. Before defining the profile, define any derived
factors (such as length of service or compensation level), or your own eligibility criteria,
that you plan to use as eligibility criteria.
If you want to create your own criteria to include in the eligibility profile, click User
Defined Eligibility Criteria and create new criteria, see: Creating your own Eligibility
Criteria., page 1-143 To access these criteria, choose the Other tabbed region, and select
User Defined Criteria from the list
You can use eligibility profiles to determine:
• employee eligibility for compensation and benefits plans
• entitlements in collective agreements
• eligibility for grade/step progression
• eligibility for various work schedules, and so on
The information you can enter differs slightly depending on whether you have accessed
this window from the Total Compensation or Collective Agreements area of the
application.
Note: If you use the Total Compensation Setup Wizard to set up grade
ladders, programs and plans, and Total Compensation Statements, you
can create or update eligibility profiles while you are working in the
Wizard.
To define an eligibility profile:
1. Enter the Name of the eligibility profile you are defining.
2. Enter a Description of this eligibility profile.
3. Select an Assignment Type to which this eligibility profile applies.
For example, you can define an eligibility profile for employee assignments if this
profile is only used for employees.
Note: You can only select Employee Assignment Only for profiles
to be used with collective agreements.
4. Select the profile Status.
1-142 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Pending: This eligibility profile is currently proposed, but not active.
Active: This eligibility profile is in use.
Inactive: This eligibility profile is in use but cannot be associated with any new
programs, plans, or options.
Closed: This eligibility profile was once Active or Pending, but is no longer in use.
5. Select whether this eligibility profile applies to benefits or collective agreements. If
you are defining an eligibility profile for work schedules or grade step progression,
then select benefits.
6.
Choose the tabbed region that contains a criteria element that you want to include
in your eligibility profile. Choose from:
• Personal
• Employment
• Derived Factors
• Related Coverages (Not applicable to collective agreements)
• Other
7. Select a criteria element.
For example, you could choose Person Type as one of several eligibility criteria of
the Personal type.
Note: When you define more than one value for a criterion, at least
one of the values must be present in the person's record for them to
be eligible. However, when you use multiple criteria in an
eligibility profile (for example, a Work Location and an
Organization), the person must meet at least one value for each
criterion.
If you use a FastFormula eligibility rule as part of your eligibility profile, the
participant must meet the criteria of the rule and one value from any other criteria
that you include in the eligibility profile. If you use more than one FastFormula
rule, by default the participant must meet the criteria of all the rules. If you change
the user profile option BEN:Eligible Profile Rule from AND to OR, the participant
need only meet the criteria of one rule.
8. Enter a Seq (sequence) number specifying the order the system processes this
criteria element relative to any other criteria in this eligibility profile.
General Compensation Structures 1-143
Note: You must assign a sequence number of a higher priority to all
criteria that are used to exclude eligibility.
9. Select one or more values for the criteria element you have selected.
10. Check the Exclude field if a person becomes ineligible to participate in the
compensation object, or to receive the collective agreement entitlement you
associate with this eligibility profile if they meet this criterion.
You typically check the Exclude field when it is easier or faster to define which
persons are excluded from eligibility, as opposed to defining which person are
eligible.
11.
If you are defining an eligibility profile for a grade ladder, and you want to rank
your employees to determine the most eligible person to progress, enter an
eligibility Score for this criteria.
The application calculates the eligibility rank based on the total score for all criteria
that the person satisfies.
12. For grade ladders, you can also enter an eligibility Weight for a criteria.
The application multiplies the weight by the criteria value. You can only use
weights with criteria that contain numeric values. If you enter a score and a weight
for a criteria, the application adds the person's score to the weight to arrive at the
final number.
13. Repeat steps 6, page 1-142 to 12, page 1-143 for each criteria element that you
include in your eligibility profile.
14. Choose the Display All tabbed region to view the criteria elements in this eligibility
profile.
15. Save your work.
Defining Your Own Eligibility Criteria
Oracle HRMS enables you to create as many eligibility profile criteria as you need, in
addition to the existing standard eligibility and derived factor criteria, to meet the
particular requirements of your organization. You can use these criteria to determine
employee eligibility for compensation, benefits, entitlements in collective agreements,
personal actions, and so on.
See: User-defined Eligibility Criteria, page 1-138
Use the User Defined Eligibility Criteria window, which you can access from the
Participation Eligibility Profiles window, or the Dependent Coverage Eligibility Profiles
1-144 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
window, or use the Create Eligibility Criteria page to create your own criteria. The
information you can enter differs slightly depending on whether you are creating your
criteria from the User Defined Eligibility Criteria window or from the Create Eligibility
Criteria page.
Note: You can define eligibility criteria for dependents only from the
Dependent Coverage Eligibility Profiles window.
On both page and window you can create subcriteria, enabling you to designate two
sets of values for a single criteria. On the Create Eligibility Criteria page you can also
mandate that the person's timecard override the values stored in the table or returned
by the formula attached to the criteria. For more information, see the white paper
Setting Up the RBC/OTL/Payroll Integration (My Oracle Support Note ID 369044.1).
To create your own eligibility criteria:
1. Enter the Name, Short Name, and the Description for the new criteria.
2. Specify if the criteria accept a range of values.
3. Specify the Lookup Type or the Value Set that restrict the valid values for your
criteria.
4. To use an existing hierarchy, such as an organization hierarchy or position
hierarchy, to define the value for the criteria, select the appropriate hierarchy.
5. Specify a particular person information value as the value for your criteria by
selecting the table and column names where this information is available or by
using a formula.
Note: You can specify the table and column names that identify
your user-defined criteria values, only if you are using the tables
PER_ALL_PEOPLE_F and PER_ALL_ASSIGNMENTS_F for
participant eligibility. User defined criteria for dependents can be
created for values stored on PER_ALL_PEOPLE_F If you want to
use any other table, you must use a formula. To be able to choose
the correct values, you must have a basic understanding of the
structure of the application tables that hold the required
information. For more details on these tables, please refer to Oracle
HRMS electronic Technical Reference Manual (eTRM), available on
My Oracle Support.
6. To add a second subcriteria, click the Set 2 tab and repeat steps 2-5.
7. Save your work.
General Compensation Structures 1-145
To use these newly created user-defined criteria in your eligibility profiles, in the
Participation Eligibility Profiles window, choose the Other tab and select User
Defined Criteria from the list. Alternatively, in the Dependent Coverage Eligibility
Profiles window, choose the Other tab and select User Defined Criteria from the list.
Defining Derived Factors: Compensation Level
You can define a compensation level factor as part of an eligibility profile (to be used in
determining benefits participation or collective agreement entitlements) or a variable
rate profile. A compensation level factor can be based on either stated salary, balance
type, or benefits balance type.
You define compensation level factors in the Derived Factors window. The values you
can select in some of the fields depend on whether you have accessed the Derived
Factors window from the Total Compensation or Collective Agreements area of the
application.
To define a compensation level factor:
1. Enter a Name for this compensation level factor.
2. Select the Unit Of Measure for this compensation level factor.
3.
Select the Source of the compensation level factor.
• Select the Defined Balance for this compensation level factor if you selected a
source of balance type.
• Select a Benefits Balance Type if you selected a source of benefits balance type.
• Select the compensation periodicity in the Stated Comp Periodicity field if you
selected a source of stated compensation.
Note: If you have installed the Oracle Incentive Compensation
patch 4409180 you can select either Oracle Incentive Compensation
- Amount Earned or Oracle Incentive Compensation - Amount Paid
as the source. If you select any of these sources, then the Incentive
Compensation Information region displays, where you can enter
the Start and End Dates, and select the Prorate if date range differs
from OIC range check box
In the Values block:
4. Enter the Minimum amount under which the system does not calculate this
compensation level factor.
1-146 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
• Check the No Minimum field if there is no minimum compensation amount
under which the system excludes participants when determining participation
eligibility and activity rates.
5. Enter the Maximum amount above which the system does not calculate this
compensation level factor.
• Check the No Maximum Compensation field if there is no maximum
compensation amount above which the system excludes participants when
determining participation eligibility and activity rates.
6. Select a Determination Code or Rule to define when the system determines a
participant's compensation level.
7. Choose a Rounding Code or Rounding Rule to specify the level to which the system
rounds the results of this compensation level factor.
8. Save your work.
Defining Derived Factors: Percent of Full Time Employment
A percent full time factor derives an employee's percent of full time employment. The
application uses this information to calculate activity rates, coverage amounts, or to
determine participation eligibility for either benefits or collective agreement
entitlements.
For example, you could define the 100% percent full-time factor to identify those
employees who work 100% full-time (40 hours per week) and thus qualify for most
benefits or entitlements.
You define percent full time factors in the Derived Factors window. The values you can
select in some of the fields depend on whether you have accessed the Derived Factors
window from the Total Compensation or Collective Agreements area of the application.
To define a percent full time factor:
1. Enter a Name for this percent full time factor.
2. Check the No Minimum field if there is no minimum percentage of full-time
employment under which the application excludes employees when determining
participation eligibility and activity rates.
• Or, enter a Minimum Percent Value to define the minimum percentage of
full-time employment to be used in this calculation.
3. Check the No Maximum field if there is no maximum percent of full-time
employment beyond which the application excludes employees when determining
General Compensation Structures 1-147
participation eligibility and activity rates.
• Or, enter a Maximum Percent Value to define the maximum percent of full-time
employment to be used in this calculation.
4. Check the Use Primary Assignment Only field to specify that the application
considers only an employee's primary assignment when determining percent of full
time employment.
5. Check the Use Sum of All Assignments field to specify that the application
considers all active assignments when determining percent of full-time
employment.
6. Select a Rounding Code or Rule to specify the level to which the application rounds
the results of this calculation.
7. Save your work.
Defining Derived Factors: Hours Worked In Period
An hours worked in period factor derives the number of hours a given employee has
worked over a given period of time. The application uses this information to determine
participation eligibility for either benefits or collective agreement entitlements, activity
rates, and coverage amounts.
You define hours worked in period factors in the Derived Factors window. The values
you can select in some of the fields depend on whether you have accessed the Derived
Factors window from the Total Compensation or Collective Agreements area of the
application.
To define an hours worked in period factor:
1. Enter a Name for this hours worked in period factor.
2. Select the calculation source for this hours worked in period factor in the Source
field.
Balance Type: The application retrieves hours worked information from a balance.
Benefits Balance Type: The application retrieves hours worked information from a
benefits balance.
3. Specify when the application calculates this hours worked in period factor in the
Once or Continuing field.
Once: The application only calculates this hours worked in period factor following
a life event or for open enrollment.
Continuing: The application calculates this hours worked in period factor each time
1-148 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
you run the Participation batch process.
4. Select the Defined Balance for this compensation level factor if you selected a
calculation source of balance type.
5. Select a Benefits Balance Type if you selected a calculation source of benefits
balance type.
6. Check the No Minimum field if there is no minimum number of hours worked in
period under which the application excludes employees when determining
participation eligibility and activity rates.
• Or, enter the Minimum hours worked in period under which the application
does not calculate this hours worked in period factor.
7. Check the No Maximum field if there is no maximum hours worked in period
above which the application excludes employees when determining participation
eligibility and activity rates.
• Or, enter the Maximum hours worked in period beyond which the application
does not calculate this hours worked in period factor.
8. Select an hours worked Determination Code or Rule that defines how to calculate
the hours worked in period.
9. Select a Rounding Code or Rule to specify the level to which the application rounds
the results of this hours worked in period factor.
10. Save your work.
Defining Derived Factors: Age
An age factor derives a person's age in order to determine participation eligibility for
either benefits or collective agreement entitlements, activity rates, and coverage
amounts.
For example, you could define the Retire 65 age factor to identify those employees who
are at least 65 years of age and thus qualify for a maximum benefit under your
corporation's retirement plan. For collective agreements you could define the Age Less
Than 21 age factor to identify those employees who are less than 21 and thus should be
placed on a particular grade.
You define age factors in the Derived Factors window. The values you can select in
some of the fields depend on whether you have accessed the Derived Factors window
from the Total Compensation or Collective Agreements area of the application.
General Compensation Structures 1-149
To define an age factor:
1. Enter a Name for this age factor.
2. Select the UOM to specify the unit of measure for this age factor.
3. Select an Age to Use code to indicate the kind of person, such as the participant or
the participant's child, for whom you are defining a derived age factor.
Note: Derived factors to be used with collective agreements can
only use the employee's age.
4. Select an Age Determination Code or Rule to specify the date the application uses to
calculate age.
5. Check the No Minimum Age field if there is no minimum age under which the
application excludes employees when determining participation eligibility and
activity rates.
• Or, enter the Minimum age beyond which the application does not calculate
this age factor.
6. Check the No Maximum Age field if there is no maximum age beyond which the
application excludes employees when determining participation eligibility and
activity rates.
• Or, enter the Maximum age beyond which the application does not calculate
this age factor.
7. Select a Rounding Code or Rule to specify the level to which the application rounds
the results of this age factor calculation.
8. Save your work.
Defining Derived Factors: Length of Service
A length of service factor derives the length of service for a given worker in order to
determine participation eligibility for either benefits or collective agreement
entitlements, activity rates, and coverage amounts.
You define length of service factors in the Derived Factors window. The values you can
select in some of the fields depend on whether you have accessed the Derived Factors
window from the Total Compensation or Collective Agreements area of the application.
1-150 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
To define a length of service factor:
1. Enter a Name for this length of service factor.
2. Select the unit of measure in the UOM field by which you are defining the length of
service factor.
3. Select a Determination Code or Rule that defines how the system calculates an
employee's length of service.
4. Check the No Minimum Applies field if there is no minimum length of service
under which the system excludes employees when determining participation
eligibility and activity rates.
• Or, enter the Minimum length of service under which the system does not
calculate this length of service factor.
5. Check the No Maximum Applies field if there is no maximum length of service
above which the system excludes employees when determining participation
eligibility and activity rates.
• Or, enter the Maximum length of service beyond which the system does not
calculate this length of service factor.
6. Select a length of service Date to Use Code or Rule to specify the date from which
the system calculates the employee's length of service.
Hire Date: The system always uses the employee's hire date as the start date when
calculating length of service.
Adjusted Service Date: The system first uses the employee's adjusted service date if
one exists. If there is no adjusted service date, the system uses the employee's hire
date.
7. Check the Use Override Service Date field to indicate that the system should
override the person's service date when determining eligibility.
Note: You enter the Override Service Date for a person in the
Participation Overrides window.
8. Select a Rounding Code or Rule to specify the level to which the system rounds the
results of this length of service factor.
9. Save your work.
General Compensation Structures 1-151
Defining Derived Factors: Combination Age and Length of Service
A combination age and length of service factor associates two factors you have already
defined: an age factor and a length of service factor.
You define combination age and length of service factors in the Derived Factors
window. The values you can select in some of the fields depend on whether you have
accessed the Derived Factors window from the Total Compensation or Collective
Agreements area of the application.
To define a combination age and length of service factor:
1. Enter a Name for the combination age and length of service factor you are defining.
2. Select an Age Factor.
3. Select a Length of Service Factor.
4. Enter the Minimum value for the combination of age and length of service that
qualifies a person as eligible for the benefit, collective agreement entitlement, or
activity rate with which this factor is associated.
5. Enter the Maximum value for the combination of age and length of service that
qualifies a person as eligible for the benefit, collective agreement entitlement, or
activity rate with which this factor is associated.
6. Enter an Order Number to specify the order in which the application processes and
displays combined age and length of service records.
7. Save your work.
Defining a Dependent Coverage Eligibility Profile
You use the Dependent Coverage Eligibility Profiles window to define an eligibility
profile that limits the conditions that enable a dependent to receive coverage under a
benefit.
You link the dependent coverage eligibility profile to the compensation object using the
Dependent Coverage tabbed region of the Program Enrollment Requirements window.
Or, use the Designations tabbed region of the Plan Enrollment Requirements window if
the profile is for a plan that is not in a program.
To define a dependent eligibility coverage profile:
1. Enter the Name of the dependent coverage eligibility profile you are defining.
1-152 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
2. Select the Status of this dependent coverage eligibility profile.
Active: This eligibility profile is currently available to associate with a
compensation object.
Pending: This eligibility profile is currently proposed, but not yet available to
associate with a compensation object.
Inactive: This eligibility profile is in use but cannot be associated with any new
compensation objects.
Closed: This eligibility profile was once Active or Pending, but is no longer in use.
3. Select a Regulation to specify a statute or regulation that enables, defines, or
restricts the eligibility criteria maintained in the profile.
4. Enter a Description of this profile.
5. Select a Rule to include in this profile if the standard dependent coverage eligibility
profile criteria do not fully support your business requirements.
6. Choose the tabbed region that represents the factor by which you want to restrict
dependent coverage. Choose from:
• Relationship
• Age
• Status (includes disabled, marital, military, and student status)
• Postal Zip
7. Select the factor by which you are restricting dependent coverage in the Name field.
Select one or more factors for each tabbed region, as required by your business
rules.
8. Check the Exclude field for a factor in the Age region or the Postal Zip region if a
dependent who meets this age or postal zip is excluded from receiving coverage.
9. Save your work.
Defining Benefits Groups
You use the Benefits Groups window to define the groups into which you place various
categories of employees and other benefits participants for purposes of eligibility or
activity rate restriction.
You assign a person to a benefits group using the Benefits Tabbed region of the People
window.
General Compensation Structures 1-153
Note: If necessary, you can add the Benefits Tab to the People window.
As a system administrator, query the BEN_MANAGER menu in the
Menus window and add the HR View Benefits function to the menu.
Note: You may assign a person to only one benefits group.
To define a benefits group:
1. Enter a unique name for this benefits group.
2. Enter a description of the benefits group.
3. Save your work.
Defining Regulations
You define regulations as discrete rules, policies, or requirements that a governmental
or policy making body defines regarding the administration of one or more benefits.
To define a regulation:
1. Navigate to the Regulations window.
2. Enter a Regulation Name impacting the administration of one or more benefits.
3. Enter a Statutory Citation Name for this regulation.
4. Select a Regulatory Body such as a governmental or policy making body
responsible for this regulation.
5. Select an Administrative Code indicating whether this regulation is issued by or
enforced by this regulatory body.
6. Save your work.
Defining Postal Zip Ranges
You date effectively define postal zip ranges that can be used to determine participation
eligibility and activity rates.
You also use this window prior to defining service areas. The postal codes populate the
list of values of the Postal Zip within Service Area region of the Service Areas window.
See Defining Service Areas, page 1-154
1-154 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
The following parameters are on the Postal Zip Ranges window:
• From Value is the beginning of the zip code range you want to define, inclusive.
• To Value is the ending value of the zip code range you want to define, inclusive.
To define a postal zip range:
1. Enter a beginning and ending postal code, and save.
Defining Service Areas
You date effectively define service areas for a benefits carrier or third party agent. For
instance, you might want to define a service area for a city or other geographical area,
and list the service provided.
The following parameters are on the Service Areas window:
• Service Area region
• Name is the name of the region you are defining, e.g., "Coastal."
• Product is the name of the service provided to the region, e.g., "Medical Plan 1"
Note: Lookup values for this field are located in BEN_PRDCT.
• Postal Zip within Service Area region
• Postal Zip Range is the postal range for the service area
See Defining Postal Zip Ranges, page 1-153
To define a service area:
1. Enter or query the name of the service region.
2. Enter the appropriate service or product in the Product field.
3. Enter the zip code range for the service area.
4. Save your work.
Salary and Grade Related Pay and Progression 2-1
2
Salary and Grade Related Pay and
Progression
Salary, Grades, and Pay Administration Overview
Oracle HRMS provides flexible mechanisms that support common industry approaches
to grade implementation, and salary and pay administration.
Grades
Enterprises use grades to compare roles within their organizational structure and relate
compensation to grades to pay their employee in groups. Oracle HRMS uses grades to
represent relative levels of management or seniority of employees in an enterprise, and
provides alternative approaches to grade related pay administration, if you administer
salaries for groups of employees.
Models of Pay Administration
Oracle HRMS supports the following typical models of grade implementation and pay
administration.
• Model 1: Individual Pay: You administer salaries on an individual basis and
process salary updates manually. Grade changes do not trigger salary changes. You
can, however, use grade rates as a guideline for manual update of salaries.
For this model, you use Salary Administration. You can enter salary amounts or
wage rates for all new employees using the Salary page. You can also enter
proposals for salary changes and identify the various components making up the
changes.
Salary basis is central to the salary administration functionality. It sets the
relationship between various components of the salary administration functionality.
See: Salary Basis, page 2-7 and Starting Salary and Salary Proposals, page 2-16
2-2 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
For rapid updates to many salaries, you can download salary information to a
spreadsheet, modify it, and upload again using Web Applications Desktop
Integrator (Web ADI).
See: Salary Spreadsheets, page 2-17
You can also use Compensation Workbench to allocate compensation awards and
propose changes to salary components on an individual basis or for groups of
employees. Using Compensation Workbench line managers set compensation
budgets and issue them to the reporting managers. Reporting managers then
allocate compensation awards within these budgets to employees belonging to their
organizations.
See: Compensation Workbench, page 3-9
• Grade-Related Pay
• Model 2: Group Pay (Common Pay Scale): Pay is based on grade and,
optionally, grade step. In this model every grade or subgrade maps to a point
on a common pay scale and enables you to compare multiple grade groups to a
single set of values.
• Model 3: Group Pay (No Common Pay Scale): Pay is based on grade but may
also vary by other criteria. For example, the pay for employees on the same
grade may vary according to their location. You create a default pay rate for
each grade and, optionally, grade step and you create a separate pay rate for
each set of criteria (location, in our example). Similarly you can vary pay on the
basis of other criteria such as union or job.
For more information on these models, see: Recognizing Your Grade
Implementation Model, page 2-30
If follow Model 2, you may choose to use either the Grade/Step Progression (GSP)
or the non-automatic step progression features to manage your grades and grade
related pay. To follow Model 3, you must use Grade/Step Progression.
The Grade/Step Progression approach, enables you to group together grades and
grade steps into a Grade Ladder and then define system-based rules for the
automatic progression of your employees on these grades and steps. You can also
update employee salary automatically whenever these is a grade or step change.
See: Implementing Grade Related Pay, page 2-34, Administering Grades and Pay
(Without Using Grade Ladders), page 2-53, and Administering Grade/Step
Progression, page 2-55
• Model 4: Criteria-based Pay: Pay varies according to combinations of criteria. You
create a matrix in which you record values for each rate (salary, overtime,
allowances, and so on) against combinations of criteria (such as performance rating
for each job at each location). You administer pay by creating a rate matrix and
retrieving values based on a person's current assignment or overriding values from
Salary and Grade Related Pay and Progression 2-3
their timecard, using the rate retrieval API.
See: Criteria-Based Rates for Variable Pay, page 2-74
Recording Market Compensation Surveys
Using Oracle HRMS you can enter details from compensation surveys conducted across
your industry. You can then link the survey details for individual jobs, called salary
survey lines, to the jobs, positions, and assignments you use in your enterprise.
Note: You can also download information from market survey
companies using APIs.
See: Entering Compensation Surveys, page 2-25
Reporting on Salary, Pay, and Grade Progression
The salary amounts or wage rates you enter or change provide your enterprise with
information for analysis purposes. If you are also using Oracle Payroll, they also
provide some of the values that payroll calculations use. If you are using another
payroll system, they can also provide salary information for that payroll to process.
Oracle HRMS and Oracle HRMSi enable you to generate a range of reports to meet your
business analysis needs and aid payroll calculations.
For example, using the Salary Review Report you can check the current and past
salaries for some or all of your employees.
The Compensation History page in SSHR enables you to view the in-progress, current,
and historical information about compensation and ranking of your employees. If you
use Compensation Workbench, this feature supplies a number of reports for salary
changes, bonuses, and stock options.
See: Compensation Reporting, page 1-52 and Salary and Grade Related Pay and
Progression -- Reports, Oracle HRMS Configuring, Reporting, and System Administration
Guide
Oracle HRMS also includes various Workforce Intelligence reports that help you
analyze salary and grade related information.
Key Concepts
To enable you to manage the basic remuneration that employees receive, you need to
understand the following key concepts that underpin the Salary Administration
functionality:
• Salary Earnings Elements, page 2-7
• Salary Basis, page 2-7
2-4 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
• Salary Components, page 2-8
• Starting Salary and Salary Proposals, page 2-16
• Salary Spreadsheets, page 2-17
To enable you to effectively enter information about salary surveys you need to
understand another key concept:
• Compensation Survey Identifiers, page 2-24
To enable you to manage grade related pay and progression, you need to understand
the following key concepts:
• Grades and Grade Structures, page 2-29
• Grade Implementation Models, page 2-30
• Grade Rates, page 2-35
• Pay Scales, page 2-37
• Grade/Step Progression, page 2-39
To use Rate by Criteria, read:
• Criteria-Based Rates for Variable Pay, page 2-74
Salary, Grades, and Pay Administration
Using the Salary Administration functionality in Oracle HRMS you are able to manage
efficiently the basic remuneration that employees receive. You can manage
grade-related pay using Grade/Step Progression, and variable pay using Rate by Criteria.
How does HRMS enable you to administer salaries?
You can enter salary amounts or wage rates for all new employees that take effect
immediately. You can also enter proposals for salary changes and identify the various
components making up the changes. For rapid updates to many salaries, you can
download salary information to a spreadsheet, modify it, and upload again using Web
Applications Desktop Integrator (Web ADI).
You can also use Compensation Workbench to allocate compensation awards and
propose changes to salary components.
Once you have proposed salary changes, you can approve and implement the proposed
changes quickly and easily.
Salary and Grade Related Pay and Progression 2-5
Can you associate salary changes with performance reviews?
Yes. You are able to associate all salary changes with the result of performance reviews.
Also, you can identify which components of a salary change are associated with
performance, such as merit awards.
How do you handle grade related pay?
Depending on the requirements of your enterprise you may choose either the
Grade/Step Progression (GSP) or the non-automatic step progression features to
manage your grade related pay. If you follow the non-automatic step progression
approach, you use grade rates, pay scales, scale rates, and grade scales to relate grades or
sub-grades to pay. If you use the Grade/Step Progression approach, you use the Grade
Ladder to group together grades (and grade steps) and then define default and criteria
salary rates to relate grades to pay.
Can you vary grade related pay across your enterprise?
If you differentiate grade-related pay according to certain predefined criteria, you can
use the Grade/Step Progression business process to record different pay rates for the
same grade (or grade step). For example, if your enterprise differentiates pay for
employees who are on the same grade (or step) but in different office locations, you can
record one set of pay rates (known as criteria salary rates) for each location.
How do you pay employees at varying rates based on the roles they perform?
Rate by Criteria (RBC) offers the flexibility of the rate matrix, enabling you to pay any
employee at a different rate for each role they perform. You can specify multiple (up to
seven per matrix) eligibility criteria such as location and shift; rate parameters such as
minimum, maximum, and overtime rates; define your own criteria; and tailor payroll
formulas that call the RBC function. You can also leverage the integration with Oracle
Time and Labor to tie RBC to timecards.
Can you automate the progression of employees in your enterprise?
The Grade/Step Progression business process enables you to group together grades
(and grade steps) and then define system-based rules for their progression. These rules
allow you to define how an employee becomes eligibility for progression, the grade (or
step) to which they are eligible to progress, any salary updates relating to successful
progression, and how those salary updates are passed to your payroll. When the
application finds an employee eligible for progression, it either progresses them
automatically, or flags them for manual progression, and makes any necessary salary
updates (if you have set up Grade/Step Progression to apply automatic salary updates).
2-6 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Can you analyze and compare salaries for groups of employees?
Yes. You can report on current and previous salaries for groups of employees (such as
employees in a selected organization or on a certain grade). You can compare salaries to
the mid point defined for a grade. You can download salary proposals to a spreadsheet
for "what if" analysis.
Using HRMSi you can review current and proposed salaries of comparable groups of
employees.
Can you map market compensation surveys to information for your enterprise?
Yes. Using Oracle HRMS you enter the results of different compensation surveys. For
example, you can record the minimum and maximum salaries for jobs within your
industry. You can then link the compensation survey details to jobs, positions, and
assignments within your enterprise.
If Payroll is installed, does this link to pay?
Yes. No matter which method you choose to administer pay, Oracle Payroll can process
the pay rates for which your employees are eligible.
Salary and Grade Related Pay and Progression 2-7
Salary Administration Setup
Salary Earnings Elements
For Salary Administration, you need at least one salary earnings element for each group
of employees whose salary is quoted on the same basis (such as hourly or monthly).
You then link these elements to components of employee assignments, to determine
which employees are eligible for a particular element. Oracle Payroll can process these
elements in payroll runs to generate salary amounts for employees. A third party
payroll can take information from these elements for use in generating amounts for
employees.
HR-Only
If you are an HR-only customer, you need to work closely with your Payroll
Department to ensure that the elements used in Salary Administration are correctly set
up for transmission of information to whatever payroll is in use.
Predefined Earnings Elements
Some HR localizations have certain predefined earnings elements already set up when
you receive your HR system. For example, US-HRMS includes the predefined earnings
elements Regular Salary and Regular Wages. Depending on your requirements, you
may decide to use some predefined elements to represent actual earnings types in your
system.
If you are an Oracle Payroll user, you will also get other predefined elements.
However, predefined elements cannot be changed in any way. For this reason, you may
decide to use the predefined elements simply as models for other earnings elements
that you define to meet the particular requirements of your enterprise.
If predefined elements are not available to represent all the earnings types and salary
bases you need for your Salary Administration setup, you must create your own
elements for this purpose.
Salary Basis
When your elements for use in Salary Administration are in place and you have defined
links for them, you associate an element with each salary basis in use in your enterprise.
The salary basis establishes the duration for which a salary is quoted, such as, hourly
(for example, 1,000 yen per hour) or annually (for example, 18,000 pounds per year).
The salary basis is not necessarily the same as the pay frequency. For example, an
employee with an hourly pay rate can have the salary basis Hourly Salary, but can have
2-8 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
an assignment to a weekly payroll and therefore have a weekly pay frequency.
Note: You cannot use the Element Entries window or BEE to make
entries to any elements that are associated with salary bases. You must
use the Salary page to enter and maintain entries for the element.
Elements and Salary Basis for Payments
Salary Components
Salary changes can be broken down into two or more components, to reflect different
reasons for the change. You can approve each component of the proposal separately.
Ten salary components are predefined, as shown in the following table. You can create
as many additional components as you require. However, only ten components can be
displayed in the Salary Management folder. If you want your new components to be
displayed in the folder instead of the default components, you must update a view.
This task is for system administrators.
Predefined Salary Component Lookup
Cost of Living COL
Job Evaluation JOEV
Salary and Grade Related Pay and Progression 2-9
Predefined Salary Component Lookup
Location Adjustment LOAD
Market Adjustment MKAD
New Hire NEWH
Performance PERF
Periodic Review PERE
Progression PROG
Promotion PROM
Transfer Adjustment TRAD
Setting Up Salary Administration
Use the Salary page to manage efficiently the basic remuneration that employees
receive.
1. Create (or Decide on) Salary Elements, page 2-10
2. Decide How To Validate Salary Entries, page 2-12
3. Link the Salary Element, page 2-12
4. Define a Salary Basis, page 2-14
5. Review the salary components predefined as values for the Lookup Type
PROPOSAL_REASON. If you want your new components to be displayed in the
Salary Management folder, you must also change a view. See: Creating Salary
Components, page 2-13
6. Optional: If you want Oracle HRMS to calculate full-time equivalent salaries for
part-time employees, set the HR: FTE Factor user profile option. For more
information on the different available options, see: User Profiles, Oracle HRMS
Configuring, Reporting, and System Administration
7. Optional: configure compensation survey to enable you to compare your employees
salaries with published compensation survey data specific to your industry.
2-10 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
See: Compensation Surveys, page 2-24
8. Optional: If you want the compensation manager to explicitly approve an
employee's new salary (for example, approve only after all the HR processes such
as background verification checks are complete), then set the HR: AUTO APPROVE
FIRST SALARY PROPOSAL profile option to NO.
Otherwise, set the HR: AUTO APPROVE FIRST SALARY PROPOSAL profile
option to Yes or leave it blank to automatically approve an employee's new salary.
9. If you want to record performance ratings such as Outstanding, Superior and
Average, enter them in the Lookups window for the Lookup Type
PERFORMANCE_RATING.
See: Adding Lookup Types and Values, Oracle HRMS Configuring, Reporting, and
System Administration Guide
10. Add the function "Salary Administration Approve" to the menu of responsibilities
that should be able to approve salary proposals. Without this function, users can
enter salary proposals but they cannot approve them.
See: Defining Menus, Oracle HRMS Configuring, Reporting, and System Administration
Guide
11. Assign employees to a salary basis using the Salary Information region of the
Assignment window. Also assign employees to a grade, if you have associated a
grade rate with the salary basis.
See: Assigning Employees to a Salary Basis, Oracle HRMS Workforce Sourcing,
Deployment, and Talent Management Guide
Creating a Salary Element
You need at least one salary element for each salary basis in your enterprise.
If predefined elements exist in your localization, you might decide to use these. If your
localization does not include predefined elements, or if the predefined elements are
insufficient or inappropriate, you must create these elements.
You create a salary element in the Element window.
US and Canada Payroll only: If you decide not to use the predefined Regular Salary
and Regular Wages elements, create your own elements using the Earnings window,
rather than the Element window.
Mexico, Canada, and UAE only: Use the Element Design Wizard to create your own
elements, rather than the Element window.
Salary and Grade Related Pay and Progression 2-11
To create a salary element:
1. Set your effective date to a day on or before the start of the first payroll period for
which you want to enter salaries.
2. Enter a name for the element, and select the classification Earnings.
3. Payroll only: Select the proration event group, if this field is available for your
legislation.
4. Select the type Recurring.
5. Do not check the Standard check box.
6. Save the element, then click Input Values.
7. Create one input value to hold the salary value in the Input Values window. If you
want to associate this element with more than one salary basis, create one input
value for each salary basis.
Tip: If the salary basis is different from the payroll periods of the
employees who will receive this element, make this clear in the
input value name. For example, if the salary basis is Annual, you
could name the input value Annual Salary.
Also, you can use the input value unit of Number instead of Money
to enter salaries of up to 5 decimal places. For example, if you pay
your employees' 10 pounds per day and a day consists of 7 hours,
you can set up the input value unit as Number, this enables you to
enter the employee's hourly rate as 1.4286 pounds. If the average
day is 8 hours you could use the input value unit of Money because
the hourly rate of 1.25 pounds only requires two decimal places.
8. Optionally, enter validation criteria for the input value, such as a Minimum and
Maximum value, or a formula to perform the validation, if required. Select Error in
the Warning or Error field.
See Validating Salary Entries, page 2-12
Note: If you select Warning, users do not see the warning in the
Salary page.
9. Save your work.
2-12 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Linking the Salary Element
Link the salary elements to components of employee assignments to establish employee
eligibility for the elements.
Use the Element Link window to link the salary element.
To link the salary element:
1. Set your effective date to a day on or before the start of the first payroll period for
which you want to enter salaries.
2. Select your new salary element.
3. Do not check the Standard check box.
4. Select eligibility criteria for this element. If you want to make the element available
to all employees, do not select any criteria.
5. Save the link.
6. If you want to enter different validation criteria for different eligibility groups, you
can change the Min and Max valid values in the Link Input Values window.
Validating Salary Entries
There are two ways to validate salary entries:
• You can warn users when they enter a salary proposal that is outside a valid range
defined for an employee's grade. This approach uses grade rate ranges.
• You can prevent users from approving a salary that is outside a valid range, or that
fails validation performed by a formula. Notice that this validation is not performed
until you try to approve a salary proposal. This approach uses element input value
validation.
To validate salaries against grade rate ranges:
1. Create a salary grade rate and enter minimum, maximum, and midpoint values for
each grade.
See: Defining a Grade Rate, page 2-49
2. When you define the salary basis, select your salary grade rate.
See: Defining a Salary Basis, page 2-14
Salary and Grade Related Pay and Progression 2-13
3. Assign your employees to grades.
To validate salaries using input value validation:
1. If you want to validate salaries using a formula, create your formula in the Write
Formulas window.
See: Writing Formulas for Validation, Oracle HRMS FastFormula User Guide
2. When you define an input value for the salary element, you can select a formula to
perform validation, or you can enter minimum and maximum valid values.
See: Creating a Salary Element, page 2-10
3. If you want to vary the validation for different groups of employees, you can enter
validation criteria in the Link Input Values window.
See: Linking the Salary Element, page 2-12
Creating Salary Components
You can create as many additional salary components, as you require. However, only
ten components can be displayed in the Salary Management folder. If you want your
new components to be displayed in the folder instead of the default components, you
must update a view.
To create new salary components to display in the folder:
1. Query the Lookup Type PROPOSAL_REASON in the Lookups window and add a
new code for each new component.
2. Open the View file peupl01v.sql in a text editor.
3. Go to the component reason list and replace the default Lookups with the new
codes you have created.
Note: There are two places in the file where you need to change
these codes.
4. Go into SQL*Plus as hr user and run the edited script.
5. Change the column names in the Salary Management folder by choosing Change
Prompts from the Folder menu.
2-14 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Defining a Salary Basis
Use the Salary Basis window to define a salary basis for each salary element to be used
for salary administration. This establishes the duration for which a salary is quoted, for
example, hourly, monthly or annually.
To define a salary basis:
1. Enter an appropriate name for the salary basis.
2. Select a pay basis, such as Annual or Hourly. For example, select Monthly Salary if
you are using the predefined Regular Salary element in the US.
If you selected Annual or Monthly, Oracle HRMS identifies the number of
payments and enters 1 or 12 in the Pay Annualization Factor field. You can change
this value, if required.
If you selected Hourly, the Pay Annualization Factor field is blank. Enter your own
value, such as 2080 (40 hours * 52 weeks) to enable the Salary page to display an
annual salary from the hourly rate.
If you select Period, leave the Pay Annualization Factor field blank, Oracle HRMS
uses the payroll period of your employee as the annualization factor.
Note: The pay basis is for information only. For example, to enable
you to compare salaries.
3. Select the name of the salary element and input value associated with this salary
basis. For example, if you are using predefined elements in the US, select Regular
Salary and the input value Monthly Salary, or Regular Wages and the input value
Rate.
Note: If you use Oracle Payroll, do not select Pay Value as the input
value for the salary element. Oracle Payroll does not run the
payroll formula associated with this element if you select Pay Value
and therefore this selection may result in incorrect balances.
4. Select a grade rate to associate with the salary basis, if required.
Oracle HRMS uses the grade rate to validate your salary proposals. You receive a
warning if the salary you enter for an employee is not within the grade rate range
defined for the employee's grade.
5. Select the grade rate basis (Hourly, Monthly, Annual, or Period) for the rate if you
selected a grade rate. For example, if your grade rate specifies the valid monthly
salary ranges for each grade, select Monthly Salary in the Grade Rate Basis field.
Salary and Grade Related Pay and Progression 2-15
If you selected Annual or Monthly, Oracle HRMS identifies the number of
payments and enters 1 or 12 in the Grade Annualization Factor field. You can
change this value, if required.
If you selected Hourly, the Grade Annualization Factor field is blank. Enter your
own values, if required.
If you selected Period, leave the Grade Annualization Factor field blank, Oracle
HRMS uses the payroll period of your employee as the annualization factor.
Note: This is for information only. For example, to enable you to
compare salaries within grades.
6. Save your changes.
2-16 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Salary Administration
Starting Salary and Salary Proposals
Use the Salary page to enter starting salary amounts for new employees, which can be
explicitly approved or receive approval automatically. You can enter a proposed salary
change for a current employee at any time. You can enter a salary proposal as:
• A new amount
• A single change amount or multiple change amounts
• Percentages (reflecting different factors or reasons contributing to the change, such
as a merit award plus a cost of living component)
To hold multiple reasons for a starting salary or a salary change, you break down a
proposal into two or more components. Each component represents a different reason
for changing the salary. You can define as many reasons as you require using the
Lookup Type PROPOSAL_REASON. Examples of components are Merit Award and
Cost of Living Increase.
Optionally, you can rank the employee to track their performance in the future or
consider their performance rating to assist you in proposing a salary change. You can
enter grade rate ranges against which the application validates salary proposals, if
required, when you set up salary administration.
You can also use Compensation Workbench to allocate compensation awards and
propose changes to salary components. See: Compensation Workbench, page 3-9 for
further details.
Salary Change Approval
A salary proposal does not go into effect until it receives approval. If you have recorded
multiple components of a salary proposal, you can approve each component
independently. When an unapproved proposal exists for an assignment, you must
either approve or delete it before you can enter a new proposal.
When you approve a salary, Oracle HRMS creates or updates a salary element entry for
the assignment. You can view this entry in the Element Entries window, but you cannot
change it there.
Note: You can approve components, but you may not be able to
approve salaries. This is controlled by a menu function set up by your
system administrator.
Salary and Grade Related Pay and Progression 2-17
Assignment Changes
If an employee's assignment changes such that it continues to be eligible for the salary
element but via a different element link, the existing element entry is ended. No new
element entry is created automatically. (This is in contrast to the behavior for other
types of element.) You must re-enter and approve the salary proposal following the
assignment change. This ensures the integrity of your salary data.
Correcting or Deleting a Salary Proposal
Using the Salary page you can:
• Make corrections to your current or previous salary proposals
• Enter a new salary proposal between two current salary proposals
• Delete the current or previous salary proposals
• Delete a salary proposal leaving a gap between two existing salary proposals
Salary Related Details
The Salary page summarizes and displays information to help you perform informed
salary administration all in the same page. You can find information on
• The grade step details from the Grade Salary Limits region
• The salary basis details from Salary Basis Details region
• The employee's performance ratings from the Recent Performance region
• The full time equivalent of employee's salaries to effectively administer salaries for
part-time employees
Review and Compare Salaries
Before entering salary proposals, you can review the current salaries of comparable
groups of employees using the Salary page. You can also view the salary history of an
employee and compare employee salary against published compensation survey data
for similar jobs and positions in your industry.
For other methods of reviewing the current salaries of similar employees,
see:Reviewing Current Salaries, page 2-21.
Salary Spreadsheets
Using Web Applications Desktop Integrator (Web ADI), you can download information
2-18 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
from the Salary Management folder to a spreadsheet. Here you can manipulate the data
to create new salary proposals or to modify existing proposals. You can then upload
your revised salary information to the database. If your responsibility permits, you can
approve all or selected proposals in the folder. Using Web ADI you can also upload
descriptive flex field information.
The changes you make in the spreadsheet are checked when you upload them to the
database. To minimize errors, follow these rules:
• Do not enter components for a first salary (for example, for a new hire). Enter a
proposed amount and change date only.
• Enter changes for the full salary or for components but not for both.
• If you enter components, make sure you enter a value (Y or N) in the Approved
field for each component.
• Do not alter a Change Date that was downloaded from the database.
• Do not enter information in the grey fields (except for Change Date).
• Note that the Change Amount is given precedence over the Change Percentage. If
you enter inconsistent values, the upload process records the new change amount
and adjusts the percentage to match. If you want to record a percentage change,
clear the amount field.
• If you want to delete a component, clear both the change amount and percentage
fields for that component.
See: Data Download Using Web ADI, Oracle HRMS Configuring, Reporting, and System
Administration Guide
See: Data Upload Using Web ADI, Oracle HRMS Configuring, Reporting, and System
Administration Guide
Using the Salary Management Folder
Using the Salary Management Folder, you can select sets of assignments for which you
want to enter or approve salary proposals. For each assignment, the folder can display
the current approved salary and proposed new salary, including up to ten salary
components.
Using Web Applications Desktop Integrator (Web ADI), you can download information
from the Salary Management folder to a spreadsheet. Here you can manipulate the data
to create new salary proposals or to modify existing proposals. You can then upload
your revised salary information to the database. If your responsibility permits, you can
approve all or selected proposals in the folder.
See: Data Download Using Web ADI, Oracle HRMS Configuring, Reporting, and System
Salary and Grade Related Pay and Progression 2-19
Administration Guide
See: Data Upload Using Web ADI, Oracle HRMS Configuring, Reporting, and System
Administration Guide
To manipulate salary proposals in a spreadsheet:
1. In the Salary Management folder, query the assignments you want to process.
2. Display the folder columns that you want to export.
3. Choose the Export Data icon on the Oracle HRMS tool bar to display the Settings
page of the Web ADI wizard.
Note: You need to be logged into your self-service home page for
the Web ADI settings page to appear. Otherwise, you will be
prompted with the self-service applications login screen.
Caution: When moving between Web ADI pages, do not use your
browser's Back or Forward buttons, as this causes information to be
lost; instead, use the Back, Next and Cancel buttons displayed on
the Web ADI page.
4. Select a spreadsheet viewer. If several versions of the viewer are available, your
system administrator can tell you which version is appropriate.
5. Ensure that the Reporting check box is unchecked. You cannot upload data if the
Reporting check box is selected when you download the data.
Note: You can upload data only if the HR Update Salary Proposals
integrator has been set up to allow upload. Check with your system
administrator that the required integrator is available.
6. All other information is defaulted and a Review page displays the parameters that
will be used to create the document. Choose the Create Document button to
continue.
A spreadsheet document is created and displayed, and the data from the records
you queried is added to the spreadsheet. A number of confirmation messages
appear as the document is created.
The data downloaded to the document depends on the query you entered in the
window and the columns in your layout.
Note: You may want to save the spreadsheet on your desktop at
2-20 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
this stage, as otherwise the spreadsheet and the data it contains will
be lost from your desktop when you close the spreadsheet (the data
remains in the Oracle application).
7. Edit the data in the spreadsheet. Save the spreadsheet with a new name (to prevent
it being overwritten the next time Web ADI is run).
For further information about the rules to follow when editing the data in your
spreadsheet, see: Salary Spreadsheets, page 2-17.
In the Upl column of the spreadsheet, each row where you have changed data in
any field is flagged for upload. As you change data in a field, the row is flagged for
upload.
8. Select the Oracle menu on your spreadsheet viewer toolbar, and choose Upload
9. If you are not already logged in to Oracle applications, a login page appears. Enter
your user name and password, then choose the Login button.
10. In the Set Responsibility page, choose your responsibility and then choose Select.
11. In the Upload Parameters page, choose the Parameters button. If you only want to
upload flagged rows, choose the Flagged Rows option button. To upload all rows
choose the All Rows option button.
12. Choose the Proceed to Upload button, then choose the Upload button in the page
that appears next. The upload takes place, and a series of upload messages is
displayed, indicating the success or failure of the upload.
13. If the upload fails, return to the spreadsheet and correct any errors, then retry the
upload. Further details of errors are available in the Messages column at the end of
each row of the spreadsheet. If the upload is successful, the data is uploaded to the
database. Confirmation messages indicate the success of the upload.
Note: Web ADI uploads all rows to the database if the data is
error-free. If any errors occur, no rows are uploaded.
14. To view your new proposals in the Salary Management folder, re-query the data.
Approving Multiple Salary Proposals
If the Approve button is displayed in the Salary Management folder, you can select
multiple assignments in the folder and approve them.
Note: If the Approve button is not displayed, you cannot approve
Salary and Grade Related Pay and Progression 2-21
salaries. This is controlled by a menu function set up by your system
administrator.
When you approve a salary, Oracle HRMS creates or updates a salary element entry for
the assignment. You can view this entry in the Element Entries window, but you cannot
change it there.
To approve multiple salary proposals
1. In the Salary Management folder, query the assignments you want to process.
2. Select the assignments you want to approve and choose the Approve button. To
select multiple assignments, hold down the CTRL key and click on the assignment
records you want to select.
Note: The Salary Management folder is not designed for mass
approvals. Do not try to approve hundreds of salary proposals
together using this window.
Reviewing Current Salaries
Before entering salary proposals, you can review the current salaries of employees in
the same job and country, view the salary history of an employee and compare
employee salary against published compensation survey for similar jobs and positions
in your industry using the Salary page. There are a number of other ways of reviewing
current salaries.
1. Choose the appropriate approach:
• Query a list of assignments in the Salary Management folder to view their
current salaries and any existing salary proposals. You can view up to ten
salary components (such as Cost of Living, Location Adjustment, or Promotion)
for each proposal.
See: Using the Salary Management Folder, page 2-18
• Query lists of assignments receiving a particular salary element on the List
Employees by Element window. This shows the latest approved salary for each
assignment in the date range you select.
See: Listing Employees by Element, page 1-62
• Run the Salary Review Report to view current and previous salaries for all
current or terminated employees, or for employees assigned to a selected
organization, job, position, and/or grade.
See: Running the Salary Review Report, page 2-23
2-22 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
• Query a list of assignments in the Assignments folder then view the salary
history for each assignment in the list, individually, using the Salary History
window. This window displays the dates, reasons, and amounts of each
approved salary change, and of any new salary proposal.
See: Viewing Salary History, page 2-22
• If you use grade rates, you can view the salaries of all employees on a certain
grade receiving a particular salary element, using the View Employee Grade
Comparatio window. This window also displays each employee's salary as a
percentage of the midpoint defined for the grade.
See: Viewing Grade Comparatios, page 2-60
• If you use pay scale rates for salaries, you can report on the salaries of all
employees or a group of employees using the Employee Increment Results
report.
See: Running the Employee Increment Results Report, page 2-73
Viewing Salary History
Oracle HRMS maintains a complete history of approved salary changes for current and
terminated employees, along with associated performance reviews. Using the Salary
History window or the Salary page, you can view the dates, reasons, and amounts of
each approved salary change, and of any new salary proposal.
You can review the salary history of a current or terminated employee using the Salary
page or by running the Salary Review Report, page 2-23.
To view salary history:
1. Query assignments in the Assignments Folder.
2. Select an assignment and choose the Salary History button.
The Salary History window contains a folder. You can enter a query in the folder to
reduce the list of salary changes displayed. You can remove, rearrange, add, or resize
fields in the folder if you have access to the folder menu.
The Change field shows the amount of the salary change, and the Actual field shows
the new salary effective from the Change Date. The Hourly, Monthly, Annual, and
Payroll fields show the salary prorated to these periods. The Currency Code field
shows the currency in which the salary was paid and the Ranking field shows the
employee rank. The Mid, Minimum, and Maximum fields show values from the grade
rate for the employee's grade. The Comparatio field shows the salary as a percentage of
the midpoint defined for the grade rate.
Salary and Grade Related Pay and Progression 2-23
Note: Fields are greyed out when there is no previous history, for
example, if there is no previous or changed salary.
Running the Salary Review Report
Use this report to see current and past salaries, and salary proposals, for some or all of
your current or terminated employees. You can restrict the employees to those assigned
to a selected organization, job, position, or grade. You can also restrict the report to
showing only employees receiving the maximum salary for their grade (defined by the
grade rate). You can use the report to show all salaries (approved and proposed) or to
show unapproved salary proposals only.
You run reports from the Submit Requests window.
To run the Salary Review Report:
1. In the Name field, select Salary Review Report.
2. Enter the Parameters field to open the Parameters window.
3. Enter the effective date for which you want to see the report.
4. Optionally select an organization, job, position, and/or grade to restrict the scope of
the report to employees assigned to these components.
5. If you want to restrict the report to showing salary proposals, select Yes in the
Unapproved Proposals Only field.
6. If you want to restrict the report to showing employees receiving the maximum
salary for their grade (defined by the grade rate), or a higher salary, select Yes in the
Grade Rate Maximum Only field.
7. Choose the Submit button.
2-24 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Compensation Surveys
Compensation Survey Identifiers
Compensation surveys enable you to compare your basic remuneration packages
against published data for your industry. Using this feature you can record as many
compensation surveys as you require, map those surveys to each job and position in
your enterprise, and analyze the data to understand how compensation within your
enterprise compares with trends in the industry.
When you enter the details of a compensation survey using the Compensation Surveys
window, you must enter a compensation survey identifier. The identifier filters the
survey lines to display only the information relevant to the survey you have specified,
which helps you enter data more quickly and efficiently.
You use the identifier as the two character prefix to the codes of each of the lookup
values you use in the Compensation Surveys window. The identifier you enter on the
Compensation Surveys window points to the two character prefix you added to the
lookup codes, and the application displays only those lookups that are relevant to the
identifier.
Lookup Types for the Compensation Survey Window
You set up the values for the fields in the Compensation Survey window using the
following user-extensible Lookup Types:
• SURVEY_JOB_NAME
• SURVEY_REGION
• SURVEY_SENIORITY
• COMPANY_SIZE
• INDUSTRY
• SURVEY_AGE
• SURVEY_COMPANY
To display the jobs and values specific to each survey, use the compensation survey
identifier as the prefix of the lookup codes for these Lookup Types except
Survey_Company. For example, you can use the prefix DB at the beginning of all
lookup codes you want to display for Dun and Bradstreet surveys.
For information about user-extensible lookup types, see: Adding Lookup Types and
Values, Oracle HRMS Configuring, Reporting, and System Administration Guide
Salary and Grade Related Pay and Progression 2-25
Entering Compensation Surveys
The Compensation Surveys window enables you to enter surveys that compare
remuneration levels for jobs in your industry. Survey vendors provide this information
in a variety of data formats. You enter data that uniquely identifies the survey in the
compensation survey master data. You can record as many different compensation
surveys as you require by entering information about the categories your enterprise
uses to identify compensation details, such as Region, Industry, Mean Pay, or Fiftieth
Percentile. Then for each survey, you can enter the survey results for each job by
creating compensation survey lines.
Note: The area of the window where you enter the compensation
survey line information is a folder. Therefore, you can customize the
information by renaming, resizing and re-ordering the fields displayed.
You can also create your own folders to display a subset of the
information.
You can then link compensation survey lines to the jobs, positions, and assignments you
use in your enterprise. Using the OBIS Salary Survey report you can then compare how
salaries for jobs within your enterprise compare with trends within your industry as a
whole. If you are licensed to use Compensation Workbench, then you can also display
compensation survey data in Compensation Workbench. By mapping the
Compensation Survey detail lines to the applicable jobs, the salary survey data can then
be displayed in the Compensation Workbench allocation worksheet to aid your
managers when allocating compensation awards to employees.
Note: Compensation Workbench displays only the compensation
survey type of Salary.
Before you enter your compensation survey details you must know your compensation
survey identifier.
See Compensation Survey Identifiers, page 2-24.
You must enter details of your compensation survey in three stages:
1. Master Data
2. Lines Defaults
3. Lines
To enter compensation survey master data:
1. Enter the name of the market compensation survey and the compensation survey
company. This information is used to uniquely identify the survey details.
2-26 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
2. Enter the compensation survey identifier.
3. Enter the following master data for your survey:
• Survey Type - enter whether the salary information is annual, monthly, hourly
or period. This is based on your enterprise's salary basis.
• Base Region - if you require, you can enter information about whether there is a
regional or national average.
Note: Once you have set up all your compensation survey details,
making changes to the survey type and base region information can
invalidate your survey. Oracle HRMS enables you to change this
information so you can correct any mistakes, however you should
not change this information to update an existing survey.
4. Save your master compensation survey details.
To enter compensation survey lines defaults:
1. Enter the default start and end date for your compensation survey lines.
Compensation survey lines use this date range by default. However, you can
specify different dates when you enter a line.
2. Enter the default currency for your compensation survey lines.
Compensation survey lines use this currency by default. However, you can specify
another currency when you enter a line.
3. Select the stock display type from the list.
You can choose to display the value of stock in survey lines as Number of Shares or
Money Value of Shares.
To enter compensation survey lines:
1. Enter a job name, start date and currency for the compensation survey line. If
required, enter an end date for the compensation survey line.
2. Enter a definition of your compensation survey lines. You can enter the:
• Region the survey includes
• Seniority of the survey
• Company size of the survey
Salary and Grade Related Pay and Progression 2-27
• Industry of the survey
• Age of the survey
By entering a start and end date you can create a history of compensation survey
information. However, you must ensure that the job and salary definition
information is never the same for two compensation survey lines on the same date.
3. Enter the salary details for the line. You can enter details such as the minimum pay,
mean pay, percentage change, and first quartile.
4. Enter all the compensation survey lines you require for the compensation survey.
5. Save your compensation survey lines.
Mapping Compensation Survey Lines
You can map compensation survey lines to jobs, positions, or assignments. Mapping
survey lines gives you a picture of how the compensation for a given job, position, or
assignment aligns with compensation standards in your industry.
Note: You set up compensation survey lines using the Compensation
Surveys window, see: Entering Compensation Surveys, page 2-25
If you have additionally licensed and implemented Oracle HRMSi, you can use the
Salary Survey Comparison Workbook to analyze surveys that you mapped to jobs,
positions, or assignments in your enterprise, see: Salary Survey Comparison Workbook,
Oracle HRMS Strategic Reporting (HRMSi) User Guide
You can map compensation survey lines in the Position, Job, or Assignment windows.
Choose the Define Survey Map button in the Job or Position window, or the Others
button in the Assignment window. If you are licensed to use Compensation
Workbench, then you can also display compensation survey data in Compensation
Workbench. By mapping the Compensation Survey detail lines to the applicable jobs,
the salary survey data can then be displayed in the Compensation Workbench
allocation worksheet to aid your managers when allocating compensation awards to
employees.
Note: Compensation Workbench displays only the compensation
survey type of Salary.
To map a compensation survey line:
1. Optionally, enter the Oracle HRMS location, grade, and organization. This step
enables you to provide a more accurate picture of how compensation for your given
2-28 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
job, position, or assignment aligns with similar locations, grades, and organizations
in your industry.
2. Enter the details of the compensation survey line. You can select any of the
compensation survey lines you have set up from any of the fields.
Note: The Map Compensation Survey window is a folder.
Therefore, you can customize the information by renaming,
resizing and re-ordering the fields displayed. You can also create
your own folders to display a subset of the compensation survey
information.
3. Map all the compensation survey lines you require.
4. Save your mapping details.
Salary and Grade Related Pay and Progression 2-29
Grades and Pay Setup
Grades and Grade Structures
Grades are normally used to record the relative status of employee assignments and to
determine compensation and benefits, such as salary, overtime rates, and company car.
Using Grades to Compare Roles
You can define one or more valid grades for each job or position. You enter this
information in the Valid Grades window, which opens from the Job window or the
Position window.
When you enter a grade assignment, the list of grades shows which ones are valid for
the job or position you select.
Grades can have different levels of complexity, which need to be represented in the
overall structure of the grade.
In its simplest form, a grade can be a single character, or number, in a logical sequence.
For example:
• Grade A
• Grade B
• Grade C
By adding a second segment to the grade name, you can identify sub-grades, such as:
2-30 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
• Grades A.1, A.2, A.3, and A.4
• Grades B.1 and B.2
• Grades C.1, C.2, and C.3
A more complex structure could be used to distinguish grades for different staff groups,
such as:
• Manual.A.1, Manual.A.2, and Manual.G.1
• Clerical.C.1 and Clerical.C.2
In this example, there are three segments in the grade name. A grade is the combination
of segments you define. You set up the segments and their valid values using the Grade
Name Key Flexfield. Normally this is done by the system administrator.
See: User Definable Key Flexfields, Oracle HRMS Configuring, Reporting, and System
Administration Guide
Recognizing Your Grade Implementation Model
There are several models for grade implementation that reflect common approaches to
grade-related compensation. Oracle HRMS supports the following models
• Model 1: Individual pay
• Model 2: Group Pay - Common Pay Scale
• Model 3: Group Pay - No Common Pay Scale
• Model 4: Criteria-based Pay
Once you have identified the models that most closely resemble your grade and
compensation model, you can determine how to configure your grade information in
Oracle HRMS.
Model 1: Individual Pay
If your enterprise uses this approach, you process salary updates manually and grade
changes do not trigger salary administration changes. Commercial organizations
frequently use this model. Oracle HRMS supports this model with grade rates, salary
administration and a salary basis.
See: Models of Pay Administration: Model 1 Individual Pay, page 2-1
Model 2: Group Pay - Common Pay Scale
In this model, group pay is based on a national or common pay scale for different grade
Salary and Grade Related Pay and Progression 2-31
groups. The enterprise uses a single reference table (the pay scale) which comprises a
series of points in a predefined sequence. Every grade or grade progression point in the
organization maps to a point on that pay scale, enabling the organization to compare
multiple grade groups to a single set of values. Typically, the employee receives a salary
update when they move to another grade or step. This approach is often used by
public-sector type organizations, for example, in the education and healthcare sectors.
The points on the pay scale map to values in one or more additional tables. If your
enterprise records multiple rates for any single point on a pay scale, you use multiple
tables.
The following graphic shows four grades in an organization (IT1, IT2, IT3, and IT4).
Each grade comprises between two and four progression points. Each progression point
maps to a point on the national pay scale. This organization needs to record both annual
salaries and also its hourly overtime rate. Therefore the same pay scale is used by two
different tables.
Example: Group Pay - Common Pay Scale
If your enterprise uses this model, you can use pay scales to create one scale rate (per
table) to record multiple values for each grade step.
See: Non-automatic Step Progression Approach, page 2-34
2-32 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
To progress your employees automatically (and make automatic salary updates when
they move from one grade or step to another), use Grade/Step Progression.
See: Grade/Step Progression Approach, page 2-34
Model 3: Group Pay - No Common Pay Scale
If you use this model, your enterprise uses multiple pay tables to record different rates
of pay for people on the same grade. Typically, the employee receives a salary update
when they move to another grade or step. Enterprises that use this model pay their
employees differently according to predetermined factors. For example, the pay for
employees on the same grade step may vary according to their location. The graphic
illustrates how an organization uses multiple pay tables to differentiate grade pay by
location. For example, Employee A is on the third step of the SE.1 grade in Sydney and
is eligible for a different rate of pay from Employee B, who is on the same grade step,
but located in the Melbourne office.
Salary and Grade Related Pay and Progression 2-33
Example: Group Pay - No Common Pay Scale
In the example shown, each pay table uses only one criterion to differentiate the pay
that people on the same grade step receive. There could be multiple criteria for a grade,
for example, location and currency.
If your enterprise varies grade pay in this way, we recommend that you use Grade/Step
Progression and criteria salary rates to combine multiple criteria, plus a value for each
criterion, to record different rates of pay depending on an employee's individual
circumstances.
See: Grade/Step Progression Approach, page 2-34
Model 4: Criteria-based Pay
In this model, you can vary pay by multiple criteria (up to seven). You can select grade
as one of the criteria. For example, you could enter pay rates for each performance
rating, within each grade, for each job. Similarly, you could enter rates for each grade
within each location and according to bargaining unit. You use an API to identify the
appropriate pay rate from the rate matrix. There is no provision, in this model, for
automatically progressing employees through grades.
See: Criteria-Based Rates for Variable Pay, page 2-74
2-34 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Implementing Grade Related Pay
Oracle HRMS provides alternative approaches that support the common grade and
compensation models, see Recognizing Your Grade Implementation Model, page 2-30.
You can use either the Non-automatic Step Progression or the Grade/Step Progression
(GSP) approaches to implement grades and associate compensation and benefits to
grades.
Non-automatic Step Progression Approach
If you follow the Non-automatic Step Progression approach, you use grade rates, pay
scales, scale rates, and grade scales to relate grades or sub-grades to pay.
Using grade rates, you can either enter a fixed value for each grade, or minimum,
maximum, and mid-point values.
You may have a salary administration system in which the actual level of pay normally
falls between a minimum and a maximum value for a grade.
See: Grade Rates to Relate Pay to Grades, page 2-35.
Using grade scales, you can associate each grade with several points on a pay scale, and
enter compensation values for these points.
You may be using a step based system of progression points within grades, in which
each point has a fixed value in a pay schedule or table. In Oracle HRMS this is a pay
scale.
See: Pay Scales to Relate Pay to Grades, page 2-37
Grade/Step Progression Approach
If you use the Grade/Step Progression approach, you use the Grade Ladder to group
together grades (and grade steps) and then define system-based rules for their
progression. Grade/Step Progression enables you to move large numbers of employees
from one grade or grade step to the next, and update their salaries automatically. GSP
also gives you the ability to vary employee pay depending on employees' individual
circumstances through the use of criteria salary rates.
See: Grade/Step Progression, page 2-39
See: Administering Grade/Step Progression, page 2-55
Note: Self-service managers can view and update the grade step and
grade point of their employee's salary.
See: Compensation Workbench section of Self-Service Function, Oracle
HRMS Deploy Self-Service Capability Guide
Salary and Grade Related Pay and Progression 2-35
Non-automatic Step Progression and Grade/Step Progression - A Comparison
You may choose to use either of the above features to manage grades and pay
depending on the requirements of your organization. This section gives a comparison of
the two approaches.
If you choose to administer grades and pay in your enterprise without implementing
grade ladders, you can:
• Manually increment grade step placements using the Grade Step Placement
window from the Assignment window.
• Automatically increment grade step placements using the Increment Progression
Points process. However, this process does not support predefined progression
rules for progressing employees on grade steps. When you run the Increment
process, you specify various parameters that restrict the assignments that the
application should process.
• Use the salary element and a Payroll formula to update employee salary when there
is a grade or step change. You cannot automatically update employee salary
whenever there is a grade or step change.
• Automatically progress employees only up to the ceiling step of their current
grades. You cannot automatically progress employees beyond the ceiling of their
current grade, or the assignment ceiling that you have set for an individual
employee.
Using the Grade/Step Progression approach, you can administer employee progression
and salary management automatically. The Grade/Step Progression features support:
• Automatic progression of employees by using predefined progression rules.
• Automatic salary updates that synchronize with grade or step changes for an
employee. You can use a salary element to update employee salary without using a
payroll formula.
• Progression of employees beyond the ceiling step of their current grade to the next
higher grade on the grade ladder.
• Variable rates of pay depending on an employee's individual circumstances.
Grade Rates to Relate Pay to Grades
In Oracle HRMS, you can set up a table of values related to each grade. These are called
grade rates. You can enter a fixed value or a range of valid values for each grade.
For example, you might define a salary rate and an overtime rate of pay for every grade,
with minimum, maximum, and midpoint values. Both rates would be in monetary
2-36 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
units. However, you can also define rates with non-monetary units, such as days, hours,
or numbers.
These grade rates serve only as a guideline to validate that the salary you propose for
an employee on a certain grade is appropriate for that grade. You typically use this
approach if you do not follow the grade/step progression, page 2-39 approach to
grades and pay implementation. If you want to automatically update salaries using
grade rates, you can use the grade/step progression process.
You can upload grade rate values that you created using the Grade Rate window to
create default salary rates for grades in a grade ladder. However, once you have
uploaded any existing rates, we recommend that you use the Total Compensation Setup
Wizard to maintain salary rates for use in Grade/Step Progression, see: Setting Up
Grade/Step Progression, page 2-44.
Grade rates are datetracked and this means that you can keep the history of the actual
values you use. You can also set up rate values at a future date and be sure that this
information will automatically take effect on the date you set, and not before.
You can use your grade rate values:
• As part of a QuickPaint report or inquiry
• To validate salary proposals
Salary and Grade Related Pay and Progression 2-37
• To validate other compensation entries you make for employees
The salary administration process validates salary proposals automatically against the
appropriate grade rate. You can use formula validation to check other compensation
entries.
Grade rate values can be linked directly to currencies. When you enter a monetary
value for a grade rate you can associate a currency with this value.
Automatic Database Item Creation
When you save your definition, an automatic process creates corresponding database
items that formulas can access.
See: Dynamic Database Items, Oracle HRMS FastFormula User Guide
Pay Scales to Relate Pay to Grades
If you are involved in negotiating pay levels with staff or union groups, you may be
using a system of grade steps or points with specific values of pay for each step, or
point. For example, you may have negotiated different pay scales with different union
groups. Or, you may have negotiated a single set of pay points for all of your
employees.
Typically, employees are placed on a step within their grade. They move up the steps
for the grade by a periodic incrementing process. This process might run automatically
at a fixed time each year or it might be based on a review process specific to the
employee.
In Oracle HRMS you set up a pay scale to show the separate points and the value
negotiated for each point. You can set up any number of pay scales, for example for
negotiated pay scales with different unions.
Scale Rates
You create a rate and enter a fixed value for each progression point on a pay scale. You
can create as many rates as you require, such as one for a shift allowance, and another
for overtime. Notice that, unlike grade rates, you can only enter a fixed value for each
point; you cannot enter a range of valid values.
The values are datetracked so that you can keep the history of the actual values you use.
You can also set up rate values at a future date and be sure that this information will
automatically take effect on the date you set, and not before.
You define rates in monetary units, or as integers, numbers, days, or hours, in various
formats. For example, you can define a rate in hours to specify the maximum number of
overtime hours that can be worked per week.
Scale rate values can be linked directly to currencies. When you enter monetary values
for a scale rate you can associate a currency with these values.
2-38 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Automatic Database Item Update
When you define rates, an automatic process creates corresponding database items that
formulas can access.
See: Dynamic Database Items, Oracle HRMS FastFormula User Guide
Relate Grades to Progression Points
A pay scale defines a complete set of progression points. You can associate a subset of
these points with each grade.
The group of points valid for a grade is called a grade scale. Each point in the grade scale
is called a step because it represents the steps for incrementing an employee's pay. The
steps must follow the sequence of points on the pay scale but they can jump several
points, if appropriate to the specific grade.
Note: Grade scales are datetracked.
You can create pay scales and associate grades to progression points on a pay scale
using either the Scale Rate and Grade Scale windows or the Total Compensation Setup
Wizard depending on whether you implement the non-automatic step progression
approach, page 2-34 or the grade/step progression approach, page 2-34 in your
enterprise.
You can upload scale rate values that you created using the Scale Rate window to create
default salary rates in a grade ladder. However, once you have uploaded any existing
rates, we recommend that you use the Total Compensation Setup Wizard to maintain
salary rates for use in Grade/Step Progression, see: Setting Up Grade/Step Progression,
page 2-44.
Salary and Grade Related Pay and Progression 2-39
Grade/Step Progression
Grade/Step Progression is a business process that enables you to move large numbers of
employees from one grade or grade step to the next, in an automated, bias-free way.
You do this by defining how employees become eligible for progression and the details
of the grade or step to which they are eligible to progress (including the rate of pay
associated with the proposed step or grade). Then, you run a pre-process to check
which employees are eligible for progression according to your rules. This triggers a
post-process that either progresses eligible employees automatically, or identifies them
as eligible so that you can approve their progression manually (depending on how you
set up Grade/Step Progression). If you have set up Grade/Step Progression to apply
automatic salary updates, the application makes these salary changes and passes them
to your payroll.
In order to understand Grade/Step Progression, you need to understand the following
key concepts:
• Grade Ladder
• Salary Rates
• Progression Rules
Grade Ladder
At the centre of grade/step progression is the grade ladder. You use the grade ladder to:
• Define, categorize and group your grades and steps in the sequence in which your
employees typically progress. For example, you might decide to create three grade
ladders for your enterprise: one for technical grades, another for management
grades, and a third for administrative grades.
• Define the rules that determine an employee's eligibility for progression, and
optionally add scores to the eligibility criteria to define the employees most eligible
to progress, as guidance for manual approvals
• Specify pay administration rules for the grades and steps on the grade ladder. For
example, define how salaries are updated and passed to payroll when an employee
progresses from one grade to the next.
• Vary grade and step pay according to employees' individual circumstances.
• Determine the type of approval (manual or automatic) required to progress an
eligible employee.
The graphic below illustrates the types of progression the grade ladder supports:
2-40 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
As shown in this graphic, you can set up a grade ladder to progress employees in one of
the following three ways:
• From one grade to another. Example: Grade E1 to Grade E2.
• From one grade step to another grade step (on the same grade). Example: Step 3 on
Grade E2 to Step 4 on Grade E2.
• From one grade step to another grade step (on another different grade). Example:
Step 5 on Grade E2 to Step 2 on Grade E3.
Note: You can only progress employees within the same grade ladder,
and not across different grade ladders.
You set up the grade ladder using the Total Compensation Setup Wizard. This wizard
guides you through the Grade Ladder setup pages and the tasks you must perform to
create the grade ladder.
French Users
For a public sector type organization, you set up the grade ladder using the French
Public Sector Corps business area in the Total Compensation Setup Wizard. When you
create a grade ladder, Oracle HRMS creates a corps with the same name as that of the
Salary and Grade Related Pay and Progression 2-41
grade ladder. You can then set up the corps details.
Note: In a public sector type organization, the grade ladder is the corps
and you can progress employees within and across different grade
ladders.
Salary Rates
Grade/Step Progression enables you to record the pay rates associated with grades and
steps (and to make the necessary salary changes when an employee progresses from
one grade or step to the next.)
If you are using Grade/Step Progression, these pay rates are known as salary rates. You
can enter two types of salary rate:
• Default salary rates
• Criteria salary rates
Default Salary Rates
Default salary rates represent a single set of values for one grade. For example, if you
enter minimum, maximum, and mid-value default salary rates for the grades on your
grade ladder, the rate for every assignment on that grade must fall within the specified
range. Or, if you are using grade steps, the default salary rate you define for each step
applies to every assignment on that step.
Criteria Salary Rates
Criteria salary rates represent different sets of values for the same grade or step. If your
enterprise compensates its employees using a group pay model (but without a common
pay scale), then you can use criteria salary rates to vary the rates that you pay
employees on the same grade.
See: Recognizing Your Grade Implementation Model, page 2-30
For example, your enterprise may use the same grades and steps in all its office
locations. However, differences in cost of living mean that you pay your employees
different amounts depending on where they work.
To enable you to vary grade and step pay in this way, you use criteria sets and criteria
salary rates. If your enterprise varies pay by location only, you could create one criteria
set for each location (for example, one for Melbourne, one for Sydney, and one for
Perth). Each criteria set would include just one criterion (the location name). You can
use any of the following criteria in your criteria sets:
• Bargaining Unit
• Full Time/Part Time
2-42 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
• Job
• Location
• Organization
• Performance Type (including Rating Type information)
• Person Type
• Rule
• Service Area
See: Eligibility Profile Criteria, page 1-135 for more information about these criteria
Important: You can use the above criteria only to create criteria sets for
use in Grade/Step Progression. If you use other criteria, the variable
rate profile is available as a criteria set in the Total Compensation Setup
Wizard, but it contains no criteria.
Having defined unique criteria sets, you can enter the salary rates for each grade and/or
step that use different rates of pay.
The application identifies employees who are on the grades (or grade steps) that meet
the criteria in your criteria sets. If they meet the criteria, they are eligible for the criteria
salary rate. If they do not meet the criteria (for example, they work in the Auckland
office, where grade pay does not vary by location), they are eligible for the default
salary rate.
If your organization does not use variable rates of pay for the same grade, you need to
use only default salary rates and do not need to define criteria salary rates.
Reuse of Existing Grade Rates and Scale Rates
You can upload grade rate and scale rate values created in the Grade Rate and Scale
Rate windows to create default salary rates. However, once you have uploaded any
existing rates, we recommend that you use the Total Compensation Setup Wizard to
maintain salary rates for use in Grade/Step Progression.
Note: If you are not using Grade/Step Progression, you can define
grade and scale rates using the Grade Rate and Scale Rate windows
only.
French Users
In a public sector type organization, Oracle HRMS derives salary rates from the pay
scales that you define. It calculates the salary using the Grade and Step Rate method
that uses the index values in the Global Table of Indices - Gross Index (IB) and
Salary and Grade Related Pay and Progression 2-43
Increased Index (INM). For a grade, the application derives the salary rates from the
increased index in the Global Table of Indices and the legal indemnity rates, in case of
legislative pay scales. It uses the salary rate directly, in case of exception pay scales.
As you create the pay scales and then define the grade steps from the progression
points, you do not have the option of using progression points for the grade ladder.
Progression Rules
To progress employees using Grade/Step Progression, you need to define how a person
becomes eligible for progression. You do this using eligibility profiles, which you can
attach at grade ladder, grade, or step level:
• Grade ladder profiles apply to every grade or step in this grade ladder.
• Grade profiles apply to this grade (and its step, if used) in this grade ladder.
• Grade step profiles apply to this grade step in this grade ladder.
Note: When you attach an eligibility profile to a grade, you can specify
if you want the profile to apply to this ladder only, or to every other
grade ladder using this grade. You can only attach step-level profiles to
the selected grade ladder.
A profile contains one or more criteria that an employee must meet to become eligible
for progression. If their current grade or step is associated with multiple profiles, they
must meet the criteria in any mandatory profiles and at least one of the optional profiles
For example, you may want to specify that anyone on this grade ladder must have been
on their current grade or step for at least two years before they are eligible for
progression, and each grade has additional rules for progression. To address this, you
could define the following two rules:
• A grade ladder profile that specifies the employee must have been on their current
grade or step for a minimum of two years.
• Grade level profiles for rules that are specific to each grade.
You can reuse the same eligibility profiles in other grade ladders, grades and steps. You
can define eligibility profiles using either the Participation Eligibility Profiles window
or directly from the Total Compensation Setup Wizard, then attach them to grade
ladders, grades, or steps in the Total Compensation Setup Wizard.
If you set up your grade ladder to rank employees on the basis of the eligibility criteria
they satisfy, you must assign scores to the eligibility criteria, using the Participation
Eligibility Profiles window. The application computes scores for people, on the basis of
applicable eligibility criteria, to arrive at a rank for each person.
Manual Approval
2-44 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
An employee may be eligible for progression to one or more grades or steps. Based on
the progression rules you defined, the application progresses the employee
automatically to the appropriate grade or step.
If your grade ladder uses manual approval, and the employee is eligible for more than
one grade or step, the application proposes the default progression and marks it on the
Approvals page.
If you have set up your grade ladder to rank employees to determine the people you
want to progress from a group of eligible employees, the application displays the ranks
and the computed scores of employees of that grade ladder in the Approvals page.
If you have enabled Workflow for a grade ladder that uses manual approval, the
application notifies the managers of the employee for approval of the proposed
progressions.
The Grade/Step Progression process determines the default grade or step by applying
the following rules:
• If you have not assigned a grade ladder to an employee and the employee's current
grade is attached to the default grade ladder for the business group, then it uses the
default ladder.
• If the employee has no current grade associated with their assignment, the process
stops.
• If the default grade ladder uses both grade and step progression, the process
proposes a step based on the Progression Style defined for the grade ladder. The
proposal may be to the lowest step in the grade, the next grade (but no step), or to
the step with the lowest increase in salary.
• If the default grade ladder uses grade progression, the process proposes the next
grade in the grade ladder for which the employee is eligible. When grade ladders
are set for automatic progression, the Grade/Step Progression process flags the
proposed progression so that the post-process can complete this progression. If this
grade ladder requires manual approval for all progressions, the default grade or
step is shown on the Approvals page for you to reject or approve the progression.
French Users
In a public sector type organization, you can define progression within corps and across
corps based on the career path and using the appraisal scores, ranks, and quota
restrictions. You can move civil servants across corps if they satisfy all the eligibility
conditions for the corps, and the seniority requirements defined for the career path.
Setting Up a Grade Ladder
You set up a grade ladder using the Total Compensation Setup Wizard. The wizard
guides you through the steps for creating a new grade ladder or updating an existing
Salary and Grade Related Pay and Progression 2-45
grade ladder.
Caution: You can perform many of the grade ladder setup tasks using
either the regular application windows or the Total Compensation
Setup Wizard. However, Oracle strongly recommends that you use the
Total Compensation Setup Wizard unless there is a specific instruction
to use an application window. You should use the application windows
only if you have extensive knowledge of Total Compensation data
model and experience in plan design setup. There are many
dependencies in grade ladder design that you may set up incorrectly if
you do not use the Total Compensation Setup Wizard. You can,
however, use the Variable Rate Profiles window to set up variable rate
profiles for use in Grade/Step Progression criteria sets.
You can save your work at any stage of the grade ladder setup process and make
changes to a completed grade ladder at any point. Grade/Step Progression uses the
grade ladder setup that is valid at the time of running the grade/step progression
process. For example, if your existing grade ladder uses automatic approval and you
change it to use manual approval on 01-JAN-2003, progression that occurs after that
date uses manual approval.
The application does not, however, allow you to remove a step or a grade from a grade
ladder if employees exist on that step or grade.
1. Using the Total Compensation Setup Wizard Welcome page, select the Grade/Step
Progression business area.
2. Using the Search: Grade/Step Progression page, click Create Grade Ladder to open
the Grade/Step Progression Task List page.
If you want to make changes to an in-progress grade ladder, use this page to find
the ladder and complete any of the following outstanding tasks.
3. Using the Grade/Step Progression Task List page, select the first task in the list to
navigate to the Task 1: Grade Ladder page.
Note: If a Grade/Step Progression Plan Type does not already exist
in your business group, you can create the plan type with an
effective start date, not earlier than 01-JAN-1951, using this page.
The application uses this date as the effective start date for the
various compensation and benefits objects that it creates when you
submit the grade ladder. The application also creates the
Grade/Step Progression life events with this effective date, if they
do not already exist in the business group.
Using this page you can:
2-46 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
• Enter basic details about the grade ladder, such as its name, and its effective
date.
• Specify if the grade ladder is the default grade ladder for the business group.
You need not manually assign a grade ladder to assignments on grades that are
part of the default grade ladder. The application treats them as assigned to the
default grade ladder.
• Specify the Posting Style, which identifies if the application must automatically
progress an eligible employee to the next grade/step or if you must approve the
proposed progressions manually.
• Specify the Progression Style, which identifies how the employees progress on
the grade ladder - next step or next grade or grade and step, or no progression
at all.
• Use Progression Points if more than one grade uses the same sequence of steps.
• Specify the Progression date, which is the date when eligible employees on this
grade ladder progress to their next step/grade on the ladder.
• If you have selected Manual as your Posting Style, you can:
• Rank your employees to determine the people you want to progress from a
group of eligible employees.
• Use Oracle Workflow to notify managers for the approval of the proposed
progressions.
4. Enter salary information for the grade ladder (Task 2: Salary Information) :
• Specify the currency to use for grade and step rates, and if the application
should update salaries automatically upon progression, based on pay
administration rules.
• If you have set up the grade ladder to update salaries automatically upon
progression, you can also specify how you want the application to pass
employees' salary to payroll. Use Salary basis if you use Salary Administration.
Use the default Salary Element and Input Value, if you want the application to
update the salary element entries directly.
The application enables switching between salary basis and salary element and
input value as the salary update method for an assignment. This feature offers
you the flexibility to continue with automatic salary updates when you move a
person from one grade ladder to another with a different salary update method,
for example.
Salary and Grade Related Pay and Progression 2-47
• You also specify if you can manually override system-updated salaries using
the Salary page. You must choose this option if you want to update salaries
manually in the Salary page.
Even if you are not linking salary updates to a grade ladder, but you use grade and
step rates, you need to review the currency and rate information on this page.
Oracle recommends that you use the default currency that the business group uses.
if you are creating multiple grade ladders for the same business group, use the
same rate period for each grade ladder. If you select different rate periods, there
may be conflicting values for a grade that is shared across grade ladders.
5. Select or create grades to attach to this grade ladder and place them in sequence on
the grade ladder (Task 3: Grades). You can attach existing grades that you created
in the Grades window. However, we recommend that you use the Total
Compensation Setup Wizard to create any new grades for use on grade ladders.
Note: You can add a grade to a grade ladder only if the grade is
valid on the grade ladder's effective date.
You can reuse grades in other grade ladders, but the grade ladders must use the
same Period. (You set this up as part of the grade ladder's salary information). Also,
if the grade uses progression points, you can only add the grade to other grade
ladders that also use progression points.
6. Optionally, create and add steps to the grades on the grade ladder and define the
step ceiling for each grade (Task 4: Steps). A ceiling step is the highest step attached
to a grade to which an employee may progress.
If your grade ladder uses progression points, use this page to create (or reuse) pay
scales and use those pay scales to create steps. Please omit this task if your grade
ladder does not use steps.
7. Optionally, define the default and (if required) criteria salary rates for your grades
or grade steps (Task 5: Rates). You can also set up variable rate profiles for use in
Grade/Step Progression criteria sets using the Variable Rate Profiles window.
See: Defining General Information for a Variable Rate Profile, page 5-156
See: Defining the Criteria in a Variable Rate Profile, page 5-158
As part of your ongoing administration, you can at any time update the grade/step
rates on a grade ladder. To update all the rates you attached to a grade ladder in a
single step, use the Mass Update region on the Update Rates pages.
Please omit this task if your grade ladder does not link salary rates to grades.
8. Specify the progression rules for this grade ladder (Task 6: Progression Rules).
Select the criteria (as an eligibility profile) an employee must meet to be eligible for
2-48 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
progression.
Define your eligibility profiles ensuring they are valid for the grade ladder start
date. You define eligibility profiles using either the Participation Eligibility Profiles
window or directly in the Total Compensation Setup Wizard. You can also reuse
existing profiles. You attach an eligibility profile at the grade ladder, grade or step
level.
See: Defining an Eligibility Profile, page 1-141
9. Review, save, and validate the grade ladder setup (Task 7: Review and Submit).
When you are satisfied that your grade ladder is complete, you can activate it to
make it available for employee progression.
Defining a Grade
You define a grade in the Grades window.
If you intend loading historic assignment details into Oracle HRMS, make sure you
enter valid start dates for your grades. You cannot assign an employee to a grade before
the start date of the grade.
Tip: Consider using a fixed date as a default for your initial setup, for
example, 01-JAN-1901. This will simplify your data-entry.
To define a grade:
1. Enter your grades in sequence number order.
The sequence number can be any number from 1 upwards. The number indicates
the rank order of the grade; 1 indicates the highest grade.
This is the sequence in which the grades appear to users in lists of values.
Consider sequencing each grade at intervals of 10 or more, to accommodate any
future changes to grades.
2. Enter a unique name for the grade. If there is more than one segment in the grade
name structure, a window opens when you enter the Name field. You must enter a
unique combination of segments.
3. Enter a start date early enough to handle any historical information you want to
enter.
4. Save your work.
Salary and Grade Related Pay and Progression 2-49
Deleting Grades
To remove a grade from the list of grades to which employees can be
assigned:
1. In the Grades window, enter an end date against the grade.
To delete a grade entirely from the system:
1. Reassign anyone already assigned to the grade to another grade.
2. Highlight the grade in the Grades window and choose Row Delete.
If you have historical records using the grade, you cannot delete it. You can only
enter an end date to prevent further assignments to this grade.
Defining a Grade Rate
You define grade rates in the Grade Rate window.
Grade rate values are DateTracked and you must ensure you use the correct date to
create your initial set of values.
If you intend loading historic grade rate details into Oracle HRMS, make sure you enter
the correct start date for all your history.
To define grade rates:
1. Set your effective date to a date early enough for any historical information you
want to enter.
2. Enter a name for the grade rate and select the units for measuring it. Save your new
rate.
3. In the Grade Rate Values block, select the grades for which you want to define
rates. For each grade, enter a fixed value or a minimum, maximum and mid value.
To use this grade rate to validate salary proposals entered in the Salary page, you
must enter a minimum and maximum value.
To view comparatio values using this grade rate, you must enter a mid value.
4. Select a currency to link to the new rate. If you select a currency you must also enter
a value in the Value field.
5. Save your work.
2-50 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Defining a Pay Scale
You define a pay scale, which is a set of progression points for compensation, in the Pay
Scale window.
Pay scales are used commonly in government and regulated or unionized enterprises
where actual values of pay are defined as a 'pay scale', a 'schedule', or a 'spine'.
Characteristics of this functionality are:
• A single scale of points and values is used to establish the actual pay for a grade
group.
• Each point in the pay scale has a single value.
• Grades can have a number of distinct steps, with each step given a single point in
the pay scale.
• An employee assignment to a grade includes a point, or step value, and the point
value determines the actual pay of the employee.
You can have any number of different pay scales in Oracle HRMS. Each scale has its
own set of points which may be characters or numbers.
To define a pay scale:
1. Enter a unique name for the pay scale.
2. Enter the Increment Frequency for this pay scale. For example, if you want to
increment the placement of assignments on the pay scale once each year, enter 1 in
the Number field and select Year in the Per Period field.
Note: These values provide information only. You can use the
Submit Requests window to set up automatic regular incrementing
of grade step placements by the Increment Progression Points
process.
See: Incrementing Grade Step Placements, page 2-69
The Automatic Increment field shows the date of the last automatic increment.
3. Save the pay scale.
4. Enter the names of the points (or steps) of the scale. The Point names can be
numeric or alphanumeric. Enter them in ascending order.
5. Enter a sequence number, in ascending order, for each point. The sequence
determines the progression order for the incrementing process. Then save the scale
Salary and Grade Related Pay and Progression 2-51
again.
Tip: Enter sequence numbers in multiples of 5 or 10, for example 5,
10, 15, 20. This makes it easier to enter new points afterwards
between existing points in the sequence.
Defining Scale Rates
Use the Scale Rate window to define a scale rate.
Use the correct date to create your initial set of values. If you intend loading historic pay
scale values into Oracle HRMS, you must use correct dates for all your history.
To define a scale rate:
1. Set your effective date early enough to handle any historical information you want
to enter.
2. Enter a unique name for the rate.
3. Select the units for measuring the rate, such as hours, money, or integer.
4. Select the pay scale for which you are defining the rate.
5. Save the rate.
6. In the Progression Point Values block, select the points for which you want to
define rates. For each point, enter a fixed value.
7. Select a currency to link to the new rate. If you select a currency you must also enter
a value in the Value field.
8. Save the rate again.
Relating Grades to Progression Points
Use the Grade Scale window to relate grades to progression points.
A grade can have any number of steps. Steps do not always have the same interval as
the pay scale points. For example, you may have a pay scale with points from 1 to 10,
and a Grade which has 5 steps with points in the sequence 3, 5, 7, 8, and 9.
To create a grade scale:
1. Set your effective date early enough to handle any historical information you want
to enter.
2-52 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
2. Select a grade, and select the pay scale from which you want to choose progression
points.
3. Select the highest point (or ceiling) to which employees on this grade can be
automatically incremented by the Increment Progression Points process. Save the
grade scale.
You can override this ceiling for individual employee assignments.
The step in which the ceiling occurs is automatically displayed in the Step field.
4. In the Grade Steps block, select the points you want to include on this grade scale.
When you save, the system sorts the points into ascending order by their sequence
numbers (defined in the Pay Scale window).
To delete a grade scale:
1. Query the grade scale you want to delete.
2. Click the delete button to delete the grade scale.
Warning: When you delete a grade scale, the application deletes all
the associated grade step records.
3. Click OK on the caution messages that appear.
4. Save your work.
Salary and Grade Related Pay and Progression 2-53
Grades and Pay Administration
Grades and Pay Administration
Oracle HRMS enables you to implement grades and pay in your organization in two
ways. Depending on the requirements of your enterprise you may use either the
Grade/Step Progression approach or implement grades and pay without using grade
ladders. Administration of grades and pay in your enterprise varies depending on the
approach you have implemented.
Administering Grades and Pay (Without Using Grade Ladders)
After you have manually set up your grades, grade rates, pay scales, and grade scales to
suit your enterprise, you first assign employees to the appropriate grades using the
Assignment window.
See: Entering an Assignment (Assignment Window), Oracle HRMS Workforce Sourcing,
Deployment, and Talent Management Guide
If applicable, you can place the employee on a grade step on the associated grade scale,
using the Grade Step Placement window, see: Placing an Employee on a Grade Step,
page 2-59
These actions do not update employee salary with the appropriate grade rate or scale
rate values. You would have to update the element entries separately or use the Salary
page to propose and approve salaries.
See: Starting Salary and Salary Proposals, page 2-16
Incrementing Grade Step Placements
To manually increment grade step placements you use the Grade Step Placement
window. To automate it, you run the Increment Progression Points process. In both
cases the application does not update the salary element. You need to write an Oracle
Payroll formula so that a change in grade step placements updates salary elements.
Before you run the process, you must select the Auto Increment box, in the Grade Step
Placement window, for the Increment Progression Points process to process an
assignment. You can also specify the number of steps that the assignment should
increment by. You may choose to run the Increment Progression Points process in the
report only mode before choosing whether to actually run the process.
The Increment Progression Point process does not progress an employee beyond the
ceiling point of the current grade. If employees are eligible for increments beyond the
grade scale ceiling, the application highlights these in the Employee Increment
Exception report.
See: Increment Progression Points Process, page 2-58
2-54 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Updating Grade Scale in the Assignment Window
When you place an assignment on a grade scale and then set up grade step placements
for that assignment, any actions you then take to update the grade scale in the
assignment window, link to the grade step placement dates to ensure that the two
records match. For example, an assignment has a grade scale valid from 1 January 2000,
through until the end of time, with grade step placements starting on 1 January 2000, 1
January 2001, 1 January 2002. If on 1 February 2001, you update the grade scale, the
grade step placement change on 1 January 2002 becomes invalid, as this refers to the old
pay scale.
When placing an assignment on a new grade scale, the application automatically inserts
an end date for the current grade step placement. The application places the assignment
on the minimum grade step placement for the new grade scale, with the Auto
Increment Number field left blank and the Auto Increment check box unchecked.
The application adjusts grade step placement end dates or warns you about future
changes, when you update a grade scale using the assignment window in the following
circumstances:
• There are no future changes to the grade scale or the grade step placement.
Note: The application does not provide a warning in this circumstance.
• There are no future changes to the grade scale but there are future changes to the
grade step placement.
• There are future changes to the grade scale and the grade step placement.
Should you choose to continue in these circumstances, the process inserts the new
minimum grade step for the new grade scale
Changing Grade Types for an Assignment
When updating an employee's assignment you can switch from a grade that is related
to a pay scale, to one that is not. The application displays a warning message that
indicates what you are about to do and asks you to confirm you want to proceed.
If you do proceed, then any future-dated grade step records for the assignment are
deleted. This means that if you want the future records to remain then you must use the
Grade Step Placement window to reinstate the future-dated grade step information.
Note: You cannot change grade types using the People Management
templates.
Salary and Grade Related Pay and Progression 2-55
Scale Rates and Salary Administration
If you are holding salary values as a scale rate, you should not also enter them in a
salary element using Salary Administration. Instead you view an employee's salary in
the Grade Step Placement window, and change it by incrementing the grade step
placement of the assignment. Such increments, or changes to the scale rate, would not
affect salary element entries for employees. You would have to update these entries
separately.
Use scale rates for employees whose salaries are determined by their grade step
placement. Use Salary Administration for employees for whom you determine salary
on an individual basis.
Administering Grade/Step Progression
If you have implemented the Grade/Step Progression solution in your enterprise you
perform the various tasks explained in this section as part of your grades and pay
administration
Once you have set up your grade ladders and added all the existing grades to one or
more grade ladders, you are ready to start the progression process.
See: Setting Up Grade/Step Progression, page 2-44.
Employee Enrollment and Progression Process
To enroll your employees on the Grade/Step Progression process, you need to manually
assign a grade ladder to employee assignments using the Assignments window.
See: Entering Additional Assignment Details (Assignment Window), Oracle HRMS
Workforce Sourcing, Deployment, and Talent Management Guide
If the grades you have assigned to certain assignments are on the default grade ladder
for your business group, then you need not manually assign a grade ladder to such
assignments. You can run the Batch Enrollment - Grade/Step Progression process to
update the appropriate assignment records with the default grade ladder name and
create benefits enrollment records for employees who are on the default grade ladder.
See: Running the Batch Enrollment - Grade/Step Progression Process, page 2-61
You then run the Participation Process: Grade Step to begin the process for the
progression of employees. Then, if your grade ladder is set up for automatic
progression, and no errors are reported, this triggers the Grade/Step Progression
post-process.
If your grade ladder uses manual progression, then you need to approve or reject
eligible employees using the Approvals: Grade/Step Progression page and run a process
to update employee assignments.
Before you manually approve or reject the proposed progressions, you can download
the progression details into a spreadsheet to distribute it to managers for their opinion
2-56 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
or approval, for example. You can also modify the proposed rank, salary change date,
and progression date for employees in the spreadsheet, and upload the modified
information into the application using Web Applications Desktop Integrator (Web
ADI).
If your grade ladder uses Workflow to notify managers for the approval of proposed
progressions, you must run the post-process after the managers have approved the
proposed progressions.
See:
Running the Participation Process: Grade Step process, page 2-62
Approving and Rejecting Grade/Step Progression, page 2-64
Processing Employees Progressed Manually, page 2-65
Rank Employees for Grade/Step Progression
If you set up your grade ladder to rank employees to determine the most eligible
employees to progress, then you must run the ranking process to determine the ranks of
the employees on a grade ladder. The ranking process computes the ranks of all the
employees on the basis of their total scores for the eligibility criteria they satisfy.
See: Running the Rank Employees for Grade/Step Progression process, page 2-63
Perform Mass Updates of Grade and Step Rates
As part of your ongoing maintenance of a grade ladder you can update the existing
grade/step rates on it. If you want to update all the rates you attached to a grade ladder
by a specified percentage or amount, in a single step, you can use the Mass Update
feature. All the Update Rates pages in the Total Compensation Setup Wizard have a
Mass Update region where you can:
• specify the mode of the mass update (Increase/Decrease/Replace).
• specify the mass update option (percentage or specified amount).
• enter a specific value for the mass update.
You define the default and criteria salary rates for your grades or grade steps in Task 5:
Rates on the Grade/Step Progression Task List, see: Setting Up a Grade Ladder , page 2-
44.
Synchronize Salary Rates with Underlying Grade or Step Rate Changes
You may want to update employee salary not only when the employee moves to a new
grade or step but also when there is a change to the underlying grade or step rate,
because of a cost of living adjustment, for example.
Using the Recalculate Participant Values: Grade/Step Progression process you can
synchronize an employee's salary with the changes in the grade or step rates that apply
Salary and Grade Related Pay and Progression 2-57
to the employee. This process applies only to those employees whose grade ladder
supports automatic salary updates.
See: Running the Recalculate Participant Values: Grade/Step Progression process, page
2-66
Clearing Temporary Data from the Staging Tables
During the grade ladder setup, the application stores temporary data that it uses to
update and eventually create the grade ladder. Once you have created the grade ladder,
the application moves the data to the Benefits HR table and you no longer require the
temporary data. You can clean up the staging tables to save storage space, after you
have created the grade ladder by running the Purge GSP Transactions in Staging Table.
See
urge GSP Transactions in Staging Table Process., page 2-68Manual Progression and Salary Changes
You can make manual changes to an employee's grade step assignment using the
Assignment window. If you did not set up your grade ladder to automatically update
employee salaries with a grade or step change, you must make salary changes
manually.
Manual Removal of an Employee from a Grade Ladder
You may need to remove an employee from a grade ladder because they were on the
wrong ladder. To do this, you just change their grade ladder in the Assignment
window.
Failed Progression due to Future-dated Salary Changes
If progression fails due to future-dated salary proposals, you must progress the
employee manually in the Assignment window.
Manual overrides of automatic progressions and system-updated salaries
To make manual overrides of automatic grade/step progressions, use the Assignment
window. If you have set up your grade ladder to allow manual override of
automatically updated salaries, you can override employee salaries using the Salary
page. If you do not choose this option, you cannot update the system-updated salaries.
See:
Entering an Assignment, Oracle HRMS Workforce Sourcing, Deployment, and Talent
Management Guide
Entering Additional Assignment Details, Oracle HRMS Workforce Sourcing, Deployment,
and Talent Management Guide
2-58 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Increment Progression Points Process
You run the Increment Progression Points process to automatically increment the grade
step placements of your employees. The process increments the grade step placement of
an assignment only if:
• The current step of the assignment is below the ceiling point.
• You have selected the Automatic-Increment check box on the Grade Step Placement
window for the assignment.
Specifying the Assignments to Process
The parameters in the Increment Progression Points process enable you to be specific,
when detailing the assignments to be included in the process. For example, you are able
to specify that a particular organization hierarchy or part of that hierarchy is selected to
be part of the process when it is run.
When you run the Increment Progression Points process, you can choose to update
employee progression point information or run the process in report only mode. When
you run the process in report only mode, no changes are made to employee information
but you can see what would happen if the full process is run.
See: Incrementing Grade Step Placements, page 2-69
Business Rules
You can select people to be incremented according to specific business rules. You can
choose to enforce the following business rules to the increment process:
• Anniversary of joining
• Date of birth
• Latest hire date
• Adjusted Service date
For each rule, you specify a start and end date, for example, if you want to increment all
those people who have a birthday in January and are between the ages of 18 and 21,
you specify a date range of 01-JAN-2001 to 31-JAN-2001 and an age range of 18 to 21.
You enter a dependent date to specify the actual date that the increment is performed.
The four dependent date categories are as follows:
• Business rule effective date
• Effective date
Salary and Grade Related Pay and Progression 2-59
• Start of next month
• Start of next pay period
Note: The dependent date, is used by the process to check if the
assignment is on a grade scale and has a grade step. If the assignment
has a grade step on the effective date but not on the dependent date, no
increment is given.
See: Incrementing Grade Step Placements, page 2-69
Increment Progression Points Reports
When you run the Increment Progression Points process two reports are automatically
created. You may choose to run the Increment Progression Points process in Report
Only Mode before deciding whether to actually run the process. Running the process in
Report Only Mode enables you to see the process results before the process is actually
run.
The two reports produced by the Increment Progression Points process are:
• Employee Increment Results Report, displays the actual or projected results of
running the Increment Progression Points process.
See: Running the Employee Increment Results Report, page 2-73
• Employee Increment Exception Report, displays persons within a group of
employees, excluded from the Increment Progression Points process. The Exception
report provides details of why employees have been excluded from the Increment
Progression Points process and errors resulting from the process.
See: Incrementing Grade Step Placements, page 2-69
Important: If you update an employee Point value in the Grade
Step Placement window and run the Increment Progression Points
process during the same day, the report will not give an accurate
indication of the difference between the old Point value and the
new Point value. The reason for this is that the report comparison
displays differences on a day to day basis, meaning that you should
try to avoid running the process on the same day and multiple
times on the same day as making manual updates to employee
Point values.
Placing an Employee on a Grade Step
Use the Grade Step Placement window to place an employee on a grade step. When you
2-60 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
open this window, information about the grade, grade ladder, and scale appears
automatically. By default, the ceiling point is the one you defined for the grade.
However, you can enter a special ceiling point for individual employees in the
Assignment window.
Note: Placing an employee on a grade step does not automatically
update the salary element
To place an employee on a grade step:
1. Set your effective date to the date when the placement should come into effect.
2. Select the point or step on which to place the employee assignment.
3. Select a reason for entering a placement, if required.
Incrementing Placements Automatically (without using grade ladders)
If you want to automatically increment the employee's placement, follow steps 4 and 5,
otherwise go to step 6.
4. Check the Auto-Increment check box to increment the employee's placement when
you run the Increment Progression Points process.
5. Specify the number of steps by which the placement grade is to be incremented in
the Increment Number field.
6. Save your work.
The Grade Step Placement window displays the rates you have defined for the pay
scale, and the values corresponding to the selected progression point.
Entering Further Grade Step Information (French Users Only)
7. Click in the Further Information field to display the Further Spinal Point Placement
Information window.
8. Select the progression speed as average, maximum, or minimum. This shows the
speed with which a employee progresses up the scale.
9. Save your work.
Viewing Grade Comparatios
The View Employee Grade Comparatio window compares the compensation values
you enter for employees with the minimum, maximum, and mid values you define for
their grades.
Salary and Grade Related Pay and Progression 2-61
To view employee grade comparatio values:
1. Select an element and input value.
The inquiry finds assignments that have an entry for this input value.
2. Select a grade rate and grade for which you have defined a range of valid values.
The inquiry compares the minimum, maximum, and mid values for your chosen
grade with the element entries of the list of assignments.
3. Choose the Find button to run the inquiry.
The folder in the lower part of the window lists the assignments that match your
selection criteria:
• The value is the element entry value for each assignment.
• The comparatio shows the assignment's element entry as a percentage of the
mid-value defined for the grade rate.
• The percent of range shows the position of the assignment's element entry
between the minimum value for the grade rate (0%) and the maximum value
(100%).
Part Time Employees
Employee are part time if the hours on their assignment's standard conditions are
less than the work day hours entered for their organization. For part time
employees, the system prorates the minimum, maximum, and mid grade rate
values before calculating the comparatio and percent of range.
Running the Batch Enrollment - Grade/Step Progression Process
If you have set up a grade ladder as the default grade ladder for your business group,
then you can run the Batch Enrollment - Grade/Step Progression process to update the
appropriate assignment records with the default grade ladder name and create benefits
enrollment records for employees who are on the default grade ladder.
For the default grade ladder to apply to an assignment, the grade you entered for the
assignment must be attached to the default grade ladder and you must not have
assigned any other grade ladder to the assignment using the Assignment window.
Use the Submit Request window.
To run the Batch Enrollment-Grade/Step Progression Process:
1. Select Batch Enrollment - Grade/Step Progression as the Name.
2. Enter the effective date on which you want to create the enrollment records.
2-62 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
3. Select the Default Grade Ladder for the business group.
4. Select a Person Name, Grade Name, or a Person Selection Rule to restrict the
assignments you want to process.
If you leave these fields blank and select just the default grade ladder, the
application creates enrollment records for all unenrolled employees to whom the
default grade ladder applies, and updates the assignment records with the grade
ladder name.
5. Click OK and then Submit.
Running the Participation Process: Grade Step
The Participation Process: Grade Step (the Grade/Step Progression pre-process)
evaluates your employees one at a time, to determine the set of grades and/or steps to
which an employee is eligible to progress (and marks the default grade or step when
more than one eligible progression exists).
When the process completes, it triggers automatically a post-process that progresses
employees to their new grade or step and makes the salary updates as required.
You can run this process retrospectively, but if you do so, the application does not
process employees with future-dated salary proposal changes and they appear in an
exception log. If you wish to process these employees, you must process them manually
from the Assignment window by updating their grade or step, and salary.
See: Entering an Assignment, Oracle HRMS Workforce Sourcing, Deployment, and Talent
Management Guide and Entering Additional Assignment Details, Oracle HRMS Workforce
Sourcing, Deployment, and Talent Management Guide
We suggest that you run this process once a month. However, if you are an Advanced
Benefits user with many life events triggered by person or assignment data changes,
you may prefer to run the process more frequently.
You run this process from the Submit Requests window.
To run the Participation Process: Grade Step
1. In the Name field, select Participation Process: Grade Step.
2. Change the runtime parameters if required.
If you leave the Potential Life Events to Process Date field blank, the application
assigns a dummy life event to any employee without a life event and processes all
selected employees.
If you enter a date in the Potential Life Events to Process Date field, the application
processes only those employees with a life event on the date specified (which was
triggered due to changes in person data or due to satisfying temporal life event
Salary and Grade Related Pay and Progression 2-63
criteria.)
For information on other parameters, see Runtime Parameters for the Batch
Participation Process, page 6-21.
3. Choose the Submit Request button.
Running the Rank Employees for Grade/Step Progression Process
If your grade ladder uses manual approval of proposed progressions, you can set it up
to enable ranking of employees so that you can select the most eligible employees from
a group of people to progress. The ranking ability thus gives you a fair basis for
selection of employees when there are more eligible people than you can progress.
If you set up your grade ladder to enable ranking of employees, you must run the
ranking process for the employee ranks to appear in the Approvals: Grade/Step
Progression page. The ranking process computes the ranks of all the employees on a
ranking-enabled grade ladder, on the basis of their total scores for the eligibility criteria
they satisfy.
You run this process after you have run the Participation Process and before you
approve (or reject) the proposed progression using the Approvals page.
Use the Submit Request window.
To run the Rank Employees for Grade/Step Progression process:
1. Select Rank Employees for Grade/Step Progression as the Name and click in the
Parameters field to open the Parameters window.
If you run this process without specifying any parameters, then the process
computes ranks for all the employees proposed for grade/step progression,
excluding those who have been approved or whose approvals are awaiting their
managers' approval. The process runs in the report-only mode and does not save
the ranks to the database.
2. Select a grade ladder name to compute ranks for all the employees on that grade
ladder, and a grade name to restrict the process to that grade.
If you have set up your grade ladder to enable computing of scores by grade ladder,
the process computes ranks for the entire grade ladder, even if you select a grade in
the parameters. Similarly, if you select a grade without specifying a grade ladder,
the process checks how you have set up the computing option, that is, if it is by
grade or grade ladder, and computes the ranks accordingly.
3. Enter a date range to restrict the process to GSP life events processed within that
range.
If you enter only the life events processed start date and no end date, the process
2-64 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
picks up all the GSP life events processed as on that date.
4. Specify a specific participation process, by selecting the request ID, to rank
employees processed in that run of the participation process.
If you select this parameter, the application ignores all the other parameters you
selected, such as the grade ladder and grade, and processes all the progressions that
the application processed in that participation process run.
5. Select the appropriate option in the Validate field. If you select Commit, the process
saves the computed ranks for the employees. If you select Rollback, the process
runs in report-only mode and does not save the employee ranks.
6. Specify if you want to include employees whose proposed progressions are
awaiting their managers' approval. This parameter applies only if you have enabled
Workflow for the grade ladder.
7. Click OK, and then Submit.
Approving and Rejecting Grade/Step Progression (Manual)
When you create a grade ladder, you specify the type of approval it uses (its posting
style):
• Automatic progression: the application automatically updates the assignments of
eligible employees with progression changes on the date specified (provided there
are no system errors)
• Manual progression: you must use the Approvals: Grade/Step Progression page to
approve or reject eligible employees.
If you have set your grade ladder for manual approval, the Participation Process: Grade
Step pre-process starts the Grade/Step Progression process, but you must then reject or
approve the proposed progressions using the Approvals: Grade/Step Progression page.
Setting up your grade ladder for manual approval gives you the additional ability to
rank your employees on the basis of their total scores for the eligibility criteria they
satisfy, and to use Workflow to notify managers for their approvals for the proposed
progressions.
If you set up a grade ladder to use ranking, the Approvals: Grade/Step Progression
page displays the scores and ranks of all the employees who are on that grade ladder.
You can check the ranks of your employees to determine the people you want to
progress from all the proposed progressions. You must have run the Rank Employees
for Grade/Step Progression Process, page 2-63 for the employee ranks to display in this
page.
Salary and Grade Related Pay and Progression 2-65
To approve or reject progressions manually:
1. Using the Approvals: Grade/Step Progression page, enter search criteria for the
proposed progressions you want to view. Only the Progression Date From and
Progression Date To are mandatory criteria.
2. Select one or more employees to display the details of their current grade or step
and the grade (or step) to which they are eligible to progress.
If a grade ladder is set up to use ranking, you can check the scores and ranks for
employees on that grade ladder before you approve those employees. You can also
override the system-proposed ranks of employees.
3. Optionally, click Download to Spreadsheet to download the progression details into
a spreadsheet. You can distribute the spreadsheet to managers for opinion or
approval, for example. You can also modify the proposed rank, salary change date,
and progression date for employees in the spreadsheet, and upload the modified
information into the application using Web Applications Desktop Integrator (Web
ADI).
See: Data Download Using Web ADI, Oracle HRMS Configuring, Reporting, and
System Administration Guide
See: Data Upload Using Web ADI, Oracle HRMS Configuring, Reporting, and System
Administration Guide
4. Review the details of each proposed progression and approve (or reject) one or
more employees at a time. You can also make manual changes to the proposed
progression, including changing the progression date and salary update date.
5. When you have finished approving or rejecting the proposed progressions, click
Submit.
This saves the status of the progression (A - Approved or R - Rejected) in the
employee's Electable Choice records. If a grade ladder uses Workflow, the
application notifies the managers of the employees on that grade ladder about the
proposed progressions when you approve progressions on this page.
6. Using the Submit Request window, run the Process Employees Progressed
Manually process. This updates the assignment records of the employees and
makes salary updates where required.
Process Employees Progressed Manually
If you set up your grade ladder to perform manual progression, then you need to run
the Process Employees Progressed Manually process for the manual progressions to
come into effect. You run this process after you have approved or rejected the proposed
progressions using the Approvals: Grade/Step Progression page.
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Use the Submit Request window.
To run the Process Employees Progressed Manually process:
1. Select Process Employees Progressed Manually as the Name.
2. Click in the Parameters field to open the Parameters window.
3. Enter the date when you want the manual progressions to come into effect as the
Effective Date.
4. Click OK and then Submit.
Running the Recalculate Participant Values: Grade/Step Progression
process
Using the Recalculate Participant Values: Grade/Step Progression process you can
automatically update employee salary, if there is a change in the rates of the grade or
step on which you placed the employee. This process applies only to those employees
whose grade ladder supports automatic salary updates.
Use the Submit Request window.
To run the Recalculate Participant Values: Grade/Step Progression
process
1. Select Recalculate Participant Values: Grade/Step Progression as the Name.
2. Click in the Parameters field to open the Parameters window.
3. Enter an Effective Date on which you want to run the process.
4. Leave the default values in the Detect Temporal Events field.
5. Select the appropriate option in the Validate field. If you select Commit, the process
saves the new rates to the employees' salary records. If you select Rollback, the
process runs in report-only mode and does not update the salaries..
6. Select the appropriate values in the other parameters to restrict the assignments you
want to process. For example, if you select a person name , the application
processes only that person's assignments.
Select a value for this parameter… To...
Person Name recalculate rates for a single person.
Salary and Grade Related Pay and Progression 2-67
Select a value for this parameter… To...
Person Type recalculate rates only for a particular person
type (such as employee).
Compensation Object Selection and Person
Selection Rules
restrict process to the people or
compensation objects returned by a
formula. For example, you can write a
formula to restrict person selection to those
employees with a recent salary change.
Organization restrict the process to an organization.
Benefits Group restrict the process to a Benefits Group.
Location restrict the process to the specified location.
Postal/Zip Range restrict the process to the assignments that
are within this postal or zip code range.
Reporting Group process all persons associated with this
Reporting Group.
Legal Entity restrict the process to a legal entity. The
legal entity field is available only for US
users.
Payroll restrict the process to run on a particular
payroll.
Organization Hierarchy and Organization
Top Node
restrict the process only to that part of the
organization hierarchy.
Grade Ladder process all the assignments you have
assigned to this grade ladder.
Pay Scale process all the assignments you have
assigned to this pay scale.
Business Rule restrict the process to apply to a business
rule, for example, if you want to update
rates for an employee on their anniversary
of joining or on their birthday.
2-68 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Select a value for this parameter… To...
Business rule date from and Business rule
date to
run the process for the specified business
rule for a given date range. The effective
date you entered must be between the
business rule start date and business rule
end date.
Business Rule Year from and Business Rule
Year to
restrict the business rule to apply to the
employees who are in the year range you
give here. For example, if you select
Anniversary of Joining as the business rule
and then choose 2-5, as the Business Rule
Year from and Business Rule Year to dates,
then the process recognizes all those
employees who completed their 2nd to 5th
anniversaries, for applying rate
recalculation.
Collective Agreement restrict the process to a collective
agreement.
Qualification Type and Status restrict the process to run on the employees
who have the specified qualification and
type.
Note: You can select the qualification
type without selecting the qualification
status, but you cannot select the
qualification status without selecting a
qualification type.
People Group Flexfield restrict the process to run on employees in
the specified group.
7. Click OK and then Submit.
Running the Purge GSP Transactions in Staging Table Process
You run this process to clean up the staging tables of the temporary data, after you have
created a grade ladder. During the grade ladder setup, the application stores temporary
data that it uses to update and eventually create the grade ladder. Once you have
created the grade ladder, the application moves the data to the Benefits HR table and
you no longer require the temporary data.
Salary and Grade Related Pay and Progression 2-69
Use the Submit Request window.
To run the Purge GSP Transactions in Staging Table Process:
1. Select Purge GSP Transactions in Staging Table as the Name.
2. Click in the Parameters field to open the Parameters window.
3. Select Grade/Step Progression as the Transaction Type.
Note: French Users: Select French Corps to clear temporary corps
data.
4. Select the Status of the grade ladder you want to purge. The options are:
• Complete
• Save for Later
• View
5. Enter the From and To Action Dates to restrict the process to apply to the data
within the date range.
6. Click OK and then Submit.
Incrementing Grade Step Placements (Without Using Grade Ladders)
If you have not implemented Grade/Step Progression in your enterprise, you can
increment grade step placements manually, using the Grade Step Placement window,
or automatically, by running the Increment Progression Points process. In each case, the
actual salary element is not updated. You can use grade step placements to update
salary elements but you need to write an Oracle Payroll formula to do this. However,
you are advised not to use Salary Administration to confirm a grade step change,
because this means that subsequent changes to the point values would require updates
for all the salary records to which they apply.
If you run the Increment Progression Points process, you can specify if an assignment
will be incremented and the number of steps that a placements grade step is to be
incremented by.
Any employees who are due increments which are greater than the grade scale ceiling
will be highlighted by the application. For example, you may have an employee on step
7 of a grade scale, with a ceiling of 10 steps. If the employee is due an increment of 4
steps, the Exception report shows that the assignment was incremented but a ceiling has
been reached.
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To run the Increment Progression Points process:
Note: An assignment's grade step placement is incremented
automatically only if all the following conditions are met:
• It is still below the ceiling point.
• The automatic increment check box on the Grade Step Placement
window is checked for the assignment.
1. Navigate to the Submit Requests window.
2. Select the Increment Progression Points process in the Name field.
3. If the Parameters window does not open automatically, click in the Parameters
field.
4. Enter the date on which the increment becomes effective.
5. If either Yes or No is selected in the Report Only Mode field, the process prints both
the Employee Increment Results Report and the Employee Increment Exception
Report. If you select Yes the increments are made and if you select No, then no
increments are made.
Note: The following parameters restrict the assignments,
incremented by the Increment Progression process, to the
categories you select and are optional. For example, if you select an
organization, then only assignments with that organization will be
included in the process.
6. Select an organization.
7. Select a legal entity.
Note: In the UK the Legal Entity parameter is not available.
8. Select an organization hierarchy and select an organization top node, if you want to
exclude part of an organization hierarchy.
9. Select values for some or all of the segments of your People Group flexfield, if
required. This restricts the assignments incremented by the process to those in the
group matching the values you enter.
10. Select the name of the pay scale.
Salary and Grade Related Pay and Progression 2-71
11. Select a business rule if you want to enforce an additional rule to the increment
process, otherwise go to step 15.
12. Enter a business rule date from and business rule date to.
Note: The effective date, entered at step 4, must be between the
business rule start date and business rule end date.
13. Enter a year from and year to date if you want to specify an age range for the
people you want to receive the increment.
14. Select the dependent date category.
15. Select the name of the payroll.
16. Select a collective agreement.
17. Select a person name, if you want the process or report to run on an individual
person.
18. Select the qualification type and status.
Note: You can select the qualification type without selecting the
qualification status, but you cannot select the qualification status
without selecting a qualification type.
19. Choose the OK button.
20. Choose the Submit button.
Running the Current and Projected Progression Point Values Report
Run this report before running the Increment Progression Points process, to assess its
effects. This report shows what changes would be made by the Increment Progression
Points process and how much it would cost for a particular scale rate, such as salary, or
for all rates.
You run reports in the Submit Requests window.
To run the Points Values Report:
1. Select Current and Projected Progression Points Values Report in the Name field.
2. If the Parameters window does not open automatically, click in the Parameters
field.
2-72 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
3. Enter the date on which the increment becomes effective.
Note: The following parameters restrict the assignments,
incremented by the Increment Progression process, to the
categories you select and are non-mandatory.
4. Select an organization.
5. Select a legal entity.
Note: In the UK, the Legal Entity parameter is not available. UK
users may proceed to step 6.
6. Select an organization hierarchy.
7. Select an organization top node, if you want to exclude part of an organization
hierarchy. The process includes the top node selected and the remaining hierarchy
below, within the organization hierarchy you previously selected.
8. Select values for some or all of the segments of your People Group flexfield, if
required. This restricts the assignments incremented by the process to those in the
group matching the values you enter.
9. Select the name of the pay scale.
10. Select the name of the payroll.
11. Select a collective agreement.
12. Select a person name, if you want the process or report to run on an individual
person.
13. Select the qualification type and status.
Note: You can select the qualification type without selecting the
qualification status, but you cannot select the qualification status
without selecting a qualification type.
14. Select the qualification status.
15. Choose the OK button.
16. Choose the Submit button.
Salary and Grade Related Pay and Progression 2-73
Running the Employee Increment Results Report
This report is available for you to run independently in circumstances where you have
deleted the original report, produced by the Increment Progression Points process. You
run this report after running the Increment Progression Points process. This report
gives the actual results of running the process, depending on how you specify the
process to run, allowing you to check employee progressions are successful. You run
reports in the Submit Requests window.
To run the Employee Increment Results Report:
1. Select Employee Increment Results Report in the Name field.
2. Enter the Parameters field to open the Parameters window.
3. Select a pay scale and the increment process run for which you want to see the
results.
4. Restrict the scope of the report, if required, by selecting an organization, a group
and a rate.
5. Choose the Submit button.
2-74 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Criteria-Based Rates
Criteria-Based Rates for Variable Pay
If your enterprise assigns employees to different jobs, roles, or tasks according to a
variable schedule, you can now calculate their pay from different rates for each role
they perform in a time period. You can vary pay by other criteria too, such as location
or length of service. You create a rate matrix to define rates against diverse criteria. For
example, you could define base salary, overtime, and night duty allowance against
combinations of job, location, and age. A person is eligible for a rate if their HR record,
or overriding information they supply on their timecard, matches the rate's eligibility
criteria.
You can use the supplied rate retrieval API to obtain the appropriate rates for a person
or set of criteria. If you use Oracle Payroll, your payroll formulas can call a supplied
function to retrieve the appropriate rate for each employee.
Criteria
For each rate you can define up to seven eligibility criteria, including your own criteria
or standard, predefined criteria such as length of service, position, and bargaining unit.
For example, the criteria might be assignment to a specified organization or position
hierarchy, or to a range of grades. You can define a criteria with two sub-criteria, if
necessary, such as grades and locations.
When you define the criteria, you specify how the rate retrieval API should identify the
criteria values for a person. There are three choices:
• Specify a table and column that stores the personal or assignment information
• Specify a formula rule that returns the criteria value
• Specify one of the above and enable overrides from timecards
Criteria Rate Definitions
For each rate, you create a criteria rate definition such as base rate, hazard allowance, or
pension. The criteria rate definition specifies the rate calculation method; you can:
• Enter the rates on the rate matrix
• Calculate a rate based on another rate (such as a percentage of the base rate)
• Specify a formula rule to calculate the rate
If you define your eligibility criteria in such a way that an employee may be eligible for
Salary and Grade Related Pay and Progression 2-75
more than one rate value, you must specify the preferred rate, which can be the lowest,
highest, average, or the rate returned by a formula rule.
You specify which elements derive their values from this rate definition. For example, if
you are defining a salary rate, you might select a Regular Salary element, which is for
people who have a criteria-based salary each month, and an Exception Salary element
for people who have a criteria-based salary on an exceptional basis.
Note: The rate retrieval API does not update the element with the
criteria-based rates. If you want the element entries to show the rates
for reporting, you must update them manually. Oracle Payroll users
can report on values in the element run results.
Rate Matrix
After you define the criteria and the rate definitions, you select them to build your rate
matrix, which includes both eligibility criteria and rate columns from the rate definition.
You select up to seven criteria and sequence them. For example, if you select Job then
Location, the rate retrieval API checks a person's job first, then their location to find the
appropriate rate. The following table shows an example of a rate matrix.
Criteria 1:
Union
Criteria 2:
Job
Criteria 3:
Grade
Base Rate:
Default
Base Rate:
Minimum
Overtime
Rate (% of
base rate)
Allied
Shipbuilders
Welder 1.A 23.5 22 150
Allied
Shipbuilders
Welder 1.B 25 23.5 150
Allied
Shipbuilders
Equipment
operator
1.A 21 20 150
Allied
Shipbuilders
Equipment
operator
1.B 22 20 150
You can define rates for a single criteria value (such as organization = Sales East), or a
range of values (such as age 18 to 21), or a group of values (such as grade = Senior or
Principal).
Retrieving Rates for Payroll
To use criteria-based rates in Oracle Payroll, you include the Rate by Criteria function in
the payroll formula for the element that you want to calculate from the matrix. This
2-76 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
function calls the rate retrieval API to retrieve the appropriate rate for the person, based
on their personal and assignment details or overriding information on their timecard.
For the setup steps to create a rate matrix and use it in Oracle Payroll, see: Setting Up a
Rate Matrix, page 2-76
Setting Up a Rate Matrix
Create a rate matrix to define rates of pay against combinations of criteria, such as base
pay that varies by job, grade, age, and length of service, and overtime that is a
percentage of base pay where the percentage varies by position.
Note: Within a rate matrix, if base pay varies by job, grade, age, and
length of service, and overtime is a percentage of base pay, then
overtime can also vary only by job, grade, age, and length of service; in
other words, you cannot vary rates by one criteria for one rate type and
by another criteria for another rate type within one rate matrix.
To set up a rate matrix:
1. Design your matrix by deciding which rates of pay are variable, and which criteria
determine each rate. List the rates that are dependent on other rates so you can
create them in the correct sequence.
2. Define one or more elements for each rate.
To use timecards to specify a criteria value for a rate, create an input value to hold
the criteria value. For example, if your workers can specify a location on their
overtime timecard entries, create a location input value on the Overtime element.
Use sequence 12 through 15 for these input values.
3. Link the elements. Typically you create open element links (with no assignment
components) since you are not using the link to determine eligibility for the rates.
4. If you are using Oracle Payroll, ensure that the payroll formulas for your rate
elements call the function RBC_Rate_Retrieval. See: Writing Formulas for Rate by
Criteria Calculations, Oracle HRMS FastFormula User Guide
5. Review the predefined criteria. If you want to use timecards to specify a person's
value for any predefined criteria, query the criteria on the Eligibility Criteria page
and, in the Define Timecard Override region, enter the table and column holding
the timecard information. If you are using Oracle Time and Labor, the table is
pay_batch_lines, and the column is the element input value that holds the override
information.
6. Define any additional criteria you require. To use a formula rule to determine the
Salary and Grade Related Pay and Progression 2-77
criteria values for an employee (rather than retrieving the values from a table), you
must write the formula first. Select the formula type Eligibility Access Calculation.
See: Defining Your Own Eligibility Criteria, page 1-143
7. If you are using Oracle Time and Labor and you want your workers to specify
criteria override values on their timecards, modify the timecard layout to include
the criteria you want, such as location. For a worked example of all the steps to use
timecards to provide override values, see the white paper Setting Up the
RBC/OTL/Payroll Integration, My Oracle Support Note ID 369044.1.
8. Create your criteria rate definitions on the Criteria Rate Definition page, selecting
the elements you created for the rate. To use a formula rule to determine how the
application calculates or rounds the rate value, or selects the preferred rate when
the employee is eligible for more than one, you must write your formulas first.
Select the formula types Compensation Calculation, Rounding, or Preferential Rate
Calculation.
9. Create your rate matrix by ordering the criteria and entering values for each rate
definition against each combination of criteria.
What's Next
You can test your setup by entering the rate element for an employee, running
QuickPay, and checking the statement of earnings. If you are using timecard overrides,
you must enter a timecard for the employee, transfer the timecard from OTL to BEE
(batch element entries), and process the batch before you run QuickPay.
2-78 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Workforce Intelligence Key Concepts for Salary,
Grades, and Pay Administration
Key Concepts for Salary, Grades, and Pay Administration Intelligence
The Salary, Grades, and Pay Administration Intelligence reports enable you to compare
and contrast salaries among employees working in different circumstances, such as
different jobs or organizations, within your enterprise. You can also examine salary
trends, or you can view salary details for individual employees. You can set Key
Performance Indicators to alert you to critical changes in salaries.
Note: These reports will not return data if you have not attached your
Grade Rates to a Salary Basis.
To enable you to get the most out of the Salary, Grades, and Pay Administration
intelligence reports, you need to understand the following key concepts:
• Salary Currencies, page 2-78
• Salary Annualization, page 2-78
• Grade Annualization, page 2-79
• Salaries and Assignments, page 2-79
Salary Currencies
The Salary, Grades, and Pay Administration reports enable you to select the currency
on which you want to report. If salaries exist that are not paid in the currency you
select, you can include or exclude them from the report. If you include salaries that are
not in the currency you select, the reports convert the salary using the general ledger
(GL) daily rates. If the report cannot find a valid exchange rate, it ignores the salary.
For more information, see Entering A Conversion Rate Type, Oracle HRMS Configuring,
Reporting, and System Administration Guide.
Salary Annualization
Most of the reports display salary values as annualized figures. Reports use the salary
basis set up for the assignment to calculate the annualized figure. Reports only include
the salary values they can convert to an annualized figure.
Salary and Grade Related Pay and Progression 2-79
Grade Annualization
Reports display the minimum, mid-point, and maximum payments in a grade range as
annualized figures. Reports use the grade annualization factor set up as part of the pay
basis to calculate the annualized figure.
Salaries and Assignments
The Salary, Grades, and Pay Administration reports show salaries for all assignments
that satisfy the following criteria. For an assignment to be included in the reports, it
must:
• Be active or suspended.
Note: By including employees with a status of suspended, the
reports ensure that employees on military leave, or those who have
been temporarily suspended, are still included in the salary
analysis.
• Have the latest approved salary proposal. Assignments with unapproved salary
proposals are not included.
• Have all components of a salary increase approved.
• Have a performance rating related to a current approved salary, if you group by
performance.
• Fit the criteria you enter. For example, if you enter a location, the assignment must
be for that location.
Each assignment that matches the selection criteria appears on the report. If an
employee has more than one assignment that matches all the criteria, the employee
appears more than once on the report.
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Workforce Intelligence for Salary, Grades, and Pay
Administration
Employee Primary Assignment with Salary and Grade Rate Detail
Workbook
This workbook enables you to report on employees based on their primary assignment.
The workbook output is in a non-legislative specific format, which is useful for global
reporting.
You can report on employee details, including:
• Current annual salary
• Previous annual salary
• Salary grade rates
• Date of birth
• Working hours
• Gender
• Age
Worksheets
This workbook has the following worksheets:
• Organization Hierarchy
• Supervisor Hierarchy
Organization Hierarchy Worksheet
This worksheet enables you to report on employee details based on the employee
primary assignment (in a non-legislative specific format) for a given organization and
its subordinate organizations.
Business Questions
How much do my employees within each organization earn and how does that compare with
their grade rate?
Salary and Grade Related Pay and Progression 2-81
Worksheet Parameters
You must specify values for the following parameters:
• Organization Hierarchy
• Top Organization
• Effective Date
The worksheet includes those employees who held a primary assignment at the time of
the Effective Date, and were employed in the selected organization hierarchy at the time
of the Effective Date.
Headings and Calculations
This report uses the following calculations:
• Annualized Grade Minimum
Calculates the annualized minimum payment in a grade range. The calculation uses
the grade annualization factor that is set up as part of the pay basis.
• Annualized Grade Mid Value
Calculates the annualized mid value payment in a grade range. The calculation uses
the grade annualization factor that is set up as part of the pay basis.
• Annualized Grade Maximum
Calculates the annualized maximum payment in a grade range. The calculation
uses the grade annualization factor that is set up as part of the pay basis.
• Salary Increment
Calculates an employee's salary increment as a percentage of the previous salary.
• Recent Years Service
Calculates the employee's length of service as the number of years since their most
recent hire date.
Supervisor Hierarchy Worksheet
This worksheet enables you to report on employee details based on the employee
primary assignment (in a non-legislative specific format) for a given supervisor and
his/her subordinates.
Business Questions
How much do the employees for a given supervisor earn and how does that compare with their
2-82 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
grade rate?
Worksheet Parameters
You must specify values for the following parameters:
• Supervisor
• Effective Date
The worksheet includes those employees who held a primary assignment at the time of
the Effective Date, and were assigned to the selected supervisor at the time of the
Effective Date.
Headings and Calculations
This report uses the following calculations:
• Annualized Grade Minimum
Calculates the annualized minimum payment in a grade range. The calculation uses
the grade annualization factor that is set up as part of the pay basis.
• Annualized Grade Mid Value
Calculates the annualized mid value payment in a grade range. The calculation uses
the grade annualization factor that is set up as part of the pay basis.
• Annualized Grade Maximum
Calculates the annualized maximum payment in a grade range. The calculation
uses the grade annualization factor that is set up as part of the pay basis.
• Salary Increment
Calculates an employee's salary increment as a percentage of the previous salary.
• Recent Years Service
Calculates the employee's length of service as the number of years since their most
recent hire date.
Related Topics
Salary, Grades, and Pay Administration Key Concepts, page 2-78
Employee Primary Assignment with Salary Detail Workbook
This workbook enables you to report on employee details based on employee primary
assignment, in a non-legislative specific format. This is useful for global reporting.
Salary and Grade Related Pay and Progression 2-83
Employee details include:
• Current annual salary
• Hire date
• Employment category
Worksheets
This workbook has the following worksheets:
• Organization Hierarchy
• Supervisor Hierarchy
Organization Hierarchy Worksheet
This worksheet enables you to report on employee details based on employee primary
assignment, in a non-legislative specific format, for a given organization and its
subordinate organizations.
Business Questions
How much do my employees within each organization earn?
Worksheet Parameters
You must specify values for the following parameters:
• Organization Hierarchy
• Top Organization
• Effective Date
The worksheet includes those employees who held a primary assignment at the time of
the Effective Date, and were employed in the selected organization hierarchy at the time
of the Effective Date.
Supervisor Hierarchy Worksheet
This worksheet enables you to report on employee details based on employee primary
assignment, in a non-legislative specific format, for a given supervisor and his/her
subordinates.
2-84 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Business Questions
How much do the employees for a given supervisor earn?
Worksheet Parameters
You must specify values for the following parameters:
• Supervisor
• Effective Date
The worksheet includes those employees who held a primary assignment at the time of
the Effective Date, and were assigned to the selected supervisor at the time of the
Effective Date.
Related Topics
Salary, Grades, and Pay Administration Key Concepts, page 2-78
Employee Salary Change Detail Workbook
This workbook investigates salary changes over specified periods of time within your
organization. The resulting information allows you to:
• Compare salary changes for similar organizations
• Analyze employee salary by length of service
• Analyze salary change by gender
• Ensure employees are rewarded for high performance
Worksheets
This workbook has the following worksheets:
• Summary
• By Years of Service
• By Gender
• By Performance Rating
• By Person
Salary and Grade Related Pay and Progression 2-85
Summary Worksheet
This worksheet enables you to view information about salary changes within your
organization. The resulting information allows you to analyze salary changes across all
organizations in a Business Group.
Business Questions
What are the details of the most recent salary changes for employees?
Parameters
You must specify a value for the following parameter:
• Salary Change Date
By Years of Service Worksheet
This worksheet displays salary change information by years of service across
organizations. The resulting information allows you to:
• Compare salary change across Business Groups and organizations.
• View salary change information by length of service.
Business Questions
What are the details of the most recent salary changes for my employees, by years of service?
Parameters
You must specify a value for the following parameter:
• Salary Change Date
By Gender Worksheet
This worksheet enables you to analyze salary change within your organization, by
gender. It enables you to analyze differences in salary changes between male and
female employees across organizations.
Business Questions
What are the details of the most recent salary changes for my employees, by gender?
Parameters
You must specify a value for the following parameter:
2-86 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
• Salary Change Date
By Performance Rating Worksheet
This worksheet enables you to investigate the effects of performance ratings on
employee salary change across organizations. It enables you to ensure employees are
rewarded for performance.
Business Questions
What are the details of the most recent salary changes for my employees, by performance?
Parameters
You must specify a value for the following parameter:
• Salary Change Date
By Person Worksheet
This worksheet enables you to investigate salary changes for individual employees.
Business Questions
What are the details of the most recent salary changes for my individual employees?
Parameters
You must specify a value for the following parameter:
• Salary Change Date
Related Topics
Salary, Grades, and Pay Administration Key Concepts, page 2-78
Employee Salary Change Workbook
This workbook enables you to report on employee salary change details; for example,
the latest salary increment, the effective date of a salary change, the salary level
compared to the grade minimum, mid value and maximum value. The details can be
shown for a chosen period of time.
Worksheets
This workbook has the following worksheets:
Salary and Grade Related Pay and Progression 2-87
• Organization Hierarchy
• Supervisor Hierarchy
Organization Hierarchy Worksheet
The Organization Hierarchy worksheet enables you to report on employee salary
change details by organization hierarchy for a given time period.
Business Questions
When did my employees' salaries change, and by how much?
Parameters
You must specify values for the following parameters:
• Organization Hierarchy
• Top Organization
• Start Date
• End Date
The worksheet includes those employees who held a primary assignment, were
employed in the selected organization hierarchy, and had a salary change, during the
period from your selected Start Date to your selected End Date.
You can also enter a value for the following optional parameter:
• Organization Hierarchy Effective Date
If you use the Organization Hierarchy Effective Date parameter, the worksheet will use
the Organization Hierarchy Version effective on this date to display organization
Hierarchy information.
This date will affect the output of your worksheet if your selected Start Date and End
Date parameters cover more than one Organization Hierarchy Version for your selected
Organization Hierarchy.
If you do not use the Organization Hierarchy Effective date parameter, the worksheet
will default to the Organization Hierarchy Version effective on your selected End Date.
Headings and Calculations
This report uses the following calculations:
• Annualized Grade Minimum
Calculates the annualized minimum payment in a grade range. The calculation uses
2-88 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
the grade annualization factor that is set up as part of the pay basis.
• Annualized Grade Mid Value
Calculates the annualized mid value payment in a grade range. The calculation uses
the grade annualization factor that is set up as part of the pay basis.
• Annualized Grade Maximum
Calculates the annualized maximum payment in a grade range. The calculation
uses the grade annualization factor that is set up as part of the pay basis.
• Previous Annual Salary
Calculates the previous annual salary amount for an employee.
• Salary Increment
Calculates an employee's salary increment as a percentage of the previous salary.
Supervisor Hierarchy Worksheet
The Supervisor Hierarchy worksheet enables you to report on employee salary change
details by supervisor hierarchy for a given time period.
Business Questions
When did my employees' salaries change, and by how much?
Parameters
You must specify values for the following parameters:
• Supervisor
• Start Date
• End Date
The worksheet includes those employees who held a primary assignment, were
employed by the selected supervisor, and had a salary change, during the period from
your selected Start Date to your selected End Date.
Headings and Calculations
This report uses the following calculations:
• Annualized Grade Minimum
Calculates the annualized minimum payment in a grade range. The calculation uses
the grade annualization factor that is set up as part of the pay basis.
Salary and Grade Related Pay and Progression 2-89
• Annualized Grade Mid Value
Calculates the annualized mid value payment in a grade range. The calculation uses
the grade annualization factor that is set up as part of the pay basis.
• Annualized Grade Maximum
Calculates the annualized maximum payment in a grade range. The calculation
uses the grade annualization factor that is set up as part of the pay basis.
• Previous Annual Salary
Calculates the previous annual salary amount for an employee.
• Salary Increment
Calculates an employee's salary increment as a percentage of the previous salary.
Related Topics
Salary, Grades, and Pay Administration Key Concepts, page 2-78
Employee with Tenure Detail Workbook
This workbook enables you to report on current employee tenure details based on the
employee primary assignment in a non-legislative specific format.
In addition to the basic employee primary assignment details, you can report on:
• Most recent hire date
• Original date of hire
• Total years of service
• Recent years of service
Worksheets
This workbook has the following worksheets:
• Organization Hierarchy
• Supervisor Hierarchy
Organization Hierarchy Worksheet
This worksheet enables you to report on employee tenure details (based on the
employee primary assignment in a non-legislative specific format) for a given
2-90 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
organization and its subordinate organizations.
Business Questions
How long have my employees within a given organization hierarchy been working within my
enterprise?
Parameters
You must specify values for the following parameters:
• Organization Hierarchy
• Top Organization
• Employment Category
The worksheet includes those employees currently employed within the selected
organization hierarchy, and within the selected employment category.
Headings and Calculations
This report uses the following calculations:
• Recent Years Service
Calculates the employee's length of service since their most recent hire date as a
number of years.
• Total Years Service
Calculates the employee's length of service since their first hire date as a number of
years.
Supervisor Hierarchy Worksheet
This worksheet enables you to report on employee tenure details (based on the
employee primary assignment in a non-legislative specific format) for a given
supervisor and his/her subordinates.
Business Questions
How long have employees, reporting directly or indirectly to a given supervisor, been working
within my enterprise?
Parameters
You must specify values for the following parameters:
• Supervisor
Salary and Grade Related Pay and Progression 2-91
• Employment Category
The worksheet includes those employees currently employed by the selected
supervisor, and within the selected employment category.
Headings and Calculations
This report uses the following calculations:
• Recent Years Service
Calculates the employee's length of service since their most recent hire date as a
number of years.
• Total Years Service
Calculates the employee's length of service since their first hire date as a number of
years.
Related Topics
Salary, Grades, and Pay Administration Key Concepts, page 2-78
Compensation and Awards Management 3-1
3
Compensation and Awards Management
Compensation and Awards Management Overview
In an enterprise, you need to compensate and award benefits to eligible employees.
Your enterprise determines who is eligible for compensation and awards, and who can
allocate them. Most compensation cycles include or exclude certain employees, based
on enterprise requirements. Compensation could include salary, bonus, allowances,
vehicle mileage payments, and stock options. Allocation of compensation may depend
on factors such as current salary, grade, position, time since last pay raise, and other
factors. You also need to convey this compensation information to your employees
easily.
Managing Compensation and Awards Using Oracle HRMS
You can set up compensation and awards programs for managers to use to evaluate
and make compensation decisions. Well-designed programs help you achieve your
goals, retain qualified employees, and reward performance. Oracle HRMS helps you
design a successful compensation program and convey compensation information to
your employees.
See: Setting Up Compensation Workbench Plans, page 3-49
See: Setting Up Individual Compensation Distributions, page 3-117
See: Setting Up Compensation History, page 3-146
See: Setting up Total Compensation Statement, page 3-154
Using Oracle SSHR to Manage Compensation and Awards
As a manager, you can use Oracle SSHR to effectively manage compensation, make
informed decisions and create and allocate budgets.
Using Individual Compensation Distribution (ICD), you can:
3-2 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
• Assign one-time or recurring awards, bonuses, and allowances to qualified
employees.
• Navigate a self-service flow that creates a proposal for a spot bonus. You can use
the same process to award a car allowance or relocation package to an eligible
employee.
• Define recommended amounts by using the plan and a common eligibility engine.
• Enroll and set contribution levels in discretionary contribution plans such as a
charitable contribution plan, or a savings bond plan.
Other modules enable adjustment of employee or contingent worker pay. The Pay Rate
module enables you to change a person's overall pay rate or update an individual
component of the pay rate. HR Views provide insight into the compensation activity
within your organization.
See: Self-Service Individual Compensation Distribution, page 3-115
See: Compensation History, page 3-139
See: Vehicle Repository, page 3-166
Key Concepts
To use Compensation and Awards to suit your enterprise's requirements, you need to
understand the following key concepts and activities:
• Key Decision Areas in Compensation Workbench, page 3-11
• Plan Design for Compensation Workbench, page 3-19
• Budgeting in Compensation Workbench, page 3-22
• Promotion and Rating in Compensation Workbench, page 3-23
• Standard Rates for Compensation Workbench, page 3-24
• Hierarchies for Award Allocations and Approvals, page 3-63
• Eligibility, Award Limits and Targets, page 3-66
• Access Levels in Compensation Workbench, page 3-64
• Switch Manager, page 3-65
• Approval Modes, page 3-65
• Self-Service Individual Compensation Distribution, page 3-115
Compensation and Awards Management 3-3
• Compensation History Views, page 3-140
• Total Compensation Statement Overview, page 3-150
• Vehicle Repository, page 3-166
Reporting on Compensation and Awards
To track compensation and awards activities in your enterprise, Oracle HRMS provides
you a range of reports. For example:
• Managers use the Flexible Summary Report to view Salary, Bonus, and Stock
Option totals for their direct reports. The report also includes values such as each
manager's budget and the amount used.
• Managers or Administrators use the Employee Stock Options Total Position Report
to view summary or detailed information about employee stock option grants, such
as total shares granted, and total vested shares.
• Compensation Professionals use the Stock Option Download for Third Party
Administration Systems to download stock option grant results for all participants
in a plan in an enrollment period.
• Administrators use the Total Compensation Progress Report to check the progress
of the compensation cycle for a specific availability period and plan.
See: Compensation and Awards Management, Oracle HRMS Configuring, Reporting, and
System Administration Guide in Reports and Processes in Oracle HRMS.
Compensation Awards Management: Requirements
Using Compensation and Awards Management, you can determine and allocate
compensation and awards for your enterprise.
Can managers view employee details from Compensation Workbench?
Yes, managers can view employee details for their direct reports and any employee
further down in the reporting hierarchy. You can update certain employee information
in Compensation Workbench, so you do not have to change functions while you are
working in your compensation cycle.
How are compensation allocations awarded?
A line manager uses the Allocate Compensation task to award compensation to any
employee at a lower level in the reporting hierarchy. Line managers cannot allocate
their own compensation.
3-4 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
How are budgets prepared?
You can define a budget at the top-level of an organization hierarchy. A high-level
manager in the hierarchy issues budgets to managers who have direct reports -- and
these direct reports can be managers as well. You can issue monetary amounts or
percentages of eligible salaries. You can also use the Allocation wizard to help you
calculate the amount/percentages to issue.
Additionally, you can auto-issue a predefined budget (typically as a flat percentage of
eligible salaries) to all allocating managers.
Can other managers fill in for me if I am unavailable?
Using Switch Manager, you can act as another manager within your security profile,
and view or make updates to another manager's worksheet.
Can managers assign employees to their own worksheets?
The Employee Reassignment feature provides managers a facility to add an employee
to their own worksheets as well as to assign employees to other managers' worksheets.
The employee reassignment is valid for the selected compensation plan and enrollment
period and does not affect the current supervisor relationship.
Can managers promote and rate or assess employees at the same time as allocating
salaries?
Yes, using the Promotion and Performance features, you can process a promotion or
complete a performance rating and ranking in conjunction with processing a pay
increase, bonus, or stock award. Self-service Compensation Workbench uses the same
jobs, position, and grades as the compensation professionals use in the "back office."
Does Compensation Workbench handle approving allocations, promotions, appraisals,
and employee performance ranking?
Oracle HRMS routes a completed worksheet for approval based on the Compensation
Workbench hierarchy as specified in the enrollment requirements for the compensation
plan. There is a single approval for the entire worksheet.
Additionally, if you use Performance Management to manage performance appraisals,
managers can view complete appraisal details directly from the Compensation
Workbench allocation worksheet. As a manager, you can review your employees' latest
completed Appraisals using CWB without having to switch responsibilities to
Performance Management.
Compensation and Awards Management 3-5
Can I budget and allocate compensation based on salary components?
If you itemize a compensation plan into two or more components, for example Cost of
Living and Performance, you can budget and allocate for each component. You can link
compensation components to Oracle HRMS salary components.
Can I budget and allocate compensation across business groups?
Yes, you can budget and allocate compensation across business groups, between
different currencies, and plan types within the same compensation cycle.
Can I download and save information visible on the worksheets?
Yes, you can download information available on the worksheets. Use the Download to
Spreadsheet feature to download the default definition or download the custom
definition of worksheet columns.
Can I attach supporting documents in Compensation Workbench?
Yes. If your organization requires you to provide justification or supporting documents,
then during the compensation process, you can attach files such as a Microsoft Word or
Microsoft Excel spreadsheet to each employee record. Note that these attachments are
specific to a plan and a plan period and are not automatically carried over to another
plan or plan period.
If you do not want managers to attach supporting documents, you can hide the
attachment feature using Self-Service Personalization.
When I allocate compensation or prepare budgets, are there any guidelines that I can
follow?
Yes, you can use Company Targets as a guideline when you prepare a budget or
allocate compensation. Target amounts include an actual target and a range. You can
also view the target percentage of eligible salary. You can use the Quick Fill feature to
copy the target amounts into the compensation amount for a specific employee or for all
employees displayed in the worksheet.
You use Budgeting Targets to view the aggregate of all employee level targets for a
manager. For example, if you have two employees with a compensation target amount
of 1000 US dollars, your target budget will display 2000 US dollars.
What type of information can I view in Compensation History?
As a manager, you can get a complete view of the compensation, performance, ranking,
and job history for all employees in your security group. This includes information
about all in-progress transactions as well for salary changes, bonuses, basic or stock
3-6 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
option history, ranking, jobs, and details of other non-monetary compensation.
Can employees use Compensation History?
Yes. Employees can view all their compensation information. They can view
information about current compensation data and previously processed salary changes,
bonuses, basic or extended stock option history, and details of other non-monetary
compensations. Employee ranking is hidden by default in the employee view but you
can configure Compensation History to make it viewable. Employees can view their job
details such as name, date of the job change, position, grade, people group, and reason
for the job change.
Are there any security features associated with Compensation History?
Yes - Oracle HRMS security features ensure that you view ranking history of employees
within your security group. History includes in-progress transactions. This information
is hidden from employees.
To whom can I assign an Individual Compensation Distribution?
As a manager, you can assign an Individual Compensation Distribution only to those
qualified employees who belong to your security group. In addition, participant
eligibility profiles offer a further method to limit eligibility for those employees who are
eligible to receive compensation.
Does Individual Compensation Distribution use Approvals?
Yes. Oracle Self-Service HR provides a workflow approval process. This automatically
sends a notification to the supervisor of the manager who distributes the award. The
supervisor can either approve or reject the distribution.
Can employees use Individual Compensation Distribution ?
Yes - if your enterprise configures employee self-service Individual Compensation
Distribution for use by non-manager employees. Employees can use Self-Service
Individual Compensation Distribution to contribute to charitable contribution plans,
savings bond plans and so on.
Can I grant Compensation Awards based on employee specific effective dates?
Yes. You can allocate compensation awards to employees based on their individual
effective date. You can configure the effective date according to your business rules
such as date of the employee's last salary increase, or their hire date.
Compensation and Awards Management 3-7
Can I view award information in a currency of my choice?
Yes, ICD enables you to view award amounts in your preferred currency to avoid
having to convert the currency manually.
What type of information can I record in the vehicle repository?
You can record the following information:
• Registration number
• Make and model
• Registration date
• Engine capacity
• List price and value of optional accessories fitted initially and added later
• Fiscal rating
• Status, and reason for Inactive status
• Whether the vehicle can be allocated to multiple users
What type of information can I display in Total Compensation Statements?
You can configure Total Compensation Statement to display information based on your
enterprise's requirements. You can tailor statements to display information for groups
of employees in your enterprise. You can group compensation into categories such as
benefits, cash compensation, company stock, stock options, retirement and savings, or
create your own custom category. You can display information from various sources,
including Oracle Payroll, third party payroll, element entries, and rules (fast formulas).
Is the Total Compensation Statements feature applicable to contingent workers?
Yes, you can use Total Compensation Statements to configure and generate statements
for contingent workers also.
Can I customize the display of the Total Compensation Statements?
Yes, you can customize Total Compensation Statements to suit your enterprise's
requirements. Besides configuring the items that display in the statement, you can use a
rich text editor to format the welcome page for employees to view. You can also add
graphs and links to your statements. Employees can print and view their statements in
a pdf format at their convenience.
3-8 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Compensation Workbench License
Compensation Workbench License
To enable Compensation Workbench (CWB), you must first purchase the appropriate
license from Oracle. For information on licenses, contact your Oracle sales
representative.
Starting June 18th 2007, Oracle's Compensation Workbench is a separately licensed
product and will not remain a part of Compensation and Benefits and SSHR. You must
purchase the new CWB license only (apart from the Oracle HRMS License) and are not
required to purchase SSHR for using CWB.
To use Total Compensation Statement, you must have the CWB or Oracle Advanced
Benefits license.
Important: You must set the new system profile option HR:
Compensation Workbench Licensed to Yes either at Site or
Responsibility level in System Administrator to access CWB functions.
Compensation and Awards Management 3-9
Compensation Workbench
Compensation Workbench Overview
Compensation Workbench is a flexible tool enabling line managers to publish
compensation budgets, and allocate compensation awards and salary increases to their
teams. Using Compensation Workbench for Administrators, compensation
administrators can also monitor the progress of compensation cycles and perform
overrides and exception processing, as required.
Super Administrators can control or grant access of compensation workbench plans to
administrators.
This topic provides an overview of what you can do using Compensation Workbench.
Line Managers
Your compensation administrator gives you access to a set of tasks for each
compensation cycle, such as budgeting, allocating compensation, entering performance
ratings, entering job changes, and approving the work of subordinate managers. For
determining budgets and allocating compensation, you can enter values directly on a
worksheet that enables you to see all your employees in a single view. Alternatively
you can download information to a spreadsheet and work there, or you can use the
Allocation Wizard to help you determine budgets and allocations according to the rules
and criteria you choose.
If your manager or compensation administrator gives you a budget, you can choose to
hold the entire budget yourself, or allocate it to your direct reports only, or to all your
subordinate managers. If you use the Allocation Wizard to determine the budget, you
can provide budget targets for each employee so your managers understand the criteria
you used for creating their budgets.
See: Budgeting in Compensation Workbench, page 3-22
See: Promotions and Rating in Compensation Workbench, page 3-23
You can save your work at any stage, and submit it for approval when you are ready.
See: Hierarchies for Award Allocations and Approvals, page 3-63
You can use the online reports to view:
• Summary information for one or more compensation plans
• Compensation history for each employee
• Stock option history, including estimated walk-away values
• Changes made to an employee record by other managers in Compensation
Workbench (Audit History)
3-10 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
See: Reports in Compensation Workbench, page 3-85
There are some additional features that your compensation administrator may give you
access to:
• Overriding an employee's eligibility or ineligibility for an award
• Reassigning an employee to another manager, for the purposes of award allocation
only
• Switching to subordinate managers to enter allocations on their behalf
• Generating a compensation statement for employees to communicate their award
See: Access Levels in Compensation Workbench, page 3-64
See: Eligibility, Award Limits and Targets, page 3-66
See: Configure Worksheet and Budget Sheets, page 3-68
See: Switch Manager, page 3-65
Compensation Administrators
You can use Compensation Workbench to perform all the tasks available to line
managers, either for the whole workforce (if you decide not to delegate the task to line
managers), or in place of individual managers, for example to cover absences. You have
access to plan information for every employee within your security profile, including
information about the progress each manager is making in distributing budgets and
allocating awards. You can reprocess a single employee or change their eligibility,
salary, or assignment information.
See: Key Decision Areas in Compensation Workbench, page 3-11
See: Plan Design for Compensation Workbench, page 3-19
You can use the Plan Administration page to override certain plan setup information
for the current compensation cycle, such as period dates, budget information, tasks
available to managers, and rates.
See: Maintain Compensation Workbench Plan Mid-cycle, page 3-98
See: Steps to Administer a Compensation Workbench Plan, page 3-101
You can use reports to monitor the progress of the compensation cycle, and to gather
manager feedback.
Compensation Super Administrators
As a Compensation Super Administrator you can provide administrators access to
plans based on their responsibility. You can ensure that when administrators log in for
their administrative tasks, they can view only those plans for which you have granted
access.
See: Responsibility Based Access to Plans, page 3-64
Compensation and Awards Management 3-11
See: Key Decision Areas in Compensation Workbench, page 3-11
See: Defining Responsibility Based Access to Plans, page 3-66
Key Decision Areas in Compensation Workbench
You must first design your plans and how you want the self-service pages to look, then
you can begin to set them up. There are four main types of decision you must make,
summarized in the table below and explored in more detail in subsequent topics.
Decision Area Questions to Ask
Yourself
Setup Tools Additional
Information
Compensation Plan
Design
Which awards do you
handle together
within the same
compensation cycle?
Which awards do you
allocate from the
same budget?
Do you want to
promote, change jobs,
and give ratings at
same time as
allocating awards, or
separately?
Plans, Plan
Enrollment
Requirements, and
Standard Rates
windows.
Plan Administration
page
See: Compensation
Plan Design, page 3-
19
See: Promotion and
Rating in
Compensation
Workbench, page 3-
23
3-12 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Decision Area Questions to Ask
Yourself
Setup Tools Additional
Information
Controlling Access,
Eligibility, and
Award Amounts
Do you make all
allocations centrally
or delegate to line
managers?
Do you allocate each
manager a budget
centrally or give
high-level managers a
budget and let them
decide how to roll it
down?
Do you control who
can receive awards
with eligibility
criteria? Do you let
managers override
the criteria?
What management
hierarchy do you use
for allocations,
roll-down budgeting
and approvals?
Do you want to
restrict which
managers have access
to plans?
Which items do you
give managers access
to on their task list
and what level of
access do you give
them?
Do you want to
restrict
administrators' access
to individual plans?
Do you want to grant
Compensation
Awards on employee
specific effective
dates?
Plans, Plan
Enrollment
Requirements, and
Standard Rates
windows.
Plan Administration
Page
AME or FastFormula
to define the rules for
passing budgets
down and approvals
up the management
hierarchy (unless you
use standard
supervisor or position
hierarchies)
Compensation
Workbench
Preferences page,
Add Administrator
Responsibilities Page,
Compensation
Workbench Plan and
Responsibility
Mapping page, and
Administer Plan
Access
Award Effective Date
column.
See: Budgeting in
Compensation
Workbench, page 3-
22
See: Hierarchies for
Award Allocations
and Approvals, page
3-63
See: Access Levels in
Compensation
Workbench, page 3-
64
See: Approval Modes,
page 3-65
Eligibility, Award
Limits and Targets,
page 3-66
See: Responsibility
Based Access to
Plans, page 3-64
See: Defining
Responsibility Based
Access to Plans, page
3-66
See:Compensation
Awards
Management:
Requirements, page
3-3
See: Configure
Worksheet and
Budget Sheets, page
3-68
See: Writing
Allocated Amounts
from the
Compensation
Workbench Cycle,
page 3-107
Compensation and Awards Management 3-13
Decision Area Questions to Ask
Yourself
Setup Tools Additional
Information
Worksheet and
Budget Sheet
Configuration
Which rates do you
display?
Do you validate Jobs,
Grades, and
Positions?
Which flexfields do
you include?
Which custom and
dynamic columns do
you configure?
Which columns do
you want to display
and what should the
column headings be?
Do you enable
upload/download
using WebADI?
Self-service
personalization to
hide or display items,
rename or reorder
columns, or make
them read-only. You
can use
personalization by
plan to vary the
worksheet layout
between plans.
See: Configure
Worksheet and
Budget Sheets, page
3-68
Reports and
Notifications
Will you use the
Employee
Statements?
Do you need to
personalize any of the
reports or
notifications?
Which plan do you
want to use as context
for the Salary
Statistics and
Employee
Compensation
History Reports?
Reporting from the
self-service interface
Plan Administration
Page
See: Reports in
Compensation
Workbench, page 3-
85
See: Notifications in
Compensation
Workbench, page 3-
88
Compensation Workbench Components
For a full functional description of the Compensation Workbench, see: Compensation
Workbench, page 3-9.
3-14 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Important: You must set the system profile option HR: Compensation
Workbench Licensed to Yes either at Site or Responsibility level in
System Administrator to access CWB functions.
Menu and Function Names
This module can be accessed from the following menus and functions:
User Menu Name Function Name
Compensation Workbench for Managers Compensation Workbench
Compensation Workbench for Administrators Compensation Workbench for Administrators
Workflow
Compensation Workbench uses the following workflows:
Internal Name Display Name
RECALL_PROC Worksheet Recalled Process
ACCESS_NTF_SUB_PROCESS Customizable Access Notification Sub Process
ACCESS_PROC Access Process
BDGT_ISS_NTF_SUB_PROCESS Customizable Issued Budget Notification Sub
Process
BUDGET_ISSUED_PROC Issued Budget Process
CWB_EMP_ELIG CWB Employee Eligibility Main Process
CWB_NTF_FINAL_HOOK CWB Notification Finalize Hook
CWB_NTF_INIT_HOOK CWB Notification Initialize Hook
CWBFYINTF Comp Workbench Notifications
HR_APPROVAL HR Approval
Compensation and Awards Management 3-15
Internal Name Display Name
RSGNNTFP Employee Reassignment Notifications
RSGNP Employee Reassignment Process
WS_REJ_NTF_SUB_PROCESS Customizable Worksheet Rejected
Notification Sub Process
WS_REJECTED_PROC Worksheet Rejected Process
WS_SUB_NTF_SUB_PROCESS Customizable Worksheet Submitted
Notification Sub Process
WS_SUBMITTED_PROC Worksheet Submitted Process
Configurable Tips and Instructions
Region Tip Type Message Name
Employee Reassignment:
Employee Selection Page
Instruction Text BEN_93088_CWB_RSGN_EM
P_MSG
Allocation Budgets Instruction Text BEN_94021_CWB_SET_PREF
_CURR
Allocation Budgets Tip BEN_92974_NO_EXCHANG
E_RATE
Currency Switcher Short Tip BEN_94021_CWB_SET_PREF
_CURR
Currency Switcher Tip BEN_92974_NO_EXCHANG
E_RATE
Allocation Wizard -
Component Selection Content
Instruction Text BEN_93304_CWB_WIZ_OPTI
ON_INSTR
Manager Selection Instruction Text BEN_92824_WIZ_MGR_SEL_
HDR
3-16 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Region Tip Type Message Name
Allocation Wizard
Distribution Method Content
Instruction Text BEN_92826_WIZ_DIST_MTH
D_HDR
Allocation Wizard
Distribution Method Content
Long Message BEN_93136_WIZ_DIST_MAT
RIX_INFO
Allocation Wizard
Distribution Method Content
Long Message BEN_92862_WIZ_DIST_EQP
CT_INFO
Allocation Wizard
Distribution Method Content
Long Message BEN_92838_WIZ_DIST_PRA
MT_INFO
Allocation Wizard
Distribution Method Content
Long Message BEN_92839_WIZ_DIST_RCA
MT_INFO
Distribution Method Instruction Text BEN_92826_WIZ_DIST_MTH
D_HDR
Distribution Method Long Message BEN_93136_WIZ_DIST_MAT
RIX_INFO
Distribution Method Long Message BEN_92862_WIZ_DIST_EQP
CT_INFO
Distribution Method Long Message BEN_92838_WIZ_DIST_PRA
MT_INFO
Distribution Method Long Message BEN_92839_WIZ_DIST_RCA
MT_INFO
Matrix - Content Long Message BEN_94000_CWB_WIZ_POP_
TRG_AMTS
Matrix - Content Long Message BEN_93999_CWB_WIZ_BASI
S_CALC
Details Long Message BEN_93999_CWB_WIZ_BASI
S_CALC
Details Long Message BEN_94000_CWB_WIZ_POP_
TRG_AMTS
Compensation and Awards Management 3-17
Configurable FlexFields
Descriptive Flexfields display on their own flexfield worksheet group subtab within the
worksheet.
See: Configuring Flexfields, Oracle HRMS Deploy Self-Service Capability Guide
Configurable Profile Options
Compensation Workbench provides the following configurable profile options:
Profile Configurable Levels Values Default
BEN: CWB Download
Expire Seconds
All Levels Positive Integer 60
BEN: CWB
Encrypt/Decrypt Key
All Levels String. (If you change
this value, you cannot
upload spreadsheets
you have already
downloaded. You
must download the
spreadsheets again
with the new key.)
BEN:CWB History
Type Display
All Levels Basic Stock Option
History/Extended
Stock Option History
BEN: CWB Home
Plans Displayed
All Levels Positive Integer
BEN: CWB Layout
Lock Time
All Levels Positive Integer 10
BEN: CWB Maximum
Number of Layouts
All Levels Positive Integer 10
BEN:CWB Reporting
Plan Context
Site Level Plan or Period
BEN: CWB Wizard
Compratio Range
All Levels Positive Integer 5
3-18 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Profile Configurable Levels Values Default
BEN: CWB Wizard
Years Worked Range
All Levels Positive Integer 1
BEN:CWB Display
Currency Type
All Levels Employees' Local
currency
Corporate currency
Preferred currency
Corporate currency
BEN:CWB Summary
Level
All Levels All Employees
Direct Employees
BEN:CWB Table
Population
All Levels All Employees
Direct Employees
BEN: CWB History
Type Display
All Levels Basic Stock Option
History
Extended Stock
Option History
Basic Stock Option
History
BEN: CWB Estimated
Market Price
All Levels Any numeric value
HR:FTE Factor All Levels Budget Full Time
Equivalent
Budget Percent of
Full Time
No Conversion
Based on Working
Hours
No Conversion
Compensation and Awards Management 3-19
Compensation Plan Design
Plan Design for Compensation Workbench
Which Awards Do You Want to Budget for and Allocate Together?
Your primary design decision is how many compensation plans to create. If you want to
handle awards together on a single worksheet or allocate them from a single budget,
you must set them up within the same plan or group of plans. You group plans by
associating them with one global plan, even if the plans are defined in different
business groups and using different currencies.
For example, if you want to allocate compensation across currencies or business groups,
create a local plan for each business group and associate all the local plans with the
same global plan, which uses your corporate currency. You create a single budget for
the global plan, which you can distribute across the local plans in their local currencies.
This is called a global basic plan structure.
If you are allocating in one business group, you can create a single standalone plan that
acts as its own global plan. However, if you have several plans of the same plan type in
your business group and you want to allocate money across the plans from one budget,
you can group them under a single global plan using the global basic plan structure.
See: Setting Up a Basic Plan, page 3-31
3-20 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Note: Local plans do not have budgets. You always budget at the global
plan level.
For all global and local plans, you can define up to four options.
If you want to break down allocations into components such as cost of living increase
and merit awards, select the same plan type, such as Salary Increase, for all the options
(and the plans). These plans are called component plans. You can set up rates based on
your business requirements. Decide whether you store your budgets as a percentage of
eligible salaries or as amounts. For example, you can set up option level budgets for a
component plan with 5% for merit, 2% for cost of living, and 3% for company
performance or set up a plan for 10% to budget or allocate between salary increases and
bonuses.
See: Setting Up a Component Plan, page 3-36
Compensation and Awards Management 3-21
If you want to allocate different types of compensation (such as salary increases and
bonuses) on the same worksheet, select different plan types for the options, and select
Combination Plan as the plan type for the plan. You can publish a separate budget for
each option in the global plan.
See: Setting Up a Combination Plan, page 3-42
3-22 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Combination plans do not total options so you can create options with different units of
measurement.
Budgeting in Compensation Workbench
Compensation Workbench provides two general styles of budgeting:
• Automatic Budgeting: use this type of budget if you predetermine budgets prior to
giving managers access. For example, you enter a budget of 7.5% for all managers
in the west, and 10% for all managers in the east. Auto-issuing budgets gives the
compensation professional control over the amount a manager can allocate to
reporting employees and creates a uniform compensation distribution across the
enterprise. You can set up variable rate profiles to vary the flat percentage or
amount based on a variety of eligibility criteria such as location.
• Roll-Down Budgeting: use this type of budget if you predetermine the initial
budget only, and line managers complete the budgeting task. As a compensation
administrator, you publish the initial budget with the highest-level manager, or
with multiple lower managers. Managers roll the budgets down the hierarchy by
distributing the budget. Managers decide the level to which they want the budget
Compensation and Awards Management 3-23
to trickle down by selecting the budgeting method on the Budget Task.
You include the budgeting task in the plan design only if you want to use roll-down
budgeting. You can define budgets as monetary amounts or as a percentage of eligible
salary in the Plan Enrollment Requirements window. You can also define the budget in
non-monetary units such as Shares or Stock Options.
To configure the number of decimal places to display for budget and worksheet
amounts that are expressed as a percentage of eligible salary, you must set the following
profile options:
• BEN: CWB Budget as Percent of Eligible Salary Decimals – set this profile option to
Yes to display budgets as percent of eligible salary
• BEN: CWB Allocation as Percent of Eligible Salary Decimals – set this profile option
to Yes to display decimals for percent of eligible salary based on allocated amounts
You can decide how you store your budgets - either as a percentage of eligible salary or
as an amount. You can also choose to maintain fixed amounts or to recalculate the
budget based on a percentage.
If you have a combination plan, you must budget for at least one component, but you
are not required to budget for each component of the plan.
Promotion and Rating in Compensation Workbench
Do You Want To Enter Promotions and Performance Ratings At the Same Time as
Awards?
You can enter employee ratings and assignment changes during a compensation award
cycle, or enter them separately, depending on how your business operates. You can:
• Create a plan that includes tasks for managers to enter performance ratings, job
changes or promotions, and compensation awards at the same time.
This plan design speeds up the annual review process because managers can
submit, review, and approve all changes that affect a person's compensation at
once. Doing these tasks together helps managers award compensation to employees
in the position, job, or grade equitably, and reduces the amount of plan design
setup required.
• Create a plan that only allows managers to process job changes and promotions.
This plan design enables you to schedule a compensation period to only process job
changes and promotions, before you process compensation awards. This is helpful
when you base compensation limits or recommendations on an employee's
assignment information.
Performance ratings and assignment changes can cross global plans. If you want the
3-24 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
values your managers enter in one plan to show in another plan, you enter the same
effective date for ratings and assignment changes for each plan on the Timing tab of the
Plan Enrollment Requirements window.
Standard Rates for Compensation Workbench
You can define standard rates to meet a variety of business needs for a Compensation
Workbench plan. Most rates display fixed or enterable amounts that appear as columns
in the self-service interface. You can also base a rate on a multiple of compensation that
uses a derived compensation factor you have defined.
The activity type you select when you define a standard rate determines how
Compensation Workbench uses the rate.
When you define Compensation Workbench standard rates for certain global plan
structures, you must alkso define a compensation category. You can choose from Salary
Change, Bonus, Stock Option, Other, Combination Plan, and Option Level Component.
You must define this because the worksheet, history page, and the Compensation
Workbench Post Process use the compensation category to determine the type of
compensation that you award under the plan. For example, if the application does not
automatically calculate the new salary on the worksheet, then it is probably because
you have not defined the compensation category.
For Basic Plans, when you define Standard Rates with the Activity Type of CWB
Worksheet Amount or an Additional History Element, you must provide a
Compensation Category of Salary Change, Bonus, Stock Option, or Other.
For Component Plans, the plan level CWB Worksheet Amount Standard Rate must have
a Compensation Category of Salary Change, Bonus, Stock Option, or Other. You must
define Option Level Component as the option level CWB Worksheet Amount Standard
Rate.
For Combination Plans, you do not define a plan level CWB Worksheet Amount
Standard Rate. The option level CWB Worksheet Amount Standard Rates compensation
category must be either Salary Change, Bonus, Stock Option, or Other.
Rate Types
CWB Worksheet Amount
This rate stores an employee's award amount.
If you attach an element and input value to the rate, then the Post Process Batch job will
create an element entry in Oracle HRMS and pass the allocation as the entry value. Use
this rate if you define a plan that allocates compensation of any type, for example Stock
Options or Bonus. For salary plans or salary options, do not attach an element to this
rate. You do not require this rate if the plan is non compensation plan, such as a
Performance Appraisal Plan.
Compensation and Awards Management 3-25
You can associate a minimum and maximum rule for rates with this activity type to set
a range that managers can allocate to employees. If you select a Min Max Value Rule in
the Standard Rates window, then when you run the participation process, the
application automatically calculates the minimum and maximum values that managers
can allocate to employees. If the Minimum, Maximum, or Default values vary based on
Criteria, then attach the rate to a Variable Rate Profile.
You can use the Default value as an initial amount that appears on the worksheet. You
can use this with a Calculation method of Multiple of Compensation. You can use a
Calculation Method of Rule to default to the worksheet amount based on any fast
formula. Use rules to supply the worksheet amount.
The Rounding Code is multi-functional, and rounds off the amount you enter. It also
controls if the amounts display with decimals. To change the number of decimal places
to which the application rounds all amounts, you configure the precision (number of
decimal places) for a currency using the Define Currency window in Oracle GL.
Rounding codes larger or equal to Round to the nearest One suppress the decimal
amounts to display the amount as a whole number. You must ensure that the Increment
and Rounding Codes are consistent. Use the Currency Precision field on the Plan
Administration page to designate the number of decimal places to display when
rounding salary amounts when converting the amount from pay frequency to plan
frequency.
Compensation Category determines how rates display in history, as well as apply
special processing logic required for Salary Plans such as calculation of the New Salary
column on the worksheet.
CWB Distribution Budget
This activity type stores the budget amount or percent of eligible salaries issued by a
high-level manager to another manager.
If you auto-issue budgets, define the Distribution Budget rate so that it is equal to the
Worksheet Budget rate. Leave the Enter Value at Enrollment and Enter Annual Value
fields unchecked. Enter the auto-issue percent or amount in the Flat Amount field.
Use the Preserve Budget Column field on the Plan Enrollment Requirements window to
set whether the application stores budgets as amounts or percents.
Required? Required if budgeting
Maximum Defined Per Plan or Option One
Assign on Enrollment Recommendation Clear
Enter Value at Enrollment Recommendation Clear (Selected for auto-issued budgets)
3-26 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Override Recommendation Selected
Unit of Measure Recommendation Shares or Blank if monetary
Attach elements? No
CWB Worksheet Budget
The total monetary or share amount available to a manager to distribute to employees.
If you auto-issue budgets, define the Worksheet Budget rate equal to the Distribution
Budget rate. Leave the Enter Value at Enrollment and Enter Annual Value fields
unchecked. Enter the auto-issue percent or amount in the Flat Amount field.
Required? Required if budgeting
Maximum Defined Per Plan or Option One
Assign on Enrollment Recommendation Clear
Enter Value at Enrollment Recommendation Selected (Clear for auto-issued budgets)
Override Recommendation Selected
Unit of Measure Recommendation Shares or Blank if monetary
Attach elements? No
CWB Reserve
A reserve enables a manager to retain a certain amount of money or shares in a budget
for distribution at a later time.
If you define distribution rates for components (options in plan), you must define
reserve rates at the same level. If you auto-issue budgets, you should not define a
reserve rate since managers will not have access to the Budget sheet to reserve any
portion of their budget.
Required? Never required
Maximum Defined Per Plan or Option One
Compensation and Awards Management 3-27
Assign on Enrollment Recommendation Clear
Enter Value at Enrollment Recommendation Selected
Override Recommendation Selected
Unit of Measure Recommendation Blank or Shares
Attach elements? No
CWB Eligible Salary
This activity type is required if you distribute budgets by percentage, and
recommended for bonus and salary plans if you budget by amount.
If you define Worksheet Amount rates for components (options in plan), you must
define Eligible Salary rates at the same level.
The Eligible Salary rate uses a derived compensation factor to determine an employee's
eligible salary. You can prorate an employee's salary based on length of service using a
FastFormula rule to determine their eligible salary.
Required? Required if distributing budgets by
percentage
Maximum Defined Per Plan or Option One
Assign on Enrollment Recommendation Clear
Enter Value at Enrollment Recommendation Clear
Override Recommendation Clear
Unit of Measure Recommendation Blank
Attach elements? No
CWB Stated Salary
Use for salaries that can be converted to a different frequency than the one set in a
person's pay basis. The stated salary is stated as of a specific date and is usually a
multiple of a compensation factor. Use stated salary if you want an amount other than
eligible salary. Unlike eligible salary, you cannot prorate stated salary.
3-28 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Required? Never required
Maximum Defined Per Plan or Option One
Assign on Enrollment Recommendation Clear
Enter Value at Enrollment Recommendation Clear
Override Recommendation Clear
Unit of Measure Recommendation Blank
Attach elements? No
CWB Other Salary
Used when eligible and stated salary are not sufficient to display the result of a
calculated derived factor in Compensation Workbench.
Required? Never required
Maximum Defined Per Plan or Option One
Assign on Enrollment Recommendation Clear
Enter Value at Enrollment Recommendation Clear
Override Recommendation Clear
Unit of Measure Recommendation Blank
Attach elements? No
CWB Misc Rate 1, 2, and 3
You can define miscellaneous standard rates to use for storing any numeric value in
Compensation Workbench, for example, vacation hours, performance ratings, or length
of service. Miscellaneous rates often require a FastFormula rule to derive a value. You
can rename these columns in the self-service interface.
Compensation and Awards Management 3-29
Required? Never required
Maximum Defined Per Plan or Option One of each
Assign on Enrollment Recommendation Clear
Enter Value at Enrollment Recommendation Clear
Override Recommendation Clear
Unit of Measure Recommendation Blank if monetary, or use any value--this has
no impact on processing
Attach elements? No
CWB Recommended Amount/Target Amount
Displays minimum and maximum recommended compensation increases or awards on
the worksheet. Often, recommended rates use variable rate profiles--based on a
percentage of a multiple of compensation--to derive the recommend increase based on
an employee's compensation.
You can associate a minimum and maximum rule for rates with this activity type to set
a range that managers can allocate to employees. If you select a Min Max Value Rule in
the Standard Rates window, then when you run the participation process, the
application automatically calculates the minimum and maximum values that managers
can allocate to employees. For example, if your calculation method is Multiple of
Compensation, the Operator is Multiply By, select Default as the Target, and enter .01 as
the minimum and maximum values, then the application calculates the target as 10% of
compensation.
If you define Worksheet Amount rates for components (options in plan), then you must
define Recommended Amount rates at the same level.
A manager can distribute a recommended amount using the Allocation Wizard.
Required? Never required
Maximum Defined Per Plan or Option One
Assign on Enrollment Recommendation Clear
Enter Value at Enrollment Recommendation Clear
3-30 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Override Recommendation Selected
Unit of Measure Recommendation Blank or Shares
Attach elements? No
CWB Total Compensation
The total of a person's compensation stated as a monetary amount. You must define a
derived factor that provides the total through a balance or a FastFormula rule. Attach
this derived factor to the rate that uses this activity type.
Required? Never required
Maximum Defined Per Plan One
Assign on Enrollment Recommendation Clear
Enter Value at Enrollment Recommendation Clear
Override Recommendation Selected
Unit of Measure Recommendation Blank
Attach elements? No
CWB Additional Element History
Displays element entry history for compensation elements. The Compensation Category
you define determines the history group in which the details display, for example,
bonus, stock option or other compensation history.
Use this to display element entries that are not already linked to a Standard Rate. To do
this, you must define a plan type called CWB History Plan Type, and a plan called CWB
History Plan, and link the plan to the CWB History Plan Type. For each element entry,
you want to display in history, define a standard rate with an activity type of CWB
Additional History Elements. Ensure you define an element entry and an input value,
and use a calculation method of No Standard Value Used. Define the Compensation
Category as Bonus, Stock Option, or Other Compensation to determine the appropriate
history grouping
Compensation and Awards Management 3-31
Setting Up a Basic Plan
This topic is a worked example of the steps for setting up a global basic plan structure
across three business groups. Use this type of plan setup to allocate compensation
across currencies or business groups for a single compensation award using a single
budget. For example, you can award a single salary increase amount, a single bonus
amount, or a single stock option amount to eligible employees.
This sample setup creates plans in US, UK, and Canadian business groups. You can
replace these with business groups relevant to your enterprise. This sample setup is an
example of how you can use three different business groups to create a global plan. In
this example, the US business group is the master business group in which you define
the global plan.
Note: Ensure you use the business group in which you define the
global plan to complete administrative processing.
Note: You should have defined your business groups and set up
conversion rates before you complete your plan design.
Business Rules
Use this sample setup if your business requirements are as follows:
• Each country has a country-specific currency
• You publish budgets in a single currency - in this example, we use US dollars
• You publish budgets as a percentage of eligible salary
• You administer bonuses annually.
• Your target bonus amount for eligible employees is a percentage of their eligible
salary - in this example, we use 5% of eligible salary
• You limit access to plans for line managers for a specific period - in this example,
they have access to the plan from January 1, 2006 until December 31, 2006
• You disallow updates to the plan beyond a particular date - in this example, this
date is November 30, 2006
• You display all person-related information as of a specific date - in this example, we
display all person related information as of January 1, 2006
• You use the Supervisor Hierarchy for Approvals
3-32 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
• You enable managers to submit worksheets for approval at any time.
1. Define Plan Years as follows:
• 01-JAN-2005 - 31-DEC-2005
• 01-JAN-2006 - 31-DEC-2006
• 01-JAN-2007 - 31-DEC-2007
• 01-JAN-2008 - 31-DEC-2008
See: Defining a Program or Plan Year Period, page 1-115
2. Define a Life Event called Global Basic Bonus with Compensation as the Type.
See: Defining General Characteristics of Life Event Reasons, page 5-62
3.
Define another Life Event called US Basic Bonus with Compensation as the Type.
4. Define a Derived Factor called Stated Salary, where US dollar is the currency, Stated
Compensation is the source, Annually is the Stated Compensation Periodicity,
select the No Minimum and No Maximum check boxes, and As of Event Date as the
Determination Code.
See: Defining Derived Factors: Compensation Level, page 1-145
5. Define a Plan Type called Bonus Award, where Compensation Workbench is the
Option Type and Comp-Bonus is the Compensation Category. Select the No
Minimum and No Maximum check boxes.
See: Defining Plan Types, page 1-95
6. Define a Plan called Global Basic Bonus Plan with Bonus Award as the Plan Type,
May Not be in a Program is the Usage, US dollar is the Currency, and Annually is
the Activity Reference Period.
Add all the plan periods you defined to your plan, and add the following tasks:
Task Type Self-Service Task Name Access
Set Budgets Set Budgets Full Access
Allocate Compensation Award Bonuses Full Access
Manage Approvals Approve Awards Full Access
Compensation and Awards Management 3-33
Task Type Self-Service Task Name Access
Review and Submit Review & Submit Full Access
7.
Define a Plan called US Basic Bonus Plan with the same parameters as the Global
Basic Plan.
Note: For this plan you must also select the Restrictions tab and
select Global Basic Bonus Plan as the Global Plan Name.
See: Defining a Compensation Workbench Plan, page 3-54
8. Define Plan Enrollment Requirements for the Global Basic Plan as follows:
• Select Explicit as the Method in the Enrollment alternate region.
• On the Scheduled tab, select Compensation as the Enrollment Type.
• In the General alternate region, enter 01-JAN-2006 as the Start and 31-DEC-2006
as the End as the Enrollment or Availability Period.
• Enter 01-JAN-2006 as the Assigned Life Event Date.
• Select Global Basic Bonus as the Life Event.
• Select Processing End Date as the Close Enrollment Date to Use.
• Select 01-JAN-2005 to 31-DEC-2005 as the Year Period.
• In the Coverage alternate region, select Event as the Enrollment Coverage Start
Date. Select 1 Day Before Event as the Enrollment Coverage End Date.
• Select the Rates alternate region and select Elections as the Rate Start Date.
Select 1 Day Before Event as the Rate End Date
• In the Budget alternate region, select the Uses Budget check box if you use
budgets. Select Store Budgets as Percentages in the Preserve Budget Column.
• In the Miscellaneous alternate region, select Supervisor Hierarchy as the
Hierarchy to Use. Select At Any Time as the Approval Mode of Submission.
Enter 01-JAN-2006 and 30-NOV-2006 as the Self Service Worksheet Update
Period Start and End dates. Select Full Access as the Default Worksheet Access
and enter 01-JAN-2006 as the Freeze Date.
See: Defining an Enrollment Method for a Plan, page 5-99
3-34 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
9.
Define Plan Enrollment Requirements for the US Basic Plan with the same
parameters as the Global Basic Plan.
Note: For the US Basic Bonus Plan, select US Basic Bonus as the Life
Event instead of Global Basic Bonus.
10. Define Standard Rates for the Global Basic Plan as follows:
For Distribution Budgets
• Create a new rate called Global Basic Bonus Plan - DB
• Select Plan as the Level.
• Select Global Basic Bonus Plan as the Compensation Object.
• Select Not Applicable as the Tax Type.
• Select CWB Distribution Budget as the Activity Type.
• Clear the Element and Input Value Required check box.
• On the Calculation Method tab, select Flat Amount as the Method, select the
Enter Value at Enrollment and the Calculate for Enrollment check boxes. Enter
0 as the Minimum, 1000000000 as the Maximum, 1 as the Increment Amount,
and 0 as the Default. Select Round to Nearest One as the Rounding Code.
For Budget Reserves
• Create a new rate called Global Basic Bonus Plan - BR with the same parameters
as you define for the Distribution Budget.
Note: For this rate, select CWB Reserve as the Activity Type.
For Worksheet Budgets
• Create a new rate called Global Basic Bonus Plan - WB with the same
parameters as you define for the Distribution Budget.
Note: For this rate, select CWB Worksheet Budget as the
Activity Type.
See: Defining Activity Rates for a Standard Contribution/Distribution, page 5-146
See: Standard Rates for Compensation Workbench, page 3-24
11.
Define Standard Rates for the US Basic Bonus Plan as follows:
Worksheet Amounts
Compensation and Awards Management 3-35
• Create a new rate called US Basic Bonus Plan - WA with the same parameters as
you defined for the Distribution Budget except the following:
• Select US Global Basic Bonus Plan as the Compensation Object.
• Select Taxable as the Tax Type.
• Select CWB Worksheet Amount as the Activity Type.
• Select the appropriate Element and Input Value.
• On the Processing Information tab, select Bonus as the Compensation
Category.
Recommended Amount
• Create a new rate called US Global Basic Bonus Plan - RA with the same
parameters as you defined for Worksheet Amounts except the following:
• Select CWB Recommended Amount as the Activity Type.
• Select Not Applicable as the Tax Type.
• Clear the Element and Input Value Required check box.
• On the Calculation Method tab, select Multiple of Compensation as the
Method.
• Enter .05 as the Multiplier and select Multiply by as the Operator.
• Select Stated Salary as the Compensation Factor.
Eligible Salary
• Create a new rate called US Global Basic Bonus Plan - ES with the same
parameters as you defined for Worksheet Amounts except the following:
• Select CWB Eligible Salary as the Activity Type.
• Select Not Applicable as the Tax Type.
• Ensure to select the Calculate for Enrollment check box.
• On the Calculation Method tab, select Multiple of Compensation as the
Method.
• Select the Enter Value at Enrollment check box.
• Enter 1 as the Multiplier and select Multiply by as the Operator.
3-36 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
• Select Stated Salary as the Compensation Factor.
12. Repeat the steps (3, page 3-32, 7, page 3-33, 9, page 3-34, and 11, page 3-34) you
used to create the US Basic Bonus Plan to set up your CA and UK plans.
Setting Up a Component Plan
This topic is a worked example of the steps for setting up a component plan structure
across three business groups. Use this type of plan setup to budget and award
compensation based on different components or reasons. You can create up to four
components of the same plan type for a single award. For example, you can budget and
allocate a salary increase based on a merit component, cost of living component, and a
company performance component. Although the award is based on different
components, employees receive a single compensation award.
This sample setup creates plans in US, UK, and Canadian business groups. You can
replace these with business groups relevant to your enterprise. This sample setup is an
example of how you can set up a global component plan to award salary increases
based on the following components: merit, cost of living, and company performance. In
this example, the US business group is the master business group in which you define
the global plan.
Note: Ensure you use the business group in which you define the
global plan to complete administrative processing.
Note: You should have defined your business groups and set up
conversion rates before you complete your plan design.
Use this sample setup if your business requirements are as follows:
• Each country has a country-specific currency
• You publish budgets in a single currency - in this example, we use US dollars
• You publish budgets as a percentage of eligible salary
• You enable line managers to update rankings and rate employee performance
• You enable line managers to view and update employee assignment information
• You administer salary increases annually
• You limit access to plans for line managers for a specific period - in this example,
they have access to the plan from January 1, 2006 until December 31, 2006
Compensation and Awards Management 3-37
• You disallow updates to the plan beyond a particular date - in this example, this
date is November 30, 2006
• You display all person-related information as of a specific date - in this example, we
display all person related information as of January 1, 2006
• You use the Supervisor Hierarchy for Approvals
• You enable managers to submit worksheets for approval at any time.
1.
Define Plan Years as follows:
• 01-JAN-2005 - 31-DEC-2005
• 01-JAN-2006 - 31-DEC-2006
• 01-JAN-2007 - 31-DEC-2007
• 01-JAN-2008 - 31-DEC-2008
See: Defining a Program or Plan Year Period, page 1-115
2.
Define a Life Event called Global Component with Compensation as the Type.
See: Defining General Characteristics of Life Event Reasons, page 5-62
3.
Define another Life Event called US Global Component with Compensation as the
Type.
4.
Define a Derived Factor called Stated Salary, where US dollar is the currency, Stated
Compensation is the source, Annually is the Stated Compensation Periodicity,
select the No Minimum and No Maximum check boxes, and As of Event Date as the
Determination Code.
See: Defining Derived Factors: Compensation Level, page 1-145
5. Define a Plan Type called Component Plan, where Compensation Workbench is the
Option Type and Comp - Salary Change is the Compensation Category.
See: Defining Plan Types, page 1-95
6. Define an Option called Global Merit, where Component Plan is the Plan Type. The
application automatically updates the Group Option field and the Group Option
check box when you save your work.
7. Define two new Options called Global Company Performance and Global Cost of
Living.
8.
Define local options for US Merit, US Company Performance, and US Cost of
Living. For each local option, in the Group Option field, select the corresponding
3-38 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
global option name.
See: Defining Options, page 1-113
9. Define a Plan called Global Component Plan with Component Plan as the Plan
Type, May Not be in a Program as the Usage, US dollar as the Currency, and
Annually as the Activity Reference Period.
Add all the plan periods you defined to your plan, and add the following tasks:
Task Type Self-Service Task Name Access
Set Budgets Set Budgets Full Access
Job Changes/Promotions Update Assignment
Information
Full Access
Performance Ratings Rate Employee Performance Full Access
Allocate Compensation Award Bonuses Full Access
Manage Approvals Approve Awards Full Access
Review and Submit Review & Submit Full Access
Attach the Global Merit, Global Company Performance, and Global Cost of Living
options to the plan. Set the status to Active.
10.
Define a Plan called US Component Plan with the same parameters as the Global
Basic Plan.
Note: For this plan you must also select the Restrictions tab and
select Global Component Plan as the Global Plan Name.
Attach the US Merit, US Company Performance, and US Cost of Living options to
this plan.
See: Defining a Compensation Workbench Plan, page 3-54
11. Define Plan Enrollment Requirements for the Global Component Plan as follows:
• Select Explicit as the Method in the Enrollment alternate region.
• On the Scheduled tab, select Compensation as the Enrollment Type.
• In the General alternate region, enter 01-JAN-2006 as the Start and 31-DEC-2006
Compensation and Awards Management 3-39
as the End as the Enrollment or Availability Period.
• Enter 01-JAN-2006 as the Assigned Life Event Date.
• Select Global Component as the Life Event.
• Select Processing End Date as the Close Enrollment Date to Use.
• Select 01-JAN-2005 to 31-DEC-2005 as the Year Period.
• In the Coverage alternate region, select Event as the Enrollment Coverage Start
Date. Select 1 Day Before Event as the Enrollment Coverage End Date.
• Select the Rates alternate region and select Elections as the Rate Start Date.
Select 1 Day Before Event as the Rate End Date
• In the Budget alternate region, select the Uses Budget check box if you use
budgets. Select Store Budgets as Percentages in the Preserve Budget Column.
• In the Miscellaneous alternate region, select Supervisor Hierarchy as the
Hierarchy to Use.
• In the Performance alternate region, enter 01-Dec-2006 as the New Ratings
Become Effective date.
• In the Miscellaneous alternate region, enter 01-JAN-2006 and 30-NOV-2006 as
the Self Service Worksheet Update Period Start and End dates. Select Full
Access as the Default Worksheet Access and enter 01-JAN-2006 as the Freeze
Date. Select Promotion as the Salary Change Reason.
See: Defining an Enrollment Method for a Plan, page 5-99
12.
Define Plan Enrollment Requirements for the US Component Plan with the same
parameters as the Global Component Plan.
Note: For the US Component Plan, select US Component as the Life
Event instead of Global Component.
13. Define Standard Rates for the global component plan as follows:
For Distribution Budgets
• Create a new rate called Global Component Plan DB - Merit.
• Select Plan as the Level.
• Select Global Component Plan – Global Merit as the Compensation Object.
3-40 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
• Select Not Applicable as the Tax Type.
• Select CWB Distribution Budget as the Activity Type.
• Clear the Element and Input Value Required check box.
• On the Calculation Method tab, select Flat Amount as the Method, select the
Enter Value at Enrollment and the Calculate for Enrollment check boxes. Enter
0 as the Minimum, 1000000000 as the Maximum, 1 as the Increment Amount,
and 0 as the Default. Select Round to Nearest One as the Rounding Code.
For Budget Reserves
• Create a new rate called Global Component Plan RB - Merit with the same
parameters as you define for the Distribution Budget.
Note: For this rate, select CWB Reserve as the Activity Type.
For Worksheet Budgets
• Create a new rate called Global Component Plan WB - Merit with the same
parameters as you define for the Distribution Budget.
Note: For this rate, select CWB Worksheet Budget as the
Activity Type.
See: Defining Activity Rates for a Standard Contribution/Distribution, page 5-146
See: Standard Rates for Compensation Workbench, page 3-24
14.
Define Standard Rates for the US Component Plan as follows:
Worksheet Amounts
• Create a new rate called US Component Plan WA - Merit with the same
parameters as you defined for the Distribution Budget except the following:
• Select US Component Plan – US Merit as the Compensation Object.
• Select CWB Worksheet Amount as the Activity Type.
• Clear the Element and Input Value Required check box.
• Select the Enter Value at Enrollment and Calculate for Enrollment check
boxes in the Calculation Method tab.
• On the Processing Information tab, select Option Level Component as the
Compensation Category.
Eligible Salary
Compensation and Awards Management 3-41
• Create a new rate called Global Component Plan ES - Merit with the same
parameters as you defined for Worksheet Amounts except the following:
• Select CWB Eligible Salary as the Activity Type.
• Select Not Applicable as the Tax Type.
• Clear the Element and Input Value Required check box.
• Ensure to select the Calculate for Enrollment check box.
• On the Calculation Method tab, select Multiple of Compensation as the
Method.
• Select the Calculate for Enrollment check box.
• Clear the Enter Value at Enrollment check box.
• Enter 1 as the Multiplier and select Multiply by as the Operator.
• Select Stated Salary as the Compensation Factor.
15. Follow the same steps to set up rates for Global Component Plan – Global Cost of
Living and Global Component Plan – Global Company Performance.
16. To create the setup for the UK and CA plans, follow the steps you completed to
define Plan Years, page 3-37, Derived Factors, page 3-37, and Life Events, page 3-37.
Use Plan Design Copy to copy the rest of the setup.
Note: Ensure you copy the US Component Plan and all its child
records into your UK and CA business groups one at a time. Do not
copy the global plan.
To copy the US Component Plan, you must do the following:
1. On the Plan Design Copy page, select the link to copy and enter UK
Component as the Plan Name.
2. Enter 01-Jan-1990 as the Effective Date.
3. Select your US Component Plan.
4. Select the Target Category as Different Business Group.
5. Select your UK business group as the Target Business Group.
6. Enter 01-Jan-1990 as the Effective Date to Copy.
3-42 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
7. Select Reuse existing objects if current name exists in target as the Reuse
Method.
8. Enter a Prefix of UK.
Note: Ensure that the Global Component Plan is the Global Plan
and verify that the copied compensation objects names are updated
to UK or CA as required. Also, ensure you change the currency for
these local component plans as required.
Note: Optionally, update the rate names as well.
See: Copying a Program or Plan, page 1-119
Setting Up a Combination Plan
This topic is a worked example of the steps for setting up a combination plan structure
across three business groups. Use this type of plan setup to use a single budget amount
to allocate awards across different types of compensation. For example, you can allocate
salary increases, bonuses, and stock option awards from the same budget, also on the
same worksheet.
This sample setup creates plans in US, UK, and Canadian business groups. You can
replace these with business groups relevant to your enterprise. This sample setup is an
example of how you can set up a global combination plan to award salary increases and
bonuses. In this example, the US business group is the master business group in which
you define the global plan.
Note: Ensure you use the business group in which you define the
global plan to complete administrative processing.
Note: You should have defined your business groups and set up
conversion rates before you complete your plan design.
The Total column in the Compensation Summary table within the Allocate
Compensation task does not provide a real total for each row of data. This is because
you define budgets at the plan level in this sample setup. You can hide the option level
columns (global merit and global bonus) using Personalization, so that managers will
not be confused. The table displays an example of the data provided in the
Compensation Summary table based on this sample setup.
Compensation and Awards Management 3-43
Compensation
Summary
Total Global Merit Global Bonus
Eligible Employees 100 100 100
Employees Receiving 95 95 95
% Receiving 95 95 95
Total Eligible Salaries 1,500,000 USD 1,500,000 USD 1,500,000 USD
Budget 150,000 USD 150,000 USD 150,000 USD
Budget as % of Total
Eligible Salaries
10% 10% 10%
Total Allocated 145,000 USD 90,000 USD 90,000 USD
Unused Budget 5,000 USD
Average Allocated as
% of Eligible Salaries
9.67% 6% 3.67%
Use this sample setup if your business requirements are as follows:
• Each country has a country-specific currency
• You publish budgets in a single currency - in this example, we use US dollars
• You publish budgets as a percentage of eligible salary
• You enable line managers to update rankings and rate employee performance.
• You enable line managers to view and update employee assignment information
• You administer salary increases annually
• You limit access to plans for line managers for a specific period - in this example,
they have access to the plan from January 1, 2006 until December 31, 2006
• You disallow updates to the plan beyond a particular date - in this example, this
date is November 30, 2006
• You display all person-related information as of a specific date - in this example, we
display all person related information as of January 1, 2006
3-44 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
• You use the Supervisor Hierarchy for Approvals
• You enable managers to submit worksheets for approval at any time.
1.
Define Plan Years as follows:
• 01-JAN-2005 - 31-DEC-2005
• 01-JAN-2006 - 31-DEC-2006
• 01-JAN-2007 - 31-DEC-2007
• 01-JAN-2008 - 31-DEC-2008
See: Defining a Program or Plan Year Period, page 1-115
2. Define a Life Event called Global Combination with Compensation as the Type.
See: Defining General Characteristics of Life Event Reasons, page 5-62
3.
Define another Life Event called US Combination with Compensation as the Type.
4.
Define a Derived Factor called Stated Salary, where US dollar is the currency, Stated
Compensation is the source, Annually is the Stated Compensation Periodicity,
select the No Minimum and No Maximum check boxes, and As of Event Date as the
Determination Code.
See: Defining Derived Factors: Compensation Level, page 1-145
5. Define a Plan Type called Combination Plan, where Compensation Workbench is
the Option Type and Combination Plan is the Compensation Category.
See: Defining Plan Types, page 1-95
6. Define an Option called Global Salary Increase, where Combination Plan is the Plan
Type. The application automatically updates the Group Option field and the Group
Option check box when you save your work.
7. Define another Option called Global Bonus.
8. Define local options for US Salary Increase and US Bonus. For each local option, in
the Group Option field, select the corresponding global option name.
See: Defining Options, page 1-113
9. Define a Plan called Global Combination Plan with Combination Plan as the Plan
Type, May Not be in a Program as the Usage, US dollar as the Currency, and
Annually as the Activity Reference Period.
Add all the plan periods you defined to your plan, and add the following tasks:
Compensation and Awards Management 3-45
Task Type Self-Service Task Name Access
Set Budgets Set Budgets Full Access
Job Changes/Promotions Update Assignment
Information
Full Access
Performance Ratings Rate Employee Performance Full Access
Allocate Compensation Award Bonuses Full Access
Manage Approvals Approve Awards Full Access
Review and Submit Review & Submit Full Access
Attach the Global Salary and Global Bonus options to the plan. Set the status to
Active.
10. Define a Plan called US Combination Plan with the same parameters as the Global
Combination Plan.
Note: For this plan you must also select the Restrictions tab and
select Global Combination Plan as the Global Plan Name.
Attach the US Salary and US Bonus options to this plan.
See: Defining a Compensation Workbench Plan, page 3-54
11. Define Plan Enrollment Requirements for the Global Combination Plan as follows:
• Select Explicit as the Method in the Enrollment alternate region.
• On the Scheduled tab, select Compensation as the Enrollment Type.
• In the General alternate region, enter 01-JAN-2006 as the Start and 31-DEC-2006
as the End as the Enrollment or Availability Period.
• Enter 01-JAN-2006 as the Assigned Life Event Date.
• Select Global Combination as the Life Event.
• Select When Elections Are Made as the Close Enrollment Date to Use.
• Select 01-JAN-2005 to 31-DEC-2005 as the Year Period.
3-46 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
• In the Coverage alternate region, select Event as the Enrollment Coverage Start
Date. Select 1 Day Before Event as the Enrollment Coverage End Date.
• Select the Rates alternate region and select Elections as the Rate Start Date.
Select 1 Day Before Event as the Rate End Date
• In the Budget alternate region, select the Uses Budget check box if you use
budgets. Select Store Budgets as Percentages in the Preserve Budget Column.
• In the Miscellaneous alternate region, select Supervisor Hierarchy as the
Hierarchy to Use and select At Any Time as the Approval Mode of Submission.
• In the Performance alternate region, enter 01-Dec-2006 as the New Ratings
Become Effective date.
• In the Miscellaneous alternate region, enter 01-JAN-2006 and 30-NOV-2006 as
the Self Service Worksheet Update Period Start and End dates. Select Full
Access as the Default Worksheet Access and enter 01-JAN-2006 as the Freeze
Date. Select Periodic Review as the Salary Change Reason.
See: Defining an Enrollment Method for a Plan, page 5-99
12. Define Plan Enrollment Requirements for the US Combination Plan with the same
parameters as the Global Combination Plan.
Note: For the US Basic Bonus Plan, select US Combination as the
Life Event instead of Global Combination.
13.
Define Standard Rates as follows:
For Distribution Budgets
• Create a new rate called Global Combo Plan – DB.
• Select Plan as the Level.
• Select Global Combination Plan as the Compensation Object.
• Select Not Applicable as the Tax Type.
• Select CWB Distribution Budget as the Activity Type.
• Clear the Element and Input Value Required check box.
• On the Calculation Method tab, select Flat Amount as the Method, select the
Enter Value at Enrollment and the Calculate for Enrollment check boxes. Enter
0 as the Minimum, 1000000000 as the Maximum, 1 as the Increment Amount,
and 0 as the Default. Select Round to Nearest One as the Rounding Code.
Compensation and Awards Management 3-47
For Budget Reserves
• Create a new rate called Global Combo Plan - RB with the same parameters as
you define for the Distribution Budget.
Note: For this rate, select CWB Reserve as the Activity Type.
For Worksheet Budgets
• Create a new rate called Global Combo Plan - WB with the same parameters as
you define for the Distribution Budget.
Note: For this rate, select CWB Worksheet Budget as the
Activity Type.
Worksheet Amounts
• Create a new rate called Global Combo Plan - WA with the same parameters as
you defined for the Distribution Budget except the following:
• Select Global Combination Plan as the Compensation Object.
• Select CWB Worksheet Amount as the Activity Type.
• Clear the Element and Input Value Required check box.
• Select the Enter Value at Enrollment and Calculate for Enrollment check
boxes in the Calculation Method tab.
• On the Processing Information tab, select Combination Plan as the
Compensation Category.
Eligible Salary
• Create a new rate called Global Combo Plan – ES with the same parameters as
you defined for Worksheet Amounts except the following:
• Select CWB Eligible Salary as the Activity Type.
• Select Not Applicable as the Tax Type.
• Clear the Element and Input Value Required check box.
• Ensure to select the Calculate for Enrollment check box.
• On the Calculation Method tab, select Multiple of Compensation as the
Method.
• Select the Calculate for Enrollment check box.
3-48 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
• Clear the Enter Value at Enrollment check box.
• Enter 1 as the Multiplier and select Multiply by as the Operator.
• Select Stated Salary as the Compensation Factor.
See: Defining Activity Rates for a Standard Contribution/Distribution, page 5-146
See: Standard Rates for Compensation Workbench, page 3-24
14. Follow the same steps, page 3-46 to set up rates for US Combination Plan, US
Combination Plan – Salary, and US Combination Plan – Bonus.
15. To create the setup for the UK and CA plans, follow the steps you completed to
define Plan Years, page 3-44, Derived Factors, page 3-44, and Life Events, page 3-44.
Use Plan Design Copy to copy the rest of the setup.
Note: Ensure you copy the US Combination Plan and all its child
records into your UK and CA business groups one at a time. Do not
copy the global plan.
To copy the US Combination Plan, you must do the following:
1. On the Plan Design Copy page, select the link to copy and enter UK Combo as
the Plan Name.
2. Enter 01-Jan-1990 as the Effective Date.
3. Select your US Combination Plan.
4. Select the Target Category as Different Business Group.
5. Select your UK business group as the Target Business Group.
6. Enter 01-Jan-1990 as the Effective Date to Copy.
7. Select Reuse existing objects if current name exists in target as the Reuse
Method.
8. Enter a Prefix of UK.
Note: Ensure that the Global Combination Plan is the Global Plan
and verify that the copied compensation objects names are updated
to UK or CA as required. Also, ensure you change the currency for
these local combination plans as required.
Compensation and Awards Management 3-49
Note: Optionally, update the rate names as well.
See: Copying a Program or Plan, page 1-119
Setting Up Compensation Workbench Plans
You set up Compensation Workbench plans using the Total Compensation data model.
The windows you use to define a Compensation Workbench plan are a subset of those
windows that you use to implement and administer Standard and Advanced Benefits.
Follow this process to set up plans for Compensation Workbench. Refer to the
cross-references for further details.
For information about administering Compensation Workbench plans that you have
defined, see: Compensation Workbench Processing, page 3-101
To set up a Compensation Workbench plan:
1. Define one life event reason for each plan.
2. Define plan years for the Compensation Workbench plan.
3. Define a plan type, selecting a compensation category.
4. Optional: define participant eligibility profiles to limit the employees who are
eligible for a Compensation Workbench plan.
5. Define the Compensation Workbench plan.
6. Link the plans and eligibility.
7. Optional: define a derived compensation factor if compensation awards are based
on a stored or system calculated value, such as eligible or stated salary.
8. Optional: define options.
9. Optional: define elements if you want to transfer activity rates to Oracle Payroll or
to third party applications. Link the elements.
10. Optional: define variable rate profiles if an activity rate can vary according to one or
more factors.
11. Define standard activity rates.
12. Optional: define or load the GL Daily Rates if you enable managers to view
amounts in different currencies.
3-50 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Compensation Life Event:
Set up a life event reason.
• Enter a life event Name that corresponds to your plan. Provide a life event name
that identifies the compensation type, and--if you operate globally--the legislation
of the plan. A naming convention helps you to identify the life event.
• Select a life event Type of Compensation.
Compensation Workbench life events require no additional set up.
See: Defining General Characteristics of Life Events, page 5-62
Plan Years:
You use the Program/Plan Years window to set up plan years that define the year--or
period within a year--during which an employee earned their compensation. You can
use this amount, if, for example, you award a bonus based on a percentage of
compensation earned during the period.
Note: The application requires year periods for life event processing.
• Enter the plan year start and end dates. This is the year in which the employee
earned the compensation.
• For compensation types that you award more than once per year (such as quarterly
bonus plans)--or for which the employee earning period is less than a full
year--enter a Within Year Period that represents that period.
Select the Unit of Measure that best represents your period. For example, select
Semi-Year for compensation plans administered twice yearly.
Compensation Plan Types:
Your plan requires a compensation plan type.
Select Compensation Workbench as the Option Type.
Select a Compensation Category from the list:
See: Defining Plan Types, page 1-95
Compensation Workbench Plans:
You define a Compensation Workbench plan for a group of tasks that are a single
collection, available to managers at the same time, processed at same time, and use the
same hierarchy and approval chain.
Typical compensation plans include salary increases linked to a yearly focal review
period, scheduled bonuses, and stock option grants.
Compensation and Awards Management 3-51
You can also define plans for promotions/job changes and performance ratings.
See: Defining a Compensation Workbench Plan, page 3-54
See: Setting Up a Basic Plan, page 3-31
See: Setting Up a Component Plan, page 3-36
See: Setting Up a Combination Plan, page 3-42
Compensation Components:
If you itemize your compensation plan, you can define components to represent each
item (Cost of Living or Merit, for example). You should attach two or more components
to an itemized compensation plan.
You define components as Total Compensation options. For each option, select a plan
type you defined with an Option Type of Compensation Workbench.
You can link a salary increase component to a salary administration component. Run
the Compensation Workbench Post Process to update salary component values for an
employee who received an award or compensation increase.
You can attach the options to a global or a local plan. A group option belongs to a group
plan and you can use it for global component or global combination plans. You
maintain budgets at the group option level. Options you define for a group plan display
on the same worksheet within Compensation Workbench. A local option belongs to a
group option or to a local plan. You can define all rates, except budget rates, at the local
option level. You can also define eligibility at the local option level.
See: Defining Options, page 1-113
Plan Enrollment Requirements:
Set up plan enrollment requirements to determine the availability period of
Compensation Workbench in Self-Service for a plan.
You also use plan enrollment requirements to enter items such as the:
• Assigned life event date
• Plan year or within year period for the compensation plan
• Close enrollment date
• Enrollment coverage and activity rate start and end dates
• Budget and worksheet characteristics and availability periods
• Supervisor or position hierarchy to use for budgets
• Dates on which performance ratings or job changes become effective
3-52 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
See: Defining Enrollment Requirements for Compensation Workbench Plans, page 3-57
Elements:
Use elements to transfer activity rates to Oracle Payroll or to third party applications.
Elements record items such as the compensation that a line manager distributes to an
employee.
Note: You do not need to define elements for salary plans, only for
bonus and stock option plans. The application automatically updates
the employee's salary basis on the Salary page.
If you have previously defined an element that you now want to use for a
Compensation Workbench plan, you can use that element without defining a new one.
For Compensation Workbench, a typical element setup includes:
• A Primary Classification of Supplemental Earnings, for bonuses
• A Processing Type of Non-Recurring
• An Input Value of Pay Value in Units of Money
• For Stock Option plans with a unit of measure of Shares, select an element type of
Information
See: Defining an Element, page 1-31
Element Links:
You set up element links for Compensation Workbench plans as you would for
Standard and Advanced Benefits.
See: Defining Element Links, page 1-44
Variable Rate Profiles:
Variable rate profiles are optional for Compensation Workbench plans.
You can use a variable rate profile, for example, if you provide an initial recommended
amount for a compensation distribution. You could vary this amount based on a
manager's demographics. A line manager can override the recommended amount
within the guidelines of a minimum and maximum compensation range that you
define.
Variable rate profiles are also useful if you auto-issue a fixed budget to all managers
and you want to vary the issued amount based on a manager's demographics.
See: Defining General Information for a Variable Rate Profile, page 5-156
Compensation and Awards Management 3-53
Standard Rates:
You set up standard activity rates to record a variety of compensation amounts, such as:
• Distribution budgets
• Worksheet budgets
• Budget reserves
• Eligible or Stated Salary
You can use rules to configure the minimum and maximum values for standard rates.
The Participation Process uses these rules to dynamically calculate the minimum and
maximum values. You can also use a rounding code for any Compensation Workbench
standard rate.
Important: You can specify rule only for rates with an Activity Type of
CWB Worksheet Amount or CWB Recommended Amount.
Each standard rate uses an activity type to control many of the columns that display in
Compensation Workbench. You set up different activity rates--with different activity
types--depending on the kinds of values you want to record in Compensation
Workbench.
If you budget or allocate for a component, you must set up activity rates for the option
in plan rather than for the plan. If you have multiple components, and you check the
Uses Budget check box on the Plan Enrollment Requirements window, you must
budget for at least one component.
See: Defining Activity Rates for a Standard Contribution/Distribution, page 5-146
See: Standard Rates for Compensation Workbench, page 3-24
GL Daily Rates:
Setting up GL Daily Rates enables your managers to use Compensation Workbench to
enter and view budget and worksheet distributions in a currency that differs from the
currency set for the profile option BEN: Benefits Preferred Currency, or, if you do not
set this profile option, for the currency defined for the business group.
Line managers can select their preferred currency--you should only enable those
currencies for which you have conversion rates.
• You must use a GL Daily Rate Conversion Type of Corporate for each currency you
want to use with Compensation Workbench.
Note: Conversions are for display purposes only and do not affect
actual paid amounts.
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See: Entering Daily Rates, Oracle General Ledger Users' Guide
Defining a Compensation Workbench Plan
Use the Plans window to define a Compensation Workbench plan.
Note: You can also use the Plans window to define employee benefits
plans. Compensation plans use only a subset of the features available
on the Plans window.
1. Enter the plan Name.
Note: By using a generic plan name (one that does not include a
particular year period), you can reuse the plan over multiple award
periods.
2. Select a Status of Active.
Change the status to Inactive to make the plan unavailable in Compensation
Workbench.
3. Select the Plan Type you created for this plan.
4. In the Plan Usage field, select May not be in Program.
5. To allow your compensation administrator to personalize the column prompts for
this plan when using the spreadsheet download utility, or to display Salary Survey
data in the worksheet for this plan, click the Extra Information button. Select the
CWB Group Plan Defaults type, and click the Details field.
Note: Ensure you use the Extra Plan Information Type only for the
Group Plan. CWB does not use any information you enter for this
Extra Plan Information Type at the local plan level.
In the Extra Plan Information Type window, select Yes to enable Custom
Download. If you enable Custom Download, you can personalize the CWB
Compensation Allocations worksheet download column prompts for each group
plan. If you set this to No, Compensation administrators can still customize
prompts and those prompts will be applicable to all group plans with the flag set to
No.
In the Extra Plan Information Type window, select the name of the Compensation
Survey to use to display data for comparison on the worksheet.
Compensation and Awards Management 3-55
Note: CWB only uses Salary Survey data. You must have mapped
the Salary Survey detail lines to the employee's job to view the
survey details in CWB. The CWB participation process reviews the
active survey line (based on the start and end dates) and only
selects the current/valid survey lines for loading into CWB, based
on the effective date of the process.
See: Entering Compensation Surveys, page 2-25 for more information on how to
enter data into Compensation Survey.
See: Mapping Surveys, page 2-27 for information on how to map Compensation
Survey lines.
In the Extra Plan Information Type window for the information type CWB Group
Plan Defaults, select Yes or No to Post Zero Salary Increase to enable recording of a
zero change amount in salary proposals of employees who did not receive any
salary increase.
In the Extra Plan Information window for the information type CWB Group Plan
Defaults, enter a value in the Show Appraisals Completed in Last N Days field, as
applicable. This allows the administrator to control the period of time used by CWB
to look back to show completed appraisals from within the allocation worksheet.
For example, if it is set to thirty days, then managers will only be able to view
appraisals completed by their employees in the last 30 days (based on the effective
date of the Participation Process). Any employee appraisals with a completed date
earlier than that thirty day period will not be visible from within the allocation
worksheet.
6. Choose the Eligibility Rates tab.
7. Select the Track Ineligible Person check box to track ineligibility without having to
rerun the Participation Process: Compensation Workbench to determine eligibility
or rates.
8. Select the Participation Eligibility Override Allowed check box to enable managers
to override eligibility requirements for the plan.
9. Select the Restrictions tab.
By default, the Global Plan Name is the plan name you defined, and the Global Plan
check box is selected. To link a different global plan to the plan you are defining,
deselect the Global Plan check box, and select a different Global Plan Name.
10. Choose the Not in Program tab.
11. Enter the Sequence number of this plan if you want compensation plans to display
in a particular order in Self-Service.
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12. Select the Currency of your plan.
You must create a separate plan for each plan with a unique currency.
13. Leave the Enrollment Rate/Frequency field blank.
14. Select an Activity Reference Period that matches your most common pay basis.
This determines the period for which the base salary is displayed, and the amount
in which salary increases are entered.
Note: If you select Hourly as the Activity Reference Period, ensure
you have defined a value for the BEN:BEN HOURLY
ANNUALIZATION FACTOR user profile option. This defaults to
2080, meaning that there are assumed to be 2080 hours in a year (8
hours * 5 days * 52 weeks).
15. Choose the Details button to open the Maintain Plan Related Details window.
16. Choose the Plan Periods tab.
17. Attach the plan years you defined to the plan.
18. Select the Compensation Workbench tab, and enter a sequence number for the first
Task Type to add. You can attach any combination of the same or different tasks.
Note: If you do not attach any tasks, then Self-Service defaults to
show the Compensation Worksheet Group. Existing Compensation
Plans do not require modification.
19. Select a Task Type from the list, enter a Self Service Task Name, and select the Site
Level Access. The task name you specify appears on the Self-Service interface, and
the access level you select determines the level of access managers have to the task.
20. Close the Maintain Plan Related Details window.
21. Choose the Plan Eligibility button if you want to link a participant eligibility profile
to the plan.
22. Choose the Eligibility button.
23. Attach any applicable participant eligibility profiles that you created.
24. Close both the Eligibility window and the Maintain Plan Eligibility window.
25. Choose the Options button if you itemize this compensation plan.
Compensation and Awards Management 3-57
26.
Enter the sequence number of the first component.
27. Select the component in the Option field.
28. Select a Status of Active.
29. Check the Hidden check box if you want to hide this component from a manager's
budget and worksheet.
30. Choose the Eligibility tab.
31. Attach any applicable participant eligibility profiles that you created.
32.
Check the Track Ineligible Person field to enable eligibility overrides without
having to rerun the Participation Process: Compensation Workbench.
33. Repeat steps 25, page 3-57 to 31, page 3-57 for each component in the plan.
34. Save your work.
Defining Enrollment Requirements for Compensation Workbench Plans
Use the Plan Enrollment Requirements window to define the scheduled availability
period for a Compensation Workbench plan and to establish certain budget and
worksheet properties.
Note: You can also use the Plan Enrollment Requirements window to
define electability requirements for employee benefits plans.
Compensation Workbench plans use only a subset of the features
available on this window.
Use the Plan Enrollment Requirements window to setup the
Performance Appraisal value in the CWB Worksheet.
1. Query the plan for which you are defining enrollment requirements in the Plan
field.
2. With the General tab and the Plan tab selected, select the Enrollment region.
3. Select Explicit as the enrollment Method.
4. Select Current, Can Keep or Choose; New, Can Choose as the Enrollment Code.
5. Select the Coverage region.
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Note: By setting coverage and activity rate start and end dates at
the plan level you will not have to update these codes for each
availability period.
6. In most instances, select Elections as the Enrollment Coverage Start Date.
This starts the employee's coverage as of the effective date of the Compensation
Workbench Post Process.
7. Required: select 1 Prior or Event as the Enrollment Coverage End Date.
This ends the employee's coverage one day prior to the start of any subsequent
coverage.
8. Select the Rates region.
9. In most instances, select Elections as the Rate Start Date.
This starts the employee's rate--and element entry--as of the effective date of the
Compensation Workbench Post Process.
10. Required: select 1 Prior or Event as the Rate End Date.
11. Choose the Timing tab and then the Scheduled tab.
12. Select Compensation as the Enrollment Type.
You can only select this Enrollment Type if the option type of the plan type you
attached to this plan is Compensation Workbench. Additionally, choose this plan
type to setup values and performance ratings to view performance appraisals.
13. In the Enrollment or Availability Period Start and End fields, enter the date range
for which Compensation Workbench is available in Self-Service for this plan.
Availability periods for the same plan cannot overlap.
Note: Once you run the Participation Process: Compensation
Workbench, you cannot change the availability period unless you
back out the life event. Subsequent runs of the process must be after
the previous life event has been closed for all individuals and the
previous availability period has ended.
14. Enter the effective date of the compensation life event in the Assigned Life Event
Date field.
The assigned life event date sets the date on which the Participation Process:
Compensation Workbench evaluates your plan design to determine eligibility,
activity rates, and each employee's worksheet manager.
Compensation and Awards Management 3-59
15. Select a previously defined compensation life event reason for this plan in the Life
Event field.
Note: You can only have one life event per plan.
16. In the No further processing is allowed after field, enter the last date on which you
can make changes in the professional user interface to this compensation plan.
17. Enter a Close Enrollment Date to use code that determines the date when the life
event status is changed from started to processed:
• Processing End Date (Closed by the Close Compensation Enrollments Process
on the No further processing date)
• When Elections Are Made (Recommended--Closed by the Compensation
Workbench Post Process on the effective date of the process)
• When Enrollment Period Ends (Closed by the Close Compensation Enrollments
Process as of the Availability Period end date)
18. Select the Year Period of this plan.
19. Select a Within Year Period if this plan uses a period of less than a year to
determine available compensation.
20. Budget Characteristics
Note: Because Budgets are not used for Promotion and
Performance Plans, you must leave the budget tabbed region blank.
For promotion and performance plans, skip to step 25., page 3-60
Select the Budget region.
21. Select the Uses Budget check box to enable higher level managers to issue budgets
to lower level managers.
You must select this field to enable the use of budgets at any level in the
application.
22. Optionally, select the Automatically Allocate Defined Budgets check box to update
the allocation worksheet for all managers with a predefined budget amount after
you run the Compensation Pre-Process.
23. Select whether to store budgets as percents or amounts in the Preserve Budget
Column field.
If you select percent (recommended), then the application automatically
3-60 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
recalculates a manager's distribution budget and worksheet budget if an employee
becomes eligible or ineligible or is reassigned from one manager's worksheet to
another's.
24. Worksheet and Budget Sheet Characteristics
25.
Select the Miscellaneous region.
26. Enter the date range for which a manager can access and update worksheets in the
Self Service Update Period block.
You can change the date range for the worksheet at any time without having to
re-run Participation Process: Compensation Workbench for the change to take
effect.
27. Select the Default Access to Tasks:
• Full Access
• Hidden
• No Access
• Read Only
Note: You can override the default worksheet access for lower level
managers within your hierarchy using the Plan Administration
page.
28. Select the Freeze Date (Omit for Most Recent Data) to freeze and display person
data as of this date. When you run the Compensation Workbench Refresh process,
it displays data as of this date, if you do not specify an effective date when running
the process, even if a person's data changes.
29. Enter an Assignment Changes Become Effective date to display assignment data as
of this date.
Note: To share performance ratings and assignment changes (job,
position, grade, and group) across group plans, provide the same
value for the New Ratings Become Effective field (to share
performance ratings) and the Assignment Changes Become
Effective field (to share proposed job, proposed position, proposed
grade, or proposed group) for all plans between which data should
be shared. Ranking values are automatically shared across plans.
30. Select a Salary Change Reason from the list to define a common salary change
Compensation and Awards Management 3-61
reason that the application uses in the Salary Proposal Page when you run the
Compensation Workbench Post Process.
31. Hierarchy and Performance Ratings
Select the Hierarchy region.
32. Select the Hierarchy Type to determine how you administer this plan.
You can choose from:
• AME Transaction
If you select this hierarchy type, then application tests each employee against
your AME definition and uses the Next Approver as the worksheet manager for
the employee. When you create your AME definition, ensure there is only one
Next Approver.
• Position Hierarchy
If you select this hierarchy type, then the application checks for a manager's
supervisor if it cannot find a position in the hierarchy above the manager's
current level. This supervisor can be in a different business group.
If you use position hierarchies--and you want an employee to report to a
supervisor in a different business group for budget purposes--create a
placeholder position above that employee in the hierarchy and do not assign a
person to the position.
• Rule
If you select this hierarchy type, then application returns the PERSON_ID of the
worksheet manager for each employee. You must ensure that the formula
builds a hierarchy that has no breaks, no one managing themselves, and no
recursive relationships (where A reports to B, and B reports to A).
Note: If you define a formula with a recursive relationship,
then the Participation Process: Compensation Workbench
processes the rest of the organization unaffected by the
recursive hierarchy and creates an error log that displays the
employees within the recursive hierarchy so you can fix it.
• Supervisor Hierarchy
If you select this hierarchy type, then you must select an approval mode. You
can choose from:
• Submission at any time
• Submission only after approved
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33. Select the Performance region.
34. If you maintain employee performance ratings in Oracle HRMS, and you want to
display those rating in Compensation Workbench, select the Performance Rating
Type to use for this plan.
You can only display one performance rating type at a time for a compensation
plan in Compensation Workbench.
Enter the date in the New Ratings Become Effective field.
35. Save your work.
Compensation and Awards Management 3-63
Controlling Access, Eligibility, and Award Amounts
Hierarchies for Award Allocations and Approvals
As you set up Compensation Workbench, you can choose which managers can use the
tool, which plans they have access to, and which tasks are available to them for each
plan.
Who Enters and Approves Awards?
For a manager to use Compensation Workbench, they must have:
• Access to a Manager Self-Service responsibility
• Employees reporting to them who are eligible for an active plan with a current
availability period.
You define the employees reporting to them for each plan by selecting a hierarchy type
for that plan.
Hierarchy Types
The hierarchy determines:
• The employees and subordinate managers that managers see on their worksheets
• The managers to whom they can roll down a budget
• The approval chain when managers submit their worksheets: high level managers
approve the worksheets of direct reporting managers. The high level manager's
worksheet is a consolidation of the entries of lower level managers.
You select the hierarchy type for a plan on the Miscellaneous tab of the Plan Enrollment
Requirements window. You can choose from the following types:
• Position hierarchy
• Supervisor hierarchy
• Hierarchy defined by a FastFormula of type Manager Hierarchy
• AME Transaction
Using FastFormula: During processing, the application returns the PERSON_ID of the
worksheet manager for each employee. You must ensure that the formula builds a
hierarchy that has no breaks, no one managing themselves, and no recursive
relationships (where A reports to B, and B reports to A).
3-64 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
For a formula example see: Oracle FastFormula Reference Guide for Standard and
Advanced Benefits My Oracle Support Note ID 218059.1
Using AME: During processing, the application tests each employee against your AME
definition and uses the Next Approver as the worksheet manager for the employee.
When you create your AME definition, ensure there is only one Next Approver.
See: Approvals Overview, Oracle SSHR Deploy Self-Service Capability Guide
Allocating Awards Centrally
If you don't want line managers to have access to Compensation Workbench at all, you
can define a hierarchy rule (using FastFormula) or AME transaction to create a
hierarchy where all employees report to HR managers. Another approach is to use a
hierarchy that involves line managers, but also define security profiles for HR managers
that control which employees' records they can see. HR managers can then use the
Switch Manager feature to perform allocations and other tasks for the managers within
their security profile.
Access Levels in Compensation Workbench
Who Can Access Plans and Tasks?
Access to Plans
You set default (site) access for plans by setting a status code on the Plan
Administration page:
• Active
• Inactive – only administrators can see the plan
• Closed – neither administrators nor managers can see the plan in Compensation
Workbench
• Pending – neither administrators nor managers can see the plan in Compensation
Workbench
For active plans, you can give managers No Access, Read Only Access or Full Access on
the Employee Administration page. But managers can override the access level for their
lower level managers if you make the Change Access link available to them.
Responsibility Based Access to Plans
As a Super Administrator, you can provide administrators access to specific plans
relevant to their responsibility.
See: Defining Responsibility Based Access to Plans, page 3-66
Access to Tasks
You can use the Plan form or the Plan Administration page to define default access to
Compensation and Awards Management 3-65
each task for the plan, and you can vary the access level for individual managers using
the Employee Administration page. You can set the access levels for tasks to:
• Hidden – managers cannot see the task on the Home Page
• No access – managers can see the task on the Home Page but cannot access it
• Read only – managers can view the task but cannot make any changes
• Full access – managers can view and update the task
You can change these access labels using the BEN_WS_ACC lookup type.
Note: Managers cannot override task access.
Switch Manager
Managers can enter allocations and assignment changes for any employee who reports
directly or indirectly to them, according to the selected hierarchy. If you make the
Switch Manager feature available to them, they can view and edit the budgetsheets and
worksheets of any manager within their security view (defined by the security profile
attached to their responsibility). Switch Manager enables you to act as another manager
or as a super-user and do everything that the manager can do except view their
notifications. You can search for and select another manager to switch to even if you
don't know the exact name, employee number or email address of the manager you
want to switch to.
The Switch To Manager search results page includes the Worksheet Manager. This
column displays the name of the worksheet manager of an employee in addition to
their supervisor. For managers, the column displays the manager hierarchy.
Compensation Workbench is delivered with Switch Manager enabled for the HR
Professional and Manager Self-Service responsibilities. A system administrator can
disable Switch Manager using the Form Functions window.
• Query Compensation Workbench Home for Administrators in the User Function
Name field.
• Choose the Web HTML tab to display the following HTML Call:
OA.jsp?akRegionCode=BEN_CWB_HOME_PAGE&akRegionApplicationId=805&displa
yDate=N&displaySwitchManager=Y
Approval Modes
Approval modes enable you to control when managers submit their worksheets to the
next level for approval.
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You can choose between two approval modes:
• Submission at any time – Managers can submit their worksheets at any time
provided they have full access to the task and none of the worksheets of their direct
reports has a Rejected status.
• Submission only after approved – In addition to the above limitations, managers
must approve the worksheets of all lower managers before submitting their own.
Additionally, managers may not approve a lower manager's worksheet until the
lower manager submits it.
You configure the approval mode on the Plan Enrollment Requirements form > Timing
tab > Miscellaneous region. You can also change the approval mode using the Plan
Administration form.
Eligibility, Award Limits and Targets
Who Receives Awards, Ratings, or Assignment Changes?
When you set up your Compensation Workbench plan, you can define participant
eligibility profiles to determine if an employee is eligible to receive an award, a
promotion, or even a performance evaluation. You can set different eligibility criteria
for each option and for each local plan.
Compensation administrators can override eligibility results. You can give managers
the ability to request a change in eligibility results too, and make these override
requests subject to an approval process.
Note: Contingent workers cannot receive awards, ratings, or
assignment changes through Compensation Workbench though they
can participate as managers.
Controlling the Value of Awards
When you define the rates to display on the Allocations worksheet, you can set
company targets and impose minimum and maximum award amounts.
Notice that the application does not enforce budget limits. However, managers can
reject worksheets when managers have allocated awards in excess of their budgets.
Compensation administrators can monitor allocations throughout the compensation
cycle, and can override any awards that are outside of company policy.
Defining Responsibility Based Access to Plans
You can provide Compensation Workbench Administrators responsibility based access
Compensation and Awards Management 3-67
to plans. By following these steps, you can ensure that administrators view only those
plans that are specific to their responsibility.
1. Open the Compensation Workbench Preferences page.
2. Scroll down to the Set Plan Security section.
3. Set the Plan Security option to Yes if you want to provide responsibility based
access of plans to administrators.
After you have set the Compensation Workbench preferences, do the following to
map responsibilities to plans:
1. Using the Compensation Workbench Super Administrator responsibility, open
the Compensation Workbench home page.
Note: You can use the Super Administrator privileges by
adding the new sub menu, Compensation Workbench Super
Administrator to the responsibility of an administrator.
2. Click the Plan Security link in the Administration section of the page.
3. Click the Add Responsibilities button to add responsibilities in the
Compensation Workbench Plan and Responsibility mapping page.
4. Search and select the responsibilities for which you want to grant plan access in
the Add Administrator Responsibilities page and click Apply.
5. In the Compensation Workbench Plan and Responsibility mapping page, add
plans to the responsibility by clicking the Add Plans icon.
6. Select the plans by checking the check box against each plan and click Apply.
Confirm your plan selection by clicking the Yes button for the Are you Sure
prompt.
You can add multiple plans to the selected responsibilities.
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Worksheet and Budget Sheet Configuration
Configure Worksheet and Budget Sheets
You can configure the worksheet and the budget sheet to determine which columns to
display and how the column headings read. You can configure these sheets and other
pages in Compensation Workbench to also hide or display links to other features such
as reassigning employees, and Switch Manager.
Which Columns Do You Want to Display?
The worksheet displays a variety of information about an employee that helps
managers determine allocations. For example, you can display rank, rating, number of
years employed, and historical compensation information for the employee.
You configure the worksheet using Personalization and select the columns that
managers can view and update. You can make the following columns available for
update:
• Assignment Change Reason (the reason that a promotion or job change has
occurred) – You can restrict the change reasons available on the worksheet by
creating codes containing "CWB" in the EMP_ASSIGN_REASON lookup type.
Otherwise, all codes are available on the worksheet.
• Proposed Job
• Proposed Position
• Proposed Grade
You can make the following columns available for managers to view while promoting
or changing assignment information:
• Employee Name – when you access this column from the Allocation worksheet, the
Performance, or Job/Assignment changes tasks, you can also view the employee's
Performance and Promotion History details via a Popup. This popup displays
historical and current performance and promotion-related data for the employee
via two tabs – Ranking and Performance and Job.
• Employee Full Name
• Job
• Position
• Grade
Compensation and Awards Management 3-69
You can make the following column available for managers to view and update the
effective (start) date of an award for an employee in the allocation worksheet.
• Award Effective Date
You must first personalize the worksheet using Plan Personalization.
You can also rename column headings to suit your enterprise requirements.
See: Personalize By Plan, page 3-74
Which Rates Do You Want to Display?
You can define rates to display amounts that appear as columns on the worksheet or
budget sheet. Rates can be:
• Fixed
• Enterable
• Calculated as a multiple of compensation using a derived factor
For enterable rates you can display default values and specify minimum and maximum
values so that Compensation Workbench displays an error if managers enter a value
outside the range. You can include the minimum and maximum amounts as columns
on the worksheet using Personalization.
The activity type you select when you define a standard rate determines how
Compensation Workbench uses the rate. For example, you can display columns for the
award amount, budget amount, eligible salary, stated salary, vacation hours,
performance ratings, length of service, and so on.
See: Standard Rates for Compensation Workbench, page 3-24.
Rounding Codes
For each rate you can specify a rounding code, which applies to the amount, and not the
percentage, of the award. For example, if you specify a rounding code for a salary
award that is defined as a percentage of eligible salary, the application calculates the
award using the percentage the manager enters, applies the rounding code, and then
adjusts the percentage and new salary using the rounded amount. If you do not define a
rounding code for a rate, the application uses the rounding rules defined for the plan
currency, which you enter using a General Ledger responsibility.
Note: The Currency Precision field on the Plan Administration page
defines the number of decimal places the application displays for salary
amounts it converts from pay frequency to plan frequency.
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Which Flexfields Do You Want to Display?
You can set up the Additional CWB Person Information flexfield to add up to 30
columns to the worksheet for managers to enter values. There are certain limitations to
using flexfields:
• You cannot download Compensation Workbench flexfields to a spreadsheet.
• You can use only Compensation Workbench flexfields 1-6 as grouping criteria on
the Allocation Matrix, Summary by Directs report, and the Stock Option History
report.
• You cannot assign a default value for flexfields.
• You must not use multiple contexts when defining flexfield. Use only the Global
context for the flexfield definition and disable all others. Hide the context and do
not make any mandatory.
You store flexfield values in the BEN_CWB_PERSON_INFO table.
See: Configuring Descriptive Flexfields Within Compensation Workbench, page 3-76
Which Custom Columns Do You Want to Configure?
You can use PL/SQL to create custom columns that you add to the worksheet using
Personalization. These columns are read-only, and you can use them to group data or
for reporting.
Some of the restrictions of custom columns are:
• You can retrieve values only using a batch process (Participation Process:
Compensation Workbench or the Compensation Workbench Refresh Process.
• The values in custom columns are fixed and display only in Compensation
Workbench. Line Managers cannot enter or update the values in these custom
columns. To enable managers to enter or update values, use the Descriptive
Flexfields in Compensation Workbench. You can change custom column values
using the Employee Administration page.
• There are ten alphanumeric custom columns (Custom1-10) and ten numeric
columns (Custom 11-20).
• Numeric columns are not formatted or subject to currency conversion when they
display in Compensation Workbench. You can use Miscellaneous Rates for
currency conversions.
• You cannot display numeric custom columns on the Budget Page. You can use
Miscellaneous Rates to do this.
Compensation and Awards Management 3-71
• You cannot use the same custom column for different items across plans because
not all tables allow Personalization By Plan.
You store custom column values in BEN_CWB_PERSON_INFO table.
See: Configuring Custom Columns Within Compensation Workbench, page 3-80
Which Dynamic Columns Do You Want to Configure?
You can add up to ten numeric and ten non-numeric columns that:
• Either display values calculated from other columns
• Or display fixed values depending on conditions you define with respect to the
values in other columns.
For example, you could define a numerical column to show the percentage change from
last year's bonus, or you could define a Yes/No column to show whether this year's
bonus is greater than last year's. You do not have to display the columns on which you
base the calculations or conditions (last year's bonus, in the example).
See: Configuring Dynamic Columns Within Compensation Workbench, page 3-78
Which Other Features Do You Want to Make Available?
By choosing which links you display on each page, you can control which features you
make available to managers. You can choose to enable:
• Reassignment, so managers can transfer employees between worksheets
• Upload/Download to Spreadsheet, so managers can manipulate budget figures and
allocations in a spreadsheet
• Switch Manager, so managers can operate as other managers within their security
profile
• Audit History
• Flexible Summary
• Allocation Wizard
• Validation of Jobs, Grades, and Positions in Compensation Workbench
• Configure targets
Employee Reassignment
Employee Reassignment enables managers to award compensation to employees who
do not report to them, but who have performed some task for them that warrants
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compensation. The employee reassignment is valid for the selected compensation plan
and enrollment period, and does not affect the current supervisor relationship.
You can require that reassignments gain approval. There are three delivered approvals,
which use Workflow and AME:
• Approval 1: Party 1 – The manager whose worksheet is losing the employee must
approve the reassignment.
• Approval 2: Party 2 – The manager whose worksheet is gaining the employee must
approve the reassignment.
• Approval 3: Party 3 -- No approver is necessary
Both managers receive notifications if the request is approved or approval is not
required. Only the requester (who may be a third party) receives notification if the
request is rejected.
Configuring the Home Page
You can configure the home page in the following ways:
• In the Plans window, select which tasks appear in the Task list. If you select the
Employee Statements task, you must perform some additional setup.
See: Configuring Employee Statements For Use by Managers Within Compensation
Workbench, page 3-81
• Using Personalization, add a status column to the Task list, and choose whether to
display status using an icon (the default) or text.
• Using the user profile option BEN: CWB Home Plans Displayed, you can limit the
number of plans displayed on the home page
• Using Personalization, select which links to display to give access to additional
features such as Switch Manager, and reports.
Displaying Corporate Standard Format Names
If you are a global enterprise and you store employee names in a corporate standard
format to avoid problems with displaying names using different character sets, you can
display the corporate standard name in Compensation Workbench. You must add code
to the custom column hook and set the system profile HR: Display Person Name at the
site level to Custom Name.
For details about the package you need to configure, see: Global Employee Names in
Compensation Workbench Family Pack J Enhancements and Clarifications, My Oracle
Support Note ID: 303198.1
Compensation and Awards Management 3-73
Validating Jobs, Grades, and Positions in Compensation Workbench
You can configure whether Compensation Workbench validates a proposed grade, job,
or position based on the job or position an employee currently holds. This ensures that
managers propose new jobs, grades, and positions for employees for which the
employees are eligible. You can configure the worksheet to do the following.
• Display only valid grades – when a line manager proposes a new grade for an
employee, the application displays only those grades for which the employee is
eligible.
• Default the proposed grade based on proposed job or position
• Disallow a manager from proposing a new position if a proposed job exists for jobs
and positions that are directly correlated
• Enable managers to select only from currently active and valid proposed jobs,
grades, and positions based on the job, grade, position combination. The application
displays these jobs, grades, and positions as a List of Values
• Make the proposed job, grade, and positions columns read-only if managers cannot
change them. Alternatively, hide the job, grade, and position from the list of values
To validate grades, jobs, and positions in Compensation Workbench, you must set the
following profile options:
• BEN: CWB Valid Grade Filtering – set this profile option to Yes to indicate that the
application must display valid grades for a proposed job/position within the
business group.
• BEN: CWB Validate Performance/Assignment Changes Online – set this profile
option to Yes to validate assignment changes online.
Configuring Targets
Worksheets display company target amounts. Managers can select the displayed
minimum, maximum, or target values to populate the worksheet amount column with
the amount selected.
When you select company targets from the list, it refreshes the page to display a table
for the employees you select, and the amount and percent of their target minimum,
actual target, and maximum. The worksheet also displays the worksheet amount and
percentage of eligible salary column that you can modify. The target percentage
columns display only if you define a Standard Rate for eligible salary and the
corresponding target amount.
The application uses the following icons to indicate the target status for the worksheet
amount:
3-74 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
• Circle – On target
• Green arrow pointing upwards – Above target
• Green arrow pointing downwards – Below target
• Red arrow pointing upwards – Above target maximum
• Red arrow pointing downwards – Below target minimum
Use the quick fill feature to select individual values and display them in the worksheet
amount column. You can also do a mass selection for all eligible employees using links.
These links are only visible for the respective target minimum, target, or target
maximum you define for the plan. The mass selection feature only applies target
amounts to employees filtered and displayed in the target view.
Personalize By Plan
Plan-level personalization allows you as a professional user to configure the worksheet
groups and the information that managers are able to view and update. This enables
you to use personalization to have multiple and different views of the same
information.
For instance, you can configure worksheets so managers can:
• View compensation history
• View job information
• View previous employee performance ratings
• Perform employee evaluations
• Award allocations
You can use personalization to move columns into a more meaningful arrangement,
choose to display or not display items, render columns read-only, and rename columns
to match your business terminology. Use Plan Design Copy to copy plan
personalization for custom and dynamic columns.
You enable self-service personalization through the System Profiles window using the
System Administrator responsibility.
1. Navigate to Profile > System.
2. In the System Profile Values window, select either the Site or the Responsibility
check box to enable personalization at the appropriate level.
3. In the Find field, search for the Personalize Self Service Definition Profile.
Compensation and Awards Management 3-75
4. Select Yes for either Site- or Responsibility-level, as appropriate.
Important: Your system administrator must bounce the Apache
server before personalization is enabled in Self-Service.
Note: Use Oracle SSHR to complete the following steps:
5. Log into the Manager Self-Service responsibility, and select Compensation
Workbench.
6. On the Home page, select the plan, the allocate compensation task or the set the
budgets task, and then the view you want to personalize.
7. Click the Personalize This Region for Benefits Plan Design link.
Note: The left side displays all Available Columns you can choose
to display in the view for the selected plan; the right side lists the
Columns Displayed in the view for the selected plan.
8. Select items to add or remove by highlighting them in either column and using the
appropriate left or right arrow on the slider. Additionally, you can reorder the
sequence of columns displayed by using the up and down arrows on the slider.
9. To change the name of a column, click Rename. Select the item you want to rename
and change the name.
10. Save your work.
11. Click Apply to save your changes to the view, or click Delete to cancel your
changes.
Note: Click Delete Customization to return to the original design of
the view after changes have been applied.
Viewing Appraisal Details in Compensation Workbench
To view your employees' latest completed Performance Appraisal details in the
Compensation Workbench worksheet without switching responsibilities to
Performance Management, do the following:
1. Select the Performance Appraisal value using the Plan Enrollment Requirements
window to ensure that the CWB Worksheet displays the Performance Appraisal
3-76 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
details.
Note: If plan enrollment requirements are set up appropriately, the
Participation batch process will pass the (completed) appraisal ID
of each employee to CWB. Running both the Single Person
Participation and the Refresh processes will also perform the same
action. Running the latter processes may be useful if more
employee appraisals are completed after the plan is already open
(assuming the completed date is on or before the plan's life event
date).
See: Defining Enrollment Requirements for Compensation Workbench Plans, page
3-57
2. Run the Participation Process for a plan with the enrollment requirements
configured to view Performance Appraisal details
See:Running the Participation Process: Compensation Workbench, page 3-106
3. Personalize the worksheet for the group plan by adding the new Appraisal Details
field:
1. Navigate to the Compensation Workbench homepage using a CWB
responsibility.
2. Select a plan and click the worksheet allocation Task icon.
3. Click the Personalize for Selected Compensation Plan link.
4. Select Appraisal Details from Available Items and move it to the Displayed
Items column and click Save.
5. From the CWB worksheet, click on the enabled icon in the Appraisal Details
column to view an employee's completed performance appraisal.
Note: The Appraisal icon is highlighted only for employees
who have a completed appraisal with a completed date on or
before the life event date of the CWB plan
Configuring Descriptive Flexfields Within Compensation Workbench
You can configure thirty descriptive flexfields for use on the Worksheet Detail Table.
System Administrators can define these descriptive flexfields also known as CPI
flexfields. These flexfields enable managers to enter values within Compensation
Workbench.
Compensation and Awards Management 3-77
You cannot download data stored on Compensation Workbench flexfields to Microsoft
Excel and this data is not a part of the grouping criteria on the Allocation page,
Summary by Directs report, and the Stock Option History report. To create a default
value for the flexfields, you must use the Custom Columns. The values of these
flexfields are stored in the BEN_CWB_PERSON_INFO table.
You define the Descriptive Flexfields from the Access Descriptive Flexfield Segment
window.
Define the flexfield, and the table query to add a Poplist or a List of Values. Avoid using
multiple contexts when you define a flexfield - use only the Global context for the
flexfield definition, and disable all others. Hide the context, and do not make any
context mandatory. Include and Rename the Columns on the Compensation Detail
report using Personalization by Plan. Configure the Downloads to have proper column
heading names, and configure the view name for use in the Allocation Wizard,
Summary By Directs Report, and the Stock Option History Report. To do this, access the
Lookup Type BEN_CWB_MATRIX_ROW_CRITERIA, and
BEN_CWB_MATRIX_COLUMN_CRITERIA, and rename the Descriptive Flexfield or
the Custom Column and disable any Descriptive Flexfields or Custom Columns you do
not use.
To personalize your views in the CWB user interface:
Important: Ensure that personalization links are turned on and that you
have run the Participation Process: Compensation Workbench.
1. Select the Plan from the homepage and continue to the Worksheet
2. Click the Personalize Page link.
3. Choose a personalization level, and ensure that PelFlex is a displayed column.
4. Define the Flex Settings and apply.
Note: In the Flex Segment List, you must enter the Segment
Information using the following structure:
ContextName|SegmentName1|SegmentName2|"ContextName2"|
SegmentName3|SegmentName4
Example: Global Data Element|Compensation Month|Misc Use
Important: Spelling must match exactly as defined in the Flexfield.
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Configuring Dynamic Columns Within Compensation Workbench
Using dynamic columns, you can configure unique worksheet columns to display
calculated values, fixed values or messages based on defined conditions. You can use
dynamic columns to define calculations, conditions for 20 custom and rate columns,
and define messages. Use custom attributes 1-10 for non-numeric values and 11-20 for
numeric values. You use custom columns and rate columns to display the results of
calculations or conditions you define in dynamic columns.
For details about custom columns, see: Configuring Custom Columns Within
Compensation Workbench, page 3-80
Configure dynamic columns to do the following:
• Calculation: To display a fixed value based on other numeric columns that use
basic math operations such as addition, subtraction, multiplication, and division.
Example
New Salary + Bonus = Total Compensation Amount or Last Year Bonus/Bonus
Amount * 100 = Percentage Change from Last Years' Bonus
• Condition: To display a fixed value or a regular value based on values of other
columns that the application determines based on your choice of multiple relational
operators such as ends with, is between, is greater than, is less than.
• Message: To display an error message or an information message on satisfying a
condition.
To configure dynamic columns:
1. On the Compensation Workbench Home page, select the plan to personalize.
2. Select the Allocations task.
3. Click Personalize Dynamic Columns.
4. On the Dynamic Columns page, select the column to personalize and click the
Define Column icon.
5.
On the Define Dynamic Column page, select the type of dynamic column.
You can choose Calculation, Condition, or Message.
6. Enter a value in the Execution Sequence field.
The application uses the calculations or conditions in this sequence starting with the
lowest number in the sequence.
If you select Calculation as the type of dynamic column in Step 4, then complete
Compensation and Awards Management 3-79
Steps 7 to 11.
7. Enter a sequence number.
8.
Select a Column, such as New Salary.
9. Select an Operator, such as Divided By.
Note: You can specify a Fixed Value only if you choose the column
as Fixed Value.
10. Click Add Another Row and follow Steps 6 to 9 to enter more rows for the
calculation.
11. Click Apply to save and calculate.
12. If you select Condition as the type of dynamic column in Step 4, then complete
Steps 13 to 22..
13. Enter a sequence number.
14. Select a Column.
Note: If you select a Fixed Value Column, enter a value in the
Column Result field.
15. Click the Conditions icon to display the Define Conditions page.
16. Enter a Sequence number. This is the order in which the application evaluates
conditions.
17. Select a Column for example, Eligible Salary.
18. Select an Operator, for example, Is Between.
19. Select an attribute in Attribute 1 Column and Attribute 2 Column (such as
Amount), and enter values for each attribute. For example, enter the Value 0 for
Attribute 1 Column and Value 100 for Attribute 2 Column.
Note: You need to enter this value if you select Is Between as an
operator.
20. Optionally, select a value from the And/Or list.
21. Click Add Another Row and follow Steps 11 to 19 to enter more rows for the
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condition.
22. Click Apply to save your work.
23. If you select Message as the type of dynamic column in Step 4, then complete
Steps 24 to 27.
Note: You can specify messages only on Custom Columns 1-10.
24. Enter a sequence number.
25. Choose a message from the predefined list.
26. Specify if the message is an error or an information message.
27. Define Conditions by following Steps 13 to 22.
Configuring Custom Columns Within Compensation Workbench
You can use custom columns to group data for view on worksheets or for reporting
purposes.
To configure custom columns:
1. Write your PL/SQL code to retrieve the values for a custom column and add this
code to a custom column hook. This procedure is predefined blank and is called
ben_cwb_custom_person_pkg. There are twenty separate functions in this for each
corresponding custom column. These are called get_custom_segment1,
get_custom_segment2, and so on.
2. Compile the package on the database. The application executes this logic when you
run the Participation Process: Compensation Workbench or the Compensation
Workbench Refresh process.
3. Configure the worksheet through Personalization to rename the column heading
appropriately and include the column on any worksheet.
4. Optionally, configure the Compensation Detail report columns to include the
custom column.
5. Configure the Downloads to have provide valid column heading names.
See: Downloading to Excel using WebADI, Oracle HRMS Configuring, Reporting, and
System Administration Guide.
6. Configure the correct grouping name for use in the Allocation Wizard Matrix,
Compensation and Awards Management 3-81
Summary By Directs Report, and the Stock Option History Report. To do this,
access Lookup Type BEN_CWB_MATRIX_ROW_CRITERIA and
BEN_CWB_MATRIX_COLUMN_CRITERIA and rename the Custom Column.
Configuring Employee Statements For Use by Managers Within
Compensation Workbench
You can configure and use Employee Statements to communicate with employees. Use
this to inform employees about promotions, raises and any other information.
Compensation Workbench uses Document Management and XML publisher to create
an Adobe Portable Document Format (PDF) file of these employee statements, which
you can generate and print.
To configure employee statements:
1. Create an Employee Statement template in Microsoft Word or WordPad.
2. Format the statement including any text and data tags based on your requirements.
Data tags are placeholders for employee specific data that the application merges
into the individual statement for each employee. You can use any text for the tag
name. Ensure you format the tag , for example,
3. To display your company logo, paste a .jpg file in the template.
4. To display text conditionally, use the tags. The application
displays any data you enter between these tags if the condition is met.
See: My Oracle Support Note ID 311702.1 for more information on available tags.
5. Save the template as a .rtf file.
6. Log into Oracle HRMS using a Super HRMS Manager responsibility that has the
Document Management menu item associated with it.
7. Navigate to the Document Management page.
8. Click Create Group to create a group to contain the document you created.
9. In the Define Group page, enter a Group Name and a Short Name.
10. Click Apply.
11. In the Map Documents to Group page, click Create Document.
12. In the Define Document page, enter a Document Name.
13. Select Compensation Workbench as the Document Category.
3-82 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
14. Enter a Short Name for the document.
15. Select an effective date for the document.
16. Select Upload a new file, and browse to select the .rtf template you created.
17. Click Continue.
18. In the Define Document: Attribute Mapping page, map all the tags you defined to
the appropriate data attribute.
19. Click Finish.
20. In the Map Documents to Group page, search for, select your document and click
Go.
21. In the Define Document Properties page, click Finish.
22. Navigate to the Plans window.
23. Query the plan for which you created the statement template, and click Details.
24. Select the Compensation Workbench tab.
25. Add Employee Statement as a new Task Type.
26. Use the HR Professional responsibility and navigate to the Compensation
Workbench Home page.
27. Click Plan Administration.
28. Select the plan for which you created the employee statement and click Continue.
29. In the Plan Hierarchy page, click the Details icon for the group plan.
30. Select the group that you defined for your template from the Employee Statement
Template list.
31. Click Apply Updates.
32. Run the Participation Process: Compensation Workbench. Line managers will see a
new task Employee Statement for the group plan to which you added the employee
statement. They can select one or more employees and click Generate Statements.
They can click Open to view the employee statement, and print or email it.
Related Topics
Document Management, Oracle HRMS Deploy Self Service Capability Guide
Compensation and Awards Management 3-83
Capturing Grant Price With a Stock Option Element Entry
You can capture grant information of any type (Grant Price, Vesting Schedule, Expire
Date, Lot Number, etc.) in the same element entry as a separate input value.
To set up extra stock option input values for use in Compensation Workbench, do the
following:
Define a formula:
1. Navigate to the Formula window.
2. Enter a Name for the formula.
3. Select Extra Input as the formula type.
4. Click Edit.
5. In the Edit Formula window, enter the formula values as shown in the example that
follows:
GRANT_PRICE = 24.13
GRANT_DATE = "01-MAR-2005"
VEST_SCHED = "YEARLY = 4 YR"
LOT_NAME = "A45B19"
EXPIRE_DATE = "01-MAr-2015"
GRANT_TYPE = "ISO"
GRANT_TICKER = "ORCL"
6. Click Verify.
Define an element and input values:
1. Navigate to the Element window.
2. Enter the Name for the element.
3. Select Supplemental Earnings as the Primary Classification.
4. Click Input Values.
5. In the Input Values window, create input values that represent the amounts to
display in Compensation Workbench. Ensure you include input values for the
values you defined in the formula.
6. Save your work.
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Link the element and formula to the CWB Amount Standard Rate:
1. Navigate to the Standard Rates window.
2. Query the CWB Worksheet Amount Standard Rate.
3. Select the Element and Input Required check box.
4. Select the Element you defined for the stock option plan.
5. Select the Input Value to display in Compensation Workbench, for example, Shares.
6. Select the formula you defined in the Extra Input Rule list.
7. Click Extra Inputs.
8. In the Extra Input Values window, map the remaining input values to the
appropriate formula return variables you defined.
9. Run the Compensation Workbench Participation Process.
Compensation and Awards Management 3-85
Reports and Notifications
Reports in Compensation Workbench
Compensation Workbench includes the following reports:
Report Name Use Further Information
Compensation Detail Managers and Administrators
use this report to view details
of a compensation plan in a
single report. The report
displays a summary of
employees receiving
compensation under the plan,
details about their award, and
assignment information.
You can download data using
Web ADI for this report.
See: Compensation Detail
Report, page 3-89
Combined Plan View Managers and administrators
use this to compare results of
different compensation plans
in one report
See: Combined Plan View
Report, page 3-90
Employee Stock Option
History Report
Managers and administrators
use this report to view stock
option history for current
employees, including an
estimated walk-away value at
a summary and employee
level.
•
Load the
BEN_CWB_STOCK_OPT
N_DTLS table
•
Set the system profile
BEN: CWB History Type
Display to Extended
Stock Option History to
display this report
See: Employee Stock Option
History Report, page 3-91
Flexible Summary Managers use this to view
summarized compensation
information for each direct
report. Use this to view
allocations you made for
example, allocations for a
country or a job.
You can download data using
Web ADI for this report.
See: Flexible Summary
Report, page 3-91
3-86 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Report Name Use Further Information
Administration Progress
Report
Administrators use this report
to obtain a progress report for
any global plan after running
the Participation Process:
Compensation Workbench ,
during the allocation period,
or after running the
compensation post process.
See: Administration Progress
Report, page 3-92
Employee Compensation
History Report
Managers use this to view the
compensation history for an
employee irrespective of the
current compensation period.
See: Employee Compensation
History Report, page 3-93
Audit History Report Administrators use this report
to track changes managers
make to records in CWB. The
report tracks changes such as
Update Stated Salary and
Update Performance Rating.
See: Audit History Report,
page 3-94
Manager Feedback Report Administrators use this report
to view consolidated manager
feedback about the
Compensation Workbench
system. The report provides a
summary region that
provides the count of
managers who rated
Compensation Workbench.
Configure the ratings using
the
BEN_CWB_SUBMIT_FEEDB
ACK lookup type.
See: Manager Feedback
Report, page 3-94
Salary Statistics Report High-level managers and HR
Professionals use this report
to get an insight into the
details of the enterprise's
salary expenses. The report
provides details of the total
salaries, mean and median
salaries, growth of salaries
over time. The report also
displays how salaries line up
against defined measures
such as grade ranges or
market data.
Use the BEN: CWB Plan
Context for Stock Option
Reporting profile to configure
the group or local plan for
which you want to view
salary statistics.
See: Salary Statistics Report,
page 3-95
Compensation and Awards Management 3-87
Report Name Use Further Information
Post Process Run Reports Compensation administrators
use this report to view details
of the Compensation
Workbench: Post Process,
including the following
additional reports:
•
Post Process Audit
Report - displays all
successes and failures on
the post process, showing
local and corporate
currency amounts.
•
Post Process Summary
Report - displays a
summary of data
proposed in CWB versus
the actual data posted to
Oracle HRMS.
You can download data using
Web ADI from the Post
Process Audit report.
See: Post Process Run
Reports, page 3-96
If you need to see additional reporting information, you can create other reports using
Discoverer (which requires an HR Intelligence license). All Compensation Workbench
tables are available to System Extract and the Discoverer end-user layer.
Web ADI
You can download several of the reports, the Budget worksheet, and the Allocation
worksheet to an .xls file using Oracle Web Applications Desktop Integrator (Web ADI) a
Self-Service application accessed using a browser. Managers do not need to install Web
ADI on their own computer. Processing takes place on the server rather than on the
individual's machine.
When you select a report, Web ADI generates an .xls document on your desktop and
downloads the data from the report. You can edit and modify the document if
necessary, and upload from Web ADI into Compensation Workbench. You can
download and upload CPI flexfield attributes, amounts, ranking, and rating data using
Web ADI.
For information on how to configure Web ADI, see: Configuration of Data Download
and Upload Using Web ADI, Oracle HRMS Configuring, Reporting, and System
Administration Guide
See also:
• Data Download Using Web ADI, Oracle HRMS Configuring, Reporting, and System
Administration Guide
3-88 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
• Data Upload Using Web ADI, Oracle HRMS Configuring, Reporting, and System
Administration Guide
Notifications in Compensation Workbench
The following events trigger notifications within Compensation Workbench:
Notification Use
Publishing a Budget The application sends this FYI notification to
lower managers receiving a budget
Submitting for Approval The application sends this FYI notification to
the manager one level up
Recalling Your Worksheet The application sends this FYI notification to
the approving manager
Rejecting the Worksheet The application sends this FYI notification to
the manager whose worksheet you reject
Manager's Change of Access The application sends this FYI notification to
the manager whose access levels you change
Request for Reassignment The application sends this action-required
notification (AME defined) to the manager
one level up from the initiating manager.
Alternatively, you can configure this
notification so it is approved automatically.
Request for Eligibility Change The application sends this action-required
notification (AME defined) to the manager
one level up from the initiating manager.
None of the transactions performed within the Administration pages trigger
notifications.
See: Creating Mass Notifications for Compensation Workbench, page 3-111
Final Notification From Highest Level Approver
To receive a notification when all approvals are complete, define an HR role using
Transaction Maintenance, choosing a role type of Compensation Administrator, and
selecting the appropriate person in the User field.
Compensation and Awards Management 3-89
Compensation Detail Report
Managers and Administrators can use the Compensation Detail report to view
employee details in plans such as Salary Plans, Bonus Plans and Combination Plans.
Administrators can view reports for employees within their security profile by checking
the Do Not Restrict by Hierarchy check box on the report.
You can use filters such as Compensation Plan, Period, Country and Business Group for
filtering the reports.
The Compensation Detail report displays several tabs including:
• Employee Details
• Compensation
• Compensation: Option 1
• Compensation: Option 2
• Compensation: Option 3
• Compensation: Option 4
• Salary Statistics
• Job Changes
• Manager Hierarchy
• Performance
The auto hide, hidden and visible columns include:
• Employee Name
• Manager
• Person Flex
• Job Flex
• Currency/Units
• Eligible Salary
• New Salary
3-90 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
• Grade
• Range Midpoint
• New Performance
• Ranking
• Prior Job
• New Position
• Worksheet Manager
• Level 1 Manager
• Level 3 Manager
You can download the Compensation Detail report to a spreadsheet using Oracle Web
ADI.
See
ata Download and Upload Using Web ADI, Oracle HRMS Configuring, Reporting,and System Administration Guide
Combined Plan View Report
Managers and administrators use this to compare results of different compensation
plans in one report.
You can configure this report to view up to six compensation plans in a single report.
You can only select those plans for which you have Read-Only or Full Access, and
which contain rates.
Before using this report, the administrator must set the BEN: CWB Plan Context for
Reporting profile option to the name of the group or local plan for which you want to
view this report.
See: BEN: CWB Plan Context for Reporting, Oracle HRMS Configuring, Reporting, and
System Administration Guide
You can personalize the following columns:
• Employee Country
• Employee Job
• Latest Performance Rating
• Latest Ranking
Compensation and Awards Management 3-91
• Eligible Salary
• Amount as a percentage of the eligible salary
• Allocation Amount
• Currency
• Base Salary
• New Salary
Employee Stock Option History Report
You can use this report only if you upload the BEN_CWB_STOCK_OPTN_DTLS table,
and set the system profile BEN:CWB History Type Display to Extended Stock Option
History. Additional profile options that affect the display of the report are:
• BEN: CWB Estimated Market Price - Configure this profile at the site level to store
the estimate market price to calculate the walk-away value of stock option grants.
• BEN: CWB Plan Context for Reporting - Use this profile to configure the plan and
period to use to obtain employee related information for summarizing such as Job
or Performance Rating.
The report contains the following tabs:
• Employee Information: displays data for direct employees only, all employees, or
all employees of a direct reporting manager.
• Summary Information: displays data for a group of employees, who meet the
selection criteria for the parameters you select.
You can view the walk-away value which is the value the employee would forfeit if
they were to leave today. The walk-away value is the Estimated Market Value Grant
Price multiplied by the number of unvested shares.
Flexible Summary Report
Use this report to display summarized compensation information for each manager's
direct reports. You access this report from the Compensation Allocations worksheet.
Managers can change the context of the report to further break down results by country,
grade, job, or performance rating for example. This report enables managers to verify
that allocations have been distributed in a fair manner across all direct reports.
The report displays the following tabs:
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• General Summary - provides a summary of amounts budgeted and allocated, the
number of eligible employees and the number of employees who actually received
compensation.
• Advanced Statistics - provides statistical information such as the mean and median
of amounts allocated as well as the standard deviation of the highest and lowest
amount allocated for the plan.
• Grade Statistics - if you use grades and grade ranges, then this tab displays the
number of employees in each quartile based on their new compensation and the
compensation immediately before the current award. It also displays the number of
employees above or below their range, and median comparatio.
Administration Progress Report
As an administrator, you use this report to obtain a progress report for any global plan.
You can access this report from the Administration Page for any plan after you run the
Participation Process: Compensation Workbench, during the allocation period, or after
running the compensation post-process. The report displays data dynamically based on
real-time data, and contains the following sections and information:
Section Information
Manager Status Provides a summary of all tasks for all
managers and displays how many are
complete, in progress or not started; number
of worksheets submitted or not submitted;
number or worksheets approved, pending
approval, rejected, processed; summary of
manager access levels.
Employee Event Status Displays group and local plan names, life
event names, and number of life events
started, processed, and backed-out.
Employee Eligibility Status Displays local plan and option names and
number of employees eligible and not eligible.
Worksheet Rate Summary Displays a list of all eligible employees, local
plan and option names, and a total of all
worksheet amounts, number of employees
with compensation, total eligible salaries, total
compensation, and so on.
Compensation and Awards Management 3-93
Section Information
Budget Rate Summary Displays information about all local plans and
options, eligible employee count, manager
count, total worksheet budget, currency or
units of awards.
Performance Rating Summary Displays a list of employee count and
percentage of total of each rating type.
Assignment Change Summary Displays the employee count and percentage
of total of each assignment change reason.
Post Process Results Displays a summary of all posted element
entries, posted salary or pay, and posted
assignment change or performances.
Employee Compensation History Report
This report displays the full compensation history for an employee irrespective of the
current compensation period, and enables managers to view all compensation,
supported by compensation history, such as Pay Rate, Bonus, Overtime, Commissions,
and Other. The report displays the pay value of the element entry associated with the
CWB Worksheet Amount Standard Rate and the Compensation Category specified on
the rate in each pay period.
The report enables managers to:
• View compensation history for multiple employees at one time, in a corporate
currency, the employee's local currency, or their preferred currency for consistency
and ease of comparison
• View details of compensation for previous years
• View all employees in their team, directs only, or a subset of employees
• Isolate employees from the search results to display compensation history only for
those employees
• Compare compensation history of up to five employees in a single line graph.
• Use annualize amounts converted to a common currency
3-94 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Audit History Report
Since multiple managers can make changes to the same compensation plan in
Compensation Workbench, use Audit History to review those changes. You can view
these changes based on audit types for a specific plan and plan period or a specific
employee.
You enable audit types in the BEN_CWB_AUDIT_TYPE lookup type to define the
changes the report tracks.
You can view updates to the following:
• Compensation Amounts
• Eligible Salary
• Stated Salary
• Recommended Amount
• Eligibility Status
• Budget Amount
• Performance Rating
Manager Feedback Report
Administrators use this report to view consolidated manager feedback for
Compensation Workbench. When managers submit their work for approval, a
notification prompts them to supply feedback. Administrators use this feedback to
improve future compensation cycles and to make the entire process more effective and
user friendly.
You access this report from the Compensation Workbench Administration Home page.
You can run this report for any group plan to see how managers fared using
Compensation Workbench. The report displays a summary region that provides:
• The count of managers who rated Compensation Workbench. The rating options
are Excellent, Good, Poor and two configurable ratings that you configure using the
BEN_CWB_SUBMIT_FEEDBACK lookup type
• The percentage of managers who gave those ratings
The report also displays this information in graphical format.
In the details section of the report, you can view manager feedback by rating type or for
all ratings. The report provides the following details for the manager giving the
Compensation and Awards Management 3-95
feedback:
• Date
• Time
• Manager name
• Business group
• Rating
• Comments
You can also view employee number and email address of the managers if you enable
these using Self-Service Personalization. By default, these are hidden. You can also
choose to view only feedback that includes comments.
Salary Statistics Report
As a high-level manager or as an HR Professional, you can use the Salary Statistics
Report to get an insight into the details of your enterprise's salary expenses. You can
view the total salaries, mean and median salaries for your enterprise, and even growth
of salaries over time. The report displays how salaries line up against defined measures
such as grade ranges or market data. The report enables you to group salary data, so
you can compare data against different grouping criteria.
Before using this report, the administrator must set the BEN: CWB Plan Context for
Reporting profile option to the name of the group or local plan for which you want to
view salary statistics. Note that the Combined Plan View Report also uses this profile
option.
See: BEN: CWB Plan Context for Reporting, Oracle HRMS Configuring, Reporting, and
System Administration Guide
If you use annualized values, then the administrator must set the HR: FTE Factor profile
option.
See: HR: FTE Factor, Oracle HRMS Configuring, Reporting, and System Administration
Guide
When you run the report, you can set three parameters – country, type of employees to
include, and the currency to view amounts. These parameters apply to all regions of the
report and do not change when navigating from one region to another in the report.
This report displays:
• Analytics such as total salary, mean salary and median salary
• Salaries against grade rates and market data when available.
3-96 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
• Data in tables and graphs
• Data by groups of employees such as hourly and salaried, hourly only, or salaried
employees only who receive compensation for the plan. For global plans, the report
also displays data by country and currency for global plans.
The report organizes data into the following regions that display dynamically based on
the information available. These are:
• Statistics – this region displays the total pay, low, median and high pay a well as
the standard deviation for the selected plan. It enables you to group data by certain
criteria such as country, job, grade, etc. You can choose to use full-time equivalents
and display annualized values.
• Grade Ranges – if you use grades, then this region provides a list of all grades held
by the employees receiving compensation in the plan. It provides grade data as well
as statistics for employees in each of those grades.
• Quartiles – if you use grades and have defined grade rates, then this region
displays the number and percent of employees in each quartile. You can also view
counts by quintiles and deciles
• Comparatios – this region displays comparatios by 5, 10 and 15% increments. This
region enables you to group data by criteria such as country, job, or grade.
• Pay Growth Rate - if you award employees compensation in this plan in prior
periods, then this region displays the change in total pay over time. You can view
the change over 1, 3 and 5 years.
Post Process Run Reports
Compensation administrators use this report to view an online list of the Compensation
Post Process runs and access the Summary, Audit Log, and Error Reports generated by
the post process. You use this information to correct any errors that might occur during
the compensation cycle.
You can view the following reports:
• Audit Log Report - this displays all successes and failures on the post process,
showing local and corporate currency amounts for employees. This also displays
any employees that the application did not process because they were part of a
recursive hierarchy. You can access the report only if you have security access to see
the data. This report
• Provides a full and accurate picture of all amounts and assignment changes
proposed in CWB as well as those posted in the HR system.
Compensation and Awards Management 3-97
• Organizes data into tabs, which display processing statuses, allocations at the
plan or option level, assignment, and performance rating changes.
• Provides additional parameters to filter the report – the selection you make on
the Audit Log Report page apply to all the tabs for the report
• For global plans that use multiple currencies, displays amounts in local and
corporate currencies
• Summary Report - this displays the parameters executed by the process, and a
summary of the employees evaluated, compensation life events open and closed, as
well as the number of employees whom the process did not process. This report:
• Provides a full and accurate picture of all amounts and assignment changes
proposed in CWB as well as those posted in the HR system.
• Organizes data into tabs, which display processing statuses, allocations at the
plan or option level, assignment, and performance rating changes, assignment
changes, and error summary.
• Provides additional parameters to filter the report – the selection you make on
the Summary Report page apply to all the tabs for the report
• For global plans that use multiple currencies, displays amounts in local and
corporate currencies
• Error Report - this lists any persons evaluated by the process that erred or warned
and the accompanying error message.
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Plan Administration
Maintain Compensation Workbench Plans Mid-Cycle
Use Plan Administration to administer your Compensation Workbench plans after you
define them in Oracle HRMS using the Total Compensation data model.
Use the Plan Administration page to make updates to plans for the specific
compensation period. To make permanent changes, you must update the original plan
definition.
Note: The changes you make using the Plan Administration page are
not carried over to other plan periods and are lost when you run the
Compensation Workbench Back-out Life Events Process.
You can select any group plan to update. If you select a plan containing options, then
the plan hierarchy displays all the options separately. The application does not display
a hierarchy for Global Basic or Global Stand Alone plans.
You can make the following changes:
• Plan and Option names
• Plan status (Active, Inactive, Closed)
• Task types, names, sequences, and access levels
• Self-Service availability period
• Effective date of performance ratings or assignment changes
• Salary Change Reasons
• Select the template for Employee Statements
• Post Zero Salary Increase - select Yes to Post Zero Salary Increase to enable
recording of a zero change amount in salary proposals of employees who did not
receive any salary increase.
• Show Appraisals Completed in Last N Days - enter a value in the Show Appraisals
Completed in Last N Days field, as applicable. This allows the administrator to
control the period of time used by CWB to look back to show completed appraisals
from within the allocation worksheet. For example, if it is set to thirty days, then
managers will only be able to view appraisals completed by their employees in the
last 30 days (based on the effective date of the Participation Process). Any employee
Compensation and Awards Management 3-99
appraisals with a completed date earlier than that thirty day period will not be
visible from within the allocation worksheet.
• Grade Range Validation - select Error or Warning, or leave blank. When set to Error
or Warning, the application validates the employee's New Salary amount against
the employee's grade range (i.e. grade min and max values). Leave this field blank
(default), to not perform any validation. Select Error if you want the application to
display an error when the New Salary amount is outside the employee's grade
range and to prevent the allocation amount from being saved in the worksheet.
Select Warning if you want the application to only display a warning when the
employee's New Salary amount is outside of the employee's grade range and still
permit the allocation amount to be saved in the worksheet. Error or Warning values
must be selected every plan cycle.
Note: After you enter configuration details in the Show Appraisals
Completed in Last N Days field, you MUST run the Compensation
Workbench Refresh Process and select the Refresh Person option.
• Standard rate details
• Currency exchange rates
• Hide Options/Components
• Rounding/Formatting Codes
Note: To configure the number of decimal places to display for
budget and worksheet amounts that are expressed as a percentage
of eligible salary, you must set the following profile options:
• BEN: CWB Budget as Percent of Eligible Salary Decimals – set
this profile option to Yes if the application displays budgets as
percent of eligible salary
• BEN: CWB Allocation as Percent of Eligible Salary Decimals –
set this profile option to Yes if the application displays
decimals for percent of eligible salary based on allocated
amounts.
• Add new rows to refresh exchange rates for those currencies
Note: You must always run the Refresh Summary Batch process
after you change exchange rates.
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You cannot do the following:
• Add a new rate
• Update rate calculation definitions
• Update eligibility definitions
• Add a New Local Plan
• Add a New Option
• Add a New Task
• Change the Hierarchy Type Definition
Note: You can use this page to update details only after you run the
Participation Process: Compensation Workbench. All changes affect
only the specific period and do not affect the original plan definition.
Plan changes made here act as temporary overrides. The changes you
make here are lost and overridden during subsequent runs of the
Participation Process: Compensation Workbench for the same plan and
period.
You can also use the Plan Administration page to:
• View the entire hierarchy above an employee
• View an employee's extended job information
• Update performance information and ranking
• Update promotion and assignment change information
• Update Compensation Workbench Flexfield information
• Refresh person data from Oracle HRMS at any time
• Update an employee's Base Salary
• Run the Participation Process for a single person
• See a complete audit trail of all changes made in Compensation Workbench
• Include new custom attributes
• View pending eligibility changes made in (Self-Service) Compensation Workbench.
Force approve pending changes
Compensation and Awards Management 3-101
• View pending worksheet manager changes made in (Self-Service) Compensation
Workbench. Force approve pending changes
• View when a manager was processed only as a placeholder in the Single Person
Participation Process.
• Personalize Administration pages
Steps to Administer Compensation Workbench Plans
Use the following process to administer your Compensation Workbench plans after you
define them in Oracle HRMS using the Total Compensation data model.
For information about implementing compensation plans, see: Setting Up a
Compensation Plan, page 3-49
1. Run the Participation Process: Compensation Workbench.
Run this process prior to the availability period of Compensation Workbench to
prepare the Self-Service interface for data entry by your line managers.
The process assigns the compensation life event to a person and determines
eligibility and rates.
If you auto-issue budgets, the process updates the allocation worksheet for all
managers with a predefined budget amount that cannot be updated.
See: Opening a Compensation Workbench Award Cycle, page 3-103
2. If you do not auto-issue budgets, use roll-down budgeting to publish the initial
budget with the highest-level manager, or with multiple lower managers.
The highest level manager can then use Compensation Workbench to issue budgets
to lower level managers.
You include the budgeting task in the plan design if you do not auto-issue budgets.
You can define budgets as monetary amounts or as a percentage of eligible salary in
the Plan Enrollment Requirements window. You can also define the budget in
non-monetary units such as Shares or Stock Options.
See: Budgeting in Compensation Workbench, page 3-22
3. Run the Compensation Workbench Back-out Life Events process to remove the
results of the Participation Process: Compensation Workbench for a compensation
life event in the case of errors or changes in plan design. If you need to back-out a
compensation life event, you run this process before you run the Compensation
Workbench Post Process. You can, however, run the process any time before a
payroll run has processed your results.
See: Backing out a Compensation Workbench Plan, page 3-105
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4. If you need to run the participation process for employees not previously selected
for processing, new or terminated employees, or employees who had a status of life
event started, or for managers who are now eligible for awards, then run the
participation process for an individual even after you run the Participation Process:
Compensation Workbench for a plan. The Single Person Participation process
determines a person's eligibility for the plan and rates, and places the person in the
correct position in the hierarchy.
You run the Single Person Participation process for a single participant using the
Submit Requests window, or the Compensation Workbench Administration Home
page.
See: Adding an Individual into a Started Compensation Workbench Cycle, page 3-
106
5. Line managers use Compensation Workbench to enter compensation awards.
6. Run the Progress Report to monitor the progress of the compensation cycle for a
specific availability period and plan. You can run the report at any time after you
run the Participation Process: Compensation Workbench, during the allocation
period, or after running the Compensation Workbench Post Process. The report
results differ depending on when you run it during the compensation cycle. You
can run this report using the Submit Requests window or from Compensation
Workbench Administrators Home page.
See: Administration Progress Report, page 3-92
7. To update plan information mid-cycle, use the Plan Administration page.
See: Maintain Compensation Workbench Plans Mid-Cycle, page 3-98
8. Run the Compensation Workbench Refresh Process to refresh employee or plan
design data in Compensation Workbench.
See: Refreshing Compensation Workbench Data, page 3-109
9. Run the Compensation Workbench Mass Notification Process to generate approval
notice and other notifications.
See: Creating Mass Notifications for Compensation Workbench, page 3-111
10. Run the Compensation Workbench Post Process.
Run this process after all worksheet allocations have been approved to write the
distribution totals to enrollment results. This also posts assignment changes,
performance ratings and rankings.
See: Writing Allocated Amounts from the Compensation Workbench Cycle, page 3-
107
11. Optionally, perform enrollment overrides.
Compensation and Awards Management 3-103
If necessary, use the Enrollment Override window to override an amount for a
person after you run the Compensation Workbench Post Process.
Note: Values you enter in this window update element entries for
bonus and stock option plans. However, for salary plans, overrides
you enter on this window do not update the Salary page.
See: Overriding Enrollment Results for a Plan, page 6-77
12. Run the Close Compensation Enrollments Process.
Typically, you run this process for a bonus plan if you set the Close Enrollment
Date code to Processing End Date. This process closes the compensation life event
for one or more persons as selected by the batch process parameters.
You can run the Compensation Workbench Post Process to close the compensation
life event if you set up the processing end date as 'When elections are made.'
Typically, you run the Post Process for salary and stock option plans.
You do not need to run the Close process if you set up the Compensation
Workbench Post Process to close the compensation life event.
However, future-dated enrollments always require you to run the Close
Compensation Enrollments Process.
See: Closing a Compensation Workbench Award Cycle, page 3-112
Opening a Compensation Workbench Award Cycle
You run the Participation Process: Compensation Workbench before the availability
period of a compensation plan. The process determines eligibility, calculates rates, and
assigns the compensation life event to each eligible person.
If you auto-issue budgets, then the process updates the allocation worksheet with a
predefined budget amount for all managers.
If you do not auto-issue budgets, you use roll-down budgeting to publish the initial
budget with the highest-level manager, or with multiple lower managers. The highest
level manager can then use Compensation Workbench to issue budgets to lower level
managers. You include the budgeting task in the plan design if you do not auto-issue
budgets. You can define budgets as monetary amounts or as a percentage of eligible
salary in the Plan Enrollment Requirements window. You can also define the budget in
non-monetary units such as Shares or Stock Options.
Publish the budget for a plan so that managers can access the budget task.
You run this process from the Submit Requests window.
3-104 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
To run the Participation Process: Compensation Workbench:
1. Select Participation Process: Compensation Workbench in the Name field.
2. Enter the Parameters field to open the Parameters window.
3. Set the effective date of the process to a date on or after the assigned life event date.
4. Select Commit - Database will be updated or Rollback - Database will not be
updated in the Validate field.
Select Rollback to check your results before committing them to the database. It is
easier to correct errors before you commit results.
5. Select the compensation plan in the Group Plan Name field.
6. Select a year Period.
7. Select a Person Selection Rule to run the process for persons who match the criteria
of your rule.
8. Select a Benefits Group to limit the search to a benefits group.
9. Select Yes in the Audit Log to create a file that lists the eligibility results for each
person evaluated by the process.
Note: If the Participation Process: Compensation Workbench
detects a recursive hierarchy exists, then it continues to processes
the organization and creates an error log that displays the Person
IDs in the order Employee A, Employee B, Employee C, Employee
A in the format ~A~B~C~A to identify the location of the error. You
fix the error using Employee Reassignment.
If you select Yes, you should periodically run the Participation Audit Activity Purge
process to purge the audit log tables.
10. Click OK, and click Submit to complete the batch process request.
Publishing a Budget
Publishing the budget enables managers to access their budget tasks. Until you publish
the budget for a plan, the budget task is disabled and managers may not access the task.
You typically publish the budget with the highest-level manager, although you can
publish the budget at any level in the hierarchy. You can also publish more than 1
budget for a plan with multiple managers.
Use the Employee Administration link on the Compensation Administrators Home
Compensation and Awards Management 3-105
Page to publish budgets.
To publish a budget:
1. On the Compensation Administrators Home Page, click Employee Administration.
2. Search for and select the manager for whom you want to publish the budget.
3. Click the Details icon for the plan for which you want to publish the budget.
4. Select the Manager Information tab.
5. Enter either the Total Budget Amount (Published) or the Total Budget as % of
Eligible Salaries (Published), and the Budget Published Date in the Budget
Summary region.
6. Click Update to publish the budget.
Backing out a Compensation Workbench Plan
You run this process to remove the results of the Participation Process: Compensation
Workbench for a compensation life event in the case of errors or changes in plan design.
If you need to back-out a compensation life event, you run this process before you run
the Compensation Workbench Post Process. You can, however, run the process any
time before a payroll run has processed your results.
Note: Use caution if you run this process. Persons selected by the
process lose all rates assigned during the selected period--including
amounts they entered on a budget or worksheet, or an award
distributed to the person by another manager.
If you run the Compensation Workbench Back-out Life Events Process after running the
Compensation Workbench Post Process, then the application backs out salary proposals
but does not back out the performance ratings and assignment changes.
As an alternative to backing-out the compensation life event, use the Enrollment
Override window to override an activity rate result for a person, or use the Plan
Administration page.
You run processes from the Submit Requests window.
To run the Compensation Workbench Back-out Life Events Process:
1. Select Compensation Workbench Back-out Life Events Process in the Name field.
2. Enter the Parameters field to open the Parameters window.
3-106 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
3. Enter the effective date of the process.
Typically, this is the same as the To Occurred Date in step 6.
4. Select Commit - Database will be updated or Rollback - Database will not be
updated in the Validate field.
Select Rollback to check your results before committing them to the database.
5. Select the compensation Life Event to back out.
6. Enter the date range for which you want to back out results in the From Occurred
Date and To Occurred Date fields.
7. To further limit the persons evaluated by the process, select one or more of the
following parameters.
• Organization
• Location
• Person Benefit Group
• Legal Entity
• Person Selection Rule
8. Choose the OK button.
9. Complete the batch process request and choose Submit.
Adding an Individual into a Started Compensation Workbench Cycle
Run the participation process for an individual even after you run the Participation
Process: Compensation Workbench for a plan. The Single Person Participation process
determines a person's eligibility for the plan and rates, and places the person in the
correct position in the hierarchy. Run this process from the Administrator's page in
Oracle Self-Service Human Resources. The application processes the individual based
on one of the following Detected Processing Methods:
• Normal Processing - processes participants who were not selected for the run
previously
• Special Processing - processes participants who were not current employees as of
the plan design freeze date or the life event occurred date, for example, new
employees or terminated employees. You must select a valid override date that the
application uses to calculate eligibility and for employee data.
Compensation and Awards Management 3-107
• Reprocess - processes participants whom Compensation Workbench has already
processed with a started life event status. This process backs out and reprocesses
the person. The application reevaluates eligibility and recalculates rates.
Note: When you run this process, you lose any progress made
within Compensation Workbench for this person.
• Placeholder to Normal - processes managers who are now eligible for the award.
For example, as a manager, the person was not eligible for compensation, but at
least one of their lower employees was eligible. The application creates a
placeholder record for the manager to enable the manager to log into Compensation
Workbench and perform duties as a manager. This process converts the placeholder
to an eligible employee. This person now appears on another manager's worksheet
for compensation activities to begin.
Note: This process may result in loss of budget amounts previously
issued to the manager within Compensation Workbench.
The application creates a placeholder record for managers who are not eligible to
receive compensation under the plan, but who have employees under them who
are eligible.
To run the single person participation process:
1. Click Employee Administration on the Compensation Workbench Home page.
2. On the Employee Search page, enter the parameters to search for an employee.
3. Select an employee from the search result, and click Continue.
4. On the Plan Overview page, click Run Participation Process to run the participation
process for the selected employee.
Writing Allocated Amounts from the Compensation Workbench Cycle
You run the Compensation Workbench Post Process after line managers have approved
all budget and worksheet entries.
The process updates the database and writes the allocated amounts to an employee's
salary proposal record or to an element entry--for salary changes--or to element entries
for other activity rates (such as bonuses) if you attach an element to the applicable rate
when you define the rate.
You can selectively filter eligible employees for Post Process by using the Person
Selection Rule.
3-108 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
To use the Person Selection Rule during Post Process, ensure that you have defined a
FastFormula of type Person Selection.
See: Total Compensation Formula Types, Oracle HRMS FastFormula User Guide
See: Writing or Editing a Formula, Oracle HRMS FastFormula User Guide
You run processes from the Submit Requests window, or from the Compensation
Workbench Administration Home page.
Important: Ensure that you download the amount column to a
spreadsheet to upload the award effective date.
To run the Compensation Workbench Post Process:
1. Click Run Post Process on the Compensation Workbench Administration Home
page.
2. On the Run Post Process: Select Group Plan and Period for Processing page that
displays, select the plan to run the post process.
Note: You select the group plan here.
3. Select the Period to run the post process and click Next.
4. On the Run Post Process: Select Local Plans for Processing page that displays, select
the local plans to run the post process.
5. On the Run Post Process: Compensation Element Types and Effective Date
Overrides page, enter the effective date.
Note: For Non-Salary plans, you can override the Element Type
and Input Value. For salary plans, the application automatically
updated the element entries associated with an employee's pay
basis. You can override the dates that the Compensation becomes
effective. For Salary Plans, this is the Salary Change Date, for
Element Entries, this is the Effective Start Date.
To grant compensation on employee specific effective dates, ensure that you select
Yes in the Use Award Effective Date drop-down list.
6. On the Run Post Process: Assignment and Performance Effective Date Overrides
page, enter the Assignment Effective Date and the Performance Rating/Ranking
Effective Date.
Compensation and Awards Management 3-109
Note: If your setup does not allow assignment changes within
Compensation Workbench, then leave that column blank. If your
setup does not allow performance ratings or rankings within
Compensation Workbench, then leave that column blank.
7. On the Submit Request: Parameters page, enter the following details:
1. Select Commit - Database will be updated or Rollback - Database will not be
updated in the Validate field.
Note: Select Rollback to check your results before committing
them to the database. It is easier to correct errors before you
commit results.
2. Select Yes in the Audit Log to create a file that lists the results for each person
evaluated by the process.
Note: If you select Yes, you should periodically run the
Participation Audit Activity Purge process to purge the audit
log tables.
3. If you select Yes in the Audit Log field, then select a Debug Level from the list.
4. Select the name of a specific person in the Specific Employee Only list to run the
process for one person, or to test the process.
5. Select a manager's name from the Process Employees Under Manager list to run
the process for all employees in that manager's hierarchy.
6. Select a business group from the list of Employees in a Business Group to run
the process for all employees in that business group.
7. In the Person Selection Rule field, select the FastFormula you defined for
filtering employees for Post Process.
8. Click Submit.
Refreshing Compensation Workbench Data
Use the Compensation Workbench Refresh Process to refresh employee or plan design
data in Compensation Workbench. Administrators can also run this process to
recalculate summary data and to consolidate summary totals into a single row. You run
the Compensation Workbench Refresh Process from the Submit Requests window to
3-110 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
refresh employee or plan details. You can also run these processes from the
Compensation Workbench Administration Home Page as follows:
• Use the Employee Administration page to refresh employee details for a selected
employee
• Use the Plan Administration page to refresh plan design details for a selected plan
• As a batch process from the Compensation Workbench Home page to refresh plan,
summary, exchange rate, employee HR data or award effective dates within
Compensation Workbench.
To run the Compensation Workbench Refresh Process:
1. Select Compensation Workbench Refresh Process in the Name field.
2. Enter the Parameters field to open the Parameters window.
3. Select the Group Plan to refresh data for the plan.
4. Select the Period to refresh data for that period.
5. Enter the effective date of the process. If you do not set an effective date, then the
process uses the Freeze Date you specified in the Plan Enrollment Requirements
window.
6. Select Yes in the Refresh Summary list to run this process to recalculate summary
data. The summary data that is stored in BEN_CWB_SUMMARY table is the same
data that appears at the top of the budget sheet and worksheet pages. If summary
data is out of synch due to manual changes in the database, then you can run this
process to correct the data. By default, this is set to No.
7. Select Yes in the Refresh Person Info list to refresh Compensation Workbench
BEN_CWB_PERSON_INFO table with the latest Base Salary or Current Job
information details. By default, this is set to No.
8. Select Yes in the Refresh Plan Design list to refresh plan design data in the
BEN_CWB_PL_DSGN table. By default, this is set to No.
Note: If you want to make plan design changes after running the
Participation Process: Compensation Workbench, then you should
use the Plan Administration pages and make the updates
manually.
9. Select Yes in the Consolidate Summary list to consolidates all summary totals into a
single row. A single summary amount may consist of multiple records due to
Compensation and Awards Management 3-111
simultaneous updates in the system. You do not need to run this process in
conjunction with the recalculation process, as both processes consolidate
automatically.
10. Select Yes in the Initialize Rankings list to delete current ranking records in CWB.
11. Select Yes in the Refresh Exchange Rates list to refresh the exchange rates for the
plan.
12. Select Yes in the Refresh Worksheet Award Effective Date list to refresh employee
award effective dates in the allocation worksheet.
Note: If the Rate Start Date is set to Enterable in Plan Enrollment
Requirements, then setting this to Yes will reset all Award Effective
Dates to null in the allocation worksheet.
13. Click OK in the Parameters window.
14. Click Submit in the Submit Request window.
Restrictions
The Compensation Workbench Refresh process only overwrites previously stored
person and assignment data from Oracle HRMS into Compensation Workbench. The
process does not:
• Retain changes that you made using the Plan or Employee Administration pages
• Reevaluate eligibility
• Change the number of people processed by the Participation Process:
Compensation Workbench
Creating Mass Notifications for Compensation Workbench
Use this process to generate approval notice and other notifications as follows:
• All Approvals are obtained - to managers
• Compensation Period Commences - to managers
• Compensation Period is Ending - to managers
• Period Has Ended - to managers
• Mass Eligible Employee Notifications - to employees
3-112 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Note: Ensure you select Oracle Advanced Benefits as the application,
when you create messages for the Compensation Workbench Mass
Notification process.
Use the Compensation Workbench Administration Home page to run Mass
Notifications.
To run the Compensation Workbench Mass Notification Process:
1. Click Run Mass Notification on the Compensation Workbench Administration
Home page.
2. On the Schedule Request: Parameters page, select the Group Plan Name and the
Period.
3. Enter a Message Title. This is the title of the notification you send.
4. Select a Message Name and the Target Population.
5. Select an access level from the Managers with Access Level list to send the
notification to managers who have the selected access.
6. Select a Target Population Selection Rule from the list to send the notification to
select people based on the criteria specified in the rule.
7. Select Yes to Include Link to Compensation Workbench. By default, this is set to
No.
8. Select Yes to Resend If Previously Sent. By default, this is set to No.
9. Select a name from the Send a Notification to Username list to send a test mail.
10. By default, the Withold Notification (Report Only) list displays Yes, and the
application does not send the notification to the population that is to receive the
notification. This is useful to test the notification before you actually send it.
11. Click OK in the Parameters window.
12. Click Submit to run the process.
Closing a Compensation Workbench Award Cycle
This process closes the compensation life event for the selected persons when the
following conditions exist:
• The availability period for the compensation plan is passed
Compensation and Awards Management 3-113
• The final processing date for the plan is passed
You must run this process for each local plan that you define. You cannot run this
process for a group plan.
You must run this process only when the Close Enrollment Code for your plan is
Processing End Date as is used for bonus or stock option plans.
If you set the Close Enrollment Date code for a plan to When Elections are Made (such
as for a salary or stock option plan), you do not need to run this process. Run the
Compensation Workbench Post Process to close the life event.
You run processes from the Submit Requests window.
To run the Compensation Workbench Close Enrollment Process:
1. Select Compensation Workbench Close Enrollment Process in the Name field.
2. Enter the Parameters field to open the Parameters window.
3. Enter the effective date of the process.
4. Select the Program Name from the list.
5. Select the compensation plan in the Plan Name list.
6. Select a Location to close the compensation life event for persons who work in a
specific location.
7. Select the compensation Life Event to close.
8. Select an Assigned Life Event Date to close a life event that was assigned on a
particular date.
9. Select the name of a specific person from the Person Name list to run the process for
one person.
10. Select a Person Selection Rule to run the process for persons who match the criteria
of your rule.
11. Select Commit - Database will be updated or Rollback - Database will not be
updated in the Validate field.
Select Rollback to check your results before committing them to the database.
12. Select Yes in the Audit Log to create a file that lists the results for each person
evaluated by the process.
If you select Yes, you must periodically run the Participation Audit Activity Purge
process to purge the audit log tables.
3-114 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
13. Select a Close Mode.
• Force Close always closes the life event.
• Normal Close closes the life event based on the close enrollment date.
• Preserve Pending Transaction Closecloses life events only for participants with
no pending approvals. This process does not close life events for participants
with pending approvals. You can view the process log to identify the list of
these participants by the status Life Event is not closed due to pending
approvals.
14. Choose the OK button.
15. Complete the batch process request and choose Submit.
Compensation and Awards Management 3-115
Individual Compensation Distribution
Self-Service Individual Compensation Distribution
Important: This section is applicable for existing users who will
continue to use existing ICD. New users or existing users planning to
uptake new ICD must refer to 'Using Individual Compensation
Distributions: Line Managers, Employees and HR Professionals'
section. See: Overview: Individual Compensation Distributions for Line
Managers, Employees, and HR Professionals, page 3-129
Managers and other employees responsible for distributing compensation use
Self-Service ICD to assign one-time or recurring awards, bonuses, and allowances such
as housing allowances, spot bonuses, and company cars to qualified employees.
Employees use Self-Service ICD to enter voluntary contributions such as savings plans,
charitable organizations, and company perquisites.
Using Oracle HRMS, you can grant managers throughout your enterprise the authority
and ability to assign one-time or recurring awards, bonuses, and allowances to qualified
employees and other individuals using Oracle Self-Service Human Resources.
Components
Compensation managers use the Oracle HRMS professional user interface to define
components of the award or allowance. They also configure employee self-service ICD
for use by non-manager employees. The manager or the employee uses Oracle SSHR to
assign the award. Compensation managers set up the following:
• Plan Design - plan types, plans and options
• Enrollment Requirements for the Plan - coverage/rates start and end dates, action
items and certifications
• Activity Rates and Coverage Calculations for the Plan
You can also configure employee self-service ICD for use by non-manager employees. For
example, if your enterprise offers a charitable contribution plan or a savings bond plan
to which employees contribute at their own discretion, you can enable the contribution
through the self-service interface.
Using elements, you can process the distributions through Oracle Payroll. For recurring
distributions, you can define the distribution end date, or, using FastFormula, enforce
the total maximum distribution you allow in a period.
3-116 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Security Features
Security features in Oracle HRMS ensure that managers can assign a distribution only
to employees and contractors within their security group.
Participant eligibility profiles offer a further way to limit distributions to eligible
employees based on a range of criteria, such as assignment data.
Workflow Approval
Oracle SSHR predefines a workflow approval process that automatically sends a
notification to the supervisor of the manager, or the manager of the employee who
assigned the distribution. The supervisor or manager can either approve or reject the
distribution.
Individual Compensation Distributions (SSHR Components)
The Individual Compensation Distributions (ICD) module enables managers to assign
compensation distributions to employees. Use ICD for both one-time and recurring
awards, such as bonuses or allowances to employees.
You can also set up ICD for non-manager employees if your enterprise offers
discretionary contribution plans, such as a charitable contribution or savings bond plan.
The Benefits or Compensation administrator needs to define the individual
compensation distribution plans using Oracle Advanced Benefits or the standard
benefits features in Oracle HRMS.
See: Self-Service Individual Compensation Distributions, page 3-117
Menu and Function Names
This module can be accessed from the following menus and functions:
User Menu Name Function Name
Manager Self Service Individual Compensation Distributions
See: Defining User Access and Menus, Oracle HRMS Deploy Self-Service Capability Guide
Workflow
The workflow details for this module are listed below:
Compensation and Awards Management 3-117
Workflow Process Display Name:
Compensation Distribution
Configurable Workflow Attributes:
Not applicable
Configurable Tips and Instructions
Region Tip Type Message Name
Comp Plan Selection Benefits Communication
Type
CPS.PLAN_SELECTION_CO
NTENT
Compensation Update Mode
Selection Content
Long Message BEN_92737_COMP_UPD_M
D_INSTR
Compensation Details
Content
Benefits Communication
Type
CPD.
COMP_DETAILS_CONTENT
Compensation Review
Content
Benefits Communication
Type
(Review Page):
CPC.COMP_CONFIRM_CO
NTENT (Confirmation Page):
CPR.COMP_REVIEW_CONT
ENT
See: Adding Instructions to Web Pages, Oracle HRMS Deploy Self-Service Capability Guide
Configurable FlexFields
Not applicable
Configurable Profile Options
Not applicable
Setting Up Individual Compensation Distributions for Employees and
iRecruitment Applicants
As a compensation manager, you set up individual compensation distribution (ICD)
plans to define the components of an award or allowance. The line manager uses the
3-118 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
self-service interface to assign the award - setting the start and end date of the
distribution - while the back-office maintains control of the plan's administration. You
can set up compensation plans so that hiring or line managers assign benefits
components to applicants when they create or update offers in iRecruitment.
Follow these process steps to set up a variety of plans for ICD and iRecruitment offers,
such as:
• Periodic or spot bonuses
• Sponsored allowances
• Resettlement compensation
• Severance Payments
• Relocation
• Sign-on bonus
• New hire stock
• Other periodic or recurring awards
As a compensation and benefits administrator, you define plans for individual
compensation distribution and iRecruitment using the features of standard benefits or
Oracle Advanced Benefits following the guidelines in these sections.
• Define Plans, page 3-118
• Define Enrollment Requirements for the Plan, page 3-121
• Set Up Activity Rates and Coverages for the Plan, page 3-123
• Configure Web Pages, page 3-126
• Enter People for Test Purposes, page 3-126
• Set Up Employee Self-Service Access to ICD, page 3-127
Define Plans:
You set up plans for individual compensation distribution and iRecruitment by
defining the characteristics of the plan and any electable options in the plan. If
necessary, you can define participant eligibility profiles to limit the participants who are
eligible for the plan or option.
Compensation and Awards Management 3-119
To set up plans for self-service individual compensation distribution and
iRecruitment
1. Define the Plan Year start and end dates for the compensation plan. Set up several
plan years to account for future plan years.
See: Defining a Program or Plan Year Period, page 1-115
2. Optional: define a participant eligibility profile to control eligibility for the
compensation plan.
If you do not define a participant eligibility profile:
• ICD finds all employees and contractors reporting to the manager eligible for
the distribution.
• iRecruitment finds all applicants eligible for the compensation plans defined for
applicant offers.
Note: Set the participant eligibility profile status to active if you
define a profile.
See: Defining an Eligibility Profile, page 1-141
3. Set up one or more Plan Types to group the compensation plans you administer.
• Required: select an Option Type of Individual Compensation Distribution to
enable a manager to distribute the award or assign benefits to applicants. When
you define Plan Types for iRecruitment, select Enterable Amount or Select List
as the option for Self Service Display format. Currently the other self-service
options do not apply for iRecruitment plans.
• Optional for ICD: select a Compensation Category of Compensation for
reporting purposes or for system extracts.
You can choose to set up a single plan type for all your compensation plans, or you
can define multiple plan types for groupings of plans (Bonus, Allowance,
Severance, and others).
Note: You should base the number of plan types you define on
your reporting requirements.
See: Defining Plan Types, page 1-95
4. Required for iRecruitment: Define reporting groups to group the compensation
plans for iRecruitment. Select the purpose as iRecruitment to display the plans on
the Compensation page of iRecruitment.
See: Defining a Reporting Group, page 1-125
3-120 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
5. Optional: define the options in the compensation plan.
• Enter a user friendly option name to display in the self service web page.
• Select the corresponding plan type of each option.
Note: Use options when there is a logical grouping of choices
within a plan, such as a car allowance plan with options of BMW,
Honda, and Ford. For bonus plans, severances, and allowances, set
up each compensation type as a separate plan.
See: Defining Options, page 1-113
6. Define compensation plans for ICD and iRecruitment
• Enter a user friendly plan name to display in the self service web page.
• Select the plan type of the plan.
• Set the plan status to active. You can update the status to inactive if you need to
temporarily disable the plan.
• Select a Plan Usage code of May Not Be In a Program.
In the Not in Program tabbed region:
• Enter a sequence number that indicates the order in which the plan displays in
the self service web page relative to other plans in the plan type.
• Select the currency of the plan for monetary distributions. You do not enter a
currency for non monetary allowances, such as cars.
• Select the Activity Reference Period of the plan. For recurring awards, the
activity reference period is the period the manager sees when distributing the
award, for example, $100 per period.
For non recurring awards, you can select any activity reference period.
Note: For an iRecruitment plan, ensure that you select frequency
specific values such as Per Month or Per Year as the Enrollment
rate/frequency. As applicants are not assigned any payrolls, if you
select values such as Per Pay Period no plans will be displayed to
hiring managers when they create or update offers.
See: Defining a Benefits Plan, page 1-97
7. Link the Plan Years to the plan that you defined in Step 1.
Compensation and Awards Management 3-121
See: Maintaining Plan Related Details, page 1-106
8. If you defined options in Step 5, link the options to the plan.
• Set the status for each option to active. You can update the status to inactive if
you need to temporarily disable an option.
See: Associating Options with a Plan, page 1-104
9. Link a participant eligibility profile to the plan if you limit eligibility for the plan.
10. For iRecruitment: Define a single life event reason with the iRecruitment type.
Oracle iRecruitment uses this life event type to process compensation plans for
applicants.
See: Defining General Characteristics of Life Event Reasons, page 5-62
Define Enrollment Requirements:
You use the Plan Enrollment Requirements window to control the enrollment method.
ICD only: You can also set up required certifications that the individual must provide
before Oracle Payroll distributes the award.
To define enrollment requirements for ICD and iRecruitment plans
1.
Define enrollment requirements for the plan.
• Query the plan you defined in step 6 above.
• Select an enrollment method of Explicit.
• Check the Allows Unrestricted Enrollment check box.
• Select Current, Can Keep or Choose; New, Can Choose as the Enrollment code.
For ICD Plans
• If you define coverages, select a Coverage Start Date code of Enterable if you
want to let the manager enter the coverage start date. The application
distributes the award to Payroll following the date. If you do not want the
manager to enter the start date, select any other coverage state date code.
• Select a Coverage Start Date code of Event to set the start date to the system
date when the manager enters the self service web page. Use this code for
non-recurring awards. The application distributes the award to Payroll in the
following payroll period.
• Required: select a Coverage End Date code that corresponds to your Coverage
Start Date code.
3-122 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
• Activity Rate Start and End Date codes function similarly to coverage codes.
Choose Enterable for recurring allowances; for non-recurring allowances,
choose Event.
For iRecruitment Plans
You must define enrollment requirements by specifying coverage and rates start
and end codes.
General Tab
1. With the General tab and the Plan tab selected, select the Coverage tabbed
region.
2. Enter the enrollment coverage start and end dates to specify when the coverage
begins and ends for participants in the plan. For example, select Event as the
start date and 1 Day Before Event as the end date code.
3. Select the Rates tabbed region.
4. Enter the rates start and end date codes to specify when the activity rates start
and end for participants in this plan. For example, select Event as the start date
and 1 Day Before Event as the end date code.
When you set up compensation plans for iRecruitment offers, you must associate
the plans with the iRecruitment life event. When a hiring manager completes the
basic details of an offer and clicks Continue on the Basic Details page, the
application detects that the iRecruitment life event has occurred for the applicant
assignment and runs the Participation process. The Participation process evaluates
the eligibility for the applicant and displays the appropriate benefit plans in the
Compensation page.
Timing Tab
Define the following iRecruitment Life Event in the Life Event region of the Timing
tab to allow users to make or change elections.
• Select Enrollment Type as the life event.
• Select iRecruitment Life Event as the life event.
• Select a Coverage Start Date code of Event and select the corresponding code 1
Day Before Event as the end date code.
• Select Event as the Rate Start Date and select the corresponding code 1 Day
Before Event as the end date code.
• Select As of Event Date as the Enrollment Period Start date code and select a
Enrollment Period end date that corresponds to the Period start date such as
Thirty Days After Event Date or Sixty Days After Event.
Compensation and Awards Management 3-123
For information on compatible start and end codes, see the white paper, Oracle
Applications HRMS Compatible Start & End Date Codes, My Oracle Support Note ID:
247317.1
See: Defining Enrollment Requirements for Not in Program Plans, page 5-106
2. Optional for an ICD plan: for Advanced Benefits users, link one or more
certifications to the plan if you request or require certification from the participant
before you make the distribution.
Oracle HRMS supplies the certification types available with the application.
Note: If you require a certification, the application suspends the
payroll distribution of the award until the participant returns the
certification. A message displays to the issuing manager indicating
that the distribution is suspended.
See: Defining Certifications for Enrollment in a Plan, page 5-119
See: Defining an Action Item Due Date (Advanced Benefits), page 5-82
3. Optional for ICD: for Advanced Benefits, you can define communication types that
the application generates to inform the participant of a suspended distribution.
You set up a system extract to write the applicable information from the
communication type to a text file. You can then merge the data from the text file
into the body of the participant communication.
See: Defining Communication Types, page 5-180
Set Up Activity Rates and Coverages for the Plan:
You set up activity rates to define:
• The amount of a distribution (for fixed rate distributions) or to indicate that the
manager enters the distribution amount when the award is assigned in the
self-service web page.
Note: You can set up multiple activity rates for an ICD plan;
however, you can choose only one rate to display on enrollment to
the self-service user.
• The amount ranges that hiring managers can assign when they create or update
offers for applicants in iRecruitment
To set up activity rates for a plan
1.
Optional: set up an activity rate for an ICD/iRecruitment plan or option in the
following cases:
3-124 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
• You do not use coverages.
• You offer a monetary award and you want to distribute the amount of the
award to payroll.
• You create element entries for the award.
• You award a non monetary gift (defined as a coverage) and you need to keep
records of the taxable benefit.
• You want to control the maximum amount that can be distributed for a
recurring element.
Note: In order to control the maximum distribution amount, you
must configure Oracle Payroll using FastFormula.
Follow these guidelines when setting up the activity rate:
• Set the activity rate status to active.
• Indicate if the activity rate applies to a plan or to an option in a plan.
• Select any Activity Type code.
• Select a Usage code of Standard Contribution/Distribution.
• Select a Unit of Measure if the award is non monetary.
Note: If the Unit of Measure is monetary, do not select any unit of
measure.
• For ICD only: Select a rate certification type if you want to suspend the rate
until the appropriate certification is received and approved.
Define the calculation method for the activity rate.
• If the award is a flat amount, enter the value of the award.
• If the award is not a flat amount, check the Enter Value at Enrollment check
box. For recurring awards, the value the manager enters at enrollment is per the
activity reference period defined for the plan.
• Check the Assign on Enrollment and Display on Enrollment check boxes.
See: Defining Activity Rates for a Standard Contribution/Distribution, page 5-146
Compensation and Awards Management 3-125
Note: Steps 2 - 3 do not apply to iRecruitment plans.
2. Optional for ICD: define a variable rate profile if the activity rate varies according to
one or more factors, such as the assignment of the person to whom the manager
distributes the award.
You can also use variable rate profiles to define minimum and maximum
distributions, increments, and default rates.
See: Defining General Information for a Variable Rate Profile, page 5-156
3. Optional for ICD: create a taxable benefit rate for use with non monetary coverages.
You set up a taxable benefit rate for non monetary coverages like you define a
standard activity rate, with the following exceptions:
• Leave the Unit of Measure field blank.
• Select a Calculation Method of Multiple of Coverage.
• Uncheck the Enter Value at Enrollment field.
• Define a multiplier where the number represents the value of one non
monetary award.
• Select a Coverage Operator of Multiply by.
• Select a Rounding Code of Round to Nearest Hundredth.
• Uncheck the Display on Enrollment check box.
Note: You may have to define your coverage first before saving this
rate.
4. Optional for ICD and iRecruitment: create a Maximum Distribution Rate to
accompany the standard rate.
You set up a Maximum Distribution Rate like you define a standard activity rate,
with the following exceptions:
• Select an Activity Type of Total Distribution Limit.
• Leave the Unit of Measure field blank.
• Leave the Recurring field blank.
5. Optional for ICD: define coverages for the plan if:
3-126 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
• The award is non monetary and you do not want element entries created for the
non monetary award.
• The award is a non monetary gift (which is defined as a coverage) and you need
to keep records of the taxable benefit.
• You do not define standard activity rates.
See: Defining a Coverage Calculation, page 5-161
Follow these guidelines when you set up a coverage definition:
• Enter a name for the coverage.
• Select a coverage type.
• Select a Unit of Measure if the Type is not Coverage.
• On the Calculation Method Tab, select a Calculation Method of Flat Amount.
Note: If you want the user to enter the value during the enrollment
check the Enter Value at Enrollment check box. Otherwise, enter
the amount.
• For recurring distributions, the coverage amount is per the activity reference
period defined in the plan.
Note: You should set up no more than one coverage per
compensation plan or option.
Configure Web Pages:
To configure ICD web pages, use the Application Dictionary to configure the field
labels, hints, tips, and messages that display in an ICD web page. You can also
configure menu names, function names, and certain workflow attributes, see:
Individual Compensation Distributions (ICD), page 3-116
To configure iRecruitment offers pages, including the Compensation page, see: Setting
Up Offers, Oracle iRecruitment Implementation and User Guide
Enter People for Test Purposes:
You can enter sample people into the Oracle HRMS database to test your Individual
Compensation Distribution plan.
Define a Manager
Using the People window, define a manager with a date of birth, social security
Compensation and Awards Management 3-127
number, and address.
1. Enter an Assignment for the manager.
2. Check the Manager check box located in the Miscellaneous tabbed region.
3. Select the manager's GRE in the GRE tabbed region.
Define an Employee
Using the People window, define an employee with a date of birth, social security
number, and address.
Note: If you use eligibility profiles, make sure the test employee meets
your eligibility requirements.
1. Enter an Assignment for the employee.
2. Select the test manager you created as the employee's supervisor on the Supervisor
tabbed region.
3. Select the employee's GRE in the GRE tabbed region.
Create a User Name and Password for the Test Manager
As a system administrator, open the User Types window to define a user name and
password for the manager you created.
1. Link the Manager Self Service responsibility to the user name.
2. Save your work and close the window.
Assign an Individual Compensation Distribution to the Employee
1. Using the manager's user name and password, log on to Oracle Self Service HR.
2. Choose the Individual Compensation menu item.
3. Find the Employee you created.
4. Assign the individual an award.
Set Up Employee Self-Service Access to ICD:
You can configure ICD for employee self-service access. Use this feature if your
enterprise administers charitable contribution plans, savings bond plans, or service
recognition plans where you allow the employee to select from one or more awards.
3-128 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Note: You set up employee self-service plans as you would other plans,
using the professional user interface. However, you should include
employee self-service plans in their own plan type, so that participants
cannot view plans only available to managers.
To set up employee self-service access to ICD
1. Log in to Oracle HRMS using a System Administrator responsibility and open the
Form Functions window.
2. Choose the Description tab.
3. Enter a new function name--without spaces--in the Function field.
4. Enter a User Function Name for this function.
5. Select SSWA JSP Function as the function Type.
6. Optional: enter a Description of the function.
7. Choose the Form tab.
8. Enter the following parameter, substituting the function name you entered in Step 3
and your plan type IDs where indicated:
• pProcessName=HR_INDIVIDUAL_COMP_PRC&pItemType=HRSSA&pCalled
From=&PLANTYPE=
9. Choose the Web HTML tab.
10. Enter the following string in the HTML Call field:
• OA.jsp?akRegionCode=HR_CREATE_PROCESS_TOP_SS&akRegionApplicatio
nId=800
11. Save your work.
12. Close the Form Functions window and open the Menus window.
13. Add the function you just created to the Employee Self-Service Menu.
14. Save your work.
See: Defining Communication Types, page 5-180
See: Defining When a Communication is Used, page 5-181
Compensation and Awards Management 3-129
Using Individual Compensation Distributions: Line
Managers, Employees and HR Professionals
Overview: Individual Compensation Distributions for Line Managers,
Employees, and HR Professionals
Important: This section is applicable for new ICD users and existing
users planning on moving to the new ICD. Existing users must refer to
the 'Individual Compensation Distribution' section. See: Individual
Compensation Distribution, page 3-115
Often, organizations need an effective method of managing off-cycle compensation.
This is necessary to motivate workers to meet their business objectives and to quickly
react to changing business conditions. Individual Compensation Distribution (ICD) acts
as a framework that captures and manages data to administer monetary and
non-monetary awards for an individual.
Line Managers, Compensation Administrators, HR Professionals and Employees use
ICD to perform compensation related tasks.
To perform compensation tasks, you must setup ICD plans. Below is a graphic
overview of ICD plan administration.
Line Managers and Employees
Line Managers can control element entries and compensation awards using
compensation plans. As a self-service manager, you can record and manage adhoc
3-130 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
variable compensation such as bonuses, employee payroll deductions, enrollment or
registration of events, and non-payroll related information. Additionally, you can
extend these tasks to other self-service processes and element entries.
Employees can use ICD to self-enroll into company specific reward programs like
tenure gifts and travel allowance. Employees can also enroll in company stock purchase
plans by specifying a payroll deduction, or contribute to a company-supported charity
plan.
Below is a graphic representation of task flow associated with a manager and employee.
See: Line Managers and Employees, page 3-132
See: Manager Self Service Interface, page 3-133
See: Managing Ad-hoc variable Compensation, Payroll Deductions, Event Registrations
and Non-Payroll related Information, page 3-137
See: Awarding Ad-hoc Variable Compensation: Example, page 3-137
Administrators and HR Professionals
Compensation and Awards Management 3-131
Administrators can view and update compensation details, and control action items
such as, putting compensation on hold for a participant until the action item is
completed, override employee eligibility, view transaction history, control action items,
and use element entry forms.
Below is a graphic representation of task flow associated with an administrator and a
HR professional..
See: Administrators and HR Professionals, page 3-134
See: Employee Administration Interface, page 3-135
See: Configure Plans, Manage Eligibility, Transactions, and Action Items, page 3-136
See: Plan Administration using Quick Setup, page 3-136
3-132 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Line Managers and Employees
As a line manager, you can use ICD to allocate adhoc rewards to employees within your
reporting hierarchy such as lump-sum bonuses, spot bonuses, company stocks, and
special allowances for cars and house rent. You can award such compensation at any
time of the year. You can also update and delete compensation details entered into the
application.
As an employee, you can use ICD to self-enroll into company specific reward programs
like tenure gifts and travel allowance. You can also enroll in company stock purchase
plans by specifying a payroll deduction, or contribute to a company-supported charity
plan.
As a self-service manager, you can do the following using ICD:
• Enter compensation details in multiple input values associated with an element in a
compensation plan.
• Flexibly use the entire or a partial list of predefined input values associated with an
element.
• Grant multiple compensation (same or different types) awards to an employee
within a single transaction on the same or different dates.
• Update and delete active and future compensation awards. For example, update
compensation amount, change the effective dates or entirely delete the award, and
indicate a distribution end date for a recurring compensation within the same
transaction it is awarded.
• Review compensation details and submit for approval.
Menu and Function Names
You can access this module from the following menus and functions:
User Menu Name Function Name
Manager Self Service Individual Compensation Distributions
Employee Self Service Individual Compensation Distributions
See: Manager and Employee Self Service Interface, page 3-133
See: Managing Ad-hoc variable Compensation, Payroll Deductions, Event Registrations
and Non-Payroll related Information, page 3-137
See: Awarding Ad-hoc Variable Compensation: Example, page 3-137
Compensation and Awards Management 3-133
Manager and Employee Self Service Interface
The user interfaces for manager and employee includes the following four pages:
• Overview page
• Details page
• Review page
• Confirmation page
Overview Page
The Overview page is the first page that the ICD application displays. As a manager
you must select a person in your reporting hierarchy before starting a compensation
action in ICD. You can award new compensation and update or delete an existing
compensation. It is possible to perform multiple compensation actions such as create,
update and delete, within the same transaction starting on this page.
The table on this page displays active and future element entry records for an employee
as well as compensation records from temporary storage that are not yet submitted for
processing or approval or have been submitted but suspended or awaiting approval.
This table will filter compensation plans based on plan types specified in the menu
function.
Note: Element entries in this table for a person may originate from
sources other than ICD.
Details Page
When you click the Award Compensation button or the Update icon in the Overview
page, the application displays the Details page. You can select the compensation plan
type and enter related details on this page. You can additionally specify a start and end
date for a recurring compensation to indicate the distribution period. For a one-time or
non-recurring compensation, you must enter only the start date.
Note: If you enter the Details page in Update mode, you cannot change
the plan and option.
You can refer to the embedded instructions that are configured at the Plan level that the
application displays on selecting the Plan.
If you click the Apply button, the application transfers and displays the entered
information as a new record on the Overview page.
Review Page
The Review page displays all values including dates from the Details page. You can
3-134 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
enter the Review page by clicking Next on the Overview page.
On this page, you can submit data for further processing by clicking the Submit button.
If approval is configured for a transaction, on clicking the Submit button, the
application sends the data for approval. If approval is not configured, the data is
directly written into payroll element entries.
Approvers view the review page as part of notifications. When the transactions are in
the approval process, the application displays their status as Pending Approval in the
Overview page. On approval, the applications displays the corresponding element
entry record on the Overview page with the status as Applied. If transactions need
further information, then the approval process sends notifications to lower levels in the
hierarchy, with the status remaining as Pending Approval. If transactions are rejected,
then ICD notifies the lower levels in the hierarchy and these transactions are not
displayed as part of ICD.
Confirmation Page
This page displays the confirmation message after you review and submit transactions.
See: Managing Adhoc variable Compensation, Payroll Deductions, Event Registrations
and Non-Payroll related Information, page 3-137
See: Awarding Adhoc Variable Compensation: Example, page 3-137
Administrators and HR Professionals
As an HR professional or an administrator, you can perform the same tasks as line
managers but with additional capabilities using Individual Compensation Distributions
(ICD). You can manage and modify all transactions in the application, manipulate
action items, and override the eligibility of a person. You can take decisions on
transactions that are pending approval, or suspended because of required action items.
Additionally, you can override the eligibility or ineligibility date of a person to
accommodate unique business scenarios.
As an administrator, you can do the following using ICD:
• Configure the input value validation based on value sets, data types, minimum,
maximum and default, lookups, and fast formula.
• Configure element entry flexfields to capture compensation-related information for
an employee. For example, you can capture compensation justification in a flexfield
during the transaction and store it as part of the employee element entries
• Use the default input values as a fixed value or use a fast formula.
• Search for employees.
• View, update, and delete element entries that do not originate from ICD.
Compensation and Awards Management 3-135
• Control action items for compensation plans. For example, you can put
compensation on hold for a participant until the action item is completed.
See: Employee Administration Portal, page 3-135
See: Configure Plans, Manage Eligibility, Transactions, and Action Items, page 3-136
See: Plan Administration using Quick Setup, page 3-136
Menu and Function Names
You can access this module from the following menus and functions:
User Menu Name Function Name
HR Professional Individual Compensation Distributions for
Administrators
Employee Administration Interface
As an administrator, you must use the Employee Administration interface to manage
pending transactions, override employee eligibility, view transaction history, control
action items, and use element entry forms
The Employee Administration interface includes the following four tabs on the
Employee Administration page:
• Plan Participation
• Pending Transactions
• Action Items
• Eligibility
Plan Participation Tab
This tab displays employee element entries linked to compensation plans with any
status. You can view compensation plan details such as plan name, plan type, and plan
category. You can view element entry details such as element type, name of the element
type, recurring or non-recurring element, element start date and end date, and the
linked element entry. Additionally, you can view the element entry history.
Pending Transactions Tab
This tab displays incomplete transactions initiated from self-service pages. Pending
transactions are categorized into Saved, Pending Approval and Suspended transactions.
Action Items Tab
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On this tab, you can view action times linked to plans. Use this tab to complete pending
transactions, reopen completed transactions and delete transactions.
Transaction Page
You must use the Transaction page from the Actions Item tab to modify transactions.
You can modify updatable input values, date and justification.
To manually unsuspend a transaction that is suspended, use the Unsuspend button.
Eligibility Tab
You can evaluate employee eligibility to Compensation Plans and Options based on the
various parameters.
See: Configure Plans, Manage Eligibility, Transactions, and Action Items, page 3-136
See: Plan Administration using Quick Setup, page 3-136
Configure Plans, Manage Eligibility, Transactions, and Action Items
As an administrator, you can perform a number of tasks related to compensation plans
such as configure plans, manage pending transactions, override employee eligibility,
view transaction history, and control action items.
To manage plan administration from the Employee Administration page:
1. Create plan types, plans and options and standard rates using Quick Setup. See:
Plan Administration using Quick Setup., page 3-136
2. Navigate to the Employee Administration page and use the Plan Participation,
Pending Transactions, Action Items, and Eligibility tabs to perform the applicable
tasks. See: Employee Administration Interface., page 3-135
Plan Administration using Quick Setup
Oracle recommends you to use Quick Setup to configure a basic compensation plan
after elements are setup.
Using Quick Setup, you can quickly and efficiently set up new compensation plans
based on the definition of an element type and edit existing plans. Setting up
compensation plans creates options; plan types, rates, element types, element links,
eligibility profiles, standard rates, action items, plan enrollment requirements,
communications, and formula.
To setup compensation plans for an element, do the following:
1. Launch the Quick Setup function from the ICD Setup page.
2. Enter the effective date in the Effective Date field.
Compensation and Awards Management 3-137
3. Specify the applicable plan to link to the element. You can link an existing plan or
create a new plan and link it to the element.
4. Choose the appropriate option, if necessary.
5. Click Create to create the plan.
The plan table displays information such as element type, plan, option, plan type,
and plan type ID. The application displays the plan type ID for each plan type as a
reference point for administrators, as it is necessary for the plan type ID to be
specified in the employee or manager menu functions to filter compensation plans.
Managing Adhoc variable Compensation, Payroll Deductions, Event
Registrations, and Non-Payroll related Information
As a self service manager, you can award ad-hoc variable compensation such as
bonuses and employee payroll deductions, enrollment or registration of events and
non-payroll related information.
To award adhoc variable compensation:
1. Create compensation plans for employees using the Administrator responsibility
and Quick Setup. See
lan Administration using Quick Setup., page 3-136Note: You can also create compensation plans using form from the
Professional User Interface.
2. Access the Manager Self Service Interface using the Manager Self Service
responsibility and award adhoc variable compensation. See:Awarding Adhoc
Variable Compensation: Example, page 3-137
Awarding Adhoc Variable Compensation: Example
You can award adhoc variable compensation such as bonus and payroll deductions,
enrollment or registration of events, and non-payroll related information to your
employees.
Below is an example on how you can award a bonus to your employee. Consider a
situation where you want to award $2000 bonus to Blair Palmer.
Note: You must follow the same steps to award other adhoc variable
compensation such as payroll deductions, enrollment or registration of
events, and non-payroll related information.
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Complete the following steps to award a bonus to your employee
1. Using the Manager Self Service responsibility, on the ICD: People page, select Blair
Palmer from the reporting hierarchy.
2. Click the Action icon against Blair Palmer's name.
3. On the Overview page, click the Award New Compensation button.
4. On the Details page, select the compensation type as Bonus, and fill-in the
applicable compensation details and click the Apply button.
Note: To award other adhoc variable compensation, select the
appropriate compensation type.
The Overview page displays the transaction details in a tabular format.
5. Click the Next button to enter the Review page. On this page, you review the
proposed compensation details, view the approver, and enter comments.
6. Click the Submit button to submit the compensation proposal. You will receive a
confirmation message on the Confirmation page.
Compensation and Awards Management 3-139
Compensation History
Compensation History
Compensation History refers to groups of historical data. You can view groups such as
Salary History, Bonus History, Stock Option History, Other Compensation History,
Ranking History, Performance Rating History, and Job History. The compensation
category you define for standard rates in Individual Compensation History and
Compensation Workbench determine the history group to which the elements belong.
HR Professionals and Managers use Compensation History to view employee
information from a single page in Compensation Workbench (CWB) and Individual
Compensation Distribution (ICD).
Employees use Compensation History to view their information from a single page in
ICD.
Based on the responsibility used to log in to Self-Service Human Resources, certain
sub-tabs are visible to HR Professionals and Managers, and not to Employees.
HR Professionals and Managers can view information about all compensation awarded
and transactions made to an employees record - historical, current and pending from all
assignments. You can view information such as salary changes, bonuses, basic or
extended stock options, monetary compensation grouped by year, ranking assigned to
the employees based on number of employees ranked and rank quartile, jobs, and
details of other non-monetary compensations given to an employee. You can also view
performance information, such as rating types and actual ratings, for the employees in
their security group. In addition, managers can also view in-progress transactions.
Employees can view information such as salary changes, bonuses, basic or extended
stock options, monetary compensation for a single year period, their job details such as
name, date of the job change, position, grade, people group, and reason for the job
change, and details of other non-monetary compensations received.
See: Compensation History Views, page 3-140
You can configure any of the history groups to show or hide them.
Note: You can personalize the views at the Function, Localization, Site,
Organization, and Responsibility level. The Responsibility level
personalization enables you to configure manager and employee views
to display different sub-tabs and columns.
See: Personalizing Sub-tabs for Compensation History, page 3-148
See: Seeded Hidden Columns, page 3-144
3-140 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Compensation History Setup
During implementation, Compensation Administrators use the Oracle HRMS
professional user interface to define an additional standard rate so that Compensation
History is available for ICD.
In addition, they set up a Plan Type, a Plan, and a Standard Rate with activity type of
Additional History Element. They associate the element and input value to the
Additional History Element standard rate to ensure that Compensation History
displays details of those elements entered from the Element Entries window.
Compensation Administrators set up the following to view Compensation History from
ICD:
• Standard Rate with activity type Additional History Element, and status Inactive
Compensation Administrators also set up the following to ensure that details of
elements entered from the Elements window display in Compensation History:
• Plan Type
• Plan with a status Inactive – used only to display history of element entries created
outside ICD or CWB.
• Standard Rate with activity type of Additional History Element.
See: Setting Up Compensation History, page 3-146
Also See: Compensation History Menu and Function Names, page 3-144
Security Features
Security features in Oracle HRMS ensure that managers view ranking assigned only by
those managers within their security profile. In addition, while managers can view
ranking, and in-progress transactions, employees do not have access to view this
information.
Compensation History Views
When you use the HR Professional or Manager responsibility to log into CWB or ICD,
you can view the compensation and ranking information for employees on a single
page.
If an employee has only one open assignment, you can view details for that assignment.
However, if the employee has multiple open assignments, select the assignment from
the list to view history details for the selected assignment. If you do not select an
assignment, the system displays the details of the primary assignment.
The views that you see may differ because the system displays some information (but
not all) by default. You can personalize other information to display.
Compensation and Awards Management 3-141
See: Seeded Hidden Columns, page 3-144
You can view compensation history for employees based on:
• Salary: In this sub-tab, you can view details of all compensations that belong to
either the Salary Proposal in the Salary page or the CWB Worksheet Amount
Standard Rate. The system displays each change in salary in a single row. If there is
a change in the components of the salary, you can view the sum total of each
component. The amounts are based on the employee's pay basis.
The following table describes some important details you can view as part of the Salary
sub-tab:
Label Displayed Detail for Status - In
Progress
Displayed Detail for Status -
Process/Approved
Date In Progress Effective date of salary change
Change Amount Change Amount (in pay basis) Change Amount (in pay basis)
Change Percent
Change amount as a % of starting
salary
New Salary
Starting salary plus change amount
Frequency Pay Basis Pay Basis
Currency Plan currency Element input value currency code
• Bonus Sub-tab: In this sub-tab, you can view compensation details for plans with a
plan type Compensation Category of Comp - Bonus. The system displays each
bonus in a single row. If you itemize a bonus, you can view all components of the
bonus.
The following table describes some important details in the Bonus sub-tab:
Label Displayed Detail for Status - In
Progress
Displayed Detail for Status -
Processed
Date In Progress Non-recurring - effective end date
of element
Recurring - effective start date of
element - effective end date, or
Ongoing
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Label Displayed Detail for Status - In
Progress
Displayed Detail for Status -
Processed
Description Element reporting name or element
name
Element reporting name or element
name
Frequency Activity Reference Period of plan Per Pay Period
Currency Element input value currency code Element input value currency code
• Stock Option Sub-tab: This sub-tab displays compensation details for plans with a
plan type Compensation Category of Comp - Stock. Based on how you configure
the application, a manager can view either the Basic Stock Option History or the
Extended Stock Option History.
Note: When you configure the application to show Extended Stock
Option History, the data that is displayed is from an outside party,
it is not tied to a Comp - Stock category plan.
In the Basic Stock Option view, you can view details such as the date, description,
number of shares, grant price enrollment rate amount , grant value, and currency.
In the Extended Stock Option view, you can view details such as grant name,
number, type, shares, and price; value at grant; current outstanding shares; market
value; gain; vested market value; exercisable shares, market value, gain; exercised
gain; cancelled shares; reason code; and class. You can also view details based on
the estimated market price per stock that you enter.
• Compensation by Year Sub-tab: This sub-tab displays details - organized by the
year - about salary changes, bonuses, stock options, and other monetary forms of
compensation.
Note: This sub-tab does not include details of in progress
transactions, recurring entries or non-monetary forms of
compensation.
• Ranking Sub-tab: This sub-tab displays only when you log in using the manager
responsibility. It displays ranking details by managers within your security group.
Rankings are correlated with salary, bonus, and stock option plans, and CWB plans
that belong to the category Comp - Other.
• Performance Sub-tab: This sub-tab displays only when you log in using the
manager responsibility. It displays the rating type, the rating, and the date of the
Compensation and Awards Management 3-143
rating for the selected employee. Performance ratings may be related to salary,
bonus or stock option plans, and plans that belong to the category Comp – Other.
• Job Change Sub-tab: This sub-tab displays details of job changes for the selected
employee. You can view the date of the change, the job, the grade, the people
group, and the change reason.
• Other Sub-tab: In this sub-tab, you can view all monetary and non-monetary
awards that do not belong to the Salary, Bonus, and Stock Options sub-tabs. This
sub-tab displays compensation details for plans with a plan type Compensation
Category of either of the following - Comp - Allowance; Comp - Gift/Service
Award; Comp - Other; or Comp - Company Car.
The following table describes important details you can view in the Others sub-tab:
Label Displayed Detail
Date Non-recurring - effective end date of element
Recurring - effective start date of element -
effective end date, or Ongoing
Description Element name
Amount Distribution amount
Frequency Non-recurring - Once
Recurring - Plan's activity reference period
Units Monetary - Element input value currency code
Non-monetary - Non-monetary UOM of
associated rate
When you use the employee responsibility to log into ICD, you can view all the details
that you can view when you log in using the manager responsibility with the following
exceptions:
• Ranking sub-tab
• Performance sub-tab
• In-progress transactions
3-144 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Compensation History Menu and Function Names
Compensation History enables managers to view compensation and ranking
information of employees in their security group from Compensation Workbench and
Individual Compensation Distribution.
Compensation History also enables employees to view their compensation information
from Individual Compensation Distribution.
See: Compensation History, page 3-139
Menu and Function Names
This module can be accessed from the following menus and functions:
User Menu Name Function Name
Manager Self-Service Individual Compensation Distribution
Manager Self-Service Compensation Workbench
Employee Self-Service Individual Compensation Distribution
Configurable Tips and Instructions
Region Column Name Message Name
HistoryContent Instructions BEN_93424_COMP_HISTORY_INSTR
BenHistoryComp
ByYearRN
TipComp BEN_93436_HSTRY_COMP_BY_YR_TIP
BenHistoryExtend
edStockRN
Tip BEN_93430_HSTRY_EXT_STK_TIP
Seeded Hidden Columns
Compensation and Awards Management 3-145
Column Name Displayed Detail
Salary Sub-tab
Annualized Starting Salary Starting Salary (in annual basis)
Annualized Change Amount Change Amount (in annual basis)
Annualized New Salary New Salary (in annual basis)
Bonus Sub-tab:
Plan Name Name of Plan corresponding to
Bonus
Basic Stock Option Sub-tab:
Plan Name Name of Plan corresponding to
Stock Option
Extended Stock Option Sub-tab:
Grant Date Date of grant
Current Option Price Current price of the option
Vested Shares Total number of vested shares
Unvested Shares Total number of shares not vested
Unvested Market Value Value of the unvested shares
multiplied by the market price
Unvested Gain Unvested shares multiplied by the
Grant Price minus the unvested
market value
Trading Symbol Trading Symbol used by the
organization
Expiration Date Date of expiry of the unvested
shares
3-146 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
See: The Personalization Framework, Oracle HRMS Deploy Self-Service Capability Guide
Setting Up Compensation History
As a Compensation Administrator, you need to configure some additional details so
that processed ICD transactions are visible in Compensation History.
You need to create an additional Standard Rate for the ICD Plan whose history you
want displayed. This ensures that all occurrences of these element entries are visible in
the history.
In addition, you need to set up a Plan Type, a Plan, and an additional Standard Rate to
ensure that entries created from the Element Entries window, are visible in the
Compensation History.
See the following topics for more information on how to set up Compensation History:
1. Setting Up Compensation History for ICD Plans, page 3-146
2. Setting Up Compensation History for Entries Created from Element Entries, page 3-
146
Setting Up Compensation History for ICD Plans
As the Compensation Administrator, you set up Compensation History for ICD Plans.
To ensure that processed ICD transactions are visible in compensation history, you need
to configure an additional standard rate for the ICD plan whose history you want to
display. This ensures that all occurrences of these element entries are visible in history.
To set up an additional standard rate:
1. Select Inactive as the Status.
2. Select Additional History Element as the Activity Type.
3. If you selected an Element for the ICD rate, select the same Element here.
4. If you selected an Input Value for the ICD rate, select the same Input Value here.
5. Choose the Calculation Method tab, and select No Standard Value Used as the
Calculation Method.
See: Defining Activity Rates for a Standard Contribution/Distribution, page 5-146
Setting Up Compensation History for Entries Created from Element Entries
As the Compensation Administrator, you can set up Compensation History to display
information for entries created from the Element Entries window. For example, you can
Compensation and Awards Management 3-147
view information about commissions and automobile allocations in the Others sub-tab.
To do this, you must set up a Plan Type, a Plan, and an additional Standard Rate.
Note: The system uses the following Plan Type and Plan to process the
entries.
To configure this, use the following guidelines:
To create a Plan Type:
1. Enter a Name for the Plan Type. For example, History Bonus, History Stock, or
History Others.
2. Select Compensation Workbench or Individual Compensation Distribution as the
Option Type.
Note: You require to select either of these to ensure that the system
processes these entries.
3. Select the most appropriate Compensation Category. This determines the sub-tab
on which the compensation history will appear.
See: Defining a Benefits Plan, page 1-97
To create a Plan:
1. Enter a Name for the Plan. For example, History Bonus, History Stock, or History
Other.
2. Select Inactive as the Status.
3. Select the Plan Type you defined earlier.
See: Defining a Benefits Plan, page 1-97
Note: Ensure that you also set up Plan Enrollment Requirements and a
Standard Rate before you proceed further.
See: Defining Plan Enrollment Requirements, page 3-121
See: Defining Activity Rates for a Standard Contribution/Distribution, page 5-146
To create an Additional Standard Rate:
1. Enter a Name for the Rate. For example, History Bonus, History Stock, or History
Other.
3-148 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
2. Select Plan as the Level.
3. Select the Plan you defined earlier as the Compensation Object.
4. Select Additional History Elements as the Activity Type.
5. Select the Element you want displayed on the history page.
6. Select the Input Value you want displayed on the history page.
Note: You can add multiple rates under the same plan if you have
multiple element types.
See: Defining Activity Rates for a Standard Contribution/Distribution, page 5-146
Personalizing Sub-tabs for Compensation History
You can personalize Compensation History to configure multiple and different views
for managers and employees. You can hide or rename sub-tabs, and the columns within
these sub-tabs. You can also use Personalization to restrict visibility of data on the
Stock, Bonus and Other tab. For instance, you can restrict managers from viewing
employee savings plan contributions, retirement plans, or the charitable contributions,
and restrict employees from viewing certain awards. You can configure the plans that
are available to display to a user to do this.
To hide or rename sub-tabs in Compensation History:
1. Navigate to the Compensation History page.
2. Click Personalize Region in the top right corner of the page.
3. Select the Personalization Level and click Next.
4. In the Create/Update Personalization page, select the Name of the personalization
level and click Next.
5. In the Create View page, expand the BEN_COMP_HISTORY_PAGE or the
Worksheet History Page list.
6. Click the arrow next to the BenHistorySubTabs link to show the list.
7. Select the sub-tab you want to hide or rename, and click the arrow to show the link.
8. In the General Properties region, enter a name in New Label to rename the sub-tab.
Alternatively, to hide the sub-tab, delete the contents in New Label.
Compensation and Awards Management 3-149
9. Click Apply to apply the personalization.
To restore a hidden sub-tab in Compensation History:
1. Follow steps 1 – 6.
2. Click the arrow next to the sub-tab you want to restore.
3. Click Delete in the Create View page.
Note: If the personalization page contains a hidden sub-tab, the
sub-tab's text link on the tree displays the technical name of the
subgroup. For instance, if you hid the Bonus sub-tab, the link will
appear as BenHistoryBonusRN.
To restrict access to plans for employees or managers:
1. Follow steps 1 – 6.
2. Click the arrow next to the sub-tab you want to display.
3. Click BenHistorySubtabNameDetailsTblRN
4. In the Search Query to Filter Data in Table region, specify the conditions required
for the tab to display the data. If you do not define any conditions, then all
information on the sub-tab will be visible to both managers and employees.
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Total Compensation Statement
Total Compensation Statement Overview
You can create Total Compensation Statements to communicate compensations,
rewards, and benefits to your employees and contingent workers. They can use this
statement to view their total compensation for a specified period, often one year,
through an easy-to-use self-service interface.
This topic provides an overview of what you can do using Total Compensation
Statement.
Since compensation and benefits packages differ from enterprise to enterprise, you can
configure statements based on your enterprise requirements. You can display employer
and employee costs or contributions for different types of compensation including
earnings, bonuses, taxes, stock options, benefits, savings and retirement, perquisites,
time-off, and so on. You can display information from various sources, including Oracle
Payroll, third party payrolls, element entries, rules (formulas), and payroll run results.
See: Key Decision Areas in Total Compensation Statement, page 3-151
You can design different statements for different groups of employees and generate
statements as often as you require. You can create variations of statements by
duplicating and modifying a statement setup. Your statements evolve as your
compensation packages evolve. You can add new items or categories to existing
statement setups so that the next time you generate statements, the new compensation
offerings display.
See: Setting Up Total Compensation Statement, page 3-154
See: Processing and Reporting for Total Compensation Statements, page 3-159
As a compensation administrator, or an HR professional, you can view employee
statements before you make the statements available to employees. By previewing
statements, you can ensure that the information effectively communicates the
compensation, rewards and benefits you provide.
As an administrator, you can print statements for groups of employees at a single time.
The enhanced printing ability enables you to efficiently print and distribute Total
Compensation Statements to employees who do not have online access.
See
rint Employee Statements, page 3-161See:Generating Employee Statements, page 3-160
Presentation is key, and Total Compensation Statement enables you to add graphs and
links to additional information. Using a rich text editor, you can compose a welcome
message that greets employees when they view their statements. Employees can print a
PDF of the statement and view it at their convenience.
Compensation and Awards Management 3-151
Prerequisites
There are certain prerequisites to using Total Compensation Statement:
• You should have implemented Salary Administration - this is essential to ensure
that your employees' rate of pay displays on the Total Compensation Overview
Page.
• If you map compensation items to element entries, then you must assign each
employee to a payroll.
• The payroll to which you assign employees must have valid pay periods if your
total compensation statement includes element entries.
Key Decision Areas in Total Compensation Statement
Before you set up Total Compensation Statement for your enterprise, you need to make
some key decisions to establish an outline of the statement you want to present to your
employees. This topic gives you an insight into the key decision areas. This topic also
explains the key concepts you will use to set up Total Compensation Statement for your
enterprise.
Key Concepts in Total Compensation Statement
Statement Period - The period of time for which Total Compensation Statements
display compensation. Statements display compensation distributed from the period
start day through the period end day.
Compensation Source - The source from which Total Compensation Statement obtains
a particular compensation detail, such as element entries or benefits balances. The
following diagram illustrates the sources available:
You create compensation items that map to these compensation sources.
For more information on Third Party Payroll Backfeed, see:
Oracle Generic Third Party Payroll Backfeed, Oracle HRMS Implementation Guide
3-152 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
For information on Rules for Total Compensation Statement, see: Oracle FastFormula
Reference Guide for Standard and Advanced Benefits My Oracle Support Note ID
218059.1
Compensation Item - A mapping to a one-time or recurring instance of a compensation
source, such as a specific element input value, benefit balance, or rule (FastFormula).
Compensation Category - A group of compensation items. You can define
subcategories within a compensation category, for example, a cash compensation
category with subcategories bonus and salary.
Key Decision Areas in Total Compensation Statement
• How do you intend to organize the statement? Decide on the structure of the
statement and the items you want to display to different groups of employees. You
can also decide on the statement period, display graphs, and add links to
supplemental information you want to provide. In addition to web-based
statements, the application creates pdf statements using XML Publisher.
You can customize the predefined XML Publisher template to suit your business
requirements. You use XML Publisher to duplicate the template and download the
new template. You use a rich text editor to customize the new template. After you
make your changes, you use XML Publisher to upload your template to make it
available for use in Total Compensation Statement.
You can search for and locate the default BENTCSRPT.rtf template in XML
Publisher. To do this, search for the template with the template code BENTCSRPT.
When you duplicate the default template, you must give the new template a
template code that begins with BENTCSRPT, for example, BENTCSRPT2.
Download the new template and customize it as required.
Note: You can alter only the header and footer information, the
order in which you display the fields are displayed, and make
changes to the font color, font size, and background. After
uploading the customized template, you must assign an end date to
the default template, as only one template can be active at any
given time.
For information on customizing the template, see: Viewing and Updating a
Template in the Oracle XML Publisher User's Guide.
• What specific information do you want to display on the statement? Decide on the
compensation items to include within the statement. You need not recreate
compensation items for each different statement you set up. You can reuse the
compensation items you create across different statements.
• How do you want to group compensation items into categories and subcategories?
Decide on the main categories and subcategories to display on the statement. You
need not recreate compensation categories and subcategories for each different
Compensation and Awards Management 3-153
statement you set up. You can reuse the compensation categories and subcategories
you create in more than one statement.
• What do you want to display on the Overview page that you present to your
employees? Decide on the information you want to display to employees - for
example, monetary, non-monetary, and time-off information. You can also decide
on the welcome message that displays on the first page of employee statements.
The following diagram depicts the three main steps in the business process and how
they map onto the specific setup steps, which are outlined in a separate topic.
See: Setting Up Total Compensation Statements, page 3-154
Total Compensation Statement (SSHR Components)
This topic provides you details of items you must configure for Total compensation
Statement and items you can personalize for display in Oracle Self-Service HR. For a
full functional description of Total Compensation Statement, see Total Compensation
Statement Overview, page 3-150
Menu and Function Names
You can access Total Compensation Statement from the following menus and functions:
User Menu Name Function Name
Employee Self Service Total Compensation Statement Welcome Page
3-154 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
User Menu Name Function Name
HR Professional Total Compensation Statement Employee
Search Page
Administrator TCS Launchpad page
See: Defining Menus for SSHR, Oracle HRMS Configuring, Reporting, and System
Administration Guide
Configurable Profile Options
Total Compensation Statement uses the following configurable profile options:
Profile Configurable Levels Values
Ben: TCS Maximum Number
of Statement Periods
All Levels Positive Integer
Setting Up Total Compensation Statement
To set up Total Compensation Statements, you need to follow the steps outlined in this
topic. The steps depict a typical setup. However, you can modify the examples based on
your business needs. All steps are mandatory, except the defining eligibility profiles
and composing the welcome page steps. You must complete all the mandatory steps
before you generate statements for employees to view.
Before you set up Total Compensation Statements, you should have:
• Decided upon the information you plan to include in the statements for example,
salary, bonuses, medical benefits, dental benefits, stock options and so on.
• Identified the source of data for the information. For example, a Payroll Costing
entry associated with a particular element-input value, an element-input value, a
Compensation Item Rule formula that you create, a benefits balance, a third party
payroll entry associated with a particular element-input value and so on.
• Decided how to group the information. These groups of information are the
compensation categories. Ensure you group similar items into categories - for
example, monetary and non-monetary.
• Decided if you want to further group information into sub-groups. These are the
sub-categories. Employees can view details of these sub-categories on the
statement.
Compensation and Awards Management 3-155
To set up Total Compensation Statements:
1. Define the statement name to identify the statement for future use. For example,
Benefits for Salaried Workers. This name does not appear on the statement that
employees view. You must define a statement before you can perform any of the
other steps.
2. Define the Overview Sections, such as Cash Compensation, Benefits, and Savings
and Retirements. This task governs the sections that display on the Overview page
that employees view. Choose from Monetary, Non-Monetary, and Time-Off as the
compensation types for these sections. You can create as many sections as you
require for your statement. You must complete this step before you can add details
for the Overview sections.
Note: Employee statements display table totals and charts only for
monetary sections.
3. Define the details for the Overview sections. Add the compensation items and
compensation categories you want to display here. For example, define Payroll
Costing as a compensation item and cash compensation as a category with bonus
and salary as subcategories. When you add compensation categories to the section,
all subcategories for the category are also associated with the section. When you
add compensation categories and compensation items to an Overview section, you
must ensure that they are of the same compensation type. For example, you cannot
add a monetary compensation category or compensation item to a Non-Monetary
section.
Note: You cannot add categories to time off sections.
Note: You can create compensation items and compensation
categories before defining any of the other steps. For example, you
can create compensation items, compensation categories, and then
create the statement setup. You can reuse compensation items and
categories across different statements.
4. Define statement periods for which Total Compensation Statements display the
compensation information. For example, 01-Jan-2005 to 31-Dec-2005. You can
choose the date when statements for a statement period are available to your
employees. You can also select the date the application uses to calculate the
exchange currency rates.
Enter the Available to Employees date to indicate the date when statements
covering a period are available to your employees. If you do not specify this date,
then the statements are not accessible to your employees.
3-156 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Note: A statement displays amounts in a single currency. This is
the employee's preferred currency, their pay basis currency, or the
business group currency. The application obtains exchange rates
from the GL Daily Rates table. If you do not specify an exchange
rate date, then the application uses the exchange rate in effect on
the Interim Statement End Date or on the Statement Period End
Date. The Interim Statement End Date is the end date of an interim
statement that covers part of a statement period. You can enter an
Interim Statement End Date to create interim statements in the
Generate Employee Statements batch process.
5. Optionally, select the Eligibility Profile to limit the statement to a select group of
employees. For example, select Full Time to limit your statement to salaried full
time employees only. You can also create or update eligibility profiles.
Note: If you maintain multiple versions of an eligibility profile,
effective on different dates, then the Generate Employee Statements
batch process uses the version that is in effect on the Interim
Statement End Date or on the Statement Period End Date.
6. Optionally, compose a welcome page using the rich text editor. Employees see this
page when they access their statements. You can insert substitution fields to
personalize your welcome message.
7. Review and complete your statement set up.
8. Updating Statements
The following table summarizes the changes you can make to a statement setup
after generating it, and whether the changes are reflected in the statements that you
have already generated.
Note: You must rerun the Generate Employee Statements process
before your changes display in the pdf statements.
Task Action Impact on Already
Generated
Web-Statements
Define Statement Update all details Yes
Compensation and Awards Management 3-157
Task Action Impact on Already
Generated
Web-Statements
Define Overview Sections Add:
•
New sections
Update:
•
Section names that
appear on the employee
statements
•
Display of employee
contributions
•
Chart and chart
measures that appear in
the monetary sections
•
The order in which
sections display on the
statement overview
page
Add
•
N/A
Update
•
Yes
•
Yes
•
Yes
•
Yes
•
Yes
Define Overview Section
Details
Add:
•
Categories and
compensation items
Update:
•
The order of section
contents
•
Display names
•
Delete any categories
and compensation
items you added after
generating the
statement
Add
•
N/A
Update
•
Yes
•
Yes
•
Yes
3-158 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Task Action Impact on Already
Generated
Web-Statements
Compensation Categories Add
•
Add sub-categories and
compensation items
Update
•
Category name
•
Order of category
contents
•
Display names
•
Chart types and
measures
•
Additional information
link details
Add
•
N/A
Update
•
N/A
•
Yes
•
Yes
•
Yes
•
Yes
Compensation Items Update
•
Compensation Item
Name
•
Denote as estimated
amount
Update
•
N/A
•
Yes
Compensation and Awards Management 3-159
Task Action Impact on Already
Generated
Web-Statements
Define Statement Periods Add:
•
Add statement periods
Update:
•
Display names
•
The date when
statements are available
to employees
•
A statement period to
make it unavailable to
employees
•
The exchange rate date
Add
•
N/A
Update
•
Yes
•
Yes
•
Yes
•
Yes
Compose Welcome Page
•
Always display the
welcome page to
employees
•
Enable employees to
hide the welcome page
•
Hide the welcome page
•
Change the salutation
and the welcome page
text
Yes
Processing and Reporting for Total Compensation Statements
Once you have set up Total Compensation Statements for your enterprise, you can run
the following processes:
1. Generate Employee Statements Process Use this process to generate Total
Compensation Statements using a statement setup and period you defined.
See: Generating Employee Statements, page 3-160
3-160 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
2. Print Employee Statements Use this process to generate statements for groups of
employees at a single time.
See: Print Employee Statements, page 3-161
3. Purge Employee Statements Process Use this process to purge Total Compensation
Statements for the statement and period you select.
See: Purging Employee Statements, page 3-162
4. Reopen Welcome Page Process Use this process to reset the welcome page. If you
configured your setup to enable employees to hide the welcome page, then this
process clears employees' selections to hide the welcome page.
See: Reopening Welcome Pages, page 3-163
5. Batch Process Run Reports Use this report to view details of all batch processes
you run.
See: Running the Batch Process Run Reports, page 3-164
Generating Employee Statements
Use the Generate Employee Statements process to create total compensation statements
using a statement setup and period you defined. If statements for a period already exist,
then the process purges and recreates them irrespective of whether the statement is an
interim or complete statement.
You can also generate statements for a group of employees by selecting the appropriate
criteria and parameters.
To generate an employee statement:
1. Select a Statement Name on the Generate Employee Statements: Select Statement
and Period page.
Note: The list displays only those statements that are complete.
2. Select a Statement Period. This is the period for which you generate the statement.
3. Optionally, enter an Interim Statement End Date. Use this date to create a statement
that covers a part of the statement period. For example, if your statement period is
01-Jan-2006 to 31-Dec-2006 and you enter an interim statement of 31 April 2006,
then the generate employee statement process creates a statement that covers the
period between 01-Jan-2006 and 31-April-2006. If you do not select an interim
statement end date, then the application creates a statement for the statement
period.
4. Click Continue
Compensation and Awards Management 3-161
5. On the Generate Employee Statements: Select Parameters and Submit page, select
the Run Mode:
• Rollback - Database will not be updated
• Commit - Database will be updated
By default, the process runs in the Rollback mode.
6. Select Yes or No from the Audit Log list. This parameter indicates if the application
should create an audit report when running the process. By default, the process
does not create an audit report.
7. In the Select Criteria to Generate Statements section, select the Generate Statements
For Employees In All Business Groups option to generate statements with the same
name and period across all business groups.
Otherwise, click the Generate Statements for Selected Employees option and enter
the applicable parameters to generate statements for selected employees.
8. Click Submit to generate the employee statement.
Print Employee Statements Process
Use the Print Employee Statements process to print statements for groups of employees.
Note: Ensure that you run the Generate Employee Statement process
before printing employee statements.
To Print Employee Statements:
1. Select a statement name on the Print Employee Statements: Select Statement Period
page.
2. Select the period for which you want to print the statement.
3. Click Continue
4. On the Print Employee Statement: Select Parameters and Submit page, select the
Print Statements of Employees in all Business groups option and enter the
appropriate parameters to print statements with the same name and period across
business groups.
Otherwise, select the Print Statements only for Selected Employees option to print
statements for a particular employee.
5. Click Next.
3-162 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
6. In the Print Employee Statements: Select Print Options page, enter the appropriate
print options.
7. Click Submit.
Purging Employee Statements
Use the Purge Employee Statements process to purge total compensation statements for
the statement and period you select.
To purge an employee statement:
1. Select a statement name on the Purge Employee Statements: Select Statement and
Period page.
2. Select a Statement Period. This is the period for which you purge the statement.
3. Click Continue
4. On the Purge Employee Statements: Select Parameters and Submit page, select the
Run Mode:
• Rollback - Database will not be updated
• Commit - Database will be updated
By default, the process runs in the Rollback mode.
5. Select Yes or No from the Audit Log list. This parameter indicates if the application
should create an audit report when running the process. By default, the process
does not create an audit report.
6. Select Yes or No in the All Business Groups list. This parameter indicates if the
process should purge total compensation statements that were generated from
statement setups of all business groups that have the same statement name and
period you select. To use this, you should have defined statement setups with the
same statement name and statement period dates for all of your business groups.
7. Select a specific person to run the process for an individual employee.
Note: If you select Yes in the All Business Groups list, then you
cannot run this process for an individual employee.
8. Click Submit.
Compensation and Awards Management 3-163
Reopening Welcome Pages
Use the Reopen Welcome Page process to reset the Total Compensation Statement
welcome page. If you configured your setup to enable employees to hide the welcome
page, then this process clears employees' selections to hide the welcome page.
To run the reopen welcome pages process:
1. Select a statement name on the Reopen Welcome Page: Select Statement and Period
page.
2. Select a Statement Period. This is the period for which you reopen the welcome
page for the statement.
Note: If multiple statements are available to employees, and if you
generated statements using different statement setups, then the
welcome message that displays is that of the statement with the
most recent end date, start date, and available date.
3. Click Continue
4. On the Reopen Welcome Page: Select Parameters and Submit page, select the Run
Mode.
• Rollback - Database will not be updated
• Commit - Database will be updated
By default, the process runs in the Rollback mode.
5. Select Yes or No from the Audit Log list. This parameter indicates if the application
should create an audit report when running the process. By default, the process
does not create an audit report.
6. Select Yes or No in the All Business Groups list. This parameter indicates if the
process should reopen the welcome page for total compensation statements that
were generated from statement setups of all business groups that have the same
statement name and period you select. To use this, you should have defined
statement setups with the same statement name and statement period dates for all
of your business groups.
7. Select a specific person to run the process for an individual employee.
Note: If you select Yes in the All Business Groups list, then you
cannot run this process for an individual employee.
3-164 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
8. Click Submit.
Total Compensation Statements Batch Process Run Reports
Use this report to view details of the batch processes you run.
To view the batch process run reports:
1. On the Total Compensation Setup Wizard page, select Total Compensation
Statement as the Business Area Selection to display the Launchpad page.
2. Click Batch Process Run Reports on the Launchpad page.
3. The Requests page displays. You can view details of your requests including the
status and the mode in which you ran the process.
4. Click the Summary Report icon to view the summary report for the selected
request, including:
• The business groups for which you ran the process
• The eligibility profile for which you ran the process
• The setup evaluation for the process
• The number of eligible persons for the process
• The number of persons processed
• The number of persons that processed with errors
• The number of persons without reportable compensation
5. Click the Audit Report icon to view the Audit Report. You can view the request
details and other details that include:
• Total Eligible Persons
• Total Persons with Statements Created
• Total Persons with Errors
• Total Persons without Reportable Compensation
• Total Assignments Evaluated
• Total Statements Created
Compensation and Awards Management 3-165
• Total Assignments With Errors
• Total Assignments Held
• Total Assignments Without Reportable Compensation
Note: If the application encounters errors while processing a
person's assignment, then the application will not process the
person's other assignments. The Total Assignments Held field
displays the number of assignments the application did not
process.
In addition to total counts, this report also displays details of all eligible people
processed and whether or not the process was successful for each of these
persons.
6. Click the Error Report icon to view the error report for the process. The details you
can view on the Error Report page are:
• The request details
• Total Persons With Errors
• Total Assignments With Errors
7. Click the View Log icon to view the log for the process.
3-166 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Vehicle and Mileage Processing
Vehicle Repository
In the vehicle repository, you can store details of company vehicles and private vehicles
used for business purposes. This information is datetracked so that you can record
changes to the vehicle - such as its status (active or inactive) - over time. Storing this
data in a repository removes the need for repetitive and error-prone data entry.
Use Oracle SSHR to record vehicle repository information in the Vehicle Repository
Page. The vehicle repository information includes:
• Registration number
• Make and model
• Registration date
• Engine capacity
• List price and value of optional accessories fitted initially and added later
• Fiscal rating
• Status, and reason for Inactive status
• Whether the vehicle can be allocated to multiple users
• For Russian users only:Vehicle Category, mileage/fuel limits, usage schedule, and
lease details.
• For Russian users only:Extra information about vehicle insurance details
Note: You can enter multiple insurance details for the same vehicle.
• For Polish users only: Vehicle-card identification number, engine number,
inspection dates, and additional, user-defined technical information about the
vehicle
You can import company vehicle information from a car fleet management system,
storing a fleet identifier and date transferred on each vehicle record.
Vehicle Allocation
Use Oracle SSHR to allocate vehicles to your employees so they can be used in
Compensation and Awards Management 3-167
employee mileage claims (UK and Poland) or Benefit in Kind processing (Ireland). You
can allocate two types of vehicles : company and private.
• You can allocate one primary company vehicle to each employee, and as many
additional company vehicles as your business rules allow.
• You can allocate as many private vehicles as your business rules allow. You mark
one vehicle as the default.
Business rules are held in the PQP_CONFIGURATION_VALUES table. See:
Configuration Settings for Vehicle Repository and Mileage Claims, page 3-168
When you allocate a vehicle, you can override some of the configuration settings for
your business group.
You can record a vehicle against a single assignment, or against all of an employee's
assignments.
You can allocate vehicles from the Vehicle Repository page.
When you move the mouse over the Users icon, you can view the user details in a
pop-up window.
Vehicle Repository Menu and Function Names
The Vehicle and Mileage Processing module enables managers to add vehicles to the
repository in Oracle SSHR. You can add details of company and private cars, and
allocate vehicles to employees.
UK users can use this module to enter their mileage claims in Oracle SSHR.
Menu and Function Names
You can access this module from the following menus and functions:
User Menu Name Function Name
Vehicle Repository Vehicle Repository
Vehicle Mileage Claims Vehicle Mileage Claims
Workflow
The workflow details for this module are listed below:
Workflow Process Display Name:
Private Vehicle Allocation
3-168 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Configurable Workflow Attributes:
Not applicable
Workflow Process Display Name:
Vehicle Mileage Expense
Configurable Workflow Attributes:
Not applicable
Configuration Settings for Vehicle Repository and Mileage Claims
Global and localized configuration settings provide the appropriate defaults for your
business groups. You can add this information using the Configuration Values Page.
Select the Vehicle Mileage module and the Configuration Type Vehicle Mileage Generic
Information to view, update or delete data for your business group.
Global and Localization Settings
This table displays the localization settings available.
Column Segment Meaning Global UK Ireland
LEGISLATIO
N_CODE
Legislation
Code
- -- GB IE
PCV_INFOR
MATION_C
ATEGORY
Vehicle and
Mileage
Settings
- PQP_VEHIC
LE_MILEAG
E
PQP_VEHIC
LE_MILEAG
E
PQP_VEHIC
LE_MILEAG
E
PCV_INFOR
MATION1
Calculation
Method
Proration or
Exhaustive--d
etermines
how you
apply
mileage band
limits across
payroll
periods. You
can override
this default
when you
allocate
vehicles or
enter claims.
-- Exhaustive Null
Compensation and Awards Management 3-169
Column Segment Meaning Global UK Ireland
PCV_INFOR
MATION2
Maximum
Company
Vehicles
Allowed
Limit on the
number of
company
vehicles that
can be
allocated to
an
assignment
-- 2 Null
PCV_INFOR
MATION3
Maximum
Private
Vehicles
Allowed
Limit on the
number of
private
vehicles that
can be
allocated to
an
assignment
-- -- Null
PCV_INFOR
MATION4
Share
Company
Vehicle
Yes means
that the
vehicle can be
shared by
several
employees.
No means the
vehicle
cannot be
shared.
Y N Y
PCV_INFOR
MATION5
Share Private
Vehicle
Yes means
that the
vehicle can be
shared by
several
employees.
No means the
vehicle
cannot be
shared.
Y Y Y
3-170 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Column Segment Meaning Global UK Ireland
PCV_INFOR
MATION6
Previous Tax
Year Claim
Valid Until
All claims for
previous tax
year must be
submitted
before the
date entered.
The year in
the date is
ignored.
-- 5 July Null
PCV_INFOR
MATION7
Allow Both
Company
and Private
Vehicles
Claims
No means
that you
cannot
allocate both
company and
private
vehicles to an
employee at
the same
time, nor
submit mixed
claims.
Y N N
PCV_INFOR
MATION8
Search
Criteria for
Rates Table
The default
(%) means
that the Rates
Table list of
values
displays all
user defined
tables. To
restrict the
list, use a
naming
convention
for mileage
rate tables.
For example,
include the
word "car" in
all names and
enter %car%
in this field.
% % %
Compensation and Awards Management 3-171
Column Segment Meaning Global UK Ireland
PCV_INFOR
MATION9
Validate
Private
Vehicle
Claims in
Repository
Yes means
that you can
only enter
claims
against a
vehicle
already
assigned to
the employee
in the
repository.
No means
that you can
enter a claim
against a
vehicle that is
not in the
repository.
Y N N
PCV_INFOR
MATION10
Vehicle
Claims
Correction
Period in
Days
An input of
30 would
mean that
only those
claims that
have a claim
date within
the last 30
days could be
corrected.
-- -- Null
PCV_INFOR
MATION11
Use Sliding
Rates
Yes means
you use the
sliding rates
table for
additional
passengers.
No means
you use the
rates table
instead of the
sliding rates
table.
-- PQP_VEHIC
LE_MILEAG
E
--
3-172 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Column Segment Meaning Global UK Ireland
PCV_INFOR
MATION12
Combine
Taxable and
NonTaxable
Claims
Yes means
you combine
taxable and
non-taxable
balances to
calculate
rates. No
means you
do not
combine
taxable and
non-taxable
balances to
calculate
rates.
-- PQP_VEHIC
LE_MILEAG
E
--
Leave and Absence Management 4-1
4
Leave and Absence Management
Leave and Absence Management Overview
Employees take paid or unpaid time off from work for a variety of purposes, such as
illness or injury, vacation, labor or trade union representation and professional
activities. Maintaining information on employee absences for reporting and analysis is
an important aspect of human resource management. Oracle HRMS provides a
convenient way to maintain information about the various absence types your
enterprise recognizes.
Managing Absence Information
In Oracle HRMS you can define as many absence types as you need to track employee
time off, and you can group these types into categories and define absence reasons to
provide further information for absence reporting.
You can associate each absence type with a recurring or nonrecurring absence element.
Each element has an input value with either hours or days as its unit of measure.
You can also set up absence benefit plans so that the Participation process checks
employee eligibility for the plans when it processes absence life events.
See: Absence Categories and Types, page 4-6
Using SSHR, employees can enter their own absence, and managers can enter or view
absences for their employees. HR Managers can also enter absence records, or you can
upload absence information from timecards using Batch Element Entry.
Note: If you use OTL absence integration, then you cannot create or
update the absence type from Self-Service or HR if a timecard exits for
that time period in OTL and the application displays an error.
Employees can view their accrued leave details, and managers can view the same for
employees in their team
4-2 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
See: Accrual Balances Maintained by SSHR, page 4-71
See: How do we track and analyze absences and net accrual entitlement: Leave and
Absence Management, page 4-3
See: Self Service Entry of Absences, page 4-55
See: Leave and Absence Management: Self-Service Functionality, Oracle HRMS Deploy
Self-Service Capability Guide
In the UK, there is government legislation regarding the payment of employees during
periods of sickness, maternity, paternity and adoption leave (SSP, SMP, SPP and SAP).
These requirements are handled by the Statutory Absence Payments feature of Oracle
HRMS.
Managing PTO Accruals
Many organizations permit employees to accrue hours or days of paid time off (PTO) as
they work, to use for sick or vacation leave. In such enterprises, setting up and
maintaining PTO plans is another part of absence management.
In Oracle HRMS you can set up any number of accrual plans, each with its own units of
accrued time (hours or days) and its own rules. For example, you can set up rules for
the frequency of accruals, maximum carryover to a new accrual year, accrual bands,
eligibility rules for enrolling in a plan, and accrual start rules for new hires.
Oracle Human Resources users can use PTO accrual plans; this functionality does not
require Oracle Payroll.
See: Accrual Plan Structure, page 4-24
Reporting on Leave and Absence Management
Oracle HRMS and Oracle HRMSi supply several reports to track absences and analyze
absence trends in your enterprise. For example, you can use the Absences Report to
track the absence details for an employee or organization, for some or all absence types.
See: Leave and Absence Management -- Reports, Oracle HRMS Configuring, Reporting,
and System Administration Guide
Key Concepts
To enable you to get the most out of the Absence Management and PTO Accruals
functionality, you need to understand the following key concepts:
• Absence Categories and Types, page 4-6
• Absence Elements, page 4-8
• Absence Recording, page 4-55
Leave and Absence Management 4-3
• Accrual Plan Administration, page 4-57
• Accrual Plan Structure, page 4-24, including elements, formulas, and the net
accrual calculation rules
• Accrual Balances Maintained by the Payroll Run, page 4-29
• Accrual Start Date for New Hires, page 4-40, and ineligibility period rules
• Accrual Bands, page 4-42, for determining accrual amounts and ceilings
• PTO Carry Over Process, page 4-43
Leave and Absence Management
Flexibility is the keynote of Oracle's approach to absence management and PTO accrual
plans. You set up the rules that define how you record absences, who is entitled to paid
leave of each type, and how much time can be taken.
Can I define which types of absence I want to track and the units of time in which they
are recorded?
Yes, you can define as many types of absence as you require, and assign them to
categories for ease of reporting. You can also define reasons for absence, to provide
additional reporting information. For example, the category might be "family leave," the
type might be "maternity," and the reason might be "birth." Each absence type can be
recorded in days or hours.
What about study leave and other absence types that are not available to all employees?
You can control which groups of staff are eligible to take absences of each type.
Absences are recorded on element entries. By linking the element to organizations, jobs,
grades, employment categories, or other assignment components, you control who can
take each absence type.
How do I record absences?
You can use Batch Element Entry (BEE) to make entries of absence elements, and other
timecard data. You can record the number of days or hours absent, and any other
information you have designed the element to hold (such as absence reasons). If you
use Oracle Time & Labor, or another time entry application, you can send timecards to
BEE using the API.
Alternatively, employees can enter their own absences through self-service, or their line
managers can do this for them. These absence records can be submitted for approval
before they are recorded in Oracle HRMS.
4-4 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
You can also use the Absence Detail window to enter proposed or actual absences, and
to see the effect of the absence on any corresponding PTO accrual plan.
How do absence types relate to PTO accrual plans?
Each accrual plan is associated with one absence element (and hence one absence type).
Each entry of time off reduces the net accrual on the plan. You can also associate any
number of other elements with a plan and determine how entries to these element affect
the accrual calculation. This is useful for recording time bought or sold, or unused PTO
brought into a new plan on enrollment.
What rules govern PTO accrual plans in Oracle HRMS?
A few types of accrual plan are seeded with the system. However, accrual plan rules
vary from enterprise to enterprise, and country to country. Oracle HRMS provides you
with the flexibility to define your own plan rules. Here is just a selection of the rules
you can set up:
• The length of the accrual term (often one year), and the start date, which may be
fixed (such as 1 January) or vary by employee (such as the anniversary of the
employee's hire date). Some plans have no start date, but always calculate accruals
for the previous 12 months (or other length of time).
• The frequency of accrual, such as monthly, or once each pay period. In other plans,
employees receive their full entitlement up front, at the beginning of the accrual
term.
• The amount of accrual and any ceiling on the amount that can be held. These
figures may be fixed or vary by length of service, grade, time worked, or other
factors.
• What happens to unused PTO at the end of the accrual term.
• Rules for part time employees, and for employees with suspended assignments
• Rules for new hires, including when they can begin accruing PTO and when they
can begin to use it.
How do we track and analyze absences and net accrual entitlement?
When you enter an absence you can see, at the employee level, how much absent time
of the same type has already been recorded for the employee. If the absence affects net
entitlement in a PTO accrual plan, you can see current and projected entitlement figures
for the plan. In another window, you can view a full absence history for an employee.
Across all employees, you can view absences of a certain type or category, within a
specified time period. Using the Absences Report, you can track absences of one or
Leave and Absence Management 4-5
more types for employees in each organization.
Employees can view their own accrual balance on the web using Self Service, and line
managers can do the same for all the employees they manage.
See:Accrual Balances Maintained by SSHR, page 4-71
See: Leave and Absence Management:Self-Service Functionality, Oracle HRMS Deploy
Self-Service Capability Guide
4-6 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Absence Management Setup
Absence Categories and Types
Oracle HRMS provides a convenient way to maintain information about the various
absence types your enterprise recognizes. To facilitate reporting and analysis of
employee absences, you can distinguish between absence types and absence categories. An
absence category is a group of related absence types.
Some absence categories may be predefined for your legislation. The table below
contains examples of absence categories and types, for illustration purposes only. You
can extend the list of predefined categories and define your own absence types, as
required.
Example Absence Categories and Types:
Absence Category Absence Type
Medical Leave Illness or Injury
Work-related Injury
Work-related Illness
Medical Appointment
Family Leave Paid Maternity/Paternity
Unpaid Maternity/Paternity
Dependent Care
Personal Leave Compassionate Leave
Personal Business
Professional Leave Certification Classes
Meeting Attendance
Also, to assist with absence reporting and analysis, you can provide reasonsto select
from when recording employees' time taken for an absence type. For example, if you
Leave and Absence Management 4-7
need information to analyze the particular family-related responsibilities that cause
employees to miss work, you can define reasons for absence types as follows:
Example Absence Category, Types and Reasons:
Absence Category Absence Type Absence Reasons
Family Leave Paid Maternity/Paternity Birth of a child
Adoption of a child
Dependent Care Child Care
Elder Care
Disabled Care
Setup of Absence Types
Setting up each absence type is essentially a two-step process. One step involves
defining the type, that is, entering its name, and optionally selecting a category and
reasons for it. The other step involves defining an element to associate with the type.
This element serves two important purposes:
• It provides a way to maintain a running total of time taken for the absence type. The
Absence Detail window shows the running total of absences with an end date
before the effective date, and with an absence duration on record. Each absence can
add to, or subtract from, the running total, depending on how you define the
absence type.
• It provides a way to restrict employee eligibility for the absence type. The links you
build for the element establish which employees are eligible to use the type.
For example, if the absence type compassionate leave is available only to full time
employees, you link its element to the assignment category Full Time.
To hold a single running total of time taken for two or more absence types, you
associate all the types with the same absence element. For example, your absence
category Personal Leave may include two absence types you need for certain reporting
purposes, Compassionate Leave and Personal Business. However, you require just one
running total to be kept of employees' time taken for both types of personal leave. In
this case you simply associate both absence types with the same absence element.
Note: If you want to use absence types without recording accrued totals
or eligibility rules, you can define the type with no associated element.
4-8 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Absence Elements
You can associate each absence type with a recurring or nonrecurring absence element.
Each element has an input value with either hours or days as its unit of measure.
Using a Nonrecurring Element
Nonrecurring element entries are valid for one payroll period. When you enter an
absence of a type associated with a nonrecurring element, the application creates an
element entry for the period in which the absence start date falls. For example, if you
enter an absence that starts on 4 May for someone on a monthly payroll, the entry is
dated 01 May to 31 May.
The entry is only created when you enter the absence end date, and you must enter the
absence duration at the same time. The duration can be defaulted if you set up an
absence duration formula. The full value of the absence duration is recorded in the
absence element entry, even if the end date falls outside of the payroll period.
Using a Recurring Element
Important: This option is only available if you use Oracle Payroll and
the Proration functionality is enabled in your localization.
UK Users: If you use the Statutory Absence Payments feature you must continue to use
nonrecurring elements to record long term sick leave.
Use this approach if you want to begin processing absences before end dates are
recorded. You do not enter absence duration on the recurring element entry. Instead,
you use a payroll formula to calculate the absence duration to be processed in each
payroll period. Use the absence duration formula to calculate the duration displayed on
the Absence Detail window. This value is deducted from the current PTO accrual when
you enter an end date for an absence type that is associated with a PTO accrual plan.
Recurring element entries start on the absence start date and end on the absence end
date (if there is an end date). If the absence ends in the middle of a payroll period, the
payroll run detects and processes the absence using the proration functionality.
Absence Balance Information
When you define an absence type, you specify whether the application should maintain
an increasing balance, a decreasing balance, or no balance of time off. The balance isa
running total of the hours or days an employee has taken for the absence type, as
recorded in the Duration field.
Leave and Absence Management 4-9
Increasing Balances of Time Taken
As you would expect, an increasing balance for an absence type starts with no time
entered, and increases as you enter employees' hours or days absent. For example, if the
absence type Compassionate Leave has an increasing balance, the balance starts from
zero for each employee and increases by the number of hours entered for each absence
of this type.
Increasing balances are appropriate for most absence types. For absence types for which
your enterprise sets a maximum time allowed, the system issues a message when an
entry of time absent exceeds this maximum, or Oracle Alert can notify you when an
employee reaches the maximum time or takes excess time.
See: Oracle Alert User's Guide
When defining an absence type for a PTO accrual plan, you give it an increasing balance
that shows the employee's accrued time taken. When you record an absence using the
Absence Detail window, you can see the amount of accrued time a plan participant has
available for use as vacation or sick leave.
Decreasing Balances of Time Remaining
If your enterprise sets a maximum time allowed for an absence type, you have the
option of setting up a decreasing balance for this type, instead of an increasing balance. (If
the absence type is used for a PTO accrual plan, it is simpler to use an increasing
balance and an accrual formula that records an up-front accrual amount.)
For example, suppose your enterprise allows certain employees 32 hours leave per year
for professional development. The Professional Leave absence type can have a
decreasing balance, and an initial entry of 32 hours.
If you record an employee absence of 4 hours for this absence type, the decreasing
balance shows 28 hours still available to be taken.
Decreasing absence balances require more maintenance than increasing balances. They
need a prorated initial balance entry for all eligible new hires throughout the year, and
require resetting each year for all eligible employees.
Notice that an absence type cannot have both a decreasing and an increasing balance; it
has one or the other.
Initializing an Absence Balance
You can initialize or adjust an absence balance using the Element Entries window, or
the Element Entry API. You can also initialize a decreasing balance by entering a
negative value using BEE. For example, if you enter -16 hours using BEE, a decreasing
balance starts at 16 hours. However, be aware that using BEE creates an absence record
that will show on employees' absence history.
4-10 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Referencing Absent Time in Payroll Runs
You can define an absence element as an Information element or an Earnings element.
Using an Information Absence Element
If you define an Information absence element, you can use a recurring Earnings element
to manage the calculation and payment of vacation and sick pay. When you define the
absence element, you check the Database Item box for the input value that holds the
absence balance. Entries to this input value then become database items that formulas
for payroll calculations can access.
US Users: You will typically set up your absence elements in the Information
classification for employees who do not submit timecards (Timecard Required = No on
the Statutory Information tab of the Assignment window). If you are using the seeded
Regular Salary or Regular Wages elements, the payroll run creates indirect results for
the seeded Vacation Pay or Sick Pay elements when it finds absence entries in the
Vacation or Sickness categories. These elements appear on the Statement of Earnings,
but the Information elements do not. You do not need to set up any additional absence
Earnings elements for these employees.
Other localizations: Typically, you define an Earnings element to have a skip rule that
triggers processing when it finds an entry for the absence element. The element's
payroll formula uses the database item for the entry value so that it automatically gets
the sum of all the entries in the pay period. Then, using the salary database item to get
the salary or hourly rate, it calculates the total absence pay for the period. You can also
use the formula to reduce regular earnings for the period so employees do not get paid
twice.
The advantage of this approach is that it simplifies the processing of absence payments
into one calculation.
Using an Earnings Absence Element
Select the Earnings classification for absence elements if you want to process absences
individually in each payroll period. You can use these elements with Oracle Time and
Labor. This approach creates a one-line entry on the statement of earnings for each
absence type. Typically, you would create nonrecurring Sick and Vacation Pay earnings
elements. You can also create different absence elements for each rate or multiple of pay
if the element must appear on the statement of earnings as a different line item.
US Users: For employees who do submit timecards (making entries in BEE to the Time
Entry Wages element), you can create your absence elements as Earnings. This also
applies if you do not use the seeded Regular Salary and Regular Wages elements, and
you want your absence payment to show on the Statement of Earnings. Use the
Earnings window to initiate the element. Select the Category Regular and check the
Reduce Regular box.
Leave and Absence Management 4-11
Retrospective Entries and Adjustments
Oracle Payroll users: If you enter or update an absence retrospectively, or you delete an
absence that started in the past, these changes are listed in the Retro Notification report
the next time you run this report. This enables you to use RetroPay to correct any
payroll processing.
Setting Up Absence Management
Use the following steps to set up absence management.
1. If you want to associate recurring elements with absence types, you must set up
proration and retro notifications. This ensures that absences that end in the middle
of a payroll period are detected and processed by the payroll run, and that
retrospective changes to absences are recorded in the Retro Notifications report.
Note: Proration is available to Oracle Payroll users in selected
localizations only.
To set up proration and retro notifications, you must:
• Find all the dynamically generated triggers for the table
PAY_ELEMENT_ENTRIES_F in the Dynamic Trigger Definition window. (You
must deselect the Insert triggering action so that all the triggers are returned by
the Find.) Make sure the Generated and Enabled check boxes are checked for all
the continuous calculation triggers.
• Query the Incident Register functional area in the Functional Area Maintenance
window, and enter the business groups for which you want to enable proration
on the Business Group tab. Optionally, you can further secure the proration
functionality by selecting payrolls on the Payroll tab.
• Use the Table Event Group window to group the two events that you need to
detect to prorate absences - datetracked updates to absence start date and
absence end date. Select Proration for the event group type, and Payroll Period
for the proration period. In the Datetracked Events region, select DateTrack
Update as the update type, PAY_ELEMENT_ENTRIES_F as the table, and
EFFECTIVE_START_DATE and EFFECTIVE_END_DATE as the columns.
• Use the Table Event Group window to group the datetracked events on the
PAY_ELEMENT_ENTRIES_F table you want to track in the Retro Notifications
report. The event group type is Retro.
See: Setting Up Proration and Retro Notifications, page 7-25
2. Define an absence element, with at least one input value, for each absence type.
4-12 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Link this element to define who is eligible.
See: Defining and Linking an Absence Element, page 4-13
Note: Omit this step if you are setting up an absence type for which
you do not need to maintain a running total of time taken or
remaining, and you do not need eligibility rules.
US and Canada Payroll only: If you want to process the absence
element in the payroll run, generate it using the Earnings window.
Mexico only: If you want to process the absence element in the
payroll run, generate it using the Element Design Wizard.
3. Define categories of absence types as values for the Lookup Type
ABSENCE_CATEGORY, and your absence reasons as values for the Lookup Type
ABSENCE_REASON. In some legislations there are predefined categories and
reasons.
You can select the same reason for different absence types.
See: Adding Lookup Types and Values, Oracle HRMS Configuring, Reporting, and
System Administration Guide
4. Define each absence type, and associate it with an absence element.
See: Defining an Absence Type, page 4-15
Note: To keep a single record of employees' time taken for two or
more different absence types, you can associate the same element
with several types.
5. For an absence type with a decreasing balance, use BEE or the Absence Detail
window to initialize the absence balances for employees eligible for the type.
If you want to make batch entries, see Making Batch Element Entries Using BEE,
Oracle HRMS Configuring, Reporting, and System Administration Guide.
6. If you defined a recurring element, create a payroll formula that handles proration
to process the element and calculate the appropriate absence duration in each pay
period (taking into account the number of days or hours in a month, working and
shift patterns, public holidays, and so on).
Sample Proration Formulas, Oracle HRMS FastFormula User Guide
7. If you want to set up the application to calculate the duration of an absence
automatically, you have two options:
• Set the HR: Schedule Based Absence Calculation profile option to Yes, if you
Leave and Absence Management 4-13
want the application to use the worker's schedule and calendar events from
their primary assignment to calculate absence durations. To use this option, you
must first define schedules and calendar events that are relevant to your
enterprise and assign them to various levels in your work structures.
See: Setting Up Availability , Oracle HRMS Workforce Sourcing, Deployment, and
Talent Management Guide
• To calculate absence duration from the absence start and end dates without
using the schedules and calendar events information of an employee, create a
basic formula. If you want the absence duration calculation to update
automatically each time you change the absence dates, you must set the profile
option HR: Absence Duration Auto Overwrite to Yes.
See: Writing Formulas to Calculate Absence Duration, Oracle HRMS
FastFormula User Guide
Defining and Linking an Absence Element
Define an absence element in the Element window.
US and Canada Payroll only: If you want to process the absence element in the payroll
run, initiate it on the Earnings window instead of using the Element window.
Mexico only: If you want to process the absence element in the payroll run, initiate it
with the Element Design Wizard instead of using the Element window.
Spain only:If you want to compute the social security earnings you must use the
predefined elements for Sickness Details, Maternity Details, Part-time Maternity Details,
Pregnancy-at-Risk Details and Adoption Details.
To define an absence element:
1. Set your effective date to a day on or before the start of the first payroll period for
which you want to enter absences.
2. Enter a name for the element, and select the classification Information or Earnings.
Tip: Give the absence element and its absence type the same name,
or coordinate the element name with the type name. For example,
for the absence type Compassionate Leave, name the element
Compassionate Leave or Compassionate Leave Absence.
3. Enter a reporting name, for display on reports.
4. If you are creating a recurring absence element, select your absence element event
group in the Proration Group field. This field is only available to Oracle Payroll
4-14 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
users in certain localizations.
5. Select the processing type.
• Select Recurring if you want to be able to process absences that do not have an
end date and you want to apportion absence time correctly across payroll
periods.
Note: You can only select Recurring if you use Oracle Payroll and
the Proration functionality is enabled for your localization. (In this
case, you should see the Proration Group field on the Element
window)
• Select Nonrecurring if it is acceptable to record the full duration of the absence
in the payroll period in which the absence starts.
6. Select the termination rule. This is normally Actual Termination.
7. Check the Multiple Entries Allowed box if you want to enable employees to have:
• (Nonrecurring) More than one instance of the absence type within a pay period.
• (Recurring) Overlapping entries of the absence.
8. If this is an absence element for a PTO accrual plan, do not select Process in Run.
Uncheck this box if necessary.
If the element is recurring, ensure that the Process in Run box is checked so that the
absence duration can be calculated by the payroll run.
9. If employees must be a certain age or have served for a certain number of years to
be allowed this absence, enter this information in the Qualifying Conditions region.
Note: If this is an absence element for a PTO accrual plan, the plan
setup relates length of service to accrued time off. Do not make an
entry here for length of service.
10. Save the element, then choose the Input Values button.
11. In the Input Values window, create an input value to hold the amount of time
taken. Select units of Day, Hours in HH format, or Hours in Decimal Format (to
one, two, or three decimal places).
If you are defining an absence element for a PTO accrual plan, give the input value
the name Hours or Days, to accord with the unit of measure of the plan. When you
define the plan using the Accrual Plan window, this input value name appears in
Leave and Absence Management 4-15
the Units field of the Absence Information region.
Important: If you select Required for an input value, you must
select this input value on the Absence Attendance Type window.
Do not select Required for more than one input value.
New Zealand users only: You must also create the following input values:
• Seasonal Shutdown - for Annual Leave and Annual Leave Termination
elements
• Number of complete weeks - for the Special Leave and Protected Voluntary
Service Leave elements.
12. You can define minimum and maximum days or hours that can be entered in an
absence record. If you do this, select what happens if these limits are breached:
• Select Warning for the system to warn users but allow them to breach the limits.
• Select Error for the system to issue an error message and prevent users from
saving an entry that breaches the limits.
13. Save your work.
To link the absence element:
1. Set your effective date to a day on or before the start of the first payroll period for
which you want to enter absences.
2. In the Element Link window, select the absence element you defined.
3. Select eligibility criteria for this absence element, if appropriate. If you want to
make the element available to all employees, do not select any criteria.
4. Save the link. Then define the absence type associated with this absence element.
See: Defining an Absence Type, page 4-15
Defining an Absence Type
Use the Absence Attendance Type window to define an absence type and associate it
with an element.
To define an absence type:
1. Enter a name and category for the absence type.
4-16 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Tip: Give the absence type and its associated element the same
name, or coordinate the type name with its element name. For
example, name the absence type for a PTO accrual plan Salaried
Sick PTO Plan, and its associated element, Salaried Sick PTO
Absence.
2. Select Allow Absence Overlaps if absences of this type can overlap other absences.
If you deselect this option, the application warns you if you enter an absence that
overlaps another absence of any type.
3. In the Associated Element region, select the element defined for this absence type.
Select the element's input value that holds days or hours. The unit of measure for
the input value appears in the Units region.
4. In the Balance region, select Increasing if you want each absence entry to add to a
running total of time taken to date. The running total covers all absence types
associated with the selected element. Select increasing balances for absence types
for PTO accrual plans, and for most other absence types.
For absence types that have a set maximum amount of hours or days allowed, you
may select Decreasing. In this case, each absence recorded reduces an initial balance
to show time remaining to be taken for the type.
Note: Decreasing balances require more maintenance. You must
enter an initial balance amount for each new hire eligible for the
absence type, and must initialize the balance for all eligible
employees at the start of each year.
5. Optionally, select reasons that are valid for entries of this type of absence.
6. Save the absence type.
Setting Up an Absence Benefit Plan
You can set up absence benefit plans so that the Participation process checks employee
eligibility for the plans when it processes absence life events. You set up participant
eligibility profiles to determine which absence categories or types are valid for each
plan. Both Standard and Advanced Benefits users can set up absence benefit plans.
Tip: Use the same effective date, such as 01 Jan 1951, for all your
definitions
UK Users only: There are sample plans provided for Occupational Sick Pay and
Occupational Maternity Pay, called PQP OSP Plan and PQP OMP Plan. You can copy
Leave and Absence Management 4-17
these plans using Plan Design Copy and configure them to meet your needs. If you are
not using the sample plans, see: Creating Your Own Absence Plan, page 4-19.
Using the Sample Plans
To set up an absence benefit plan using a sample plan:
1. Set the BEN:Enable Absence Plans Functionality profile option to Yes for the users
or responsibilities who will enter absences for absence benefit plans, if you want
them to run the Participation Process to process the absence life events. This
displays the Enroll Absences button on the Absence Detail window.
See: System Profile Values Window, Oracle Applications System Administrators Guide
2. In the Submit Requests window, select the process Plan Design Copy - ImportIn the
Data File parameter, enter the file pqgbgapl.ldt, which is located at
patch/115/import/us in Product Top: PQP.
See: Importing a Plan Design From a File, page 1-123
3. Use Plan Design Copy to copy the imported plan. In the Process Name field, enter
PQP GB OSP/OMP Absence Plan.
See: Copying a Program or Plan, page 1-119.
Tip: First make a copy of the seeded plan in your business group
without entering any prefix or suffix for your copy. Select the first
option on the Enter Target Details page, which is "Reuse existing
objects if current name exists in the target." Then you can make
further copies of this copy to configure your plans. When you make
further copies, you can select the same option if you want plans to
share objects, such as eligibility profiles, or you can select the
option "Reuse existing objects if new name exists in target".
4. Write or configure any formula rules you require, such as the following:
Important: The formulas attached to the sample plans are for UK
users only. In other legislations, you must create your own
formulas.
4-18 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Rule Formula Type Supplied Examples (UK
Only)
Eligibility rule Participation Eligibility PQP_OSP_PARTICIPATIO
N_
ELIGIBILITY_PROFILE_OT
HER_RULE
PQP_OMP_PARTICIPATIO
N_
ELIGIBILITY_PROFILE_OT
HER_RULE
Person Change Person Change Causes Life
Event
PQP_GB_BEN_ABSENCE_S
TART_LER_
PERSON_CHANGE_RULE,
PQP_GB_BEN_ABSENCE_E
ND_LER_
PERSON_CHANGE_RULE,
PQP_GB_BEN_ABSENCE_
DELETE_LER_
PERSON_CHANGE_RULE
Extra Input Rule Extra Inputs PQP_OSP_STANDARD_RA
TES
_GENERAL_EXTRA_INPU
T_RULE
PQP_OMP_STANDARD_R
ATES
_GENERAL_EXTRA_INPU
T_RULE
Length of service rate Length of Service
Calculation
PQP_OSP_STANDARD_RA
TES
_CALCULATION_METHO
D_VALUE_RULE
PQP_OMP_STANDARD_R
ATES
_CALCULATION_METHO
D_VALUE_RULE
See: Total Compensation Formula Types, Oracle HRMS FastFormula User Guide
5. Ensure you have Program/Plan years set up.
See: Defining a Program or Plan Year Period, page 1-115
6. Select the appropriate Person Changes for the three absence life event reasons,
Leave and Absence Management 4-19
created by the Plan Design Copy process. There is one life event reason for each Life
Event Operation Code: Start Event, End Event, Delete Event.
Note: You only perform this step once. You use the same life event
reasons for all your absence plans.
• The Start Absence life event reason must detect changes to any columns except
the end date. Use the Person Change formula rule you created in step 4 to
define the columns you want to use to trigger this life event.
UK users: You must attach the PQP_GB_BEN_ABSENCE_
START_LER_PERSON_CHANGE_RULE formula to the absence start life event
• You can also use formula rules to define the person changes that trigger the
End Absence and Delete Absence life events too.
See: Life Event Definition, page 5-61
7. Query the absence plan in the Plans window, and change the status from Pending
to Active. Choose the Details button and select your plan periods.
See: Defining a Benefits Plan, page 1-97
You have completed the plan setup based on a seeded plan, but make sure you
complete the Next Steps, page 4-23.
Creating Your Own Absence Plan
To set up an absence benefit plan without using the sample plans:
1.
Set the BEN:Enable Absence Plans Functionality profile option to Yes for the users
or responsibilities who will enter absences for absence benefit plans, if you want
them to run the Participation Process to process the absence life events. This
displays the Enroll Absences button on the Absence Detail window.
See: System Profile Values Window, Oracle Applications System Administrators Guide
2.
Write or configure any formula rules you require, such as the ones shown in the
following table.
Note: UK users: If you want to use the supplied formulas, you must
run the following scripts:
• PQPGBLER.SQL script to create the life event formulas
• PQPGBOSP.SQL script to create the OSP formulas
• PQPGBOMP.SQL script to create the OMP formulas
4-20 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Rule Formula Type Supplied Examples (UK
Only)
Eligibility rule Participation Eligibility _OSP_PARTICIPATI
ON_
ELIGIBILITY_PROFILE_OT
HER_RULE _OMP_PARTICIPATI
ON_
ELIGIBILITY_PROFILE_OT
HER_RULE
Person Change Person Change Causes Life
Event
PQP_GB_BEN_ABSENCE_S
TART_LER_
PERSON_CHANGE_RULE,
PQP_GB_BEN_ABSENCE_E
ND_LER_
PERSON_CHANGE_RULE,
PQP_GB_BEN_ABSENCE_
DELETE_LER_
PERSON_CHANGE_RULE
Extra Input Rule Extra Inputs _OSP_STANDARD_R
ATES
_GENERAL_EXTRA_INPU
T_RULE _OMP_STANDARD_
RATES
_GENERAL_EXTRA_INPU
T_RULE
Length of service rate Length of Service
Calculation
_PQP_OSP_STANDA
RD_RATES
_CALCULATION_METHO
D_VALUE_RULE _PQP_OMP_STAND
ARD_RATES
_CALCULATION_METHO
D_VALUE_RULE
See: Total Compensation Formula Types, Oracle HRMS FastFormula User Guide
3. Define a new plan type, selecting Absences as the Option Type.
See: Defining Plan Types, page 1-95
Leave and Absence Management 4-21
4. Ensure you have Program/Plan years set up.
See: Defining a Program or Plan Year Period, page 1-115
Eligibility Profiles
5. Create a participant eligibility profile for each absence benefit plan.
Important: Ensure that these profiles are exclusive: participants
must only be eligible for one plan at a time.
• Ensure that your eligibility profile checks that the absence is for the appropriate
absence category, such as sickness. You can further restrict eligibility to one or
more absence types.
• UK users: Choose the Others tab and select Rule. Select the supplied rule _OSP_PARTICIPATION_ ELIGIBILITY_PROFILE_OTHER_RULE for an
OSP scheme, or _OMP_PARTICIPATION_ELIGIBILITY_PROFILE_ OTHER_RULE for
an OMP scheme, or another formula that you have created.
See: Defining an Eligibility Profile, page 1-141
Life Event Reasons
6.
Create three life event reasons, all of type Absence, and one for each Life Event
Operation Code: Start Event, End Event, Delete Event.
Note: You only perform this step once. You use the same life event
reasons for all your absence plans.
• Select the Person Changes that trigger these life events. The table is
PER_ABSENCE_ATTENDANCES. Select columns and values as follows:
Life Event Column Old Value New Value
Start Absence DATE_START any value any value
End Absence DATE_END any value any value
Delete Absence DATE_START any value no value
• The Start Absence life event reason must detect changes to any columns except
the end date. Use the Person Change formula rule you created in step 2 to
4-22 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
define the columns you want to use to trigger this life event.
UK users: You must attach the PQP_GB_BEN_ABSENCE_
START_LER_PERSON_CHANGE_RULE formula to the absence start life event
• You can also use formula rules to define the person changes that trigger the
End Absence and Delete Absence life events too.
See: Life Event Definition, page 5-61
Plan
7. Define the absence plan.
• Select your plan type.
• Select May Not Be In Program for the Plan Usage.
See: Defining a Benefits Plan, page 1-97
• On the Eligibility Rates tab, check all the check boxes. Select Participant in the
Eligibility Check field.
See: Defining Eligibility and Activity Rate Requirements for a Plan, page 1-100
• On the Not in Program tab, enter a Sequence number and the activity rate
details.
UK users: Select Per Pay Period for the Enrolment Rate/Frequency and select a
value, such as Monthly, for the Activity Reference Period.
See: Defining a Plan Not in a Program, page 1-103
• Choose the Details button and select your plan periods. Return to the Plans
window.
See: Maintaining Plan Related Details, page 1-106
• Choose the Plan Eligibility button then the Eligibility button. Select your
eligibility profile on the Profile tab. Close this window.
See: Defining Participant Eligibility Criteria for a Compensation Object, page 1-
89
• Choose the Life Event button. Select your End Absence life event and select
Ineligible in the Eligible/Ineligible field.
See: Associating a Life Event Reason With a Compensation Object, page 1-91
Enrollment Requirements
8. Define the plan enrollment requirements.
Leave and Absence Management 4-23
• Choose the General tab, the Plan tab, then Enrollment. Select Automatic in the
Method field.
• Select Current Can Keep or Choose; New Can Choose as the Enrollment Code.
See: Defining an Enrollment Method for a Plan, page 5-99
• Choose Coverage. Select Event as the Enrollment Coverage Start Date Code and
End Date Code.
See: Defining Enrollment Coverage Requirements for a Plan , page 5-101
• Choose Rates. Select Event as the Rate Start Date Code and End of Pay Period
as the Rate End Date Code.
• Choose the Timing tab and the Life Event tab. Select Life Event as the
Enrollment Type. Select your Start Absence life event in the Life Event column
and select When Elections are Made as the Close Enrollments Date to Use.
See: Defining Requirements for a Life Event Enrollment for a Plan, page 5-111
• Click on General and choose the Periods region. Select As of Event Date for the
Enrollment Period Start Date, and End of Pay Period for the Enrollment Period
End Date.
Next Steps
Define or generate the elements required for the plan, then define a standard rate for
the plan to calculate values for the absence element entry.
UK Users: Use the Absence Scheme Creation template, then set up the generated
user-defined tables, and define a standard rate for the absence plan (or configure the
copied rate if you are using a copy of the seeded plans).
4-24 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
PTO Accruals Setup
Accrual Plan Structure
In Oracle HRMS, accrual plans are based on elements, formulas, and a net accrual
calculation. All of these are available for you to configure so you have complete control
over the rules underlying your plans.
Oracle HRMS does not store net accrual totals. It calculates gross accruals dynamically
by calling the Accrual formula. The net accrual calculation specifies the element entries
that should add to or subtract from this figure to create the net entitlement.
If you use Oracle Payroll, you can set up your accrual plan so that gross accruals are
stored in a payroll balance. Each payroll run retrieves the latest balance and calls the
accrual formula to calculate new accruals since the end of the last payroll period. This
approach - using a payroll balance - is optional but provides performance
enhancements if you need to calculate accruals in a batch process. See: Accrual Balances
Maintained By the Payroll Run, page 4-29.
The table below further explains the role of the elements, formulas, and net accrual
calculation.
Leave and Absence Management 4-25
This aspect of an accrual
plan ...
Is for... Generated Automatically?
Absence element Storing entries of days or
hours absent.
No
Accrual plan element Enrolling employees in the
accrual plan.
Yes
Carry Over element Storing unused time at end of
plan term; Carry Over process
makes entry.
Yes
Residual element Storing unused time that
cannot be carried over at end
of plan term; Carry Over
process makes entry.
Yes
Payroll balance element Feeding the payroll balance
that stores gross accruals;
payroll run makes entry.
Yes
Tagging element Identifying absences and
other element entries that
have been entered
retrospectively and not yet
included in the gross accrual
calculation. The payroll run
creates a tagging element
entry and updates accrual
accordingly.
Yes
Other elements Storing other amounts of time
to be included in the net
accrual calculation (such as
time bought and sold); you
create any other elements
your plan requires.
No
Accrual formula Calculating gross accrual to
date
No, but predefined examples
4-26 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
This aspect of an accrual
plan ...
Is for... Generated Automatically?
Carry Over formula Returning the maximum
permitted time an employee
can carry over, and the
effective date and expiry date
of the carry over; called by the
Carry Over process.
No, but predefined examples
Ineligibility formula Checking whether an
employee is eligible to use
accrued PTO on the effective
date of an absence entry made
by BEE (Batch Element Entry);
called by BEE validation.
NOTE: This formula is not
required if you enter the
plan's ineligibility period in
the Accrual Plan window.
No, but predefined examples
Payroll formula Calling the accrual formula
during a payroll run and
returning the gross accrual to
the payroll balance element,
which feeds the payroll
balance.
Yes
Net accrual calculation Defining which element
entries add to or subtract
from the gross accrual to
create net.
Yes, but you can update
Payroll balance Storing the gross accrual so
that batch processes do not
have to recalculate the accrual
from the beginning of the
accrual term each time they
are run.
Yes
Accrual Elements
For each accrual plan, you define and link an absence element and then define a plan
using this absence element. The system generates elements for the plan.
Leave and Absence Management 4-27
Generated Elements
The system generates the following elements when you save a new accrual plan:
• An element representing the plan and which has the same name as the plan. You
use this element to enroll participants in the plan.
• An element to hold participants' unused PTO that is available for carry over to the
next year.
• An element to hold residual PTO, that is, unused PTO not available for carry over
under plan rules.
If you use Oracle Payroll and have elected to store gross accruals in a payroll balance,
the system also generates:
• An element to feed a payroll balance. This element receives an entry from the
accrual formula during a payroll run.
• A tagging element, which the payroll run uses to keep track of retrospective
absences (and other element entries included in the net accrual calculation) that
need to be included in the gross accrual calculation.
The Carried Over and Residual elements have input values that automatically receive
entries when you run the PTO Carry Over process:
• Hours or Days (depending on the plan's units)
• Effective Date
• Expiry Date (on the Carry Over element), which is the date by which the employee
must use the carried over time.
Oracle HRMS automatically links these elements using the same link criteria that you
created for the absence element associated with the plan. If you change the links for the
absence element, you should also update the links for the other plan elements.
Other Elements
Your enterprise may require other elements to reflect individual plan policies. For
example:
• Employees may be permitted to sell back PTO they have accrued but not used.
• Employees may also be permitted to purchase additional PTO in certain
circumstances.
• You may need to store time in a special balance after running the Carry Over
4-28 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
process, such as a balance of time that can be carried over for several plan terms
and is not subject to the usual expiry date
• You may need an element for entering unused PTO from another plan that is being
transferred to this plan on enrollment.
These policies are not standard across enterprises. So, in Oracle Human Resources you
can define elements, configured to your own requirements, for entering or storing these
accrual amounts.
Accrual Formulas
Most accrual plan rules are incorporated in two formulas:
• An Accrual formula, which calculates the amount of PTO accrued at any given
time, and
• A Carry Over formula, which returns the maximum amount of accrued time that a
plan participant can carry over to the next plan period, the date on which this carry
over is effective (normally the first day of the new accrual term), and any expiry
date by which the carried over PTO must be used, or forfeited.
When the Formulas Are Run
The Carry Over formula is called by the Carry Over process. When the Accrual formula
is run, it always receives a calculation date as input, as shown in the following table.
Accrual formula is run when you: Calculation date is:
Enter an absence associated with an accrual
plan and open the Associated Accrual Plans
window. Accrual formula is run three times to
calculate the time accrued before and after the
current absence, and at the end of the plan
term
Start date of the absence, or Day before the
start date of the absence, or End of plan term
View PTO entitlement in the Accruals
window
Effective date entered in Change Effective
Date window
Run the Carry Over process Entered as a parameter
Run your payroll and some other batch
processes (Oracle Payroll users only)
The date paid, or date earned, of the current
payroll run - determined by the PTO Balance
Type selected for your business group
Leave and Absence Management 4-29
Examples of Plan Rules
These formulas can access certain data that is available as database items. For example,
they can use hire date, plan enrollment date, grade, job, assignment status, assignment
category (full time/part time), hours worked, or pay elements to determine:
• The employee's entitlement each accrual period
• Any accrual ceiling beyond which the employee will accrue no more time
• The maximum amount that can be carried over to the next accrual term
These values can be embedded in the formulas, or entered in a user table. If they vary
with length of service, which is a common criterion for accrual bands, they can be
entered in the Accrual Bands window when you define the accrual plan.
Some accrual plans allow new hires to accrue time from the date of their hire. Others
allow accrual to begin at the start of the next accrual term, or six months after hire, or
some other start date. Some plan rules incorporate a period of ineligibility, when a new
employee can accrue time but not use it. Start rules such as these can be incorporated in
your Accrual formulas.
Note: Depending on how you define the ineligibility period, you may
have to associate an Ineligibility formula with your plan, if you want to
make absence entries using BEE (Batch Element Entry). See: Period of
Ineligibility, page 4-40.
Adding Your Own Plan Rules
Some formulas are seeded. You can use these, as supplied, or use them as models to
create your own, incorporating the rules required for your accrual plans.
Accrual Balances Maintained By the Payroll Run
If you use Oracle Payroll, you can choose to use a payroll balance to store gross accruals
for an accrual plan. You do this by selecting a balance dimension (such as calendar year
to date) when you define the accrual plan. The system then automatically generates the
balance and other components you require.
Why Use a Payroll Balance?
Some batch processes, such as the US Check Writer, call the accrual formula to calculate
PTO accruals for each assignment. If you use such processes, you will benefit from
faster batch processing if you set up your accrual plan to use a payroll balance. This
reduces the number of calculations the formula has to perform.
4-30 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
How The Balance Is Maintained
The payroll balance is maintained by the payroll run. When the payroll run processes
an accrual plan element entry, it calls an Oracle Payroll formula associated with the
accrual plan element. This formula calls your accrual formula to calculate the gross
accrual, passing in the following information:
• The name of the database item for the payroll balance, so the accrual formula can
retrieve the number of days or hours currently in the payroll balance
• Date to begin calculating new accruals, which is the day after either the Date
Earned or the Date Paid of the last payroll period in which the assignment was
processed
You can choose whether the formula uses Date Paid or Date Earned by selecting the
Payroll Balance Type for your business group in the Organization window.
Date Earned is the date the payroll run uses to determine which element entries to
process. In North America (and typically elsewhere too) it is the last day of the
payroll period being processed. Date Paid is the date that appears on pay advices.
The payroll run uses this date to select taxation rules, and store balances. In some
legislations, these dates are always the same.
• Calculation date, which is either the date earned or the date paid of the payroll run
The accrual formula returns the new gross accrual to an element that feeds the balance.
So normally the formula only has to calculate accruals since the last payroll run, and
add this value to the existing payroll balance. However, if the accrual formula finds
retrospective absences or other assignment changes that affect entitlement, it
Leave and Absence Management 4-31
recalculates accruals for the whole accrual term. This processing ensures that the
employee receives their full accrual entitlement.
Note: You can also force the payroll run to recalculate accruals for the
full accrual term by setting the action parameter Reset PTO Accruals to
"Y" before running a payroll for a set of assignments. Update the
parameter to "N" after processing these assignments to ensure faster
processing in your normal run.
Example
Supposing an accrual plan has a ceiling of 10 days, and two days accrual per month. An
employee has a net accrual of 10 at the end of May. The June payroll run does not
award any new accrual to this employee because the net accrual must not exceed the
ceiling. However, in July the employee's manager enters five days vacation in May,
retrospectively. The July payroll run recalculates the accrual and updates the gross
accrual balance to 14. The net accrual is now nine (14 minus 5).
How To Set Up An Accrual Plan To Use a Balance
If you want the payroll run to maintain an accrual balance, you must use a formula that
supports balances. This means that the system can pass the latest accrual balance to the
formula, along with the date to start calculating new accruals to add to the balance.
You can use or configure one of the following seeded formulas:
• PTO_HD_ANNIVERSARY_BALANCE
• PTO_PAYROLL_BALANCE_CALCULATION
• PTO_SIMPLE_BALANCE_MULTIPLIER
You must also select a balance dimension when you define the accrual plan. The
balance dimension controls the period of time over which the balance accumulates
before it is reset to zero. Three types of dimension are predefined:
Note: For each type, there are two dimensions. Use the Date Earned
dimension (such as _ASG_PTO_DE_YTD) if you selected Date Earned
as the PTO Balance Type for your business group. Otherwise use the
Date Paid dimension (such as _ASG_PTO_YTD).
See: Business Groups: Selecting a PTO Balance Type, Oracle HRMS
Enterprise and Workforce Management Guide
• _ASG_PTO_YTD and _ASG_PTO_DE_YTD
The balance accumulates over a calendar year, resetting on 01 January. Select one of
4-32 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
these dimensions if you are using the
PTO_PAYROLL_BALANCE_CALCULATION formula.
• _ASG_PTO_SM_YTD and _ASG_PTO_DE_SM_YTD
The balance accumulates over a year, resetting on 01 June, or at the end of the
payroll period that contains this date. Select one of these dimensions if you are
using the PTO_SIMPLE_BALANCE_MULTIPLIER formula.
• _ASG_PTO_HD_YTD and _ASG_PTO_DE_HD_YTD
The balance accumulates over a year, resetting on the anniversary of the employee's
hire date, or at the end of the payroll period that contains this date. Select one of
these dimensions if you are using the PTO_HD_ANNIVERSARY_BALANCE
formula.
For further information on balance dimensions, see the technical essay: Balances in
Oracle Payroll, Oracle HRMS Implementation Guide.
Notice that the Oracle Payroll formula, payroll balance, element that feeds the balance,
element link, and formula processing and result rules are all generated by the system
when you save your accrual plan.
If you want Oracle Payroll to recalculate the accrual balance from the beginning of the
accrual term when there are retrospective assignment changes that affect entitlement,
you must ensure your accrual formula can track these changes. You enable a trigger for
assignment updates, define an event group for the assignment changes you want to
track, and ensure your PTO accrual formula references this event group. See: Setting Up
PTO Accrual Plans, page 4-46.
Note: The predefined PTO_PAYROLL_BALANCE_CALCULATION
formula handles retrospective changes to assignment status.
Net Accrual Calculation
Oracle HRMS uses the following calculation for an employee's net accrual:
Net PTO accrual = (Accrued PTO + PTO carried over) - PTO taken to date
Accrued PTO is the sum of regular accruals to date in this accrual term, calculated by
your Accrual formula.
PTO Carried Over is the hours or days carried over from the previous accrual term,
obtained from the plan's Carried Over element.
PTO Taken To Date is all PTO taken in this accrual term, obtained from the entries to
the plan's absence element.
You may require a more complex calculation of net accruals, perhaps to take some
account of time stored in the residual PTO element, or to take account of time entered
Leave and Absence Management 4-33
on other elements that you have created. You cannot change the predefined rules for
PTO taken to date (the absence element) and PTO carried over, but you can add your
own rules in the Net Calculation Rules window.
Notice that the system does no automatic processing of the entries of employees'
residual PTO. Your enterprise may want to use these entries to inform employees of
accrued but unused time they may forfeit, or to make payments for part or all of this
time.
Seeded Accrual Type Formulas
There are four seeded formulas (of formula type Accrual) for calculating accruals. Each
repeatedly calls another formula (of type Accrual Subformula), in a loop, to calculate
the accrual for each accrual period. There is a Carry Over formula supplied to use with
each Accrual formula. The top level seeded Accrual formulas are:
• PTO_PAYROLL_BALANCE_CALCULATION
• PTO_SIMPLE_BALANCE_ MULTIPLIER
• PTO_ROLLING_ACCRUAL
• PTO_HD_ANNIVERSARY_BALANCE
The formulas with "Balance" in their names can be called from the payroll run to
maintain a balance of gross accruals. See: Accrual Balances Maintained By the Payroll
Run, page 4-29.
4-34 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Note: There are also two seeded formulas called
PTO_PAYROLL_CALCULATION and PTO_SIMPLE_MULTIPLIER.
These incorporate the same rules as
PTO_PAYROLL_BALANCE_CALCULATION and
PTO_SIMPLE_BALANCE_ MULTIPLIER, except that they cannot be
called from the payroll run to maintain a balance of gross accruals. We
recommend that you use the formulas that support balances so you can
use balances now or in the future.
Ineligibility Formula
There is also a seeded Ineligibility formula:
• PTO_INELIGIBILITY_CALCULATION
You may require an Ineligibility formula if you use BEE (Batch Element Entry) to enter
absences against an accrual plan. BEE validation must ascertain whether an employee is
eligible to use accrued PTO on the effective date of an absence entry in a batch line. First
it checks the Accrual Plan table, so if you enter the period of ineligibility in the Accrual
Plan window, you do not need to create an Ineligibility formula.
If there is no ineligibility information in this table, BEE validation checks whether there
is an Ineligibility formula to call. You need an Ineligibility formula if you use BEE and
you calculate the period of ineligibility within your Accrual formula, rather than
entering it in the Accrual Plan window. This formula is only used by BEE.
Note: If you use the seeded formulas, you do not need an Ineligibility
formula, because these formulas take the ineligibility period from the
Accrual Plan table.
Description of Seeded Accrual Formulas
This section describes the main features of each of the seeded formulas. The rules are
summarized, later, in tables.
PTO_PAYROLL_BALANCE_CALCULATION
This formula calculates accruals in the same way as the accrual function in earlier
releases of Oracle HRMS. It calls another formula which is called
PTO_PAYROLL_PERIOD_ACCRUAL. It is designed to be used with the Carry Over
formula PTO_PAYROLL_CARRYOVER.
These formulas are based on the following rules:
• An accrual term of one calendar year, starting 1 Jan. So, accrual calculations restart
at the beginning of each calendar year.
Leave and Absence Management 4-35
• An accrual frequency based on the participant's pay periods. So, employees on a
monthly payroll accrue time each month, employees on semi-monthly payrolls
accrue time twice each month, and so on. PTO accrual occurs automatically for each
eligible plan participant on the last day of his or her pay period, independently of
any payroll run.
• Accrual amounts and ceiling are determined by length of service.
• Accruals are prorated for suspended assignments.
• Carry over is always effective on 31 Dec of the plan year being processed. So, if you
run the Carry Over process and specify the parameters '15 January 2000' and
'Previous' (plan year), the formula calculates the carry over for the year 1 Jan to 31
Dec 1999 and the result has the effective date 31 Dec 1999.
• Carry over expires at the end of the plan year. So carried over time with the
effective date 31 Dec 1999 must be used before 31 Dec 2000.
• Maximum carryover depends on length of service bands.
PTO_SIMPLE_BALANCE_MULTIPLIER
This is a simple formula to provide a useful starting point for your own accrual plans. It
calls another formula, called PTO_SIMPLE_PERIOD_ACCRUAL. It is designed to be
used with the Carry Over formula PTO_SIMPLE_CARRYOVER.
These formulas are based on the following rules:
• An accrual term of one calendar year, starting 1 June. So, accrual calculations restart
at the beginning of each June.
• An accrual frequency of one month.
• Accrual amounts and ceiling are fixed within the formula.
• Carry over is always effective on 31 May of the plan year being processed.
• Carry over expires at the end of the plan year. So carried over time with the
effective date 31 May 1999 must be used before 31 May 2000.
• Maximum carry over is fixed within the formula.
PTO_HD_ANNIVERSARY_BALANCE
This formula is very similar to PTO_SIMPLE_BALANCE_MULTIPLIER, but the accrual
start date is the anniversary of the employee assignment's hire date.
4-36 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Note: Notice that the accrual term starts on the anniversary of the hire
date. It is not affected by the entry of a continuous service date for an
employee on enrollment in the plan. The continuous service date affects
length of service calculations (for accrual bands and calculation of
period of ineligibility), but it does not affect the accrual term.
PTO_ROLLING_ACCRUAL
This is an example formula for an accrual plan that does not have a fixed term start
date. It calls the formula PTO_ROLLING_PERIOD_ACCRUAL. It is designed to be
used with the Carry Over formula PTO_ROLLING_CARRYOVER. (Although carry
over is not relevant to rolling accrual plans, you must select this formula for your
accrual plan. It returns an effective date to the Absence Detail window.)
These formulas are based on the following rules:
• An accrual term of one calendar year, with no fixed start date. Accruals are
calculated for the previous 12 months.
• An accrual frequency of one month.
• Accrual amounts and ceiling are fixed within the formula.
• Carry over is not relevant, since the accrual term never ends, but rolls forward.
Time is lost if it is not used within 12 months.
Summary of Rules in Seeded Formulas
The following tables summarize the rules incorporated in the seeded Accrual formulas.
Length of Accrual Term
All Seeded Formulas
One year
Accrual Term Start Date
Leave and Absence Management 4-37
PTO_PAYROLL_BALANCE
_CALCULATION
PTO_SIMPLE_BALANCE_M
ULTIPLIER and
PTO_HD_ANNIVERSARY_B
ALANCE
PTO_ROLLING _ACCRUAL
1 January 1 June
(PTO_SIMPLE_BALANCE_M
ULTIPLIER)
Anniversary of hire date
(PTO_HD _ANNIVERSARY
_BALANCE)
No fixed date; accruals
calculated for preceding 12
months
Accrual Frequency
PTO_PAYROLL_BALANCE
_CALCULATION
PTO_SIMPLE_BALANCE_MULTIPLIER,
PTO_HD_ANNIVERSARY_BALANCE, and
PTO_ROLLING_ACCRUAL
Payroll period Monthly
Accrual Amount
PTO_PAYROLL_BALANCE
_CALCULATION
PTO_SIMPLE_BALANCE _MULTIPLIER,
PTO_HD_ANNIVERSARY_BALANCE, and PTO_ROLLING
_ACCRUAL
Depends on length of service
accrual bands
A fixed amount per month (2 days)
Accrual Ceiling
Note: For all the formulas, the accrual ceiling is a limit at which the
employee will accrue no more time. However, net accrual can exceed
the ceiling if you have made an entry of the Carry Over element, or
another adjustment element affecting net calculation rules. If you have
adjusted net accrual so that it exceeds the ceiling, the employee will
accrue no time until net accrual falls below the ceiling.
4-38 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
PTO_PAYROLL_BALANCE
_CALCULATION
PTO_SIMPLE_BALANCE _MULTIPLIER,
PTO_HD_ANNIVERSARY_BALANCE, and PTO_ROLLING
_ACCRUAL
Depends on length of service
accrual bands
Set within the formula to 20 days
Length of Service
All Seeded Formulas
Uses continuous service date (if present) or hire date. Note: continuous service date is entered
using an input value on the accrual plan element.
Accrual Start Date for New Hires
PTO_PAYROLL_BALANCE
_CALCULATION
PTO_SIMPLE_BALANCE _MULTIPLIER,
PTO_HD_ANNIVERSARY_BALANCE, and PTO_ROLLING
_ACCRUAL
Choice of start rules on
Accrual Plan form: hire date,
or six months after hire date,
or 01 Jan after hire date
Accrual starts in the first
accrual period after the
chosen date (or plan
enrollment date if this is
later).
Accrual starts in the first accrual period after hire date or plan
enrollment date, whichever is later.
Period of Ineligibility
All Seeded Formulas
Accrued amounts are not credited until end of period of ineligibility (entered on Accrual Plan
form), which is calculated from the hire date (or continuous service date if this was entered).
Note that accrued amounts are not carried forward if the end of the accrual term falls within
the ineligibility period.
Leave and Absence Management 4-39
Calculation of Gross Accrual
PTO_PAYROLL_BALANCE
_CALCULATION
PTO_SIMPLE_BALANCE
_MULTIPLIER and
PTO_HD_ANNIVERSARY_B
ALANCE
PTO_ROLLING _ACCRUAL
Sums accruals in all full pay
periods of the year ending on
or before the calculation date;
takes account of any
employee termination date,
accrual start rules, ineligibility
period, assignment status,
and accrual ceiling.
Sums accruals in all full
months of the year ending on
or before the calculation date;
takes account of any
employee termination date,
ineligibility period, and
accrual ceiling.
Sums accruals in the 12
months ending on or before
the calculation date;
takes account of any
employee termination date,
ineligibility period, and
accrual ceiling.
Suspended Assignments
PTO_PAYROLL_BALANCE
_CALCULATION
PTO_SIMPLE_BALANCE
_MULTIPLIER and
PTO_HD_ANNIVERSARY_B
ALANCE
PTO_ROLLING _ACCRUAL
Calculates the number of
working days (Monday to
Friday) in the payroll period
and checks assignment status
for each day. Multiplies
normal accrual rate by active
days divided by working
days, to prorate the accrual.
No processing of assignment
status.
No processing of assignment
status.
Changing and Adding Rules in Formulas
If you write your own formulas (perhaps using the simple multiplier or rolling accrual
formula as a basis) you can change any of these rules and add new rules as required.
However, your formulas must return certain values and must check for certain
conditions (such as employee termination) to avoid errors.
For information about required formula content, see: Writing Formulas for Accrual
Plans, Oracle HRMS FastFormula User Guide.
For a sample accrual formula and suggestions on how to edit it to incorporate a whole
range of plan rules, see: Sample Accrual Formula, Oracle HRMS FastFormula User Guide.
4-40 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Accrual Start Date for New Hires
Using the seeded PTO_PAYROLL_BALANCE_CALCULATION formula, accrual of
PTO begins on a fixed date each year (01 January). For each plan that uses this formula,
you can select a value in the Accrual Start field of the Accrual Plan window. This
specifies when newly hired employees start to accrue PTO. The seeded choices are:
• Hire Date
• Beginning of Calendar Year after their hire date
• Six Months after Hire Date
If you need additional start rules, you can define them as values for the Lookup Type
US_ACCRUAL_START_TYPE. You must add a line to the seeded formula to calculate
the accrual start date using your new start rule.
The other seeded formulas (PTO_SIMPLE_BALANCE_MULTIPLIER,
PTO_HD_ANNIVERSARY_BALANCE, and PTO_ROLLING_ACCRUAL) do not use
values in the Accrual Start field. For plans using these formulas, new hires begin
accruing on their hire date or plan enrollment date, whichever is later.
If you are writing your own accrual formulas, you can choose whether to use the
Accrual Start field on the Accrual Plan form to specify start rules for new hires. This is
only useful if you are using the same formula for several accrual plans with different
start rules. Otherwise you can specify the start rule within the formula.
Period of Ineligibility
Some accrual plans require participants to work for a period of time, perhaps three or
six months, before they are eligible to use accrued PTO. They accrue time at the usual
rate during this time, but it is not registered on the system until the Period of
Ineligibility expires. If plan participants take vacation or sick leave during this period,
the system displays a negative value for accrued time. Many enterprises set up an
absence type for "approved but unpaid leave" to use for absences taken during periods
of ineligibility.
You can enter the period of ineligibility on the Accrual Plan form. The seeded Accrual
formulas illustrate how a formula should use the entered values. They calculate the
period of ineligibility from the continuous service date (if it was entered) or the
employee's hire date.
Alternatively, you can define the period of ineligibility within your Accrual formula.
Note: If you use the seeded formulas, time accrued during the
ineligibility period is not carried over if the end of the accrual term falls
within the ineligibility period.
Leave and Absence Management 4-41
Batch Element Entry and the Ineligibility Period
If you want to use Batch Element Entry (BEE) to make absence entries against the
accrual plan, the BEE validation process must be able to check when the ineligibility
period expires.
• If you record the ineligibility period for the plan on the Accrual Plan form, BEE
retrieves the ineligibility period directly from the table. It interprets it as a period of
time from the employee's continuous service date or hire date.
• If the period of ineligibility is defined within your Accrual formula, you must
associate an Ineligibility formula with the plan. BEE calls the formula, which
returns Y or N to indicate whether the employee is eligible to use accrued PTO on
the date supplied by BEE. This formula should calculate the end of the ineligibility
period in the same way as the Accrual formula for the plan.
If the employee is not eligible, the BEE validation process creates a warning on the
batch line for the absence entry.
Note: If you use a custom method of entering timecard data, calling the
Element Entry API, you can add logic to call the Ineligibility formula.
How the Seeded PTO_PAYROLL_BALANCE_CALCULATION Formula Interprets the Start
Rules
The formula calculates the start date from hire date and compares it with the
employee's plan enrollment date. Accrual begins on whichever of these two dates is
later.
Start Rule: Hire Date
For plans with this rule, participants' accruals begin from the first full period following
their hire date. For example, if the hire date of a participant on a semi-monthly payroll
falls on the first day of either the first or second period in the month, PTO accrual starts
as of that date.
If the hire date falls sometime after the first of the month but before the end of the first
period, accruals start in the second period of the month. If the hire date falls after the
first day of the second period but before its end, accruals start with the first period in
the next month.
Start Rule: Beginning of Calendar Year
With this start rule, participants' accruals begin from the start of the year following the
year in which they are hired. This means that a participant with a hire date of 1 January
1999 and another with a hire date of 31 December 1999 both start to accrue time as of 1
January 2000.
4-42 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Notice that the amount of PTO each accrues may not be the same, as accrual amounts
often depend on employees' length of service.
Start Rule: Six Months After Hire
For plans with this start rule, participants' accruals do not begin until the first full pay
period after the six-month anniversary of their hire date. For example, someone on a
semi-monthly payroll who is hired on 5 February 1996, completes six months of service
on 5 August 1996, and starts to accrue PTO in the second period in August.
Notice that if people are hired on the first day of a period, their accruals begin with the
pay period of the six-month anniversary of their hire date. For example, someone on a
semi-monthly payroll who is hired on 1 February 1996 completes six months of service
on 1 August 1996, and hence starts to accrue PTO in the first period in August.
The period of ineligibility is not applicable to plans with the start rule Six Months After
Hire.
Accrual Bands
For many accrual plans, the time off that plan participants can accrue increases with
their length of service, or varies by job, grade, or number of hours worked. That is,
accrual bands determine accrual amounts. In addition, these bands can determine ceiling
and maximum carry over amounts.
Ceiling rules, found in some vacation accrual plans, set a maximum amount of PTO an
employee can hold at any time. When a participant's accrued PTO reaches the ceiling,
no additional time accrues. Accruals begin again only after the participant uses some
accrued time.
In the PTO_PAYROLL_BALANCE_CALCULATION seeded formula, the accrual
amount, ceiling and maximum permitted carry over depend on length of service bands.
Alternatively, you can use bands based on other factors, such as grade, or a
combination of factors, to determine the accrual amounts for your plans.
Length of Service Bands
You set up length of service bands using the Accrual Bands window. For each band
(such as 0 to 5 years of service), you can enter the accrual amount for the whole accrual
term (such as an annual amount), an accrual ceiling, and the maximum permitted carry
over.
Length of Service Override
In Oracle HRMS, the first day of the month of an employee's hire date is the default
date from which his or her length of service is calculated for accrual purposes. For
example, someone hired on 18 January 1997 completes one year of service on 1 January
1998, and someone hired on 31 December 1996 completes one year of service on 1
Leave and Absence Management 4-43
December 1997.
For individual accrual plan participants, you can override the default date from which a
plan starts its length of service calculations. This is useful for managing exceptional
cases that arise when, for example, employees who already have accumulated periods
of service in your enterprise transfer from one place to another. You enter the date
override when enrolling a participant in a plan.
Note: The default length of service start date (or the overriding
continuous service date) determines the length of service for accrual
bands and for the calculating the end of the ineligibility period.
However it is not the same as the accrual start date. This is determined
by the accrual start rules selected in the Accrual Plan window or set
within the accrual formula.
Other Banding Criteria
For some accrual plans, the amount of time accrued may vary by other criteria, such as
job or grade. You can create a user table to hold time accrued, ceiling rules, maximum
carryover rules, and any other information you require for each job or grade. See:
User-Defined Tables, Oracle HRMS Configuring, Reporting, and System Administration
Guide
Include the GET_TABLE_VALUE function in your accrual and carry over formulas for
the plan to access the information held in the user table. For an example of using a user
table to store banding criteria, see: Sample Accrual Formula, Oracle HRMS FastFormula
User Guide.
PTO Carry Over Process
To manage the carry over of employees' unused PTO to a new accrual term, you run the
PTO Carry Over process from the Submit Requests window:
• For accrual plans with a fixed term start date (such as 1 April), you run the process at
the end of each accrual term.
• For accrual plans with a variable term start date (such as hire date or seniority date),
you should run the process every night to update plan information for any
employees whose term has ended that day.
• For accrual plans based on a rolling plan term (such as those using the seeded
PTO_ROLLING_ACCRUAL formula), this process is not relevant.
4-44 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
For each participant in an accrual plan, the PTO Carry Over process first uses the
Accrual formula to calculate the participant's accrued PTO as of the last day of the
plan's accrual term. The process then uses the Carry Over formula to get:
• the maximum amount of time this employee can carry forward to the next accrual
term
• the effective date for the carry over, and
• any expiry date by which the employee must use the time carried over, or lose it.
The process calculates the net accrual using time off recorded on the Absence element
and any other elements associated with the plan. Finally, it compares the net accrual
with the maximum carry over. permitted to determine both the amount to carry over,
and the amount of any residual PTOthat cannot be carried over.
Leave and Absence Management 4-45
For employees with unused, accrued time to carry over, Oracle HRMS enters this time
on the plan's Carried Over element. Similarly, for employees with unused,
accrued time they cannot carry over, Oracle HRMS enters this time on the plan's
Residual element.
Accrual Plan Example
This topic looks at a sample set of accrual rules and discusses how you might configure
the predefined accrual formulas to accommodate these rules.
An enterprise has the following vacation rules:
• All employees accrue two days vacation per month (pro rata for part time
employees)
• The accrual term is 12 months from hire date and new employees join the plan on
their hire date
• The ineligibility period (when employees accrue time but cannot use it) varies by
grade. It is two months for grades 1, 2, and 3, and three months for grades 4 and 5.
• The accrual ceiling is 10 days for full time employees (pro rata for part time
employees).
• The amount that can be carried forward to the next accrual term is five days for
grades 1, 2, and 3, and eight days for grades 4 and 5.
The enterprise uses BEE to enter vacation time taken.
You can set up one accrual plan for these rules, linking the accrual element to all
employees. You can use the predefined PTO_SIMPLE_MULTIPLIER formula as the
basis for your accrual formula. You need to configure this formula in the following
ways.
Accrual Amount
Change the accrual calculation so that it takes into account an employee's standard
hours (part time or full time). You can use HR Budgets to define an assignment's value
as a proportion of FTE. Then you need to define a database item for this budget value so
you can use it in the accrual formula.
Accrual Term Start Date
Change the accrual term start date from 01 June to hire date by referencing a database
item such as ACP_SERVICE_START_DATE within the formula.
To see how to use this database item within the formula, see the section Changing the
Accrual Term Start Date in Sample Accrual Formula, Oracle HRMS FastFormula User
Guide.
4-46 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Ineligibility Period
Derive the ineligibility period within the formula--rather than from the Accrual Plan
window--since it varies by grade. The data could be hard coded within the formula or
maintained in a user table, such as the following (which also holds the maximum carry
over, since this data varies by grade too):
Example User Table for Varying Accrual Rules By Grades
Grade Ineligibility Period Max. Carry Over
1 -3 2 months 5 days
4 - 5 3 months 8 days
Since the ineligibility period is defined within the formula, and the enterprise uses BEE
to enter vacation time, you need to create an ineligibility formula that BEE validation
can use to check whether an employee is entitled to take time under the accrual plan.
Accrual Ceiling
Change the accrual ceiling from a standard 20 days in the predefined formula to a
variable amount depending on an employee's standard hours. You address this in a
similar way to the calculation of the accrual amount.
Maximum Carry Over
Change the maximum carryover from a fixed amount within the formula to an amount
that varies by grade. The data could be hard coded within the formula or maintained in
a user table, such as the example above.
Setting Up PTO Accrual Plans
1. Define and link an element for the plan's absence type.
See: Defining and Linking an Absence Element, page 4-13
Important: It is important that you link the absence element before
you define the accrual plan since Oracle HRMS automatically
creates links for the accrual plan elements based on your absence
element links. If you define criteria on the link so that employees
lose eligibility for the accrual plan as their assignments change, you
must manually transfer accrual balances to the employee's new
accrual plan. For simplicity, consider using open element links (that
is, links with no assignment criteria).
Leave and Absence Management 4-47
2. Define an absence type for the plan, associating its absence element with this type.
See: Defining an Absence Type, page 4-15
3. Optionally, define new accrual start rules as values for the Lookup Type
US_ACCRUAL_START_TYPE. There are three seeded categories: Hire Date,
Beginning of Calendar Year and Six Months after Hire Date.
See: Adding Lookup Types and Values, Oracle HRMS Configuring, Reporting, and
System Administration Guide
4. Decide which Accrual and Carry Over formulas to use. You can use the seeded
formulas, configure them, or write your own.
See: Writing Formulas for Accrual Plans, Oracle HRMS FastFormula User Guide
5. If your Accrual formula defines a period of ineligibility and you want to use BEE to
enter absences against the accrual plan, define an Ineligibility formula. BEE calls
this formula to check whether an employee is eligible to use accrued PTO.
See: Period of Ineligibility, page 4-40
Note: If you use the seeded Accrual formulas, you do not need to
define an Ineligibility formula. They use a period of ineligibility
entered in the Accrual Plan window, and BEE validation can use
the same value.
This does not apply to the New Zealand seeded formulas. If you are using these
formulas, do not define an Ineligibility formula or enter a period of ineligibility in
the Accrual Plan window.
6. Optionally, define new accrual categories as values for the Lookup Type
US_PTO_ACCRUAL. There are predefined categories for some legislations.
See: Adding Lookup Types and Values, Oracle HRMS Configuring, Reporting, and
System Administration Guide
7. Oracle Payroll users:
The following three steps are for Oracle Payroll users only. Skip these steps if you
do not want to use a payroll balance to store gross accruals.
Decide whether the payroll run should update accruals as of the run's date earned
(the date the payroll run uses to determine which element entries to process) or date
paid (the date that appears on pay advices). Select your choice for the business
group.
See: Business Groups: Selecting a PTO Balance Type, Oracle HRMS Enterprise and
Workforce Management Guide
8. Consider which balance dimension to use. Dimensions are predefined that reset the
4-48 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
balance each year on 1 January, 1 June, or hire date anniversary. UK users: If you
require your balance to accumulate over a different period of time, or reset at a
different date, you can create your own balance dimension.
See: Balances in Oracle Payroll, Oracle HRMS Implementation Guide
9. If you want Oracle Payroll to recalculate the accrual balance from the beginning of
the accrual term when there are retrospective assignment changes that affect
entitlement, you must perform this setup:
1. Navigate to the Dynamic Trigger Generation window. In the Find Triggers
window, enter the following values then click Find:
• Dynamically Generated Triggers: selected
• Application: Oracle Human Resources
• Trigger Name: PER_ALL_ASSIGNMENTS_F_ARU
• Triggering Actions: Update selected
Ensure that this trigger is generated and enabled. On the Components tab,
ensure that the module
pay_continuous_calc.PER_ALL_ASSIGNMENTS_F_ARU is enabled.
2. In the Functional Area Maintenance window, query the seeded functional area
called PTO Events. Check that the trigger PER_ALL_ASSIGNMENTS_F_ARU
is listed in the Details region. Select the Business Group tab in the Details region
and select the business groups that are to track the assignment changes.
3. In the Table Event Group window, query the seeded PTO Event Group. This
group includes the following datetracked events; you can add others that you
want to track:
• Date Track Update: Table - per_all_assignments_f, Column -
assignment_status_type_id
• Date Track Correction: Table - per_all_assignments_f, Column -
assignment_status_type_id
• Date Track Delete Future: Table - per_all_assignments_f, Column - blank
4. Ensure that your accrual formula uses the Get_Earliest_AsgChange_Date
function to handle the events you want to track. Refer to the
PTO_PAYROLL_BALANCE_CALCULATION formula as an example of how
to use this function.
10. Define the accrual plan, selecting the formulas and absence element it is to use.
Leave and Absence Management 4-49
See: Defining a PTO Accrual Plan, page 4-49
11. Optionally, set up length of service bands for the plan.
See: Setting Up Length of Service Bands, page 4-51
12. Oracle Payroll users: If you want the payroll run to calculate employer liability for
PTO, define an employer liability element and balance, link the element, and edit
the generated payroll formula and result rules.
See: Costing Liability for PTO Accruals, page 4-53
13. Review the net calculation rules for the plan. If necessary, create additional
elements and associate them with the plan by selecting them in the Net Calculation
Rules window.
See: Changing Net Accrual Calculations, page 4-52
14. SSHR users: If you want to view employee accrual balances using SSHR, create an
element set that include elements that correspond to the appropriate accrual plans,
and attach the element set to the profile HR: Accrual Plan Element Set Displayed to
User at the appropriate levels.
See: Viewing Accrual Balances in SSHR, Oracle HRMS Deploy Self-Service Capability
Guide.
Defining a PTO Accrual Plan
Use the Accrual Plans window to define an accrual plan.
To define a PTO accrual plan:
1. Enter the plan name, and select an accrual category for it.
Tip: Coordinate the names of the accrual plan, the plan's absence
type if any, and the element used to record absences taken under
the plan. For example, for the Hrly Vacation PTO Plan for your
hourly workers, you could name the absence type and its element
Hrly Vacation PTO Absence.
2. Optionally, select a start rule for the plan in the Accrual Start field. This rule
determines the date on which newly hired employees begin to accrue PTO.
Note: Some plans do not use this value; it depends which Accrual
formula you select.
4-50 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
3. Select Days or Hours in the Accrual Units field. The units selected here must be the
same as the units for the input value you select in the Absence Information region.
4. You can enter a description, summarizing the purpose and rules of the plan.
5. Select the Accrual formula and Carry Over formula to associate with the plan.
For a description of the seeded formulas, see Seeded Accrual Type Formulas, page
4-33.
6. In the Name field of the Absence Information region, select the element associated
with the plan's absence type. In the Units field, select the element's input value that
holds the entries of hours or days absent.
Selecting a Payroll Balance
7. Oracle Payroll users: If you want to use a payroll balance to store gross accruals for
the plan, select the date when the balance should reset to zero.
Note: The balance may not reset on the exact date you select, since
it depends on the payroll period dates. For example, if you select a
Reset Date of 1 January, the balance may in fact reset on 22
December if that is the start date of the first payroll period in the
new year.
If you select 1 June, 1 January, or Hire Date Anniversary, a value appears
automatically in the Dimension Name field. If you select Other, you must select a
balance dimension that you have created for this purpose.
Important: Select a date in this field only if you are using a formula
that supports payroll balances. US users: The Check writer process
and Deposit Advices do not display the correct accrual balances if
you enter a balance reset date but do not use a formula that
supports payroll balances.
Setting a Period of Ineligibility
8. If the start rule for this plan is Hire Date or Beginning of Year you can enter a
period of ineligibility, during which a plan participant can accrue PTO but cannot
use accrued PTO. For example, enter 3 in the Length field and select Calendar
Month in the Units field.
9. Optionally select an Ineligibility formula. This formula is called by the BEE
validation process for a batch line that enters an absence against the accrual plan. It
checks whether the employee is eligible to use accrued time on that date.
Leave and Absence Management 4-51
Note: If you enter the period of ineligibility in the Length field, you
do not need to select a formula. The BEE validation process gets
this value and interprets it as a period of time from the employee's
continuous service date.
10. Save your work.
When you do this, the application generates three new elements for the plan - one
to represent the plan, and one each to hold carried over and residual amounts of
accrued, unused PTO. The application creates links for these elements to match the
links you defined for the plan's absence element.
If you selected a date in the Payroll Balance Reset Date region, the application also
generates a payroll balance, an element to feed the balance, a tagging element,
formula processing and result rules, and a payroll formula to call the accrual
formula from the payroll run.
11. Choose the Accrual Bands button to set up length of service bands for the plan. This
is optional, but may be required by your accrual formula.
12. If the Further Accrual Information is configured for your localization, enter the
relevant information.
Australian users: Select the leave balance type as either Entitlement or Entitlement
and Accrual for display in the Leave of Absence screen in Self-Service.
13. Choose the Net Calculation Rules button to view or change the rules for calculating
employees' net PTO.
Setting Up Length of Service Bands
Use the Accrual Bands window to define length of service bands for an accrual plan.
To set up length of service bands for a PTO plan:
1. For each length of service band applicable to this plan, establish the band's duration
by making an entry in the To field. The first band starts from zero years of service.
If it extends for five years, enter 5 in the To field. The system then sets the From
field for the second band at 5, as the second band starts after five years of service.
For the last band you enter, in order to cover all participants with any length of
service beyond the band's From entry, enter 99 in the To field. For example, if your
bands cover service of 0-5 years, 5-10 years and 10+ years, the third band's From
and To entries should be 10 and 99.
2. For each band, enter in the Term Accrual field the number of hours or days that
participants whose length of service falls into this band can accrue each accrual
4-52 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
term. For example, if plan participants accrue 80 hours of vacation per year during
their first five years of service (band 0 - 5), enter 80 in the Term Accrual field.
3. If a band does not permit participants to carry unused accrued time over to the next
accrual term, leave the Maximum Carryover field blank. Otherwise, enter in this
field the maximum number of accrued, unused hours or days that participants at
this band may carry forward.
4. If a band has no ceiling that limits the total number of hours or days participants at
this band can accrue at any one time, leave the Ceiling field blank. Otherwise, enter
the ceiling number for the band.
5. Save your work.
Changing Net Accrual Calculations
The rules for automatic calculation of employees' net PTO appear in the Net Calculation
Rules window. You enter this window by choosing the Net Calculation Rules button in
the Accrual Plan window.
The default net accrual calculation takes account of absences (entered on the Absence
element) and time carried over from the previous accrual term (entered by the Carry
Over process on the plan's Carried Over element). You cannot change these rules.
However, if your plan's calculation needs to take account of other values (such as time
bought or sold), you can add new rules in this window.
To change the net accrual calculation:
1. Create and link any additional elements you need for the plan. For example, you
might need an element to store the amount of PTO an employee has bought or sold.
Use the Information classification for these elements, define them as nonrecurring,
and give them at least two input values:
• An input value with the same units (days or hours) as you selected for the
accrual plan, and
• An input value with the units Date (to hold the effective date).
Tip: Use names for these elements that clearly link them to the
appropriate accrual plan. For example, if the accrual plan is called
Standard Vacation, you could name the element Standard Vacation
Bought or Sold.
2. Query the new elements in the Net Calculation Rules window.
3. Select the input value that hold the days or hours you want to use in the net accrual
Leave and Absence Management 4-53
calculation.
4. Select the date input value that holds the effective date for the accrual calculation.
Note: The predefined rule for the absence element does not include
a date input value because the application uses the absence start
date as the effective date for subtracting the time taken from the
gross accrual.
5. For each input value, select Add or Subtract to determine whether the value should
increase or decrease the net accrual available to an employee.
6. Save your work.
Costing Liability For PTO Accruals
Follow these setup steps if you use Oracle Payroll and you want the payroll run to
calculate the change in employer liability for PTO, as well as the gross accrual.
For example, the payroll run might calculate the following changes to employer
liability, using this calculation:
Current Liability Increment = (((YTD accrual + Current net accrual) * Current Rate of
Pay) - ITD PTO liability)
Payroll
Run
ITD
Liability
YTD
Accrual
Current
Pay Rate
Current
Accrual
Absence Current
Net
Accrual
Liability
Increme
nt
Run 1 0 0 10 4 0 4 40
Run 2 40 4 10 4 5 -1 -10
Run 3 30 3 12 4 0 4 54
To set up costing of PTO accrual liability:
1. In the Element window, define an employer liability element. The only required
input value is the pay value.
2. In the Balance window, create a liability balance fed by the pay value of the element
you created in the previous step.
3. In the Formula window, edit the payroll formula that was generated for your
4-54 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
accrual plan so that it calculates changes in employer liability. The formula has the
name _ORACLE_PAYROLL. It contains a sample liability
calculation, which you can edit to meet your requirements.
The formula must return the Current Liability Increment.
4. In the Formula Result Rules window, query the accrual plan element. You will see a
processing rule associating this element with the payroll formula you edited in the
previous step, and a result rule passing the accrual to the element that maintains the
accrual balance. Create another result rule to pass the Current Liability Increment
formula result to the pay value of the employer liability element.
5. Use the Element Link window to link the employer liability element and to cost it
appropriately.
Leave and Absence Management 4-55
Absence and Accrual Plan Administration
Absence Recording
When you record an absence for an employee using the Absence Detail window or
self-service, you must always select an absence type.
Dates and Times
In the Absence Detail window you can conveniently record start and end dates and
times of a particular type of absence, as well as the date you receive notification of the
absence.
You can enter either projected or actual dates and times. When an actual absence occurs
in accordance with projected absence information already entered, you record this by
simply clicking a button.
Oracle HRMS records an employee's absences using the employee's payroll calendar, so
all employees for whom you record absence information must have a payroll
component in their primary assignment.
Some absence types are associated with nonrecurring elements. For these types, the
absence is not recorded on the employee's element entries until you enter the absence
end date. You cannot change the absence start date so that it is outside the original
payroll period--you must delete the absence and create a new one.
Note: For Oracle Payroll users in some localizations: some absence
types may be associated with recurring elements. For these types, the
absence is recorded in element entries when you enter an actual start
date. If you change the start date, the element entry is deleted and a
new one created. When you enter or change the end date, the element
entry's end date is date effectively updated.
Absence Duration
To calculate the duration of an absence automatically, you can either use the schedule
and calendar event features from Oracle HRMS and Common Application Components
(CAC), or use a formula that calculates absence duration from the absence start and end
dates.
For the first method, the application calculates the duration of the absence based on the
worker's schedule and applicable calendar events for their primary assignment. To use
these features, set the HR: Schedule Based Absence Calculation profile option to Yes.
You set up availability information such as shifts, schedules, and calendar events, and
4-56 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
assign them to various levels in your work structures.
See: Setting Up Availability, Oracle HRMS Workforce Sourcing, Deployment, and Talent
Management Guide
For the second method, you write a formula to calculate absence duration from the start
and end dates and times entered for an absence. Your localization team may have
written a formula that the application uses by default.
See: Writing Formulas To Calculate Absence Duration, Oracle HRMS FastFormula User
Guide
To control whether the formula automatically recalculates and overwrites the absence
duration when a user updates the end date or time, set the user profile option
HR:Absence Duration Auto Overwrite to Yes or No. For example, if you do want the
duration to be updated when the end date changes, set the profile option to Yes.
When you enter an absence, the application warns you if:
• Duration is greater than the person's net entitlement recorded in a PTO accrual plan
• A decreasing absence balance becomes negative
• Duration is not equal to the value calculated by the absence duration formula. Or, if
there is no absence duration formula, duration is not equal to . Here, the application calculates the hours using the standard hours
recorded for the assignment (or for the business group if the assignment contains
no record).
Authorization and Replacement
When recording a projected or actual absence in the Absence Detail window, you can
select both the name of an employee authorizing the absence, and of an employee
replacing the absent worker.
Absence Cases
If an employee has multiple absences that result from the same cause or are associated
in another way that you want to record in Oracle HRMS, you can enter an absence case
for the employee. For example, if an employee takes two periods of sick leave due to a
back injury sustained at work, you can create an absence case, associate the two
absences with the case, and link the case to the work incident.
Batch Entry of Accrued Time Taken
For fast batch entry, you can use BEE, instead of the Absence Detail window, to enter
sick or vacation time recorded together with other timecard data. You can enter the
absence start and end dates, as well as any input values defined for the element. If you
leave the date fields blank, they both default to the effective date for a nonrecurring
Leave and Absence Management 4-57
absence element; only the start date defaults for recurring elements. Note that the batch
line produces an error if you enter a duration but no end date for a recurring element.
Self-Service Entry of Absences
If you have licensed Oracle SSHR, you can delegate the responsibility for recording
absences to individual employees or their line managers. They can enter proposed or
actual absences and submit them for approval by their supervisors (or any other
approvers in a workflow).
Additionally, using self-service, employees can view their accrued leave details, and
managers can view the same for employees in their team.
See: Accrual Balances Maintained by SSHR, page 4-71
See: Leave and Absence Management Overview, page 4-1
See: How do we track and analyze absences and net accrual entitlement: Leave and
Absence Management, page 4-3
See: Leave and Absence Management:Self-Service Functionality, Oracle Self-Service
Human Resources Deploy Self-Service Capability Guide
Viewing and Reporting on Absence Information
For monitoring and analyzing recorded employee absences, use the:
• View Absence History window, page 4-68
• List Employees by Absence Type window, page 4-68
• Absences Report, page 4-68
For reviewing PTO plan participants' accrued time earned and taken, use the Accruals
window, page 4-67.
Accrual Plan Administration
Just as elements constitute the underlying structure of absence types, so they provide
the structure of accrual plans. Each accrual plan is associated with an absence element,
which holds information about absences taken under the plan. There is also an element
for the plan itself, which you use to enroll participants in the plan.
Enrollment
You enroll an employee in an accrual plan by entering the accrual plan element. You
can only enroll employees who are eligible for the plan (that is, their assignments match
the element's links). When you do the enrollment you can override the default date for
calculating length of service (which is used in many accrual plans to determine the
4-58 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
appropriate accrual amount and the start date of accruals for new hires).
Note: You enter the accrual plan element for the employee's primary
assignment. If another assignment becomes the primary one, you must
re-enter the accrual plan element for the new primary assignment. You
can transfer the accrual balance to the new assignment using a balance
adjustment element entry, if your implementation team has added a
balance adjustment element to the net calculation rules for this accrual
plan.
Recording Accrued Time Taken
You record time taken under the accrual plan by making entries of the absence element
associated with the plan.
Normally you make these entries using the Absence Detail window so you can record
additional information, such as an absence reason, the name of the employee
authorizing the absence, and the name of the employee replacing the absent worker.
The window shows the participant's net accrual at the start of the absence and the
projected accrual at the end of the accrual term.
You can also use BEE to make batch entries of hours of accrued sick or vacation time
that employees have taken and noted on their timecards. Any entries you make to
absence elements using BEE for an employee's primary assignment can then be viewed
in the Absence Detail window. Entries made using BEE can include a reason, but the list
of absence reasons available in the Absence Detail window is not automatically
available here.
Viewing Accruals
You can use the Accruals window to see, at any time, how much time an employee has
accrued and used under an accrual plan. You cannot change the amount accrued using
this window. The gross accrual is calculated by a formula that may, for example, vary
the accrual according to length of service, grade, overtime or other factors.
Recording PTO Sold or Purchased
If your enterprise pays employees for time they have accrued but not used, or if you
permit employees to buy additional time, you may decide to define your own
PTO-related elements to record information about these transactions. You then use the
Element Entry window to enter these elements for the appropriate employees.
Running the Carry Over Process
Once each year (or other plan term), an employee's balance of unused accrued time
must be cleared down ready for the new plan term. You run the PTO Carry Over
Leave and Absence Management 4-59
process to clear down these balances and record both unused time available for
carryover, and residual time unavailable for carryover. For accrual plans with a variable
term start date (such as hire date or seniority date), you should run the process every
night to update plan information for any employees whose term has ended that day.
Note: Some accrual plans are based on a rolling plan term. The Carry
Over Process is not relevant to this type of plan.
Entering Absences
Enter projected or actual absences for an employee using the Absence Detail window.
Because the calendar holding absence records for an employee is the same as that of the
employee's payroll, the primary assignments of employees for whom you enter absence
information must include an assignment to a payroll. For absence types based on
nonrecurring elements, the effective start date of this assignment must be no later than
the start of the current payroll period.
To enter absences for an employee:
1. Select the absence type.
The following information appears:
• The category of the type.
Note: For Denmark users only: Enter absence information, as
required, in the descriptive flexfields associated with the
Absence Categories.
• The occurrence of the new absence record you are entering. For example, if the
employee has already incurred two absences of this type, the occurrence of the
new record is 3.
• The running total of hours or days absent for all the absence types associated
with the element. For absence types with increasing balances, this is the number
of days or hours absent with an end date on or before your effective date. For
any types with decreasing balances, this is the number of hours or days
remaining to be taken.
• The number of days absence recorded for the absence type in the current
calendar year.
• The name of the element that maintains each employee's time taken or time
remaining for this absence type.
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Note: For Denmark, Finland, Norway, and Sweden users only:
When you create an absence, Oracle HRMS enters the absence
element for all the employee's assignments including the primary
assignment. You can decide whether each assignment requires the
element entry and better track absences for multiple assignments.
You can also edit element entries to change the absence details for a
specific assignment.
Note: For Denmark users only: You can override absence details in
the Absence Details window by entering the override element in
the Element Entries window. Use the same start and end dates for
the override element that you use in the Absence Details window.
See: Making Manual Element Entries, page 1-57
2. If the Further Information field is visible for your localization, click in the field and
select a context value relevant to your localization.
• Canada HRMS: Specify the ROE Reason and ROE Comments. You enter a ROE
Reason and ROE Comments for an employee in the Additional Absence Detail
Information window. The ROE Reason appears in Block 16 of the ROE. The
ROE Comments appear in Block 18 of the ROE.
• Dutch HRMS: If you have a category of sickness selected, you can enter a
percentage sick by selecting the NL_S context value.
Select No in the Non SI/Pension Absence field to count an absence as a real
social insurance day. Selecting Yes excludes the absence from counting as a real
social insurance day.
• Denmark HRMS: When you set up employees for Maternity/Adoption leave,
you can choose whether or not to accrue holiday during the absence. Use the
Absence category descriptive flexfield, to indicate if you use the accrual or not.
• Hungary HRMS: If your absence category is Maternity, enter the expected and
actual birth dates (and other dates if applicable). If your absence category is
Paternity, enter the child's birth date.
• Mexico HRMS: Specify your type of disability:
• General Disease
• Maternity
• Risk Incident
Leave and Absence Management 4-61
The list of available Disability IDs depend on if you have assigned this
disability with a Causal Incident (in the case of Risk Incident disabilities) or no
Causal Incident (in the case of Maternity or General Disease disabilities).
• Russia HRMS: If your absence category is Maternity Leave, enter the number
of children and the new born child's date of birth. If the absence category is
Child Rearing Leave, enter the new born child's date of birth. If you select the
absence type as Temporary Disability with Sickness Allowance Payment, then
select the disability details.
• Finland HRMS: If your absence category is Annual Holiday, Layoff, Labour
Dispute, or Unauthorized, enter the details of a similar absence taken by the
employee. For the absence category Sickness, select the doctor's certificate and
contract details. For the Accident category, select the work incident and doctor's
certificate details. If your absence category is Family Leave, enter the child and
maternity leave details.
• UK HRMS: For an OSP or OMP scheme and an absence that is, or contains, a
part of a day, select a unit of measure - days or hours - for measuring part days.
For a days-based scheme, select Day and select full or half day . For an hours
based scheme, select Hours and select the number of hours absent. Select the
appropriate value for the start date, end date, or both. If the entire absence is
less that a full day, select the value in the Start Date field.
3. Do one of the following:
• Enter projected dates for the absence. You can copy these later to the Actual Date
fields by choosing Confirm Projected Dates.
• Enter actual dates and duration as days or hours, according to the units of the
balance. If you enter an end date, you must also enter the duration.
If you want the application to automatically calculate the duration of the
absence, then you can either use the schedules and calendar events features
from Oracle HRMS and Common Application Components (CAC) or use a
formula.
See: Absence Duration, page 4-55
4. You can also select:
• Reasons for the absence
• The employee authorizing the absence
• The employee who replaces the absent employee for the duration of the absence
5. Save your work.
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Note: If this absence is related to another absence (for example,
they both result from the same cause), you can associate the
absences using the Absence Case page.
6. If you entered an absence type that is eligible under an absence benefit plan, you
can choose Enroll Absences to run the Participation Process in Absence mode. This
process assesses the person's eligibility for the absence plan. If they are eligible, the
process changes the status of the potential absence life event to Processed, and
evaluates any standard rates linked to the plan.
Alternatively, you can run this process for a group of employees from the Submit
Requests window. See: Running the Participation Process: Absence, page 4-64.
Note: UK Users: The Evidence and Statutory Payments buttons
display, if you opened this window from an SSP menu. Please note
that these buttons are only relevant to statutory absence types
(sickness, maternity, paternity, and adoption).
Viewing Accruals for Plans Associated with the Absence Type
If the employee is enrolled in an accrual plan, the Accruals button is available. Choose
this button to display the Associated Accrual Plans window, where you can see
information about any accrual plans associated with the type of absence you are
entering.
To view accruals:
1. Enter or query an absence in the Absence Detail window, and choose Accruals.
2. If nothing is displayed, run a query in the Associated Accrual Plans window to
display the name and category of any accrual plans associated with the absence
type.
For each plan, three net accrual amounts are displayed:
The Net Entitlement figures on the This Absence tab show the effect of the absence
displayed in the Absence Detail window.
• The Before Absence figure is the net accrual calculated on the day before the
absence.
• The After Absence figure is calculated on the start date of the absence.
In most cases these figures will differ by the length of the absence you are entering.
However, if the absence happens to start on the day that this period's PTO
entitlement is accrued, the new accrual is also shown in the After figure. Similarly,
if any other time (such as time bought or sold) is debited or credited to the accrual
Leave and Absence Management 4-63
on that day, it is reflected in the After figure.
Projected Entitlement on the End of Plan tab shows the projected net accrual at the
end of the current accrual plan term, taking account of any future absences already
entered on the system. If the employee has future-dated assignment changes that
affect his or her accrual entitlement, these are taken account of in the calculation.
Note: This figure does not take account of absences with a projected
start date. It only includes absences that have an actual start date.
Example
Suppose Ms. Shah is enrolled on a vacation plan that runs each calendar year
starting 1 January, with a gross accrual of 2 days per month. Ms. Shah did not carry
over any entitlement from last year and has taken no absences before May.
Net entitlement is calculated for the last complete accrual period (that is, the period
that ends on or before the start of the absence being entered). This absence is only
included in the calculation if it starts on the last day of an accrual period.
The following table shows the accrual amounts (net entitlement) that would display
if you enter four absences in the sequence shown.
Absences: 2 - 4 May 31 May - 3
June
12 - 15 Aug 15 June
Before absence 8 5 7 3
After absence 5 3 3 2
End of plan
term
21 17 13 12
Enrolling Employees in PTO Accrual Plans
Enroll individual participants in an accrual plan by entering for them the element
generated to represent the plan.
To enroll participants in a PTO accrual plan:
1. Do one of the following:
• For enrollment of an individual employee, perhaps as a part of the hiring
process, enter the element representing the plan for him or her using the
Element Entries window.
4-64 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
See: Making Manual Element Entries, page 1-57
• For enrollment of a batch of employees in a plan, perhaps a newly-developed
plan, use BEE.
See: Making Batch Element Entries Using BEE, Oracle HRMS Configuring,
Reporting, and System Administration Guide
Overriding Length of Service
The default date for calculating length of service is the first day of the month of an
employee's hire date. You can override this by entering another date when you enroll
the participant in the plan. This is relevant to plans that have accrual bands based on
length of service.
If you enter a date here, it is also used, instead of the employee's hire date, when the
seeded formulas calculate the appropriate accrual start date for the employee. For
example, if the plan's start date rule is Six Months After Hire Date, accrual will begin six
months after the continuous service date you enter.
To override the default date for calculating length of service:
1. When enrolling the participant, enter the override date in the Continuous Service
Date entry value of the element representing the plan.
Running the Participation Process: Absence
You can run the Participation Process: Absence to process any absence-type life events
for an individual person or a group of people. The process assesses the person's
eligibility for the absence plan. If they are eligible, the process changes the status of the
potential life event to Processed, and evaluates any standard rates linked to the plan.
You run processes from the Submit Requests window.
To run the Participation Process: Absence
1. Select Participation Process: Absence in the Name field.
2. Enter the Parameters field to open the Parameters window.
3. Set the effective date of the process.
4. Select Commit or Rollback in the Validate field.
Select Rollback to check your results before committing them to the database. It is
easier to correct errors before you commit the results.
5. If you want to restrict the process to one person, select them in the Person Name
field.
Leave and Absence Management 4-65
6. If you have not selected one person, you can limit the persons evaluated by the
process by selecting from one or more of the following parameters.
• Person Type
• Organization
• Benefits Group
• Location
• Postal Zip Range (US only)
• Reporting Group
• Legal Entity (US only)
• Payroll
7. Select Yes in the Audit Log to create a file that lists the eligibility results for each
person evaluated by the process.
If you select Yes, you should periodically run the Participation Audit Activity Purge
process to purge the audit log tables.
8. Select Yes or No in the Limit by Person's Organization field. If you select Yes, the
process only handles compensation objects that have the person's organization
attached.
9. Choose the OK button.
10. Complete the batch process request and choose Submit.
Running the PTO Carry Over Process
The net accrual calculation for PTO includes carried over PTO in determining an
employee's accrued PTO to date. To set the net calculation rules, use the Net Calculation
Rules window. To review an employee's carry over of accrued time, use the Accruals
window.
Run the PTO Carry Over Process at the end of the accrual term using the Submit
Requests window. For accrual plans with a variable term start date (such as hire date or
seniority date), you should run the process every night to update plan information for
any employees whose term has ended that day.
Troubleshooting
The concurrent request log contains a summary of the accrual plans and assignments
4-66 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
processed.
The Payroll Action Parameter Max Errors Allowed determines the behavior of the
process when it encounters an error. If it encounters fewer than the maximum number
of errors, the process completes with a warning, commits the successful assignments,
and writes details to the concurrent request log of the assignments that did not process
due to an error. If the process encounters the maximum number of errors, it stops
processing, rolls back any processed assignments, and writes details of the errors to the
log.
To help Oracle's Support organization debug an issue, you can use the Payroll Action
Parameter Logging. If the parameter value includes a 'G' (General), all debug
information is written to the log. Logging significantly reduces performance and
generates large log files so it should be switched off in normal circumstances and only
used for debugging purposes.
To run the PTO Carry Over process:
1. Select PTO Carry Over in the Name field. If the Parameters window does not open
automatically, click in the Parameters field.
2. Enter a date in the PTO Calculation Date field and Current or Previous in the
Accrual Term field. These are used by the plan's Carry Over formula to determine
the effective date of the carried over PTO.
Typically you will use the following values if you are using seeded formulas:
• PTO_PAYROLL_CARRYOVER formula--use a calculation date of 31 December
with Accrual Term = Current, or a calculation date of 1 January with Accrual
Term = Previous. The effective date of the carry over is always 31 December (of
current or previous year).
• PTO_SIMPLE_CARRYOVER--use a calculation date of 31 May with Accrual
Term = Current, or a calculation date of 1 June with Accrual Term = Previous.
The effective date of the carry over is always 31 May (of current or previous
year).
• PTO_HD_ANNIVERSARY_CARRYOVER--set calculation date to the effective
date and use Accrual Term = Previous.
Important: If you select Current for the Accrual Term and enter a
calculation date that is not the end of the accrual term, this process
creates future-dated carry over and residual element entries.
3. Select the name of one accrual plan to process, or select a category to process all
plans in the category.
4. The Reprocess All Participants field defaults to No, so that the process affects only
Leave and Absence Management 4-67
those plan participants not previously processed for this accrual term. To process all
participants regardless of any previous processing, select Yes in this field.
Important: Select Yes if any employees have retrospective absences
or other entries that might affect net entitlement.
5. When the entry of parameters is complete, choose OK. Choose Submit to submit the
request.
The Carry Over process enters the Carried Over and Residual elements for all
employee assignments included in the process.
Reviewing Employees' PTO Accruals
To view information on employees' accrued PTO, use the Accruals window.
To view an employee's net PTO accrual:
1. Set your effective date to the day for which you want to calculate PTO entitlement.
2. In the Assignments Folder, query the employee's name. Choose the Accruals button
to go to the Accruals window.
3. Query the accrual plan in the Name window.
The Dates region shows the dates that the accrual formula uses for the entitlement
calculation. These are typically from the start of the accrual term to your effective
date. The Net Entitlement field displays the net accrued days or hours between
these dates. The Last Accrual date is the end of the last complete accrual period, if
the formula does not calculate accrual for partial periods.
If you allow maintenance of negative balances of accrued time at your installation
and an employee's time absent exceeds time accrued, the net entitlement appears as
a negative number.
Note: Net Entitlement can exceed the accrual ceiling if you have
increased entitlement using an adjustment element or the Carry
Over element. If you have adjusted net accrual so that it exceeds the
ceiling, the employee will accrue no time until net accrual falls
below the ceiling.
The Entitlement Details region shows the values used in the calculation of the net
entitlement:
• The element stores current accrued time.
4-68 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
• The Carried Over element stores accrued time carried over from
the previous accrual term. If the plan has an expiry date for carried over time,
the value shown after the expiry date is the amount of accrued time that was
used. Any remaining time was lost.
• The absence element stores accrued time taken.
• Any other elements created at your site to hold values used for calculating net
entitlement, such as elements to store bought or sold PTO.
If the accrual plan uses the seeded formulas, note that an absence is included in the
accrued time taken figure if it starts on or before your effective date.
Important: When reviewing employee accruals at the end of an
accrual term, remember that carried over and residual PTO appear
only after the PTO Carry Over process is run.
Viewing Absence History
Use the View Absence History window to view all absences for an employee.
To view absences for an employee:
1. Select an employee then choose the Find button.
The absences appear in the lower part of the window. Use the standard Folder
features to select a subset of these absence records, and to choose the fields to see.
Listing Employees by Absence Type
Use the List Employees by Absence Type window to see all the absence records for a
particular absence type, or category of types.
To list employees by absence type:
1. Enter any combination of absence type, category, and start and end dates to define
the absences to view. Choose the Find button.
The absences appear in the lower part of the window. Use the standard Folder
features to select a subset of these absence records, and to choose the fields to see.
Running the Absences Report
The Absences Report shows information about employee absences during a specified
period. It can show absences:
Leave and Absence Management 4-69
• For an individual employee, or for all the employees in an organization
• For all types of absence, or for selected types
The report summarizes the information as totals for each absence type since the
employee was first hired.
You run reports in the Submit Requests window.
To run the Absences Report:
1. In the Name field, select Absences Report.
2. Enter the Parameters field to open the Parameters window.
3. Enter the effective date for which you want to see the report.
4. Select either an organization or an employee.
5. Enter the start and end dates of the period for which you want to report absences.
6. You can choose up to 10 absence types for the report. To report on all types, leave
the absence type fields blank. Choose OK.
7. Choose the Submit button.
Resetting a Stored Accrual Balance
If you use Oracle Payroll, you may have set up your accrual plans so that the payroll
run maintains a stored accrual balance. Batch processes and reports that calculate
accruals use this stored balance for faster processing.
Normally the payroll run maintains this balance by calculating the accrual change each
period. It recalculates the accrual from the beginning of the accrual term when there are
any retrospective changes that affect entitlement. However, if you have made a
retrospective assignment change that your accrual formula cannot handle, you might
want to force the next payroll run to recalculate accruals from the beginning of the
accrual term for one or more assignments.
Note: This procedure assumes that your accrual formula uses the Reset
PTO Accruals function to check the setting of the Reset PTO Accruals
parameter. Refer to the seeded accrual formulas for an example of how
to use this function.
1. In the Action Parameters window, check the Default Group check box to view the
default action parameters. On the Parameters tab, scroll down to find the Reset PTO
Accruals parameter, and change its value from N to Y.
4-70 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
2. Create an assignment set containing the assignments whose accrual balances you
want to reset.
3. Run a QuickPay or payroll run for these assignments.
4. In the Action Parameters window, check the Default Group check box to view the
default action parameters. On the Parameters tab, scroll down to find the Reset PTO
Accruals parameter, and change its value from Y to N.
Important: Make sure you reset the parameter to N to ensure faster
processing in your normal payroll processes.
Leave and Absence Management 4-71
Accrual Balances Maintained by SSHR
Accrual Balances Maintained by SSHR : Overview
Managers and employees can view accrued leave details based on an effective date
using Oracle SSHR.
Managers
Using the Manager Self-Service responsibility, you can view accrued leave details for
employees in your team and allocate or plan deliverable accordingly.
You can:
• View Accrual balances in the View Entitlement Balances pop-up window from
approval notifications
Note: This does not apply to email notifications.
• The notification for approval displays the accrual balance as of the system date, by
default. You can enter an effective date and query for accrual balance as of that date
in the View Entitlement Balances pop-up window. Additionally, you can
personalize the effective date to display the accrual balance only as of the system
date, or personalize to hide the View Entitlement Balance pop-up window.
• When you create, update, confirm, or submit an absence on behalf on an employee,
you can view the employee's entitlement balances in the View Entitlement Balances
pop-up window. You can also view the accrual balances for all assignments of an
employee when you navigate to the notification from the worklist or workflow
responsibilities.
Note: If a terminated employee queries for leave accrual on a future
date beyond the termination date, instead of the accrual information,
the application will display the following message: Contact your HR
Representative for information on your accrual balance.
Employees
Using Employee Self-Service, you can view your accrued leave, allowing you with the
flexibility of planning vacations well in advance.
You can:
• View accrual balance in the View Entitlement Balances pop-up window when
creating, updating and submitting an absence
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• View accrual balance in the View Entitlement Balances pop-up window when
confirming a planned absence
• By default, you can view the accrual balances as of the system date. You can enter
an effective date and query for accrual balance as of that date in the View
Entitlement Balances pop-up window. Additionally, you can personalize the
effective date to display the accrual balance only as of the system date, or
personalize to hide the View Entitlement Balance pop-up window.
Managers and employees must use the Effective Date field on the tab Entitlement
Balances, of the Absence Management Summary table, to query for accrued leave.
See: Leave and Absence Management Overview, page 4-1
See: How do we track and analyze absences and net accrual entitlement:Leave and
Absence Management, page 4-3
See: Leave and Absence Management:Self-Service Functionality, Deploy Self-Service
Capability Guide
Leave and Absence Management 4-73
Workforce Intelligence Key Concepts for Leave and
Absence Management
Workforce Intelligence Key Concepts for Leave and Absence Management
To enable you to get the most out of Leave and Absence Management intelligence
reports, you need to understand the following key concepts:
• Absence Hours, page 4-73
• Working Hours, page 4-73
Absence Hours
The Absence Hours reports use the element information created when you enter either
an absence against the absence element, or an absence in the Absence Details window.
The report plots the absence hours for the date earned. This is entered for the element. If
a date earned has not been entered, then the element's effective start date is taken as the
date earned.
Note: If you have entered your absences using the Absence Details
window, a date earned is not set up; therefore the report uses the
effective start date of the element.
Regardless of the length of time an employee has been absent, the report always plots
his or her absence hours on the date earned, or the effective start date of an element. It is
possible, because of the frequency and time period you select, that an absence may fall
into two different time periods. The absence hours are always shown in the first time
period, rather than pro-rata across two time periods.
A pre-defined formula, TEMPLATE_BIS_DAYS_TO_HOURS, calculates the absence
hours. You can configure this formula to meet your requirements.
See: Discoverer Workbooks Implementation Steps, Oracle HRMS Strategic Reporting
(HRMSi) User Guide
Working Hours
Within Oracle HRMS, you record the number of regular and overtime hours worked
using elements. The Hours Worked reports process information for the hours worked
through formulas, which you must provide using Oracle FastFormula.
See: Setting Up and Customizing Working Hours, Oracle HRMS Strategic Reporting
(HRMSi) User Guide
4-74 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
The Hours Worked reports calculate the hours worked for each payroll time period
using employee assignments. For the assignment to be included it must:
• Be active or suspended.
• Fit the criteria you enter. For example, if you enter a grade name, the assignment
must have that grade entered against it.
Note: You can only run the Hours Worked reports if you previously set
up Oracle FastFormula to calculate your employees' regular hours and
overtime hours.
The Hours Worked reports display information about the payroll periods that most
closely match the start and end dates that you enter for the report. For example, if the
first date you enter is 05-Jan-2001, and the payroll begins on 01-Jan-2001, the report
includes information from 01-Jan-2001.
Leave and Absence Management 4-75
Workforce Intelligence for Leave and Absence
Management
Employee on Leave Detail Workbook
This workbook enables you to report on employees who are on a leave of absence on a
particular effective date. The workbook shows the following employee primary
assignment details:
• Employee number
• Organization
• Supervisor
• Location
• Hire date
• Absence details, including date start and date end
Worksheets
This workbook has the following worksheets:
• Organization Hierarchy
• Supervisor Hierarchy
Organization Hierarchy Worksheet
This worksheet enables you to report on employees who are on leave on the effective
date chosen. Employees are listed for a given organization and its subordinate
organizations. The additional parameter, Absence Types to Exclude, enables you to
exclude absence types that are not of interest, for example, Unpaid Leave.
Business Questions
When are my employees in an organization hierarchy on leave?
Parameters
You must specify values for the following parameters:
• Organization Hierarchy
4-76 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
• Top Organization
• Effective Date
Supervisor Hierarchy Worksheet
This worksheet enables you to report on employees who are on leave on the effective
date chosen. Employees are listed for a given supervisor and his/her subordinates. The
additional parameter, Absence Types to Exclude, enables you to exclude absence types
that are not of interest, for example, Unpaid Leave.
Business Questions
When are employees, reporting directly or indirectly to a specific supervisor, on leave?
Parameters
You must specify values for the following parameters:
• Supervisor
• Effective Date
Setup for Health and Welfare Management 5-1
5
Setup for Health and Welfare Management
Setup for Health and Welfare Management Overview
You use the implementation features of Standard and Advanced Benefits to design the
benefit programs that you offer to your employees and other eligible participants. You
can define eligibility and enrollment requirements for programs and plans, set up
activity rate calculations, and define reporting groups and system extracts.
Advanced Benefits includes all the components of Standard Benefits plus features for
managing life events and setting up flexible benefit programs.
See: Advanced Benefits Setup: Overview, page 5-3
Use the administration features of Standard and Advanced Benefits to manage benefits
enrollments and to maintain your benefit programs.
See: Standard and Advanced Benefits Administration: Overview, page 6-1
See: Advanced Benefits Administration: Overview, page 6-3
The application provides a Total Compensation Setup Wizard to guide you through the
setup process.
See: Total Compensation Setup Wizard, page 5-4
Features Common to Standard and Advanced Benefits
Standard and Advanced Benefits share a number of common setup features:
• Plan Design: You can design the program structure of the benefits you offer to your
employees and other qualified participants and dependents. Use the Total
Compensation Setup Wizard to help automate the setup process.
• Eligibility Profiles: You set up participant eligibility profiles and dependent
coverage eligibility profiles to restrict who is able to participate in a benefit
plan.
5-2 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
• Enrollment Requirements: You define enrollment requirements to determine
when an eligible person can enroll in a benefit plan.
• Activity Rates: You define an activity rate calculation to determine the standard
or variable contribution or distribution for a benefit. Activity rates also control
the calculation of coverage amounts, monthly premiums, and imputed income
taxation.
• Communications: Oracle HRMS helps you manage employee communications.
You set up communication type definitions to control the data the application
generates for inclusion in a communication. For example, you can extract a
participant's available benefit choices and price tags into a flat file that you then
merge into the body of a pre-enrollment letter.
Note: The application restricts Standard Benefits users to setting up
communications for COBRA and HIPAA administration.
• System Extract: The system extract feature lets you manage the extract and format
of person benefits data for delivery to organizations such as third party benefits
administrators.
• Plan Design Copy: Use this feature to save time during your implementation. You
can set up your plan design in a test database, for example, then use Plan Design
Copy to transfer the finalized design into your production database without
repeating data entry. For plans that share components, you can define a plan once,
then modify copies of the base plan as necessary.
Managing Benefits Using SSHR
You can set up Standard and Advanced Benefits so that individuals can manage their
elections through a web browser, thus saving the back office from the task of election
processing.
For information on setting up Self-Service Benefits enrollments, refer to My Oracle
Support Note 215159.1, Self-Service Benefits Enrollments with Standard and Advanced
Benefits.
Key Concepts
To broaden your understanding of Standard Benefits, and features common to both
Standard and Advanced Benefits, see:
Plan Design, page 1-69
Plan Design Copy, page 1-76
Eligibility Requirements for Total Compensation, page 1-128
Setup for Health and Welfare Management 5-3
Activity Rates, page 5-123
System Extract, Oracle HRMS Configuring, Reporting, and System Administration Guide
Self-Service Benefits Enrollments, page 5-9
Advanced Benefits Setup: Overview
Advanced Benefits enables administration based on life events that occur to
participants. You can generate enrollment actions, activity rate changes, and
communications based on seeded life events or events you define.
You also use Advanced Benefits to design benefit programs that are based on flex credit
accrual.
Advanced Benefits Features
In addition to the core features available with Standard Benefits, Advanced Benefits
comprises several distinct features:
• Life Events: The system lets you trigger enrollments, activity rate changes, and
communications based on the occurrence of a life event to a primary participant or
dependent.
• Life Event Reasons: These are the changes to a person's HR record that you
define as valid reasons for an enrollment action. Life events can be external,
such as the birth of a dependent, or internal, such as a work location change or
the start of an open enrollment period.
• Online Benefits Administration: This feature is useful for HR call centers. Using
the Benefits Service Center, you can record a change to a person's HR record,
evaluate the change for enrollment impact, and process an election online all from a
centralized form. You control the application windows, reports, and processes
available to your benefits administrators.
• Flex Credit Calculation: For those programs where you offer a choice of benefits
and coverage levels, you can define flex credit calculations that determine the
amount of flex credits a person must spend to purchase a benefit. You also define
restrictions as to how a participant can distribute unused flex credits.
Key Concepts
To learn more about Advanced Benefits, see:
Life Events Reasons, page 5-52
Seeded Life Event Reasons, page 5-58
Enrollment Requirements, page 5-69
Enrollment Types, page 5-73
5-4 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Flex Credit Calculations, page 5-169
Communications, page 5-178
Online Benefits Administration, page 6-38
Total Compensation Setup Wizard
Use Total Compensation Setup Wizard for a fast and easy way to enter your plan
design into Oracle HRMS. Total Compensation Setup Wizard uses the Oracle
Applications Framework to provide a task-oriented process for creating Health and
Welfare programs and the business processing rules associated with them.
Advanced Benefits customers can use Total Compensation Setup Wizard to set up:
• General program details for flex credit and non-flex credit programs
• Health and Welfare plans, options, coverage amounts, coverage restrictions, interim
coverages, standard and variable rate calculations, dependent and beneficiary
eligibility, and designation requirements
• Annual open enrollment periods
• Explicit life events from a set of pre-determined data triggers that generate a
corresponding enrollment period
• Enrollment requirements for unrestricted programs
• Enrollment requirements for specific life event processing (along with available
dependent changes)
• General or life event specific default enrollment requirements
• Final plan design review page and submit process to load data into the business
group
For Standard Benefits, the Total Compensation Setup Wizard automatically determines
your configuration options. Use the Wizard to:
• Configure your plan design
• Set up unrestricted programs
• Define participant eligibility requirements
• Set up activity rates, including variable rates and coverage calculations
After you complete your plan design, you can use the Wizard to:
• Update FastFormula in plan design objects
Setup for Health and Welfare Management 5-5
• Update multiple standard and variable activity rates simultaneously (Mass Update
of Rates)
You can then use the professional user interface to:
• Define flex credit calculations and benefit pools (OAB)
• Set up actual premium calculations
• Define colliding life event logic (OAB)
• Set up distribution rules if you offer reimbursement plans
• Define communication types
• Set up the Benefits Service Center for centralized administration (OAB)
Advantages of Advanced Benefits Life Event Processing
As an Advanced Benefits customer, you can take advantage of a range of features,
including:
• Automated Life Event Management
• What-If Eligibility Determination
• Mass Enrollment Processing
Oracle strongly recommends that you implement the Life Event processing model to
automate benefits administration. This model enables you to configure enrollment
restrictions based on specific life events that you define. Life event processing manages
complex situations; for example, when a participant reports a life event that occurred in
the past and other elections are already in place, or when the elections and rates for a
life event must become effective in the past.
Consider the following questions that illustrate the advantages of the Life Event
processing model:
• Do you want to process mid-year election changes automatically for a single
participant? Would you like to perform mass enrollment updates or corrections?
• Do you need to automatically assign certain benefits to employees or family
members?
• Do you anticipate automating your administration practices in the future? Do you
need to enforce business rules, such as requiring or reminding a participant to
designate dependents or requiring a participant to provide "Evidence of
Insurability?"
5-6 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
• Do you restrict an employee's benefit choices based on life events, such as a
marriage or the addition of a child?
• Would you like to operate in a Self-Service environment where employees record
their own elections through a web browser? Would you like to allow employees to
use Self-Service for mid-year election changes and to restrict the allowable updates
based on the reason for the change?
Answering Yes to any of the above questions--in conjunction with planning the
components of your benefits program--should justify implementing the life event
model. The Total Compensation Setup Wizard assists you with this configuration.
Standard and Advanced Benefits Implementation
Oracle HRMS provides a complete solution for Total Compensation management. Your
Oracle Human Resources license includes the Standard Benefits feature set that enables
you to manage your enterprise's benefits offerings.
The Oracle Advanced Benefits license provides the Standard Benefits feature set plus
additional functionality enabling you to design flexible benefit programs and to
administer benefits based on life events.
See: Advanced Benefits Implementation, page 5-7
Standard Benefits Implementation
Standard Benefits provides the functionality you need to administer benefit programs
that do not offer flex credit based benefits. The Standard product is also useful if you
outsource a significant portion of your benefits administration.
What kinds of benefit plans are supported by Oracle HRMS?
You can use the product to manage the most typical plan types, including:
• Medical plans
• Dental plans
• Vision plans
• Prescription drug plans
• Short term and long term disability plans
• Group term life insurance
• Dependent life insurance
Setup for Health and Welfare Management 5-7
• Group legal services
• Savings plans (such as 401(k) and money purchase)
• Vacation Buy/Sell plans
• Continuing benefits (such as COBRA and HIPAA)
In addition, you can accommodate other forms of benefits such as company cars,
reduced rates on loans, subsidized dependent care, or other goods or services for which
your enterprise offers employee reimbursement.
Can you restrict who is eligible to receive a benefit?
You use eligibility profiles to restrict which participants may enroll in a given benefit.
You create an eligibility profile by grouping together your eligibility criteria, such as
work and personal factors.
You create a dependent coverage eligibility profile when you want to restrict the criteria
that must be met for a dependent to be covered by a benefit.
How do I schedule an enrollment period?
In Standard Benefits, you use the unrestricted enrollment method to process your
enrollments. Unrestricted enrollments are not limited to a period of time. You can
record the dates of your open enrollment in the system, but these dates do not restrict
your enrollment processing.
How do I define payroll deductions and payments for benefits?
You define activity ratecalculations for a benefit plan that determine the contribution
amount required to purchase the benefit. Activity rates can also be used to calculate
employer contributions to a plan and distribution payments from a plan.
Can you vary the rate that different participants pay to purchase a benefit?
If your plan rules stipulate that the amount a participant must pay to purchase a benefit
varies based on certain factors, you can define a variable rate profile to define these
variable criteria. Then, when eligible participants meet these criteria, they will receive
the variable rate.
You can vary an activity rate based on employment factors, such as an employee's work
location, or length of service with your organization.
Advanced Benefits Implementation
By licensing Advanced Benefits, you can also fulfill the following business
5-8 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
requirements.
How do I define qualifying life events?
You define a life event reason as a database change to a person's HR record. This change
may require or enable an enrollment action. An enrollment action is an enrollment,
de-enrollment, change in election, or change in contribution rate that is implemented
either automatically, by default, or at the explicit request of the participant.
You link life events to scheduled enrollment periods, benefit plans, and
communications. When a life event occurs to a participant, the system evaluates the life
event to determine benefits eligibility and electable enrollment choices.
For example, if an employee's work location changes, you might want to evaluate this
change to see if there is a corresponding change in benefits eligibility or contribution
rates. If an employee's status changes from active to terminated, you may need to
generate a continuing benefits action (such as for COBRA in the US).
How do I implement a flex credit program?
You can use Advanced Benefits to create flex credit based programs that offer a range of
benefit choices to your employees and other eligible participants.
You create activity rate calculations that determine the number of flex credits required
to purchase a particular benefit. You can select from a variety of calculation methods,
from a flat amount to a multiple of compensation. You can associate a variable rate
profile with your flex credit calculation if contribution rates vary for an individual
based on factors that you define.
Using benefit pools, you specify how credits may be rolled over between plans and how
excess flex credits can be distributed.
Does the application support automatic and default enrollments?
Yes, Advanced Benefits customers can define automatic enrollments to enroll
participants in benefits without their explicit request. For example, you could trigger an
automatic enrollment based on a life event so that when a person is hired, they
automatically receive certain coverages.
Advanced Benefits customers can also define default elections for participants who fail
to explicitly make benefit elections.
Setup for Health and Welfare Management 5-9
Self-Service Benefits Enrollments
Self-Service Benefits Enrollments
Self-Service Benefits supports a variety of enrollment types, including open,
unrestricted, and life event enrollments for one or more flex or non-flex programs.
The enrollment choices, price tags, and other information in Self-Service Benefits web
pages are derived from Oracle Applications database tables using the rules of your plan
design. Updated information is stored in the Oracle Applications database tables using
standard Application Programmable Interfaces (APIs).
Self-Service Benefits supports enrollment for plans and options in a program. Use
vertical plan types, which can have multiple rates, to enable plan level enrollments and
horizontal plans types to enable enrollments in options inside a plan level with single
rate. Use Oracle's professional forms interface or the self-service Individual
Compensation Distribution web pages to enroll participants in all plans not in a
program such as savings plans, Employee Stock Purchase Plans (ESPP), or 401(k) plans.
Self-Service Benefits Enrollment Functionality
Self-Service Benefits offers an employee the opportunity to:
• Review current, and future program benefits enrollments, and up to ten past
enrollments, within the last two years
• Select benefits
• Distribute excess flex credits (Advanced Benefits)
• Add, update, or review family member information
Note: Family member information entered through the self-service
interface and personal contact data entered through the professional
forms interface share the same table. Any data entered or updated in
Self-Service HRMS or the professional forms interface is reflected in
both interfaces.
• Add, update, or remove dependents
Note: Self-Service requires dependents and beneficiaries to have the
personal relationship check box checked on the Contacts window.
• Add, update, or remove beneficiaries
5-10 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Employees can select organizational beneficiaries provided that the administrator
has entered the Beneficiary Organization using the professional forms interface, and
selected the May Designate Organization as Beneficiary check box in the plan
enrollment requirements.
• Search for and select primary care providers
• Print a temporary participant identification card
• Save or print an enrollment confirmation statement as a PDF document
Legal Disclaimer Page
During implementation, you can choose to display a predefined Legal Disclaimer page
in Self-Service Benefits. Before self-service users can enroll in a benefit, they must read
and accept the terms provided in the Legal Disclaimer page. If they do not accept these
terms, the application will not enable the users to enroll.
You can enter the instruction text for the Legal Disclaimer page in the Self Service
Instructor Text field in the Communication Types Usages window. This is a one-time
process that you can complete when you set up Self-Service Benefits. You can also
include HTML tags in the Disclaimer text for formatting effects, such as bold and
indented text.
Enrollment Change Workflow Notifications
You can configure the Workflow Builder to send a notification to an HR professional
whenever a participant updates a Self-Service Benefits Enrollment web page, excluding
the Primary Care Provider page. The notification contains the following information
and provides direct access to the Confirmation page for the participant, but is not linked
to any Workflow approval process:
• Name of Employee
• Social Security Number or National Identifier
• Life Event Name
• Enrollment Period
• Selected Benefit Plans and Options
• List of Covered Dependents
Oracle Workflow sends a notification to a worklist or group that you maintain after the
participant completes the enrollment update. If the participant closes the browser
window prior to reaching the Confirmation page, Oracle Workflow sends a notification
within one hour of the first enrollment change.
Setup for Health and Welfare Management 5-11
You can manually override the enrollment or contact the participant to correct and
resubmit the election if necessary.
See: Self-Service Workflows, Oracle HRMS Deploy Self-Service Capability Guide
Hidden Fields in Self-Service Benefits
There are a number of fields that are delivered hidden by default on the self-service
pages. You can choose to display them. They include:
• Coverage start and end dates for specific enrollments
• Cost 2 (after tax), 3 (taxable), and 4 (miscellaneous) columns for displaying multiple
rates for a vertical display plan type
• Physician group and hospital, on the Primary Care Provider Search page
• Full name
See: Benefits Enrollments, page 5-17 for further details of these hidden fields and the
regions where you can display them.
Displaying Descriptive Flexfields
The following descriptive flexfields can be entered in self-service Benefits:
• Additional Ben Prtt Enrt Rslt F Details (BEN_PRTT_ENRT_RSLT_F)
You enter this flexfield data on the Benefits Information page, which appears after
the Benefits Selection page if the flexfield has been set up and there are global
segments, or segments defined for the selected plan type.
• Add'l Contact R'ship Det's (PER_CONTACTS)
You enter this flexfield data in the Miscellaneous region of the Family Member Add
page. You can also view or enter the flexfield data in the Personal Information
module of SSHR.
• Further Person Information (Person Developer DF)
You enter this flexfield data in the Name and Relationship region of the Family
Member Add page.
If you have set up the Further Person Information or Additional Contact Relationship
Details flexfields, you can choose to display some or all of the segments in self-service
using the Personalization Framework. See: Configuring Flexfields, Oracle HRMS Deploy
Self-Service Capability Guide
The Additional Ben Prtt Enrt Rslt F Details flexfield appears automatically if you define
and freeze this flexfield. You must bounce the Apache server after freezing or
unfreezing the flexfield to ensure that your changes are displayed.
5-12 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Plan Type Context
You may want to display the Additional Ben Prtt Enrt Rslt F Details flexfield only for
enrollment in specific compensation objects. For example, you may want to display
prior years commission information to participants for a supplemental life insurance
plan, while hiding commission information used to calculate group life insurance rates.
To display the flexfield differentially by compensation object, you must define a context
for the flexfield based on BG_ID_PL_TYP_ID. On the Descriptive Flexfield Segments
window, uncheck the Displayed check box for the context if you do not want to show
the context poplist to the user. Notice that if you display this list, it will contain all the
contexts for the flexfield (even those for other business groups) unless you restrict them
by a value set defined for the context.
If there are frozen segments for the descriptive flexfield but no global segments defined
and no segments defined for the selected plan type, the Benefits Information page
appears in the enrollment chain but the region pertaining to this plan type does not
display. Existing data set up in the flexfield is not affected by any new contexts you
define for self-service.
Plan Design Considerations for Self-Service Benefits
Before eligible participants can enroll in self-service benefits using the self-service
interface, you must design your benefit plan using Oracle's professional forms interface.
The following topics look at the points you should consider when designing your plan
for the self-service environment.
Legislative Configurations
Self-Service Benefits is delivered with US-style formatting for the following fields:
• Address
• Social Security Number
• Pre Tax Cost
• After Tax Cost
For non-US self-service implementations, you can edit field labels to fit your legislative
requirements and you can also hide and unhide fields. For example, you may want to
hide the list of States from the address fields.
Note: The address style and country used by Self-Service Benefits is
inherited from the primary benefits participant.
If your legislation or benefit plan design does not allow for after tax contributions,
consider hiding the after tax columns on the tables contained in the following web
Setup for Health and Welfare Management 5-13
pages:
• Benefits Enrollment Overview
• Current Benefits Overview
• Benefits Selection
• Confirmation
See: Setting Up Self-Service Benefits Web Pages, page 5-35
See: Benefits Enrollments, page 5-17 for a list of the configurable user interface
elements in each delivered web page.
Integration with Authoria HR (US and UK)
The third party product Authoria HR provides a common knowledge repository to
manage and communicate HR and benefits information.
After a self-service implementer defines a total compensation plan in the Oracle HRMS
professional user interface, licensees of Authoria HR can configure links between Oracle
HRMS and Authoria HR.
End users can click on links in the applicable self-service web pages to display
context-sensitive Authoria HR documentation.
You can configure the following self-service enrollment windows for use with Authoria
HR:
• Benefits Enrollment Overview page
• Current Benefits page
• Confirmation page
• Benefits Selection page
See Configuring Links Between Oracle Standard and Advanced Benefits and Authoria
HR, Oracle HRMS Configuring, Reporting, and System Administration Guide
Multiple Rates
You can display up to four standard rates for each compensation object to enable
employees to see employee and employer paid premiums, and related costs such as
fringe benefit taxes and administrative fees. Multiple rates are displayed on the
Overview, Benefits Selection, Current Benefits, and Confirmation pages.
Only vertical display Plan Types are able to be custom formatted in self-service to
display multiple rates for a single compensation object. Due to display and sizing
constraints, horizontal display Plan Types cannot display multiple rates. You can only
display one standard rate per column.
5-14 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
When you define standard rates for self-service, you can select any activity type and tax
type. However, you must check the Display on Enrollment check box (Processing
Information tab) and you must specify the Self Service Display Order number (1 to 4).
When you display multiple rates, the column headings in self-service are Cost 1, Cost 2,
Cost 3, and Cost 4. Otherwise, a single rate displays as either Pretax or Aftertax. You
can change the column headings using the Personalization Framework.
When defining your standard rate, consider the following:
• For Costs 2, 3, and 4 you can select the Display on Enrollment check box (Processing
Information tab of Standard Rates window) or the Enter Value at Enrollment check
box (Calculation Method tab). However, do not select the Enter Annual Value check
box on the Calculation Method tab. Annual Value can only be entered in Cost 1, if
applicable.
• Costs 2, 3, and 4 can be used to calculate additional amounts, either based on the
coverage or the amount in Cost 1. For example, if you charge a 2% administration
fee for a spending account, you would set up the rates as follows:
Coverage-Check the Enter Value at Enrollment box
Cost 1 = Contribution - Select Same as Coverage as the Calculation Method
Cost 2 = Administration Fee - Select Multiple of Coverage as the Calculation Method
(0.02 * coverage, in this example)
Cost 3 = Total Cost - Select Multiple of Coverage as the Calculation Method (1.02 *
coverage, in this example)
Benefits Pools (Advanced Benefits)
If you are displaying multiple rates, you may not want them all deducted from flex
credits. Use the Application tab on the Benefits Pool window to determine which
standard rate to deduct. All rates selected on this tab are included in the Flex Credit
Used Total. Unused Flex Credits (rollovers) displayed are not impacted by the use of
multiple rates.
Flexible Spending Accounts (US)
To ensure that your qualifying participants can enroll in Flexible Spending Account
(FSA) plans using Self-Service Benefits, you must set up your plans using one of the
following two methods:
The preferred method is to use the Plan Types window to define one plan type for each
FSA plan. For example, you define one plan type for Dependent Care FSA plans and a
second plan type for Health Care FSA plans. For each plan type, you define the
coverage plan or plans into which participants and their dependents can enroll. You
also define a decline coverage plan which is linked to each plan type.
Alternatively, you can set up one FSA plan type that covers both dependent care and
health care plans. Within this plan type, you define plans for both dependent care and
Setup for Health and Welfare Management 5-15
health care. Then, within these plans, you link options for both selecting and declining
coverage.
Other items for consideration:
• When you define the activity rate for the FSA plan, check the Enter Value at
Enrollment field in the Calculation Method region of the Standard Rates window.
• Select Set Annual Rate Equal to Coverage as the calculation method.
• In the Coverages window, define the minimum and maximum contribution
amounts for the FSA plan. Indicate that values for this plan are entered at
enrollment.
Flexible Benefits Programs (Advanced Benefits)
With Flexible Benefits Programs, you can offer flex credits to eligible participants to
offset the cost of benefits. When you defining a benefit program in the Programs
window, select the same periodicity for the activity reference period (the time period in
which the system expresses activity rates) and the enrollment rate frequency (the
activity rate that is communicated to participants). This ensures that the price tags for
selecting benefits and the flex credits available to participants are expressed for the
same time period.
Other items for consideration:
• Unless your flex credits are determined using the result of a calculation, you
indicate the number of flex credits associated with a compensation object by
entering the value in the Flat Amount field in the Calculation Method region of the
Flex Credits window.
• You must set up a flex credits placeholder plan and link this plan to the flex program.
This plan records the total flex credits for the program. Define a rate for this plan by
entering zero in the Flat Amount field of the Calculation Method region of the
Standard Rates window.
• Set the processing type of the corresponding element to Recurring.
Temporary Participant Identification Cards
A temporary identification card allows a participant to obtain medical, dental, or other
benefit treatment before the participant receives the official membership card from the
provider. Using Self-Service Benefits, a participant can print one card for each elected
plan that allows for temporary identification cards. The participant can also print a card
for each covered dependent.
The application generates a temporary ID card upon:
• Enrollment
5-16 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
• Re-enrollment
• Change in Enrollment
• Participant Request (due to loss)
The identification card includes information such as:
• Employee Name and Social Security Number
• Member Name and Social Security Number (for dependents)
• Employer Name
• Plan Name
You indicate that a plan allows for the printing of temporary ID cards by checking the
Allow Temporary Identification field on the Plans window.
Declining Coverage
Depending on your plan design, you must set up either a decline coverage plan or
option that allows a participant to waive an enrollment opportunity for which they are
otherwise eligible.
If a plan type contains multiple plans, you create a decline coverage plan in the Plans
window (in addition to the regular plans) and indicate that the plan is of the specified
plan type. If a plan type has only one plan, you define a decline coverage option and link it
to the plan. This ensures that participants can either select or decline benefit coverage.
Note: If your plan design requires that a participant select at least one
option from a group of options or at least one plan from a group of
plans, do not define a decline coverage plan or option.
Self-Service Benefits What-if
Self-Service Benefits What-if enables you to model electability for benefits based on
proposed changes to a person's HR record, before you make the actual change. When
you model electability, the database does not save changes, so you can view different
electability scenarios without having to manually save data.
The Self-Service Benefits What-if page is available from Manager and Employee
Self-Service Responsibilities. To ensure that certain data is not visible to all users, as an
administrator, you can define roles for Self-Service Benefits What-if. Managers can
review changes to benefits for employees in their security group that would result from
proposed changes to the employee's HR record. Employees can view changes to their
benefits based on proposed data changes to their HR records. The comparison is in
terms of their electable choices, plan or option enrollment rate.
Setup for Health and Welfare Management 5-17
As a manager or an employee, you can compare current benefits with the proposed
benefits based on the electable choices, and a plan or option enrollment rate. For
example, you can view the benefits impact of relocation or a change in weekly hours
worked.
See: Modeling a Person's Benefits Eligibility (Advanced Benefits), page 6-37
The system does not allow you to model electability if current life events are in
progress. What-if electability depends only on the data changes you elect to model.
Using the HRMS System Administrator responsibility, you need to enable the Benefits
Compensation Objects Extra Information Type (EIT). This EIT enables you to add
information about the type of compensation object such as program, plan type,
compensation object name, and a flag indicating whether the compensation object is
visible to the user.
See: Setting Up Extra Information Types Against a Responsibility, Oracle HRMS
Configuring, Reporting, and System Administration Guide
You also define the What-if Label that displays to users who perform the what-if
modeling, and the life events for compensation objects and link one or more person
changes to each life event.
See: Setting Up What-if Modeling, page 6-36
You can use the HRMS System Administrator responsibility to configure Self-Service
Benefits What-if so that managers only view changes to benefits for employees in their
security profile.
By default, the Self-Service Benefits pages do not display some fields. However, you can
choose to display them using the Personalization Framework.
See: Benefits Enrollments, page 5-33
Benefits Enrollments
This topic provides reference information you need to configure your Self-Service
Benefits web pages using the Personalization Framework.
For instruction text, the tables below list--by web page region--the communication
short name and the valid communication usages that are required when you define a
communication type to display instruction text for a particular program, plan type,
plan, or life event.
See: Defining Self-Service Instruction Text, page 5-45
Hidden Fields: This topic also lists--by web page region--all fields the application
delivers as hidden which you can display using the Personalization Framework.
For example, by default all person name fields in Self-Service Benefits display names in
the format 'First Last Suffix' (without commas between the parts of the name.) You can
add the Full Name field to a web page and remove the delivered Name field. In the US,
the Full Name field uses the format 'Prefix Last, First Middle Suffix'.
5-18 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Menu and Function Names
This module can be accessed from the following menus and functions:
User Menu Name Function Name
Employee Self-Service Self-Service Benefits Enrollment - Employee
Employee Self-Service Self-Service Benefits Enrollment - Federal
Configurable Pages and Shared Regions
The following definitions can be configured using the Personalization Framework:
Family Members and Others, and Family Members and Others Detail Page
The Family Members and Others page enables a participant to view a record of their
family members and other persons enrolled as dependents or beneficiaries of their
benefits. Benefits participants can add another person to the Family Members and
Others table by choosing the Add Another Person button, which opens the Family
Members and Others Details page.
This page only displays when a person has either:
• An enrollment opportunity
• Eligibility for an unrestricted program
• A detected or unprocessed potential life event as of the system date
If one of these conditions does not exist, the application opens the Current Benefits
page.
The seeded life event reason of Added During Enrollment prevents a life event from
occurring when you create a family member or update a family member's details. If you
define a life event reason of the type Personal, that you make Selectable for Self Service,
you can trigger a life event when a person enters or deletes a contact on the Self-Service
Human Resources Contacts page and selects a relationship start or end reason.
Note: It is recommended that you provide instruction text indicating
that eligibility for benefits may be based on family members. However,
you cannot use communication usages to restrict the display of
instruction text to a compensation object or a life event for the Family
Members page.
Setup for Health and Welfare Management 5-19
Hidden Field: Use the BEN_FAMILY_MBRS_TABLE region to add the hidden Full
Name field to the page and to remove the Name field if necessary.
Family Members and Others
Region Tip Type Message Name Required
Communication
Short Name
Valid
Communication
Usages
Members
Content
Instruction
FML.FAMILY_
MBRS_CONTEN
T
Program, Life
Event
Family Members
Content
Help Tip
Family Members and Others Detail Page
Region Tip Type Message Name Required
Communication
Short Name
Valid
Communicatio
n Usages
Add or Update
Family Members
Instruction
FML.FAM_ADD
_CONTENT
Program, Life
Event
Name and
Relationship
Instruction
FML.FAM_ADD
_NAME
Program, Life
Event
Address Instruction
FML.FAM_ADD
_ADDRESS
Program, Life
Event
Miscellaneous
Information
Instruction
FML.FAM_ADD
_OTHER
Program, Life
Event
Second Medical
Coverage
Instruction
FML.FAM_ADD
_SECOND_MEDI
CAL
Program, Life
Event
Address Help Tip
Name and
Relationship
Hint (Suffix) 92638 __ __
5-20 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Region Tip Type Message Name Required
Communication
Short Name
Valid
Communicatio
n Usages
Address Hint (Postal
Code)
92639 __ __
Miscellaneous
Information
Hint (National
Identifier)
92640 __ __
Miscellaneous
Information
Hint (Date of
Birth)
92637 __ __
Message
(Required Field
Missing)
92601 __ __
Message
(Invalid Birth
Date)
92598 __ __
Configurable FlexFields
Family Members and Others Page
Region Flex Name Flex Code
Add or Update Family
Members
Further Person Information hrpersondevdfflex
Miscellaneous Information Additional Contact
Relationship Details
Add Cont Details D Flexfield
See: Configuring Flexfields, Oracle HRMS Configuring, Reporting, and System
Administration Guide
Benefits Enrollment Overview Page
The Benefits Enrollment Overview web page enables a participant to view a record of
their current benefits and to enroll into a new set of benefits.
Hidden Fields: You can use the following regions to add the hidden Full Name field to
Setup for Health and Welfare Management 5-21
the page and to remove the Name field if necessary.
• BEN_OVW_SELECTIONS_TABLE
• BEN_OVW_CVRD_DEPS_TABLE
• BEN_OVW_BENEF_TABLE
• BEN_OVW_PCP_TABLE
You can use the BEN_OVW_SELECTIONS_TABLE region to display a column for the
taxable cost of a benefit. This column corresponds to a standard rate with an activity
type of Self-Service Display, or--if you are displaying multiple rates for the
compensation object--to the rate you have defined with 3 in the Self Service Display
Order field. If you are displaying multiple rates, you can also display the Cost 2 (After
Tax Cost) and Cost 4 (Miscellaneous) columns to show the rates you have defined with
2 and 4 in the Self Service Display Order field.
You can also use the BEN_OVW_SELECTIONS_TABLE region to display Coverage
Start and End Date columns. These columns show the coverage start and end dates for
each election.
Benefits Enrollment Overview Page
Region Tip Type Message Name Required
Communicatio
n Short Name
Valid
Communication
Usages
Enrollment
Overview
Content
Instruction
BEO.ENRL_OV
ERVIEW_CON
TENT
Program, Life
Event
Flex Credits Instruction
BEO.FLEX_CRE
DITS
Program, Life
Event
Flex Credit
Summary
Instruction
BEO.OVERVIE
W_FC_SUMMA
RY
Program, Life
Event
Flex Credit
Rollovers
Instruction
BEO.FLEX_CRE
DIT_ROLLOVE
RS
Program, Life
Event
Benefit
Selections
Instruction
BEO.OVERVIE
W_SELECTION
S
Program, Life
Event
5-22 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Region Tip Type Message Name Required
Communicatio
n Short Name
Valid
Communication
Usages
Covered
Dependents
Instruction
BEO.OVERVIE
W_CVRD_DEP
S
Program, Life
Event
Beneficiary
Enrollment
Overview
Instruction
BEO.ENRL_OV
ERVIEW_BENE
F
Program, Life
Event
Primary Care
Providers
Enrollment
Overview
Instruction
BEO.ENRL_OV
ERVIEW_PCP
Program, Life
Event
Enrollment
Overview
Content
Message (No
Enrollment
Opportunity,
Brief Message)
92570 -- --
Enrollment
Overview
Content
Message (No
Enrollment
Opportunity,
Detail Message)
92571 -- --
Current Benefits Overview Page
The Current Benefits Overview web page enables a participant to see a record of their
current benefits.
Hidden Fields: You can use the following regions to add the hidden Full Name field to
the page and to remove the Name field if necessary.
• BEN_OVW_CVRD_DEPS_TABLE
• BEN_OVW_BENEF_TABLE
• BEN_OVW_PCP_TABLE
You can also use the BEN_OVW_SELECTIONS_TABLE region to display Coverage
Start and End Date columns. These columns show the coverage start and end dates for
each election.
Setup for Health and Welfare Management 5-23
Current Benefits Overview Page
Region Tip Type Message Name Required
Communication
Short Name
Valid
Communicatio
n Usages
Current Benefits
Overview
Content
Instruction
CBO.CURRENT
_OVERVIEW_C
ONTENT
Program
Flex Credits Instruction
CBO.FLEX_CRE
DITS
Program
Flex Credit
Summary
Instruction
CBO.OVERVIE
W_FC_SUMMA
RY
Program
Flex Credit
Rollovers
Instruction
CBO.FLEX_CRE
DIT_ROLLOVER
S
Program
Benefit
Selections
Instruction
CBO.OVERVIE
W_SELECTIONS
Program
Covered
Dependents
Instruction
CBO.OVERVIE
W_CVRD_DEPS
Program
Beneficiary
Overview
Instruction
CBO.OVERVIE
W_BENEF
Program
Primary Care
Providers
Overview
Instruction
CBO.OVERVIE
W_PCP
Program
Current Benefits
Overview
Content
Message (No
Current
Enrollment, Brief
Message)
92572 __ __
Current Benefits
Overview
Content
Message (No
Current
Enrollment,
Detail Message)
92573 __ __
5-24 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Benefits Selection Page
The Benefits Selection page enables a participant to select one or more plans in which to
enroll.
Region Tip Type Message Name Required
Communicatio
n Short Name
Valid
Communication
Usages
Enrollment
Selection
Content
Instruction
BNS.ENRT_SEL
ECTION_CONT
ENT
Program, Life
Event
Top Flex Credit
Region
Instruction
BNS.ENRT_SEL
ECTION_CR_T
OP
Program, Life
Event
Bottom Flex
Credit Region
Instruction
BNS.ENRT_SEL
ECTION_CR_B
OTTOM
Program, Life
Event
Selection Area Instruction
BNS.ENRT_SEL
ECTION_SELE
CT_AREA
Program, Plan
Type, Life Event
Selection Area Help Tip
(Certification
Legend)
Selection Area Help Tip (Enter
Annual Rate
Input Box, Long
Tip)
Selection Area Help Tip (Enter
Rate Input Box,
Long Tip)
Selection Area Help Tip (Enter
Benefit Amount
Input Box, Long
Tip)
Setup for Health and Welfare Management 5-25
Region Tip Type Message Name Required
Communicatio
n Short Name
Valid
Communication
Usages
Selection Area Message (Enter
Annual Rate,
Long Tip)
BEN_ENRT_AN
N_RTVAL_TIP
Selection Area Message (Enter
Rate, Long Tip)
BEN_ENRT_BNF
TAMT_TIP
Selection Area Message (Enter
Benefit Amount
Tip)
BEN_ENRT_RTV
AL_TIP
Selection Area Message (Tokens
for above
messages)
BEN_ENRT_SLE
CT_TIP_ANY_A
MOUNT
Selection Area Message (Tokens
for above
messages)
BEN_ENRT_SLE
CT_TIP_ANY_V
ALUE
Dependents Selection Page
The Dependents Selection page enables a participant to add their dependents to a plan.
Note: For Advanced Benefits customers: if participant dependents are
not displaying in this page, verify that you have linked the appropriate
life events to the program or plan enrollment requirements in the
Dependent Change of Life Event window.
Hidden Field: Use the BEN_ENRL_DEPEN_SELECTION_TABLE region to add the
hidden Full Name field to the page and to remove the Name field if necessary.
Dependents Selection Page
5-26 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Region Tip Type Message Name Required
Communication
Short Name
Valid
Communication
Usages
Dependents
Selection
Instruction
-- --
Dependents
Selection
Instruction
DPS.ENRL_DEP
ENDENTS_CON
TENT
Program, Life
Event
Dependents
Selection
Hint (Dependent
Table)
DPS.ENRL_DEP
ENDENTS_CON
TENT_PL
Program, Plan
Type, Plan, Life
Event
Dependents
Selection
Message (Can't
Designate)
92588 __ __
Beneficiary Selection Page
The Beneficiary Selection page enables a participant to add their beneficiaries to a plan.
Hidden Field: Use the BEN_BENEF_SELECTION_TABLE region to add the hidden
Full Name field to the page and to remove the Name field if necessary.
Region Tip Type Message Name Required
Communication
Short Name
Valid
Communication
Usages
Beneficiary
Selection
Instruction
(Page)
BFS.BENEFICIA
RY_CONTENT
Program, Life
Event
Beneficiary
Selection
Instruction (Plan
Level Table)
BFS.BENEFICIA
RY_CONTENT_
PLAN
Program, Plan
Type, Plan, Life
Event
Family Members
and Others
Instruction
BFS.BENEFICIA
RY_CONTENT_
FAMILY
Program, Plan
Type, Plan, Life
Event
Organizations Instruction
BFS.BENEFICIA
RY_CONTENT_
ORGS
Program, Plan
Type, Plan, Life
Event
Setup for Health and Welfare Management 5-27
Region Tip Type Message Name Required
Communication
Short Name
Valid
Communication
Usages
Beneficiary
Totals Table
Hint
Beneficiary
Selection
Message (Can't
Designate)
92587 __ __
Primary Care Provider Page
The Primary Care Provider page enables a participant to select a care provider. If your
enterprise partners with a third party supplier of primary care provider information,
you can configure this page to allow web-based searches of a database of provider
information.
See: Configuring the Primary Care Provider Search Facility, page 5-46
Region Tip Type Message Name Required
Communication
Short Name
Valid
Communication
Usages
Primary Care
Provider
Selection
Content
Instruction Instruction PCP.PcpSelectCo
ntentPageLevel
Program, Life
Event
Primary Care
Provider
Selection
Content
Instruction Instruction PCP.PcpSelectCo
ntentPlanLevel
Program, Plan
Type, Plan, Life
Event
Primary Care
Provider
Selection
Content
Hint
__ __
Primary Care
Provider
Selection
Content
Message (Can't
Designate)
92567 __ __
5-28 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Primary Care Provider Summary and Search Pages
Hidden Fields: You can use the following regions to add the hidden Full Name field to
the page and to remove the Name field if necessary.
• BEN_PCP_SEARCH_TABLE
• BEN_PCP_SELECT_TABLE
On the Primary Care Provider Search page, you can use the
BEN_PCP_SEARCH_CRITERIA region to add the hidden fields of Physician Group and
Hospital. The hidden fields of Location, School, and Degree are reserved for future use.
For the Physician Group, Hospital, Language, and Specialty fields, you must load the
available data as provided by your third party provider into the corresponding Lookup
Codes--in the following order--using the Application Utilities Lookups window in the
Professional User Interface.
• BEN_PCP_MED_GRP
• BEN_PCP_HOSPITAL
• BEN_PCP_LANGUAGE
• BEN_PCP_SPCLTY
Region Tip Type Message Name Required
Communication
Short Name
Valid
Communication
Usages
Primary Care
Provider Search
Instruction
PCS.PCP_SEAR
CH
Program, Plan
Type, Plan, Life
Event
Search Instruction
PCS.PCP_SEAR
CH_CRITERIA
Program, Plan
Type, Plan, Life
Event
PCP Result Table Instruction
PCS.PCP_SEAR
CH_RESULT
Program, Plan
Type, Plan, Life
Event
Ben PCP XML
Request Params
Tip
Setup for Health and Welfare Management 5-29
Region Tip Type Message Name Required
Communication
Short Name
Valid
Communication
Usages
Ben PCP XML
Request Params
Message (No
PCPs found)
Confirmation Page
The Confirmation page enables a participant to see a summary of their choices and a
warning of any oversights or miscalculations they may have made.
Note: You can also use the Confirmation page to display a signature
region for participants to print from their web browser. Use this region
if you require a participant's signature as part of a benefits enrollment.
Use the Personalization Framework to display the signature region for
this page.
Benefits users can print a summary statement of their enrollment, along with their
signature, to keep as a proof of their records or to submit to an HR Representative if
required. They can also view, print, or save the summary as a PDF document instead.
The statement page displays a summary of the participant's benefits enrollment along
with any warning messages, oversights, or miscalculations the participant may have
made during the enrollment. Depending on the participant's enrollment data and
personalization on the page, the Confirmation Page displays the following:
• Flex credits summary
• Benefits selection
• Covered dependents
• Beneficiaries
• Primary care providers
• Signature region
To print a benefits confirmation statement, click Printable Page. The printable page
prints only the relevant information, excluding navigation buttons, tip messages,
instruction text, tabs, and other user interface components.
To open or save the statement as a PDF document, click Publish PDF. Choose Open or
Save in the File Download dialog box. You can print the document once you open it.
If you want to change the layout of the PDF Confirmation page, you can configure a
5-30 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
copy of the default RTF template that XML Publisher uses for this page, which is
Benefits Enrollment Confirmation.
Hidden Fields: You can use the following regions to add the hidden Full Name field to
the page and to remove the Name field if necessary.
• BEN_OVW_BENEF_TABLE
• BEN_OVW_CVR_DEPS_TABLE
• BEN_OVW_PCP_TABLE
You can use the BEN_OVW_SELECTIONS_TABLE region to display a column for the
taxable cost of a benefit. This column corresponds to a standard rate with an activity
type of Self-Service Display, or--if you are displaying multiple rates for the
compensation object--to the rate you have defined with 3 in the Self Service Display
Order field. If you are displaying multiple rates, you can also display the Cost 2 (After
Tax Cost) and Cost 4 (Miscellaneous) columns to show the rates you have defined with
2 and 4 in the Self Service Display Order field.
You can also use the BEN_OVW_SELECTIONS_TABLE region to display Coverage
Start and End Date columns. These columns show the coverage start and end dates for
each election.
Region Tip Type Message Name Required
Communication
Short Name
Valid
Communicatio
n Usages
Ben Enrollment
Confirmation
Content
Instruction
BEC.ENRL_CON
F_CONTENT
Program, Life
Event
Flex Credits Instruction
BEC.FLEX_CRED
ITS
Program, Life
Event
Flex Credit
Summary
Instruction
BEC.OVERVIEW
_FC_SUMMARY
Program, Life
Event
Flex Credit
Rollovers
Instruction
BEC.FLEX_CRED
IT_ROLLOVERS
Program, Life
Event
Benefit Selections Instruction
BEC.OVERVIEW
_SELECTIONS
Program, Life
Event
Covered
Dependents
Instruction
BEC.OVERVIEW
_CVRD_DEPS
Program, Life
Event
Setup for Health and Welfare Management 5-31
Region Tip Type Message Name Required
Communication
Short Name
Valid
Communicatio
n Usages
Beneficiaries
Enrollment
Confirmation
Instruction
BEC.ENRL_CON
F_BENEFICIARI
ES
Program, Life
Event
Primary Care
Providers
Enrollment
Confirmation
Instruction
BEC.ENRL_CON
F_PCP
Program, Life
Event
BEN_ENRL_CO
NF_WARNINGS
Message
(Confirmation
Success)
92605 __ __
BEN_ENRL_CO
NF_WARNINGS
Message (Action
Item Warning)
92606 __ __
Configurable FlexFields
Confirmation Page
Region Flex Name Flex Code
Benefit Selections Additional Ben Prtt Enrt Rslt
F Details
N/A
Unused Flex Credits Page
The Unused Flex Credits page provides a summary of the flex credits left unspent by a
participant.
5-32 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Region Tip Type Message Name Required
Communication
Short Name
Valid
Communication
Usages
Unused Flex
Credits Content
Instruction
FLX.UNUSED_F
LEX_CREDIT_C
ONTENT
Program, Life
Event
Unused Flex
Credits Content
Instruction
FLX.UNUSED_F
LEX_CREDIT_N
ONE
Program, Life
Event
Unused Flex
Credits Content
Message (No
Unused Flex
Credits)
92633 __ __
Unused Flex
Credits Content
Message 92632 __ __
Change Session Date Page
The Change Session Date page lets you test future-dated elections. For example, you
may want to perform system testing before the start of an open enrollment period. This
page should be removed in your production environment so that benefits participants
do not alter their enrollment date.
See: Setting the Effective Date of a Scheduled Enrollment in Self-Service Benefits, page
5-41
Region Tip Type Message Name
Session Date Content Instruction 92604
Session Date Content Tip (Effective Date) 92637
Temporary ID Card Page
The Temporary ID Card page lets a participant print an ID card which the participant
can use to obtain medical, dental, or other benefit treatment before the participant
receives the official membership card from the provider.
Setup for Health and Welfare Management 5-33
Region Tip Type Message Name Required
Communication
Short Name
Valid
Communication
Usages
Oracle
Self-Service
Human
Resources
Identification
Card
Instruction
TMP.ENRL_TE
MP_ID_PAGE
Program, Life
Event
Ben Temporary
ID Card Content
Instruction
TMP.ENRL_TE
MP_ID_PLAN
Program, Plan
Type, Plan, Life
Event
Temporary ID
Card
Instruction
TMP.ENRL_TE
MP_ID_CARD
Program, Plan
Type, Plan, Life
Event
See: Configuring Web Pages, Oracle HRMS Deploy Self-Service Capability Guide
Self-Service Benefits What-if Pages
You can access Self-Service Benefits What-if from the following menus and functions:
Menu and Function Names
User Menu Name Function Name
Manager Self-Service Self-Service Benefits What-if Manager
Employee Self-Service Self-Service Benefits What-if Employee
You can configure the following definitions using the Personalization Framework.
Configurable Tips and Instructions
Region Tip Type Message Name
Impact on Benefits Region Header Text BEN_93423_SS_WATIF_HDR
_LABEL
5-34 Oracle Human Resources Management Systems Compensation and Benefits Management Guide (India)
Region Tip Type Message Name
Choose Winning Life Event
Region
Message (Error) BEN_93393_WATIF_CONFLI
CT_LER
Choose Winning Life Event
Region
Instruction BEN_93392_WATIF_CNFLT_
LER_INS
Effective Date Region Instruction BEN_93389_WATIF_EFF_DA
TE_INS
Associated Data Changes
Region
Instruction BEN_93391_WATIF_DATA_
CHG_INS
Impact on Benefits Region Instruction BEN_93394_WATIF_PG_INS_
TEXT
You can personalize the following columns to display them:
Seeded Hidden Columns
Column Name Displayed Detail
Reference Period Activity Reference Period
Current Electable Compensation objects currently electable
Current Coverage Coverage information about currently
electable compensation objects
Current Defined Amount Defined Amount
What-If Electable Compensation objects based on the what-if
modeling
What-If Coverage Coverage information about compensation
object based on the what-if modeling
What-If Defined Amount Defined Amount based on what-if modeling
Setup for Health and Welfare Management 5-35
Setting Up Self-Service Benefits Enrollments
You must complete your plan design in the professional forms interface before you can
view a Self-Service Benefits enrollment web page. If you license Advanced Benefits, you
can run the Participation Batch Process from the Concurrent Manager to create electable
choices for eligible participants.
If you use Standard Benefits, or if you are an Advanced Benefits customers using the
unrestricted enrollment method, you can begin to allow participant enrollments after
you create your plan design. The application creates the self-service enrollment page
when the person logs into Self-Service Benefits.
To set up self-service benefits enrollments:
1. Review the sample benefits web pages. You can configure the following elements
using the Personalization Framework:
• Section titles
• Table Layout
• Hints
• Tips
• Fields (you can choose to display fields that are hidden by default)
• Field labels
See: Configuring Web Pages, Oracle HRMS Deploy Self-Service Capability Guide
2. Choose whether to display a predefined Legal Disclaimer page that the user must
accept before processing an election.
Oracle Self-Service Benefits delivers the Legal Disclaimer page as hidden by default.
See: Setting Up User Access to Self-Service Benefits, page 5-38
3. Define instruction text for each web page region. You do this by defining a
communication type and associating the instruction text with a web page Region.
See: Defining Communication Types, page 5-180
You can include a link in your instruction text to another web site using HTML
syntax. You could create a link to reference information contained in a summary
plan description. For example:
See the