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Time Configuration Issues

Former Member
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Hi All,

Please help me understand the singnificance of the following field in Accrual Entitlement tab of "Selection rules":

1) Difference between Pro rata and No Pro rata clculation

2) Reduction rule?

3) Reduction Quota?

Regards

Susmita Mukherji

Accepted Solutions (1)

Accepted Solutions (1)

Former Member
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PFB explanation:


1. Proration calculation – u should carefully decide whether accrual and base period are same or different

  • If different then this system setting is mandatory
  • Usually “No prorata” option is used when u choose replace option in V_556A_B

2. “Reduction rule for quota entitlement” – when absence quota accrual takes place, u may want reduce quota for EE’s who work only part-time

  • U can define that rule in T559M and also for EE’s who joined or left in the middle or LOA

3. Reduction Quota: Absence quota if maximum entitlement is exceeded

  • If maximum permitted accrual entitlement is exceeded and hence only maximum entitlement is credited, balance can be put in their quota

Answers (1)

Answers (1)

former_member184702
Active Contributor
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Hi Susmita ,

 

Pro rata calculation means in order to determine the appropriate entitlement based on the period, the accrual period is compared with the base period of the quota type currently being processed, and a proportionate accrual entitlement is determined. This is far more widely used than no pro rata, which means the total base entitlement of the quota type currently being processed is always used as the basis for the accrual entitlement.

For example joined on August, No. of leaves in a calendar year = 18 so he will be eligible for 18/12 = 1.5 * 5 = 7.5 days

.Reduction Rule specify the conditions under which you want a generated absence quota to be reduced.Days on which an employee is not active may also make it necessary to reduce the entitlement. Inactive days are usually as a result of employees joining or leaving the company. You can specify a percentage of inactive days after which you want a reduction rule to be implemented.Certain absences such as unpaid leave can also be counted as inactive days.

Thanks

Siva