Salary Adjustment / Pay Type Change

This is the section where user can make modifications in employee payroll-related information. All amounts must be entered in Local Currency and no $ symbol or commas are required.
In order to avoid unexpected results, change your computer Regional Settings to show amounts using a point (.) to separate decimals, and a comma (,) to separate thousands.

Go to Human Resources. Click on Employees.
Enter Employee WIN and click on 'Lookup Employee', or click on 'List' to select desired record from employee listings.
Once the employee record is shown, click on the 'Job Changes' tab in the Employee Maintenance page. Note the system has provided a functionality to navigate between employee records. Use the arrows in the upper part of the screen.
From the 'Data Changes' menu, click on Salary Adjustment / Pay Type Change.

Review and complete the following fields:

Effective Date: Use display calendar to set date.
Reason Code: Select appropriate code depending on the situation which motivated the changes:
- 104 - Correction: When employee salary was entered incorrectly and must be fixed.
- 200 - Merit increase: When employee will get a salary raise as part of a general performance/merit review process.
- 201 - Salary Adjustment: When employee salary is adjusted to the legally mandatory salary, the local salary change and/or the salary levels of their peers.
- 215 - Minimum Wage Increase: When employee lowest legal remuneration must be adjusted to comply with changes in local labor laws.
- 217 - Delayed Promo Adjustment: When employee had been promoted from a Job/Work perspective, but had not been compensated due to company salary policies.
- 218 - Market adjustment: When employee salary has to be adjusted based on individual/organization approximate market values.
- 219 - Relocation: When employee will be compensated for moving to a new work location.
- 220 - Union Negotiated Increase: When employee pay must be adjusted to comply with the most recent Collective Bargaining Agreement.
- 700 - Status-EE Type Change: When employee Pay Type or Full/Part Time status has changed (based on Scheduled Hours).
Salary Adjustment Information
Increase / Decrease type: Use drop down menu to select one of the following:
- New Salary Amount: The corresponding field will appear, so the user can enter new salary figure. The fields 'Increase/Decrease amount' and 'Increase/Decrease percentage' will appear grayed-out and will show the corresponding figures automatically.
- Increase/Decrease amount: The corresponding field will appear, so the user can enter the amount in which employee salary will be raised or reduced. Use the minus symbol (-) to enter negative amounts. The other two fields will be populated automatically.
- Increase/Decrease percentage: The corresponding field will appear, so the user can enter the percentage in which employee salary will be raised or reduced. Enter numeric value only. For example:
  - Enter 4, to indicate an increase of 4%.
  - Enter -10, to indicate a decrease of 10%.
Other Fixed Pay: Use this field to record employee additional earnings (other than salary or bonuses). In some countries, Other Fixed Pay refers to an annual additional benefit, e.g. 13th month, or any other fixed amount that employee is entitled to receive according to local labor laws or collective bargaining agreements.
Scheduled Hours: It refers to the number of hours the employee is expected to work during the company pay period. Default value will be displayed, but figure can be changed if necessary. Default value is set in the Company Maintenance page.

Pay frequency: It refers to how often the company employees receive their paychecks. Pay frequency appears grayed out in this section as this value is set in the Company Maintenance page, and once it has been set it affects all employees within the company. If there were salaried employees who should have a different pay frequency than the rest of the employees in the company, then they should be placed under a different company, despite working in the same site (or country) as the others.

Frequency Type Code	Description	Annualization Factor	Comments
A	Annual	1	Once per year
N	Biannual	0.5	Every two years
B	Biweekly	26.0714	Every other week
C	Contract	0	Once a predetermined task has been performed
D	Daily	365	Every day
F	Every four weeks	13	Every four weeks
T	Every ten days	36.5	Every ten days
X	Every six days	60.83	Every six days
H	Hourly	2920	Every hour
M	Monthly	12	Every month
Q	Quarterly	4	Every three months
E	Semiannual	2	Twice a year
S	Semimonthly	24	Twice a month
W	Weekly	52.14	Every week

Pay Type Description: It refers to the employee pay categorization. See Pay Type in Pay Category Information section in this same page. Depending on employee Pay Type, the following fields will appear:
Salary by pay period: It will show employee earnings depending on Pay frequency which had been set for that Company Code.
Annual Salary Local: It is calculated by the system, and included in Employee Data reports. IPS will perform the annual salary calculation based on the following formulas depending on employee Pay Type,
- SALARY EXEMPT - Salary Amount in employee record * Annualization Factor.
- SALARY NON EXEMPT - Salary Amount in employee record * Annualization Factor.
- SALARY IGNORE PIECE RATE - Salary Amount in employee record * Annualization Factor.
- PIECE RATE - 99 Time Hourly Rate * Scheduled Hours * Annualization Factor.
- HOURLY - Hourly Rate* Scheduled Hours * Annualization Factor.
- HOURLY IGNORE- Hourly Rate* Scheduled Hours * Annualization Factor.
- HOURLY & PIECE RATE- Hourly Rate* Scheduled Hours * Annualization Factor.
Annual Salary USD: It is calculated by dividing Annual Salary in local currency by the current exchange rate stored in Currency Codes tables.
Hourly Rate: See description under Pay Category Information section.
Hourly Rate 99: See description under Pay Category Information section.
Subsidy Hourly Rate: See description under Pay Category Information section.
Currency: Local currency used in country where company is located will be shown in boldface.
NOTE: Exchange rates are provided by our Finance department and updated on a monthly basis by IPS administrators. Exchange rates are stored in the Currency Codes tables.

Pay Category Information

Pay Type: It shows employee pay categorization. Select one of the following:
- Piece Rate Only: For employees whose pay is determined by achievement-based tasks. If this Pay Type is selected, then 99 Time Hourly Rate becomes a mandatory field.
- Hourly Only: For employees who are paid by the hour.
- Hourly Only - Ignore Piece Rate: For employees who are paid by the hour and may do piece rate tasks ocasionally, but their pay is not determined by achievement-based work.
- Hourly and Piece Rate: For employees who are paid by the hour and are also eligible for achievement-based compensation.
- Salary Exempt: For employees who are paid a specific salary amount and are NOT eligible for overtime pay.
- Salary Non Exempt: For employees who are paid a salary and are eligible for overtime pay. If this Pay Type is selected, then Hourly Rate must be entered, so the system can calculate hourly overtime pay.
- Salary - Ignore Piece Rate: For employees who are paid a salary and may do some piece rate tasks occasionally, but whose pay is not determined by achievement-based work.
NOTE. The above types correspond to FEPS types. If company is not using FEPS, user should select the most appropriate type or leave default values.
Direct/Indirect: Select Direct for employees whose job is more oriented to production labor, like transaction processing operator, or call center agent. Select Indirect for employees whose job functions are more oriented to oversee the production process, like team leads, supervisors, managers. Also, all office workers, like secretaries, assistants and administrative aids must be considered as Indirect.
Depending on employee Pay Type, the corresponding fields will have to be completed:
- Salary by Pay Period: It is the amount of money that employee will be paid every time payroll is processed.
- Hourly Rate: It is the amount of money that employee will make for every hour of work.
- Hourly Rate 99: It is the amount of money that the Piece Rate Employee will be paid for each hour he/she remains in the office when there is no work available i.e. System Client down, Power shortage, Training, Meeting, or when the employee has been asked to perform some other activities different from the job he usually does.
- Subsidy Hourly Rate: It is the minimum amount of hourly pay that a Piece Rate Employee must receive regardless of the hourly wage generated by the employee in one hour of piece rate work. Example if this value is 10, and the wages generated in one hour of piece rate tasks is 8, FEPS system will subsidy 2 automatically.
- PLD Rate: Hourly rate used for paid leave days.
- Shift Differential%: The system use this value in order to calculate some additional pay considering the shift that employee works. For example: If employee works during the night shift and shift differential is 10%, then system will calculate 10% of the total employee earnings, and will allocate the corresponding amount under a different Earnings Code.
For non-Piece Rate Pay Types:
- Indicate Salary by Pay Period, or Hourly Rate only without considering any bonuses which are based on performance objectives.
- Do not consider bonuses that are part of regular compensation packages (e.g. 13th or 14th payment, vacation adjustments, birthday bonuses, etc.)
- If user only knows annual salary, then divide total compensation by 12 (for monthly frequency) or 24 (for semi-monthly), and enter resulting amount in the Salary by Pay Period field. NOTE: For other Pay Frequencies, please consult ips.support@xerox.com, in order to determine the correct salary amount to be entered in employee record.
Employee Type: Select on of the following:
- Full Time - For employees who work a standard eight-hour shift. i.e. 40 hours a week.
- Part Time - For employee who work a reduced work shift. i.e. 15, 20 or 25 hours a week.
Full Time Equivalent %: Values should be between .01 - 1.0. User may contact HR Corporate office if unsure about this value.
Overtime Calc Method: According to local labor laws, each country or location has a particular way to determine overtime pay. Enter the appropriate method in the city or location where the employee actually works (Hermosillo, Guatemala, Juarez Admin, Juarez Day, etc).
Hours Offset from MT: Mountain Standard Time in the United States is the IPS local server time. Enter the time zone difference between local time and MST. Enter 0 if time is the same. Enter 2 if time is two hours ahead of Mountain Time. Enter -2 if time is two hours behind Mountain Time. .
Sunday Normal Shift: Mark this checkbox if the employee regular work schedule includes Sundays. This will prevent any overtime or extra pay amount to be generated in FEPS when the employee clocks in/out on Sundays.
Allow Time Clock: Mark this option if the employee will use FEPS time clock to register his hours worked.

Click on Submit. A confirmation window will popup. Please take some time to verify all return details are correct.
Click on Confirm to complete the process, or click on Cancel to make corrections.