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Long Service Leave - Values (NZ)

Payroll | Leave Setup | Long Service Leave Tables | Values tab

Fields
Accrual method:

This field defines how employees accrue their long service leave entitlement units each pay period. The accrual units (days or hours) are determined by the option that you select in the Type of unit field.

Accrual rate per pay period:

Enabled when Accrual method = "Fixed units" or "Proportional units".

If using "Fixed" accrual, enter the exact value the employee will accrue each pay, irrespective of the hours worked, e.g. you'd typically take LSL Current Period Length and divide that value by the number of pay periods it will take to reach that service goal. Note, you would need a separate LSL table per pay period frequency in this case.

If using "Proportional" accrual, enter the "weekly" number of units that a person who has worked 100% or more of their expected hours, e.g. if the entitlement is 1 week after 10 years then enter 0.0019. PayGlobal will take the employee's pay period frequency into account when completing the calculation.

Weeks due at next allocation:

Enabled when Accrual method = "Rostered units" or "Weekly/Rostered units".

Enter the number of weeks the employee is expected to receive at the end of the entitlement period, e.g. if they get 1 week after 5 years service, then enter 1.00.

The accrual is calculated each time you process a pay using the employee's current Profiled Hours or Profiled Days depending on the setting applied to the Type of Units field.

PayGlobal uses the following calculation:

(Total Entitlement Weeks/ Total LSL Period Weeks) rounded to 4 decimals

* (Number of Weeks Per Month) rounded to 4 decimals

* (Profiled Hours) * 1

= accrual amount for a given pay period, also rounded to 4 decimal places

 

E.g.

"Weeks due at next allocation", i.e. Entitlement weeks : 1

LSL Current Period Length: 10 years, this value is converted to weeks

Number of Weeks Per Month = 13/3

Profiled hours: 40

 

= (1 / (10 * 52)) rounded to 4 decimals = 0.0019

* (13/3) rounded to 4 decimals = 4.3333

* 40 * 1 = 0.3293

Maximum accumulated units:

Maximum number of long service leave units that an employee can accumulate. If no maximum applies, then leave this field blank.

Maximum units accrued per week:

Maximum number of long service leave units that an employee can accrue per week.

Type of unit:

Employees can accrue their long service leave entitlement in weeks, days or hours.

Calculation of qualifying hours:

Enabled when Type of unit = "Weeks" or "Days". If you add a transaction for one weeks' or one day's long service leave, then PayGlobal has to determine the number of hours in that week or day. It can use either employee profiled hours or employee average hours.

Option

Result

  • A. Greater of profiled or average hours
  • B. Lesser of profiled or average hours
  • C. Profiled hours
  • D. Average hours

Average or profiled hours for each unit in the transaction accumulate in the employee's Annual Leave tab | Gross qualifying hours field.

  • E. Use Quantity (paying in hours)

The transaction's Quantity value accumulates in the employee's Annual Leave tab | Gross qualifying hours field.

 

Qualifying Allowance Group:

Enabled when Accrual method = "Proportional units". Select an allowance group to ensure that only relevant payments for the employee are included in the calculation of proportional long service leave entitlement.

Units before adjustment:

Select the period of time (weeks, months or years) before unpaid leave affects the long service leave end date and accrual. When an employee is on leave for more than a set period of time, you can adjust their long service leave entitlement date by the leave period. Such leave includes unpaid leave, maternity leave and sabbatical leave.

Note: If you want to specify the same absence period for employees in different pay periods, such as Weekly and Monthly, then you would have to set up long service leave tables for each group.

Length before adjustment:

Select the number of weeks, months or years (Units before adjustment) before unpaid leave affects the long service leave end date and accrual.

Adjustment Allowance Group:

Enabled when Length before adjustment is not blank. The Adjustment Allowance Group options do not include allowance codes that can extend the long service leave end date, such as maternity leave. PayGlobal can use this field value to adjust an employee's long service leave end date when the employee has no other transactions in the Adjustment Allowance Group or they have no transactions.

Use Reduce by value for AL qualifying hours:

If the long service leave allowance Details (iii) | Include in Annual Leave = "Yes", then the employee's long service leave will contribute to their annual leave Gross Qualifying and Total hours paid.

  • Yes

    Use this option only for long service leave tables that accrue in days or weeks. PayGlobal uses the Reduce by unit value not the Units to be paid value to calculate the qualifying hours and FTE hours. Use this option when you want to use one unit type to pay out leave and another unit type to reduce the leave. For example, long service leave is paid in weeks so it always uses the Reduce by value.

  • No

    PayGlobal uses the Units to be paid value to calculate the qualifying hours and FTE hours.

Convert AL qualifying hours using type of unit:
  • Yes

    Use this option only for annual leave tables that accrue in days. PayGlobal uses the employee's average profiled hours/day to calculate the Hours worked and Qualifying hours values from the annual leave transaction pay quantity, which is a day value.

    Important: The employee must have profiled hours/days.

  • No

    Default option.

 

 

 

 

 

 

 

 

 

 

 

 

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