(JPN) Updating Salaries for Japan

This chapter provides an overview of Japanese salary updating methods and discusses how to:

• Update salaries by step increase.

• Update salaries by salary amount increase.

• Update salaries by percentage.

Understanding Updating Salaries for Japan

The methods for updating salaries in Japan involve some functionality-specific setup and, depending on the salary increase method your organization uses, some or all of the following:

• Calculation of increases based on worker review results.

• Simulation of salary increases and manual adjustments.

• Loading of salary increases to worker job compensation records.

The three salary increase methods are:

• Step increases

• Amounts

• Percentages

The final processes associated with each of these methods produce new compensation records for each worker with an action of Pay Rt Change (pay rate change) and a reason of Salary Increase by Step, Salary Increase by Amount, or Salary Increase by Percent.

All the salary increase processes include worker review results in their calculation. Because review IDs are actually effective dates and the system automatically retrieves the results of the latest salary review after you specify the review ID for the process, you can be sure the system will use correct review results.

Prerequisites

All three salary increase methods must be based on worker reviews that have been resolved into a review band, meaning that worker reviews for these salary increase methods must be based on a review rating scale that has a scale type of Review Band.

Load Process

The load processes that are associated with each of the three salary increase methods—load steps, load amount, and load percentage increase—include a check of the worker's job record effective dates, action and action reason, and job code. The load process terminates for the worker and reports the worker on the error list if either of these conditions exists:

• A job row has an effective date equal to the Salary Increase Date that you set, and the action and reason combination is Promotion and Salary Grade Advance.

• A job row has an effective date equal to the Salary Increase Date that you set, and the Job Code for that effective-dated job row differs from the Job Code for the previous effective-dated job row.

Common Elements Used in This Section

Updating Salaries by Step Increase

To update salaries by step increase use the Step Increase JPN (STEPINC_TBL_JPN_GBL) component.

This section provides an overview of the step increase process and discusses how to:

• Set up step increases.

• Process step increases.

Understanding the Step Increase Process

Updating salaries by step increase requires that you set up a Step Increase table in which you associate several salary steps with a review band. Each worker's review band is derived from the points awarded by single or multiple reviewers using weighted or nonweighted reviews. After you have the salary step increase for each review band and each worker's review band, you can run a process to load the salary step increases for each worker.

Note. To run the update process for this method of salary increase, select the Multi-Step Grade check box on the Installation Table - HRMS Options page.

To update salaries by step increase:

1. Set up review bands and the number of steps to increase.

2. Run the JPN Load Salary Steps process.

Pages Used to Update Salaries by Step Increase

Setting Up Step Increases

Access the Define Step Increase page (Compensation, Base Compensation, Step Increase JPN, Define Step Increase, Define Step Increase).

Rating Model and Review Rating	Enter the rating model and review rating.
Number of Steps to Increase	Enter the number of salary step increases to associate with the rating model that you entered. Workers in this rating model receive the salary that is associated with the step to which they move. For example, if they increase three steps for being in Rating Model A, then they increase from the salary for Step 2 to the salary for Step 5.

Processing Step Increases

Access the Load Salary Steps page (Compensation, Base Compensation, Step Increase JPN, Load Salary Steps, Load Salary Steps).

Calculation As Of Date	The effective date the system uses to determine which job compensation record it should use to obtain the worker's current data to calculate the new data. For example, if the worker's review band earns the worker a three-step increase, the system must use the existing step to calculate the new step.
Salary Increase Date	This value becomes the effective date of the new job record that the system inserts for the worker for the review-based increased amount. The action and reason are Pay Rate Change and Salary Increase by Step, respectively.
Group ID	Enter specific groups for the system to process. If you select no groups, the system processes all workers with a salary plan, grade, and step in their compensation record and a compensation rate code that is defined in the Salary Rate Code table.

Updating Salaries by Salary Amount Increase

To update salaries by salary amount increase, use the Salary Increase Amount JPN (SALINC_AMT_TBL_JPN_GBL) component.

This section provides an overview of the salary amount increase process and discusses how to:

• Set up salary amount increases.

• Process salary amount increases.

Understanding the Salary Amount Increase Process

Using the updating salaries by salary amount increase method requires that you set up a Salary Increase Amount table in which you associate a compensation rate code with review bands and monetary increase amounts with each review band. Each worker's review band is derived from the points awarded by single or multiple reviewers using weighted or nonweighted reviews. After you have the salary increase amount for each review band and each worker's review band, you can run a process to load the salary increase for each worker.

When you set up the Salary Increase Amount table, you can select only compensation rate codes that are flat amount types and not of class GRPPAY or SENPAY.

To update salaries by salary amount:

1. Set up rate codes, review bands, and increase amounts.

2. Run the JPN Load New Salary Amount process.

Pages Used to Update Salaries by Salary Amount Increase

Setting Up Salary Amount Increases

Access the Define Salary Increase Amount page (Compensation, Base Compensation, Amount Increase JPN, Define Salary Increase Amount, Define Salary Increase Amount).

Enter the compensation rate code whose value you are updating. The compensation rate code must not be of class SENPAY and must be of type Flat Amount.

Processing Salary Amount Increases

Access the Load Salary Increase page (Compensation, Base Compensation, Amount Increase JPN, Load Salary Increase, Load Salary Increase).

Calculation As Of Date	The effective date that the system uses to determine from which job compensation record it should get the worker's current data to calculate new data. For example, if the worker's review band earns the worker an increase, the system must get the existing rate code amount to calculate the new rate code amount.
Salary Increase Date	Becomes the effective date of the new job record that the system inserts for the worker for the review-based increased amount. The action and reason are Pay Rate Change and Salary Increase by Amount.
Rate Code	Enter the rate codes for which you defined a salary increase to include in this load process. The system displays the short description, currency, and compensation frequency associated with each rate code. Note. You defined your salary increases by compensation rate code and review band. You can run the process for multiple rate codes.
Group ID	Enter group IDs for workers to be included in this process. Leave this blank to have job compensation records updated for all workers who have the rate code that you specified. If a worker in a group that you specify does not have the compensation rate code that you specified for processing, the system skips the worker without processing.

Updating Salaries by Percentage

To update salaries by percentage, use the Salary Increase ID JPN (SALINC_ID_TBL_JPN_GBL) and Salary Increase Matrix JPN (SALARY_MATRIX_JPN_GBL) components.

This section provides an overview of the update salaries by percentage process and discusses how to:

• Define salary increase IDs.

• Process salary increases.

• Run a salary increase simulation.

• Run the salary simulation report.

• Load salary increases.

See Also

(JPN) Updating Salaries for Japan

Understanding the Update Salaries by Percentage Process

To use the updating salaries by percentages method, which includes a simulation process that shows the effects of various increase options, you set up two tables: the Salary Increase ID table and the Salary Increase Matrix table. In the Salary Increase ID table, you specify a single compensation rate code, which must be of class Defined Range Pay (DFRPAY) and of type Flat Amount. You then run the simulation process, which, like other methods, uses review results in its calculation. You can adjust the result of the simulation for workers, by increasing or decreasing it, and view the overall results—the totals—online. When you are satisfied with the results, you run a second process, similar to the processes that conclude the other methods, to load the salary increase amounts to the workers' job compensation records.

Note. To use this salary increase method, select the Defined Range check box on the Calculation Rule Settings JPN page.

You complete these steps to update salaries by percentage:

1. Define a Japanese salary increase ID.

2. Set up a Japanese salary increase matrix.

3. Run the Run Salary Inc Table process.

4. Run the salary increase simulation and adjust as required.

5. Run the load salary increase process.

Pages Used to Update Salaries by Percentage

Defining Salary Increase IDs

Access the Define Salary Increase ID page (Compensation, Base Compensation, Percentage Increase JPN, Define Salary Increase ID, Define Salary Increase ID).

Calculation As Of Date	Enter the effective date that the system uses to determine from which job compensation record it should get the worker's current data to calculate new data. For example, if the worker's review band earns a worker a 6 percent increase, the system must get the existing rate code amount to calculate the new rate code amount.
Salary Increase Date	Enter the effective date of the new job record that the system inserts for the worker for the review-based increased amount. The action and reason are Pay Rate Change and Salary Increase by Percentage.
Comp Rate Code (compensation rate code)	Enter the rate code. It must be of the class Defined Range Pay (DFRPAY) and of the type Flat Amount. You can add only one compensation rate code for each salary increase ID, and only one salary increase ID is associated with each simulation run. To run a simulation for a different compensation rate code, you must define additional salary increase IDs. Note. You cannot have more than one rate code of class DFRPAY on a single worker's Job Data - Compensation record. The process that populates the Salary Increase Simulation table includes all workers in the groups that you specify who have this compensation rate code as well as the currency code and frequency set in the Compensation Rate Code table for this rate code. If you have changed the default currency code or frequency from that set on the compensation rate table in the workers' job compensation record, then those workers go into error and are not included in the simulation.
Apply Rounding At	Select the numerical "place" at which to apply the rounding rule you select.
Rounding Rule	Select the rounding rule for the simulation process based on this salary increase ID. Options are: Round Round Down Round Up
Group ID	Enter the group IDs for the workers being included in this process. You must enter at least one group ID to complete this process. If a worker in a group that you specify does not have the compensation rate code that you specified for processing, the system skips the worker without processing.

Note. This salary update method retrieves the required percentage increase from the salary matrix table where you linked review bands to percentage increases, quartile by quartile.

Processing Salary Increases

Access the Generate Salary Increase Data page (Compensation, Base Compensation, Percentage Increase JPN, Generate Salary Increase Data, Generate Salary Increase Data).

Salary Increase ID	Enter the salary increase ID for which to run the simulation.
Calculation Number	Enter the number that identifies a particular simulation in a series that you might run for comparison purposes.
Select All Groups	Select to have the system populate the Group ID group box with all groups that you originally associated with this salary increase ID.
Group ID	If you do not want to run the simulation for all the groups that you associated with this salary increase ID, deselect the Select All Groups check box and enter only those groups to process.

Note. This process includes only workers with the single compensation rate code that is associated with the salary increase ID, but only if their currency code and frequency are the same as the compensation rate code default.

If you try to run a simulation with a combination of salary increase ID, calculation number, and group ID for which results exist, you get a warning. If you proceed, the results of the previous simulation are overwritten. To add groups to or remove them from an existing simulation and maintain the results of the previous simulation, change the calculation number.

Running a Salary Increase Simulation

Access the Simulate Salary Increase page (Compensation, Base Compensation, Percentage Increase JPN, Simulate Salary Increase).

Sort Group By

Simulation Statistics

The (bracketed) number for each Total field is used in the field description to identify where the derived results come from. The Amounts and Adjustments tabs indicate on which page the column appears.

Note. Column order for grids may vary by implementation. All columns may not be visible. Use the horizontal scroll bar for the page to view all available columns.

Salary Details Tab

Amounts Tab

Adjustments Tab

Running the Salary Simulation Report

Access the Salary Simulation Report page (Compensation, Base Compensation, Percentage Increase JPN, Salary Simulation Report, Salary Simulation Report).

Salary Increase ID	Enter the salary increase ID you ran the simulation for and for which you want the results reported.
Calculation Number	Enter the calculation number of the particular simulation you want reported.
Select All Groups	Select this check box if you want the system to populate the Group ID section with all the groups you originally associated with the Salary Increase ID.
Group ID	If you do not want to run the simulation for all the groups that you associated with this salary increase ID for this calculation number, deselect the Select All Groups check box and enter only groups that you want to process.

Loading Salary Increases

Access the Load Salary Increase page (Compensation, Base Compensation, Percentage Increase JPN, Load Salary Increase, Load Salary Increase).

Salary Increase ID	Enter the salary increase ID for which you ran the simulation and for which the results are to be loaded to worker job compensation records.
Calculation Number	Enter the calculation number of the particular simulation results to be loaded.
Select All Groups	Select to have the system populate the Group ID section with all the groups that you originally associated with this salary increase ID and calculation number combination.
Group ID	If you do not want to run the simulation for all the groups that you associated with this salary increase ID for this calculation number, deselect the Select All Groups check box and enter only groups that you want processed.