Reason Codes and Types

Reasons are sets of predetermined descriptors. You can use reason codes within different areas of Labor Management:
  • In Payroll Administration, reason codes explain time card adjustments, availability requests, and so on.

  • In Human Resource, reason codes explain termination and leave of absence.

For example, when an employee has to make a time card adjustment. the employee would select from a list of reasons such as Late, Early, On Paid Break, Forgot to Clock-In/Out, and so on.

Reason codes are generated at the Labor Management web-based level and then transferred down to the POS for employee to make a selection. Whatever the employee selects is uploaded to the system and recorded on the employee’s time card.

Reason Code Types, which are hard coded into the system, categorize Reason Codes. The following table describes the Reason Code Types:

Table 3-2 Reason Code Types

Reason Code Type Description

Time Card Adjustments

A list of reasons why a time card was adjusted. For example, the employee is late from break or left early due to illness. These justifications help explain why the system administrator or store manager had to enter an employee’s time card record and update it manually.

Employee Termination

A list of reasons why an employee was terminated. Showing a reason or explanation as to why an employee no longer works at a location provides the employer with a documented explanation of the termination.

For example, a restaurant has six locations in one county. The North County location hired Ted who shows up for his first week of shifts. Ted decides to No Call No Show for three shifts, resulting in immediate termination. Ted, who does not want to buy a new uniform to a different restaurant, drives across town to another location. When Kristin, the hiring manager, pulls up Ted’s records, she sees the reason code and makes an informed decision on whether or not to hire Ted.

Reason codes can be positive or negative. For example, you can have reason codes such as Going Back to College or Moved Out of the Area. In this example, if an employee goes to college in another state but would like continue working for the same restaurant in the new locale, the hiring manager at the new locale can make an informed decision by seeing the Going Back to College as the reason code in the termination record.

Leave Of Absence (LOA) And Days Allowed

A list of reasons why an employee’s status changed to inactive. When defining reasons to use with leaves of absences, you must also indicate the maximum time an employee can be given based on the law or company policies. For example, in the case of bereavement leave you would enter 5 days if your company policy is to grant 5 days of bereavement leave. Keep in mind that state laws take precedence over company policy. If a national chain has a maximum of 3 days for bereavement leave, but the restaurant is located in a state where the state law requires a minimum of 5 days, then the company must defer to the state law.

Availability Request

A list of reasons for employees to use in the provide their work availability, check their schedules, request time off, and exchange shifts with other employees. Employers can set up reasons for employees to classify time off requests such as Out of Town, Sick, and so on. When employees are unavailable, the data is available in the Scheduling Application.

Pay Rate Change

A list of reasons indicating why an employee’s pay rate was changed. For example, if an employee is not scheduled to work on a particular day but comes in to work, the manager may have agreed to pay extra dollar per hour for the employee to work on a day off. This reason is can track, justify, and help explain why an employee’s pay rate was manually changed.

Forecasting

A list of reasons used by the Forecasting Application which is used to generate forecasts for scheduling, staffing, sales, and so on based on the data provided to the system.

Other Pay Type

A list of reasons explaining why an employee is receiving a pay that is not the employee’s typical or usual wage rate. Other Pay is added directly to employees using Payroll Preprocessing.