Understanding Retroactive Processing
Retroactive (retro) processing refers to the recalculation of prior periods due to changes in payee data that could result in adjustments to entitlement or compensation.
Absence Management uses a form of retroactive processing referred to as corrective retro. With corrective retro, the system:
Recalculates the elements of the absence run that are defined to be recalculated during retroactive processing.
Replaces the previous calculations with the recalculated values for the elements of the run.
Updates balance and segment accumulators in the recalculated period.
Executes a full reversal of the prior calculation results.
The recalculated run replaces the previously calculated run. However, the original run calculations remain available for auditing and reporting purposes.
This section defines some of the key terms used to describe retroactivity in this documentation.
Prior Results and Recalculated Results
When retroactive processing occurs for a previously calculated period, new results are created for that period. The new results are called the recalculated results. The results from the previously calculated period are called the prior results.
Recalc Period
A period that has been previously calculated and is being recalculated due to retroactivity.
Retro Deltas
When retroactive processing occurs for a given payee, the system recalculates each element generated for the payee. The system compares the recalculated results to the prior results. The difference between these results is typically called the retro delta. A retro delta represents an increase or a decrease that results in an adjustment to the payee's calculations.
Note: Retro Deltas are not applicable to Absence Management.
Retro on Retro
When a period that has already been processed for retroactivity is processed again due to additional retroactive data changes, the recalculation is called retro on retro.
Version and Revision Numbers
In the following sections you will see numerous references to version and revision numbers. Absence Management tags each Payee Process Stat record with a version and revision number. The version number is the vehicle for tracking recalculation of a calendar period due to retroactivity.
The system defines the original set of output results for a calendar calculation as Version 1, Revision 1 (V1R1). Each subsequent recalculation of the calendar increases the version number while the revision number stays at one. For example, the first retro would be Version 2, Revision 1 (V2R1). The second retro would be Version 3, Revision 1 (V3R1), and so forth. Version numbers are updated during corrective retro processing, for example, in absence calendars. Revision numbers are updated during forwarding retro processing. (This does not occur in Absence Management.)