Understanding Time Off in Lieu of Pay

Some overtime may be taken as time off in lieu of pay. These overtime hours are known as bonus hours.

There are two different types of time off in lieu of pay:

• Repos compensateur.

  This type of compensation adheres to statutory rules for its calculation. The rules stipulate that when a payee works over a certain number of hours in a week, the payee is entitled to receive some hours paid with a surcharge as well as some compensatory time off instead of being paid for the overtime.

  PeopleSoft delivers the earning HRS REP COMP to process repos compensateur. To grant time off, use positive input to enter the hours of compensatory time in the Unit component of the earning's calculation rule (Unit x Rate x Percent). Because this earning is used to enter time off in lieu of compensation, it does not resolve to a payment amount. Instead, it contributes the units entered by positive input to the following two compensation hours accumulators:

  • HRS AC RCOMP EX PP.

    This accumulator stores the time off in lieu of compensation that can be taken by the payee. Each time a payee accumulates seven hours of time off in lieu, the accumulator HRS AC RCOMP EX PP increases by one day.

  • HRS AC RCOMP NE PP.

    This accumulator stores any time off in lieu of pay that is less than seven hours. Each time a payee accumulates seven hours of compensatory time off, this accumulator decreases by seven hours.

  The hours that you enter using positive input are split between the HRS AC RCOMP EX PP and HRS AC RCOMP NE PP accumulators based on whether the payee can take time off or the payee has not yet acquired complete entitlement to time off. A payee is entitled to take time off once they accumulate seven hours.

  To reduce the number of hours available to a payee when he or she takes time off, assign the absence take ABT REP COMP to the payee on the Absence Event Entry page with the begin and end dates of the absence, or enter partial hours if the payee takes less than a full day off. The system uses the formula ABS FM DRTS RCOMP to retrieve the hours entered on this page and to reduce the hours available in the repos compensateur accumulators.

  Note: Payees can take time off in lieu of pay by the half-day or complete day. When a payee takes a paid half-day or complete day off, the entitlement is decreased accordingly.

  Note: When payees acquire compensatory time off, the system prints a message on the payslip to notify them that the entitlement is available along with a message indicating the date by which they must use the time off. The date by which they must use the time off is the end of the current pay period plus two months.

  Note: Global Payroll for France does not manage the loss of entitlements if a payee does not take time off in lieu of pay during the two months following the acquisition of the entitlement.

• Récupération d'heures.

  This type of compensation is not controlled by regulations and companies can decide whether to apply this rule. It enables a payee to take some compensatory time off instead of being paid for overtime.

  PeopleSoft delivers the earnings HRS BOS 100% and HRS BOS 10% to process Récupération d'heures. To grant time off, use positive input to enter the hours of compensatory time in the Unit component of each earning's calculation rule (Unit x Rate x Percent). The hours entered for the earning HRS BOS 100% (converts 100 percent of the hours to compensatory time off) and HRS BOS 10% (converts 10 percent of the hours to compensatory time off) are added to the accumulator HRS AC HRS BOS SG. Because these earnings are used to enter time off in lieu of compensation, they do not calculate a monetary amount; instead, they pass the hours entered in the Unit component to the HRS AC HRS BOS SG accumulator.

  To reduce the number of hours available to a payee when he or she takes time off, assign the earning HRS BOS 100% or HRS BOS 10% to the payee using positive input and enter the hours taken (using a negative value) in the Unit component of each earning's calculation rule. The system then reduces the hours available in the récupération d'heures accumulator.

  Note: When payees acquire a compensatory day off, the system prints a message on the payslip to notify them that the entitlement is available.