Using Earnings for Paying Retro on Leave Pay

There are seven retro earnings for paying retrospective adjustments on earnings that normally reduce regular pay. They are RTO ACC LVE, RTO ANN LVE, RTO LSL, RTO LWOP, RTO OTH LVE, RTO PUB HOL, RTO SCK LVE.

We have supplied these earnings to avoid affecting the calculation of regular pay in the current pay period. The hours on these earnings do not contribute to the reduce regular hours accumulator ERN AC REDUCE HRS. The amounts however, add to the total gross and extra emolument accumulators NZL GROSS and EXTRA EMOL GROSS

For example, an employee applied for 2 days of sick leave (16 hours) in June 2001 but then in August 2001, changed this to be 3 days annual leave (24 hours). When the August payroll runs, it calculates retrospectively from June 2001 and forwards the results to August 2001. The following happens.

Back in June 2001, the original calculations were:

• 16 hours for SCK LVE

• 157.33 hours for REGPAY SAL

After the retro calculation, the values are:

• 0 hours for SCK LVE (-16 will be forwarded to RTO SCK LVE)

• + 24 hours for ANN LVE (+24 will be forwarded to RTO ANN LVE )

• +149.33 hours for REGPAY SAL (-8 will be forwarded to REGPAY SAL).

In August 2001, the values are:

• 173.33 hours for REGPAY SAL (with an adjustment of - hours)

• +24 hours for RTO ANN LVE

• -16 hours for RTO SCK LVE