Importance of the Change Reason Code

When you revise employee information, the system prompts you for a change reason code. If you enter a change reason code, the system creates a turnover record with a history record. If you do not enter a change reason code, the system creates only a history record.

You define change reason codes in user-defined code (UDC) 06/T. When you define change reason codes, remember that alphabetic codes indicate a negative effect on turnover. For example, you use an alphabetic code to indicate that a person has resigned. Numeric codes indicate either a positive or a neutral effect on turnover. For example, when you hire an applicant from outside of your organization, the change has a positive effect on turnover. When a person changes departments within your organization, the change has a neutral effect on turnover because it negatively affects turnover for the department that the employee leaves and positively affects turnover for the department that the employee enters.