Understanding Labor Distribution Instructions Entry

You enter labor distribution instructions for individual employees to automate the process of distributing an employee's work time to multiple general ledger accounts. You can enter labor distribution instructions for hourly and salaried employees.

Labor distribution instructions simplify time entry. If you enter distribution instructions for an employee who is not set up for autopay, you can obtain the instructions when you enter timecards manually. The system uses the labor distribution instructions that you enter when it creates timecards for autopay employees.

These examples are practical applications of labor distribution instructions:

• If an employee always spends 80 percent of the time processing payroll and 20 percent managing other staff, then you can allocate the time 80 percent to G/L account Regular Pay and 20 percent to G/L account Regular Pay-Managers using labor distribution instructions.

• If an employee spends five hours per week performing administrative duties and 35 hours performing regular salaried duties, you can allocate the amount to two different G/L accounts.

• In the previous example, you can specify the start and stop dates of the instructions.

  These dates control when the labor distribution instructions can be used. If you entered a timecard on a different date, the instructions would not apply, and you could not copy them in time entry.

• If you are entering a batch of timecards for employees whose time needs to be allocated identically, you can assign labor distribution instructions to one employee in the batch and then copy the instructions to all of the other employees in the batch.

  An example of this would be a hospital setting where a group of general nurses works on a unit part of the time and also works in the HR Department in Occupational Health evaluating employee on-the-job injuries the rest of the time.

• When an employee works for a business unit or company other than the home company, you can override the position ID so that budget allocations reflect the position ID of the business unit or company where the employee performed work.

  This feature is useful in the public sector and in organizations in which budget tracking by position is critical to maintain or justify the appropriate workforce.

You use labor distribution instructions to:

• Distribute time to multiple general ledger accounts.

• Distribute time by either percentage or number of hours.

• Set effective dates for distributions.

• Create a template for time entry.

• Define job type information when the employee has more than one job.

• Override position ID and AAI accounts for an employee.