Understanding Pay Rate Tables

You set up pay rate tables to associate pay rates with a specific group of employees. You must set up pay rate tables if you have chosen pay rate table as the pay rate default source in the HRM System Options (Human Resource Management System Options) program (P05001S).

The setup of pay rate information includes:

  • Pay Rate Tables - You set up pay rate tables to associate pay rates with a specific group, such as a union.

  • Union local and job cross references - You set up local and job cross references to cross reference parent unions with local unions.

You set up hourly rates by job type and job step. Any amounts that you enter in the pay rate tables can override rates that you set up in the Employee Master Information table (F060116). As you enter time for various job types and job steps, the system locates the appropriate hourly rate.

The system considers the hourly rate as the prevailing wage rate when prevailing wage calculations are performed during pre-payroll or interim payment processing.

The system uses pay rate tables in conjunction with the time entry programs. You must use a processing option in the appropriate time entry program to specify that the system use the pay rate tables.

Setting up pay rate tables enables you to:

  • Make rates specific to a job, business unit, or shift.

  • Define up to five different rates per job type and step.

  • Create workers compensation codes for each job type and step.

  • Define a flat burden factor for each job type and step.

  • Define a recharge billing rate.

You can use Union Rates Master Revisions program (P059121) to set up and revise pay rates tables. The program enables you to set up or revise pay rate tables one at a time or in groups. This task enables you to set up pay rate tables in groups. To set up a single pay rate table, you need to find a record on the Work with Union Rates form, and then select Single Revision from the Row menu.

Setting up pay rate tables updates the Employee Master Information table and the Union Rates File table (F069126).