Understanding Contract-Specific Labor Categories for Time Entry

If your company enters into a contract with company and the contract requires that detailed labor charges appear on invoices, employees must charge their time to valid labor categories during time entry. This requirement applies to back office, as well as self-service time entry. The labor category codes that employees enter are external job descriptions that the customer defines for each contract. The external job descriptions are used for reporting and external billing and identify information that is required by the customer, such as the title and type of work that is performed. The title of a labor category might be senior engineer or project manager, and the type of work might be technical or support. An employee might perform different types of work for a contract and, therefore, would charge time to different labor category codes.

In some cases, a contract might not require that detailed labor charges appear on invoices; however, the employees who work on the contract might still be required to charge their time to labor category codes for audit purposes.

See Entering Contract-Specific Labor Categories.

When you assign a labor category code during time entry, the system updates the Contract Labor Category field (JBLC) in one of these tables:

  • Employee Transaction Detail table (F06116) for back office time entry.

  • Employee Transactions - Batch File (F06116Z1) for self-service time entry.

At other times during the payroll process, the system updates the JBLC field in the Employee Transaction History (F0618) and Labor Rules Tag File (F186602) tables.

For the Contract Labor Category field to appear on the time entry forms, you must first activate the Advanced Contract Billing Used constant in the Service Billing Constants (P48091). When it is activated, you can select the Contract Labor Category check box in the ESS Time Entry Setup program (P051123) to display the Contract Labor Category field for employee self-service time entry.