Long Service Leave Liability Calculation for Weekly Accrual

The calculation rule for earning LIAB LSL WKS is Unit × Rate × Percent, where:

Unit = Formula LVL FM LSL WKS VAL

Rate = Formula AUS FM DAYS TO WKS

Percent = Bracket LVL BR LIAB ATT

Formula LVL FM LSL WKS VAL calculates the units of leave that the payee has by adding the Long Service Leave entitlement balance (accumulator LSL ENTWKF_BAL) to the Long Service Leave pro rata balance (accumulator LSL PROWKF_BAL).

Formula AUS FM DAYS TO WKS—the earning's rate—resolves to the payee's pay per week by multiplying his or her FTE (from the Job record) by the variable AUS VR WKLY VAL (set to 5.00; that is, a week is five days) by the employee's daily rate.

Bracket LVL BR LIAB ATT—the earning's percentage—returns a value based upon the payee's years of service and the attrition rates that apply. That is, for example, only 50 percent of payees who have five years of service will stay long enough to qualify for long-service leave.

This table lists the delivered values:

After Number of Years of Service	Estimated Percentage of Payees Who Will Stay to Qualify for LSL
5	50
8	75
10	100

The search key for the bracket is the formula LVL FM DUR IN YRS, which resolves the number of years the payee has served. The formula divides duration LSL DR DYS FR HIRE by the variable LVL VR DAY IN YEAR (set to 365.25) to convert the duration in days to a number of years.

The duration's From date is LVE FM ACCR ST DT, which determines whether to use the payee's hire date or rehire date in calculating the days of service (it uses rehire date if it is later than hire date). The duration's To date is the period end date.

After determining the number of years of service, the bracket can return the value to use as the percentage in the earning's calculation rule.

After the three earnings are calculated their values are available for reporting, passing to GL by the GLI, or including in the QSP file.