Configure Legislations

Create the legislative content for a country or territory in the Setup and Maintenance area as part of implementing Oracle Human Resources. The Installed Legislations page shows which country extensions are predefined or already implemented or both.

This procedure outlines the steps required to configure a legislation that isn't predefined by Oracle.

When you first configure a legislation, the flow guides you through a series of setup steps for the objects necessary to set up elements, balances, and other payroll-related data for implementations. The objects you can configure include:

• Legislative Rules

• Element Classifications

• Payment Types

• Component Groups

• Balance Dimensions

Set Legislative Rules

Legislative rules govern default values and how to manage employee records in your organization. Base your selections on the statutory rules for your country or territory.

1. In the Setup and Maintenance area, go to the Configure Legislations for Human Resources task.

   Note: Use the Configure Payroll Legislations task if you're implementing Global Payroll.

2. Select the country or territory from the list on the Installed Legislations page.

3. Select Legislative Rules from the left-pane and click Edit.

4. Select the month and day of the typical tax year. For example, 01 for January and 01 for the first day of the month.

5. Select the currency to use by default for this country or territory.

6. Select a payroll relationship rule. This value determines how employment records are created when employees are hired or rehired.

7. Review the mapping of the predefined system person types to payroll relationship types. Select appropriate values for your country or territory.

8. Click Save.

   Note: You can't undo payroll relationship type mapping. If you select an 'element entries only' option for a person type and decide at a later date to use a payroll calculation process, such as Calculate Gross Earnings, the process won't generate results for that person type. If you're certain that you won't perform any type of payroll calculation, you can select an element entries only option. Selecting a standard option provides more flexibility.

Select Objects and Modify Display Names

The flow guides you through selecting primary classifications you want to include for your elements, payment types, balance dimensions, and component groups. For each of these objects, you can provide new display names to match the terminology that's most appropriate for your country or territory.

1. Select Element Classifications from the left pane and click Edit. Select the primary classifications you want to include for your elements.

2. For each primary classification you select, optionally edit the value in the Display Name column, and then click Next.

3. Select the payment types to include, such as Check/Cheque and EFT (electronic funds transfer).

   The payment types you select here are available when you create organization payment methods for your country or territory.

4. For each payment type you select, optionally edit the value in the Display Name column, and then click Next.

5. Select the component groups to include.

6. For each component group you select, optionally edit the value in the Display Name column, and then click Next.

7. Add any balance definitions as needed that aren't already selected. The page displays all balance dimensions available for your country or territory.

8. For each selected balance definition, optionally edit the value in the Display Name column.

9. Click Submit.