Wage updates - adding a new revision
When an update to wages needs to occur, new revisions be added to apply these updated rates. These can only be done for wages set up via Wage Agreements. Employees who are on a classification which you add a new revision for, will automatically have the updated rate apply as of that date. Historical data will still appear with the correct wage rate as of that time.
Situations you will add new revisions:
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An increase to the minimum wage which supersedes old rates
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An update to penalty calculations as of a particular date
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An update to wage rates as of a particular date
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Any other change to wages which applies from a certain date, which supersedes rates already set up in the system
For example, in the US if there is an update to the minimum wage in a particular state, and new wage rates will apply to employees currently set up in the system, you can set these up as new revisions.
In Australia, when increases to the minimum wage are announced before the new financial year, you can add a new revision of wages which are affected to take effect as of the correct date.
However, if there is a tweak needing to be made to an existing overtime or wage rate (eg there are rounding changes you need to make which you didn't when these were set up) you can just edit the current agreement in place, you will not need to create a new revision.
Select an agreement to add a revision for
You will add a revision for each agreement - eg if there are 3 agreements which need updates, you will need to run through this process each time. However adding a revision will affect multiple classifications within the agreement which you select.
Head to Setup > Wage > Agreements
Select the agreement you are adding a revision to.
A list of all revisions for this Wage Agreement appear.
The below screenshot lets us know we have 3 revisions for my current agreement. One from July 2016 -> July 2017, one from July 2017 -> Jan 2018, and the current set of rates applies from Jan 1 onwards. When we add a new revision, this current set of rates will appear to have an 'end date' which is when the new set of rates apply.
New revision wizard
The new revision wizard will guide you through the necessary steps. Select a start date which this set of rates will apply from.
You may leave the finish date blank. A finish date will be added the next time you change rates.
Please Note: If you add a finish date but do not create another revision starting this date, you will run into calculation issues as it will appear there are no rates from that finish date, therefore it is recommended you leave this blank.
A list of current allowances appears. If you need to change, add or remove any of these allowances, do that here. You can always add + remove allowances at a later date.
You will see the same screen for 'penalties'.
If you don't have any allowances or penalties, none will appear. If you need to add an allowance or penalty, click 'new allowance/penalty'. You will need to set when these trigger once you have completed the wizard.
A list of the current classification levels within this agreement appear.
These all appear green - if there are classifications listed which won't be included in this revision - click on them and they will turn grey (see level 3b in screenshot below).
You would do this if you are retiring a pay grade - make sure any employees currently on these classifications have a new wage added to their profile.
The option to increase rates by a percentage appears. For example, if paying from the minimum wage and the increase is 2.5% you can add this increase here
This will apply an increase to every rate in the classification. If individual conditions change (eg weekend penalty increases or decreases at a different percentage) you can change this on the next screen.
Each classification level can be increased by a different percentage (see Level 1 Full Time/Part Time below)
If a particular classification will still exist, but the rate doesn't change, leave the percentage box blank.
The next screen is a confirmation & editing screen. You will need to confirm each classification level's rates here.
You are able to change any details - the rates shown here show the increase applied on the previous screen.
For example, if your rounding is different to what is displayed, you can edit the dollar figures here - the same goes for pay conditions which are not in line with the base increase (eg if the base rate increased 2.5%, but weekend penalties increased by 2%).
You will need to confirm each classification's rates - a progress indicator can be seen in the top-right of the table ("Confirmed 0 out of 6 classifications" below).
Summary & confirmation
The final screen shows a summary of changes which will take effect.
If you need to make any changes, next to each heading a 'change' button appears. All your progress is saved until you exit the open window or navigate away from the wizard.
Once the wizard has completed, you are taken back to the main agreements screen we were first looking at.
You will notice a different message at the top of this screen:
This lets us know the revision was successful. This screen brings you to the current revision rates, so we must click on 'View next revision' to see our changes:
This lets you know this is not currently active, but you are able to make changes (eg changes to wage rates, conditions, allowances, and penalties).
Important notes:
When setting employee wages, we will show you agreements and revisions which are active, as of the wage "start date" you have selected.
Current employees with classifications you have migrated won't need to have wages updated in their profile, because the revision will supercede it automatically. You will need to change their rate if their classification wasn't migrated across.
If your payroll integration required classification linking, you will need to link your classifications. Please check your integration piece for more information