We understand that dealing with employee compensation can become a daunting task for HRs, especially when it comes to managing irregular hours and leaves. Employees who work night shifts, weekends, or take extended leave often find themselves struggling with the process, thus making it difficult for them to get paid fairly. It becomes a matter of frustration for the HR teams too, as they are tasked with accurate and timely compensation.
It’s true that manual processes are often filled with errors, and they often result in delayed payments, employee dissatisfaction, and even potential compliance issues! To help companies deal with these challenges and create a positive work environment, Akrivia HCM has introduced two powerful features—Shift Differential and Leave Partial Payment.
About the New Features
The new features are aimed at simplifying the compensation processes, enhancing operational efficiency, and ensuring that employees feel valued and fairly compensated for their contributions, regardless of when or how they work.
Shift Differential
The new feature automates the compensation process for employees working during non-standard hours. It applies predefined pay percentages based on their shifts. For example, it can apply a 50% pay differential for night shifts, thereby ensuring that the employees are compensated fairly and accurately for their work hours. With easy tracking of hours worked in these specific slabs integrated into the attendance system, organizations no longer have to worry about payroll inaccuracies.
- Automated Tracking: Automatically tracks which employees are eligible for shift differentials based on their schedules.
- Accurate Compensation: Ensures employees receive additional pay for working undesirable hours, such as night shifts or weekends.
- Metrics Measurement: Helps organizations measure key metrics like adoption rate, accuracy of pay adjustments, and time saved in payroll processing.
Partial Payments for Extended Leave, Tailored to Each Employee
This new feature simplifies complex leave management by automating partial payments for extended employee leave. Akrivia HCM automatically calculates these payments based on each employee’s unique pay components, ensuring accurate and timely compensation throughout their leave.
- Automated Calculations: Automatically calculates partial leave payments based on employee pay components.
- Direct Integration with Payroll: Eliminates manual data transfers, ensuring accurate calculations and timely payments.
The shift differential feature works closely with the attendance module, and that’s how the tracking of hours worked during irregular shifts becomes possible. On the other hand, the leave partial payment feature is tightly integrated with the payroll module and leave management system. This helps us ensure a smooth flow of data between different systems, which in turn minimizes the risk of errors. When they work together, these features are sure to provide a comprehensive solution to improve employee satisfaction and operational efficiency.
Overall Benefits of Shift Differential and Leave Partial Payment
Besides what we mentioned above, the introduction of these features offers several other benefits too. Some of them are as follows:
- Enhanced employee experience: As shift differentials and partial leave payments allow companies to pay their employees accurately and on time, this will lead to increased employee satisfaction.
- Improved operational efficiency: The automation of payroll calculations will allow HR teams to focus more on strategic initiatives rather than manual HR processes.
- Increased cost-effectiveness: Automating these processes can help companies save money by minimizing labor costs associated with manual data entry and error correction.
- Accuracy and compliance: As these features also ensure complete accuracy in calculations, companies will find it easier to adhere to their policies and labor regulations. In short, it can minimize the risk of compliance issues.
- Streamlined workflow: The direct integration with payroll simplifies overall processes, allowing for faster processing times and improved accuracy in payroll calculations.
Conclusion
To address the critical needs in today’s workplace and simplify the complex compensation processes, Akrivia HCM’s new Shift Differential and Leave Partial Payment features can play an instrumental role. By automating tracking and calculations while ensuring fair compensation practices, Akrivia HCM not only delivers operational efficiency but also improves employee satisfaction levels. As companies across the globe continue to adapt to changing workforce dynamics, these innovative solutions will play an essential role in supporting both employees and employers alike.
