Overview
The Pay Management module enables you to manage and implement salary increments across your organisation. Once approved, all compensation adjustments are automatically updated in the employee's position history, ensuring seamless record-keeping.
Permissions
If you have the permission Create Draft Salary Review, you will be able to create draft reviews. If you have the permission Approve Salary Review then you will be able to approve draft salary reviews.
Salary Reviews
The Pay Management module is designed to provide a structure to the process of completing employee salary reviews. The process involves creating a draft salary review which is then approved. The process is detailed below:
Creating a Draft Salary Review
Click on Salary Reviews tab and from the Draft section then click on Start Salary Review located on the top right side of the screen.
A dialogue box will pop up, allowing you to select the parameters of the salary review.
You can set salary reviews on a complete department or on an specific employees. Set an Effective from date and input the desired amount depending on the option chosen;
- Manual increment
- Fixed percentage
- Fixed amount
- Grade progression
These options are explained further in this article.
Once the parameters are set, click Generate to create the draft salary review.
This selection will allow the user to manually increase an employee's salary to a specified amount.
On generating, a new review will be created. However, in this case, the increment amount will be €0, and will need to be updated manually.
To update the salary, click on the edit icon to open the new salary amount dialog, insert the new salary and click Save.
This option would be used instead of the fixed amount increase when you want to add multiple employees into the salary reviews, but they each have a specific amount to be increased.
This selection allows you to increase the employee salary by a percentage.
It also allows a maximum increment amount (cap) so that if the percentage amount is more than the capping, the capped amount is applied.
Should the percentage increase be less, then this field will be ignored and the percentage increase will take place.
This option allows you to specify the fixed amount that the salary should be increased by. The user can input the desired amount and the increase in salary review will be based on that amount.
This would be used instead of the manual increment option when there are multiple employee's all having the same fixed amount increase.
This option is used if you have salary scales in place. You can add Salary scales through the Salary Scales tab:
A is the highest grade you may have, and 7 is the highest step. Grade A7 is the highest grade and step you may have.
After adding the salary scales, go to Draft Reviews and start salary review:
- Selecting step means the employee(s) will go up from the previous step to the next step within the same grade (for example from Grade B3 to Grade B4).
- Selecting step then year means the employee(s) up from the previous step to the next step within the same grade. If there are no further steps to progress to, then it moves to the same grade for the next year (for employee is on A7 in Year X and there is no further steps to progress so it goes to A7 in Year Y).
- Selecting year means the employee(s) will remain in the same step but be given the rates of the following year (for example Grade B3 in Year X to Grade B3 in Year Y).
- Selecting step and year means the employee(s) will go up from the previous step to the next step set in the following year (for example Grade B3 in Year X to Grade B4 in Year Y).
If you would like to create draft reviews in bulk, you can follow the steps highlighted in this article.
Editing and Deleting Salary Reviews
Salary reviews that are created, can be edited by clicking on the pencil edit icon to the right of the review. Here there is also an option to delete individual reviews.
Salary reviews can also be deleted and sent for approval in bulk by selecting the relevant reviews using the checkbox at the left of the review and choosing from the bulk action buttons.
Approving a Salary Review
The first tab, Draft Reviews, shows you a list of all reviews before they have been approved. This includes the effective date, current salary, the incremental amount including a percentage increase and the updated salary.
To send for approval, the reviewer must click on the Send for approval button, which will move it into the Pending tab.
The approver must go to the Pending tab and choose to either accept or reject the salary review by clicking on the relevant buttons.
The approved and rejected salary reviews can be found in the Closed Reviews tab based on the Status filter.
The employee's positions will be updated when a salary review is approved from the specified effective from date.
Salary Grades
The Salary Scales tab is where Salary Scales are set up. Salary scales refer to a structure of salary amounts that employees may progress through during their employment.
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Click on Copy Previous Year or Start From Scratch and add the salary levels.
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Clicking on + Add will allow you to add more levels.
The higher the grade (displayed as a letter), the higher the salary. So 'A' signifies a higher salary scale than 'B'. The higher the step (displayed as a number), the higher the salary. Therefore, A7 signifies a higher salary scale than A5; A1 is higher than B6, and so on.
Setting Salary Scales in Employee Positions
Each employee may be set up with their own specific salary scale grade. This may be viewed from the employee's Employment tab (you will need 'View/Manage Employment Position History' and 'View Salary and Benefits' permissions to view this tab) From here, click on the 'Remuneration Package' tab. From here, switch on the 'Salary Scales' toggle, set the salary, and the salary scale from the dropdown menu:
Following the Salary Reviews detailed above, employees will move across steps and grade each review.