When you enter a termination for an employee, the transaction will calculate leave taking into account accruals that are yet to occur and any leave that is included in existing transactions for the current period.
Termination Transaction
For employees whose leave accrues based on Contract Hours, this means:
Leave on the Termination is calculated to the end of the Termination Date
Any leave taken in existing transactions for the current period are subtracted
Any User Defined Leave that is paid out as Annual Leave on Termination is added to the balance
Leave forecast on the Employee record or the Leave Summary and Liability Report are to the start of the selected date. For them to match the Termination use the next day when forecasting.
For employees whose leave accrues based on Hours Worked, this means:
Leave on the Termination includes the leave accrual for hours entered in existing transaction for the current period
Any leave taken in existing transactions for the current period are subtracted
Any User Defined Leave that is paid out as Annual Leave on Termination is added to the balance
Leave forecast on the Leave Summary and Liability Report is based on Average Hours Worked. For them to match the Termination, the existing transaction needs to include the same number of hours as the average.
Note: Termination Transactions should be the last transaction entered for the employee in the period due to how the Termination uses existing transactions. Any changes made to transactions will not automatically update an existing Termination. You will need to make a change to the Termination (e.g. change the Termination Date and then change it back) in order to recalculate the leave.
Update Leave Entitlements and End of Pay
When Update Leave Entitlements or End of Pay is run, leave will accrue for the employee to the start of the either the Period End Date or the Termination Date whichever is earlier. As the accrual is to the start of the date it could be less than they leave calculated in the Termination.
Leave Taken will be updated in the End of Pay process with any leave included in Timesheets or Manual Calculations. It will not include any Leave hours paid out in the Termination transaction.