Labor Contract Groups

What is it and what is it for?

Companies that hire many employees under the same conditions — the same base allowances, the same recurring deductions, the same fixed bonuses — don't need to repeat that setup on every employee's Labor Contract. A Labor Contract Group lets you define that set of concepts once, as a named template (for example, "Standard Sales Staff" or "Warehouse Operators"), and then simply select that group on each employee's contract. From then on, generating payroll for those employees automatically includes the group's concepts alongside anything defined directly on their individual contract.

Groups are also used by outsourcing/staffing companies that run payroll on behalf of a client and need to bill that client for the service: when Payroll Billing is active, each concept line in the group can carry its own percentage or flat fee to invoice the customer.

How to use it

1. Open the Labor Contract Groups list and click New.
2. If your company has subsidiaries enabled, choose the Subsidiary.
3. Enter a Description (the name you'll recognize the group by), its Payroll Type and its Currency.
4. On the Concepts tab, add one line per concept from your Benefit and Discount Concepts catalog. For concepts with a Fixed calculation method, enter the Quantity, Unit and Amount the group should apply.
5. Mark Fortnight 1 and/or Fortnight 2 on each line to control whether that concept is included in the first, the second, or both biweekly payroll runs (used when the payroll type's frequency is biweekly).
6. If your company has Payroll Billing active, fill in the % to Bill to Customer, the Flat Fee and/or the Fee Percent on each line, so this concept is picked up when you invoice your client for the payroll service.
7. Attach any supporting file if needed, then save. The group needs at least one concept line.
8. On each employee's Labor Contract, select this group in the corresponding field; the contract's currency is filled in automatically from the group. From that point on, the group's concepts are combined with the contract's own concepts every time payroll is generated for that employee.

Key fields

Validations when saving

• The Description, Payroll Type and Currency are required, and the Payroll Type and Currency must exist and not be voided.
• The document must have at least one valid concept line; it cannot be saved blank.
• A concept line's percentage to bill or fee percentage cannot be negative.
• Once created, the group's Subsidiary, Currency and Payroll Type cannot be changed.
• You cannot create or edit a group in a subsidiary marked as read-only.
• A group cannot be deleted while one or more Labor Contracts are still linked to it; unlink those contracts (point them to another group, or remove the link) before deleting.

Availability

• This feature requires the Enterprise plan with the Payroll module active on your company; if it isn't available, the screen shows the "not available on this edition" message.
• Requires the Payroll "Labor Contract Groups" permission on your user group (with add, edit or delete level depending on the action).
• The billing columns (% to Bill to Customer, Flat Fee, Fee Percent) and the corresponding form fields only appear if your company also has the Payroll Billing add-on module active.
• The Subsidiary field only shows up if your company has subsidiaries enabled.
• If a Payroll Type restricts which users can use it, you'll only be able to work with groups whose Payroll Type you have access to.
• If your company uses custom fields for payroll transactions, only the ones marked as visible on Labor Contract Groups appear on this screen.

Tips and common mistakes