OSP Processing: Occupational Sick Pay (OSP) Schemes 

Description

As part of the redesign of SSP/SMP absence processing in 4.0A, an additional feature has been incorporated into Release 4.0B allowing customers to define occupational sick pay schemes specific to their companies.
This has entailed the following changes:

1. A check table T5G25 (and text table T5G2T) has been defined to hold all the OSP schemes the company provides.

2. One field was added to IT0084 to record the occupational sick pay scheme an employee has joined. An employee is only allowed to join one OSP scheme for a particular period and may not change to another scheme during this period.

3. Two new fields, ADLYE and VDLYE, were added to the internal table MSA (which contains the absence dates, absence valuation rule, and SSP/SMP related wage types). ADLYE is used to store the actual daily rate and VDLYE the variable daily rate.

4. A new table T5G26 was set up for customers to define their own wage types for saving the actual daily rate and variable daily rate. The wage types are linked to the OSP scheme and the sickness subtype in IT2001.

5. Function GFMSA was extended to enable the following:

• The actual daily rate to be filled according to the customer-defined personnel calculation rule

• The variable daily rate to be filled according to the customer-defined personnel calculation rule

This function obtains the information it requires to fill the actual daily rate and variable daily rate from IT0084, IT2001, T5G26, and IT (internal table) for every entry in MSA whose WTYPE (wage type) is /SSP.

6. Three new technical wage types /OSA (regular earnings), /OSP (OSP amount), and /OSD (salary deduction) were introduced. How they are used in conjunction with operation GBMSA is explained below in point 7.

7. The operation GBMSA enables the following:

• The possible salary deduction can be calculated to ensure that the OSP payment and SSP payment together do not exceed the salary the employee would normally receive.

• The planned occupational sick pay can be calculated from table MSA.

Operation GBMSA acts on table MSA and has one parameter, the wage type:

• Parameter = /OSA
  The actual daily rates are added together and the sum assigned to /OSA.

• Parameter = /OSP
  The variable daily rates are added together and the sum assigned to /OSP.

• Parameter = /OSD
  The possible salary deduction is calculated according to the following rule:
  Actual daily rate - Variable daily rate - /SSP = daily deduction
  If the daily deduction is less than zero, the daily deductions during this period are added together and the sum assigned to /OSD.

Change system parameters in customizing

You can maintain the table entries relevant to OSP processing using the following Customizing entries under Payroll accounting -> Payroll: United Kingdom -> SSP and SMP Rates:

1. Set up occupational sick pay scheme (table T5G25)
Here you record the OSP schemes used in your company

2. Set up occupational sick pay wage types
In this step, you can maintain the processing classes or evaluation classes of the technical wage types /OSA, /OSP, and /OSD.

3. Set up OSP daily rate related wage types
You can create additional technical wage types to record the actual daily rate and variable daily rate.

4. Set up OSP-related data for SSP offsetting
Here you assign the daily rate wage types to the OSP scheme and absence type, and specify the validity period of this assignment.

For further information, see the relevant sections (given above) in the Implementation Guide.