Termination Workbench Definition 
This process describes the Termination Workbench configurations.
For example, configurations for calculation of Gratuity, Superannuation or Notice Pay by the Termination Workbench.
You have maintained the details of the employment contract in the Contract Elements infotype (0016), including the Period of Notice .
Set the Pay Scale Grouping for Allowances to Indirect Evaluation A for the Notice Pay wage type (MN00). You can do so in the IMG under . Termination Workbench uses this wage type as the basis for calculation of Notice Pay .
Set the components for the Notice Pay basis salary in the IMG under
Set the RAP Indicator in the table view Reimbursement allowances perks - eligibility and calculation (V_T7INA9) to Notice Pay . You can do so in the IMG under
Specify the method of Notice Pay computation in the IMG under .
Termination Workbench calculates the Notice Pay for the employee using one of the following methods:
Termination Workbench separately computes the prorated Notice Pay amount for every month remaining in the Notice Period , and then computes the total Notice Pay amount.
Termination Workbench prorates the Notice Pay amount for the remaining days in the notice period based on the number of days in the month of leaving.
Maintain the Personal IDs infotype (185) and Gratuity for India subtype (03)
You must maintain the Gratuity ID Number of the employee, and the Gratuity Trust to which the employee belongs. Termination Workbench computes the Gratuity depending on the following:
Whether Gratuity is payable according to the Gratuity Act or not. You can select the method of payment in the Gratuity Payment as per POGA field, under the Termination Payment Details screen of the Termination transaction (PC00_M40_TERM).
Calculation factor for Gratuity. You can configure the factor for computation of Gratuity in the IMG under .
Set the Pay Scale Grouping for Allowances to Indirect Evaluation B for the Gratuity wage types (MPG0) and (MPG1).
You can do so in the IMG under . Termination Workbench uses this wage type as the basis for calculation of Gratuity.
Set the components of the basis salary for Gratuity in the IMG under
Set the RAP Indicator in the Reimbursement allowances perks - eligibility and calculation table view (V_T7INA9) to Gratuity .
You can do so in the IMG under
Set the tax code
Maintain the Personal IDs infotype (185), Superannuation for India subtype (01)
You must maintain the Superannuation ID Number of the employee, and the Superannuation Trust. Termination Workbench computes the Superannuation payable to the employee at the time of termination, depending on the calculation factor for Superannuation.
You can configure the factor for computation of Superannuation in the IMG under .
Set the Pay Scale Grouping for Allowances to Indirect Evaluation B for the Superannuation wage type.
You can do so in the IMG under . Termination Workbench uses this wage type as the basis for calculation of Superannuation.
Set the components of the basis salary for Superannuation in the IMG under
Set the RAP Indicator in the Reimbursement allowances perks - eligibility and calculation table view (V_T7INA9) to Superannuation .
You can do so in the IMG under
Set the Pay Scale Grouping for Allowances to Indirect Evaluation A for the Leave Encashment wage type (MLE0) .
You can do so in the IMG under . Termination Workbench uses this wage type as the basis for Leave Encashment calculations.
Set the components for the Leave Encashment basis salary in the IMG under .
Set the RAP Indicator in the Reimbursement allowances perks - eligibility and calculation table view (V_T7INA9) to Cessation Payment .
You can do so in the IMG under
Maintain the retirement date for the employee in the Date Specifications infotype (0041). Termination Workbench uses the retirement date for calculating the VRS tax exemption.
Set the Pay Scale Grouping for Allowances to Indirect Evaluation A for the Voluntary Retirement Services wage type (MVR0) .
You can do so in the IMG under . Termination Workbench uses this wage type as the basis for VRS calculations.
Set the components for the VRS basis salary in the IMG under .
Set the RAP Indicator in the Reimbursement allowances perks - eligibility and calculation table view (V_T7INA9) to Cessation Payment .
You can do so in the IMG under
Set the tax code for VRS to SVRS in the IMG under .
Set the default amount for VRS in the IMG under the table view Pay Scale Groups (V_T510).
Set the Pay Scale Grouping for Allowances to Indirect Evaluation A for the Reimbursement wage types. For example, the model wage type for Leave Travel Allowance is M210, Medical Reimbursement is M211 and for Medical Insurance, it is M212.
You can set the configurations in the IMG under . Termination Workbench uses this wage type as the basis for VRS calculations.
Set the components for the basis salary reimbursable allowances in the IMG under .
Set the RAP Indicator in the Reimbursement allowances perks - eligibility and calculation table view (V_T7INA9) to Reimbursement .
You can do so in the IMG under
Set the tax codes
The Termination transaction (PC00_M40_TERM) performs all computations based on the configurations that you have set.
See also: