Automate FLSA Rules in Time Evaluation to Manage the Complex Process

  • by Riishi Riitambhar, Technical/Functional Consultant
  • September 26, 2017
Learn how to customize schema and configure rules in SAP ERP HCM to process the time recordings of nonexempt union staff as per union agreements to derive the regular and premium (time-and-a-half and double-time) hours to be paid.
Learning Objectives

Reading this article, you will learn how to:

  • Interpret contract rules using scenarios
  • Implement the scenarios by customizing the schema and personnel calculation rules (PCRs)
  • Identify the functions of the custom schema whose PCRs need to be adjusted
  • Configure PCRs  
  • Configure related tables required for the processing 
Key Concept
The Fair Labor Standards Act (FLSA) was enacted to govern wage and hour laws in the US. Among other things it prohibited employment of minors, introduced a 40-hour work week, and established national minimum wages and a time-and-a-half rate for overtime. These remain the cornerstones of the act and generally apply to hourly nonexempt workers. 

Union agreements in the US generally have the Fair Labor Standard Act (FLSA) as the baseline and then tend to be used to negotiate better benefits for union members. At times these rules become quite complex. The rules have to be implemented in the SAP system to provide for results based on the agreement. To do so you can use the SAP ERP HCM framework. A sample agreement demonstrates how the rules can be implemented in the system.  

Riishi Riitambhar

Riishi Riitambhar is technical/functional consultant with over 12 years of experience in the area of HCM applications built on SAP ERP HCM and SAP SuccessFactors. His special areas of focus include SAP positive Time Management and Payroll integration. Riishi's SuccessFactors Employee Central experience includes extensive implementation experience of Metadata Framework, workflows, and business rules.

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