Contract
The Contract option, available on the menu, allows performing the employee's Employment Contract Renewal and/or Change procedures, in order to provide Management of Contracts along with other integration.
Renewal means same type contracts that are being extended, respecting limits establish by the contract type. Change means the change of effective or closed contract type.
Contracts manage agreements with the following characteristics in Colombia:
| a. | Verbal: a simple contract conveyed verbally. |
| b. | Written: must be a document signed by the parties and must include all details of the agreement, such as identity and address of the parties, place and date of signing, place where the job is to be performed, place where the employee was hired, job description, wages, payment format and frequency, value of housing or food benefits included in the salary (if present), contract duration and termination. |
The contracts normally controlled by a payroll system are of the written type and do not need to have this information indicated in a field, since it does not affect any calculation process. Verbal contracts have the same force as written ones. |
Transactions are also registered in a TXT Log file and it can be viewed using the option Process Log in the Contract Renewal/Amendment screen.
Procedures
Renewing and/or amending employment contracts:
| 1. | In Employees, click Contract. |
A screen for data information of the selected employee's employment contract is displayed.
| 2. | Fill out the fields according to the following instructions: |
| • | Batch Processing |
Keep this option selected (), so that the amendment and/or renewal is made per employee batch, so that several employees receive this maintenance at once.
| • | Renewal/Amendment |
Select maintenance option to be carried out in contract(s), whether renewal or amendment.
| • | Replaces Log/Adds Log |
Select the option defining if the maintenance carried out in contract batches must replace the already existing log file, or if the occurrence must be registered in an already existing file.
| • | Registration/Name of Employee/Renewal Contract |
These fields are filled out automatically according to the employee's prior selection for contract maintenance.
If the Batch Processing option has been selected, the field information is erased, and Quick Filter button is enabled, on the bottom of the screen, so that the employees renewing/amending the contracts are selected.
| • | New Contract Period |
Enter the data defining the employee's new contract period, being:
| • | Start Date/End Date |
Enter start and end dates of the period defined for the contract.
The field End Date is filled out automatically by the system when the employee is dismissed in thus contractual period, by the routine Termination.
For each contract amended or renewed, the start date is saved with the prior contract end date + one day. The end date is saved according to the following parameter for Renewal Days or Renewal for the Same Period.
| • | Renewal for |
Enter contract renewal data, according to the case, being:
| • | Days |
Enter amount of days to be considered to renewal the contract.
| • | For the same period |
Select () this option when the contractual period must be equal to the effective contract period.
| • | Contracts expired until |
If the Batch Processing option has been selected, enter expiring date of contracts to be considered in maintenance.
| • | Reason for Renewal |
Select reason for contractual amendment/renewal, according to table S012 - Types of Reason.
| • | New type of Contract |
The data for Contract Type are filled out automatically, since they were linked during the registration, and can consider:
Type |
Description |
No term |
Undefined effectiveness time. |
Fixed term |
Effectiveness with defined end date allowing renewal, if agreed. |
Uncertain term |
Replaces employee absent due to disease, accident, etc, according to legislation. |
No contract |
According to effective legislation, it is a valid situation for trainees. |
However, for renewal purposes, only contracts of the Fixed Term type can be renewed, as long as there is an end date registered in the Employees Register.
If the option Contractual Amendment is selected, select the new contract type according to table S011 - Contract Types.
| 3. | Enter the fields, check them and confirm. |
Once the process in confirmed, the renewals that were within the limits established by the contract type are carried out and registered in the contract history. The ones outside the limit are not considered.
In both cases, if the option Batch Processing is selected, event log files are generated
| 4. | At the end of the process, the system returns to the browse window of Employees register. |
| 5. | The following options are available at the bottom of the window: |
| • | History |
| • | Process |
| • | Cancel - click the button to leave the option Contract Amendment/Renewal. |
| 6. | Select the options according to your needs. |
| 7. | Once the necessary data is informed, confirm it and return to the maintenance browser of the Employees Register |
See Also
The following routines provide information used in the contract maintenance:
| • | S018 - Work Contact Types |
| • | S019 - Reason Types |