Best Practice: Part-time Employees and Student Trainees

 

This article explains how to manage part-time employees and student trainees in Personio and what to look out for. 

For part-time employees and student trainees, you will need to make a basic distinction between employees who work on the same days each week and employees whose working days vary from week to week.  This involves the following settings, which you will need to configure appropriately: entering the weekly hours, entering the salary, defining the work schedule and assigning the vacation entitlement. Since student trainees and part-time employees with flexible working hours are a special case in terms of continued payment of wages during absences, this point will be explained separately.

 

Weekly hours

Before you enter a work schedule for a part-time employee or student trainee, navigate to Employee profile > Information > HR information > Weekly hours and enter the weekly hours for the employee. The weekly hours will then be set in relation to the weekly hours of the assigned department. You can find further information on adjusting weekly hours here.

The weekly hours you enter determine the employee's part-time value. If the employee has a fixed salary, they are also relevant for the prorated salary calculation.

 

Salary

To enter your employee's salary, navigate to Employee Profile > Salary. In doing so, please note the difference between fixed and hourly salary. For fixed salaries, the employee is paid the same amount each month. When the monthly salary is calculated on the basis of the hourly salary you have entered, the amount paid will depend on the number of attendance hours entered and confirmed on the attendance tab in the respective employee profile.

Fixed salary

In the employee profile, navigate via the Salary tab to Edit > Add Salary and select the Fixed Salary salary type. Then enter the salary that the employee would receive if they worked full-time in the Salary (100%) column, and enter the employee's weekly hours. Personio will then automatically calculate the gross salary that the part-time employee will actually receive. Alternatively, enter the weekly hours first and then enter the gross salary that is actually paid. In addition, enter the date from which the salary should apply. Complete the process by clicking on Save.

Hourly wages

In the employee profile, navigate via the Salary tab to Edit > Add Salary and select the Hourly salary type. Then enter the hourly salary and the date from which the salary should apply. Complete the process by clicking on Save.

If your employee receives an hourly salary, please also note the following: 

  • All working hours must be entered into the Attendance tab in the employee profile. Further information on tracking attendance can be found here.
  • Define the respective access rights for the hourly salary earners and, if required, set up a corresponding approval process.
  • The amount payable is calculated on the basis of the hours entered during the payroll period.
  • Employees will only be automatically paid during absence periods if the Attendance during absence periods to be considered as overtime function is enabled for the corresponding absence type. This function will be explained in more detail at the end of this article.
  • If you want those of your employees who receive an hourly salary to be paid for public holidays, add the corresponding daily salary to the Salary tab in the employee profile.

 

Work schedule

A work schedule reflects your employees' working days and monthly target hours and can serve as the basis for the vacation calculation. The schedules for fixed and flexible working days are fundamentally different.

Fixed Working Days 

The working hours of employees who work on fixed days can be distributed over the corresponding days of the week. If you do not already have a suitable work schedule for this, you can create one via Settings > Attendance > Add schedule.

Add the appropriate work schedule to the employee profile via Attendance. Navigate to Change schedule and select the agreed work schedule, including the date from which it should be valid. If the work schedule is valid from the employee's entry date, Select Valid from January 1 of their entry year.

attendance-work-schedule-1_en-us.png

If you do not select a date when assigning a work schedule, the current date will always be used as the validity date. This can cause the leave entitlement calculation to be incorrect.

Flexible Working Days

The working hours of employees who have flexible working days can be distributed evenly over the possible working days (usually Monday to Friday). If a suitable work schedule is not yet available, you can create one via Settings > Attendance > Add work schedule. Add the appropriate work schedule to the employee profile via Attendance. Navigate to Change schedule and then select the agreed work schedule, including the date from which it should be valid. If the work schedule is valid from the employee's entry date, please select Valid from January 1 of their entry year.

attendance-work-schedule-2_en-us.png

Please note that the hours actually worked and confirmed by employees with hourly salaries are then directly used to calculate their salaries. It is thus not possible for employees who are paid by the hour to build up any real overtime. The overtime balance for an employee with an hourly salary therefore only serves the purpose of recording any additional work. However, the overtime balance of employees who are paid by the hour should not be paid again, that is, twice.

You can find more information on creating a work schedule here.

 

Vacation Entitlement

In order to grant vacation entitlements to your employees, you can create corresponding vacation allowances in Personio and assign them to your employees. When calculating and allocating vacation allowances, it is once again necessary to differentiate between employees with fixed working days and those with flexible working days.

Fixed Working Days

Assign a previously defined accrual policy to your employees in the employee profile via Absence > Vacation > Set policy now. Among other things, this determines how many vacation days you give your employees during a specific period. You can add accrual policies viaSettings > Absence > Vacation > New accrual policy.

If your part-time employees basically get the same amount of vacation as your full-time employees, but it is prorated on the basis of the days they work, you can assign the same number of accrued days to your part-time employees as you do to your full-time employees. Personio will calculate the prorated entitlement automatically on the basis of the hire date and the working days entered in the work schedule.

To enable the prorated vacation calculation, navigate to Settings > Attendance and check Prorate vacation in the corresponding work schedules. Also, enter the reference value for the prorated vacation calculation. This determines how many working days your employees would have to work each week to receive the full vacation entitlement.

attendance-accrualpolicy-prorate_en-us.png

Click here for further information on part-time vacation entitlement.

Flexible Working Days 

Since vacation entitlement in Personio is calculated on the basis of the days entered in the work schedule, employees who work on flexible days cannot be assigned a total leave entitlement. In order to correctly calculate the leave entitlement of those of your employees who have flexible working hours, we recommend the following procedure:

Via Settings > Attendance, disable the Prorate vacation setting in the corresponding work schedule.

Via Settings > Absence > Vacation, create a total leave allowance of 0 days and assign this to the respective employees in the employee profile via Absences > Add accrual policy. At the end of each month, manually assign a leave entitlement based on hours worked to the employees with flexible working days. To do this, navigate in the corresponding employee profiles to Absence > Vacation and click on Manually adjust balance . Then select Adjust balance by number of days and enter the number of days to be taken into account for the relevant month.

absence-vacation-adjustment_en-us.png

absence-vacation-adjustment-2_en-us.png

You can find more information about manually adjusting an accrual balance here.

You can calculate the number of vacation days based on working hours as follows:
Number of hours worked in one month (Employee profile > Attendance) / number of hours for a full-time position for this month * number of hours required for one vacation day.
You can also find an overview of the hours worked for each employee in Reports > Attendance periods

 

Paying Salaries During Absences

To make sure that employees who are paid by the hour continue to receive their salary during an absence period, navigate to Settings > Absence and enable Attendance during absence periods to be considered as overtime for the corresponding absence type. When an absence day is recorded, employees will then be paid for the hours designated for that day in the work schedule. You can find more information on the Attendance during absence periods to be considered as overtime function here

Depending on whether your employees have fixed or flexible working days, it is recommended that you activate or deactivate this function.

Fixed Working Days

If your employees have fixed working days, enable the Attendance during absence periods to be considered as overtime function in the validity settings of the absence type via Settings > Absence. This ensures that your employees will receive the corresponding salary for this day, for example on a vacation or sick day.  

Flexible Working Days

However, for employees with flexible work schedules, it is advisable to disable this function if the number of hours for which employees should be paid on an absence day is different than the number of hours specified in the work schedule. Should this be the case, when they have an absence day, employees will then also have to enter the number of hours for which they should be paid on that day in the Attendance tab. This also ensures that the overall attendance balance for this group of employees is displayed correctly.

If you are tracking the attendance of two groups of different employees in your company, it can be helpful to create the same absence type twice. This will mean that your employees with fixed working days can be automatically paid the corresponding hourly salary for an absence day, with the hours entered during the absence counted as overtime, while your employees with flexible working days will additionally need to enter the hours they should be paid for each time they enter an absence day.  

 

Summary

  Fixed working days
Fixed salary
Fixed working days
Hourly salary
Flexible working days
Fixed salary
Flexible working days
Hourly salary
Salary

Fixed monthly salary 

Salary based on the working hours entered under Attendance 

Fixed monthly salary  

Salary based on the working hours entered under Attendance 

Work schedule

Working hours distributed over the fixed working days agreed with the employee

Working hours distributed over the fixed working days agreed with the employee 

Working hours distributed equally over the possible working days in the work schedule

Working hours distributed equally over the possible working days in the work schedule 

Accrual policy

Fixed total accrued days, prorated on the basis of the work schedule.

Fixed total accrued days, prorated on the basis of the work schedule.

Accrual of 0 days is assigned. Vacation entitlement manually assigned at month end based on hours worked. 

Accrual of 0 days is assigned. Vacation entitlement manually assigned at month end based on hours worked.  

  

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