New Union Benefit Calculation

ERP - Payroll

Manual calculation and entry of employee benefit amounts are costing the payroll team 15 hours a week, and are subject to human error (risky).

1. This occurs when add to gross fringes require consideration of home and work union benefits in calculations.
2. Union requirements are included as an attachment.

There are multiple roles affected:

1. Payroll Clerks: 5 people
2. Union employees requiring manual calculation of the benefit: 36 people
3. Unions requiring the benefit: 1 union

There are multiple business outcomes:

1. Time savings for payroll clerks
2. Decreased risk of inaccurate benefit calculations
3. Decreased risk of union fines, due to more consistent calculation accuracy

Payroll clerks are manually calculating the benefit amount. That amount is manually entered as a one time deduction timecard for the employee prior to labor distribution. The deduction is setup with an AP edit rule account to enable remittance to the union.

1. This type of benefit is likely to become very common with electrical unions. While there are currently only 36 employees affected, that number could rise to 400 by next summer.
2. We worked with a Penta Implementation Consultant in SUPPORT-#### to review options for managing this new union benefit.
   
   

Certified Payroll Reporting Signature Page

ERP - Payroll

1. The job owner refuses to pay invoices without signed/verified certified payroll reporting substantiating the billing amounts. If reporting is unsigned/unverified, decreased cash flow becomes the primary business problem because accounts receivable will be unable to collect on job invoice amounts.
2. The payroll team is losing 5 hours a week manually managing a custom certified payroll reporting signature page.

There are multiple roles affected:

1. Payroll Clerks: 5 people
2. Accounts Receivable Clerks: 9 people
3. CFO: 1 person
4. Customer/Job Owners: 17 people
5. Project Managers: 17 people

1. Increased cash flow
2. Time savings for payroll clerks
3. Time savings for accounts receivable clerks

Payroll clerks created a standard template for the department. When certified payroll reporting is needed, the team needs to remember to print off a copy, attach it to the PENTA generated report and sign prior to submitting the report. Text/formatting of the existing solution has been attached as filename "examplefilename.docx".

1. The impact of this issue on cash flow is major. With this requirement becoming more common among non-government project owners, standard human error margins (forgetting the signature page) have the potential to severely disrupt our operations.
2. Additional suggested text/formatting from job owners has been attached as filename "examplefilename2.docx"

Add Start and Stop Time to TEP

TEP

1. Reporting of employee time worked to the department of labor is time consuming and subject to human error (risky).
2. The timecard verification process is time consuming and subject to human error (risky).
3. Handling of unpaid lunch breaks is time consuming and subject to human error (risky).

1. Payroll Clerks: 14 people
2. Payroll Supervisor: 1 person
3. Project Managers: 46 people
4. Employees: 887 people

1. Time savings for project managers
2. Time savings for payroll clerks
3. Decreased risk of department of labor audits or fines, due to more consistent reporting accuracy and dependable audit reporting
4. Decreased risk of inaccurate employee pay, due to more accurate timecard verification processes
5. Decreased risk of inaccurate job cost, due to more accurate timecard verification processes

Employee labor hours, including times, are collected on paper timesheets in the field by project managers. These timesheets are scanned, and emailed to the payroll department. Project managers manually key hours from the paper timesheets into TEP. Upon submission of the TEP activity logs, payroll verifies the timecards in PENTA by comparing to the paper timecards sent from the field. The payroll department files the copy of the paper timesheets for audit purposes. Monthly, the payroll department compiles information from the paper timesheet copies to include employee times of day worked in department of labor reporting.

1. Existing paper timesheet example has been attached as filename "examplefilename3.pdf"
2. Department of labor reporting requirements details can be found at "www.exampledepartmentoflaborwebsite.gov/workforcereportingrequirementsexample"
3. Example department of labor reporting has been attached as filename "examplefilename4.pdf"
4. Estimated time required to address this problem every week with existing process is:
   1. Payroll Clerks (14 people): 2 hours per person
   2. Payroll Supervisor (1 person): 1 hour per person
   3. Project Managers (46 people): 6 hours per person
   4. Employees (887 people): 0.25 hour per person