Absence Entitlement Calculation on Termination

This section discusses unused annual leave calculation on termination.

Global Payroll for Malaysia comes with a set of predefined rules for processing absences that are due on termination. These rules are based on Malaysian statutory requirements.

When employees are terminated, they are entitled to a payment for their prorated unused annual leave. The earning element ANN LVE LIEU is the payment in lieu of annual leave entitlement. The calculation of the unused annual leave amount is Unit x Rate where Unit is the accumulator ANN LVE ENT_BAL and Rate is the formula LVE FM PAYRATE.

The accumulator ANN LVE ENT_BAL returns the total annual leave entitlement balance. This accumulator is used to calculate the unused annual leave days that must be reimbursed to the employee.