Eligibility Rules

Definition

Eligibility rules determine whether an employee participates in a compensation plan. An employee must meet these criteria to qualify for the compensation plan. For example, an employee has to work for the company for at least one year before being eligible for bonus payments.

Use

Use eligibility rules to determine which employee qualifies for which compensation award. Eligibility rules and eligibility groups allow you to define criteria that must be met.

Structure

Eligibility rules are determined by the following:

Criteria

Definition

Eligibility group

Determined by organizational assignment data

Validity period

Denotes the period for which the plan is valid

Employment requirements

Denotes the date before which the employee must be hired, or the employee’s length of service

Work schedule data

Denotes the minimum working time

Other criteria

Determines whether the employee’s pay grade, pay scale group, job, performance, salary level or company-specific criteria are relevant

 

Integration

Eligibility rules are assigned to a plan in a process. You can define eligibility rules for the same plan but for a different process, or for the same process but for a different plan. For example, eligibility rule 1 is assigned to the salary increase plan in the salary review process, and eligibility rule 2 is assigned to the salary increase plan in the promotion process.

See also:

Eligibility Group

Compensation Employee Eligibility Infotype