Setting Up Union Codes

If you are using wage and union codes in the job, you need to change the union codes or wage codes in Job File Maintenance when you change them in Payroll.

Union codes need to be added to the Payroll module if:

  • You have a new employee who belongs to a union that has not already been set up in your payroll system.

  • An existing employee joins a union that you do not have in your payroll system.

  • You need to update existing union codes due to changes in union fringes, deductions, and pay rates. They are updated frequently by the unions in order to maintain wage and benefit standards; therefore, regular maintenance of pre-established union codes is necessary.

If the level in the job is changed, be sure that all the wage codes in the job have that level.

If the union fringe amounts or deduction amounts have changed, two issues should be considered: (1) a pay period may have to have two pay rates and (2) wage and union codes need to be set up before they can be entered in the job or employee files. It is easiest to change the amounts in the current union. If several days of your pay period should be at the old rate and several days at the new rate, you need to run two pay cycles, one at the old rate and one at the new rate. Alternatively, you can set up new unions for the new fringe or deduction amounts. You will then want to set up the new wage codes to go with the new unions, and then enter these new wage codes and unions in the jobs. To view how to revise union rates, click here.

  1. On the Site Map screen, click Payroll > Maintenance > Union to open the Union File Maintenance screen. Click New.
  2. Complete the following fields: Union code, Description, Craft, Certified craft code, and Status.
  3. In the Deductions and add-ons section, click New Deduction. In the New Union Deduction window, enter the Deduction code, Description, Method, Rate, and Effective date fields.
  4. Select the Include in gross pay checkbox if there is a deduction that should be added to the gross pay. Click OK.
    Note: Unions typically pay the vacation pay to their employees. In order to avoid having to process the tax information, a union usually asks the company to add the vacation pay to the employee's normal pay check and to deduct the taxes on the amount. This allows the unions to give the employee the after-tax amount for vacation pay.
  5. In the Fringes section of the New Union window, click New Fringe and then complete the following fields: Fringe code, Effective date, Type, Rate, and Fringe payable.
  6. Repeat steps 1-5 if you are entering multiple union codes.
  7. Click OK twice to return to the Site Map screen.
  8. On the Site Map screen, click Payroll > Maintenance > Employees to display the Employees screen.
  9. If you want to apply the new union code to an existing employee, in the Search field enter an employee code, or press F4 to select from a list of valid employees. Select the employee and click Edit.
  10. On the Employee Main Properties screen, at the Union field, enter the union code or press F4 to select from a list of valid union codes. If this is a new employee, complete the Properties window.
  11. Click Save to apply your changes and return to the Site Map screen.