Oracle Fast Formulas - Chapter 38: Fast Formula for Leave Accrual Calculation

  Fast Formula for Leave Accrual Calculation

Overview:

Oracle Fusion Absence Management enables leave accruals using Fast Formulas. These formulas control how employees accrue leave (e.g., sick leave, vacation) based on conditions like service length, grade, or hours worked.

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Typical Use Cases:

1. Proportional accruals based on employment start date.

2. Service-based accrual slabs (e.g., higher accruals for senior employees).

3. Proration for part-time or unpaid leave periods.

4. Conditional accrual (e.g., only after probation period).

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Example: Leave Accrual Formula by Years of Service

plsql
DEFAULT FOR YEARS_OF_SERVICE IS 0

INPUTS ARE YEARS_OF_SERVICE

IF YEARS_OF_SERVICE < 1 THEN
  ACCRUAL := 10
ELSE IF YEARS_OF_SERVICE >= 1 AND YEARS_OF_SERVICE < 5 THEN
  ACCRUAL := 15
ELSE
  ACCRUAL := 20

RETURN ACCRUAL

This formula returns leave days based on how long the employee has worked.

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Integration Points:

• Assign via Accrual Plans in Absence Management.

• Link to Fast Formula Type: Accrual.

• Use PER_ASSIGNMENT_ID, HIRE_DATE as context variables.

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Tips:

• Use FLOOR() or ROUND() for proper accrual units.

• Always test using the Evaluate Formula tool.

• Consider leap years or mid-month joiners for accuracy.

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Practice Quiz:

1. What formula type is used for calculating leave accruals?

2. How would you modify the formula for bi-monthly accruals?