WFM UK: Tronc: Using Employee HR Records for Agency Staff and Tronc Distribution

Overview

The Employment (Allocation of Tips) Act, 2023 makes it clear that all workers, including agency workers, must be considered for a share of tips. This article shows how to create agency job titles and include agency workers in Tronc using an agency employee record within HR.

Contents

• Agency Job Titles
• Creating an Agency Employee Record
• Agency Workers in Tronc
• Reporting on Agency Workers in Tronc
• Agency Workers in Tronc2
• Reporting on Agency workers in Tronc2

Agency Job Titles

Within the Job Title setup, there is the option to flag it as 'Agency' or 'Contractor'. This flag will block any employees assigned to that job title from being included in a payroll.

• To create an agency Job Title, go to HR > Company Admin > Job Titles > Create Job Title
• Set the Contractor / Agency Job Title setting to Yes

Fig.1 - Create Job Title

• Once enabled, a second option will be displayed - Exclude NI Fomr Wage Cost - which, when set, will exclude the agency hours from the employer's National Insurance Contribution calculation from the wage cost

Fig.2 - Contractor / Agency Job Title

If the tronc points are being recorded within the Job Title, a rate can be assigned to the agency Job Title in the same way as standard Job Titles.

• To set the tronc points, scroll down to the 'Tronc Points' section within the Job Title
• Enter the Tronc Point that should be assigned to agency workers assigned to this Job Title
• Add the Effective Date for the rate to take effect
• To complete the creation of the agency Job Title, select Save

Fig.3 - Tronc Points in Job title

Once the Job Title has been created, the fields associated with the contractor/agency settings will be locked - see Fig.4.

 Any employee records assigned a non-agency Job Title cannot be moved to an agency Job Title. If an employee record needs to be moved to an agency Job Title, the existing record should be terminated and a new one created.

Fig.4 - Existing contractor/agency Job Title - locked settings

Creating an Agency Employee Record

An agency employee record should be created in the same way as for standard employees.

• To create a new agency employee, go to HR > Employees > Create New Employee
• Enter the employee's Personal Details (this can be the agency details, with a simple name to identify the agency role) and select Next
• Select the Location, Division and the Agency Job Title (created earlier in this article)

A pop-up will then appear to explain that the employee record will not be attached to payroll.

Fig.5 Agency Job Title pop-up

• If it is included in the employee record, enter the Tronc Rate
• Enter all other employment-related information, such as Start Date, Pay Rate, etc and select Next
• Navigate through all other pages before completing the employee record creation

The new agency employee record will then be created.

Agency Workers in Tronc

Once agency employee records have been created and assigned a Tronc Rate, they will be included in the tronc distribution screens.

• To allocate the tronc funds, go to Tronc > Fund Administration > Week List > select the Current Week

Fig.6 - Selecting the current tronc week

• Add the total fund amounts in the Share Per Fun £ fields, and the percentage splits in the Share Per Fund % fields
• Then select Next

 This page will differ depending on how a Tronc fund is set up. In this example, the Company has three separate funds; one for each division.

Fig.7 - Tronc fund allocation

• Select the relevant fund (if applicable) > enter the Tronc Paid Out amount

The Tronc will automatically distribute according to the hours worked Tronc Rate and the amount available within the fund.

To make reporting of tronc for agency workers easier, it is recommended that agency workers be assigned to their own division within HR and, if possible, an agency fund within Tronc.

Fig.8 - A tronc period

Reporting on Agency Workers in Tronc

• To report on the tronc distribution for agency workers, go to Tronc > Reports > Exports > Tronc payment Report
• Select a Location
• Select a From and To Tronc period date
• Then Run Export

The report will be generated in an Excel file and display the following fields:

• Location
• Division
• employee Number
• Employee Name
• Pay Type
• Hours worked
• Tronc Rate
• Total (tronc)
• Date from
• Date to

Agency Workers in Tronc2

Once Agency employee records have been created and assigned a tronc rate, they will be included in the tronc distribution screens.

• To allocate the Tronc Funds, go to Tronc2 > Payments > Employee Payments 
• Using the drop-down menus, select a Location and then a Fund
• Then, select a Tronc period from the displayed list

Fig.9 - Tronc2: Employee Payments - Fund Allocation

The information relating to the Agency Workers will be displayed, and the Tronc amount will be distributed automatically according to the Hours Worked, the Tronc Rate and the total fund amount.

Reporting on Agency workers in Tronc2

• To report on the tronc distribution for agency workers, go to Tronc2 > Reports > Exports > Employee Payments Export
• Select a Location and a Fund
• Select a From and To date
• Then Run Report

The report will be generated in an Excel file and display the following fields:

• Location
• Fund
• Tronc period Start Date
• Tronc Period End Date
• Employee Number
• Employee Name
• Division
• job Title
• Shift/Hours
• Tronc rate
• Extras/Deductions
• Employees Total Tronc
• Employees Total Tronc Paid Out
• Total Fund
• Total Fund Allocated
• Total Fund Tronc Point Value
• Total Fund balance
• Status (of fund)