Changing from Full to Part time and Leave accrued

ED1404

I have an employee changing from Full time 40 hours per week over 5 days Part time to 2 8hours per week over 4 days.

I know I need to change their hours of work and days paid in the Standard Pay tab but am not sure if the current and accrued leave will remain when I change their hours  or will the existing leave remain.

They do not want paid out their leave entitlements but have it carry over.

Isaiah_C

Hi @ED1404,

 

Good question and you’re absolutely right to think about this before you change their hours. In MYOB, the annual leave balance is actually stored in weeks, not hours, so when you change the Hours worked per week on the Standard pay tab, their balance in weeks carries over and isn’t wiped or paid out automatically. What does change is the hours that those weeks are worth, because the employee’s “Definition of a week” updates to match their new part-time hours. So, if you change them from 40 hours per week down to a lower number of hours, the weeks of leave will stay the same, but when you look at the balance in hours it will look different. If you want them to effectively keep a specific number of hours of leave (rather than just the same number of weeks), you’ll need to do a one‑off leave adjustment after you’ve updated their hours. Here’s the usual process:

 

1. First, change their Hours worked per week and work pattern on the Standard pay tab.
2. Go to Payroll > Employees > [Employee] > Leave tab > Annual holidays > Opening leave balance.
3. Use Opening leave balance to increase or decrease their weeks of leave so that the total hours look right for their new “Definition of a week”.
4. Run the Leave balances report to double‑check everything looks as expected.

You can also refer them to this help article which goes through updating leave balances in more detail: Updating leave balances – MYOB Business. 

 

Regards,

Sai