You can use pay zones to increase or decrease pay grade amounts according to the geographic area that employees work in. Pay zones can help your organization account for higher or lower than average cost of living or different labor market conditions for certain areas. For example, you can configure a pay zone that increases pay grades by ten percent for employees working in New York City or San Francisco.
Before You Begin: To use pay zones, jobs must have a pay grade assigned. See Pay Grade Configuration
When configured, pay zone functionality replaces org differential functionality, which is available in Dayforce by default. You can use org differentials to increase or decrease pay grades for certain organizational units. See Org Differentials
Configuring pay zones involves the following steps:
- Enabling pay zone functionality for your instance of Dayforce. See Configure Client Properties for Pay Zones.
- Assigning access authorizations. See Assign Access Authorizations for Pay Grades and Pay Zones.
- Assigning features. See Assign Role Features for Configuring Pay Zones and Pay Grades.
- Configuring individual pay zones. See Create Pay Zones.
- Associating pay zones with pay grades. See Configure Pay Zone Differentials.
- Running a background job that creates pay zone differentials for pay zones and pay grades. See Configure the Pay Zone Differential Recalc Background Job.
- Running a background job that assigns pay zones to employee work assignments. See Configure the Employee Pay Zone Recalc Background Job.
- (Optional) Manually assigning pay zones to employee work assignments. See (Optional) Override Pay Zones by Employee.
For additional information, see the following: