Why are adjustments for” paid leave taken” included in the percentage calculations for the PDC Reports?
When a biweekly employee works on a sponsored award, his/her labor charges to the sponsored award will normally include dollars associated with the hours worked on the award and a separate paid leave allocation amount that is charged at a 14.5 percent rate. When this employee actually takes paid leave (e.g., vacation day), the dollars associated with this leave is charged to a non-sponsored award (typically a non-sponsored paid leave account), and not to the sponsored award. This will result in a portion of the payroll for this employee being captured in the non-sponsored award. The labor calculation in the PDC reports includes charges for” paid leave taken” that is captured in the non-sponsored awards. For example, if a person is eligible for paid leave and normally charges 100% of his salary to one sponsored award, but has taken one month vacation during the six-month reporting period, the PDC Report will show 83% (5 months/ 6 months), not 100% charged to the sponsored award, and 17%
