Setting Up Coverage Rate for Parental Leave in Simployer One

What is Coverage Rate for Parental Leave?

Coverage Rate is a setting in Simployer One that defines the percentage of salary compensation an employee receives during a Parental Leave period. It lets you offer employees a choice of compensation levels, based on statutory rules or internal company policy.

This is particularly relevant in countries like Norway, where statutory parental leave commonly offers a choice between:

• 80% coverage with a longer leave period
• 100% coverage with a shorter leave period

Note: Coverage Rate is only available for the Parental Leave type. It cannot be enabled for other leave types.

How do I enable Coverage Rate options in a Parental Leave policy?

To let employees choose a coverage rate when requesting Parental Leave, you need to enable and configure the setting on the relevant leave policy.

1. Navigate to Settings.
2. Go to Time Off Settings.
3. Select the Parental Leave type.
4. Create a new leave policy, or open an existing one to edit.
5. Enable the Set Coverage Rate option.
6. Define the allowed coverage rate values (for example, 80 and 100).

Once saved, employees requesting Parental Leave under this policy will be able to select from the coverage rate values you defined.

How do employees select a Coverage Rate when requesting Parental Leave?

If Coverage Rate is enabled for Parental Leave, employees are asked to select a coverage rate when they submit a Parental Leave request.

1. The employee starts a Parental Leave request as normal.
2. When prompted, they select one of the predefined coverage rate options configured for that leave policy.
3. They submit the request.

The selected coverage rate becomes part of the registered leave record and is used in subsequent reporting and payroll processing.

How does Coverage Rate affect absence and payroll reports?

The Coverage Rate selected on a Parental Leave request is stored as part of that leave record and is used in reporting and payroll:

• Absence Reports: HR and managers can track parental leave based on the compensation level selected.
• Payroll Reports: The coverage rate is used to ensure accurate handling of leave compensation, whether through payroll integrations or manual exports.

This supports compliance with statutory parental leave rules and helps ensure payroll is processed accurately.