Yes and no.


You will need to enter employee hours in the following scenario:

"Your employee has only worked partial hours in the year (not the same number as your standard hours in the project management section)."


Hours in the Employee Data are used in 3 different ways in the Compensation Tool:

1. Determine hourly Job Rates by dividing the "Actual Earnings" and "Actual Variable" by the "Actual Hours".

2. Similar to number 1 above, dividing the "Base Salary" by the "Actual Hours" if project hours have not been provided.

3. Determine total adjustment amounts in the Pay Equity analysis for employees in the a Job Class that it is determined will receive an adjustment.


If you do not enter "Actual Hours" for an employee their hourly rate and adjustments are automatically determine by the "Standard Project Hours" or "Job Hours". For more information on Hours see here.


Examples: 

If all the compensation data you enter is on an annual basis, but you had an employee start mid-year and you do not enter their "Actual Hours" the adjustment calculations will be off by the percentage of the year they were employed and thus may impact the Optimized Pay Equity analysis performed buy the Compensation tool.

The only scenario were "Actual Hours" are not require for all the employees, for an accurate analysis, is when ALL your employees have worked the same number of hours in the year.