Contracts in Factorial

Fill in all the necessary information to keep your employees contracts up to date.

Creating a Contract

1. Basic Information 

  • Job Title: The name of the employee's job. e.g. Instructional Designer. 
  • Start date: The date on which the employee starts working for the company 
  • End date: The date on which the employee leaves the company
  • Contract type: The type of contract, you will only be able to select the options shown. For example: Indefinite.

2. Contract Extra Information

Extra information for the contract based on the employee's country.

👀 You can see this section only if you have installed Factorials App for Payroll.

3. Working hours

This is the number of days and hours that this employee works

  • Hours: Number of hours according to the unit. 
  • Unit: To calculate the hours worked, Day/Week.
  • Days a week: From Monday to Sunday, you can mark the days the employee is working. 

4. Gross Salary 

In this section, you can introduce the employee's base salary, according to the type of compensation you would like. 

  • Type: You can specify the type of compensation you want, depending on how it is handled in your company. Annual, weekly, monthly, hourly.
  • Amount: You can introduce the salary amount in a text-box. 


5. Additional Compensation

Variables, bonus and benefits. These will be shown in the payroll management app.

  • Recurrence: Every few months the variable compensation will be made to the employee. 
  • Amount: The amount to be paid by the company to the employee. - 2021-11-04T093830.895

Contract Versions

In Factorial there is no multi-contract option, but rather several versions of a contract. In other words, there is only one single contract. So changing the start date of a contract will affect all the different versions of the contract (while also changing the other variables such as hours and absences).

  • Go to the Employee
  • Select Contract 
  • Press the (+)  button

Once these steps have been carried out☝, a window will open requesting you to enter a Contract Version Date. 

Important ☝🏽

  • The changes that you want to make to your employee's contract must be made after having entered and created the version date. Which would be the date from when these changes apply. 
  • Once the new version of the contract has been created, we must avoid modifying the Start Date of the Original Contract, in fact, this date will already appear entered by default.

💡 The Administrator will receive a notice 16 days in advance and 1 day early informing that the contract of the employee is about to expire.  
By default, the notification will be sent to Pending Tasks>Dashboard. If the Administrator has the settings enabled, it will be sent to her/his email as well.