FAQs About Labor Groups & Multiple Pay Rates in Zenefits Payroll

  1. Click into the Pay Runs tab from the Payroll app.
  2. Select a pay run, then Edit for the desired individual.
  3. Click Add Labor Group then select the desired Labor Group.
  4. Any applicable Location, Positions, Codes, or other custom group, can be added to the Earning.
  5. Press Save when finished.

You need to set up specific labor groups and their corresponding codes in the Company Profile. Once an employee is assigned to these labor fields, they will be available in Payroll for you to manage during the Edit Pay Run step. Please keep in mind that the default Location and Department of an employee would be available in the Labor Distribution Report and Labor Distribution Detail Reports, if you don't add any labor groups during the Edit Pay Run step.

You are able to download the Labor Distribution report from the the Reports tab of the Payroll app. In this report, you can see hours worked, wages earned, and benefits accrued by labor groups. You can also download the Labor Distribution Detail report from the same location. The Labor Distribution Detail report, as the name implies, provides further granularity into each item in a pay stub in terms of labor groups.

Individual workers will not be able to see the assigned labor groups in the pay stubs generated after the payruns. The labor distribution fields exist for giving the business owners more visibility into how resources are allocated and deployed into various cost centers. However, if an employee has different earnings at different pay rates, it will be captured separately in the pay stub.

Once multiple pay rates have been set up in the Company Profile, you can assign these to your workers in Zenefits Payroll.

  1. From the Payroll app, select the Pay Runs tab and click on the Draft run you'd like to edit.
  2. Click on a specific worker you'd like to edit.
  3. Beneath Earnings, you'll see it defaults to their regular pay rate.
  4. To add a pay rate for a different position, click +Add Labor Fields.
  5. Next to Position Code (or whichever labor group you're editing), you can select a different position from the drop down. The new rate will be displayed, and you can alter the hours as needed.
  6. If you change the Rate per Hour in the Labor Code pop-up window, it will only change it for this specific pay run. If you wanted to change the rate permanently, you'd need to go to this worker's profile from the Directory app. Detailed steps can be found here.
  7. Once you're finished with this labor field, click Add.
  8. You can continue to add as many different customized labor fields as needed. Once you're done, click Save to return to the Draft run.
If you'd like to see this in video form, check out our Zenefits Training section! Note that you will need to log in to view these.

If your company uses the Zenefits Time & Attendance tool and Zenefits Payroll, the rates you have set up for each worker's labor field can flow from T&A into Payroll.

  • You must have set up labor fields with a code in the Company Profile
  • Your workers must have a labor field assigned to them in their worker profile
  • The worker must select the labor field either in their timesheet or when clocking in using the mobile or app based timekeeper
This will appear in Zenefits Payroll as a unique, regular earnings line item.

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