A worker moves to a different legal employer within the same country. The HR uses performs a global transfer to meet this requirement. What is the impact of the transfer on the worker’s payroll relationship record?

The impact of a global transfer on a worker's payroll relationship is determined by the configuration of the Payroll Statutory Units (PSUs) and their association with the legal employers. If the worker's old and new legal employers are associated with the same PSU, the existing payroll relationship is maintained. A new assignment is created under the new legal employer within the existing relationship. However, if the new legal employer is associated with a different PSU, the system must terminate the old payroll relationship and create a new one for the new PSU.

A. There is no impact. This is incorrect because if the transfer is between legal employers in different Payroll Statutory Units (PSUs), the original payroll relationship must be terminated and a new one created.
C. The payroll relationship will be ended and a new relationship is created. This is not always true. This action only occurs if the new legal employer belongs to a different Payroll Statutory Unit (PSU) than the previous one.
D. It depends on the customer’s payroll statutory unit and tax reporting structure. This is less precise than option B. The primary determinant is the relationship between the legal employers and their associated PSU, not the broader "tax reporting structure," of which the PSU is the top level.

1. Oracle Cloud Applications

Implementing Payroll for Core

24B

Chapter: Define Payroll Employment Model

Section: Payroll Statutory Units

Legal Employers

and Tax Reporting Units: How They Work Together.

This document states

"A payroll statutory unit can pay and report on multiple legal employers. If you have a legal entity that acts as a payroll statutory unit

you can associate it with other legal employers that are not PSUs. This enables you to pay all employees of all legal employers in a single payroll run and perform all the statutory reporting for them." This confirms that the relationship between LEs and PSUs is the critical factor.

2. Oracle Cloud Applications

Implementing Global Human Resources

24B

Chapter: Set Up Enterprise Structures

Section: Legal Entities in HCM.

This guide explains

"When you hire an employee

you create an assignment for a legal employer. The legal employer is associated with a PSU. The application creates a payroll relationship for the person for that PSU." This establishes the direct link between the legal employer

the PSU

and the creation of the payroll relationship. A change in LE that results in a change of PSU necessitates a change in the payroll relationship.

3. My Oracle Support

"Oracle Fusion HCM: Employment Model (Doc ID 2767131.1)"

Section: Payroll Relationship.

This support document clarifies

"A payroll relationship is created when a person is hired into a Payroll Statutory Unit (PSU). All assignments for that person within legal employers that map to that same PSU are grouped under that single payroll relationship." This directly supports the principle that the PSU governs the payroll relationship's existence.