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What is GRE/legal entity or GRE organisation and its
purpose and difference between it and other organisation
types?
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Answer / suddu225
A legal entity represents the designated legal employer for
all employment-related activities. The legal authorities in
a country recognize this organization as a separate
employer. In an organization hierarchy, a legal entity may
report to an operating company or to the ultimate legal
entity.A legal employer is a legal entity that is
responsible for employing people in a particular country.
Therefore, if you employ people in a country, then you must
have at least one organization classified as a legal entity
and a legal employer. The Configuration Workbench classifies
an organization as a GRE/Legal Entity where your enterprise
operates in a country, and classifies it as an Employer if
you employ people in that country also. For example, you can
have a legal entity in a country where you do business, but
do not employ people in that country.
The ultimate legal entity represents the
enterprise, and typically, the enterprise is the
highest (global) level of a business organization. The
ultimate legal entity is the parent
company or organization for all its subsidiaries and
divisions. Oracle HRMS represents
the ultimate legal entity with the GRE/Legal Entity
organization classification.
IN SHORT :
GRE/Legal Entity: Use this classification to represent the
following organizations:
• Ultimate Legal Entity: this represents the enterprise, and
typically, the
enterprise is the highest (global) level of a business
organization.
• Legal Entity: this represents the designated legal
employer for all
employment-related activities. The legal authorities in a
country recognize this
organization as a separate employer. In an organization
hierarchy, a legal entity
may report to an operating company or to the ultimate legal
entity.
• Consolidated Legal Entity: this organization acts on
behalf of multiple operating companies that are not legally
registered, or simply on behalf of the
enterprise in a country.
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