Switch codes are used for swapping different pay types in pay agreements. Most often used to switch between flex and overtime or no pay (break) and overtime or some pay account build up.
A switch code is set up as an indirect activity in a group marked with the switch code type. This is found at: Time and Attendance > Setup > Indirect activity categories
Switch codes can be used together like overtime before and overtime after profile time. You can also set them up to cancel one or more other switch codes. For instance if the user has decided to apply overtime to his work after regular profile hours, but then decide that he wants to do a flexi or work account build-up. In that case the user register a “build-up switch code” which cancel the earlier registered overtime switch code.
The example above only has a single overtime switch code. You might want to have a separate switch code for “start of day overtime” and “end of day overtime” to be able to differentiate. You also then want a Flex switch code that cancels the overtime switch codes.