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HUMAN RESOURCE POLICY MANUAL

Submitted to-A.P ACHAR


DATE-17.1.2010

ANSHU
Reg.no-091202109
Section-B
CONTENTS

1 EMPLOYMENT
Purpose
Policy
Requisition
Selection procedure
Placements

1 INDUCTION
Purpose
Procedure

2 PROBATION & CONFIRMATION


Purpose
Policy
Procedure
Conditions

2 SALARY ADMINISTRATION
Objective
Factors that determine in fixation of wages

3 LEAVE POLICY
Leave calculation
Kinds of leave
Conditions
Maternity leave
Unplanned days off
Unauthorized absence
Abandonment

4 TIME MANAGEMENT
Purpose
Policy
Procedure

5 HOLIDAYS
Purpose
Policy – Annexure 7A
Important point

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CONTENTS

6 TRANSFER
7 CONDUCT & DISCIPLINARY ACTION
Conduct and work rules
Sexual and unlawful harassment
Charge Sheet And Enquiry
Direction

8 CONFLICT OF INTEREST
3 SAFETY POLICY
Safety – General Policy
Injuries
General safety rules

4 GRIEVANCE POLICY
9 TRAVEL POLICY
Applicability
Policy
Category
Outstation Travel
Boarding & Lodging
13.6 Entitlement of Allowances
13.7 Conveyance Expenses
13.8 Rules for Local Conveyance
13.9 Travel Advance
13.10 General procedure

5 RELOCATION POLICY
Policy
Applicability
Definition
Joining time
Entitlements incase of transfer
Salary advance
Accommodation
Entitlement incase of deputation

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CONTENTS

6 COMPENSATION POLICIES
Cost to the Company (CTC)
Provident fund
Employee state insurance
Professional tax
Gratuity scheme
Mediclaim Policy
GPA Policy

7 PERFORMANCE APPRAISAL
Objectives
Eligibility
Time of appraisal
Procedure

8 TRAINING POLICY
Policy
Objective
Identification of training needs

9 POLICY FOR ALLOWANCES


Telephone expense reimbursement
Definition

10 LEAVE TRAVEL ALLOWANCE


Purpose
Policy
Important points
Exemption from income tax

10 NON-COMPETE AGREEMENT
Purpose

11 EXIT POLICY
Resignation
Termination
Retirement
Service certificate

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1. EMPLOYMENT

1.1 - PURPOSE

The purpose of the policy is to clarify the process of appointments in ABC Ltd.

1.2 - POLICY

All appointments in ABC Ltd will be made against approved manpower plan and budget for the
respective Business Units. Normally, manpower plan and budget will be approved once a year for the
entire financial year of operations whether it is an appointment time to time, over and above the plan.
Once approved, the HR Manager initiates action for recruitment, and processes the same with the
consent of the respective Bussiness Unit Department Head.

1.3 - REQUISITION:

For all appointments, the Manpower Requisition Forms as per Annexure 1 should be initiated at the
department / branch / region and sent to HR Department through the concerned B.U. Departmental
Head.

The following details are to be provided in the relevant columns given in the Manpower Requisition
form, whether it is a:

 New Vacancy
 Replacement (or)
 Transfer

All recruitments for subordinate staff could be initiated at the branch level, subject to the compliance
with the eligibility standards.

In case of recruitments of new positions during the course of the year and in case if it is not budgeted for
that year, then prior approval should be taken from the Chief General Manager – Operations (CGM-O)
and the COO. Chief Executive Officer.

1.4 - SELECTION PROCEDURE:

The Manpower Requisition Form raised by the B.U. head is sent to the respective BU’s HR Department
to initiate the selection procedure. On receiving the requisition form, the HR Department will start the
recruitment process through various stages which are as follows:

a) SOURCING:

It can be through: -
 Advertisements in relevant newspapers.
 E-recruitment.
 Manpower Consultants.

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 Through references.
 Campus Recruitments.
 Notification to employment exchange.
 Internal Job Posting
The applicants will be screened for preliminary interviews by the HR Department to work out the short
listed candidates, to be interviewed by the concerned B.U. departmental heads.

b) INTERVIEW PROCEDURE: As Per NIS Sparta Designed process

Candidates screened will be called by the HR dept for interviews through E-mail or phone by giving the
date, time and place of interview, along with the necessary guidelines, if required.

Outstation candidates for managerial positions will be reimbursed second class- AC railway fare by
shortest route and in special circumstances, airfare will be considered with prior approval from the CEO.

Candidates for Non-managerial positions will be reimbursed second-class railway fare by shortest route.
Local candidates for managerial and non-managerial positions will not be reimbursed any conveyance
expenses.

In case of outstation recruitments, where Sr. Managers are not able to conduct interview personally,
prior approval from the CGM(O) / COO shall be taken for telephonic interviews.

c) STAGES OF INTERVIEW:

Depending on the positions, the selection of the candidate will be through various stages of interview.

Appropriate selection / aptitude tests will be administered for different positions, either by HR or the
concerned department head.

The department head will recommend the final selection of staff through a final round of interview.

1.5 - PLACEMENT :

The department / branch will forward all the relevant papers of the selected candidates to the HR
concerned, Bangalore, Chennai or Delhi. Salary and other terms of services will be finalized by the
department head in accordance with the grade, structure and policy prevalent in the Company.
The following documents are required for processing the appointment letter.
 Application for employment (as per Annexure 2) duly signed by the department head.
 Copy of the updated resume.
 Address Proof
 Identity Proof
 Proof of age – SSLC/ICSE/CBSE certificate
 Passport size photograph.

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 Academic certificates (including additional certificates/courses) supporting your educational
qualifications along with mark sheets.
 Service Certificate from the previous employer(if having prior work experience)
 Latest salary slip or salary certificate from the previous employer.
 PAN card for employees in managerial level
 For employees covered under ESIC Act, family photograph (self along with dependents)
 If the employee is already covered under ESIC Act, a photocopy of the existing ESIC card
should be obtained and the same Number will be continued.

2. INDUCTION

2.1 - PURPOSE:

 Creating a favorable impression by building pride and interest in the Company.


 To help the new employee understand his/her roles and responsibilities.
 Introducing the new employee to all departments to understand their working culture.
 Equipping the new entrant with information and knowledge required for doing his/her job well.

2.2 - PROCEDURES:

The induction plan is a formal, written document initiated by the HR department. It is the
responsibility of the Executive / Manager of HR Department to schedule the induction training
for the new employee in all the departments, in co-ordination with the concerned departmental
heads. In the first stage, The HR has to provide the Induction kit, which consists of the
following:

 Company’s history, its Vision & Mission – Annexure 3

 Organization Structure – Annexure 4

 ABC Offices & Contact details – Annexure 5

 Company policies, objectives and regulations.

 Company’s products and business operations.

 Code of conduct

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 HR policies and employee growth prospects.

 Insurance, statutory, working hours, dress code.

 Bank account opening formalities.

 Nomination form to be filled under PF Act

In the second stage, the new employee is introduced to all the concerned departments as per the
Induction schedule. Upon completion of the Induction training in the rest of the departments, the new
employee will report to his/her manager.

3. PROBATION AND CONFIRMATION

3.1 - PURPOSE:

The purpose of the policy is to lay down the period of probation and process of confirmation of
probationers.

3.2 - POLICY:

Normally, the period of probation for a new joinee would be six months.
At the end of this period, based on his/her performance the new joinee may be:

 Confirmed
 Confirmed with Increment
 Probation period may be extended
 Services may be terminated.

3.3 - PROCEDURE:

 HR dispatches the Employee Assessment Form (as per annexure 6) for confirmation to the
concerned department head at least 15 days before the due date of confirmation
 HR generates reports for employees due for confirmation / completion of probation extension
in the subsequent month by the 7th working day of every month for employees and sends the
report to the respective manager..

 Employee Assessment Form is filled up by the department head and sent back to HR at least
7 days before the due date of confirmation.

 On receipt of the employee assessment form from the department head, a confirmation letter
signed by the CGM (O) Vice President-HR & Training is issued.

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 In the event of performance being appraised as unsatisfactory, the manager draws up a
development action plan along with the concerned employee and marks a copy to HR
Department who issues a letter extending probation for a period of 3 months from the date of
expiry of probation period or from the date of expiry of first extension of probation, as the
case may be.

 15 days before the end probation or extended probation, HR department sends the Employee
Assessment Form to the concerned Department Head. If the performance is still
unsatisfactory, a detailed report is prepared indicating the concern areas with supporting data,
highlighting the steps taken through Developmental Action Plan and sent to HR department.
HR personnel discuss the matter with the Department Head and on the due date of
confirmation & then issues a letter of termination while ensuring compliance with legal
requirements.

 Notwithstanding the points mentioned above, an employee who has worked for 240 working
days in the Company will be deemed as confirmed. He or she will be entitled to all priviledge
and obligation of confirmed employee.

3.4 - CONDITIONS:

 It is to be noted that the Employee Assessment Form is a final step which culminates in the
decision making of confirmation / extension / termination of the employee.
 No person shall be considered confirmed unless a confirmation letter has been issued.
If the employee has not been confirmed, his probation is automatically extended. In such
cases, a 7 days notice period has to be given by either parties.
 HR department owes the prime responsibility to ensure that appraisal schedule is maintained
and the confirmation letter is issued on time.
 If at the time of appraisal for confirmation of an employee it is observed that the probationary
period needs to be extended, reasons thereof must be properly discussed with the appraisee
and communicated accordingly, and documented.

4. SALARY ADMINISTRATION

ABC has implemented the provisions mentioned under & Payment of Wages Act of 1936 & Minimum
Wages Act of 1948.

4.1 - Objectives:

The salary administration program at ABC achieves the following objective :

 Consistent pay practices, comply with federal and provincial laws.


 Mirror our commitment to Equal Employment Opportunity.
 Offer competitive salaries within our labor market.

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Recruiting and retaining talented employees is critical to our success, hence ABC is committed to paying
its employees equitable wages that reflect the requirements and responsibilities of their positions and are
comparable to the pay received by similarly situated employees in other organizations in the area.

4.2 - Factors that determine in fixation of wages:

 Job Analysis and evaluation


 Salary survey data on pay practices of other employers.
 Each employee's individual contributions to the organization.

Merit-based pay adjustments may be awarded in conjunction with superior employee performance
documented by the performance evaluation process. Incentive bonuses may be awarded depending on
the overall profitability of the company.

Employees should bring their pay-related questions or concerns to the attention of their immediate
supervisors, who are responsible for the fair administration of departmental pay practices. The
accounting department is also available to answer specific questions about the salary administration
program.

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5. LEAVE POLICY

Employees are entitled to leave of three types -


Subject to the Policy and all rules -

Types of Leaves Entitlement Accumulation beyond


31st March
1 day of PL for every 20 Up to 15 days
Privilege Leave (PL) days worked

Sick Leave (SL) 6 days each in a Year Nil

Casual Leave (CL) 6 days each in a Year Nil

5.1 - LEAVE CALCULATION PERIOD:

Calculation ‘ Year’ for Leave entitlement is the period from 1st April of the current year to 31st March
of the subsequent year.

5.2 - LEAVE:

Casual Leave

 Each employee is entitled to 6 days CL in a year. Half day CL is credited every month to an
employee’s account. (25th of every month)

 In case of new joinees, only employees who have joined on or before 5th of every month are
entitled to half day CL for that month. In other cases, they will be entitled to half day CL
only from the following month.

 An employee can avail only 2 days CL at a time.

 If an employee wants to avail CL’s when a holiday falls in between, then even the holiday
will be accounted for leave calculation.

 Leave application must be submitted to HR ( Bangalore/ Chennai and Delhi) within 2 days
after availing the leave.

 Employee can use email to apply leave and email approval from approving authority can also
be forwarded to HR instead of a leave application.

 CL accumulated and unavailed will lapse on March 31st every year.


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Sick Leave

 Each employee is entitled to 6 days SL in a year. Half day SL is credited every month to an
employee’s account. (25th of every month)

 In case of new joinees, only employees who have joined on or before 5th of every month are
entitled to half day SL for that month. In other cases, they will be entitled to half day SL
only from the following month.

 If the period of sickness extends beyond 2 days, the employee will have to provide a Medical
Certificate from a Registered Doctor for that period.

 If an employee wants to avail SL’s when a holiday falls in between, then even the holiday
will be accounted for leave calculation.

 Leave application must be submitted to HR (Bangalore/ Chennai and Delhi) within 2 days
after availing the leave.

 SL accumulated and unavailed will lapse on March 31st every year.

Privilege Leave

 To be eligible for PL, a new employee shall work for a minimum of 240 days

 An employee’s account is credited with 1 PL in a month after 8 months of service. (25 th of


every month).

 Minimum of 3 days of PL is to be taken for availing this leave at a time. Only working days
to be considered for availing PL’s.

 Leave application must be submitted to HR ( Bangalore/ Chennai and Delhi) at least 3 days
before availing the leave.

 Employee can use email to apply leave and email approval from approving authority can also
be forwarded to HR instead of a leave application.

 An employee can accumulate a maximum of 15 PL’s as calculated on 31st March. Any excess
leave will automatically lapse.

 PL cannot be clubbed with CL.

5.3 - CONDITIONS:
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 None of the leaves are encashable at any stage.

 CL cannot be clubbed with any leave.

 All leaves will be allowed to employees, subject to the emergency and they cannot be
claimed as a matter of right.

 If any employee after proceeding on leave, desires an extension thereof, he shall make an
application in writing by Registered post (acknowledgement due) or Speed Post for extension
well in time to enable the Manager to reply before the expiry of the earlier sanctioned leave.

5.4 - Maternity Leave (ML):

Employees not covered under ESI Act

 Eligibility: Employees on rolls of ABC Ltd. who have put in minimum 2 Years of service.

 Entitlement: The entitlement is for the first two living children only

 In case of delivery, the maximum period of leave will be twelve weeks of which not more
than six weeks should precede the date of her expected delivery. During this period of leave,
the employee shall be paid their salary, allowances and applicable reimbursements for only 3
months. Only in case of employees proceeding on Maternity leave, SL and PL can be
combined. However, the management has the discretion to allow such combination of leave.
The employee must apply in writing for ML at least three months in advance from the date of
her actually proceeding on leave. .

 In case of miscarriage, the maximum period of leave will be six weeks from the date of
miscarriage.

Employees – Covered under ESI Act

 Employees who are covered under the ESI Act shall be entitled only to the stipulated benefits
/ leaves as per the guidelines of the Act. However, the employee will not be entitled to any
leave (PL/SL/CL) / salary while on maternity leave, in case they avail the ESI facility.

5.5 - Unplanned Days Off:

The Organization may modify any designated holiday/ Weekly off due to circumstances, it may deem
fit. For incidents such as a Bandh/strike or any unavoidable circumstances, the office might be kept
closed and the same may have to be compensated on any other day as decided by the management.

5.6 - UNAUTHORISED ABSENCE:


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Any absence from office without any proper authorisation is treated as un-authorised and absent and the
salary will be deducted for the same even if she/he has leave balance to his credit. Company reserves
right to take disciplinary action also against such employee.

5.7 - ABANDONMENT:

If a confirmed employee absents himself/herself or overstays his sanctioned leave for more than 7 days
(inclusive of weekly offs and holidays) he will be deemed to have voluntarily left the services of his own
without notice or voluntarily terminated his contract of employment and the employer is not required to
send the intimation of the same to the employee. The Company will recover 7 days salary based on
monthly gross pay in case of employees who are on probation or one month of gross salary from
confirmed employees.

Leave Application – Annexure 7

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6. TIME MANAGEMENT

6.1 - PURPOSE:

The purpose of this policy is to clarify the hours of work and attendance in ABC Ltd.

6.2 - POLICY:

The normal work hours for all employees is 8.55 a.m. to 6.30 p.m, Monday to Friday with a lunch break
of one hour from 1.00 p.m. to 2.00 p.m.

The same is not applicable for employees working in shifts.

The department head of the location has to ensure that all employees strictly adhere to the working
hours.

6.3 - PROCEDURES:

On arrival at the office, employees have to record their attendance

The employees who are unable to give their attendance due to various reasons has to bring it to the
notice of HR in writing citing reasons on the same day through an inter office memo/e-mail duly
approved by the department head.

Three late comings in a month will result in one-day loss of pay. (LWP) - Between 21st of previous
month and 20th of the current month

The HR Department will mark absent for all the employees who have not given their attendance.
Employee on resuming their duty must have the leave application form duly approved by the
departmental head to be submitted to the HR Department. In case the leave is not approved the same will
be considered as unauthorized absence and necessary deductions in the salaries will be made.

A summary of each month’s attendance is to be maintained for record by HR Department.

On any single day if an employee does not show up for 30 minutes from the start of duty, he may be
permitted to join duty if he obtains special permission from his departmental head to work on that day.

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7. HOLIDAYS

7.1 - PURPOSE:

As per the Shops & Establishment Act, ABC follows a holiday policy, in accordance with the holiday
list declared by the respective state governments.

7.2 - POLICY:
ABC observes 12 paid holidays in a year, of which 3 are national holidays.

The National Holidays are:

a) 26th January – the Republic Day.

b) 15th August - the Independence Day.

c) 2nd October – the Gandhi Jayanthi.

The other nine Holidays are festival holidays, which vary from location to location.
Company reserves the right to make changes in holidays as it may deem fit – Annexure 7A

7.3 - IMPORTANT POINT

The Holidays list is governed by the occasion, and not by the number of days. Once the occasion for
holidays is decided, the same cannot be changed unless it has the special approval of the management.

NOTE:

a) If any employee desires to leave the establishment during working hours he shall obtain
permission from the department head or the person in-charge of his/her department at that time.

b) No employee shall take notes, drawing or sketches of any processes of work of the establishment
except under order of the employer in writing.

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8. TRANSFER

Employees shall be liable to be transferred at the discretion of the employer from one establishment /
location to another of the same group or sister concern from one section of the Department to another,
anywhere in India whether existing or to be set up at a future date in the interests of business without any
loss of wages. The terms and conditions prevailing at any place of transfer shall immediately and
automatically become applicable to the employee at each such transfer.

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9. CONDUCT & DISCIPLINARY ACTION

9.1 - CONDUCT AND WORK RULES

To ensure orderly operations and provide the best possible work environment, ABC expects employees
to follow rules of conduct that will protect the interests and safety of all employees and the organization.

It is not possible to list all the forms of behavior that are considered unacceptable in the workplace. The
following are examples of infractions of rules of conduct that may result in disciplinary action, up to and
including termination of employment:

 Employees on personal calls during office hours which affects their daily routine work.
 Theft or inappropriate removal or possession of property
 Falsification of timekeeping records
 Working under the influence of alcohol or illegal drugs
 Possession, distribution, sale, transfer, or use of alcohol or illegal drugs in the workplace,
while on duty, or while operating employer-owned vehicles or equipment
 Fighting or threatening violence in the workplace
 Boisterous or disruptive activity in the workplace
 Negligence or improper conduct leading to damage of employer-owned or customer-owned
property
 Insubordination or other disrespectful conduct with the superior
 Violation of safety or health rules
 Sexual or other unlawful or unwelcome harassment
 Excessive absenteeism or any absence without notice
 Unauthorized use of telephones, mail system, or other employer-owned equipment
 Unauthorized disclosure of business "secrets" or confidential information
 Violation of personnel policies
 Unsatisfactory performance or conduct

An employee found guilty of misconduct may be:

1. Warned or reprimanded;
2. Suspended without wages for a period not exceeding 7 days
3. Fines, subject to the provisions of Payment of Wages Act.

9.2 - DIRECTION:

If any company rule is violated, disciplinary action will be taken. The employee’s immediate supervisor
is responsible for assessing any incidence occurring and is required to inform the higher levels of
Management and the HR Department for initiating any disciplinary action.

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10. CONFLICT OF INTEREST

No employee shall divulge any information relating to the affairs of the company which might come to
his knowledge in course of discharge of his duties or otherwise to any outsider.

Every employee shall at all times conduct himself soberly, and show proper respect and civility to all
persons in authority over him and to all colleagues and subordinates, customers and others having any
dealing with the company, and within all things, use his best endeavor to promote the reputation of the
said business, and in particular will at once inform the employer or the Principal Person in control of the
business of any act of dishonesty with reference to the business of the employer on part of the employee
or person, which may come to his knowledge.

No employee has any authority to purchase any stores, goods or stocks, or to incur any liability on behalf
of the employer without written authority obtained previously from the employer. Every employee shall
take as much care property of the establishment, as he would take of his own. He shall not mishandle
any goods or stocks and shall bring to the knowledge of the employer all kinds of damages or breakages
immediately.

No part of the employer’s properties and / or money shall be used for the personal benefit of the
employee.

All employees shall devote themselves exclusively to the duty assigned to them from time to time and
shall personally attended thereto at all times during the usual working hours and whenever necessary as
the exigencies of work require and law in force permits.

Engagement of ABC Ltd. employees’ in work outside ABC Ltd.

An employee will devote full time to the work of the company and will not undertake any direct /
indirect business and work, part time or full time, which is honorary or paid.

Any violation of the above clause would be treated as a major misconduct and elicit disciplinary action.
However, an employee, may, due to professional, or social commitment if in case participates /
facilitates in outside programmes, the same would be allowed subject to the following stipulations:

a) The activity will not involve payment of any remuneration / honorarium to the
employees.
b) Prior approval of the Head of the Department will have to be sought by the employee in
each such case.

The violation of the above policy should be immediately brought to the notice of the HR Department, so
that appropriate action could be initiated.

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11. SAFETY POLICY

11.1 - SAFETY – GENERAL POLICY:

Providing safe working conditions and maintaining continuity of employment is of continual concern. In
this regard, it is important that adequate policies and procedures be developed and adhered to in order to
ensure safe, efficient operating conditions, thereby safeguarding employees and facilities.

The Company will not knowingly permit unsafe conditions to exist, nor will it permit employees to
indulge in unsafe acts. Violations of Company rules and regulations will result in disciplinary action.

The Company believes that a meaningful program can best ensure the safety of employees and physical
property.

a. Employee
Since the employee on the job is frequently more aware of unsafe conditions than anyone
else, employees are encouraged to make recommendations, suggestions, and criticisms of
unsafe conditions to their immediate supervisor so that they may be corrected.

b. Supervisors
Supervisors are responsible for the working conditions within their department and the plant
generally. A supervisor should remain alert at all times to dangerous and unsafe conditions,
so that he/she may recommend corrective action, discipline employees who habitually create
or indulge in unsafe practices, assess new or changed situations for inherent dangers, and
follow up on employee suggestions for corrective action so that unsafe conditions are not
instituted or permitted to exist.

11.2 - INJURIES

All employees are required to immediately report all occupational illnesses or injuries to your
supervisor, no matter how minor, and complete an occupational illness or injury form.

11.3 - GENERAL SAFETY RULES

Safety of an employee is the constant concern of this company. Every precaution has been taken to
provide a safe workplace. Common sense and personal interest in safety are still the greatest guarantees
of your safety at work, on the road, and at home. We take your safety seriously and any willful or
habitual violation of safety rules will be considered cause for dismissal. ABC is sincerely concerned for
the health and well being of each member of the team.

The cooperation of every employee is necessary to make this company a safe place to work. Help
yourself and others by reporting unsafe conditions or hazards immediately to your supervisor.

a) ACCIDENT REPORTING: Any injury at work – no matter how small – must be


reported immediately to your supervisor and receive first aid attention. Serious conditions
often arise from small injuries if they are not cared for at once.

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b) SPECIFIC SAFETY RULES AND GUIDELINES: To ensure your safety, and that of
your coworkers, please observe and obey the following rules and guidelines:

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 Observe and practice the safety procedures established for the job.
 In case of injury resulting in possible fracture to legs, back, or neck, or any accident resulting in
an unconscious condition, or a severe head injury, the employee is not to be moved until
authorized personnel have given medical attention.
 Keep your work area clean.
 Observe smoking regulations.
 Do not block access to fire extinguishers.
 Do not tamper with electric controls or switches.
 Do not engage in such other practices as may be inconsistent with ordinary and reasonable
common sense safety rules.
 Report any UNSAFE condition or acts to your supervisor.
 Help to prevent accidents.
 Use designated passages when moving from one place to another; never take hazardous
shortcuts.

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12. GRIEVANCE POLICY

ABC wishes to provide a comfortable, productive, legal and ethical work environment. To this end, any
grievance that is affecting your work should be brought to the notice of the department head or HR. In
light of these concerns we have instituted the following grievance procedure:

If you feel that there is inappropriate conduct or activity on the part of the Company, management, its
employees, vendors, customers, or any other persons or entities related to the Company, we request that
you bring this concern to the immediate attention of your supervisor. Please try to approach your
supervisor at a time and place that will allow the supervisor to properly listen to your concerns. If you
have discussed this matter with your supervisor previously and you do not believe that you have
received a sufficient response, we request that you present your concerns to your supervisor in writing.
Please indicate what the problem is, those persons involved in the problem, and any suggested solution
you may have to the problem.

If you do not receive a sufficient response to your written complaint within a stipulated time from
providing it to your supervisor, or if your supervisor is the problem, you should contact the next level of
supervision, and so on. If you consider the matter an emergency, legal, ethical or safety issue, use your
best judgment to expedite the complaint process. The company may have a conference with you and
your supervisor or with both of you individually. If the matter is not resolved after that conference, and
you believe it still merits attention, it is requested that you immediately place your concerns in writing
and bring the matter forward to upper level management.

It is the purpose of this grievance procedure to help maintain a positive work environment with respect
and responsibility towards each other. The grievance procedure is also intended to avoid unnecessary
employee claims and company legal exposure. The company cannot promise that your specific
grievance or complaint will result in the action you request or that you will be satisfied with the outcome
of the grievance procedure.

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13. TRAVEL POLICY

13.1 - APPLICABILITY:

To all the Employees of ABC Infomediary Ltd who are required to go out of their
working Head Quarters on Company’s assignment.

13.2 - POLICY:

The policy covers the following reimbursements while on official outstation travel:

1. Reimbursement of the expenses incurred due to outstation travel on duty in India.

2. Reimbursement of expenses incurred on Local Conveyance during outstation travel.

3. Fixed allowances in case of private arrangements while on outstation duty in India.

NOTE:

I. This policy is a broad guideline. All the employees should plan their travel
programme well in advance and take the necessary approval from their reporting
heads and wherever applicable / feasible should optimise and economise on resources.

II. The honesty of the purpose should be maintained. Any deviation shall be considered
as an act of grave misconduct attracting disciplinary action.

III. Also, when travelling in a group, the individual entitlements are not permitted. As a
group they will enjoy group benefits, which can be drawn upon a case-to-case basis.

IV. The senior employees need to use their discretion in selection of their mode of
transport, keeping in mind the distance, the destination, the logistics and the number
of days they need to be away on the Company’s assignment.

13.3 - CATEGORY :

Employees are divided into the following categories: TABLE 1


CATEGORIES DESIGNATION
24
M8 COO, CVP, CFO
M7 CGM - Sales, CGM - Operations
M6 GM - CP & WP, GM - Pub & VS, GM - New Media - Sales & Technology
M5 Regional Manager, Principal Mgr Telecom
M4 DM, Sr. Mgr- Accts, Sr. Mgr-Finance, Sr. Mgr - Graphics, Sr. Manager- Pub
M3 Sr. Sales Manager, Territory Manager, Accts Manager (South), Finance Manager,
Mgr-Graphics, Mgr-Publishing, Mgr- Public Relations, Mgr-Sys & IT, Mgr- VS,
HR Manager, Training Manager
M2 Dy. Manager-Online Sales, Sales Manager, Regional Production Manager, Deputy
Mgr - Systems -WP
M1 Asst Mgr-Mktg, Asst Mgr Online Promotion, Sr.DTSM / Sr. DSM, DSM/DTSM,
Special Accounts Mgr, Asst Mgr-Accounts, Asst Mgr- Graphics, Asst Mgr-Web
Publishing, Asst Mgr-Content Writer, Asst Mgr Telecom Relation, Asst Mgr
Systems-WP, Asst Mgr- Systems & Network, Asst Mgr Systems, Asst Mgr -
Customer Support, Asst. Mgr-VS, Asst Mgr- Personnel & Admin, Asst Training
Mgr, Trainer
S5 Sr. Telesales / Sales Exec, Tele Sales / Sales Exec, Online Promotion Exec, White
Pages Supervisor, Fe-Supervisor, Accounts Officer, Sr. Accounts Exec, Section
Head, Graphics Incharge, Jr. Programmer-WP, Sr. Programmer, Programmer, Sr
Systems Exec, Team Leader - Voice Services, Secretary, Sr HR Exec, HR Exec
S4 Field Exec, tele-sales / sales trainee, sr. sales support Exec, sales support Exec,
sales co-or/secretary, tele sales / sales co-ordinator, accounts Exec, jr accountant &
secretary, publishing supervisor, sr graphic Exec, web desiger Exec, graphic Exec,
quality analist, system Execs-wp, systems Exec, network support Exec, receptionist
corp office, receptionist, sr. Customer support Exec, customer support Exec, sr
voice services Exec, hr assistant, admin supervisor
S3 SrAccounts Assistant, Accounts Assistant, Sr. Publishing Assistant, Publishing
Assistant, Content Writer, Graphics Trainee, Web Design Support, Dtp Artist,
Network Assistant, Data Entry Operator, Computer Operator, Customer Support
Trainee, Admin Assistant
S2 Office Boy, Driver, Xerox Operator
S1 Sweeper, Maid

Advisors if appointed will be advised about their grade, If required in their engagement letter.

13.4 – Outstation Travel :

Reimbursement of Expenses incurred due to outstation travel while on duty in India.

25
MODE OF TRAVEL BY CATEGORY SHALL BE AS FOLLOWS:

CATEGORY MODE OF TRAVEL


M8 A.C Rail / Taxi / AIR
M6, M7 Air / II A.C Rail / Taxi
M4, M5 II A.C / I Rail / Air **
M2, M3 I Class / Luxury Bus
M1 II Class / Luxury Bus
S3, S4, S5 II Class Rail / Bus
S1, S2 II Class Rail / Bus

‘Luxury Bus’: refers to buses that are run by private transport companies or even the State Government,
which are termed as ‘luxury bus’. (Volvo type buses with more leg space push back facility, etc.)
**: Air Travel in case of M3 and other categories can be undertaken with prior approval.

13.5 - ENTITLEMENT FOR BOARDING & LODGING

The allowances admissible to employees of the Company towards lodging, boarding and miscellaneous
expenses, while on official domestic travel are given below. The reimbursement under this heading is
broadly based on the various employee levels as well as various modes of travel and destinations they
are entitled to.

This is applicable only in cases when no arrangements are made or when rates in hotel/s are not
prenegotiated or in places / cities where we do not have our offices. In cities where our offices are
located, the local office will do the needful.
(Amount in Rs.)

CATEGOR ACCOMMODATION LOCAL


Y CONVEYANCE
B
l
r
12 Del/M
/ Other Cities 13
um/Kol
C
h
n
M8 Actuals Actuals Actuals Actuals Actuals
M7 Actuals Actuals Actuals Actuals Actuals
Actuals Actuals Actuals Actuals
M6 Actuals (500)
(5000) (5000) (3000) (1000)
Actuals Actuals Actuals Actuals
M4, M5 Actuals (250)
(3000) (2250) (1200) (500)
Actuals Actuals Actuals Actuals
M2, M3 Auto Fare-Nominal
(1500) (1500) (1000) (300)
M1 1000 900 600 200 Auto Fare-Nominal
S3, S4, S5 450 700 400 150 Auto Fare-Nominal
S1, S2 350 500 300 100 Auto Fare-Nominal

26
Miscellaneous expenses such as STD’s & Postage (for official purposes only), Laundry (where stay is
for more than 3 days) and expenses incurred for treating guests (approved in advance).

Note:

a. The above allowances are applicable only after employee reaches the destination and will not
apply after his / her return journey begins.
b. The duration of stay should be more than 12 hours. Where the duration of stay is less than 12
hours without a night stay, only food (Lunch / Dinner / Breakfast) charges will be reimbursed
along with conveyance expenses as applicable in the categories of M1 to M3, S1 to S5..
c. Where the Travelling period is over 12 hours Rs. 75/- per day would be given till the end of
journey (Onward or Return) for Categories S1 TO S5 .
d. For the categories M1 TO M3 involving Bus or Train Journey Rs. 100/- would be given (During
this period food allowance is not payable).
e. For Category M4 TO M8 the expenses would be reimbursed as actuals.

13.6 - Entitlement of Allowances – where Travel period is more than 12 hours

Category Allowances
S1 TO S5 75/-
M1, M2, M3 100/-
M4, M5, M6, M7, M8 Actuals

13.6a - The amount specified above is the maximum limit. The reimbursement shall be on actuals,
or the maximum limit whichever is less. Employees are urged to spend reasonably under various
categories.

FIXED ALLOWANCE IN CASE OF PRIVATE ARRANGMENTS WHEN ON


OUTSTATION DUTY IN INDIA.

All employees in different levels, who make their private arrangements of stay, shall be entitled to
claim an additional amount as fixed allowance. This is an allowance, given per day, only against
lodging expenses for a travel involving overnight stay.

Category Allowances
M4, M5 300/-
M2 , M3 250/-
S1 to S5, M1 100/-

i. No bills need to be produced for claiming this fixed allowance.

ii. The employee shall be permitted to claim separately for Lunch / Tea – snacks, dinner in case
where they make their own private arrangements for lodging and also claim the fixed
allowance.

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iii. Where an employee makes his / her own private arrangement, the aforesaid allowance would
apply from the time onward journey ends and will not apply after his / her return journey
begins.

13.7 – Conveyance Expenses

REIMBURSEMENT OF THE EXPENSES INCURRED IN THE LOCAL


CONVEYANCE.

The employees will be entitled for reimbursement of conveyance charges as per the following.

Note : SALES DEPARTMENT WILL BE OUT OF THIS RULE

Sales staff will be compensated conveyance as a part of their salary and they are paid incentives
accordingly.

People with the routine nature of work outside office will be paid a fixed amount decided by the
management taking into account their conveyance requirement.

People who are paid petrol reimbursement will only be paid based on mileage for their official visit
outside office depending upon the use of car/two wheeler as per the following rates.

Car : Rs. 6.00/- per km


Two Wheeler : Rs.2.00/- per km

CATEGORY RATE

M8 Luxury Car / Actuals


M6, M7 Taxi / Actuals
M4, M5 Taxi / Auto
M1, M2, M3 Auto
Bus Fare as Actuals (Bills
S1 to S5,
to be produced)

13.8 - RULES FOR LOCAL CONVEYANCE:

1. All employees are expected to keep a strict record of the distance travelled by them
for the official purpose. The employees should get the sanction of his/her manager on the claim
form (as per Annexure 8).
2. The claim form will be approved by the department head or the General Manager.

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13.9 –TRAVEL ADVANCE:

An employee can take travel advance against his/her tour programme duly approved by his manager
as per the format available with Accounts dept.

All travel advances must be settled in cash within 48 hours of return to the point of origin. No
employee can draw fresh advance till his account in respect of the previous amount withdrawn is
settled.

Persons proceeding on tour should take the advance only from the location of origin and should not
draw advance at other locations, unless in any emergency.

The claim for travel expenses should be submitted to Accounts as per format available with
Accounts dept - Annexure 9

A claim should be supported by original vouchers for:

 Room charges
 Air tickets / taxi receipts
 Telephone / telegrams
 Ticket No/ Bogie No./ Seat No.
 Any other expenses wherever applicable.

13.10 - GENERAL PROCEDURE:

• All requests for travel outside the headquarter shall be approved in advance by concerned Head
of the Department / GM / COO as the case may be.
• For travel on company’s business, the Ticket / Hotel bookings shall be arranged / coordinated by
the Administration Department. For facilitating the ticket booking / Hotel booking a copy of the
approved tour program shall be submitted to the Divisional Manager.
• In case of change in tour program, care should be taken by the employee concerned to get the
ticket cancelled / re-routed in time by himself or coordinate with administration department in
order to minimize the cancellation charges.
29
• Employees proceeding on tour should intimate the amount of cash advance required by him at
least two days prior to the date of departure and collect the same during payment hours on the
day of departure or the previous day as may be mutually convenient.
• The expense statement should be prepared and submitted in prescribed form duly countersigned
by the tour approving authority with supporting bills / Vouchers / Receipts etc. The statement
should be submitted within 5 days after return from such official tour. Along with this the tour
report should be submitted to the reporting officer.
• If the Travel Imprest is not settled within 7 days after the return the same will be transferred
towards salary advance and shall be deducted from the month’s salary.

NOTE: Exceptions in eligibility norms due to non-availability of accommodation will have to be


approved by the respective GM’s.

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14. RELOCATION POLICY

14.1 - POLICY:

The aim of this policy is to provide reimbursement for the employee on being transferred / deputed /
temporary assignment to a different location.

14.2 - APPLICABILTY:

All employees of ABC Ltd. are covered under this policy.

14.3 - DEFINITION:

“RELOCATION”

Relocation refers to transfer of an employee from the existing location to a different location.

“TRANSFER”

Moving from one location to another permanently for official purpose.

“TEMPORARY ASSIGNMENT”

Any work assigned to an employee at a different location for a period exceeding 15 days but not less
than a month.

“DEPUTATION”

Any work assigned to an employee at a different location for a period more than a month but less
than a month.

14.4 - JOINING TIME:

Maximum 7 days from the date of transfer or as agreed upon by the Management.

14.5 - ENTITLEMENTS IN CASE OF TRANSFER

On relocation, the employee and his / her family i.e., souse, children and dependent parents are
allowed to travel as per their entitlement under Company’s travel policy.

Full amount shall be payable by the Company to transport agency including packing, loading and
unloading the household goods. The employee shall obtain a competitive rate by submitting three
quotations to the HR Department.

The Insurance premium on the transportation goods, being insured against breakage, loss, theft, fire
etc., of household goods, etc., shall be borne by the Company

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14.6 - SALARY ADVANCE:

The transferred employee shall be given salary advance (as per the entitlement) to be paid back to the
Company within three months from the date of reporting to duty to the transferred place.

M8 - Actuals.
M7&M6 - Not exceeding one-month’s gross salary.
M5 & M 4 - Not exceeding two-month’s gross salary.

14.7 – ACCOMMODATION:

L.C. – Local Conveyance

ENTITLEMENT IN CASE OF TEMPORARY ASSIGNMENTS

The entitlement includes reimbursement of expenses for food, accommodation and local conveyance
based on their grades.

The Daily allowances to cater their food and accommodation shall be as per the entitlement
mentioned in the case of “Transfer”

14.8 – ENTITLEMENT IN CASE OF DEPUTATION

The entitlement includes reimbursement of expenses for food, accommodation and local conveyance
based on their grades.

Note: Wherever Company’s accommodation is available; the allowances for meeting expenses on
food, either on deputation or temporary assignment shall be in accordance to the entitlements as
specified in the travel policy.

The Corporate HR, Bangalore, will monitor the policy.

32
15. COMPENSATION POLICIES

ABC believes in giving the ‘best compensation to its employees so as to meet the best industry
standards’.

15.1 - Cost To The Company (CTC):

Annual income as a regular employee of ABC will comprise of Basic, Dearness Allowance, House
Rent Allowance, all other allowance, all types of reimbursement (except mobile phone use for
official purpose) and charges payable with a monthly ceiling. Incentive award and Commissions
where applicable. 6% of all re-imbursements (Fringe Benefit Tax borne by the company) wherever
applicable is a part of CTC, gratuity, employer share of PF and payment to employee against Non
Compete agreement.

Basic deductions like PF / ESI / Prof Tax, Mediclaim Policy (wherever applicable) is also explained
broadly.

15.2 - Provident Fund:

The main objective of ABC is to ensure happy and prosperous retirement life for all its employees.

As per the Provident Fund Act of 1952 the present rate of contribution is 12% of the Basic salary
plus Dearness allowance. Company will pay 12% and the employee will contribute 12% as total
contribution to PF and pension Fund.

15.3 - Employee State Insurance:

Every employee of the company who receives up to Rs.10000/- as monthly salary is covered under
this scheme. The rest of the benefits are covered under the scheme as per ESI Act of 1948.

The employee contributes 1.75% of salary while the employer’s contribution is 4.75%. The amount
is to be paid every month.

15.4 - Professional Tax

Employees of company need to pay professional tax on their gross earnings as per the rate applicable
as proposed by that particular State Government.

However, you can approach your HR Department for any clarifications on Professional Tax
deductions.

15.5 -Gratuity Scheme:

All employees who have been in continuous service with the company for five years or more, is
entitled to Gratuity benefits under the payment of Gratuity Act of 1972.

33
15.6 – Mediclaim Policy:

ABC firmly believes in health and safety of its employees and their family, hence the Mediclaim
policy.

To ensure health and safety of all employees, Management has made it compulsory for each & every
employee. A declaration form (as per Annexure 10) available with HR has to be filled by the new
entrant and forwarded to the respective HR / Station Head.

If an employee is already a member of any other Insurance policy and he/she is not interested to be
endorsed in the company’s group Mediclaim policy, then a declaration form (as per Annexure 10A)
has to be filled in by the employee and given to HR.

Station heads of all regions sends the details to HR at respective Hubs and the same is forwarded to
HR, Blr. A report on addition and deletion of All India is compiled and sent to the Insurance
consultant(FRMS) on a weekly basis. FRMS send the premium calculation on a pro rata basis. The
same is forwarded to the respective HR hubs.

Note : 50% of the premium is borne by the company and the balance 50% premium is
deducted from the employee’s salary in two instalments.

Structure and related parties:

1. Insurer : THE NEW INDIA ASSURANCE COMPANY LTD

2. Third party administrator : TTK HEALTHCARE SERVICES PVT LTD

3. Insurance Consultants : FUTURE RISK MANAGEMENT SERVICES

Coverage:

From the month following the month of joining, the company will provide you the coverage along
with 3 dependents.

 Employees:
Employee + 3 dependants
 Dependants includes - Spouse and upto 2 children or parents

Sum insured as per the employee grade.

Special Conditions:

 All claims for employee, spouse and children restricted to 90% of claim amount.

34
 Claims pertaining to parents restricted to 50% of the sum insured and subject to 90% of
claim amount.
 To avail the benefits 24hrs hospitalization is obligatory.

Types of hospitalization:

a) Cashless access for hospitalization:

 Cashless hospitalization can be availed for both planned hospitalization or


in case of emergency.
 In case of planned hospitalization like maternity & cataract surgery, the
employee needs to fill the pre-auth form that is available with HR in all stations.
 The pre-auth form (as per Annexure 11) needs to be filled by the employee in
consultation with the doctor and fax'd to TTK.
 The information is forwarded to FRMS for follow-up in processing the
claim.
 TTK verifies all the details and approves/rejects the claim
 The same is communicated to the employee through a return fax.
 If the claim is approved, the employee can plan his hospitalisation wherein
he has to pay 10% of the bill amount
 In case of emergency, the pre-auth form filled by the consulting physician
is submitted to the hospital which is fax'd to TTK for an approval and the same
procedure as per cashless hospitalisation is followed.

b) Reimbursements

 The employee forwards all documents pertaining to the hospitalisation to HR


concerned along with a claim form (as per Annexure 12) available with the HR dept.
 Documents include doctor's prescription for any kind of diagnosis & medicines,
bills pertaining to the same, all reports, discharge summary, hospital bill, receipt of
amount paid - ALL ORIGINALS
HR concerned forwards the entire set of documents to FRMS either in person or
by courier.
In case the claim has been repudiated, the documents are returned to HR in
Bangalore citing reasons for the same
35
The same is forwarded to the concerned HR
In other cases, the claims are processed and on verified.
 After making the necessary deductions(10%) and others(if any), a cheque in favor
of ABC for the approved amount is sent to HR in Bangalore.
The cheque is forwarded to accounts dept. and within a week's time, the amount is
transferred to the employee's bank account.

36
15.7 – Group Personal Accident(GPA) Policy

From the month following the month of joining, the company will provide the employee coverage
under the policy at no extra cost up to the date of cessation of employment.

16.Performance Appraisal

ABC periodically reviews its salary administration program and restructures it as necessary.
Performance appraisal is a process in which we value the employee contribution and worth to the
organisation. The purpose of this policy is to provide for a methodology of salary increments to all
the employees every year.

16.1 Objectives:

The objectives of carrying out Performance Appraisals of all the employees in the organisation are
multifold.

 To differentiate between targeted performance and actual results.


 To evaluate the suitability of a person based on the job requirements.
 To assess the gaps between an employee’s desired skill sets and actual skill sets so that
providing the necessary training can fill it.
 Not the least of all is to identify the potential leaders who can take up higher responsibilities
and can contribute to take the organisation forward on the chosen path.
 To give employee feed back & counsel them.

Needless to say, the entire exercise of Performance Appraisal will make sense only if carried out
objectively.

16.2 - Eligibility:

All employees who have completed twelve months of service in the organisation and who are not
under probation or probation extension are eligible for the annual performance appraisal.

16.3 -Time of Appraisal:

Performance Appraisal of an employee is done only on completion of twelve months of service in


the organisation. Keeping this in mind and also the various joining periods of the employees, the
appraisal procedure is carried out once in a year.
This frequency is being adopted to have a fair review of an employee’s performance irrespective of
their date of joining.

16.4 - Procedure:

It is the responsibility of HR department to initiate and monitor the entire appraisal process.
Accordingly, HR shall send the individual appraisal formats to the station/department heads as and

37
when due. On receiving the same, the station/department head shall further initiate the action in
getting the appraisals done by the concerned individuals and also duly signed by them.

However, it is the responsibility of the station/department head to see to it that the various formats
are filled-in by the respective individuals for completion of the appraisal procedure.

38
17. TRAINING POLICY

17.1 - Policy:

The aim of this policy is to have a clear guideline on training for all the employees.

17.2 - Objective:

The objective is to increase productivity, to improve quality and to improve organizational climate.

17.3 -Identification of training needs:

Training needs for the employees are identified form time to time in the following manner:

Firstly, training needs for all employees will be identified by the Training Department by conducting
the Training Needs Assessment at the beginning of the year.

Secondly, also the Training needs can be gathered at the time of Annual Performance Appraisal.

Thirdly, the RM’s / HOD’s will keep the Training Department appraised of their specific needs of
their Department and also programs such as IST and AST.

Training needs shall be identified to cover the following:


• Career Progression
• Improving Work Methods
• Making personnel, aware of changes in existing Systems.
• Improving skills
• Induction of new technology / products /services/ procedures.
• Heightening quality awareness.

Training needs identified at the time of Annual Performance Appraisal shall be complied on Training
Need Summary format and circulated to all locations.

The Training Head at Corporate Office shall prepare the Training Schedule using date compiled
from Annual appraisals and other inputs, if any. This shall include In-house programmes and
External Training Programmes to be conducted during the year.
The Training Head shall prepare Monthly Training schedule for all the departments and locations
after discussion with all concerned HODs and COO in accordance with the needs identified.
Training Schedule shall include all training programmes (behaviour, functional etc.)

The Training Head act as executor / coordinator / facilitator for ensuring that training (both
behavioural and functional) is planned, executed / duly monitored, feedback analysed and
39
subsequent corrective actions taken when required. Employees who are nominated to attend a
particular programme shall be intimated about the scheduled date, venue and time.

All training programmes conducted by external faculties will require approval from Training Head
and COO.

All employees attending internal or external training programmes shall give feed back on Training
Program Evaluation and Feedback form regarding coverage and usefulness of the training
programme.

All those who have attended training programmes should disseminate knowledge acquired with their
peers and team members particularly for all external training programmes and sponsored functional
training programmes. The training Department shall compile the feedback part of training evaluation
forms based on the programmes conducted and feedbacks received from participants in the format
which would be reviewed for analysis/ corrective / follow-up actions.

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18. POLICY FOR ALLOWANCES

18.1 TELEPHONE EXPENSE REIMBURSEMENT

ELIGIBILITY

The Company extends residential telephone facilities to its employees on need basis. However, this
facility is available only for a few employees as mentioned in the table below.

Normally the Company does not give telephones to employees. Allotment of Company telephone is
done on a case-to-case basis and is subject to availability.

If an employee has a phone in his/her name, or in anybody else’s name but has control over the
instrument, he can claim reimbursement as per his entitlement.

POLICY FOR PETROL, RESIDENCE BILL AND CELL PHONE REIMBURSEMENT

DESIGNATIONS PETROL RESIDENCE CELL PHONE


PHONE*
COO, CVP, CFO ACTUALS ACTUALS ACTUALS
CGM(S), CGM(O), Rs. 4000 p m Rs. 1000 p.m. ACTUALS
GM-Pub & VS
DGM, RM, Principal Mgr - Rs. 3000 p m Rs. 1000 p.m. Rs.2000 p m
Tel
DM, SM, Accts Mgr, Finance Rs. 2000 p m Rs. 750 p. m. Rs.1500 p m
Mgr, Sr.Mgr-Graphics,
Sr.Mgr -Publ, Mgr-Pub Rlns,
Mgr-Sys & IT , Mgr-CS
Regional Accts Mgr, Regional Rs.1000 p m ----------- Rs. 1000 p m
Pub Mgr, Dy Mgr-Sys
Asst Mgr-Mktg, Asst Mgr- ----------- ----------- Rs. 1000 p m
Online, Sr DTSM, Sr DSM,
DSM, DTSM, SAM, Asst
Mgr-Accts, Asst Mgr-
Graphics, Asst Mgr-Web
Publ, Asst Mgr-Tel Rlns,
Asst. Mgr-Sys, Asst Mgr- CS,
Asst Mgr-HR, Asst mgr-VS,
Asst Mgr-Pers & Admin, Asst
Trng Mgr, Trainer

*STD / ISD MADE FOR PERSONAL USE IS NOT PAYABLE

NOTE:

41
1. If an employee has a phone in his name, or in anybody else’s name, but has control over the
instrument, he can claim reimbursement as per his entitlement. On application, the concerned Manager
makes recommendation to the Dept. Head. On approval form the Department Head, the employee can
claim the same by submitting an IOM along with the necessary bills with due approvals to the Accounts
Department.

ALLOWANCES FOR LATE EVENING / NIGHT SHIFTS / HOLIDAYS/ FESTIVALS:

Night Shifts is applicable only for voice services and graphics dept.

18.2 Definition:

“Shift” means a period of working hours not less than 8 hours in case of full time shift and four hours in
case of part time shifts.

Keeping in view of the shifts timing, being observed at various location the following rates will be
applicable with immediate effect for the referred shifts:

A. ALLOWANCE FOR SHIFTS: LATE AND NIGHT


Any Shift starting at / after 10.p.m. – Rs. 75/-

B. FOR HOLIDAYS: (National and Public) (Only for Voice Services)


Any employee working on holiday is compensated with either an off or with Rs. 200/-.

C. FOR FESTIVALS: (Only for Voice Services)

Any employee working on a festival is compensated with either an off or with Rs. 200/-

In case a weekly off falls on any National / festival holiday, then the same is compensated with
an off. This is not applicable for offs falling on Saturdays and Sundays.

NO OTHER SHIFTS ARE ELIGIBLE FOR ALLOWANCES:

Above rates are subjected to review from time to time.

42
19. LEAVE TRAVEL ALLOWANCE (LTA)

19.1 Purpose:

The purpose of the policy is to enable ABC Ltd. employees to take an annual holiday from work by
providing them with Leave Travel Assistance.

19.2 Policy:

Eligibility:

An employee who is confirmed in the service of the company is eligible for LTA on having completed
one year of service in the company.

Pre-conditions:

For claiming LTA, the employee should avail a minimum of 5 days leave.

Entitlement:

Every employee is eligible for reimbursement to and from any place in the country, for self and
dependants, by class of travel, he is generally allowed to travel by the travel policy, subject to a
maximum of one months’ s basic salary per annum, to any place in India.

Procedure:

An application for grant of LTA advances should be made in the prescribed form (as per Annexure 14),
atleast 15 days before he / she proceeds on leave. This should be accompanied by sanctioned leave
application. The concerned manager may approve leave subject to leave balance available to his / her
credit. The LTA form is to be sent to respective HR Dept. for approval on recommendation of the
manager.

19.3 - Important Points

For the purpose of computing the LTD entitlement, calendar year (Jan-Dec) will be taken into account.

Example:
AN employee joining the company on 1-January-2001 becomes eligible for LTA on 01-January-02. If
he decides to claim LTA, he can claim LTA at any time after 01.01.02 as per his entitlement.

For the purpose of computing LTA, the basic salary of an employee at the time of availing of leave will
hold good.

43
Income Tax implications of LTA are as follows.

LTA is exempt from tax only twice in a block of 4 years. If LTA is availed more than twice in four
years, then it is fully taxable.

When the amount reimbursed by the company to the employees exceeds the amount of AC second-class
train fare for the shortest journey, the excess amount is taxable.

Where the place of origin of journey and destination or part thereof is not connected by rail and the
journey is performed between such places, the amount eligible for exemption shall be the bus fare for the
shortest route.

Where a recognized public transport exists an amount not exceeding the first class or deluxe class fare,
as the case may be on such transport by the shortest route to the place of destination shall be made.

Where no recognized public transport exists, an amount equivalent to the air-conditioned second class
rail fare, for the distance of the journey by the shortest route, as if the journey had been performed by
rail.

For the purpose of LTA, family will be taken as dependents i.e., spouse, unmarried children and
dependent parents.

Advance claimed against LTA should not exceed 90% of the entitlement.

An employee resigning from the service of the company during the calendar year would not be eligible
for LTA on a proportionate basis. However, he could claim his LTA upon completion of one full year
for which he has earned the leave.

Trainees will become eligible for LTA only after they have been confirmed in the services of the
company.

19.4 - Exemption from Income Tax:

This exemption shall be available to an individual in respect of two journeys performed in a first block
of four calendar years.

However, where such travel concession or assistance is not availed by the individual during any such
block of four calendar years, an amount in respect of the value of the travel concession or assistance, if
any, first availed of by the individual during first calendar year of the immediately succeeding block of
four calendar years shall be eligible for exemption.

The second block of 4 years would start from the next calendar year, meaning two LTA s in this block
would be free of tax, again.

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20. NON COMPETE AGREEMENT :

20.1 - Purpose : It is a confidentiality undertaking between the employee and the company. The
employees at the senior level have access to business strategy and plans of the company is signed by the
employee to maintain full confidentiality of sensitive information pertaining to the business.

The term "not compete" as used herein shall mean that the Employee shall not own, manage, operate,
consult or be employed in a business substantially similar to, or competitive with, the present business of
the Company or such other business activity in which the Company may substantially engage during the
term of employment

The Employee acknowledges that the Company shall or may in reliance of this agreement provide
Employee access to trade secrets, customers and other confidential data and good will. Employee agrees
to retain said information as confidential and not to use said information on his or her own behalf or
disclose same to any third party.

After losing scores of valuable employees (and trade secrets) to competitors, a growing number of
employers are asking, or requiring, employees to sign noncompete agreements. By signing a
noncompete agreement, an employee promises not to work for a direct competitor for a specified period
of time after he leaves the company.

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21. EXIT POLICY

21.1 - Resignation:

 During the probationary period, if an employee wishes to resign, 7 days notice or payment in
lieu of notice is a must.
 For permanent employees, he/she should serve one month notice period or payment in lieu
for any reason whatsoever.
 If a permanent employee intends to be relieved earlier, he shall surrender in lieu thereof
wages equivalent to the days for which the notice falls short of one month. It is upto the
discretion of the department head to waive off the notice without any liability to make any
payment.

21.2 - Termination:

 For an employee on probation, seven days notice or payment in lieu of the notice should be
served
 The service of a permanent employee is liable to be terminated on either side, with one-
month notice in writing or salary in lieu thereof for any reason whatsoever.

21.3 – Exit Formalities

• The department head forwards the resignation letter to the HR dept with their remarks.
• On receipt of the same, HR gives a No Dues Certificate (as per Annexure 14) and a Exit
Interview Form (as per Annexure 15) to the employee.
• After duly filling both the documents and also signatures from the departmental heads, the same
is submitted back to HR.
• After verifying the relevant details, HR dept processes the relieving letter.
• The full and final settlement form (as per Annexure 16) is completed and the same is forwarded
to the accounts dept.

Note:

Where an employee has been provided with company’s accommodation, he shall vacate the same
and return all the things belonging to the Company at the time of this resignation / termination of
service.

21.4 - RETIREMENT:

All employees shall automatically retire on attaining the age of 58 years as per records of the company.
However, on account of physical or mental infirmity, fall in efficiency or incapacity to work, an
employee can be retired earlier. It is upto the discretion of the department head to give an extension of
service beyond the retiring age to any employee for such period as they think fit.

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21.4 - SERVICE CERTIFICATE:

Every permanent employee and other employees having rendered not less than six months service shall
be entitled to a service certificate at the time of the cessation of service and the same is given only on
request.

S1-S5 LEVEL1
M1 LEVEL2
M2-M4 LEVEL3
M5 ONWARDS LEVEL4

*Incase of any further clarifications with regards to any above mentioned HR Policies please feel free
to revert.

*With Warm Regards


HR Department.

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