12 August 2021

POLICY NOTE-GRATUITY
SCOPE:
This note has been prepared to established Gratuity for Karachi based all confirmed permanent
management employees.

PURPOSE:
Hi-Tech Foods considers its employees as human asset and desires to retain them till the maximum
acceptable age limit for work, the Company also understands that employee separation due to age or
other reasons is a natural phenomenon.

ELIGIBILITY:
All Karachi based permanent management employees, who have completed minimum one-year
continuous service from their Date of Joining with the Company.

ENTITLEMENT:
Gratuity will be provided to an employee upon separation only. The separation includes Resignation,
Retirement, Laid off and Death or Disablement of Employee. However, in case of dismissal or
misconduct, gratuity would no longer be admissible.

Furthermore, in the case of death or disablement, there is no minimum eligibility period. Disablement
means the loss of the earning capacity of an employee. It is of two types; temporary disablement &
permanent disablement.

GRATUITY CALCULATION:
Gratuity = Last Drawn Monthly Gross Salary x No’s of Years and months completed at a time of
Separation.
After completing one year If an employee resigned during a month and spent less than 15 days will
not be considered for full month gratuity. If spend 15 days will be considered half month.

 Gratuity Policy will be effective from 01-August-2021.

 income Tax rules on gratuity will be applicable.
 The policies, regulations and procedures being mentioned herein are subject to change without prior
notice, if necessary.
 This policy is to be reviewed once a year. The Management reserves the full right to make exceptions,
review, change rules and other requirements as it may deem fit from time to time.

Recommended by Approved by

Farhan Saghir Haseeb ur Rehman

Manager HR & Admin. CEO