Referral Policy Query:

Applicability – It will not be applicable to the senior team as well (Grade 1 employees) – we can
discuss. – I don’t think grades are clear to all employees

Is the referral form Ready??

Employee shall be eligible for a referral award only when the referred, get selected and completes
the cycle of 180 days in the Organization, and confirmed by the respective manager over a mail. 180
days period will be a very long time, can this be looked at 60 / 90 days, waiting for incentive for 6
months will not be attractive – we should rethink on this from an employee point of view. We
can consider 3months, if not then for 180 days, we could give 50% Incentive
after 3 months and remaining after another 3 months. Many companies are
following this.
For each referral hiring, the organization shall pay the referral incentive as per the Positions LEVEL of
the hired employee. – Are the levels defined and communicated to the employee in the offer letter?-
Grade wise Incentive amount should me mentioned here. A proper table should be available so
that employees will get attracted Agreed

The referral incentive payment shall happen only when the newly hired employee worked 2 at least
180 days in the organization, and payment will be released with the salary for the month to be
credited.– confirmation from respective manager is compulsory.

An employee can refer any number of candidates. An employee can earn a Maximum of 3 referral
incentives per month, remaining next month will carry forward. – Need to discuss. There should be
nothing “Carry forward” it creates confusion & mess at the end Agreed

Once the incentive is due for payment, HR department shall get an order to issue the referral
payment, from the selection panel and forward to Accounts, Department.– What is an order to issue
and who will be giving the same. – Internal process, not part of this policy

The referral incentive payment is subject to deduction of income tax, if applicable.– This we need to
check. Can this be factored as bonus just to avoid TDS? Incentives will surely attract Taxes

In case if the employee who has referred a candidate became eligible for referral payment but no
more exist as an employee (left the organization before the payment is due), the organization shall
not pay any incentive. Can this point be reframed? We should remove the highlighted line and may
be write it as, referral incentives will be applicable only for employees who are active in the
system and incentive payment will not be part of F&F or something like that. Also if anyone
put down the paper, S/he will not be eligible to get his Referral benefit.