Compensation

management
system of ufone
AHMAD FAYAZ
WAQAS KHAN
KHUBAIB DOGAR
NAVEED AHMAD
HASAAN MAQSOOD
AHMED ZAHID
Company introduction

 Ufone PTML is a wholly owned subsidiary of PTCL established to

operate cellular telephony. The company commenced its
operations, under the brand name of Ufone, from Islamabad on
January 29, 2001
Human Resource Department at
Ufone
 HRM practice
Recruitment and selection
Orientation
Training and development
Compensation and Benefits
Performance Appraisal
WORK FORCE

 HR at UFONE is divided into the following two major categories

• Permanent Employees
• Outsourced Employees

Permanent employees
• HR Permanent employees are further divided into following two
categories.
• Operation
• Training and Development


 Operational Department
 It covers all the areas including hiring recruitment, selection and payroll
etc. HR operation team manages all the employee activities gathers all
the information and make use of it for further processes.

 Training and Development

 HR team of training and development make a performance evaluation

of all the employees and the see where the gap occurs between the
actual performance and the desired performance. Then training is
designed for area which needs to be improved. On the job and off the
job both the trainings are given according to the need of the
employee.
Employee Benefit & Compensation

• Training & Development

• Employee Motivation
• Retention of Employees
• Career Planning/ Succession Planning
• Employee Relations/ Communication
• Employee Awards
• Employee Events Management
• Medical & Life Insurance
COMPENSATION AND BENEFITS

 The total returns which an employee gets against his or her work.
 It maybe:
Employee Health Plans
Employee Insurance
Employee Leave
Employee Retirement Income Security Act
Executive Compensation
Maternity & Paternity Benefits
Pension & Retirement Plans
Wages & Salaries
Workplace Programs
Total Compensation:

 Example:
 60% Basic Pay 15-k
 30% House Rent 7.5-k
 10% Utilities 2.5-k
 OPD 2 Gross salaries
 Hospitalization Employee siblings, Parents, Wife / Spouse and
children’s
 Provident Fund 50% Employee, 50% Org
 Gratuity If work for 10 Months
 Bonuses 1.4% Of Gross salary
 Incentives Only Sales department depend upon their performance.
Permanent Employees

 Number of employees:
 Around 1500 – 2000

 Minimum scale starts from 15000 – 20000

 Maximum C.E.O (Not disclosed by the organization)

 UFONE focuses on providing a large number of the compensation

and benefits to its employees in a form of the following categories:
 Minimum wage: The minimum salary for “Drivers” is Rs.7000 for “Tea Boys” it is Rs.6500, for
Administrative Staff like HR, Finance, Marketing, etc it is Rs.20000 and for Engineering it is Rs.20000
to 25000.

 Medical Allowance: 1 gross salary per year is given to each employee; half is given in mid of the
year and remaining half will be given at the end of the year.

 Health Insurance: Like all other cellular companies Ufone also provides health insurance policy to
its employees.

 Loan Insurance: At Ufone loan insurance policy is also provided to their employees through banks.

 Transport allowance: Rs 2500 are given to female employees only, if they travel on local transport.

 House Rent: 10% of the basic salary is given to each senior/ executive level employee.
 Children Education allowance: 1 gross salary per year

 Provident Fund: All permanent confirmed employees are eligible for membership of Ufone
Employee Provident Fund Scheme. An employee contributes 8.33% of month basic salary in a
year and an equivalent amount is being contributed by the employer.

 Leaves: 7 Casual and 10 sick leaves are given to each employee at all level.

 Travel Policy: Revised and categorized different levels such as the senior level, the middle level
and the junior level staff.

 Meal deduction Claims: Meal books are to be maintained of each employee who issues it, their
name, employee number, designation, signature and number of book and date at which it is
issued has to be recorded. The reason for maintaining the record is that the company pays 60% of
the expense came over the food while 40% has to be deducted from the employee’s salary.
 Expense Claim: The expense Claims are the expenses which an employee make on the behalf of
the company E.g. fuel used for business travel, overnight stays on a business tour etc, such claim
are made while returning back to the office , after the whole process the HR pay them back the
next month along with their salary.

 Overtime Claim: If an employee has worked for more than the regular time, they claim for the
overtime amount other than their salary which they receive the next month. Overtime claim have
to be approved through HR department.


 Medical Claim: Different medical facilities are provided to employees at different level of
hierarchy, so if any employees make use of this facility they can claim for the amounts to be
return next the month while submitting the hospital receipt. Their medical clearness is done by the
HR department.

 Mobile deduction Claim: Such an expense claims which are made if an employee has made
long duration call for the official purpose and they have exceeded the limit given to them then
they can make a claim by attacking a copy of mobile bill and if its valid then HR department
approved it and pay the employee their claimed amount along with their monthly salary of the
following month.

 Dispatching of Salary Slips: Vendor prepares the salary slip and dispatch it to the HR department,
further HR head office send it to the regional HR departments their concerned employees salary
slip and they either give their employees through cash or transfer to their accounts.