PURPOSE AND SCOPE........................................................................................

2
Employee classification..................................................................................................................................3

Increments.......................................................................................................................................................3

Treatment LOP- Increment effect................................................................................................................4

Merit increment..............................................................................................................................................4

Performance linkage.......................................................................................................................................5

PROMOTIONS........................................................................................................5
Purpose and Scope

We are extremely happy to introduce this first edition of the HR POLICY

MANUAL for the employees of --------------------. We hope this will serve as a
ready recokner / reference for policies / procedures and practices on various
aspects pertaining to services conditions .
This manual is an attempt at providing broad guidelines for all matters of Staff
personnel and Industrial Relations, in one concise manual. We hope this manual
will enable you to take independent decisions Concerned with our policy frame
works and will thereby, reduce unnecessary reference. It is also a positive
Step in the area of employees communication whereby guest work and
speculations will be reduced. All executives / Managers will know what is
expected of their and what is expected of the staff under them and this will go a
long way for the smooth working and congenial atmosphere of the organization.

Finally to say , as and when there are substantial changes or any additions,
those aspects will be updated in this manual by HR. Department.

VP/CEO
Importance of HR

Coalescing corporate needs with the individual’s is crucial . The corporation is

driven by the interest of its stakeholders, its goals of profit- making determining
its business philosophy . But the individuals bring into the corporations their own
ambitions . In the past, however , the corporate human resource functions
seldom tried to bridge the gap between them. Being in a buyer’s market
,considering the country’s huge reservoir of qualified people and operating with
systems that did not distinguish one individual from another, corporate had no
need to ensure congruence between organizational objectives and an
employee’s aspirations. But equal access to a;; resources is forcing them to rely
on their people as the source of competitive advantage today. There are five
components linked seamlessly to each other and to the company’s business
goals.

Recruitment
Performance management
Training and development
Appraisal and Reward
Organizational Exit

Employee classification

Employee shall be classified as here under :

• Permanent Employee
• Probationer Employee
• Temporary Employee

The above classification was detailed in our HR manual.

Increments

Policy :

Increments are granted annually on ________________said date.

To grant annual increase in salary in recognitions of the good work done during
the preceding year.

All permanent / confirmed employee , is done on the joining date of the next year.
On completion of 1 success full year.
However after 1st Annual increment, these cases will be treated par with other
July increment revision employees and they will be paid arrears proportionately.

Procedure :

A list of employees due for regular increments is prepared by HR Department / P

& A admn . , and obtain necessary authorizations from the concerned and
forward the same to Finance Department for necessary release of salaries
accordingly.

Treatment LOP- Increment effect

In case of regular employee, who are on LOP have for period between 15 days
to 30 days in a calendar year, Annual increment will be postponed for (6) six
months.

In case the leave on LOP availed is more than 30 days in a calender year ,
postponement of Annual Increment will be for a period of (1) one year.

In case the leave on LOP is more than 30 days, their services will be stand
terminated automatically.

In case such LOP leave is owing to genuine medical reasons, with adequate
documentary support , the Increment shall be postponed only to the extent of
LOP taken on Medical grounds.

Important * ( Applicable in case of ESI leave also ).

In case the leave on LOP is ownings to an accident occurred in the Company’s

premises or while on official tour or owing to Maternity leave and extendable
Maternity leave , increment will not be postponed.
However adequate documentary support to the satisfaction of the management
shall have to be produced by the employee concerned.

In any case employee are considered for next year Annual Increment only after
12 calender months of service is put in from the date of postponement of
increment .

Merit increment

Policy :
To recognize and reward good performers who in a particular year or in the near
future, cannot be promoted.

Merit increments are normally considered for good over all performance for the
last 2 years or so .

Consistency of performance atleast for 2 years is must to consider the promotion

to next higher grade.

Procedure :

Every year in June the HRD department scrutinizes the cases of all the
performance evaluation forms and on the basis of which recommendations are
received from all the functional heads made there is, the promotion and merit
increments are granted .

If any cases recommended are not considered, the HRD departments gives the
feedback to the concerned with the reasons why some of the recommendations
were turned down.

Saving :

However in any case management has got absolute discretion in considering any
case for granting special / additional increment, depends on organizational and
business needs to satisfy.

Performance linkage

In case of regular employee, whose general performance levels were not up to

the mark i.e. minimum 60% of performance during the increment period.
(presently i.e. July to June ) their cases shall be treated for extension for
minimum of a month (1) which is for the extendable for a maximum for a
maximum period of 3 months.

In case where, no improvement levels shown by the employee during the above
extendable period. Reversion to next lower cadre or a decision as recommended
by their concern head of the department is taken, depends on the merit and de-
merits of the candidate and part record.

Promotions

Policy :
Promotion means an individual is called upon to take a job having additional
responsibilities on better terms and conditions.

Persons with proven record of competence and effectiveness, requisite

knowledge, skills, attitudes, good punctuality and potential for the new job will be
considered for promotion . If other things being equal seniority will be taken in to
account.

Promotion Criteria :

To give our employee the opportunity to take up Managerial and Executive

functions in the company.

This would ensure that our employee in various grades feel committed to their
work and continue to give of their best that they are capable of and trained for, as
some of them clearly see the long term opportunities available within the
organization.

Of course, such promotions are possible after a recommendation is made by the

concerned department heads and approved by the management on the following
criteria:

- Executive components of the job.

- Independent decision making in a given area of responsibility , initiation of
change in policies and procedures.
- Independent handling of certain critical tasks.
- Successful in handling very confidential information and documents where
large monetary commitment is involved etc .