EMPL O YEE HANDBOOK

__________________________________________________________________________________________
Address of the Company :

XYX XYZ XXUU XIXUX PVT LTD.

VISON OF THE COMPANY

- Name of Head of Institution

__________________________________________________________________________________________

RULES AND REGULATIONS GOVERNING EMPLOYMENT AT XYX XYZ XXUU XIXUX PVT. LTD., KKKKKK

CONTENTS
INTRODUCTION 1 2 5 5 5 5 6

SECTION 1
DEFINITIONS

SECTION 2
HIS 2.1 2.2 2.3 2.4 TORY OF CHANGE CHANGES IN POLICY RATIONALE FOR CHANGE KEY CHANGES HUMAN RESOURCE REORGANISATION

SECTION 3
CORPORATE PHILOSOPHY AND CULTURE 3.1 CORPORATE HISTORY 3.2 VISION 3.3 MISSION 3.4 WORD OF HONOR 7 7 8 8

SECTION 4
EMPLOYMENT POLICIES RULES ! PRACTICES 4.1 EMPLOYMENT APPLICATION 4.2 SELECTION AND RECRUITMENT 4.3 TRANSFER AND REASSIGNMENT 4.4 NON#DISCRIMINATION 4.5 NON#DISCLOSURE%CONFIDENTIALITY 4.6 NEW EMPLOYEE ORIENTATION 4.7 PRO&ATIONARY PERIOD FOR NEW EMPLOYEES 4.8 OFFICE HOURS%SHIFT TIMINGS 4." LUNCH PERIODS 4.1$ &REAK PERIODS 4.11 PERSONNEL FILES 4.12 PERSONNEL DATA CHANGES 4.13 EMPLOYEE PERFORMANCE REVIEW!PLANNING SESSIONS 4.14 OUTSIDE EMPLOYMENT 4.15 CORRECTIVE ACTION 4.16 EMPLOYMENT TERMINATION 4.17 SUMMARY DISMISSAL # MISCONDUCT 4.18 AGE OF RETIREMENT 4.1" SAFETY 4.2$ HEALTH#RELATED ISSUES 4.21 EMPLOYEE RE'UIRING MEDICAL ATTENTION 4.22 &UILDING SECURITY 4.23 PERSONAL &ELONGINGS 4.24 COMPANY PROPERTY 4.25 SUPPLIES( E)PENDITURES( O&LIGATING THE COMPANY 4.26 VISITORS IN THE WORKPLACE 4.27 IMMIGRATION LAW COMPLIANCE " " " 1$ 1$ 1$ 11 11 12 12 12 12 12 13 13 13 14 14 15 15 15 16 16 16 16 17 17

4.28 INCLEMENT WEATHER AND EMERGENCY

17

SECTION 5
CODE OF CONDUCT 5.1 ATTENDANCE% PUNCTUALITY 5.2 A&SENCE WITHOUT NOTICE 5.3 HARASSMENT INCLUDING SE)UAL HARASSMENT 5.4 TELEPHONE USE 5.5 INTERNET USE 5.6 USAGE OF ILLEGAL SOFTWARE 5.7 DRESS CODE 5.8 TO&ACCO PRODUCTS 5." OFFICE CLEANLINESS 5.1$ SU&STANCE A&USE 5.11 POWER%WATER SAVING 5.12 SAFETY PRECAUTIONS 5.13 PROTECTION OF ENVIRONMENT 5.14 GIFT OR FAVOR 18 18 1" 1" 1" 1" 2$ 2$ 2$ 2$ 21 21 21 21 22

SECTION 6
WAGE AND SALARIES POLICIES 6.1 &ASIC PAY SCALES 6.2 SALARY 6.3 COMPUTATION OF DAILY AND HOURLY RATES 6.4 ANNUAL INCREMENT 6.5 LUMPSUM PAYMENT 6.6 OVERTIME 6.7 PAYDAYS 6.1 &ONUS%E)#GRATIA 23 23 23 24 24 24 25 25

SECTION 7
E)PENSES REIM&URSEMENT POLICIES 7.1 E)PENSES REIM&URSEMENT 7.2 MO&ILE PHONE 7.3 TRANSPORTATION E)PENSES 7.4 LOCAL CONVEYANCE ALLOWANCE 7.5 TRAVEL REIM&URSEMENT 7.6 FOREIGN TRAVEL RULES 7.7 TOUR REPORT 7.8 PARKING 26 26 26 26 26 27 27 28 28

SECTION 8
&ENEFITS AND SERVICES 8.1 MEDICAL &ENEFITS 8.2 MEDICLAIM INSURANCE 8.3 HOSPITALI*ATION SCHEME 8.4 TA) DEDUCTION AT SOURCE 8.5 PROFESSIONAL TA) 8.6 EMPLOYEES PROVIDENT FUND 8.7 EMPLOYEES GRATUITY 8.8 VACATION% LEAVE 8.8.1 PRIVILEGE LEAVE 8.8.2 CASUAL LEAVE 8.8.3 SICK LEAVE 8.8.4 MATERNITY LEAVE 8.8.5 PATERNITY LEAVE 8.6.6 EMERGENCY LEAVE 2" 2" 2" 2" 2" 2" 3$ 3$ 3$ 32 32 32 32 33

8. 8. 8. 8. 8. 8. 8. 8.

6.7 PAYMENT IN LIEU OF VACATION%LEAVE 6.8 LEAVE TRAVEL ALLOWANCE 7 CONVEYANCE 8 FOOD%SNACKS " RECORD KEEPING 1$ PU&LIC HOLIDAYS 11 TRAINING AND PROFESSIONAL DEVELOPMENT 12 UNIFORMS WORKING CLOTHES AND SAFETY SHOES

33 33 33 33 34 34 34 34

SECTION " EMPLOYEE COMMUNICATIONS ".1 &OARD MEETINGS AND STAFF MEETINGS ".2 &ULLETIN &OARDS ".3 SUGGESTION &O) ".4 PROCEDURE FOR HANDLING COMPLAINTS ".5 GRIEVANCES ".6 PRESS RELATIONS ".7 VIDEOGRAPHY%PHOTOGRAPHY

36 36 36 36 37 37 37

SECTION 1$
&REACHES 1$.1 &REACH OF CODE +CONDUCT POLICIES RULESPRACTICES 38

INTRODUCTION

This Handbook will serve as a guide to the Terms and Conditions of Employment, benefits and other related matters pertaining to the service of a staff of XYX XYZ XX X!X X "rivate #imited $""""%, &&&&&&' !t supplements the Terms ( Conditions of Employment as detailed in the staff contract of service agreement' The company reserves the right to amend, delete or anne) any terms and conditions of service as and when necessary' The *oard of +irectors will approve all changes to the terms and conditions of service' These terms and conditions will, where applicable, be sub,ected to the provisions of any relevant -overnment legislation and its amendments' The content of this book is to be kept strictly confidential and is intended to be used as reference for the company and the staff' .ny doubt or /uery concerning the content of this handbook should be forwarded to the Human 0esource +epartment'

!CTION "

Definitions
2'2 3""""4 shall mean XYX XYZ XX X!X X "5T #T+'

2'1 4C67".8Y4 shall mean XYX XYZ XX X!X X "rivate #imited $""""%' The term 3company4 or 3organi9ation4 may also be used interchangeably' 2': 37.8.-E7E8T4 shall mean the 7anaging +irector;+irectors;-eneral 7anager of the Company' 2'< 4=T.>>4 shall mean employees, who are in the permanent employment of the company' The term staff, or employee$s% may be used interchangeably to refer to the same meaning' 2'? 3C68>!07E+ =T.>>4 Confirmed staff means employees who have successfully completed the probationary period and are confirmed in the permanent employment of the company' 2'@ 3!8 A0!T!8-4 shall mean in a formal communi/uB in the form of physical document' 2'C 3*6.0+ 6> !8D !0Y4 shall mean a group of Employees and;or outside persons appointed by 7anagement to hear and consider disputes' The *oard shall comprise members who are independent, unbiased and impartial to the dispute under consideration' 2'E 3= "E0!604 shall mean your immediate reporting officer shall mean any 7anager' 2'F 3+E".0T7E8T.# 7.8.-E04 shall mean a person who works for XYX XYZ XX X!X X "5T #T+', on a salaried basis and who have completed his;her probationary period'

: 2'2G 3E7"#6YEE$=%4Employee$s% may include fullHtime Employees and others employed with XYX XYZ XX X!X X "5T #T+', who are sub,ect to the control and direction of XYX XYZ XX X!X X "5T #T+', in the performance of their duties' Employee$s% means any person who irrespective of the salary he;she earns in a month has entered into a contract of service with XYX XYZ XX X!X X "5T #T+' 2'22 I=.#.0YI shall mean basic salary and all other payments, if any, in cash payable to an Employee for work done in respect of his;her contract of service but does not include any payment by way of commission, subsistence, allowance and other overtime payment' 2'21 3E7"#6YEE= 8+E0 "06*.T!684 shall mean a new Employee whose performance is being evaluated to determine whether further employment in a specific position or with XYX XYZ XX X!X X "5T #T+ is appropriate' !t is considered necessary to engage staff on probation in order that their abilities and suitability be affirmed in a work situation' The probationary period is up to three $:% months for all staff, during which, his performance will be reviewed for confirmation' Ahen an Employee completes the probationary period, the Employee will be notified of his;her new status with XYX XYZ XX X!X X "5T #T+ in writing' The company may at its discretion e)tend the probationary period by another three months' 2'2: 3"E0>607.8CE 0E5!EA4 shall mean the process wherein EmployeeJs immediate superior will review the performance of each staff on a regular basis using the "erformance 0eview ; .ppraisal form' 2'2< 3C67".8Y "06"E0TY4 shall mean all XYX XYZ XX owned or leased property used by Employees' X!X X "5T #T+

2'2? 3C68T06##E+ = *=T.8CE 6> .* =E4 shall mean any substance listed in =chedules !H5 of =ection 1G1 of the Controlled =ubstance .ct, as amended' 2'2@ 3+0 -4 shall mean any chemical substance that produces physical, mental, emotional, or behavioral change in the user' 2'2C 3+0 - ".0."HE08.#!.J shall mean e/uipment, a product, or material that is used or intended for use in concealing an illegal drug, or otherwise introducing into the human body an illegal drug or controlled substance'

< 2'2E 3!##E-.# +0 -4 4 shall mean any drug or derivative thereof whose use, possession, sale, transfer, attempted sale or transfer, manufacture, or storage is illegal or regulated under any federal, state, or local law or regulation' 2'2F 3 8+E0 THE !8># E8CE .ny drug, including K but not limited to K a prescription drug, used for any reason other than that prescribed by a physician' !nhalants used illegally' shall mean a state of not having the normal use of mental or physical faculties resulting from the voluntary introduction into the body of an alcoholic beverage, drug, or substance of abuse'3 2'1G 6 T=T.T!68 shall mean any state in !ndia that is outside the state in which the Company is located' 2'12 365E0=E.=4shall mean any country outside !ndia'

? !CTION # .

History of Change
1'2' Changes in Policy' This EmployeeJs -uide is designed to ac/uaint Employees with XYX XYZ XX X!X X "5T #T+ $hereinafter referred as """"% and provide the Employees with information about corporate philosophy, culture, policies, rules and practices, working conditions and benefits affecting employment' The information contained in this EmployeeJs -uide applies to all Employees' .biding to the terms and conditions described in this EmployeeJs -uide, is considered a condition of continued employment' However, nothing in this EmployeeJs -uide alters an EmployeeJs status' The contents of this EmployeeJs -uide shall not constitute nor be construed as a promise of employment or as a contract between """" and any of its Employees' The EmployeeJs -uide is a summary of the CompanyJs policies, which are presented here only as a matter of information and guideline' .ll Employees are responsible for reading, understanding, and complying with the provisions of this EmployeeJs -uide' The CompanyJs ob,ective is to provide the Employees with a work environment that is constructive to both personal and professional growth' This EmployeeJs -uide supersedes all previous Employee Handbooks and memos that may have been issued from time to time on sub,ects covered in this EmployeeJs -uide' However, since the CompanyJs business and organi9ation are sub,ect to change, the 7anagement reserves the right to interpret, change, suspend, cancel, or dispute with or without notice, all or any part of our policies, procedures, and benefits at any time' The 7anagement will notify all Employees of these changes' Changes will be effective on the dates determined by the 7anagement, and after those dates, all previous policies will be null and void' 8o other Employee aside from the 7anagement has the authority to change policies at any time' !f any Employee is uncertain about any policy or procedure, he;she is encouraged to speak with his;her direct =uperior, +epartmental 7anager or the 7anagement' 1'1 Rationale for Change' The Company has been using an 6ffice 7anual that was created in the year 1GG:' =ince then the Company has undergone tremendous change and growth' These /uantitative and /ualitative developments necessitated an update to that manual' 1': Key Changes' .lmost all aspects have been modified to make this as a 6fficial manual' This handbook has a 3+efinitions4 page to facilitate easier and more accurate reference to common terms used' Company policies ( all benefits and day to day governing rules are also more comprehensively mentioned'

@ 1'< Human Resource Reorganisation' The Company has adopted a new set of categori9ation for staff' This reorgani9ation is to provide a fairer basis for performance reviews, reassignment of duties and benefits and entitlements' The Company has also stipulated that a formal performance review is to be held at least once a year whilst informal ones can be conducted as and when deemed necessary'

!CTION $

Corporate Philosophy and Culture

:'2 Corporate History' CCCCCCCCC, a LLLLLLLLLLLLLL based LLLLL 7illion strong group, basically engaged in the multifarious business spheres like, .irH conditioning, 0oad "ro,ects, 0eal Estate, and Hospitality and in distribution of comprehensive range of /uality 6E7 and construction 7achinery parts, over the last three decades' .s one of the ma,or players in the LLLLLLLLLLLLLLL !ndustry, situated in LLLLLLLLLLLLLLLLLLLL, XYX XYZ XX X!X X Co'', is the authori9ed distributor for renowned brands in !ndia namely 7;='LLLLLLLLLLLLL for LLLLLLLL, LLLLLLLLLLLLLfor fasteners ( 7;=' LLLLLLLLLL Canada for LLLLLLLLL and end bits' XYX XYZ XXUU XIXUX Pvt Ltd', a subsidiary of CCCCCCCC was formed on +ecember G2, 1GG1 with a strength of >our at &&&&&&' The company was 0egistered under Companies .ct on >ebruary GC th, 1GG: for Trading activities of LLLLLLLLLLLLLL spares' 6n Manuary 1:rd, 1GG< the Company started business in a sprawling area of ?@,GGG =/ >t in Ahitefield, &&&&&&' To take the advantage of the ac/uired space and to improve the /uality of the product, a 7eterrological #aboratory to determine the physical composition of the components was established in >ebruary 1GG<' To improve the /uality of painting conforming to the international standards, painting facilities have been started in the premises in 7ay 1GG<' !n Manuary 1GG?, 7r' 5inod &umar'0 with his innovative ideas ,oined the Company to lead the &&&&&& team to greater heights' To support the vision of the Chairman of the Company, a Heat Treatment "lant with =hot *lasting >acility has been established in .pril 1GG?' Aithin two years since inception, the strength of the Company increased to >orty and has successfully managed to enter into the foray of LLLLLLLLLLLLL segment' To cater to the needs of the growing !ndian market we have established the most critical operation which contributes 2GGN towards the performance of any -ET items i'e' heat treatment and testing facility for producing world class ; custom design castings $especially tooth points and adaptors% etc' The company employs principles and techni/ues of Continuous Duality !mprovement and emphasi9es longHterm Duality "artnerships with customers and suppliers'

:'1' Vision' To make """" a professionallyHmanaged, dynamic, vibrant, value based organisation with e)ceptionally skilled, highly motivated human resources committed to total customer satisfaction and face present ( future challenges'

E :':' Mission' To manufacture and sell products confirming to the prescribed /uality norms within time at a reasonably good price through a process that is professional, fair and impartial' To supply products and to ensure 2GGN reliability and compatibility with 6E7 standard to our customers, of high /uality, that they would set the standard of e)cellence for the industry and continually reinforce our standing as an industry leader' To achieve LLLLLLLLLLLLLL per year production by LLLLL and establish as a ma,or player in LLLLLLLLLLLLLLL !ndustry'

Word of Honor'

!t is the duty of every employee to put in his;her efforts to achieve higher productivity standards O :'<'2 To make optimum utili9ation of resources at CompanyJs disposal and to ensure companyJs survival ( growth' :'<'1 To offset rising costs to improve CompanyJs competitiveness and earning capacity' :'<': That the concerned employees would also carryout work incidental to their ,obs wherever necessary and possible' :'<'< Every employee to carryout ,obs assigned himself;herself, with additional assistances only where it is absolutely re/uired' :'<'? To wholeheartedly support the efforts ( endeavours of the company for improvement of production;productivity'

!CTION %

Employment, Policies, Rules and Practices

<'2 Employment Application' The Company rely upon the accuracy of information contained in the employment application and the accuracy of other data presented throughout the hiring process and employment' .ny misrepresentations, falsifications, or material omissions in any of this information or data may result in e)clusion of the individual from further consideration for employment or, if the person has been hired, termination of employment' <'1' Selection and Recruitment' =election and recruitment of Employee shall be made on an open competitive basis in accordance with the needs of the 7anagement' .ll e)ecutive appointments shall be made by 7anagement or the *oard of +irectors' Ahen an applicant is successfully appointed, he;she shall be given a letter of appointment signed by 7anagement and;or a =uperior authori9ed by 7anagement' .dditional Employee shall only be recruited when ade/uate ,ustification is satisfied by the 7anagement' =uccessful applicants, if re/uired, may at the discretion of 7anagement, have to undergo a medical e)amination' .ll Employees have to submit all their original certificates as determined by the 7anagement to the company before commencement of their service and the same will be returned to them immediately after scrutinisation' !n case original certificates;documents to be retained by the 7anagement, for whatsoever reason, the same will be handed over to the personnel department for which an acknowledgement will be provided to the individual' The original certificates and documents will be returned to the Employee as and when the formalities are over' <':' Transfer and Reassignment' .n employee may be transferred, assigned or seconded from one department, location, branch to another or from one company, subsidiary or associate company to another, e)isting now or in the future, in !ndia or abroad' He may also be re/uired to undertake additional duties apart from the normal duties of the post to which he is appointed' .n Employee may re/uest for transfer from one working place to another, however, transfer of Employees shall be the prerogative of the 7anagement and shall not be disputed' .n Employee may be reassigned, sub,ect to performance of his;her duties and on the recommendation by his;her =uperior and;or +epartmental 7anager' .ll recommendations for reassignment shall be determined by the 7anagement as and when re/uired'

2G <'<' on!"iscrimination' !n order to provide e/ual employment and advancement opportunities to all Employees, employment decisions at the Company will be based on merit, /ualifications, and abilities' The Company does not discriminate in employment opportunities or practices because of race, color, religion, se), national origin, age or disability' The Company will make reasonable accommodations for /ualified individuals with known disabilities unless doing so would result in an undue hardship' This policy governs all aspects of employment, including selection, ,ob assignment, compensation, discipline, termination, and access to benefits and training' Employees with /uestions or concerns about discrimination in the workplace are encouraged to bring these issues to the attention of their =uperior, or the 7anagement' Employees can raise concerns and make reports without fear of reprisal' .nyone found to be engaging in unlawful discrimination will be sub,ect to disciplinary action, including termination of employment' <'? on!"isclosure#Confidentiality' The protection of confidential business information and trade secrets is vital to the interests and success of the Company' =uch confidential information includes, but is not limited to, the following e)amplesO Compensation data, >inancial information, 7arketing strategies, "ending pro,ects and proposals, "roprietary production processes, "ersonnel;"ayroll records, and Conversations between any persons associated with the Company' .ll Employees may be re/uired to sign a nonHdisclosure agreement as a condition of employment, if the Company sees this as necessary' .ny Employee who improperly use or disclose trade secrets or confidential business information will be sub,ected to disciplinary action, including termination of employment and legal action, even if he;she does not actually benefit from the disclosed information' <'@ e$ Employee %rientation' 8ew Employee 6rientation is a formal welcoming process that is designed to make the new Employee feel comfortable, informed about the Company, and prepared for the role in his;her new position' 8ew Employee orientation shall be conducted and shall include an overview of the CompanyJs history, an e)planation of its core values, vision, and missionP and its goals and ob,ectives' !n addition, the new Employee will be given an overview of benefits, ta), and legal issues, and to complete any necessary paperwork' The orientation shall be conducted by his;her immediate =uperior, 7anager or a "ersonnel +epartment representative'

22 <'C Pro&ationary for e$ Employees' The specific probationary period shall be stated in the #etter of .ppointment' +uring this time, Employees have the opportunity to evaluate the Company as a place to work and his;her =uperior have the first opportunity to evaluate the Employee' +uring this probationary period, both the Employee and the Company have the right to terminate employment by giving one weekJs notice' >or 7anagerial =taffs the notice time during probationary period is one month' pon satisfactory completion of the probationary period, a review will be given' "robationary Employees are e)pected to meet and maintain the Company standards for ,ob performance and behavior $=ee =ection ?, Code of Conduct%' +uring the period of probation, no leave will be granted' However, the leave applicable to the employee for the probation duration will be accounted for on completion of such period' <'E %ffice Hours#Shift Timings' The CompanyJs office hours are from F'GG a'm' to ?':G p'm' 7ondays through =aturday, e)cept for Holidays' >or 7anagement, E)ecutive ( .dministrative Categories 1nd ( <th =aturdays will be holidays' The standard workweek is >orty eight $<E% hours of work' Certain employees whose services are re/uired throughout the working period will have to operate on a shift basis such that no employee is re/uired to work for more than Fhrs a day sub,ect to e)igencies of work' The shifts of such employees will be decided after deliberation by the management which will be binding on all employees' 0e/uests for change of shifts will be considered only if appropriate slots are available without compromising on the /uality of the work concerned' .ll employees are re/uired to observe the normal hours of work' The management may at its discretion reHarrange the prescribed working days and hours depending on operational needs' =hift ! !! !!! -eneral Timings G@'GG .7 to 1'1G "7 1'1G .7 to 2G'1G "7 2G'1G "7 to @'GG .7 F'GG .7 to ?'1G "7 0ecess :G 7inutes :G 7inutes :G 7inutes :G 7inutes Effective Aorking Hrs;+ay C Hrs ?G 7inutes C Hrs :G 7inutes C Hrs 2G 7inutes C Hrs ?G 7inutes

0otation of shift shall be normally at the end of every week' "unching of attendance cards will be done at the start of shift after change of clothes and at the close of the shift before change of clothes' 21 <'F 'unch Periods' Employees are allowed a half hour lunch break' #unch breaks are generally taken between the hours of 21':Gpm and 1':Gpm on a staggered schedule $approved by 7anagement% so that the company remains operational during the lunch hour' <'2G (rea) Periods' The Company does not provide any break for Employees during office hours e)cept for the above outlined lunch period as in =ection <'F' Tea breaks and coffee breaks are as such not allowed' *reakfast during the office hours is also not allowed' "rior approval from a =uperior or 7anager is necessary for such a break, if so re/uired' !f an Employee have une)pected personal business to take care of, he;she must notify his;her direct =uperior to discuss time away from work and make provisions as necessary' "ersonal business shall be conducted on the EmployeeJs own time' Employees who do not adhere to the break policy will be sub,ect to disciplinary action' <'22 Personnel *iles' Employee personal files include the followingO ,ob application form, resume, copy of the acknowledgement letter of submission of original certificates, records of participation in training events, salary history, records of disciplinary action and documents related to Employee performance reviews, coaching, and mentoring' "ersonnel files are the property of the Company, and access to the information is restricted' 6nly management personnel of the Company who have a legitimate reason to review the file are allowed to do so' Employees who wish to review their own file should contact their =uperior or "ersonnel +epartment' Aith reasonable advance notice, the Employee may review his;her personnel file in CompanyJs office and in the presence of their =uperior or "ersonnel +epartment 0epresentative' <'21 Personnel "ata Changes' .n EmployeeJs personal data should be accurate and current at all times' !t is the responsibility of each Employee to promptly notify their =uperior or "ersonnel +epartment of any changes in personnel data such asO $a% 7ailing address, $b% 0esidential address, $c% Telephone numbers, $d% Change in marital status, $e% !ncome ta) number, $f% 8ame and number of dependents, and $g% !ndividuals to be contacted in the event of an emergency' <'2:' Employee Performance Re+ie$ and Planning Sessions ' =uperiors shall conduct formal performance reviews and planning sessions with all fullHtime and partHtime Employees at least once every financial year, after confirmation of service' =uperiors may conduct informal performance reviews and planning sessions more often

if they so re/uire' "erformance reviews and planning sessions are designed for the =uperior and the Employee to discuss his;her current ,ob tasks and areas of improvement, encourage and recogni9e attributes, and discuss positive, purposeful approaches for meeting workHrelated goals' Together, Employee and =uperior discuss 2: ways in which the Employee can accomplish goals or learn new skills' The planning sessions are designed for the Employee and his;her =uperior to make and agree on new goals, skills, and areas for improvement' The Company directly links wage and salary increases with performance of work' The EmployeeJs performance review and planning sessions will have a direct effect on any changes in his;her compensation' >or this reason among others, it is important to prepare for these reviews carefully, and participate in them fully' 8ew Employees will be reviewed at the end of their probationary periods' .fter the initial review, the Employee will be reviewed yearly' <'2<' %utside Employment' Employees are not allowed to hold outside ,obs even in nonHrelated supplier;customer community and society or professions regardless of whether the Employee have met the performance standards of their ,ob description' nless otherwise approved by the Company, Employees engaged in alternative work $part time or full time%, will be sub,ect to the CompanyJs disciplinary action or termination of employment' <'2? Correcti+e Action' Employees are e)pected to adhere strictly to the work rules and code of conduct ' Ahen an Employee deviates from these rules and standards, the EmployeeJs +epartmental 7anager shall take corrective action' Corrective action shall be progressive' That is, the action taken in response to a rule infraction or violation of standards, typically follows a pattern increasing in seriousness until the infraction or violation is corrected' The usual se/uence of corrective actions includes an oral warning, a written warning, probation, and finally termination of employment' !n deciding which initial corrective action would be appropriate, the +epartmental 7anager will consider the seriousness of the infraction, the circumstances surrounding the matter, and the EmployeeJs previous record' <'2@ Employment Termination' Termination of employment is an inevitable part of personnel activity within any organi9ation, and many of the reasons for termination are routine' *elow are a few e)amples of some of the most common circumstances under which employment is terminatedO 0esignation K voluntary employment termination initiated by an Employee' Termination K involuntary employment termination initiated by the Company' #ayoff K involuntary employment termination initiated by the Company for nonH disciplinary reasons'

2< Ahen a confirmed Employee intends to terminate his;her employment, he;she shall give the Company a written notice in accordance with the appointment letter' >or Employees under probation, please refer to section <'C' .ny Employee who terminates employment shall return all files, records, keys, and any other materials that are property of the Company to immediate =uperior' 8o final settlement of an EmployeeJs pay will be made until all items are returned in appropriate condition and payment in lieu, of any, is fully settled and a no dues certificate is issued by the accounts and personnel dept' The cost of replacing nonHreturned items will be deducted from the EmployeeJs final pay che/ue' !f the deduction from the EmployeesJs final che/ue is insufficient, the Employee is re/uired to settle the outstanding before leaving the Company' >urthermore, any outstanding financial obligations owed to the Company will also be deducted from the EmployeeJs final che/ue' .ll accrued vested benefits that are due and payable at termination will be paid' 7anagerial designatories will have to give a written notice of Three months prior to resignation from service while other employees will have to give a written notice of one month prior to resignation from service' However once a notice is given, The management reserves the right to prematurely terminate the employment under certain conditions such as 2% . suitable replacement is found in which case all accrued benefits will be paid to the employee upto the date of termination 1% The EmployeeJs conduct with fellow employees and the management is not cordial and respectful in which case premature termination of employment without a board of in/uiry will be observed uniformly for all employees' !n such cases the management will decide on a case by case basis if the accrued benefits will be paid at all and if paid whether in full or in part' Though committed to a progressive approach to corrective action, certain rule infractions and violations of standards are grounds for immediate termination of employment' These include but are not limited toO theft in any form, insubordinate behavior, vandalism or destruction of Company property ,inade/uate care of company e/uipment, the use of Company e/uipment and;or Company vehicles without prior authori9ation from 7anagement, untruthfulness about personal work history, skills, or training, divulging Company business practices, and misrepresentations of the Company to a contractor;supplier, a prospective customer, the general public, or an Employee' <'2C Summary "ismissal , Misconduct' .n employee is liable to be summarily dismissed if, at any time he or she is, in the opinion of the management detrimental to the interest of the company, or found guilty of misconduct or of willful and persistent disobedience or fail to perform diligently duties assigned' <'2E Age of Retirement' attaining the age of ?E years Employees are re/uired to retire from service on

2? <'2F Safety' The Company provides information to Employees about workplace safety and health issues through regular internal communication such asO $a% Training sessions $b% Team meetings $c% *ulletin board postings $d% 7emorandums $e% 6ther written communications' Each employee is e)pected to obey safety rules and is e)ercise caution and common sense in all work activities' Employees must report any unsafe conditions to their superior' Employees must also take due care of the instruments and e/uipment provided to them and any alteration in the working parameters of the e/uipment suggestive of malfunction of the e/uipment should be brought to immediate notice of their superiors' Each employee is responsible for safe keeping and daily maintenance of the e/uipment provided to them and in case of e/uipment malfunction it is the employeeJs responsibility to follow up with the respective e/uipment service and maintenance provider for suitable corrective action at the earliest' <'1G Health!Related -ssues' Employees who become aware of any healthHrelated issue, including pregnancy, should notify their =uperior, and;or +epartmental 7anager, and "ersonnel +epartment of health status' This policy has been instituted strictly to protect the Employee' . written 3permission to work4 from the EmployeeJs doctor may be re/uired at the time or shortly after notice has been given' The doctorJs note should specify whether the Employee is able to perform regular duties as outlined in his;her ,ob description' . leave of absence may be granted on a caseHbyHcase basis' !f the need arises for a leave of absence, Employees should notify their =uperior and;or +epartmental 7anager and;or "ersonnel +epartment' .n Employee suffering from serious infectious and contagious disease such as Hepatitis, .ids, Tuberculosis, shall immediately report such infection to 7anagement' <'12' Employee Re.uiring Medical Attention' !n the event an Employee re/uires medical attention, whether seriously in,ured or becoming sudden ill while at work, the EmployeeJs personal physician or family member shall be notified immediately' !f it is necessary for the Employee to be seen by the doctor or go to the company, a family member shall be called to transport the Employee to the appropriate facility' !f an emergency arises re/uiring Emergency 7edical =ervices to evaluate the in,ury;medically unfitness of an Employee onHsite, the Employee will be responsible for any transportation charges' >urthermore, Employees shall not be responsible for transportation of another Employee due to liabilities that may occur' . physicianJs 3return to work4 notice may be re/uired'

2@ <'11' (uilding Security' .ll Employees who are issued keys to the office are responsible for their safekeeping' These Employees will sign a 0egister kept for the purpose upon receiving the key' Employees who are not authori9ed to the issued keys are not allowed to duplicate the office keys' .ctions shall be taken against anyone who breaks the rules' The last Employee, or a designated Employee, who leaves the office at the end of the business day assumes the responsibility to ensure that all doors are securely locked and all appliances and lights are turned off with e)ception of the lights normally left on for security purposes' Ahere applicable, the Employee shall ensure that the alarm system is armed and airHconditioners are set on appropriate evening and;or weekend setting' Each Employee is e)pected to obey safety rules and e)ercise caution and common sense in all work activities' Employees must immediately report any unsafe conditions to their =uperior' Employees who violate safety standards, cause ha9ardous or dangerous situations, or fail to report, or where appropriate, remedy such situations, may be sub,ect to disciplinary action including termination of employment' !n the case of an accident that results in in,ury, regardless of how insignificant the in,ury may appear, Employees should notify their =uperior, and;or manager $=ee =ection <'12, Employee 0e/uiring 7edical .ttention%' <'1:' Personal (elongings' .ll Employees are responsible for their own personal belongings and properties left at the office' The Company assumes no liabilities for any loss or damage to personal belongings and property' <'1<' Company Property' The CompanyJs office space, e/uipment, materials and other properties shall be used only for """" business' Employee who uses the CompanyJs portable property such as 7obile "hones, #aptop, 5ideo "ro,ector, Camera and 5ideo Camera are responsible for the safekeeping of these e/uipments' The Employee will be held responsible for any loss or damage to these portable properties' Cost of replacement or repair will be borne by the Employee' <'1?' Supplies/ E0penditures/ %&ligating the Company' 6nly authori9ed persons may purchase supplies in the name of the Company' 8o Employee whose regular duties do not include purchasing shall incur any e)pense on behalf of the Company or bind the Company by any promise or representation without written approval from 7anagement'

2C <'1@' Visitors in the Wor)place' To provide for the safety and security of Employees, visitors, and the CompanyJs facilities, only authori9ed visitors are allowed in the workplace' 0estricting unauthori9ed visitors helps ensure security, decreases insurance liability, protects confidential information, safeguards Employee welfare, and avoids potential distractions and disturbances' .ll visitors must enter through the main reception area, accompanied by the staff who is playing host to the visitor' .uthori9ed visitors will be escorted to their destination and must be accompanied by an Employee at all times' The visitors must not wander around the office unaccompanied' <'1C' -mmigration 'a$ Compliance' The Company only employs !ndian citi9ens and individuals with approved work permit authori9ed to work in !ndia in compliance with the !mmigration 0eform and Control .ct' Ahere applicable, Employee in countries outside !ndia will have to abide by the respective countryJs immigration law' <'1E' -nclement Weather and Emergency' .t times, emergencies such as severe weather, fires, or power failures can disrupt Company operations' The decision to close the office will be made by the 7anagement of """"' Ahen the decision is made to close the office, Employees will receive official notification from 7anagement' The discretion to compensate such loss of man hours wholly or partly will be of the 7anagement of """"'

2E

!CTION &

Code of Conduct'

The work rules and code of conduct are very important, and the Company regards them seriously' .ll Employees are urged to become familiar with these rules and code of conduct' !n addition, Employees are e)pected to follow the rules and code of conduct faithfully in doing their own ,obs and conducting the CompanyJs business' .ny Employee who deviates from these rules and conduct will be sub,ect to corrective action, up to and including termination of employment $=ee =ection <'2?, Corrective .ction%' Ahile not intended to list all the forms of behavior that are considered unacceptable in the workplace, the following are e)amples of rule infractions or misconduct that may result in disciplinary action, including termination of employment' Theft or inappropriate removal or possession of propertyP Aorking under the influence of alcohol or medically illegal drugs P "ossession, distribution, sale, transfer, or use of alcohol or medically illegal drugs in the workplace P >ighting or threatening violence in the workplaceP *oisterous or disruptive activity in the workplaceP 8egligence or improper conduct leading to damage of CompanyHowned or customerH owned propertyP !nsubordination or other disrespectful conductP 5iolation of safety or health rulesP =moking in the workplace is permitted is designated areas P =e)ual or other unlawful or unwelcome harassment P E)cessive absenteeism or any absence without notice P nauthori9ed use of telephones, or other CompanyHowned e/uipment P sing Company e/uipment for purposes other than business $i'e' playing games on computers or personal !nternet usage%P nauthori9ed disclosure of business 3secrets4 or confidential informationP 5iolation of personnel policiesP 6ffering and accepting bribes, kickbacks and other illegal payments' ?'2 Attendance# Punctuality' .ll Employees are e)pected to be regular and punctual in attendance' This means being in the office, ready to work, at their starting time each day $=ee =ection <'E, 6ffice Hours%' .bsenteeism and tardiness places a burden on other Employees and on the Company' !f an Employee is unable to report for work for any reason, he;she shall notify his;her =uperior before GE'GGam of that day or two hours prior to reporting to duty, whichever is earlier' The =uperior is then responsible to inform "ersonnel +epartment' The Employee is responsible for speaking directly with his;her =uperior about his;her absence' !t is not acceptable to leave a message on a =uperiorQs voice mail or through another Employee e)cept in e)treme emergencies' =hould undue tardiness become apparent, disciplinary action may be re/uired' !f there comes a time when an Employee sees that he;she will need to work some hours other than those that make up his;her usual work week, notify his;her =uperior at least one$2% working day in advance' This is to ensure that Employee gets permission to enter office premises and also to attract assistance from other Employees'

2F ?'1 A&sence $ithout otice' Ahen an Employee is unable to work owing to illness or an accident, the Employee shall notify his;her =uperior' This will allow the Company to arrange for temporary coverage of the EmployeeJs duties, and to help other Employees to continue work in his;her absence' !f the Employee does not report for work and the Company is not notified of his;her status, it will be assumed after two consecutive days of absence that the Employee has breached the contract of employment' !f an Employee becomes ill while at work or must leave the office for some other reason before the end of the workday, he;she shall inform his;her =uperior of the situation who will then inform "ersonnel +epartment' ?': Harassment1 including Se0ual Harassment' The Company is committed to providing a work environment that is free of discrimination and unlawful harassment' .ctions, words, ,okes, or comments based on an individualJs se), race, ethnicity, age, religion, or any other legally protected characteristic will not be tolerated' !f an Employee believes that he;she have been the victim of harassment, or know of another Employee who has, report it immediately' Employees can raise concerns and make reports without fear of reprisal' .ny =uperior who becomes aware of possible harassment should promptly advise 7anagement or the "ersonnel +epartment 0epresentative who will handle the matter in a timely and confidential manner' ?'< Telephone 2se' The CompanyJs telecommunication facilitiies are intended for the use of serving the Company customers and in conducting the CompanyJs business' "ersonal usage during business hours is discouraged e)cept for e)treme emergencies' .ll personal telephone calls should be kept brief to avoid congestion on the telephone line' To respect the rights of all Employees and avoid miscommunication in the office, Employees must inform family members and friends to limit personal telephone calls during working hours' !f an Employee is found to be deviating from this policy, he;she will be sub,ect to disciplinary action $=ee =ection <'2?, Corrective .ction%' ?'? -nternet 2se' Employees are allowed use of the !nternet and eHmail when necessary to serve our customers and conduct the CompanyJs business' Employees may use the !nternet when appropriate to access information needed to conduct business of the Company' Employees may use eHmail when appropriate for Company business correspondence' se of the !nternet must not disrupt operation of the Company computer network' se of the !nternet must not interfere with an EmployeeQs productivity' Employees are responsible for using the !nternet in a manner that is ethical and lawful' !nternet messages are public and not private' The Company reserves the right to access and monitor all files and messages on its systems'

1G ?'@ 2sage of -llegal Soft$are' Employees are not allowed to use CompanyJs computer system to download or install illegal or unauthori9ed programs, software or data' !n case it is found that any illegal software has been downloaded in any system, the person operating the particular computer will be held responsible for the lapse and necessary disciplinary action will be initiated against him;her' ?'C "ress Code' Ahile the Company do not wish to limit the EmployeeQs e)pressions of taste and individuality, the EmployeeQs must be aware that what the Employee wear to work is a reflection of the EmployeeJs own professionalism and that of the Company' Employee is to be dressed appropriately for the type of business and the EmployeeJs position in particular' !n addition, certain re/uirements must be observed' Clothing should not be provocative $e'g' lowHcut, revealing and e)tremely tight fitting%' The EmployeeJs clothing should not be ha9ardous to his;her own safety $e'g' openHtoed shoes;sandals%' E)tremely casual dressing is generally not considered appropriate for work' 7anagement considers the following e)amples, on its own, as inappropriate working attire O Hstrap outfits, Tank tops or revealing blouses, =hort mini skirts, "edal pushers and T K shirts' 6bviously, a professional appearance is especially important for those Employees who at any time come in contact with clients and;or potential customers' "lease use good ,udgment and good taste, remembering rightly or wrongly, people do ,udge the Employee as the organi9ation, based in part of the EmployeeJs appearance' ?'E To&acco Products' The use of tobacco products is not permitted anywhere in the CompanyJs premises e)cept in authori9ed and designated locations' Employees must follow all rules posted in designated smoking areas and adhere to all policies associated with this policy $=ee =ection <'2F, =afety%'

?'F %ffice Cleanliness' The Company attaches considerable importance to the cleanliness of the office as it is impossible to obtain neat and methodical work if the office itself is untidy' Employees are e)pected to be responsible enough to keep their surroundings in best possible housekeeping and see that at the end of the working day, their workstations are left clean and tidy' >actory premises shall be kept clean and free from effluvia arising from any drain, privy or other nuisance' .ccumulation of dirt and refuse shall be removed daily by sweeping or by any other effective method from the floors and benches of workrooms and from staircases and passages, and disposed of in a suitable manner' The floor of every workroom shall be cleaned at least once in every week by washing, using disinfectant, where necessary, or by some other effective methodP

12 ?'2G Su&stance A&use' The Company is committed to providing a safe and productive workplace for its Employees' !n keeping with this commitment, the following rules regarding alcohol and drugs of abuse have been established for all Employees, regardless of rank or position, including both regular full time, probationary and temporary Employees' The rules apply during working hours to all Employees while they are on the CompanyJs premises or elsewhere on official business' The manufacture, distribution, possession, sale, or purchase of controlled substances of abuse on the CompanyJs property is prohibited' *eing under the influence of medically illegal drugs, alcohol, or substances of abuse on the CompanyJs property is prohibited' Aorking while under the influence of prescription drugs that impair performance is prohibited' Consistent with the rules listed above, any of the following actions constitutes a violation of the CompanyJs policy on drugs and may sub,ect an Employee to disciplinary action, up to and including immediate termination' R sing, selling, purchasing, transferring, manufacturing, or storing an illegal drug or drug paraphernalia, or attempting to;or assisting another to do so, while in the course of employment' R Aorking or reporting to work, conducting Company business or being on Company property while under the influence of an illegal drug or alcohol, or in an impaired condition' ?'22 Po$er#Water Sa+ing' !t is the responsibility of each employee to save "ower and Aater' .ll machineries, lights and electrical installations will be switched off when not in use' "rior to leaving their work place, each individual should ensure that all switches are put off' Though ade/uate water will be provided to the employees, it is e)pected that employees do not waste the water and whenever any leakage of water is found the same will be reported .dmin +epartment immediately' ?'21 Safety Precautions' .de/uate safety precautions to be observed with reference to each machinery will be separately issued by the =hop >loor in charge and other installation supervisors' However, all employees should observe basic safety precautions while moving inside the premises and any violation of =afety aspects will be seriously viewed'

?'2: Protection of En+ironment' Ae have borrowed this world from our children and it has to be returned to them without causing any damage to the environment' Ae in XYX XYZ XX X!X X "vt #td', pledge to preserve the environment and undertake not to involve ourselves in any activities that may pollute the .ir, Earth and other substances' .ll norms as prescribed by "ollution Control +epartment will be strictly adhered to' Effective arrangements shall be made for the treatment of wastes'

11 ?'2<' 3ift or *a+or' !t is the policy of the company that no employee or any member of his immediate family will accept any form of gifts or favors from contractors, suppliers, clients;customers, or any other party having business dealings with the company' However, in such circumstances where it is customary to do so, employees are permitted to accept such gifts of nominal value or favors provided that such gifts or favors are not e)tended and;or accepted for the purpose or with intention of OH ?'2<'2' !nfluencing any present or future act decision by that employee'

?'2<'1' !nducing such employee to perform or omit any act in violation of his proper duties and responsibilities' ?'2<':' !nducing such employee to use or direct any other person to use his influence with a government, or any of its representatives, divisions or agencies to affect or influence any act or decision of any such government, representative, division or agency and in any or all of the above cases, for the purposes of e)pediting, benefiting, pre,udicing or affecting in any way whatsoever whether directly or indirectly the business dealings or relationship of the gift giver with the company' ?'2<'<' >or the purpose of this section, 38ominal 5alueJ of a gift is defined as the sum of the gift$s% having the aggregate monetary value of not more than 0upees Three Hundred only $0s :GG%' Employees are re/uired to report to their respective Head of +epartment on all gifts or favors received which e)ceed the above nominal value' ?'2<'?' .ny employees in doubt as to the nature or purpose of the gift or favor must consult the H0 7anager who will decide, either in consultation with or through his own accord, the course of action in respect of such gift or favor' -ifts which cannot be accepted by the employee will beOH $i% $ii% returned to the donorP or if such return is not possible or impracticable, the company will retain the same for distribution to recogni9ed charitable organi9ations'

1:

!CTION '

Wage and Salaries Policies

(asic Pay Scales
@'2 Employees will be placed into following categories;subcategories with reference to their /ualification, e)perience, nature of work and performance' . detailed instruction in this regard will be issued separately' @'2'2' Managerial "esignatories' .ll professional and management graduates appointed in managerial posts will be placed in -rades 72, 71, 7: ( 7<' @'2'1 E0ecuti+e Cadre' =peciali9ed category of employees in e)ecutive appointments will be graded as E2, E1, E: ( E<' @'2': Administrati+e Employees' .dministrative .ssistants, =ecretaries, +ata Entry operators possessing degree from a recogni9ed university will be in -rades .2, .1, .: ( .<' @'2'< Technicians' !ndividuals holding a +iploma from recogni9ed !nstitute will be placed in -rades T2, T1, T: ( T< in accordance with their /ualification and technical e)pertise' @'2'? S)illed Employees' Employees like Aelders, >itters, 7achine 6perators, "ainters, Helpers etc and office *oys, +rivers will be placed in grades =2, =1, =:, =< ( =?' @'1 Salary' =alary means the amount of monthly basic remuneration paid by the company for services rendered solely to the company by the staff' !t also refers to the basic pay, which the staff is entitled to according to grade and pay range formulated by the company from time to time and it does not include any fi)ed or variable allowances, bonus, subsidies or any other benefits in kind' @': Computation of "aily and Hourly Rates' >or the purpose of computation;deduction of daily rate, the monthly *asic "ay;+earness .llowance payable per month shall be divided by :G' >or the purpose of computation of the hourly rate, the daily rate so arrived at shall be divided by E'

1< @'< Annual -ncrement' !ncrement will be granted to confirmed employees of the Company each year on 2st .pril sub,ect to the efficiency in work, attendance and conduct being found satisfactory' Each EmployeeJs hourly wage or annual salary shall be reviewed during the formal performance review and planning session which shall be conducted at least once each year $=ee =ection <'2:, Employee "erformance 0eview and "lanning =ession%' This session shall be conducted at the end of the financial year' =uch reviews may be conducted more fre/uently for a newly created position, or based on a recent reassignment' !ncrements will be determined on the basis of performance, adherence to Company policies and procedures, and ability to meet or e)ceed duties per ,ob description and achieve performance goals' .lthough the CompanyJs salary ranges and hourly wage schedules will be ad,usted on an ongoing basis, the Company is not obliged to grant 3cost of living4 increases' "erformance is the key to wage increments in the Company'

@'? 'umpsum Payment' To certain employees, a #ump sum payment as decided by the management will be disbursed based on their valuable contribution rendered to the company' #ump sum payment is not a right and is prerogative of the management to identify and award lump sum payment to an employee' @'@ %+ertime' 6vertime payment is provided to employees whose *asic salary is less than 0s LLLLLLLLLLL ' 6vertime is calculated for all hours worked over <E hours per week ' Time off on personal time, holidays, or any leave of absence will not be considered hours worked when calculating overtime' !n addition, vacation time does not constitute hours worked' Certain employees staying in the company overnight having been provided single accomodation will not be able to claim overtime for their stay at the company beyond their duration of actual work' .ll overtime work performed by an hourly Employee must receive 7anagementJs prior approval' 6vertime worked without prior approval from the =uperior will result in no compensation for overtime worked' The =uperiorQs signature on a timesheet authori9es compensation for overtime hours worked' >ullHtime Employees may be re/uired to work overtime at any time and on any day to meet e)igencies of service' .ny Employee so notified shall not refuse to work overtime e)cept for reasons acceptable to the 7anagement' ' nauthori9ed overtime work will not be compensated' Compensation will be in the form of one day off for every E hrs of accumulated overtime on the days specified by the management when the work load is relatively free' !n case the management is unable to provide the day off for any specified reason, overtime pay may be provided to the employee at the same rate as the double of normal daily or hourly rate of the employee'

1? @'C Paydays' .ll Employees shall be paid monthly on a scheduled payday, usually on the :rd day of the subse/uent month' !n the event that a regularly scheduled payday falls on a weekend or holiday, Employees shall receive pay on the ne)t day of operation' The Company pays Employees by way of a direct credit into the EmployeeJs bank accounts with !C!C! *ank' Employees shall be notified, in the event of a change in the CompanyJs bankers' The salary is credited into respective Employees accounts at !C!C! *ank after deduction of Ta), instalments towards loans and advances and other mandatory contributions, >or certain category of employees the salary will be given in cash as decided by the 7anagement' @'E (onus#E0!3ratia' "ayment of bonus is the discretion of the 7anagement' However, employees within the coverage of the 3"ayment of *onus .ct4 will be paid bonus as per the statutory re/uirements' Employees dismissed on disciplinary reasons will not be entitled to bonus payment' npaid leave is considered as nonHactive employment period and will be e)cluded for the purpose of bonus calculation' *onus may be paid according to performance of the permanent full time confirmed Employee and Company at the sole discretion of the 7anagement' .ny Employee who has tendered his;her resignation and left service before any payment of bonus is declared shall not be entitled to such payment irrespective of the period he;she has worked during the year for which the bonus is declared' *onus is only declared after CompanyJs financial yearHend'

1@

!CTION (

Expenses Reimbursement Policies

C'2 E0penses Reim&ursement' Employees are eligible to claim reimbursements for e)penses only if it is stated in their #etter of .ppointment' .n Employee who is on maternity leave is not entitled to claim reimbursable e)penses such as traveling, entertainment, parking incurred during the maternity leave period' .n Employee who have terminated his;her service with the Company is also not entitled to claim reimbursements for e)penses incurred after his;her last physical day of work' E)penses incurred by an Employee must have prior approval by a =uperior' 0eimbursements will be paid to the Employee in the following month along with his salary' .ll completed reimbursement re/uest forms should be submitted before the end of the 1?th day of the month' E)amples of items /ualifying for reimbursements are monthly mobile phone e)penses, traveling and miscellaneous e)penditure made for official duty, and any approved outHofHpocket e)penses' The following are guidelines only and Employees are advised to check with the full details of their claims as indicated in their letter of appointment' C'1 Mo&ile Phone' >or certain employees, mobile phones have been issued by the Company with a ceiling limit for talk time' E)penses incurred over and above the ceiling will be payable by the employee' >or certain Employees who are eligible to claim for reHimbursement of mobile phone usage, the ceiling will be fi)ed by the management on case to case basis and accordingly can be claimed once in a month on production of the bill and receipt' C': Transportation E0penses' Certain Employees are entitled to claim traveling e)penses as per the rates as mentioned in separate orders issued time to time' 0eimbursement claim supported with tour notes must have approval from his;her =uperior and;or +epartmental 7anager prior to submitting to >inance +epartment' C'<' 'ocal Con+eyance Allo$ance' The applicability of #ocal Conveyance .llowance within duty station as well outstation station is as followsOH

Car Two Aheeler

0s' ?'?G per &7 0s' :'GG per &7

1C C'? Tra+el Reim&ursements' .n Employee using the CompanyQs vehicle shall not be given any fuel allowance' The Company shall bear costs of fuel $sub,ect to an approved limit% and maintenance for the vehicle' Ahere the vehicle is a motorcycle or a commercial vehicle, the said vehicles shall be kept at the office premises after office hours' Entitlement of mode and class of traveling to various categories of employees to different places will be issued by the 7anagement thro separate circulars from time to time' Category and class of hotel rooms will also differ depending upon the designation of employee as decided by the 7anagement which shall be communicated to all concerned at fre/uent intervals through separate orders' Though the laid down rules will be adhered to in all conditions, the 7anagement reserves the right to alter the rules under e)ceptional cases which shall be communicated to concerned parties' C'@' *oreign Tra+el Rules' These rules will apply to all those who undertake travel abroad for and on behalf of """"' >oreign travel will normally be undertaken in economy class only' However, if the continuous travel involves more than seven hours, -eneral 7anager and above can travel by business class' C'@'2' *oreign Tra+el "ocuments4 6btaining foreign travel documents shall be the responsibility of the person who is undertaking foreign travel' However, the office and the authorised travel agent of the office shall e)tend all assistance in this regard to those undertaking foreign travel' The cost of these documents including the visa fees incurred in !ndia will be reimbursed by the company' However, no reimbursement will be permitted for visa fees paid outside !ndia in foreign e)change e)cept where specific foreign e)change has been granted for the purpose or evidence can be produced that foreign e)change for the purpose has been obtained without any contravention of the >oreign E)change 0ules' C'@'1' "aily Allo$ance' The daily allowance applicable to various category of employess will be notified through office order issued at fre/uent intervals' However, where foreign hospitality is provided in full, admissible +. will be 1?N of the full daily rate and where lodging only is provided, the admissible +. will be ?GN of the full daily rate' C'@':' Airport Ta04 The airport ta) paid in !ndian rupees will be reimbursed by the company' 8o reimbursement will be made of the airport ta)es paid outside !ndia from the foreign e)change' C'@'<4 *oreign E0change' E)change will be purchased by """" from authori9ed agents which will need production of passport and passage ticket' !n case the person traveling re/uires more currency, the payment will be settled by him;her'

1E C'C' Tour Report4 6n return from any outstation tour, a report about the visit will be submitted at the earliest and not later than one week for followHup action' C'E Par)ing' The Company does not provide parking facilities for the Employees with the e)ception of certain Employees' This provision of parking facility is at the sole discretion of the 7anagement'

1F

!CTION )

Benefits and Ser ices

E'2 Medical (enefits' 7edical .llowance will be provided to employees as mentioned in the #etter of .ppointment' THE C67".8Y offers E=! >acility to its Employees who are within the range of coverage' E'1 Mediclaim -nsurance' The Company offers 7ediclaim insurance programs for certain Employees $as determined by the carrier of the policies%' +etail information on coverage is available on re/uest from the "ersonnel +epartment' Employees are encouraged to find alternative coverage should the individual Employee feels that the coverage is insufficient' >amilies of employees are not covered under 7ediclaim !nsurance' E': Hospitali5ation Scheme' The Company does not subscribe for its Employees any Hospitali9ation coverage' E'< Ta0 "eduction at Source' Ta) will be deducted at source for all employees at the designated rates every month and a copy of the income ta) returns that have been filed will be kept in employeesJ personal file of the employee concerned' E'? Professional Ta0' "rofessional ta) will be deducted and remitted as per the ta)ation schedules based on gross salaries, applicable in different locations of the country, where the employees are employed' E'@ Employees Pro+ident *und' The company will contribute the statutory contribution for the benefit of employees' .ny contribution made by the employer and the employee to any statutory funds or social security will be at the rate ga9etted by the -overnment and;or other authorities vested with the power to decide the same' Every Employee shall contribute 21N of his;her gross salary and the Company shall contribute for each Employee an amount e/uivalent to 21N of the salary towards the Employees "rovident >und ' =alary means the last drawn salary'

:G E'C Employees 3ratuity' -ratuity will be paid in accordance with "ayment of -ratuity .ct, 2FC1' >or the purpose of gratuity, fraction of a yearQs service shall be computed proportionately' The -ratuity =cheme shall be effective from LLLLLLLLLLLL' >or the purposes of calculation the commencement date shall be LLLLLLLLLLLL or EmployeeQs date of commencement of employment whichever the later' .n Employee who has been in continuous dedicated and satisfactory service for not less than ? years and;or whoOH a% +ies while in serviceP or b% 0etires from service at the age of ??P or c% Ahose service is terminated owing to illHhealth on the recommendation of any authori9ed medical authority and;or owing to redundancy, shall be eligible for the payment for a gratuity, which shall be computed as followsOH Years of =ervice 7ore than ? but less than 2G HHHHHHHHH1 weeks salary for every completed year of service 7ore than 2G but less than 2? HHHHHHHHHHHHH: weeks salary for every completed year of service 7ore than 2? but less than 1G HHHHHHHHHHHH2 month salary for every completed year of service 7ore than 1G years HHHHHHHHHHHHHHHHHHHHHHH2 2;1 months salary for every completed year of service E'E Vacation# 'ea+e' "aid vacation is only available to Employees following their confirmation of service in the firstHyear of employment with the Company and is provided based on the following guidelinesO E'E'2 Pri+ileged 'ea+e' The Employees will be allowed one monthJs "rivilege #eave $inclusive of holidays and =undays; weekly offs% for 22 months active service in a year on full pay' .ll Employees can accumulate privilege leave upto a ma)imum of :GG days' "rivilege leave cannot be availed more than ? times in a year' "rivilege leave cannot be converted into or combined with any other type of leave, other than sick leave in case of genuine needs' $This will be at the discretion of the 7anagement%' !n calculating leave, fraction of leave of half day or more shall be treated as one full dayJs leave and fraction less than half day will be omitted' >or calculation of privilege leave, either prefi) or suffi) can be allowed as holiday and not both' However, if period of privilege leave is two weeks and more, prefi) or suffi) holidays will not be treated as days of privilege leave availed' .pplication for privilege leave shall normally be made at least one week in advance of availing leave' Ahen an employee proceeds on "rivilege #eave, he will be permitted to encash a part of his accumulated leave on his making an application for encashment on the following conditionsO

:2 i% ii% iii% iv% v% The employee should proceed on leave for a minimum period of @ days The number of days applied for encashment will be e/ual to the number of days proceeding on leave' The number of days leave encashment will be debited to the employees leave account' .fter encashment, the employee must have a minimum balance of 2?days leave to his credit' Encashment will be permitted once in a calendar year'

Employees who have completed one year of continuous service shall be entitled to privilege leave of :G days' >or the purpose of calculation, $a% any days of layHoff, by agreement or contract or as permissible under the standing ordersP $b% in the case of a female worker, maternity leave for any number of days not e)ceeding twelve weeksP and $c% the leave earned in the year prior to that in which the leave is en,oyedP shall be deemed to be days on which the worker has worked in a factory for the purpose of computation of the period of 1<G days or more, but shall not earn leave for these days' The leave admissible under this subHsection shall be e)clusive of all holidays whether occurring during or at either end of the period of leave' !f a worker is discharged or dismissed from service or /uits his employment or is superannuated or dies while in service, during the course of the calendar year, he or his heir or nominee, as the case may be, shall be entitled to wages in lieu of the /uantum of leave to which he was entitled immediately before his discharge, dismissal, /uitting of employment, superannuation or death calculated at the rates specified above, even if he had not worked for the entire period specified therein making him eligible to avail of such leave' Ahere the worker is discharged or dismissed or /uits employment, such payment shall be made before the e)piry of the second working day from the date of such discharge, dismissal, or /uitting and where the worker is superannuated or dies while in service, before the e)piry of two months from the date of such superannuation or death' !f a worker does not in any one calendar year take the whole of the leave allowed to him, any leave not taken by him shall be added to the leave to be allowed to him in the succeeding calendar year O "065!+E+ that the total number of days of leave that may be carried forward to a succeeding year shall not e)ceed thirty days and that a worker, who has applied for leave with wages but has not been given by the management due to any e)igencies of service, such leave $leave refused% shall be carried forward to ne)t year without any limit' . worker may at any time apply in writing to the manager of a factory not less than fifteen days before the date on which he wishes his leave to begin, to take all the leave or any portion thereof allowable to him during the calendar year O

:1 E'E'1 Casual 'ea+e' Every confirmed employee will be allowed E days casual leave on full pay in a calendar year' Employees can avail half day casual leave for first half or second half of the shift with prior permission' Employees who ,oin service in the course of the year will be allowed proportionate casual leave after their confirmation in the CompanyJs service' Ahile calculating casual leave, fraction of leave for half day or more shall be treated as full dayJs leave and fraction of less than half day shall be omitted' The casual leave is nonHaccumulative' However, unavailed full day casual leave will be added to the privilege leave in the following year' 8ot more than two days of C# can be taken at a time' E'E': Sic) 'ea+e' Every confirmed employee will be allowed < days sick on full pay in a calendar year' -ranting of =ick #eave will be at the sole discretion of the 7anagement' Employees covered by E=! will get benefits as per E=! scheme' .bsence for : days and more on sickness ground shall be supported by a medical certificate from a panel +octor in case of E=! covered employees, and from a 0egistered 7edical "ractitioner in the case of 8on E=! employees' Employees who ,oin service during the year will be entitled only to the proportionate sick leave after their confirmation into CompanyJs service' =ick leave can neither be combined with casual leave nor encashed' .ccording to the provisions, the employee should inform his;her =uperior before 2G'GG am on the same day' The =uperior is then responsible to inform "ersonnel +epartment' E'E'< Maternity 'ea+e' . married female employee will be granted paid maternity leave up to a ma)imum of 21 consecutive weeks as re/uired by the relevant legislationJs applicable, or in force' However, a staff may apply for an additional oneH $2% month leave based on a certificate issued by a certified medical practitioner as re/uired by the 7aternity *enefits .ct 2F@2' This is only applicable for only the first delivery' . formal application will be submitted to the department head at least :G days in advance' E'E'? Paternity lea+e' . male confirmed Employee shall be entitled to one dayQs leave on the birth of a child by his legal wife' This is only applicable for up to Two $1% children in the family'

:: E'@'@ Emergency 'ea+e' =hould any Employee be unable to report to work on grounds of emergency, he;she should inform the =uperior before GE'GG am on the same day' The =uperior is then responsible to inform "ersonnel +epartment' The Employee is responsible to inform directly to the =uperior about the nature of the emergency leave' !t is not acceptable to leave a message on =uperiorQs voice mail e)cept in e)treme emergencies' !n the case of having a voice mail message, a followHup call must be made later' =uch leave shall be recorded as casual leave if there is outstanding leave or as noHpay leave if his;her leave entitlement is e)hausted' Emergency leave$s% taken by staff who is ill be deducted from his;her annual leave' Emergency leave can be re,ected at the discretion of the =upervisor' E'@'C Payment in lieu of Vacation#'ea+e' .ll Employees are to make the most of their vacation time' 0egular breaks from daily work make everyone more productive' However, because circumstances may not always permit everyone to take vacation time when it is re/uested, at the discretion of 7anagement, """" may offer Employees the option of taking the monetary e/uivalent of their earned vacation days at their regular daily rate' E'@'E 'ea+e Tra+el Allo$ance' Certain employees for whom the facility is available may reHimburse the #T. submitting proof of travel and receipts thereon in accordance with the #etter of .ppointment' =eparate orders will be issued on claiming #T.' E'C Con+eyance' The Company does not guarantee conveyance of employees from their residence to the factory;office' Certain employees may be provided with the conveyance facility at the discretion of management' !n case the conveyance is provided, pick up;drop may not be from;to the doorstep of the residence of the employee, but from few central points as notified from time to time' The employee should ensure that he;she reaches the place of boarding within prescribed timing and no alternative vehicle;facility will be provided, if he;she misses their vehicle' !n such cases it is the responsibility of the employee to look for an alternative arrangement and any manHhour loss occurred will not be compensated by the company' E'E *ood#Snac)s' The management at its own discretion may or may not provide food to employees' The food;snacks may be provided free of cost or in subsidi9ed rate as decided by the management' !t is e)pected that all employees observe strict discipline inside the canteen and maintain cleanliness' Coffee;Tea will be provided to technical;skilled employees at their workplace and duration of Coffee;Tea breaks will be five minutes' >or managerial staffs, coffee;tea will be served at their table and e)ecutives;administrative staffs will go to the vending machines to get their coffee;tea'

:< E'F Record Keeping' The "ersonnel +epartment maintains vacation;leave days accrued and used' Each Employee is responsible for verifying his;her leave status to make sure the correct amount of leave days taken and balance is correct' E'2G Pu&lic Holidays' """" observes all publicly declared national holidays i'e, 0epublic day, 7ay +ay, !ndependence day, -andhi Mayanthi and &annada 0a,yotsava day' .part from these, five more festivals as decided by the 7anagement $in accordance with local customs% will be declared as Holidays for the Company' 8otification to this effect will be placed in *ulletin *oard' E'22 Training and Professional "e+elopment' The Company recogni9es the value of professional development and personal growth for Employees' Therefore, the Company encourages its Employees who are interested in continuing education and ,ob specific training to research these further and get approval before signing up for the seminars or courses' Ahere applicable, the Company reserves the right to impose a bond for the Employee for specific training and professional program to a ma)imum of three years' E'21' 2niforms1 Wor)ing Clothes and Safety Shoes 4 niforms;Aorking clothes are given to employees as a measure of safety and for better turn out depending upon the nature of work' !t is e)pected that as soon as the employees enter into the factory premises, they wear the uniforms and report to their work spot after punching in the time' The company will provide uniforms;working clothes and shoes;safety shoes to Employees as follows O E'21'2 2niforms' Dr*+ers' : =ets of Terrycotton pants and >ull =leeved =hirts once in two years' 6ne pair of shoes per year' Off*,e -oys' : =ets of Terry cotton pants and full sleeved shirts once in two years' 6ne pair of shoes per year'

:? E'21'1

Wor)ing Clothes4
=afety =hoes 2 per year *oiler =uits 1 8os per year *oiler suits < 8os per year H H H >or all workmen' >or all workmen $e)cept painters% >or painters'

E'21': 8ew niforms;shoes etc', when due, will be issued only in e)change of old uniforms;shoes etc' The items mentioned above will be issued to the employees at 2GGN subsidi9ed cost' !nitial issue will be made in the month of Manuary' =ubse/uent issues will be made generally during the month of Manuary of each succeeding year uniformly to eligible workmen' !t is the responsibility of each employee that their uniforms;safety shoes are maintained;cleaned properly and in good repair' !f new replacement is re/uired during the intervening period because of wear ( tear, the Company will provide a new pair of safety shoes;uniforms to those deserving at the following rates of subsidyO =ubsidy a% b% c% d% >irst Duarter $ManH7arch% =econd Duarter $.prilHMun% Third Duarter $Muly K=eptember% >ourth Duarter $6ctoberH+ecember% 8il 1?N ?GN C?N

E'21'< Washing Allo$ance' Aashing allowance at the rate of 0s ?G;H per month will be paid to Employees who are provided with niforms;Aorking Clothes' Employees in receipt of washing allowance will make their own arrangements and get their uniforms washed and keep their shoes polished' The washing allowance will be payable only to an employee who has attended work for at least for twelve days'

:@

!CTION .

Employee Communications
F'2 (oard Meetings and Staff Meetings ' *oard 7eetings will be held at fre/uent intervals and only the =enior #evel 7anagers as authori9ed by the management are allowed to attend these meetings' 6ther personnel may be invited to attend on a need basis' .ll directors are involved in the decision making process and will have one vote each' The 7anaging +irector will have the absolute right to decide which sub,ect on the agenda will be put through a voting process and the final decision will be made by the 7anaging +irector or the -eneral 7anager in his absence after the vote which will be binding on all Employees' 7inutes of the "revious *oard 7eeting will be circulated at the subse/uent *oard 7eeting' =taff meetings will be held at least two $1% times a year' These informative meetings allow Employees to be informed of recent Company activities and changes in the workplace' F'1 (ulletin (oards' *ulletin boards placed in designated areas provide Employees access to important posted information and announcements' The Employee is responsible for reading necessary information posted on the bulletin boards' F': Suggestion (o0' The Company encourages Employees who have suggestions that they do not want to offer orally or in person to write them down and leave them with their =uperior or the 7anagement' Every care will be taken to preserve the EmployeeJs privacy' 8o action will be taken on anonymous complaints or suggestions and the management has the right to re,ect such suggestions' =uggestions may be sent by eH mail to their respective =uperior or +epartmental 7anager' F'< Procedure for Handling Complaints ' nder normal working conditions, Employees who have a ,obHrelated problem, /uestion or complaint should first discuss it with their immediate =uperior' .t this level, Employees usually reach the simplest, /uickest, and most satisfactory solution' !f the Employee and =uperior cannot solve the problem, the Company encourages the Employee to escalate the issue upwards in the management hierarchy until the problem is resolved'

:C F'? 3rie+ances' .n Employee shall convey grievances to the 7anagement only in writing' The 7anagement shall respond, in writing and within a reasonable time, as to whether the grievances would be given due consideration or otherwise' The 7anagement may opt to implement corrective measures immediately or at their discretion, establish a *oard of !n/uiry to review and consider the grievances' The *oard of !n/uiry shall recommend to 7anagement the corrective measures to be undertaken' F'@ Press Relations' Employees should not give press statements or grant interviews to the press, television or radio on any matters connected with the Company, particularly on policy matters, without the prior consent of the 7anagement' F'C Videography#Photography' 5ideography;"hotography will not be allowed inside the premises without any written permission from the .dmin +epartment' +efaulters will be sub,ected to disciplinary action upto the e)tent of termination from employment' 5ideo Cameras;+igital Cameras;any other type of e/uipment capable of capturing the images $including 7obile "hone with Camera% will not be allowed inside the premises unless special for the same has been granted by the management and will be deposited with the =ecurity +epartment prior to entering the premises'

:E

!CTION "/

Breaches
2G'2 (reach of Code of Conduct1 Policies1 Rules and Practices' .n Employee who is alleged to have breached any of the code of conduct, rules or policies as stipulated in this document $or its addendums and revisions% shall be informed in writing and shall be entitled to Qdue processQ to refute the allegations and;or submit a defense' The 7anagement shall establish a *oard of !n/uiry to determine the actual breach$es% and the *oard of !n/uiry may recommend to 7anagement to impose specific disciplinary action' The 7anagement shall decide and appropriate disciplinary action to be imposed unto the Employee' +isciplinary actions may range from verbal reprimand to immediate dismissal depending on the severity of the breach committed'