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Employees Service Guidelines

August 2014



















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Contents

QUALITY POLICY ...................................................................................................................................... 5
HUMAN RESOURCE POLICY .................................................................................................................... 6
1. Purpose ............................................................................................................................................... 6
2. About Citec Finland ............................................................................................................................. 6
3. Citec India Pvt. Ltd. ............................................................................................................................. 7
4. Vision ................................................................................................................................................... 7
5. General Information ........................................................................................................................... 7
5.1 Appointment Letter ............................................................................................................. 7
5.2 Personal Information ........................................................................................................... 7
5.3 Confidentiality of Information ............................................................................................. 7
5.4 Integrity ................................................................................................................................ 8
5.5 Equal Opportunities ............................................................................................................. 8
5.6 Electronic Security ............................................................................................................... 8
5.7 Dress Code and Grooming ................................................................................................... 8
5.8 Probation & Confirmation ................................................................................................... 9
5.9 Working Hours ..................................................................................................................... 9
5.10 ERP for Service Enterprise (E4SE) ...................................................................................... 9
5.11 Visiting Cards .................................................................................................................... 10
6. Time and Leave Management System (TLMS) .................................................................................. 10
7. Policy on sexual harassment at work place ...................................................................................... 11
8. Compensation & Benefits Policy .................................................................................................. 13
8.1 CTC (Cost to Company) Structure & Components ............................................................. 13
8.2 Flexible Salary Components ............................................................................................... 14
8.3 How to choose flexible & variable components ................................................................ 14
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8.4 Salary Reimbursements Procedures .................................................................................. 15
8.5 Reimbursement Components and Guidelines ................................................................... 15
8.6 Leave Travel Allowance (LTA) ............................................................................................ 16
8.7 Retirement Benefits ........................................................................................................... 16
8.8 Gratuity .............................................................................................................................. 17
8.9 Income Tax & Investment Declaration .............................................................................. 17
8.10 Salary Bank Account17
8.11 Performance Award.17
9. Loyalty Bonus ....................................................................................................................... 17
10. Leave Policy ..................................................................................................................................... 18
10.1 Objective .......................................................................................................................... 18
10.2 Leave Entitlements .......................................................................................................... 18
10.3 Casual / Sick Leaves (PL) .................................................................................................. 18
10.4 Earned Leaves (EL) ........................................................................................................... 19
10.5 Maternity Leaves ............................................................................................................. 19
10.6 Leave Encashment ........................................................................................................... 19
10.7 Public Holidays ................................................................................................................. 20
10.8 Compensatory Offs .......................................................................................................... 20
11. Separation Policy...21
12. Domestic & Local Travel Policy ........................................................................................... 22
12.1 Local Travel ...................................................................................................................... 22
12.2 Domestic Travel ............................................................................................................... 23
12.3 Mode of Travel Entitlements ........................................................................................... 23
12.4 General Guidelines ........................................................................................................... 25
12.5 Procedures ....................................................................................................................... 26
13. Transfer & Relocation Policy ........................................................................................................... 26
14. International Travel Policy .............................................................................................................. 28
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14.1 Foreign Travel Kit ............................................................................................................. 29
14.2 Lodging ............................................................................................................................. 29
14.3 Permissible limit for Hotel Stay ........................................................................................ 29
14.4 Per Diem Allowance (Out of Pocket Expenses OPE) ..................................................... 29
14.5 Local Travel in Foreign Country ....................................................................................... 30
14.6 Reimbursement of expenses ........................................................................................... 31
14.7 Personal Stay Allowance (PSA
) ................................................................................................................................................ 31
15. Indian employees To Finland / Europe ........................................................................................... 32
16. Group Mediclaim Insurance Policy (GMC) ...................................................................................... 36
17. Group Personal Accident Insurance (GPA) Policy ........................................................................... 38
18. Development Discussions.39
19. Grievances & feedback ................................................................................................................... 40
20. Retirement Policy ............................................................................................................................ 40

























5




CITEC EMPLOYEE SERVICE GUIDELINES


The board of Management has approved this Quality Policy. The Board of Management is
committed to improve and maintain the effectiveness of the quality management system and
will make sure that the quality policy is communicated and understood in all levels within the
Company.

QUALITY POLICY

The responsibility for quality lies with everyone in a competitive and successful organisation,
and it is every employees duty to follow and fulfil the agreed procedures and instructions.

This means that Citec India can deliver services and products with the correct quality, at the
right time with the right scope and to the agreed costs.

To follow these goals, we must:

Have a proper quality management system
Take responsibility for customer requirements and expectations
Have a mutual confidence within our company
Develop continuously our competencies and competitiveness

This quality policy states that Citec India shall strive to fulfil expectations and requirements from
our customers, suppliers, employees and other stakeholders, in addition to the society in which
we are working.

To fulfil this we have stated the following quality objectives:

Provision and marketing of services and products at a right technical level with a right quality to
a competitive cost.

Deliveries of services and products at the right time and in the right way.
To constantly improve the quality of the work among every employee.
The processes are continuously improved and monitored in order to create added value.

A proper co-ordination with the companys suppliers to ensure the quality and delivery on time.

Industrial Area Managers and Department Managers have the ultimate responsibility for
enforcing this quality policy. They shall also support all initiatives that can fulfil the stated quality
goals and objectives, including quality improvement. In addition to this, the managers shall:

Give the employees correct information and training in order to ensure the right quality.
Work for good relations between the employees, work environment and co-operation.

To stimulate an innovative atmosphere in order to motivate, learn and use new skills as well as
to share best practices.

This policy is approved by the Board of Management on the 11
th
June 2007.
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HUMAN RESOURCE POLICY

The management is committed to build and pursue excellence in all aspects of activities of the
organization and will adhere to the following as guidelines:


Recognize that the people are most important assets of our organization.
Respect individuals and treat them with grace and dignity.
Develop skills and competitiveness of all the employees through on-going training and
development in state-of-art technologies.
Act as a team with a sense of commitment and involvement.
Promote innovation in all aspects of the Organisation.
Emphasize on development of products and technologies of International standards.
Provide congenial work environment for the employees to contribute at their best and
help individuals and teams to achieve organizational goals.
Win confidence and gain delight of our Customers.
Optimize use of resources deployed.

Creativity, Flexibility and Purposeful Performance will be our guiding spirit.

1. Purpose
The purpose of this Employees Service Guidelines is to have an effective communication
regarding administration of Citec India guidelines, regulations and its personnel policies, as also
to make its employees aware of Citec Indias value and culture. It lays down guidelines
governing conditions of working.

The Service Guidelines may be revised in part of full at any time at the discretion of the
management. All employees are requested to refer to this Service Guidelines whenever
required. In exceptional, specific cases the Managing Director can authorize overriding this
manual.

2. About Citec Finland
The company Tri-Tech was founded in 1984 by Rune Westergrd and Rolf Berg within the field
of mechanical engineering.

During the first few years the company was a small engineering firm. In the early 1990's a more
rapid expansion phase began. Simultaneously as new lines of business emerged:
environmental consultancy and technical documentation. These lines of business became two
separate corporations in 1993 (Citec Environmental) and 2001 (Citec Information). In 2008,
Citec Environmental became part of Citec Engineering Oy Ab.

Operations in Sweden were set up in 2002. The companies in India and China were founded in
2004. After that, sales and branch offices have been opened in several countries.

In 2011 both companies - Citec Engineering Oy Ab and Citec Information Oy Ab were
consolidated into one group; Citec Oy Ab. A fund managed by Sentica Partners entered as the
new majority shareholder with a 67 percent share and Martin Strand was appointed CEO as of
June 1, 2011.
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The company is a rapidly developing international enterprise headquartered in Vaasa, Finland
with offices in Finland, India, Russia, Sweden, France, Germany, UK, Singapore and Norway.
Citec operates both in domestic as well as in International markets.

The number of Citec employees currently amounts to approximately 1300.

To read more, visit www.citec.com and https://insider.citec.fi

3. Citec India Pvt. Ltd.
Citec India (CIN) is a wholly owned subsidiary of Citec Group Oy Ab.

Citec India provides services to industries and their projects in many different areas. Our added
value comes through then ability to understand our customers as well as their networks
visions, needs and ways of working. We believe that to be able to deliver world-class services
and products efficiently, our core competencies need to communicate the customers visions,
innovations and even part of their know-how. Our multi-discipline engineering professional team
offers comprehensive services for different project phases, either as subprojects of as end-to-
end concept (turn-key principle). Assigning your companys staff to other tasks, Citec India can
handle all of the implementation phases from preliminary studies, evaluations and purchase
functions, to installation and commissioning.

CIN has offices in Mumbai, Bangalore, Chennai & Pune.

4. Vision
Most efficient and trusted partner of engineering and project services to the energy industry.

5. General Information
5.1 Appointment Letter
Your appointment letter is an important document. It sets down the terms governing your
employment at Citec Engineering India. Please read it carefully and keep it safe at all times.
5.2 Personal Information
Your personal information is maintained by the HR department. In case you wish to change
some information (Address, Name, Qualification etc). Please inform the HR department in
writing with supporting documents.
5.3 Confidentiality of Information
You are expected to maintain strict confidentiality about any company information that
you become privy to. Please refer to your Appointment Letter terms for more details.

In the course of your work, you will also be exposed to client data. Please maintain
utmost confidentiality with respect to such information.

Your salary details are confidential too. Please do not discuss or compare salary details
with any of your colleagues.
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5.4 Integrity
As an organization, we will strive to maintain the highest levels of ethics in all our professional
dealings. We also expect that all employees of Citec India will conduct themselves with integrity
in all spheres. To this effect, we actively discourage you from accepting or offering bribes in the
course of your business dealings, or falsifying claims (travel, medical, or any other). We also
expect that if you notice any instance of wrongdoing or misconduct, you will immediately bring it
to the notice of the HR department or the departmental head. All transactions involving
apparent conflict of interest should be discussed with your superior to ensure companys
interest are protected. While it is OK to bring in known parties to do business with the company,
dealings should be at an arms length to ensure employee recommending is not part of the
decision making for the particular vendor or service provider. The company will compete
ethically and not try to get competitor information by foul means.

5.5 Equal Opportunities
Citec India strives to be an Equal Opportunity Employer. The company will attempt to conduct
its business without discrimination on the grounds of gender, race, ethnic background; disability
etc., as far as possible, except as may be dictated by business requirements.
5.6 Electronic Security
We in Citec are committed to protect/secure Companys Information Assets through
safeguarding its confidentiality, integrity and ensuring its availability.
It is mandatory that the information Security Policy and related appendices are read by each
and every employee in the company and they are aware that this policy exist and understand
what are dos and donts and whom to approach in case of Security Incidences.
It is very important that everyone in the organisation is aware how to treat Security incidence
whenever it is observed.

Every Asset in the organisation which hold company information should be is treated as
Information Security Asset and in case of loss / theft it will be treated as Security incidence and
it will be recorded in the system in order to follow-up on the actions and close the case as per
the information security incidence action plan and findings.
For ex. Even a loss/theft of a mobile phone is also treated as a Security Incidence and needs to
be recorded in the system.

Please ensure that you have cleared your desk when you leaving office for the day or for
holiday and no confidential information are left behind on the desk.

As an Employee, you will have access to various confidential information of the company which
is expected to keep confidential and under no circumstances they should be
accessible/available to any unauthorised person in any form whatsoever.
Please ensure that your computer screens are locked when you are away from the desk to
avoid unauthorised access to your desktop and data.
5.7 Dress Code and Grooming
As a representative of the company and brand ambassador of Citec India you must always be
dressed appropriately. Gentlemen must always wear closed shoes, unless medical reason
require otherwise. All employees must wear formal clothes on Monday through Thursday.

Formal shirts and trousers with leather shoes for men.
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Sarees/Salwar suites/Western formals with formal shoes or sandals for women.

On Fridays, smart office casuals are allowed.

T-Shirts with Collar along with jeans/trousers.
Appropriate shoes.

Slippers are not allowed. Sandals & round neck t-shirts are advisable to be avoided, except for
female employees.

However, all employees, who are required to meet customers or any other external person,
must be formally dressed at all times. Please remember your appearance influences the
impression, a third person forms, about our company. At the Client site, you are expected to
follow the dress code laid down by the Clients Organization.
5.8 Probation & Confirmation
All employees join Citec India as probationers. The normal probation period is of six months.
During this period your performance will be observed carefully, at the end of the probation
period if your superior feels that your work has been up to the expectations, you will be
confirmed in services, if not, the probation or training period may be extended up to 6 months at
a time or may be terminated on Management discretion. Thus you have another chance to
improve your performance to the level the company expects out of you.
5.9 Working Hours
Official working hours in various shifts is as given below:

General Shift 09.00 a.m. to 05.30 p.m. (Monday to Friday)
1
st
Shift 07.00 a.m. to 03.30 p.m.
2
nd
Shift 02.30 p.m. to 11.00 p.m.
Weekly Offs Sunday

Saturday will be paid holidays. Employees are required to complete 8.5 hours in a day at the
office. Shortage of hours (i.e. less than 8.5 in a day) in the week should be compensated within
the week itself.

CIN employees deputed at customers offices/sites would be observe, office timings & leaves as
per Customer.
5.10 ERP for Service Enterprise (E4SE)
This is the Time Management System where every employee needs to put their worked hours
in assigned projects on daily basis.

E4SE supports delivery management and project management system.

It is been initiated by Citec Finland and implemented globally in Citec to get a better overview of
our work and to improve our sales process & get a structured & common way of working.
New joinees will get the training on E4SE on their joining.
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5.11 Visiting Cards
Employees at levels LM1 and above will be eligible for visiting cards by default. However below
GR4 level it will be validated & justified by their immediate Superior and approved via email by
HR Manager based on actual needs of the same. The need will be validated by superior based
on the level and frequency of interaction that employees might have with external
agencies/people, where visiting cards will be used primarily.

6. Time and Leave Management System (TLMS)
TLMS is been introduced for attendance and Leave management of the employees. Attendance
will be recorded only on the basis of TLMS. It is configured with both Index fingers. All the
entrances are having In and Out Devices with a Magnetic Lock and it will open only when the
Index finger. If employee does not punch in proper sequence (In and Out), then system will not
calculate proper attendance and overtime hours. All punch abnormalities will be corrected by
TLMS Admin on employees request. It is employees responsibility to check their punch
records and abnormalities.

Instructions for TLMS
TLMS will be mandatory, First in and Last out should be with Index Finger Scanning.
IN Punch should be followed by Out Punch only, avoid 2 consecutive IN Punch or OUT
Punch, as that will be treated as discrepancy.
Every time punching in /out is mandatory while coming in and going out else the system
will show discrepancies in the in/out punches.
For Manual Correction, at least one punch is important else system will treat as absent.

TLMS ESS (Employee Self Service Module):

Punch Time related:
Employee can check their own punch details and working hours.

Leaves related:
Employee can check their own leave balances online and also can apply for leaves
using Leave Application option under Entry menu.
Leave approval will be done by Line Manager.


Compensatory Off related:

To convert Weekly Off\Holiday working to Compensatory Off, employee has to send an
email to TLMS Admin copy marked to Line Manager.
Select Compensatory Off as leave type to avail Compensatory Off in Leave Application.
To consume Compensatory Off employee has to click on Select Button from the
Compensatory Off list which appears after selecting Compensatory Off leave type in
Leave Application.
The intimation of any extra working which merits Compensatory off, must be duly
authorised by the department head. Intimation without proper authorisation would not be
reckoned.

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Out Duty\Tour related:
Employee can apply out duty using Tour Application option under Entry menu.
Out Duty\Tour approval will be done by Line Manager.

New joinees will get the training on TMLS on their joining.

7. Sexual harassment at work place
Objective
Since our company has always been committed to provide safe work environment to our
employees to ensure that they are not form of sexual harassment.

Commitment
To prevent Sexual Harassment.
To encourage Employees to come forward and complain against such incidents.
To create sufficient awareness of the Policy.

Citec will not tolerate verbal or physical conduct of sexual nature by any Employee if that
conduct harasses, disrupts, or interfaces with another Employees work performance or creates
an intimidating, offensive or hostile work environment.

Definitions
Company means Citec Engineering India P. Limited.

Employee means all Employees on the rolls of the Company and for the purposes of this
Policy shall also include Employees of contracted firms working in the Company premises.

Outsider means any person who visits the Company for any work connected with the
Company or otherwise and also includes Employees and other persons of any other
organisation where an Employee of the Company has to visit for official work.

Sexual Harassment

Sexual Harassment constitutes such unwelcome sexually determined behavior whether directly
or by implication such as:

Physical contact or advances, including flirtations, touching or propositions.
A demand or request for sexual favours.
Verbal abuse of sexual nature.
Sexually coloured remarks.
Sexually graphic or suggestive comments about an individuals dress or body.
Display in the workplace of sexually suggestive objects or pictures including
pornography.
Sexually degrading words used to describe an individual.
Any other unwelcome physical, verbal or non-verbal conduct of sexual nature.

Prevention of Sexual Harassment

The Company is duty bound to provide a safe, congenial and healthy work environment to all its
Employees. It is the responsibility of the employer to ensure that no Sexual Harassment takes
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place at the Work Place. This apart, the Company appreciates that Sexual Harassment causes
anxiety and stress which must be prevented and if committed redressed.

We firmly believe that Sexual Harassment causes adverse affect on the Company in terms of

Reduced Employee motivation
Low esteem of the Employees
Low productivity and reduced efficiency
Fragmented teams
Low morale and consequently increased staff cost
Loss of the Companys image / goodwill
Liability for payment of damages

Employee to come forward

Generally, it has been found that Employees do not come forward and lodge complaint about
harassment particularly for

Fear of retribution
Embarrassment
Nothing will be done about it
Alleged harasser is a influential person in the organisation
Ignorance of her rights as an Employee
Ignorance of employers obligations towards an Employee

Confidence building and assurance against victimization

The Company is committed to develop Employee confidence in the organisational commitment
to prevent Sexual Harassment. The Company seeks to create confidence by addressing the
issue in appropriate forum for Employees to share their experiences in that behalf.

Grievance Handling

The Employee being harassed can initially approach the Special Counselor designated by the
Company for the purpose of this Policy who would give a patient hearing to the grievance,
provide necessary support, call upon the harasser and seek to redress the grievance while at
the same time maintain confidentiality. If the Special Counselor is unable to redress the
grievance, it will be recorded in writing and he/she would also explain the formal procedure to
redress the grievance.

The procedure of informal grievance is optional and it is for the complainant to decide whether
to pursue this informal route.

The concerned victim must lodge a complaint in writing to the Complaints Committee.

The Committee will investigate into the complaint and will meet within 24hours of receiving the
complaint or on the next working day whichever is earlier.

Committee will be empowered to call any person as a part of the investigation and record their
statement.

Committee will make such investigation as may be necessary to decide the truth and falsity of
the complaint.
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Committee will submit within 10 days from receipt of compliant a written report to the
management and make recommendations for necessary disciplinary action / punishment if its
finds that the complaint is prima facie true.

Based on the report submitted by the Committee and within 30 days of receipt of said report,
management may impose necessary punishment including termination of service, depending
upon the gravity of misconduct or may conduct its separate enquiry and then impose necessary
punishment including termination of service, depending upon the gravity of misconduct.

Criminal proceedings If the Committee or Management finds that such conduct amounts to a
specific offence under the Indian Penal Code or under any other law, the management shall
initiate appropriate action in accordance with law by making a compliant with the appropriate
authority.

Alternatively, the Complaints Committee may carry out a preliminary investigation and institute
a departmental enquiry and complete the departmental enquiry as per the Standing
Order/Conduct Rules of the Company, in which case, the report of the Committee shall be
deemed to be an enquiry report under the disciplinary rules of the Company.

False Complaint

If the Company finds that a complaint, which, upon investigation, is false and malicious,
appropriate disciplinary action shall be initiated against such Employee.

Under the revised policy we have constituted a 'Complaint Committee' as a formal mechanism
for redressel of complaints. The 'Complaint Committee' comprises of:-
Ms. Namrata Ajgaonkar, Head Human Resources, Chairperson of the Committee
Mr. Laxman Bhosale, Head - IA Engine Power
Ms. Suvarna Pangare, IA Head Energy & Civil
Additionally, as per the said policy, Mr. K Muthukumar, Head Project Management Office is
nominated as a 'Special Counsellor'.

8. Compensation & Benefits Policy
Objective To explain broad guidelines on employee salary compensation, payroll benefits &
guidelines for revision or restructuring of the same.
Applicability Applicable to all permanent employees (including Trainees)
8.1 CTC (Cost to Company) Structure & Components

Salary Components Levels
Eligible
Maximum
Limit (Per
Month)
Maximum Limit
(Per Annum)
Payment
Mode
Basic Salary All 35% of CTC 35% of CTC Monthly
House Rent Allowance All 50% of Basic 50% of Basic Monthly
Transportation
Allowance
All Rs. 800/- Rs. 9600/- Monthly
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Flexible & Variable Allowances (List Given Below)
Medical Reimbursements All NA Rs. 15000/- Claim Basis
LTA Reimbursement Lx, Lxi
GR4 to LM2
GR1 toGR3
NA
NA
NA
3 Basic Salary
2 Basic Salary
1 Basic Salary
Claim Basis
Sodexho Coupons All Rs. 1500/- Rs. 18,000/- Monthly
Gift Vouchers All NA Rs. 5,000/- Annual
Car Maintenance GR3 &
Above
Employees to consult with HR on
individual entitlements as per their
levels separately.
Claim Basis
Driver Salary GR4 &
Above
Claim Basis
Car Lease Monthly
deduction of
EMI
Other Allowance All Balancing
Figure
Balancing Figure Monthly
Flexible & Variable Allowance (1-8)
Monthly Gross Salary Basic + HRA + Transport Allowance + Flexible & Variable
Allowances

Retirement Benefits

Provident Fund All 12% of Basic
Salary
NA Monthly
Gratuity All NA 4.81% of Basic
Salary
Annual

Medical Insurance

GMC/GPA All As per Insurance Policy Annual

Cost to Company (CTC) Monthly Gross Salary + Retirement Benefits +
Medical Insurance Premium
Net Take Home (excluding income
tax)
Monthly Gross Salary Provident Fund
Professional Tax as per regional PT rules

*Based on the costs and annual renewals of the policy, the recovery amount will be adjusted
accordingly every year in the CTC.
8.2 Flexible Salary Components
It is a set of various Allowances & Reimbursements to provide tax friendly components as well
as additional compensation benefits to employees within the purview of Indian Tax regulations.

All flexible allowances will form part of your monthly gross salary. All reimbursements opted by
you will be paid separately in your Corporate Reimbursement Account along with salary
disbursement.
8.3 How to choose flexible & variable components
In your appointment/increment letter, a TOTAL basket of flexible and variable
allowances will be provided. You will need to choose flexi components subject to
maximum limits specified.
Carefully go through the basket of allowances and reimbursements available with
reference to maximum limits specified as per level-wise entitlements given therein.
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Select the components suitable for you as per their applicability where you are able to
submit the necessary & appropriate bills to claim these components regularly. You can
select one or more or all of the components. All unselected components will be
consolidated in to Special Allowance (taxable) and included in your monthly salary.
The facility of selecting components will be available at the first time when you join the
organization and thereafter each year at the beginning of the financial year i. e. April.
Flexi, once selected cannot be changed till the end of the financial year (i.e. 31
st
March).
In case it is required, it will be allowed at managements discretion only.
8.4 Salary Reimbursements Procedures
Except LTA & Gift Vouchers, all other components can be claimed and reimbursed on a
monthly basis. LTA can be claimed once in a year only as per separate LTA guidelines
given below.
Claim raise your reimbursements in Reimbursement Form available with HR (Payroll)
department duly signed by you along with original bills attached.
Drop your signed reimbursement forms with bills in a drop box provided at the HR
cabinet, on or before 20th of each month. HR (Payroll Team) will collect the bills on 21
st
,
validate the same, revert with feedback by 25
th
for any queries & close the process by
28
th
of each month.
Please note any claims received after 20th will necessarily go in next month salary cycle
only. For claims which are pending for validations/approvals will be kept pending till the
queries are addressed by employees concerned.
All unclaimed reimbursements will be paid in lump sum in the last month of the financial
year i.e. March, with tax deducted at source on the same.
8.5 Reimbursement Components and Guidelines
Medical Reimbursements: Max limit is Rs.15000/- p.a (possible to give as monthly expenses
incurred on medical treatment (Doctors Fees, Medicines etc.) for self and dependents (spouse,
2 children and dependent parents) can be claimed under this component.

Gift Vouchers: This will be provided once in a year at the end of the financial year.

Sodexho Coupons: HR will be distributing coupons received from Sodexho 1 week after the
salary release. All employees should collect the same in person.

8.6 Leave Travel Allowance (LTA):
Employees will be entitled to reimbursement of travel expenses incurred for self & family
travelling to any part of India as per prevailing & latest Income Tax rules & provisions
applicable. The guidelines to claim LTA will be as follows:

Employees will be eligible to claim LTA only after completion of 1 year from date of joining.
Family includes self, spouse, maximum 2 dependent children and parents residing with the
employee.
Expenses include travel tickets for the shortest route from origin to destination & back, for
Actual airfare by national carrier / first class air-conditioned / first class rail fare to destination
or nearest terminus and back including reservation charges, if any.
Minimum leave required is 4 days EL to claim LTA. Further, employees proceeding on
maternity leaves or preparatory leaves before retirement are also eligible for LTA.
Tax exemption is available only for 2 journeys in the block of 4 years. The current block
going on is Jan 2014 - Dec 2017 (For more details please check Income Tax guidelines or
consult a tax expert).
In case employee has not availed any tax exemption in previous block of 4 years, then the
last accumulated exemption can be claimed in the 1
st
year of next block of 4 years.
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LTA Accumulation is possible for a maximum period of 4 year for any given block, thereafter
if it is not claimed, the accumulated LTA will be paid as taxable amount through salary at the
end of the calendar year of the ongoing block of 4-years.
Employees to fill up LTA application available with HR/Admin before proceeding
on leave.
Advance LTA may also be disbursed through salary payroll (wholly or partially) subject to 15
days prior approval of leaves. For such advance LTA cases employees must submit LTA
claim within 10 days after resuming back to duty.
To claim tax exemption, submit Railway/State Transport Bus tickets, used Flight Ticket
Jackets with Boarding Passes, in original to HR department. However Companys decision
will be final and binding on employee whether LTA expenses are admissible for exemption.

HRA Tax Exemption available - Lowest of the three: as per current income tax guidelines.
- Actual HRA Received
- Excess of Actual Rent paid over 10% value of Annual Basic
- 50% of Basic for Metro Cities (Mumbai, Delhi, Kolkata, Chennai) OR 40% for Non Metro
Cities
8.7 Retirement Benefits
Provident Fund: As per Provident Fund Act, 12% of Basic Salary will be deducted from
employees Monthly Gross Salary and 12% of Basic Salary will be contributed from Companys
side, which is shown as a part of CTC. As per PF Act, out of 12% Company contribution, 3.67%
goes into Provident Fund, and rest 8.33% *(subject to maximum of Rs.541/-) goes into
Employee Pension Scheme.
8.8 Gratuity
Gratuity contribution of 4.81% of Annual Basic Salary is directly deposited by the Company
towards Gratuity Fund regularly.

Gratuity Claims / Payment Eligibility & Procedures:
Gratuity shall be payable to an employee on separation from Citec India employment after
he/she has rendered continuous service of more than 5 years. Separation of service may be on
account of any of the following reasons:
Superannuation
Retirement OR Resignation
Death OR Disablement due to accident or disease, provided that;
Completion of continuous service of five years shall not be necessary where the
termination of the employment of any employee is due to death or Disablement.
Disablement means such disablement as incapacitates an Employee for the work,
which he was capable of performing before the Accident or disease resulting in such
disablement.

Eligibility: All employees completing 5 continuous years of service in the company are eligible
for Gratuity equivalent to 4.81% of Annual Basic salary for every completed year of service.
Gratuity is computed based on last drawn Basic salary on the date of resignation /
superannuation as per the limits specified by the Government of India from time to time.

Computation of total period of service: For computation of gratuity, your service period will be
rounded off to the nearest full year. So above 6 months is rounded to one year.

The gratuity shall be calculated according to the formula: Gratuity = Last drawn Basic salary x
15 x No. of years service completed / 26
17


Assurance: In case of death of the employee whilst in service, the Gratuity Scheme provides for,
payment of gratuity to the nominee, as if the employee had served the company till the date of
his / her superannuation i.e. till the age of 58. This benefit is extended through a group
insurance cover with LIC.
Gratuity Nomination
Employees should ensure, in their own interest, to file the nomination form, with Corporate HR.
Employees can change the nomination, in case they wish to do so during the period of service.
8.9 Income Tax & Investments Declaration
Income tax (TDS) will be deducted from your salary every month. You are advised to plan your
investments when you join the company as well as at the beginning of Financial Year i.e. April
month. You may avail the help of HR C&B department for this. You must submit proof of such
investments by 10
th
February every year to enable the HR / C&B department to ascertain tax
liabilities for the financial year.
8.10 Salary Bank Account
Citec Engineering India has a tie up with Kotak Mahindra Bank for opening Salary Bank
Accounts with Zero-Balance facility. All employees must open salary account with the bank as
soon as they join. Direct Bank Transfer of Salary will be done to Kotak Mahindra Bank Salary
Account only.
8.11 Performance Award
At the discretion of management, depending upon the performance of the company and the
individual during the period October to September every year, a performance award may be
paid to all the confirmed employees in all the levels except Trainee level. This award will be in
number of average monthly basic pay for which the performance award is being paid. Amount of
performance award may vary based on various factors like individuals performance,
contribution, commitment, attendance and performance of the Organization, Department or
Industrial Area. Individual performance will be evaluated by the immediate superior or
Department Head and confirmed by next level manager.
9. Loyalty Bonus
The Company wishes to recognise employees who have put 10 years of service in the
organisation by giving Loyalty Bonus. HR department will finalise the list of the employees who
are eligible for Loyalty Bonus and arrange to give in the following month in which they
completes the number of years stated above.

Purpose
Recognition to the Loyal employees
Retain Employees
Develop right attitude towards organisation
Create Bonding

The % of Loyalty Bonus is given as under.

Calculations

PERFORMANCE
GRADES
% LINKED TO
PERFORMANCE
GRADES
A 0.5
B 0.25
C 0
YEARS
COMPLETED
FIXED
PAY
VARIABLE
PAY
PAYABLE
10
B
Grade
x 05
years
Based on
last 5 years
performance
= Fixed +
Variable
18



For the calculation purpose monthly basic salary will be considered when employees are
completing the above criteria.

For the calculation of fixed pay B grade will be considered.

Example

First 5 years Next 5 years ratings Total
0.25 Basic x 5 years B A B A B
(Basic) 0.25 0.5 0.25 0.5 0.25
1.25 Basic 1.75 Basic 3 Basic

3 Basic = 1 Month Salary

The above policy may be revised at any time at the discretion of the Management.

10. Leave Policy
10.1 Objective

To define leave entitlements & procedures that facilitates employees to take time off for
purposes of rest and personal exigencies.

Applicability: To all Regular employees.

Leave Year: January to December will be treated as base period for calculating leave
entitlements.
10.2 Leave Entitlements

Leave Type Employee Group
Entitlement Per
Year
Casual/Sick Leaves (CL/SL) All Levels 10 days
Earned Leaves (EL)
All Levels (Only confirmed
employees)
26 days
Compensatory Offs All Levels
Maternity Leaves Women Employees Only
84 days (Excluding 5
National Holidays)
Paid Holiday All Levels 9 days
Intervening weekly offs and paid holidays will not be considered as leave days (Except for
Maternity Leaves). Saturday is considered as Paid Holiday.
10.3 Casual/Sick Leaves (CL/SL)

CL/SL must be taken for minimum of day and maximum of 3 days. In case of
emergencies it can be extended beyond 3 days.
Sanction should be obtained from immediate superior before proceeding on leave OR in
case advance approval is not possible (e.g. medical reasons), within 3 working days of the
employee resuming work.
Leave in excess of 3 days must be accompanied by a medical certificate from a medical
practitioner in case of sick leave.
19

An employee who avails CL/SL on account of sickness in excess of 3 days at a time can
resume duty only on the production of medical fitness certificate from a Registered Medical
Practitioner.
The company may require the employee to be examined by a medical practitioner
appointed by the company, at any time, prior to CL/SL being sanctioned.
10.4 Earned Leaves (EL)

You are eligible for 26 days EL in a calendar year on pro-rata basis. Employees would be
credited with 2.16 days EL at the end of every month.
Only confirmed employees are eligible to avail EL
Post confirmation, EL has to be availed for a minimum of 4 days and not more than three
occasions in a calendar year.
EL will not be granted in advance of its credit, an employee can avail of only as much EL as
has been credited to his/her account at the end of previous month of the month in which the
leave is applied.
Accumulation of EL up to a maximum of 90 days is permitted.
Employees over 50 years of age will, however, be permitted accumulation of EL up to 135
days.
Un-availed EL in excess of 90 days or 135 days, at the end of December will be
automatically en-cashed at the rate of Basic Salary per day calculated by dividing Basic Salary
for a month by 26.
After exhausting CL/SL employees cannot utilise EL as CL/SL
Due to exigencies of work, the company may at its discretion, cancel the leave already
granted and call an employee back for duty.

10.5 Maternity Leaves
Female employees can avail maternity leaves as per maternity benefits act as per following
guidelines.
Maternity leaves will be eligible after completion of 6 months from the date of joining.
84 days leave will be granted to first 2 children only. The same can be divided into pre-natal
and post-natal as per employees convenience.
Leave should be informed to supervisor & HR as early as possible since it is a long leave.
For miscarriages / pregnancy termination purely on medical grounds, additional 6 weeks
leave will be available with prior approval from Line Manager. Additional 30 days will be
given with proper approval and recommended by Doctor.
Wherever required, maternity leave can be clubbed with EL at Managements discretion.

10.6 Leave Encashment

Unutilised EL balance - in excess of 45 days up to 90 days - is available to en-cash only in
December, with a written request for the same. (Example: If EL balance is 65, then 65 45
= 20 EL can be encashed). Unutilized EL balance in excess of 90 days will be compulsorily
encashed in the year it exceeds 90 and paid in January salary.
PL in excess of 10 days as on 31
st
December each year is eligible for encashment
automatically along with salary for the month of January each year.
Encashment will be based on last drawn monthly BASIC. Encashment calculation formulae
will be = Monthly Basic/26 days x EL days to be encashed.
Minimum accumulation required for EL is 45 days and for PL is 10 days in any leave year.
In case of resignation, unutilized EL will be en-cashed & paid through final settlement.
Leave Encashment will be a subject to Income Tax deduction as well as Provident Fund
deduction as per PF rules on the en-cashed amount
All leave encashment will be paid in December & January salary as applicable above.


20

F S S M T W T F S S M Week days

W H H EL EL EL EL EL H H W
You can get 9 days leave from previous
Saturday
till next Sunday by utilizing 5 days EL

EL H H EL EL EL W W H H W
You can get 6 days leave from previous
Friday till
next Wednesday by utilizing 4 days EL.

EL H H EL EL H EL W H H W
EL will be applied only for Work days.
Intervening
Holidays will not be reckoned.

W = Working/Worked day, H = Holiday(Paid or Weekly off), EL = Earned Leave

10.7 Public Holidays

Citec India will observe 9 public holidays in a calendar year. List of these holidays will be
notified at the beginning of the year and it is available in Insider, India pages.
While you are on client site, you should follow the client holiday list. Please do keep your
Project Manager/Line Manager in CIN informed.

10.8 Compensatory Offs

Depending upon the need of the project you may need to work on weekends or on paid
holidays. Compensatory off is a paid leave earned by an employee for working on any such
holiday provided it is duly approved by the Superior. In case you are at client site, and the
client has granted a compensatory off, you should immediately keep your CIN Project Manager
informed of this.

Following guidelines will apply for compensatory offs:
Minimum working hours should be 8 hours a day
Employee should have worked on weekly off / paid holiday only, however it should be
prior approved by immediate supervisor or department head.
Late sitting on week-days will not be considered for comp offs.
Participation in seminar/workshop/training on weekly offs/paid holidays will also not be
considered.
Employee should intimate Admin dept the next day itself through his Dept head or
Supervisor.
Comp offs must be applied and sanctioned by supervisor before it is availed.
Unauthorized comp offs will be considered as LWP (Leave without Pay).
Intervening weekly offs / paid holidays will not be considered for calculating comp off
days.
Compensatory offs should be utilised within the same calendar year in which they are
activated. All unutilized comp offs will be encashed at the end of the Leave Year (Jan-
Dec) through January salary each year.
Employees can avail / use compensatory offs along with Earned Leaves (EL) whenever
they apply subject to minimum 4- Earned Leaves are availed at a time.
(Example: if employee applies for 5 EL, then he can bifurcate the same into 4 EL + 1
Comp Off. If employee applies for 7 EL, then he can bifurcate it into 4 EL + 3 Comp Offs
or 5 EL + 2 Comp Offs or 6 EL + 1 Comp Off, subject to availability of unutilized Comp
21

Offs accordingly) This facility will not be available with PL.


General

Leave cannot be availed as a matter of right. The companys decision about sanctioning, non-
sanctioning, treating of absence as with pay/without pay will be final.


Abandonment

If an employee remain absent without prior permission or sanction of leave for 10 days
consecutively or absent without intimation for 10 days beyond the period for which leave has
been granted or subsequently extended, he/she shall be deemed to have voluntarily abandoned
his/her employment with the company and the employment will automatically come to an end.



11. Separation Policy:

Objective: To provide guidelines to complete separation formalities, complete exit
clearance & facilitate smooth exit.

Applicability: All Regular employees.
Resignation Process:

Employee must inform his Immediate Supervisor with copy to Dept/IA Head & HR
about his/her intention to resign by a written mail.
The employee is expected to serve the full notice period to ensure smooth transfer of
responsibilities to the identified colleague.
In case Supervisor is extending the agreed Last Working Date (LWD), the same
should be communicated to employee & HR team before the earlier LWD agreed.
Notice Period Applicable, Shortfall Recovery & Waivers:
All Regular Employees who will join on or after August 01, 2014 3 months Notice
period will be applicable.
However the Notice period may be extended beyond stipulated period above, in case
of unfinished OR critical tasks, project timelines, etc., subject to a maximum of
additional 1 month. Any exception to this is solely at the discretion of the Department
Head or a Person Senior.
Any shortfall in the notice period will be recovered based on last drawn BASIC for
number of working days shortfall, through Full & Final Settlement process on prorated
basis. The formula for calculation of notice period shortfall will be = (Monthly Gross
Salary / 26 days x No. Of Days Shortfall)
Any notice period waivers will be solely at the discretion of management.
Resigned employee will not be entitled to use any unutilized leaves during notice
period or during the extended notice period in case of critical/unfinished tasks/projects.
In case leaves are availed the same will be considered as LWP and deducted from
salary. For exceptional and emergency circumstances Company will take appropriate
decision on the same.


22

D00020817 Exit or Separation Process Flow Chart A
D00020817_A_002.PDF


Salary Payment during Notice Period:

For all purposes, salary for the month in which employee resigns, will be held back for
calculation of full & final settlement as well as dues from/to the resigning employee.

Leave Encashment:
All unutilized earned Leaves, Compensatory Leave; Casual & Sick Leaves will be eligible
for encashment in final settlement.

Full & Final Settlement:
Payroll closes on 25th of each month for salary processing. If employee leaves before the
payroll cut-off date will be getting the F&F in the subsequent month itself, HR will intimate
as soon as it is ready. If the exit is after 25th then employee will need to wait for the next
payroll and would get the F&F in the month following the next payroll itself, where the
probable time frame may be 40 days.

Exit Interviews:
All employees should mandatorily go through exit interview process with HR at the time of
exit clearances. The objective is to elicit transparent & constructive feedback about the
organization and employees own experiences & learning with the organization.
12. Domestic & Local Travel Policy
Objective: To provide guidelines for travel and other related expenses within India.
Applicability: Applicable to all permanent employees.
12.1 Local Travel
This includes travel undertaken within the city of posting AND if travelling to another city, then
local travel undertaken within the city of travel destination, for official purposes. Employees
should use the most economical mode of conveyance during local travel.

Mode of Travel Entitlements:
Levels Mode of Transport Eligible Amount Claim Requirements
GR4 &
A/C Hired Cars / Metered Taxi /
Auto Actual
Submit Supporting Taxi Bills
/Point
Above Rickshaw to Point Actual Fare Details

1st Priority - Non A/C Metered
Taxi Actual
Submit Supporting Taxi Bills
/Point
GR3
2nd Priority - Non A/C - Hired
Cars to Point Actual Fare Details
3rd Priority - Auto Rickshaw
1st Priority - Auto Rickshaw Actual
Submit Supporting Taxi Bills
/Point
GR2 &
2nd Priority - Non A/C Metered
Taxi to Point Actual Fare Details
Below 3rd Priority - Non A/C - Hired Cars
Personal Vehicle 2 Wheelers 10%
Point to Point Actual Fare
Details
All Personal Vehicle 4 Wheelers 16%
Levels
(% of Fuel Price / Per KM at
current
rates)
23


- For personal vehicles includes travel during working hours undertaken from Citec India
office to Destination (Clients Office / Training Venue / Vendor / any other such location). In
case you go back to home directly from the Destination, it will be also included for claim
calculation.
- It does not include travel from Home to Office & Office to Home during regular working
days.
- If colleagues are also travelling in same vehicle of yours, only you can claim the
reimbursements, your colleagues cannot claim the same expenditures under local travel. In
case they use separate public transport while going home, they can claim it separately.

Food Reimbursements during Local Travel: (within city of posting only)
Provided the travel duration is more than 4 hours, Employee can claim Food
Reimbursements for Lunch / Dinner maximum up to Rs.300/- per day subject to
submission of BILLS only. Without Bills it will be limited to Rs.200/- per day.
12.2 Domestic Travel
This includes travel undertaken outside the city of posting for official purposes within India for
duration of less than 10 days. If tour extends beyond 10 days, entitlements should be invoked
at Managements discretion. Employees should use the most economical mode of conveyance
during domestic travel. For the purpose of domestic business travel, following classification of
cities will be applicable.



CLASS CITIES

Class A Bangalore, Chennai, Delhi, Hyderabad, Kolkata, Mumbai

Class B
Ahmadabad, Bhubaneshwar, Bhopal, Coimbatore, Cochin, Cuttack,
Chandigarh,

Dehradun, Gangtok, Indore, Jaipur, Kanpur, Lucknow, Ludhiana, Nagpur,
Panaji, Pune,
Patna, Ranchi, Srinagar, Shimla, Thiruvananthapuram, Vishakhapatnam

Class C All other cities


12.3 Mode of Travel Entitlements
Levels Mode of Transport Eligible Claim Requirements
GR4 &
Air Economy (Rail Travel Time More Than 8
hours) Air Tickets + Boarding Pass /
Abov
e
Rail 1st AC (Rail Travel Time Less Than 8
hours) Railway Tickets
GR3
Air Economy (Rail Travel Time More Than 8
hours) Air Tickets + Boarding Pass /

Rail 2nd AC (Rail Travel Time Less than 8
hours) Railway Tickets
GR2 &
Rail 2nd AC (Rail Travel Time More Than 8
hours) Railway Tickets / Bus Tickets
Belo
w
Luxury Bus (Rail Travel Time Less Than 8
hours)
Air Travel Specifications: Employees LM1 level & below should be using No Frills
Flights only. Employees above LM2 level may use Full Service Airlines.

24


Domestic Travel Accommodation & Food Reimbursement Entitlements:


Accommodation
Entitlements Food Reimbursement Limit in Rs. Per day.
LEVELS

Class of City (in Rs. Per day)



With Bill Without bill


A B C



MD

Appropriate Business Hotels At Actual 500

Lxi



LX

LM2 6000 3500 3000 800 400

LM1 4,500 2,500 1,800 600 300

GR4 4,500 2,500 1,800 500 250

GR3 3,500 2,000 1,500 500 250

GR2 2,500 1,500 1,200 450 200

GR1 2,500 1,500 1,200 400 200

T 2,500 1,500 1,200 350 200

Laundry Expenses For Travel exceeding 3
nights stays ONLY.
(GR4 & below) Rs.150/- NA.
(LM1 & above) Actual NA.
Day Travel outside the city of posting > 4 hours (departure and arrival on Same Day No
Hotel
Accommodation Allowed. Only Food & Local Travel Expenses at Actual will be applicable)


Daily Expenses (DE): While on domestic tour, employees can claim Flat Daily Expenses,
without Bills, towards meeting personal expenditures like excess baggage charges at Airport,
portage, newspaper/magazines, tips, tea/coffee/snacks, mineral water and other incidental
expenses. This is applicable only for tours outside the base location on Per-Night basis.









25

DE
Level
(Rs. Per
Night)
MD 500
LM2, Lx, Lxi 400
LM1 300
GR4 300
GR3 250
GR2 200
GR1 & T 150


Personal Stay Compensation (PSC): In case employee chooses to stay in personally arranged
accommodation like friends / relatives or own family house, employee can claim flat Personal
Stay. This requires prior approval from Management (i.e. Department Head) and to be
informed in advance to Administration department.

The sanctioning of PSC shall be sole discretion of the management.

Compensation per night of stay without any supporting, as per entitlement table given
below. However, employees can still claim local conveyance at actual as per local travel
entitlements and food reimbursements at actual as per Domestic Travel Accommodation
& Food Reimbursement entitlement table given above.

(PSC in Rs. Per Night)
Level Class of Cities
A B C
LX, Lxi, MD 2500 1800 1500
LM2, 2000 1200 1000
LM1 1500 850 600
GR4 1500 850 600
GR3 1200 700 500
GR1, GR2 850 500 400
T 850 500 400

12.4 General Guidelines

Accommodation: Employees should use Company Guest House as first priority. In case
guest house is not available, hotel accommodation can be arranged in coordination with
Admin department as per abovementioned hotel tariff (Only Room Rates with Taxes)
entitlements. Employees should check hotel rates prior to making bookings, in case
expenses are above the entitlements, the extra cost above the entitlement amount will be
borne by the employee himself. An employee travelling with his Supervisor can stay in the
same hotel as his Supervisor.
Laundry Expenses: In case the travel/tour is undertaken for more than 3 nights stay, then
laundry expenses can be claimed (with bills) as per entitlement table given above.
Communication Expenses: Expenses incurred towards local and STD telephone calls,
telex, fax, postage etc. made in the course of companys business, by an employee who
has not been provided with mobile SIM, shall be reimbursed at actual, on submission of
receipts wherever possible. Employees are advised not to make phone calls / faxes from
the hotel where they stay as their charges are much higher as compared to local PCO/Fax
booths.
Excess Baggage: Actual excess baggage charges at the Airport can be claimed through
Daily Expenses only if employee is carrying company material.
Disqualified Expenses: Company will not reimburse expenses of personal nature like
26

tobacco, cigarettes, alcohol, magazines, books etc.
Day Travel: In case employees departure and arrival happens to be same day, i.e. less
than 24 hours but the travel time is more than 4 hours in a day, hotel stay will not be
allowed. However all local travel and food expenses can be claimed at actual as per
entitlements.
Mail for Exchange: Employees are advised not to continue automatic access of email
through mail for exchange. Employees may synchronize the mails with 1 hour duration or
by manual mode.
12.5 Procedures

Approvals: All travels should have prior approvals of immediate supervisor in the Travel
Request Form.
Ticket Bookings: Bookings must be done through Admin department, except when certain
pressing circumstances demand otherwise. Wherever necessary, if train travel is more
economical and feasible, it should be used, even if the employee is entitled to air travel.
Supporting Requirements: All local and domestic travel expenses should be supported by
necessary bills / vouchers (Original) as specified in entitlement tables above. Expenses
allowed without bills should be elaborated with details in the travel expense statement
separately.
Settlement timelines: All expenses must be settled and claimed within 3 working days after
the travel is over. For any deviations, MD approval is required additionally.
Deviations: No deviations to the travel norms mentioned above will be permitted. Approvals
for deviations warranted by emergencies should be obtained prior to initiating travel.

Amendment to the Policy: The Company reserves right to amend, abrogate, modify or revise
any or all clauses in this policy based on business exigencies.
13. Transfer & Relocation Policy

Objective: The purpose of this policy is to define entitlements for employees who are
transferred to new locations by the company within India.

Applicability: This policy is applicable to all the existing regular employees.

Policy:
Permanent Transfer means re-location from one base location to another within the country
and where the duration of re-location is for more than 365 days as estimated at the time of re-
location.

Family for the purpose of relocation would mean immediate family members specified as per
Group Mediclaim Insurance Policy dependents i.e. Spouse, Children & Parents. Any other
exception to this list should have prior approval of Managing Director before such family
relocation is initiated.









27

The Company will bear the following expenses on an employees transfer.

Reimbursement
Benefits
Permanent Transfer
(365 days & above)
Travel Fare (Self &
Family)
1-Way trip for self for
joining
AND 1-Round trip for
self and 1-Way trip
for bringing Family
Accommodation
(Hotel/Guest House
Maximum 10 days)
As per Domestic
Travel Policy
(Personal Stay) (for Family max 2
rooms)
As per Domestic
Travel Policy
Food & Other
Expenses
As per Domestic
Travel Policy
Shifting of Household
Materials At Actual
LM2 & Above Big Truck (20-22)
LM1 & Below
Medium Truck (14-
16)
Disturbance
Allowance
- For Self & Spouse 1-month BASIC
- For Self, Spouse, 1
Child 2-month BASIC
- For Self, Spouse, 2
Children 3-month BASIC
Leave Entitlement NA
House Lease Support Advance (Recoverable in 6
EMIs)
GR4 & Above 2,00,000/-
GR3 & Below 1,00,000/-
Brokerage
Reimbursement 1-month RENT

Travel Fare for Employee and Family: The Company will reimburse travel expenses for
employee, dependent children and dependent parents. Employee will be entitled for Travel
Reimbursement for travel of self to Joining Location-One-Way Trip and a Round-Trip to bring
Family. Travel entitlement for all would be as per employees entitlement, as specified in the
Domestic Travel Policy.



28

Accommodation:

Employee and family members are entitled fox Maximum 10 days stay at Company Guest
house (New Location) wherever Guest house facilities exist and are available.

In case there are no Company Guest houses, then employee can stay in a hotel (as booked by
the company) and reimbursement of hotel expenses will be as per the travel policy. The food
and related expenses limit as per travel policy are on a per person basis. Maximum 2 rooms
will be allotted for self and family.

In case employee chooses to stay in personally arranged accommodation, he/she can claim
personal stay compensation as per Domestic Travel Policy entitlements. This is required prior
approval of Departmental Manager/Line Manager.

Shifting of household material & personal effects: Reimbursement of expenses incurred on
shifting of household materials (packing, unpacking, transportation, insurance and any other
taxes as applicable) can be claimed at actual. This facility will be available only once during a
single transfer.

Retirement Support for Relocation: Employees retiring from services at the statutory age and
as given in appointment letter may also claim Travel & Shifting of household materials to their
native or chosen place of stay in India and Car registration if applicable as per Permanent
Transfer entitlements.

Disturbance Allowance (Only for Permanent Transfers): Employee will be eligible for a one
time disturbance allowance of minimum 1 to maximum 3 months Basic salary as per level wise
entitlements listed in the table above, to meet miscellaneous, incidental, damage or
inconvenience expenses, school admissions etc. This will be paid immediately in the next
month of the Transfer, through payroll. This is a Taxable income and the Tax as applicable will
be borne by the employee.

House Lease Support: Employees are eligible for house lease support advance for levels GR4
& above up to Rs.200000/- (Two Lacs) and for level GR3 & below up to Rs.100000/-.(One
Lac) Recovery of advance shall take place in a maximum of 6 equal monthly instalments from
the employees salary, starting from the month after the month the advance is given. Company
can also reimburse brokerage up to One-Month RENT, on production of receipts.

14. International Travel Policy

International travel refers to travel outside India. You may be required to travel abroad on
business/training for short or long periods. All international travel shall be undertaken only after
the prior written approval of the Managing Director in Foreign Travel Request Form.

Foreign Travel should be planned well in time to allow for visa, foreign exchange formalities,
ticketing and travel arrangements. All travel bookings must be made through the Administration
Dept. and Companys authorized travel agency only.

Travel shall be undertaken by excursion class ticket by the shortest route.

Applicability: Short term travels and deputation not exceeding 183 days while on CIN payroll
only.
29

14.1 Foreign Travel Kit

Reimbursement of expenses incurred in India for clothes and kit to equip the employee for
overseas travel may be claimed against proof of expenditure at an interval of a full 12month
period from the previous payment date, as mentioned below: This is applicable for first travel in
12-month period.

Level Per year (in Rs.)
LM1 and above 15,000

GR4 and below 10,000


For 2nd & subsequent travels in the same 12-month period, additional Rs.5000/- for LM1 &
above, and Rs.3000/- for GR4 & below can be claimed.
14.2 Lodging

The company will make arrangements for your accommodation in your city of travel, as far as
possible.
14.3 Permissible limit for Hotel Stay

Subject to prevalent RBI guidelines, the maximum permissible foreign currency to meet
expenses towards hotel, food and conveyance in Euro is given below:

All countries except Middle East/Africa
Level
Maximum permissible
Expenses(in Euros)
Lxi 250
LX 165
LM1 & LM2 150
GR4 & below 135


These are the maximum permissible rates per night. As far as possible the stay should be at
accommodation like the Rezayat compound. Hotel stay is allowed only when the compound
bookings are not available or hotel stay is not arranged beforehand by the company.

The per day rates given above will apply for the actual number of nights spent abroad
excluding travel time. All expenses are claimable only at actual against proof of expenditure. If
the travel exceeding 183 days then the daily expenses amount should be approved by the
Management.
14.4 Per Diem Allowance (Out of Pocket Expenses OPE)

This allowance is given to you to cover expenses on food, laundry and incidentals. This
excludes transport from place in the jurisdiction of Mumbai and Navi Mumbai to the Mumbai
International Airport and expenses on your conveyance from the airport to your place of lodging,
and vice versa on the day of your return. It also excludes any local travel you may need to
undertake between Citec and client offices, which will be reimbursed at actual.

30


14.5 Local Travel in Foreign Country

For deputation cases, the local travel expenses in foreign country will be limited to Bus Pass for
the duration of your stay and will be reimbursed on actual with proper supporting. For short term
travels not amounting to deputation (e.g. Sales people going on client visits etc.), local
conveyance expenditures by any other mode available in the country (Bus, Train, Metered Taxi
etc.) at actual will be reimbursed against supporting.

Out of pocket expenses can be claimed without vouchers as below:

Grade
Far East & Rest of
Europe
Norway,
Switzerland & UK
Middle East
=<30
days
>30
days
=<30
days
>30
days
=<30
days
>30
days
LXI 100 70 100 70 100 70
LX 90 70 90 70 90 60
LM1 & LM2 80 65 80 65 65 50
GR3 & GR4 70 60 70 65 55 45
GR1 & GR2 65 55 70 60 50 40

Equivalent Conversions will be made in local currency of the country of travel as applicable.

Out of pocket expenses will be on a 24 hour basis. The time of arrival at the first foreign station
and the time of departure from the last foreign station will be reckoned for purposes of
determining eligibility for Per Diem allowance. Any portion of the day in excess of four hours but
less than or equal to 12 hours would be reckoned as half a day and that in excess of 12 hours
will be reckoned as full day for the purpose of computing eligibility for out of pocket expenses.


If the duration of stay is not more than 30 days the out of pocket expenses will be calculated
based on the rates mentioned in column (b) above. The total amount of Out of Pocket expenses
will be calculated as D (No. of days not exceeding 30) x appropriate rate mentioned in column
(b). Where the duration exceeds 30 days the appropriate rate mentioned in (c) will be applied for
the entire duration of stay.

Scenario: E from Chennai is travelling to Vaasa (Finland) from Chennai Delhi - Helsinki -
Vaasa and returning from Vaasa - Helsinki - Delhi - Chennai, he will be entitled for Daily
allowance (Domestic) till he is in India and will be entitled for Per Diem (Foreign) till he is out of
India.

The per diem will be calculated from Helsinki to Helsinki and Daily allowance will be calculated
from Chennai to Delhi till he boards the flight.

Domestic Travel Foreign Travel Domestic Travel
From To From To To From To
Chennai Delhi Delhi Helsinki Vaasa Delhi Chennai
Daily allowance (Domestic) Per Diem (Foreign) Daily allowance (Domestic)

31

14.6 Reimbursement of expenses

Employees are allowed to claim below mentioned expenses. The employees must submit
proper supporting as a proof towards incurring the expenses.

Telephone: During the span of 3 months the employees is entitled for reimbursement of 50
towards telephone expenses.


Local conveyance: For deputation cases, expenses towards a Bus pass not exceeding 90
during the total stay of 90 days. For shorter duration of stay, (not amounting to deputation), the
amount will reduce proportionately. For shorter duration of stay (less than 30 days) employees
can claim local conveyance at actual by appropriate means of local mode of conveyance
available (Bus, Train, Taxi).
For ME/Africa: Levels GR1 GR4 - Local conveyance should not exceed 720 for 3 months
(i.e. local conveyance cannot exceed 8 per day)

Mail for Exchange: Employees are advised not to continue automatic access of email through
mail for exchange. Employees may synchronize the mails with 1 hour duration or by manual
mode.
14.7 Personal Stay Allowance (PSA)

An employee not availing the accommodation provided by the Organization in the visiting
country and makes his/her own arrangement, will be entitled to claim a daily Personal Stay
Allowance (PSA). This would cover all expenses including local conveyance from place of stay
to office/place of work and back. This requires prior approval from Management (i.e.
Department Head). Employees claiming the PSA will not be entitled to claim any other amount.

The PSA for different grades will be as under:

Level PSC (in Euro)

Lxi 115
LM2 LX 75
GR4 - LM1 70
GR1 - GR3 65

Note: PSA is not applicable for ME/Africa

Advance An advance (in foreign exchange) equivalent to the maximum daily expenses and
Per Diem for the full duration of your stay will be given to you at appropriate intervals, while
travelling out from India.

Employees shall, within 5 working days, of returning from an overseas tour:

Submit a tour expense report together with used tickets and Boarding Pass as well as a
statement and proof of expenses incurred.

Surrender un-utilized foreign exchange and tickets for cancellation and refund, if any. Surrender
of unutilized foreign exchange can only be through foreign currency notes and travellers
cheques.

On no account, will the employee be permitted to surrender the rupee equivalent of un-utilized
foreign exchange.

The Accounts Dept shall verify the correctness in accordance with the approval and obtain the
32

approval of Superior. Deviations, if any, shall be approved by the HOD.

Note: Employees going on Long Term Transfers (more than 183 days) to Finland or any other
group countries, where they are exited from CIN Payroll with full & final settlements and joining
CFI on their payroll, will be exclusively governed by separate work permit and CFI specific
Contract Agreement entered between employee and CFI. The terms & conditions for such long
term transfer assignments will be governed as per International Assignment Directives Table
given below.

15. Indian employees To Finland / Europe

CLARIFICATION WHO TAKES CARE OF
COST / IS RESPONSIBLE (CODE IN
TABLE):
Citec Finland / Europe: F
Citec India: I
Not paid: 0
Not applicable: n/a
India pays but invoices Finland: I =>F
Finland pays but invoices India: F =>
Employee pays/is responsible himself: PP
FI authorities = NOT CFI company: FI
authorities
India to take BATI (=insurance): I -> BATI
Temporary
project
resources/proj
ect work to
Finland /
Europe
0 6 month
(short term)
work in
Finland /
Europe
Over 183
days (long
term /
Internal
transfer max
1 year) work
in Finland /
Europe

A) Non
billable
B) B) Billable
CIN Billable CIN Billable CFI
1. VISA & CONTRACT PRACTICALITIES
Visa and Work Permit Employee I I=>F I=>F
Visa and Work Permit - Dependents PP PP PP
Contract I I+F I+F
Superior I+F F+I F
2. SALARY DURING THE CONTRACT
PERIOD
Salary:
Travel time during work hours I I F
Meetings I I F
Trainings I I F
Project work I =>F I =>F F
Sick Pay -> Salary I I FI authorities
Per Diem (Food, Laundry, Incidentals
expenses, Out of pocket expense) OR
Daily Allowance
I (Non bill.) I =>F 0
I =>F
(Billable)
3. FRINGE BENEFITS
Home Leave, but taxable from Employee 0 0 F
Housing and furniture & apartment bills
(Electricity, Water)
I (Non bill.) F
(Billable) F PP
Computer & internet to apartment
(Skype)
I (Non bill.) F
(Billable) F PP
Costs concerning employees own house
in home land PP PP PP
Local transport to work:
A) Bicycle OR
I (Non bill.)
F (Billable) F PP
33

B) Bus Pass
I (Non bill.)
F (Billable) I =>F PP

Other local costs (money transfers,
banking, cleaning of apartment) PP PP PP
Phone & phone costs:
Work phone VOIP VOIP VOIP
Private calls within Finland 50e/3 months
50e/3
months
NOTE! Employee buys card self! I (Non bill.) I =>F PP
50e / 3 months
I =>F
(Billable)
Private calls to India (Only Skype!) Skype Skype PP
4. RELOCATION and SETTLING-
IN
Household / personal items
transportation (airfreight max
100kg/person)
0 0 I =>F / F

Settling- in Allowance
0 0 F


o For single 1000e, For family
2000e
o Decreased if Travel Kit paid
during last 12 months
o NOTE! First time YES,
Continue
o NO, Repeat CASE by CASE
Travel Kit (per 12 months once, CIN
HR Service Guidelines) I (Non bill.) I =>F 0

I =>F
(Billable)
5. ANNUAL VACATION AT HOST
Annual vacations as so called Old
Employee 0 0 F
Less than 1 year Citec -> 2 working
days/month gathered from Citec since
1.Apr-> (max 4 weeks)
1 year or more Citec -> 5 weeks





6. PUBLIC HOLIDAYS
Only local practice in the Host
country F F F
7. HEALTH EXAMINATION
(Employee + Dependents)
Vaccinations prior to travel (=in India)
Employee
I I I

Vaccinations prior to travel (=in India)
Dependents n/a
PP
certificate!
PP
certificate!
*3
Vaccinations prior to travel back (=in
Finland) Employee
BATI BATI BATI

Vaccinations prior to travel (=in Finland)
n/a
PP
Insurance
PP
Insurance
34

Dependents

Medical examination pre to travel (=India)
Employee
I I I

Medical examination pre to travel (=India)
Dependent n/a
PP
certificate!
PP
certificate!

Medical examination pre to travel
(=Finland) Employee
BATI BATI BATI

Medical examination pre to travel
(=Finland) Dependents n/a PP Insurance PP Insurance
8. PENSION BENEFITS / PAYMENTS
Pension payments I I FI authorities
Gratuity (=Palvelusvuosilis) For the
assignment time according to last
CIN salary I I
I
I->F
Leave Accumulation & Encashment I I I
9.A) INSURANCES - EMPLOYEE

Health Insurance System in FI
(Kela) 0 0 FI authorities
Business Assignment Travel
Insurance = BATI *1
o Personal (accidents, injury, I->BATI I->BATI I->BATI
disability, death) during travel I->F I->F I->F
to/from Host
o Luggage during travel to / from I->BATI I->BATI I->BATI
Host I->F I->F I->F
o Personal (accidents, injury, I->BATI I->BATI I->BATI
disability, death, dental) during I->F I->F I->F
assignment at Host country
o Medical Insurance for Hosp. >

24hours from
India
Statutory Accident Insurance in FI 0 0 FI authorities

Statutory Unemployment insurance in
FI 0 0 FI authorities
Statutory Group life insurance in FI 0 0 FI authorities
Free Time Accident Insurance in FI 0 0 F
9.B) INSURANCES DEPENDENTS

Business Assignment Travel Insurance
= BATI *1
o Personal (accidents, injury, n/a PP certificate PP certificate

disability, death) during travel
to /
from Host
o Luggage n/a PP! PP!
o Personal (accidents, injury, n/a PP certificate PP certificate
disability, death, dental) during
assignment at Host country
10. ACCIDENT or ILLNESS, SICK PAY AND
MEDICAL EXPENSES (Employee /
Dependents)
Sick Pay -> Salary (Only Employee,
Not I I FI authorities
dependents)
35

Sick transportation (Employee) as 9A I->BATI I->BATI I->BATI
Sick transportation (Dependents)
n/a PP insurance PP insurance

& certificate & certificate


Medical expenses &
Hospitalizatio
n I->BATI I->BATI I->BATI
(Employee)
Medical expenses &
Hospitalizatio
n n/a PP insurance PP insurance
(Dependents) & certificate & certificate
Dental
care & expenses (Only part
of I->BATI I->BATI I->BATI

Urgent Medical & Health treatment.
NOT

COSMETIC!)
Employee
Dental
care & expenses (Only part
of n/a PP insurance PP insurance

urgent Medical & Health treatment.
NOT & certificate & certificate

COSMETIC!)
Dependents
11. HOME LEAVE ONLY IN EXCEPTIONAL
CASES *2
Travel costs / return air flight tickets I I F
(Employee)
Travel costs / return air flight tickets n/a PP PP
(Dependents)
Insurance for Home leave travel 0 0 PP
(Employee)
Insurance for Home leave travel n/a 0 PP
(Dependent)
Loss of working time & salary (Only 0 0 0
Employee)
12. TRAVELING AND REPRESENTATION
Travelling to / from home country
I (Non bill) I =>F I =>F
I =>F (Bill)


Insurance for to / from home country
(see above)
Business travelling in host country for
project F F F
Work
Insurance for travelling in host country I -> BATI I -> BATI F

Representation/Company events
Internal F F F
13. EMPLOYEES OWN TRAVELLING IN
HOST +
NORMAL HOME LEAVE, = Vacation
Insurance for own travelling in Host I-> BATI I-> BATI PP unless

Including Personal & Luggage
Employee covered by
BATI
Insurance for own travelling in Host n/a PP PP
36


Including Personal & Luggage
Dependents

Insurance for own Home Leaves
during PP PP PP

assignment Including Personal &
Luggage
Home Leave tickets, but taxable from 0 0 F
Employee in FI
14. TRAINING AND DEVELOPMENT
Training and courses (Internal) F F F
Training and courses (Ext) Prior
approval from IN F =>I F =>I F

15. RESIDUAL / ADDITIONAL TAX in Host n/a n/a PP
Country
16. Recruitment charges for specific Finnish n/a n/a I->F
Position

*1 => Note! In India the Business Assignment Travel Insurance = BATI is split to: - Travel
Insurance and Medical Insurance - But the coverage is the same.

Travel Insurance for the Employee (and if, accompanying dependents), covering accidents,
death, injury, disability and damage to accompanying luggage and third party liability in transfer
travel is taken and costs are paid in accordance with Citec Engineering Group Directives
concerning International Assignments as per Assignment Directives Table given above.

Medical Insurance for the Employee (and if, accompanying dependents), covering accidents,
death, injury, disability during the assignment is taken and costs are paid in accordance with
Citec Engineering Group Directives concerning International Assignments as per Assignment
Directives Table given above.

*2 => Note! Exceptional cases are to be understood as following: Home leaves in exceptional
cases

In case of serious illness or a death of a member of the Employee's or his/her spouse's
immediate family, the Employee will be eligible for a return air fare to the Home Country. The
cost will be paid / reimbursed according to Citec Engineering Group Directives concerning
International Assignments as per Assignment Directives Table given above.
Employees/spouses immediate family is to be understood in the narrowest way, meaning own
/spouses parents / own children under 18-yrs of age.

*3 => Note! PP Certificate! Means employee will need to provide Medical Certificates proving
that medical checkups is done or insurance policies (travel/medical) are taken wherever
required.

16. Group Mediclaim Insurance Policy (GMC)

Objective: As an employee welfare activity and to benefit from our collective bargaining power
the company arranges a group Mediclaim and accident insurance policy. Employees contribute
to fund this policy as a monthly recovery as mentioned in the Compensation & Benefits Policy.

Applicability: All permanent (or from day one) employees. Group Mediclaim Insurance Policy is
meant only if there is a minimum 24 hours of Hospitalization involved for treatment purpose only
(not for diagnostic purpose).
37


All other medical expenses NOT involving hospitalization can be claimed as per Medical
Reimbursement available in your Flexible & Variable Pay component in Compensation &
Benefits Policy given in this Service Guidelines.

Group Hospitalization

Definition of Family: All permanent employees of the company & his/her dependents (Max five
dependents) which would include spouse, two dependent unmarried, unemployed children up to
the age of 25 and dependent parents shall constitute a family. In-laws are not covered under
this policy.

Dependent Parents: Parents, who are unemployed, (i.e. not holding any gainful employment
including self-employment), and, who have superannuated, and, who are solely dependent on
the employee for their sustenance up to the age limit of 80 years only.

Applicability: All regular employees and their families are covered under this scheme (except
Trainees and employees who are covered under ESIS Act).

Employees covered under ESIS can also avail benefits under this scheme by paying the
required annual insurance premium. The same can be deducted from their payroll accordingly.

All new joiners and their dependents are covered right from day 1 of joining.

Scope of Scheme: The scheme provides for reimbursement of hospitalization expenses
incurred on contracted illness or bodily injury sustained through accident.

The reimbursement is applicable only if hospitalization for a minimum period of 24 hours as an
inpatient is undergone in the registered nursing homes/hospitals (registered with the local
authorities and having a registered medical practitioner and a qualified nurse with minimum 15
beds) except in cases like laser beam treatment, chemotherapy, radiotherapy, dialysis and
removal of kidney stone by lithotripsy method, wherein hospitalization may be for a period of
less than 24 hours.

All Pre-existing ailments and certain specific illnesses mentioned below are also covered under
this policy for all existing and new employees:-

Pre-existing illness such as diabetes, heart disease, blood pressure, etc. are covered under the
scheme.

Specific illnesses like cataract, prostate gland operation, hysterectomy removal of uterus,
hernia, hydrosol, fistulae in the anus and sinusitis.

Treatments arising out of Maternity or traceable to pregnancy, childbirth including caesarean
section


Permanent exclusions for all employees & dependants:-

Certain types of examinations and treatment such as routine eye examination, cost of
glasses/contact lens, circumcision (unless recommended by a surgeon), vaccination or
inoculation, cosmetic surgery, convalescence, are permanently excluded from the scope of the
scheme. Naturopathy treatment, expenses on vitamins and tonics, investigations (unless
forming part of the treatment in a registered nursing home/hospital as in-patient) and any kind of
Dental treatment are excluded from the scheme. Domiciliary treatment Out-patient treatment
in a clinic or even in registered nursing home/hospital for cold, cough, diarrhea and other routine
ailments is not reimbursable under the policy.
Domiciliary Hospitalization, i.e. treatment done at home is not covered.
38


Sum Assured Benefits: The scheme has an Annual family floater cover for employees &
dependants to take care of his/her medical needs. It can be used individually or jointly during
the period up to the sum insured. The grade wise applicability of sum assured is as per
Insurance Policy and the same is available with HR department.

Room Rents for Hospitalization: The daily room rents for hospitalization shall be 1% of Sum
Assured for normal room and 2% of Sum Assured for ICU room on per day basis.

Additional Benefits: Ambulance hire charges Reimbursement will be allowed up to a maximum
of Rs.2000/-each on submission of stamped receipt

Cashless Treatment: The treatment shall be availed only from the network hospitals & nursing
homes list available with HR C&B Department.

Claim Methodology: A Mediclaim form duly filled in indicating employee code should be
submitted to the HR/Administration department, within 15 days of completion of in-patient
hospitalization or domiciliary hospitalization. The claim form must carry details of employee
code.

Documents required to be attached to the claim form:-
A certificate from the attending doctor recommending hospitalization
Doctors original bill with stamped receipt for his consultation

Hospital certificate/discharge card stating date of admission, date of discharge, brief clinical
history of the patient, diagnosis, line of treatment, etc.

Original bill from the hospital indicating room charges, operation charges, anesthetist charges,
surgeon fees and cost of medicines supplied from the hospital along with a stamped receipt for
having effected the payment to the hospital.

Cash memos towards medicines purchases from the chemists supported by prescriptions of the
doctor, investigative/ pathological report along with the stamped receipt issued by the
laboratories/pathologist, if done from outside.

Pre-hospitalization expenses will be allowed, incidental to the ailment up to 30 days prior to the
surgery/hospitalization per member, per illness in a policy year. Post-hospitalization expenses
will be allowed of up to 60 days per illness per member, from the date of discharge, in a policy
year.

17. Group Personal Accident Insurance (GPA) Policy

Objective: As an employee welfare activity and to benefit from our collective bargaining power
the company arranges a group Mediclaim and accident insurance policy. Employees contribute
to fund this policy as a monthly recovery as mentioned in the Compensation & Benefits Policy.

Applicability: All permanent employees are covered under a GPA insurance policy.

The policy will be applicable to employees whilst on service from the date of joining service.
Employees covered under ESIS are also covered by GPA.

Coverage: GPA policy provides compensation to employees sustaining injuries, fatal or
otherwise, resulting solely and directly from an accident caused by external, violent and visible
means, during the tenure of service with the company.

Compensation is provided for temporary disablement, permanent partial, permanent total
39

disablement or even accidental death. Death not resulting from an accident is not covered under
GPA. Natural Death is not covered under GPA.

Documents required for expeditious settlement of the claims:

In case of death

Claim form duly filled in and signed by the doctor and the dependants of the employee.

FIR/Police report copy

Post-mortem report

Death certificate issued by the Hospital/Municipal authorities

Certificate of employment

(B) Other than death

Claim form duly filled in and signed both by the employee and the attending doctor

Photo copies of bills/receipts, prescriptions indicating the line of treatment (In case originals are
used for Mediclaim)

Fitness certificate from the doctor

In case of partial or permanent total disablement, percentage of such disablement certified by
the doctor.

Certificate from employer substantiating the period of absence from duty.

Claim Procedure: In the event of any accident/accidental death to an employee, full details of
the accident and the resultant injury should be intimated to the HR/Administration Department.
Claim forms are available with the HR/ Admin Department.

Time Limit for putting up claims: The claims should be put up to the HR/ Admin Department
within 7 days from the date of fitness or death.



18. Development Discussions:

Development Discussion aims at finding tools for professional development and increased
motivation of the Employee by outlining targets and defining development needs that are
required to meet them. It also helps the employee to contribute to the success of the
organisation. During the discussion, Employees competence is compared to roles competence
requirements.

Superior supports the Employees professional development by coaching, target setting and by
giving feedback. Therefore Development discussion focuses both on future plans as well as
constructive assessment of previous years.

The Employee is considered accountable of his/her job, assessing his/her own strength and
areas for improvement, reviewing these on a regular basis, establishing the targets together
with the Superior and formulate a specific action plan in order to accomplish the targets.

Development discussion is an essential part of the continuous process of strategy
implementation and Employees professional development.
40


Companys competence management is mainly based on development and training needs
which appear from Development discussions.

Development Discussions Framework:
The process of development discussion will be divided in to 4 parts as given below.

I Evaluation of last year
Goals and targets achieved
Go through last years development plan
Evaluation of performance in job results, working attitude and competence

What prompted or prevented the achievements, plans and results

Example of additional questions:
What are you satisfied with in last year? Why?
What are you less satisfied with? Reasons?
How could we/you improve?

II Goals and targets for next year

Present main responsibilities and duties (for new employees or in changed responsibilities, Go
through Job Description)
Set goals and target based on strategy of the BA/Dept
Agree upon targets and goals & define action
Agree on target measurement/s

III Competence development and future
Questions/issues leading to the development area:
Personal expectations for development in long term perspective / career thoughts or wishes
What kind of competence would you need to achieve your development goals
Check if the goal is in sync with company/dept strategy
What competencies do you posses now?
Competence development plan for current duties
Competencies to develop (professional skills, personal skills, leadership skills)
Agreed ways and methods to develop the specific competencies
Responsible to conduct the specific development actions

IV Prerequisites for good performance
Employees job satisfaction
Motivation and coping at the moment
Co-operation with colleagues
Working atmosphere in own department /team / site
Plan for improvements
Feedback to superior
Development ideas / improvements for/in CITEC India

19. Grievances & feedback
Citec India is an open organization, where informed communication plays a very important role.
We encourage free communication and continuous feedback. Your manager would be the ideal
person to communicate your problems and ideas, since interaction with him/her is often. If
however you feel there are still some grievances which could not be solved by your Manager,
you are always free to approach the HR department. Expressing and communicating ones
thoughts, difficulties etc. is very good but suppressing it creates a vacuum for others, which can
be detrimental to you and also for the group. So please feel free to approach anyone in the HR
department. In the event of any difficulties or for that matter any senior person in the
41

organization with whom you feel comfortable.

20. Retirement Policy & Procedure

All employees of the company, otherwise than on contract basis, shall retire on completion of
the age of 58 years. The retirement shall be on the last working day of the month in which the
employee completes 58 years of Age.

HR will inform the employees about the retirement by a letter two months in advance, enclosing
all forms relating to the settlement.

The immediate superior will host the employee and spouse to a farewell tea party which the
retiring employee departmental colleagues will also attend. At this function Managing Director
will present the employee with a farewell memento.

All assets such as Car, telephone etc. Belonging to the company allotted to the employee must
be returned along with the relevant documents, permit and papers before the last working day.