Employee Handbook Manual

This project report gives an overview how Employee handbook and HR manual is framed, their importance in the company and the content of these two kits. The project was conducted at RMC readymix (India) pvt ltd. RMC India produce readymix concrete for construction purpose.

The RMC readymix India is only 11 years old company and they have 49 networked plants in 20 cities. The RMC’s HR department has its corporate office at Mumbai. They have centralized HR department.

All the HR functions are executed through corporate office. RMC’s HR department is not fully developed yet. They were not having proper Induction Kit, Employee handbook & HR manual for the smooth functioning of the organization. The employees were only provided with the following information:

• Working Hour

• System Policy

• Car usage Instruction

• Health & Safety Policy

• Mediclaim policy

• Group accident Insurance

• Medical reimbursement

• Gratuity

• Provident fund

• Grievance procedure

All above information was not sufficient for an employee as well as for HR department for smooth functioning of their work. Even it was presented in term of order and not as a guide.

HR department was facing many problems like:

• Due to lack of information all the RMC’s employees from all the plants all over India were not able to send the complete document so it makes the HR functions expensive as well as time consuming.

• In documentation of new joining,

• At time of mediclaim,

• All the time HR department has intimate employees & their supervisor about their responsibility.

Following are the problem which employees were facing:

• Seniors were not aware with all of their responsibilities.

• Employees were not aware of the rules & regulation to follow and responsibility towards organization.

• Conflict of interest,

• Employees were not aware of all benefit made for to them like; Training, education loan, loan for marriage & their eligibility criteria with procedure.

To make the RMC’s HR department more organized its need to know what other good organizations are following. To extract the information a survey was conducted in 15 companies to find whether they have two different kits or single and how it is beneficial to them. Even some of companies have shown their index.

Out of these 15 companies, 6 companies also had shown full content of their kit.

So after a discussion on survey, it was decided to frame Employee handbook and HR manual.

An informal interview was conducted at RMC India to find out the employee’s point of view about two kits, problem which they faced at the time of joining and their suggestion.

• WHILE PREPARING EMPLOYEE HANDBOOK FOLLOWING POLICY WAS FRAMED IN ADDITION TO THE EXISTING POLICY

• Code of conduct

• Conflict of interest

• Confidentiality

• Punctuality & Attendance

• Visitor policy

• Personal Records

• policy for no smoking, no alcohol & tobacco

• Sexual harassment at work place

• Loans to employee

• FOLLOWING POLICY WAS FRAMED WHILE PREPARING HR MANUAL

• Classification of employees on the basis of grade.

• Appointment of ex-employees

• Employment of near relation employees

• Performance Management system.

• Employee welfare plan

• Mentoring

• Career development & employee appraisal form

• CHANGES MADE IN EXISTING POLICY

• Travel policy

• Phone bills

• Vehicle policy

• Revised employee probation form

OBJECTIVE OF THE PROJECT

*OBJECTIVE OF THE PROJECT*

• To frame formal Employee handbook and HR manual for RMC India.

• To critically examine why employee handbook and HR manual is required in companies.

• To provide accurate knowledge to employees as well as managers and above regarding their responsibility, rules and regulation, various procedure and policy followed in their day to day activity.

• To reduce the work load of HR department as more of information will be circulated with the help of employee handbook and HR manual.

• To frame few policy which need to be included in employee handbook and HR manual.

RESEARCH METHODOLOGY

*RESEARCH METHODOLOGY*

OBJECTIVE OF RSEARCH

• To find out whether company follow two separate kits or only one kit.

• In taking decision, whether to frame one handbook or two.

• What they have named them.

• To collect all the detail to be included in employee handbook & HR manual.

• To find out the problem which employees were facing due to the lake of information.

• How it is beneficial to employees.

• How it help HR department.

RESEARCH INCLUDED

• Employees of RMC India

• HR Head of 15 Organizations.

LOCATION

• Mumbai

RESEARCH DESIGN

• Spent 1 week on data collection from 15 different organizations to find out whether they have two separate kits for their company.

• Collected the data through structured questionnaire.

• Around 3-4 weeks were spent for collecting the information relating to existing policy.

• 1 week were spent for identifying employee’s point of view or suggestion.

Sample size

• The sample size targeted to achieve the survey objectives were 10 employees at the staff level in RMC India.

• In deciding whether to frame handbook or manual a survey is conducted in 15 companies.

Source of information

• Primary data

• Structured Questionnaire.

• Personal informal interview.

The primary data regarding whether to frame handbook or manual was collected from questionnaires filled by HR- Head of 15 different companies. Due to the busy scheduled of HR head of other companies and their valuable time only 6 questions was framed in questionnaire that are related to our survey objectives. Questionnaire has both subjective and objective question. The data collected were first analysis, interpreted and final decisions were taken.

Also, the short interview was conducted of 10 employees to know what are the policies they need to know and problem face by them & HR department in day to day functioning.

During survey the HR Head of other companies and employees of RMC India were very supportive and corporative. They have answered fairly and truly which helped a lot in completion of project.

• Secondary data

Sources of secondary data:

• Books

• Other organizations manual

• Related websites

This data helped in framing Index as well as in framing policy.

REVIEW OF LITERATURE

*REVIEW OF LITRATURE*

A literature review is a body of text that aims to review the critical points of current knowledge on a particular topic.

“OR”

A literature review discusses published information in a particular subject area, and sometimes information in a particular subject area within a certain time period.

Well-written policies can both serve as an effective communication device and help you stay away from legal action or at least give you a better chance against prevailing law suits, says EJ Sarma

Employers should avoid developing one document to serve as both an employee handbook and a policies and procedures manual. Says EJ

• EMPLOYEE HANDBOOK

A step-by step plan for developing an employee handbook:

• How to determine your policies, practices and procedure.

• How to use the manual to help employees make adjustments.

• How to tailor information to accommodate change.

• Using a well written manual to support employees and supervisor.

By- SUSAN L.BROCK & SALLY R.CABBELL

An employee handbook (or employee manual or staff handbook) details guidelines, expectations and procedures of a business or company to its employees.

Employee handbook is given to all employees on their first day of job in the company, in order to acquaint them with their new company and its policies.

According to Federal and state laws, the growing number of cases of employees related to litigation against management strongly suggest that written statement of company policies is business necessity for firms of any size whether small or big. [en.wikipedia.org/wiki/Employee_hanbook]

• MENTORING

The origin of word ‘mentor’ goes back to the Greek epic poem The Odyssey. According to the myth, when Odysseus went away to fight, he left his son, Telemachas, in the care of a friend named ‘Mentor’. Mentor was also a tutor to Telemechas. The name ‘mentor’ has, therefore, become proverbial for a wise and supportive advisor. A close reading of myth reveals the relationship between Telemachas and Mentor to be of mutual benefit, with some versions of the myth even reporting Telemachas saving Mentor’s life.

[www.acer.ac.uk/skills_for_life_docs/training%20materials/Mentoring%20handbook2005.doc]

• How to develop successful mentor behaviour:

• Understand the unique role of mentors in the today’s workplace.

• Determine the most effective mentoring style for your situation.

• Established agreement to ensure a successful and rewarding relationship.

• Avoid behaviour that may interfere with mentee growth and development. By- GORDEN F.SHEA

• Performance management – A management process for ensuring employees are focusing their work efforts in ways that contribute to achieving the agency’s mission. It consist of three phases:

• Setting expectation for employee performance,

• Maintaining a dialogue between supervisor and employee to keep performance an track,

• Measuring actual performance relative to performance expectations. [www.osp.state.nc.us/manuals/manual99/pms.pdf]

INDUSTRY PROFILE

*INDUSTRY PROFILE*

Ready mix concrete industry in India is still in its infancy but it is an emerging sector. Ready mix concrete (RMC) is a ready to use material, with predetermined mixture of cement, sand, aggregates and water. RMC is a type of concrete manufactured in a factory according to set recipe or as per specifications of the customer, at centrally located batching plants.

Ready mixed is bought and sold by volume, usually expressed in cubic meters. RMC can be custom made to suit different applications. It is delivered to worksite, often in truck mixers capable of mixing the ingredients of the concrete en route or just before delivery of the batch.

This results in a precise mixture, allowing specialty concrete mixture to be developed and implemented on construction sites.

The second option available is to mix the concrete at the batching plant and deliver mixed concrete to the site in an agitator truck, which keeps the mixed concrete in correct form.

In the of centrally mixed type- the drum carrying the concrete revolves slowly so as to prevent the concrete from ‘segregation’ and also prevent its stiffening due to initial set.

However, in the case of truck mixed concrete, the batched material (gravel, sand and cement) are carried and water is added just at the time of mixing. In this case cement remains in contact with the wet or moist material and this phase cannot exceed the permissible period, which is normally 90 minutes.

The use of RMC is facilitated through a truck mounted ‘boom placer’ that can pump the product for ready use at multi storied construction sites. A boom placer can pump the concrete up to 80 meters.

RMC is preferred to on site concrete mixing because of the precision of the mixture and reduced worksite confusion. It facilitates speedy construction through programmed delivery at site and mechanized operation with consequent economy.

It also decreases labour, project time, site supervising cost and resulting in savings. Proper control and economy in use of raw material results in saving of natural resources.

It assures consistent quality through accurate computerized control of aggregates and water as per mix designs. It minimizes cement wastage due to bulk handling and there is no dust problem and therefore, pollution free.

However there are some disadvantages of RMC to-like double handling; which results in additional cost and losses in weight, requirement of godowns for storage of cement and large area at site for storage of raw materials. Aggregates get mixed and impurities creep in because of wind, weather and mishandling at site.

Improper mixing at site, as there is an ineffective control and intangible cost associated with unorganized preparation at site are other drawbacks of RMC. There are always possibilities of manipulation; manual error and mischief as concreting are done at the mercy of gangs, who manipulate the concrete mixes and water cement ratio.

Ready mixed concrete in its wet state is a substance hazardous to health and as such the employer of persons who may be exposed to it at work must carry out an assessment under the control of substances hazardous to health regulations 1994.

The first ready mix factory which was built in the 1930s, remained in a standstill position till 1960s, but continued to grow since then. The leading ready mix concrete suppliers worldwide are the Mexican concrete and cement company Cemex, and their main competitor is France based Lafarge.

The Ready mix concrete business in India is in its infancy. Where as in developed countries, nearly 70 per cent of cement consumption is in the form of ready mix concrete and 25% in the form of recast, in India; ready mix concrete accounts for less than 5% and

as much as 82% of cement consumption is in the form of site-mixed concrete. While 70% of cement produced in a developed country like Japan is used by ready mix concrete business there, here in India, ready mix concrete business uses around 2 per cent of total cement production.

There are several reasons for this; in early 70s both pricing and distribution of cement was controlled due to shortage of supply. Ready mix concrete technology could not be implemented as investor felt that ready mix concrete plant will starve due to non availability of the cement. The levy of additional taxes & duties on RMC, entry tax, excise duty also contributed to the slow development of the concept.

The growth of RMC is predominantly driven by demand from the metro cities. In cities like Mumbai; the mandatory use of RMC is in construction of flyovers provided the requisite impetus to the growth, according to ICRA analysis. RMC is particularly useful when the building activity is located in congested sites where little space is available for sitting the mixer and for stock piling of aggregates. The use of RMC is also advantageous when only small quantities of concrete are required or when concrete is to be placed only at intervals.

Even the concept of ready mix concrete is still catching up in the country, cement majors are keenly focusing on entering the new area in a big way. Anticipating huge potential for the product, cement majors, including Associated Cement Companies, Grasim, L&T , India Cement, Priyadarshini Cements, Chettined cement and Madra Cements are foraying into the RMC business and share of RM is expected to go up from present level of 5 % of the total cement production to the global average of 70 %, according to industry players.

The teething trouble has been overcome by the RMC industry and at the present there are over 37 RMC plants delivering over 1 lakh cubic meters of mixed concrete every month. RMC plants are working at Delhi area also.

Envisaging higher demand; the 16.4 million tonne cement major; ACC is planning to beef up its existing RMC infrastructure of 11 units with 2 new RMC units- one at Noida and other one in Mumbai, during the current year. During the last fiscal, Madras Cements set up two RMC plants near Chennai, with a capacity of approximately 9 lakh cubic meters, while Chettinad Cements installed an RMC facility near to Coimbatore. Grasim’s RMC business accounted for a turnover of Rs. 116 crore during 2003-04, against the turnover of Rs. 59.8 crore during the previous year.

For the growth of industry, government bodies, architects, contractors, engineers, private builders and individuals required to be made fully aware about the advantages of using the ready mix concrete. Government bodies and consultant need to include ready mix concrete as mandatory in their specification for execution.

Government specification for CPWD and PWD jobs should include ready mix concrete as mandatory item. Apart from this tax breaks are required for the growth of RMC and contractors/ developers need to be discouraged from piling up materials like sand, metal, etc. on foot paths and roads.

The materials to be used for making RMC should conform the requirements of IS 456:2000 or relevant code. Under the clause 9.2 or IS 456:2000, the RMC manufacturer has to guarantee the quality of concrete as they would be responsible to carry out the mix design which may be got approved the purchaser.

Advantages of ready mix concrete over site mix concrete

• Time required is greatly reduced.

• Labour associated with production of concrete is eliminated.

• Better quality concrete is produced.

• Elimination of storage space for basic materials at site.

• Wastage of basic material is avoided.

• Elimination of procurement, hiring of plant and machinery.

• The plants are located in the area zoned for industrial use only and yet the delivery trucks can service residential district or inner cities.

• Noise and dust pollution at site is reduced.

• A centralized concrete batching plant can serve a wide area.

Disadvantages of ready mix concrete.

• Concrete limited time span between mixing and going off means that ready mix should be placed with in 2 hours of batching at the plant. Concrete is still useable after this point but may not conform to relevant specifications.

• Access roads and sites have to be able to carry the weight of truck and load. Concrete is approx. 2.5 tonne per cubic meters. In UK, this problem can be overcome by utilizing so called ‘minimix’ companies, using smaller 4m3 capacity mixers able access more restricted sites. Examples of companies of this type in UK include Nimblemix, Micromix, Diddimix and Able mix.

• The materials are batched at central plant and the mixing begins at that plant; so that traveling time from the plant to the site is critical over longer distances. Some sites are just too far away though this is usually a commercial rather than technical issue.

Major cement players (Foraying into RMC business)

• Associated Cement Companies

• Grasim

• L&T

• India Cements

• Priyadarshini Cements

• Chettinad Cement

• Madras cement

• Ultra tech

• Birla Readymix concrete

• RMC Readymix (India) Pvt Ltd.

Some leading ready mix concrete suppliers world wide is the Mexican concrete companies PCM and Cemex; their main competitor is France based Lafarge.

Projection for future

• The growth in urban infrastructure and boom in the real estate business have been main drivers of growth in RMC business.

• The factors making RMC more attractive is that large construction projects, quality and time.

Ready mix concrete is expected to be the fastest growing market through 2012, increasing its position as the largest outlet for cement. Ready mix concrete companies account for a comparatively small but rising share of total cement demand in number of fast growing developing countries like china and India, where large scale construction project will require significant amounts of ready mix concrete. Consumer demand for cement will also expand at above average rate, stimulated by overall market increase in developing areas, where consumer sales can account for half or more of all cement demand.

Based on the demand for RMC equipment; manufacturers says that the industry has been growing at about 30 % yearly for the last 2-3 years and is likely to sustain at this level for the next few years.

COMPANY PROFILE

*COMPANY PROFILE*

No matter what its line of business, a company pedigree is the one core value that readily shines through and helps distinguish it from the competition. The decade which RMC Readymix (India) Pvt Ltd has spent in the marketing of ready mixed concrete, have helped in reinforcing and sharpen certain traits that the company has become known and respected for.

Such as setting benchmarks in best practices, quality assurance, customer service or driving up standard in health, safety and environmental protection and high degree of integrity, transparency and courtesy.

A venture of Hathway Investment Pvt. Ltd., RMC Readymix (India) Pvt. Ltd began commercial production in 1996. Under the guidance of RMC UK, the world largest producer of ready mixed concrete, RMC India broke new ground when it set up India’s first Ready mixed concrete plant using the world’s best machinery, quality assurance & quality control systems.

Over the years, this small step rapidly became a giant leap. Today, RMC India possesses the country’s largest installed capacity for commercial ready mixed concrete.

NETWORK

It has 49 network plants in 20 cities each with a capacity varying from 60 to 120 cubic meters. They are fully computerized and equipped with world’s latest control system.

QUALITY

Concrete is transported by meticulously maintained transit mixer, boom and line pumps to ensure that RMC India quality product reaches customer via high speed delivery system.

The quality assurance procedures practiced by RMC India are based on United Kingdom’s QSRMC (Quality scheme for ready mixed concrete). This scheme strictly monitors every stage of the entire business.

A prime instance of RMC India quality assurance system is the concept of retrospective control. Cube results obtained are further analyzed by the CUSUM (cumulative sum) Method.

CUSUM based on complex statistical model, predicts the ultimate strength of the concrete supplied, by continuously monitoring performance of the mix, picking up trends from early strength results (instead of 28 days wait) and suggesting immediate corrective action.

As a matter of fact, RMC India is the first and still only manufacturer in India to implement the CUSUM method to ensure batch wise consistency in concrete quality.

ESTABLISHING NEW FRONTIERS

In keeping with its role of pioneer, RMC India has successfully introduced special concretes such as:

• Fiber-reinforced Concrete which prevents Plastic Shrinkage Cracking and improves the abrasion and impact resistance of concrete.

• Coloured Concretes brighten up any environment.

• Temperature Modified Concrete minimises thermal cracking in mass concrete.

• Slurrified Microsilica Concrete is a high performance material for corrosive marine conditions, and in India, yet another RMC India first.

In addition, RMC India produces concrete that incorporates GGBS and PFA to enhance durability.

OUR PEOPLE, OUR PRIDE

One of RMC’s greatest strengths is its people. RMC India boasts of personnel who are not only highly qualified, but also richly experienced in all kinds of situations.

Whether engineer, office assistant or transit mixer operator, they bring to their work a passion for quality and service that is in harmony with the Company’s commitment to excellence.

In fact, all of RMC’s technical and sales personnel undergo preliminary as well as advanced courses conducted by the prestigious City & Guilds of London Institute (CGLI) and certain key members of the staff also receive training abroad.

As a matter of interest, it was RMC’s experts who were invited to participate in the drafting of the Revised Indian Code for Ready Mixed Concrete: IS 4926 an eloquent testimonial of industry recognition.

HEALTH, SAFETY AND ENVIRONMENT

The Company has always accorded high priority to this area of global concern insisting that HSE begin from the word go. Right from selection of a location, plant and machinery to the protection of people within the plant layout, this preoccupation with safety steers every aspect of RMC’s operations. When it comes to the environment RMC India leads the way.

All aimed at reducing the spread of dust emissions. The Company has also installed a waste water utilization system, whereby all water is recycled. And an annual contest has departments vying with each other for the RMC India Safety Trophy.

Last but not the least; RMC India is very clear about how it wishes to conduct business. Right from identifying, selecting and acquiring land for the setting up of units; to disclosure of the nature of ingredients used in the manufacture of its products and compliance with every governmental regulation in a timely and transparent manner, the

Company has laid down policy guidelines that are unrelenting in their emphasis on ethical business practice.

RMC India Follow the principle “Happy employees bring success to the Company”. The company believes that the right environment fosters high standards of professionalism and performance.

Its core values are respect for individuals, open environment and communication. The company endorses the view that businesses don’t deliver value to customers people do, and this is the spirit which guides its relationship with its employees.

LOCATION

Mumbai, Kolkatta, Bangalore, Chennai, Delhi, Mangalore, Hyderabad, Vishakhapatnam,

Trivendrum, Manipal, Surajpur, Indore, Ahmedabad, Jaipur, Pune, Goa, mohali, Lucknow, Coimbatore, Mysore, Ghaziabad, Noida & Surat.

MANAGEMENT TEAM OF RMC INDIA

INTRODUCTION OF THE TOPIC

• EMPLOYEE HANDBOOK

• HR MANUAL

*INTRODUCTION OF THE TOPIC*

HR policies are systems of codified decision framed by the organization; to support administrative personnel function, resource planning, performance management system, and employee relations.

• HR policies allow the organization to be clear with employees on:

• The nature of the organization.

• What they should expect from the company.

• What the company expects from them.

• How policies and procedures work at the company.

• What is acceptable and unacceptable behaviour.

• The consequences of unacceptable behavoiur.

The formulation of policies can help the organization to demonstrate that it meets requirements for training, diversity and ethics.

Sound employment policies provide the framework within which an organization governs its employee relation. A policies and procedure manual guides both the employees as well as managers, as to what is expected and can prevent misunderstanding about employer policy.

In addition to this supervisors and managers are more likely to consistently apply polices if they are clearly communicated in writing. It is probably the first line of establishing an affirmative defense strategy.

The company handbook and manual are one of the most important communication tools between the company and employees. Not only it set company expectations from their employees, but also describes what they can expect from the company. It is essential to have at least one manual that is also to be in clear term

Misunderstanding or misstatements can create legal liability for business. In legal disputes court have considered an employee handbook to be a contract obligation, so it should be word carefully.

Employers should avoid developing one document serve as both an employee handbook and a policies and procedure manual. Says ej sarma

EMPLOYEE HANDBOOK

EMPLOYEE HANDBOOK is given employees on the first day of his/ her job, in order to acquaint them with their new company and its policies.

The company employee handbook and related personnel policies is one of the first formal communications that company have with their employees after they hired. It removes the confidential information and gives the basic guidelines.

It acts as a guide for the employees whom they can not gather from the induction programmer as in the issues which are used in their day to day work and are very useful to them.

Employee handbook is distributed to each and every employee of the company to check with the rules and regulation of the company.

A company handbook also helps us to avoid legal problems. With regulation becoming more and more invasive, company can not afford to run a business in which they are hiring, firing, and managing employees without a written explanation of how the company is dealing with employment issues.

Growing number of cases of employee related litigation against management strongly suggests that a written statement of company policy is a business necessity for firms of any size.

• HR MANUAL

HR MANUAL is designed for the internal circulation of the HR Department.

• It provides the details relating to HR policy and procedure of the company.

• It includes the information relating to manpower planning, recruitment, training, employee administration, compensation and benefits, etc.

• HR manual is very confidential and only given to top level management or HR department.

• It helps the top level management in performing their duties or responsibility properly or on time.

• With the growth of an organization, various other processes may be added to it to keep the manual updated.

• HR department have to make sure that top level management have read this manual completely with clear mind set. So that they will not find any problem in implementing that rules and regulation.

• Top level management should follow same policy for all their subordinates like for performance appraisal, mentoring programme, employee welfare, exit interview, etc.

ANALYSIS & INTERPRETATION

*ANALYSIS & INTERPRETATION*

Due to the unavailability of written policy or employee handbook & HR manual following are the problem faced by HR department & Employees.

HR department was facing many problems like:

• Due to lack of information all the RMC’s employees from all the plants all over India were not able to send the complete document so it makes the HR functions expensive as well as time consuming.

• In documentation of new joining,

• At time of mediclaim,

• All the time HR department has intimate employees & their supervisor about their responsibility & mistake.

Following are the problem which employees were facing:

• Seniors were not aware with all of their responsibilities like giving feedback in proper way to their subordinates,

• Employees were not aware of the rules & regulation to follow and responsibility towards organization.

• Conflict of interest,

• Employees were not aware of all benefit made for to them like; Training, education loan, loan for marriage & their eligibility criteria with procedure.

INDUCTION KIT

First the decision was taken to frame INDUCTION KIT. Induction kit is given to new employees on their first day of job. It contained the detail like basic rules & regulation, benefit and procedure.

First the index was prepared and presented to HR-HEAD. He approved that and then all the policy were described in detail. Index is as followed:

• Welcome letter

• Company profile

• Organization Structure

• Management Team

• Location of RMC

• HR Philosophy

• Working hour policy

• Dress code

• Leave Rules

• Letter from HR- HEAD

• FORMS: Joining Report

Personal information Data

Bank A/C opening Form

Employee’s Provident Fund Scheme

EPF Nomination Form

Application for Transfer of EPF A/C

ESIC Form

Employee’s Pension scheme

After the completion of induction kit, it was presented to CFO and he guided to frame two kits one for employees and other one will be only for top level management and HR level.

• DETAILS OF SURVEY

Survey was conducted in 15 companies with the following objective:

• To find out whether company follow two separate kits or only one kit.

• In taking decision, whether to frame one handbook or two.

• What they have named them.

• To collect all the detail to be included in employee handbook & HR manual.

• To find out the problem which employees were facing due to the lake of information.

• How it is beneficial to employees.

• How it help HR department.

• RESULTS OF SURVEY

• In survey it was found that most of the company’s are more comfortable with two separate kits as every one will come to know their responsibility, eligibility, documentation & procedure.

• HR department don’t have to give any explanation to their employees regarding any policy.

• Few of companies have framed their manual with the help of expertise also for better presentation. Their manual was well presented, attractive, clear to the point, give positive impact & well framed.

• Many of the company don’t disclose the policy related to top level management in employee handbook. As per them there is no need to mention policy which is not relevant to employees in employee handbook.

They have also shown their index which helped in framing index for our handbook and manual. Few of the company provided the opportunity to see their manual completely, which helped in framing our manual policy.

So after a survey it was decided to frame two separate kits namely employee handbook for employees and HR manual for top level management.

• INFORMAL INTERVIEW WAS CONDUCTED AT RMC INDIA

An informal interview was also conducted at RMC India to know employees point view related to HR policy. Objective of interview:

• It was necessary to find out the problem which they faced at the time of joining related to documents, procedure and rules.

• As per them what are the information to be provided to new employees.

• Is company should have two separate kit for employees and top level management.

• RESULT OF INTERVIEW

They have suggested some policy to be put in employee handbook like, loan policy, travel policy, full details about leave rules and hospitalization benefit. They were agreed on the concept of two separate kits.

EMPLOYEE HANDBOOK

Employee Handbook acts as a guide for the employees which provides the information whom they can not gather from the induction programmer as in the issues which are used in their day to day work.

Employee handbook is distributed to each and every employee of the company.

With the help of information gathered from survey and interview, the index was prepared for employee handbook and presented to CFO.

He suggested some changes like:

• To introduce Loan policy.

• Put transfer policy.

• Mobile bills.

• Travel facility provided to managers and above.

After a discussion with HR Head all the above policies except the loan policy were mentioned in HR manual.

• CHANGES MADE IN EXISTING POLICY

• Some changes were also made in earlier policy like the amount mention in group accident insurance was wrong. And it was difficult to mention the entire amount as employees at different level are covered with different amount.

• Car usage instruction is now completely changed as it was decided not to provide new car facility to Manager and above. Instead of new car; car allowance and driver allowance will be provide to them. This policy will be mention in HR Manual.

• CONTENT OF EMPLOYEE HANDBOOK

• WELCOME LETTER

Guide line followed while framing welcome letter:

• Show the pleasure at the prospective employee’s decision to join the firm. Show sincere enthusiasm and confidence in the employee.

• Make a reader feel good about the decision to join the staff, with gentle reminders about the challenges and rewards of the future. You may make complimentary remarks about in the organization, the organization past successes, or the abilities and experience of the new employee.

• Offer any help you think may ease the employee adjustment to the new work environment.

• Use an informal tone.

• Be personal and specific in your comments, a welcome to the organization too often sounds like a form letter and losses its impact with vague generalities.

• COMPANY PROFILE

New employees must get brief details about the company in which they are going to work. They must be aware of the organization structure, management team and all the location where company has its branch or plant. All this information would be provided to new employee through employee handbook, as this handbook will be given on the first day of their joining.

• PROBATION

All new employees should be aware of the probation period or when they become permanent employee of that company. Different company follow different probation period 6 month, 9 month or 10 month.

At RMC India the probation period is not applicable for candidate at the level of Managers and above. For the new employees below the level of Managers, the probation period is 6 months. But some time in exceptional case when they feel that employee can improve their efficiency they extend their probation period for further 3 to 6 months.

This help the employees to learn more, improve their efficiency, motivates them to perform better and prove them self.

• EMPLOYMENT POLICY

It includes the followings:

• Code of conduct- code of conduct is application of corporate principle/ policy by the member of an organization in their work-life. The code of conduct applies to all employees, irrespective of their level, across all units and office the company.

Code of conduct includes how the employees have to behave with in the organization so that it will not effect company image, how to deal with customer and others, their responsibility towards the government, laws and environment.

• Working hour, dress code, leave rules, holidays, meetings, conflict of interest, punctuality, confidentiality, safety and security, visitor policy, personal records, rules related to smoking, alcohol, tobacco, and grievance procedure are all basic rules and regulation which every employee should know on their first day of joining. All this policy helps in maintaining discipline in the organization.

They must be aware about their limit for using office equipment and how to deal with them.

All Permanent employees of the Company are entitled for Privilege Leave (PL), Casual Leave (CL), Sick Leave (SL), Maternity Leave (ML), Paternity Leave and Bereavement Leave (BL).

• TRAVEL POLICY

The purpose of this policy is to set forth uniform procedure for local, domestic and overseas travels for business purpose, conference and training. It also ensures fair equal treatment for employees by defining procedure for authorized business travels and guidelines for expenses reimbursement. It includes the mode of transport for different level, how to do booking and rules for traveling for training.

RMC India follows economical mode of transports for all the employees irrespective of their designation.

Procedure for booking the ticket and cancellation of ticket is also mentioned in the policy.

At RMC India all the booking is done from registered office only. If employee is going for business trip have to stay in company guest house only. They will be only allowed to stay in hotel if company guest house is no their in that city.

• TERMINAL BENEFIT

Employees at the time of living the organization get the terminal benefits like provident fund, pension and gratuity.

Employees contribute a sum of 12% from his/ her basic salary towards their provident fund. The company also contributes an equal amount in the individual accounts of its employees.

Out of the company’s contribution, part of the contribution is paid into a pension fund maintained by the government.

Employee is entitled to make an application for withdrawing their PF accumulation only after a period of 60 days from the date of leaving the company. In case of resignation employee can transfer his/ her PF. Transfer formalities need to be initiated by the next employer.

Employees are eligible for pension only if they are continuous member of 10 years with the government provident fund. They get this pension when they cross the age of 60 years. They have right to reduce pension once they cross 50 years.

In the unfortunate event of the demise of the employee, his/her spouse will get pension as long as he/ she live and in the event of spouse’s death, the pension will be paid to minor children of the employee till they attain the age of 25 years or the child is married, whichever is earlier.

If he/ she have a continuous membership of less than 10 years, 100% accumulation will be paid to the member directly by the PF.

Employees are entitled for gratuity only if they complete 5 years of service in the same company. However, continuous service of 5 years is not required in case of death or disablement and gratuity would be paid even for shorter period of time.

The gratuity amount would be paid @ 15 days wages for every completed year of service or part thereof in excess of 6 months.

FORMULA FOR CALCULATING GRATUITY-

Basic salary X 15 days X no.of years completed

26 working days

Maximum limit for gratuity is 3.50 lakh.

• OTHER BENEFITS

Other benefit includes ESIC, Leave travel allowance and medical benefit and group personal accident policy.

Employee as well company contribute some % of their (employee) gross salary towards ESIC (Employee state insurance corporation scheme). As per these scheme employees are entitled to get medical benefits and wages for his/ her absenteeism from work on account of sickness.

Employees avail this benefit only from the hospital and chemist covered under ESIC scheme.

Leave travel allowance is mention in the appointment letter. Employees are entitled to claim LTA only after completing one year service with the Company, when they proceed on Privilege Leave. LTA not claimed during any particular year can be carried forward to the next year and claimed. If not claimed in next year, it will lapse. The pre-condition for claiming LTA is that an employee should take Privilege Leave of minimum 5 (five) days. LTA payments would normally be disbursed only 15 days before the date of leave.

The employees of the Company are entitled to the following schemes:

• Company’s Medical Reimbursement Scheme

• Mediclaim Policy Scheme

Medical expenses incurred by the employee are claimed:

• Through Medical Reimbursement Form.

• The form should be submitted with proper supporting like Bills, Doctors’ Receipts etc.

• The medical reimbursement can be claimed monthly.

• Unclaimed medical in part or full could be carried forward for a further period of two years.

• The limits for medical reimbursements are mentioned in the individual appointment letters submitted to the employees.

The medical allowance available to an employee could be carried over in all for 3 years.

• NOMINATION FACILITY

Employee can nominate their family member for the benefit like provident fund, gratuity and ESIC.

• SEXUAL HARASSEMENT AT WORK PLACE

The definition of sexual harassment will include nut not be restricted to the following:

‘Sexual harassment is such unwelcome sexually motivated behavoiur (whether directly or by implication) as:

• Physical contact and advances.

• Sexually coloured remark.

• A demand or request for sexual favours.

• Showing pornography, writing sexually loaded letters/ SMS/ emails.

• Or any other unwelcome physical, verbal or non verbal conduct of sexual nature.

Victim has full right to file a case against the same to their regional head.

Complain Committee is formed to investigate complaint of sexual harassment and make appropriate recommendation to the relevant management team.

In case the complaint of sexual harassment is proven to be true, the accused person will be subject to strict disciplinary action, up to and including termination of employment.

The victim of sexual harassment will have the option to seek his/ her own transfer.

In case the complaint registered is found to be frivolous or false or was made with a mischievous intension, the complainant will be liable to face strict disciplinary action up to and including termination of employment.

• LOAN FACILITY

The intention and purpose of providing the loan to an employee is only to meet any expenses which arise for the purpose of self/children’s wedding. However, this loan will be available for one child.

To get this benefit employee should be a permanent confirmed employee and should have a service of atleast 2 years.

• HOSPITALIZATION SCHEME

For the purpose of Mediclaim Policy, the term “family” would include the employee’s spouse and dependent children up to 21 years. However, the Medical Insurance Benefit would be subject to limit of 2 dependent children. Under this scheme the dependent parents would not be considered for the above benefit.

• POLICY REGARDING EDUCATIONAL ASSISTANCE TO EMPLOYEES

This policy is enumerated to provide guidelines to the employees who wish to purse further education during the course of employment in the company.

ELIGIBILITY CRITERIA:

• All confirmed employees who have completed two years in the employment of the Company.

• The course / Degree / Diploma etc. which is to be pursued, shall have direct bearing on the job content of the employee.

• The course / Degree / Diploma etc. should be from a Recognized University or a well known autonomous body.

• EXIT PROCESS

On the termination of employment for whatever reason, employee must return all books, documents, records, computer hardware/software, office or locker keys, mobile phone with simcard (if provided by company), Identity card and any other property belongs to company.

Following Forms need to be filled at the time of termination:

• Full and Final Settlement Form

• Exit Interview form

HR MANUAL

HR Manual is very confidential and only provided to top level management and HR department. It contains the detail like salary, PMS, transfer, recruitment process and the facility or benefit provided to Managers and above.

• CONTENT OF HR MANUAL

• CLASSIFICATION OF EMPLOYEE ON THE BASIS OF GRADE

It is very necessary divide the employee on the basis of basis of grade. It help in setting limit for their benefit like travel benefit, medical benefit, insurance, loan, training, etc.

With help of survey the employees of RMC India were categories in grade as given below.

GRADES

Senior Management Cadre

O-1 General Manager / Regional General Manager

O-2Deputy General Manager

Management Cadre

O-3Asst. General Manager

O-4Sr. Manager

O-5Manager

Middle Management Cadre

O-6 Deputy Manager

O-7 Asst. Manager

Junior Management Cadre

O-8SR. Executive / Sr. Officer

O-9 Executive

O-10 Officer

O-11 Asst. Officer

2. RECRUITMENT POLICY

Manager and above must know the company recruitment policy as they know quality and skilled required in their subordinate. They can give the request as per their requirement.

Recruitment of a candidate can be done from internal sources as well as from external sources.

Internal Sources: (with in the organization)

Organization can fill the vacant position by recruiting existing employee. Prior notice & circular will be given to all employees & then interested employee can apply for the same. Promotion & Transfer is also one of the tools of internal sources of recruitment.

External Sources: (out side the organization)

Organization can inform interested candidate regarding there vacancy through:

• Advertisement: Various media like news paper, journals & etc. are used for advertisement of vacancy. Detail like Job profile, qualification required, last date for applying, etc will be mentioned in the advertisement.

• Internet: RMC Readymix (India) Pvt Ltd have agreement with Naukri.com. If any vacancy arises at any branch and plant, then manager have to provide all information regarding vacant position like job profile, job specification, qualification required & etc to Head office. Accordingly HR Department will post the vacancy on Naukri .com & invite application.

• Placement Consultant: Company provides all information about vacant position to placement agency & accordingly they send interested candidate to company for further procedure. All Newspaper Advertisement will have to be approved by C.F.O & Head-HR. The placement charges are 8.33 % of CTC of recruited candidate.

This policy should also include:

• Employment of ex-employee

• Employment of near relation of employee

• Appointing authority

• Document to be submitted

• Recruitment of management trainees

3. PLACEMENT PROCEDURE

The basic purpose for issue of this procedure is for control of placement of employees at required plants, either by way of new recruitment or by transfer of employees across the plants.

PROCEDURE

• Appointment to be made only for budgeted positions or positions approved by Management.

• Once the interviews are carried out and a decision is taken on which candidate meets the company requirement, an offer letter is to be given to the concerned candidate by the General Manager for whose function the recruitment is being made.

• Once the offer letter is accepted, the candidate will have to prove himself medically fit through a clinic which the Company will decide.

• On the day an employee joins he will be given the following:

• Appointment letter – which will be signed as follow :

For G.M./Manager- ED & CEO

For other positions- CFO

The appointment letters for selected employees will be issued from Head Office and at that Point, placement of employee at a parent plant will be mentioned.

• Joining report form to be filled up by him/her.

• Fill up P.F. and E.S.I.C. (wherever applicable) Forms

• Open Bank A/c with Company’s Bankers for receiving salaries.

• Mediclaim Insurance Form

• The relevant parent plant’s Business/Operations Manager will be intimated about this Placement by way of a separate note. The Business/Operations Manager will also arrange to have his/her name included in the attendance muster for recording attendance of the employee.

• Copy of Appointment letter to be forwarded to Accounts Dept for including in pay roll.

• Before salary becomes payable, the following checks will be carried out:

a) Verification of facts mentioned in application form.

b) Letters sent to refrees – this should be done before appointment.

• Managers are required to conduct an induction session with newly recruited

Employee explaining Personnel Procedures, Health and Safety Procedures, and also Checking if Point ‘4′ mentioned earlier fulfilled.

This should be treated as an important part of procedure as this is one opportunity through which the Business/Operations can advise his/her team member in the easiest manner and get him/her to do the tasks expected from him/her. Further it also clarifies any doubts in the mind of a new employee.

• Once an employee has been allocated to a parent plant, he/she is expected to continue at the same plant.

• The services of an employee may be requisitioned by another plant and these could be on a short term temporary basis, or long term basis, or permanent basis.

Parent Plant

This is the plant to which an employee is allocated at the time of his/her original appointment.

4. COMPENSATION POLICY

OBJECTIVES

• To ensure that all employees remuneration is calculated correctly and paid in accordance with the conditions of employment.

• To ensure that the basis for payments and the amounts paid are authorized appropriately.

• To provide for production of pay slips, pay roll record and analysis of wages and salaries by the cost center.

Compensation policy should also include:

• Rules & regulation to be adopted

• Procedure for the payment of salary

• Break up salary like Basic, house rent allowance, educational allowance, transport allowance, special allowance, adhoc allowance, car allowance, driver allowance and medical & leave allowance.

• Deduction like PF, ESIC, professional tax, income tax, etc.

5. PHONE BILLS

In some cases company provide mobile phone to employees for business purpose. Employee should use company mobile only for Business purpose. This policy state the limit given to them and procedure to reimbursement. If any one uses the company phone for personal purpose, have to pay their personal call bill to company.

6. LEAVE RULES

Employees of the Company are entitled for different kinds of leave like privilege

Leave, casual leave, sick leave, Maternity Leave, Paternity Leave and Bereavement Leave. Leave rule must include the authority name for sanctioning the leave of different level of employees. Company also maintain leave card for recording the leave taken by employees.

7. INSURANCE POLICY

This policy ensures that all company’s properties are insured properly against all possible risks like fire, riots, earthquake, theft and all the company employees are properly covered under mediclaim and personal accident.

8. VEHICLE POLICY

Vehicle policy includes the vehicle facility provided to top level management & their eligibility criteria. It also states the reimbursement procedure of those who use their own vehicle for business purpose. Such employees can reimburse their petrol expenditure.

9. PERFORMANCE MANAGEMENT SYSTEM

Performance Appraisal is defined as ‘A two way discussion of past and present experience and achievements at work and using this as the basis for agreeing future development to the benefit of the organization and the employee’. The aim of appraisal is to facilitate development, motivate and improve performance of employees.

RMC India is fully committed to ensuring that all employees, irrespective of role, grade and location, are provided with the relevant knowledge, skills and experience to

enable them to perform their work effectively, and to develop their expertise and potential.

The Appraisal Process is a key tool in facilitating this commitment.

PURPOSE OF APPRAISAL

This appraisal has two equally important objectives:

• To know whether the employee understands his/her job and wha