HR POLICIES

POWER SYSTEM OPERATION

CORPORATION LIMITED
Corporate HR, New Delhi
 Message from Director (HR)

It gives me immense pleasure to release the updated and consolidated document of HR

Policies in POSOCO.
On formation as a fully owned Govt. of India Enterprise, POSOCO commenced
independent operations of National Load Dispatch Centre and Five Regional Load
Dispatch Centres w.e.f. 03.01.2017. With the approval of Board of Directors, all
HR policies of POWERGRID upto 03.01.2017 were adopted and are in use in
POSOCO since 03.01.2017. After 03.01.2017, POSOCO has made several amendments
in adopted HR Policies and has also introduced new HR policies with the approval of the
Competent Authority.
The HR policies adopted from POWERGRID and subsequently amended and updated on
Key HR Functions including Establishment, Perks and Benefits, Employee Welfare, Career
Development, Performance Management, Rewards & Recognition, Social Security etc. has
served as a backbone for implementing and governing HR affairs of POSOCO. Over a
period of time the need for consolidation of all HR polices was felt and thus this
consolidated document will serve as an ideal resource for HR policy matters in the
Company.
POSOCO being a knowledge-based organization, human resources are the most valuable
assets, and the growth of the Organization depends on the inclusion, commitment,
dedication and tapping of potential of each and every employee.
POSOCO management has always given utmost importance to ensure that employees
remain highly motivated and contribute their best for the Organisation, and policies which
are based on equitable, transparent and fair principles do contribute towards this
endeavour.

The hall mark of a good policy is not only its coverage but also the manner in which it is
communicated. I hope that the updated and consolidated document of HR polices brought
out by Corporate HR Group will raise employee awareness and appreciation of the HR
Department and will foster efficient delivery of HR services paving the way for satisfied
and productive workforce.

I congratulate and appreciate the efforts of the HR team to compile and update HR
policies.

Meenakshi Davar
Director HR
 Message from Sr. General Manager (HR)

Corporate HR is delighted to inform that HR Policies in POSOCO have been updated and
consolidated. The consolidated document comprises of HR policies adopted from
POWERGRID upto 03.01.2017 with the approval of Board of Directors of POSOCO and the
amendments and new policies introduced thereafter with the approval of the Competent
Authority in POSOCO.

Corporate HR in POSOCO strives to provide the organization with trained and motivated
employees, to inspire and nurture talent by ensuring that employees have the opportunity
to grow within the organization and progress in their careers, to formulate an employee
reward and recognition system that is fair, transparent and justifiable, and to encourage
employee empowerment, growth and development of individuals by realizing their
potential, encouraging innovative ideas and fair distribution of rewards.

One of the key objectives of Corporate HR is to provide a dynamic framework of HR Policies

and Procedures for the effective utilization of Human Resources. These HR Policies are well
defined, time tested and transparent, generally connected with the Employee Welfare,
Employee Engagement, Social Security, Hiring, Career Development, Employee Perks &
Benefits, etc. structured to motivate and engage employees for delivering their best.
Conduct Rules are in place for ensuring that the conduct of employees is in sync with the
actions required for the achievement of organizational objectives.

The consolidated document comprising of the updated Policies in various areas of HR will
not only help in building awareness and easy availability of information to the employees
of the various rules and provisions governing HR function, it will also help in generating
interest in the company and building POSOCO reputation as an Employer of choice.

I hope that the consolidated document of HR policies will help in promoting the objectives
of Organisation and will elevate the levels of HR service delivery contributing to higher
levels of Employee motivation and morale.

I congratulate the HR Team in their efforts in compilation and preparation of consolidated

document of HR Policies.

Nishdeep Singh
Sr. General Manager (HR)
POWER SYSTEM OPERATION CORPORATION
LIMITED
INDEX OF HR POLICIES

S.No. Policy Page No.

1. Service Rules 1-21
2. Guidelines for Disciplinary Procedure 22-74
3. Pay Scales 75-80
4. Dearness Allowance 81-82
5. Guidelines on Engagement of Contractor’s Workers & Staff 83-89
6. Policy Guidelines to Govern and Regulate Recruitment of 90-94
Casual Employees
7. Policy for Engagement of Individual Consultants and 95-101
Consulting Firms/Agencies
8. Annual Performance Assessment of Supervisors and 102-105
Workmen
9. Annual Performance Assessment of Executives 106-117
10. Workmen Promotion Policy 118-135
11. Supervisors Promotion Policy 136-145
12. Executives Promotion Policy 146-158
13. Rajbhasha Guidelines 159-188
14. Whistle-Blower and Fraud Prevention Policy 189-198
15. Leave Rules 199-225
16. Scheme for Child Care Leave 226-232
17. Travelling Allowance Rules 233-285
18. Leave Travel Concession Rules 286-305
19. Benefits to Employees Posted in Hardship Station 306-310
20. Employees Defined Contribution Superannuation Benefit 311-341
(Pension) Scheme
21. Employees Gratuity Fund Rules 342-367
22. Employees Family Economic Rehabilitation Scheme 368-382
23. Scheme for Payment of Funeral Expenses 383-385
24. Employees Contributory Group Insurance Scheme 386-390
25. Group Insurance (Ordinary) Scheme 391-392
26. Group Personal Accident Insurance Scheme 393-406
27. Employees Conveyance Advance Group Insurance Scheme 407-416
28. Employees HBA Group Insurance Scheme 417-424
29. Accelerated Career Growth Scheme (ACGS) 425-431
30. Facilities for Higher Studies 432-440
31. Workers Education Scheme 441-445
32. Merit Award Scheme 446-449
33. Merit Award Scheme for Children of Employees 450-455
34. Incentive Scheme for National & All India Awards 456-462
 35. Incentive Scheme for Acquiring Higher/ Additional 463-472
Qualification
36. Scheme for Grant of Non-Monetary Incentive 473-475
37. Employees Suggestion Scheme 476-489
38. Incentive Scheme for Acquiring of Proficiency in Hindi 490-500
39. House Rent Allowance 501-510
40. Special Allowance 511-512
41. Perquisites and Allowances 513-521
42. Overtime Allowance 522-527
43. Monthly Reimbursement of Conveyance Expenditure 528-541
44. Scheme of Mobile Phone facility for Employees 542-546
45. Laptop to Employees Including Trainees 547-554
46. Liveries 555-559
47. Scheme for Supply and Distribution of Meal Vouchers to 560-566
Employees
48. Benefits to Employees Posted in Foreign Countries for 567-577
Consultancy Assignments
49. Performance Related Pay (PRP) Scheme 578-583
50. Medical Attendance & Treatment Rules 584-622
51. Employees Medical Health Check-Up Scheme 623-627
52. Contributory Scheme for Post-Retirement Medical Facilities 628-638
53. Contributory Scheme for Medical Facilities to Spouse and 639-641
Minor Children of Deceased Employee
54. House Building Advance Rules 642-750
55. Conveyance Advance Rules 751-780
56. Children Higher Education Advance Rules 781-796
57. Contingency Advance Rules 797-813
58. Multi-Purpose Advance Rules 814-818
59. Allotment of Residential Accommodation Rules 819-832
60. Rules for Company Lease Residential Accommodation for 833-842
Executives
61. Guidelines for Providing Guest House/ Transit Camp 843-846
Accommodation
62. Guidelines on Welfare Facilities 847-856
63. Guidelines for Sports 857-866
64. Acknowledgment of Service of Retired Employees 867-869
65. Corporate Social Responsibility and Sustainability Policy 870-878
66. Grievance Procedure for Employees 879-892
67. Safety Policy 893-897
68. Guidelines on (i) Reporting of Accident, (ii) Constitution of 898-912
Enquiry Committee and (iii) Conducting of Enquiries in Case
of Accidents
69. Honorarium Policy 913-918
70. Pay Fixation Rules 919-933

Recruitment Policy & Procedures, Conduct Discipline & Appeal Rules, HRD Policy,
Knowledge Management Policy, and Faculty Engagement Procedures &
Guidelines are being studied and will be uploaded shortly. Till then older versions
of Policies and related Circulars will continue.
SERVICE
RULES

Page 1
 POWER SYSTEM OPERATION CORPORATION LIMITED
SERVICE RULES

1.0 Short Title

1.1 These Rules may be called Power System Operation Corporation Ltd.
Service Rules.

2.0 Definitions
In these rules, unless there is anything repugnant in the subject or context:

(a) “Appointing Authority” in relation to an employee means the authority

empowered by the management to make appointment to the category or
grade of post in which the employee for the time being is included or to
the post which the employee for the time being holds.

(b) “Board” means the Board of Directors of the Corporation.

(c) “The Corporation” means the Power System Operation Corporation Ltd.

(d) “Competent Authority” with reference to the exercise of any powers

under the Rules means the Executive or Authority to whom such powers are
delegated by the management either in general or in particular.

(e) “Management” means the Board of Directors and if authorised by the

Board, the Chairman and Managing Director or any other Executive of the
Corporation so authorised.

(f) “Apprentice/Trainee” means a learner who is paid a stipend during the

period of his apprenticeship/training excluding apprentices taken under
Apprentices Act 1961.

NOTE:
The terms and conditions of employment and the period of training of all
apprentices/trainees will also be governed by the contract of
apprenticeship/employment and service bond and will be subject to the
rules or orders framed by the management from time to time.

(g) “Casual Employee” means an employee whose employment is of

occasional or casual nature.

(h) “Daily Rated Employee” means a casual employee appointed on daily

wage rates.

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 (i) “Employee” means a person appointed to a post in the Corporation to do any
work.

(j) “Part-time Employee” means an employee who is not appointed to work on

full time basis.

(k) “Probationer” means an employee who is provisionally employed with a

view to being considered for appointment on the regular establishment of the
Corporation.

(l) “Regular Employee” means an employee who has been engaged in a

vacancy on the regular establishment of the Corporation and, except in the
cases of those who are exempted from probation as laid down hereunder, has
been declared in writing to have satisfactorily completed his probation
period in one or the other post.

(m) “Temporary Employee” means an employee who has been engaged on a

temporary basis or against a temporary post for a specified period or for work
which is of an essentially temporary nature, likely to be completed within
a specific period.

(n) “Employee on Deputation/Foreign Service” – when an employee of

some other organisation is deputed for service in the corporation at its
request or vice-versa he is said to be on “Deputation/Foreign Service”.

(o) “Notice” means any communication in writing given or affixed on the

notice board.

(p) “Notice Board” means the Notice Board specially maintained in a

conspicuous place at or near the main entrance or entrances of the
establishment for the purpose of displaying notices.

(q) “Executive” means an employee holding a post in the executive cadre of the
Corporation.

(r) “Non-Executive” means an employee who is not an executive.

3.0 Classification of Employees

3.1 The employees of the Corporation shall be classified as:
(a) Regular
(b) Probationer
(c) Temporary

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 (d) Casual/Daily Rated/Muster Roll
(e) Part-time
(f) Apprentice/Trainee
(g) On deputation/ Foreign Service
These employees are further categorized as Executives and non-
Executives.
4.0 Scope and Application
These Rules shall be applicable to all employees of Power System
Operation Corporation Ltd. except:

(a) Employees on deputation and/or Foreign Service from the Government,

Public Sector Undertaking or Semi-Government Organisation unless the
terms of deputation/Foreign Service otherwise stipulate.

(b) Casual/Daily Rated/Muster Roll/Part-time employees in whose case, Rules

6, 11, 12, 13, 14, 20, 22, 24 and 26 and other provisions of other Rules
specifically made applicable, wholly or partially, to such employees shall,
however, apply.

(c) Any other employee who may be excluded, at the discretion of the
Management, from operation of any or all of these Rules, wholly or partially.

5.0 Exhibition of Service Rules

A copy of these Service Rules (and orders passed by the management in
pursuance thereof) shall be affixed on the Notice Board.

6.0 Amendments to and Interpretation of Service Rules

6.1 These Service Rules may be amended, modified, altered or rescinded from
time to time by the Board and shall take effect in accordance with the orders
issued.

6.2 All amendments, modifications, alterations or additions made to these

Service Rules and any notices, orders or instructions issued thereunder shall
be notified from time to time and affixed on the Notice Board.

6.3 The Chairman & Managing Director may relax any of these Rules to
mitigate the hardship caused to any employee or class/category of employees,
at his discretion for reasons to be recorded by him. He may also make
supplementary rules/orders to give effect to the objective of these rules
including any procedural changes.

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 6.4 If any doubt arises relating to the correct interpretation of these Rules, the
decision of the Management thereon shall be final and binding.

6.5 These Rules shall be subject to the Corporation’s Articles of Association

7.0 Appointments
Subject to the POSOCO Recruitment Policy and Procedure, the following
conditions shall apply to all appointments in the Corporation.

7.1 Age
7.1.1 The age of a person at the time of appointment to the service of the
Corporation shall not be less than 18 years and shall not exceed the
upper age limit, including any relaxation thereof, as prescribed by the
management.

7.1.2 i) Every employee must declare, on his first appointment, his date of birth
according to the Christian era, and produce confirmatory evidence like
Matriculation or School Leaving Certificate, evidence as may be acceptable
to the management.

ii) If an employee is unable to produce, for reasons beyond his control,

documentary evidence of his age, he shall state his age and make a
written affidavit sworn before a Magistrate/Oath-Commissioner making a
declaration (Service of an employee giving a deliberately false affidavit
are liable to be terminated) that the age as stated by him is correct.
Where an employee is unable to state his exact date of birth, he can state
approximately the year or year and the month in which case the 1st of July in
the former case & the 1st of the month in the latter case will be treated as
the date of birth.

iii) In all cases referred to in clause (ii) above, the age of an employee as
stated in the affidavit will be accepted and entered in the records of the
Corporation subject to the condition that the said age is certified as correct
to the best of his judgement by the Medical Officer authorised by the
Corporation for the purpose. The opinion of the Authorised Medical
Officer, who may subject the employee to any medical test as he deems fit,
shall be binding on the employee in this regard.

The date of birth recorded with the Corporation at the time of his
appointment shall not be altered except in cases of clerical error or on
production of conclusive documentary evidence as stipulated herein
alongwith reasons for non-production of such evidence earlier.

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 7.2 Conviction by Court etc.
7.2.1 The fact about any criminal proceedings pending in any court of law,
conviction by a count of law or any other fact which could debar him from
entering into the service of the Government/public undertaking or
existence of any subsisting contract of service with any other employer
must be clearly conveyed at the time of making application and
subsequently, if such a thing has happened after submission of the
application or obtaining appointment or joining the service of the
Corporation.

7.3 Medical Fitness

Every candidate (other than a deputationist) appointed to a post in the
Corporation shall be required to undergo a medical examination by the
Corporation’s authorised doctor/medical board. In case of a deputationist
getting absorbed in the services of the Corporation, he shall be required to
undergo medical examination at the time of his absorption. All
appointments will be subject to the candidates’ medical fitness as per
prescribed standards for the post. The opinion of the Corporation’s
authorised doctor/medical board in this regard shall be final. This shall,
however, not apply to an internal candidate of the Corporation who has
already been medically examined and declared fit at the time of his initial
appointment. An employee shall be liable to be medically examined any
time during the period of his employment with the Corporation.
7.4 Verification of Character and Antecedents
Confirmation on initial appointment in the Corporation shall be subject to
satisfactory verification of character and antecedents in the prescribed
form by the prescribed authorities in accordance with the directives issued
by the Government from time to time, except in the case of employees who
are selected from Govt./ Semi Govt. / PSU, provided however that in such
cases copies of the verification reports or a certificate to that effect is
obtained from his previous employer before the employee is confirmed in the
service of the Corporation. Such verification, if considered necessary, may
be obtained subsequently at any time during the course of employment.

8.0 Liability for Service

8.1 An employee in the service of the Corporation shall be liable to be
transferred to any of RLDCs/NLDC/CC or any other place or location or
job where he may be posted for any of the Corporation’s work in any part of
the country or abroad as may be required by the competent authority.

8.2 An employee shall be liable to be transferred on deputation/foreign service

to any Department of the Government or any of the Public Sector

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 Undertaking anywhere in India or abroad at the discretion of the
Management subject to the condition that the terms and conditions in the
totality on such transfer shall not be inferior to those applicable to him in
the Corporation immediately prior to the transfer.

8.2A Deputation of employees to Companies where POSOCO has equity

participation
(i) A regular employee of the Corporation shall be liable to be transferred on
deputation to a Company anywhere in India or abroad wherein POSOCO
has equity participation at the discretion of the management. The terms
and conditions of service of employee while on deputation in the said
company in totally shall not be inferior to those applicable to the employee
in the Corporation immediately prior to the transfer. Such deputation
request shall be processed in the overall interest of POSOCO and will be on
approval of the competent authority. Deputation of employees to such
companies shall be on prescribed terms and conditions.

(ii) The period of deputation will generally be for a period of two years and
may be extended at the discretion of the competent authority.

(iii) Employees on deputation to such companies will be considered for

“Proforma promotion” during the period of deputation if they are otherwise
eligible and in accordance with the rules and practices of POSOCO.
However, financial benefits on promotion of such employees shall accrue
only from the date they resume duty in POSOCO and on assumption of
charge of the post which they have been promoted.

(iv) Request for resignation of an employee on deputation to such companies can

be considered only on repatriation first to the substantive post. His release,
however shall be settlement of dues.

(v) Further, deputation to these companies shall be subject to the condition that
liability of POSOCO in any circumstances should not exceed the amount
which POSOCO would have incurred had the employee remained in
POSOCO.

8.3 Liability for Defence Service

All Engineering Graduates appointed to any post in the Corporation shall, if
so required by the appointing authority, be liable to serve in any of the
Defence Services or in posts connected thereto for a period upto four
years including the period spent on training, if any, provided that unless
the Govt. of India decides otherwise, such persons shall not –

a) be required to serve as aforesaid after the expiry of ten years from the date

POSOCO SERVICE RULES

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 of their appointment;

b) ordinary be required to serve as aforesaid after attaining the age of 40

years in the case of Engineering Graduates.

9.0 Probation and Confirmation

9.1.0 Unless otherwise provided in the terms of appointment or any other
agreement or award, the following rules shall govern the probation and
confirmation of an employee;

9.1.1 All employees on first appointment in the service of the Corporation

including employees appointed to a higher grade on the basis of an open
selection shall be placed on probation for a period of one year during
which period their performance will be watched with a view to determining
their suitability for confirmation against the regular post.

9.1.2 The following categories of employees shall be exempted from the

requirement of probation :
9.1.2.1 Permanent employees of the Government and Semi-Government
organisations and regular employees of public sector undertakings who
join initially on deputation/foreign service for a period prior to their
permanent absorption in the service of the Corporation.

9.1.2.2 Permanent employees of the Government and Semi-Government

organisations and regular employees of public sector undertakings who are
entitled to retain lien in previous posts as per rules of the said organisations
provided they surrender their lien on the service of the previous employer.
Provided that where an employee chooses to retain lien on the service of
the previous organisation he may do so subject to the condition that the
Corporation shall bear no liability, whatsoever on that account.

9.1.3 An employee who is on deputation/Foreign Service or an employee who

retains lien on the service of the previous employer shall be deemed to be
confirmed as a regular employee with effect from the date he surrenders his
lien on the service of the previous employer. In respect of other
employees who are exempted from probation under these rules, they shall
be deemed to be confirmed as regular employees with effect from the date
of joining the service of the Corporation.

9.1.4 The period of probation may be extended at the discretion of the Competent
Authority, but will not be extended by more than one year save for
exceptional reasons to be recorded in writing.

9.1.5 Unless exempted under these Rules, every employee appointed in the

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 Corporation’s service will be issued a formal order of confirmation on
satisfactory completion of probationary period or the extended period of
probation, as may be applicable. The employee will be deemed to be on
probation until so confirmed in writing.

9.1.6 An order relating to confirmation or extension of probation will normally be

communicated within one month from the date of completion of the
probationary period or extended period or probation. Non-compliance of
this stipulation will not, however, result in automatic confirmation of the
employee.

9.1.7 If during the probationary period or extended period or probation, the

performance, progress and general conduct of the employee are not found
satisfactory or upto the standard required for the post, his services are liable
to be terminated at any time by giving such notice or payment of salary in
lieu thereof without assigning any reason, provided hereinafter.

10.0 Training
10.1 Employees are liable to undergo such training/induction/refresher courses for
such period and undertake such examinations/tests, as may be prescribed by
the management from time to time.
11.0 Hours of Work and Attendance
11.1 Every employee shall comply with such instructions as are issued from
time to time relating to attendance, arrival and departure, the period and
hours of work for different classes of employees. Every employee shall be at
work at the time fixed and notified by the Competent Authority from time
to time.

11.2 Attendance shall be marked daily according to the method prescribed by the
Management from time to time.

11.3 Employees who are required to sign in attendance register will mark the
time of reporting for duty as per instructions issued by the competent
authority from time to time.

11.4 Absence from duty including absence due to late coming, shall be reckoned
as follows:-

11.4.1 An employee who does not report for duty on time may not be taken on
work, and his absence for the day will be treated, at the discretion of the
Competent Authority as leave with or without pay as absence from duty.

11.4.2 Nothing in this rule shall prejudice the right of the Management/Corporation

POSOCO SERVICE RULES

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 for deduction of wages for the period of absence and/or for taking
disciplinary action against the delinquent employee as per Conduct,
Discipline & Appeal rules.

12.0 Leave & Holidays

12.1 The list of festivals/closed holidays shall be notified by the management in
the beginning of the year or at any time thereafter, if necessary.

12.2 Casual employees will be entitled only to the three National Holidays
subject to their being on duty on the working day preceding and succeeding
the holiday.

12.3 Entitlement & Sanction of leave will be regulated as per provision under
Leave Rule.

13.0 Entry and Exit

Every employee shall enter and leave the Corporation’s premises by such
gates as may be prescribed. Employees entering or leaving the premises are
liable to be detained and searched by such staff as may be authorised for
this purpose by the management.
14.0 Identity Cards
14.1 Every employee of the Corporation would be provided with an Identity
card.
14.2 Every employee shall show his identity card if required to do so by the
representative(s) of the Corporation authorised to check the card and
regulate entry of persons to the premises of the Corporation.

14.3 The first issue of the card will be free of charge. Loss of the card shall
immediately be reported by the employee to the management. A new
card shall be issued on payment of rupees five only.

14.4 Every employee leaving the service of the Corporation for any reason
whatsoever, shall surrender his Identity Card.

15.0 Change of Address

15.1 Every employee must notify to the management his residential address on
joining the Corporation’s service and must also notify any changes therein.

16.0 Payment of Wages During Employment

16.1 Wages due to an employee shall be paid before the expiry of the
seventh/tenth day after the last day of the wage period in respect of which the
wages are payable in accordance with premises of the Law.

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 16.2 Any wages due to an employee but not paid on the prescribed day on
account of their being unclaimed shall be paid on subsequent working
days on demand by the employee during the time fixed by the
management.

16.3 All claims for unclaimed wages must be submitted within three years from
the date on which the wages became due to the employee. If no claim is
made for the unclaimed wages within a period of three years, the claim
would be treated as time-barred.

16.4 Deduction from Wage bills

16.4.1 Deductions from the wages of an employee may be made for the following
purposes :
i) For house accommodation provided by the Corporation.

ii) For amenities and services supplied by the Corporation.

iii) For recovery of advances or for adjustment of over-payments.

iv) Income-tax or any other tax levied by the Government.

v) Deduction required to be made by orders of a Court or other authority

competent to make such order.

vi) For refund of any advance taken from the Employee’s Provident Fund.
vii) Deductions made with the written authorisation of the employee for :

1) payment of Life Insurance Premium or for the purpose of purchase of

Government securities or investment in small Savings, Securities or the
like as may be decided by the Corporation.

2) payment of subscription or other charges due to any of Employee’s clubs

duly recognised by the Corporation.

3) payment of subscription or contribution to Provident fund or any other

Fund sponsored or approved by the Corporation or to comply with any
statutory requirement.

viii) Deduction of amounts due to the Corporation from an employee on any

account.

ix) Any other deductions made with the written authorisation of the employee
concerned.

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 x) Fines.

xi) For unauthorised absence from duty.

xii) For damage to or loss of goods expressly entrusted to the employee for
custody or for loss of money for which he is required to account.

17.0 Overtime
The management reserves the right to require any employee to work
overtime including work on weekly holidays and festival holidays in
accordance with the instructions of the management issued from time to
time. He is also liable to be called for duty at any time. For such overtime
work done, compensatory off or overtime allowance payment as
admissible under the rules/law, will be allowed to such categories of
employees and at such rates as may be specified by the management from
time to time.

18.0 Pursuing Higher Studies

Any employee who wishes to acquire higher/additional qualifications by
pursuing any course of education/training in any institution either by
attending such course(s) personally or through postal coaching, may do so
only after obtaining specific sanction of the Management. Such permission
will not be accorded in case it is considered that same will interfere with
the proper performance of his duties.

19.0 Official Tours

An employee shall be liable to proceed on tour in the course of his official
duty to any place within India or abroad as and when so required by the
Management for which he shall be paid as per TA rules of the
Corporation.

20.0 Removal of Books, Drawings and other Papers etc. outside

Corporation’s Premises
20.1 No employee shall carry with him outside the office premises any papers,
books, drawings, photographs, instruments, apparatus, documents or any
other property of the Corporation except with the approval of the competent
authority.

20.2 Any documentation or information received or obtained by an employee,

during the course of his official duty, from outside sources shall be the
property of the Company.

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 21.0 Inventions
21.1 Within one month of taking up employment with the Corporation, it shall
be incumbent on every employee who has taken out or applied for, either
individually or jointly with any other party, patents or is in possession of
any inventions/discoveries, to furnish to the Corporation a list of such
patents taken out or applied for and the titles and nature of the
inventions/discoveries in his possession and demonstrate if so required by
the management.

21.2 In the course of any investigation undertaken by him in the employment of

the Corporation or within a period of five years after the termination of his
employment with the Corporation, if any employee makes any invention
or discovery which can be reasonably deemed to be in consequence of his
employment in the Corporation, he shall forthwith disclose to the
Corporation full and complete description and nature of the said invention
and the mode of performing the same. He shall not publicise the results
without the approval of the Corporation. The Corporation shall have the
absolute discretion to adopt, use, permit, assign, change or transfer patents
for such inventions/discoveries.

22.0 Safety
Employees shall be bound to observe safety rules as notified from time to
time by the management and to use safety equipment and take other
precautions as are necessary. Breach of safety regulations shall be deemed
to be misconduct and the employee shall be liable to punishment.

23.0 Forwarding of Applications for Employment elsewhere

23.1 For employment outside POSOCO.

23.1.1 During probation period, normally no application will be forwarded.

23.1.2 Subject to 23.1.3 after an employee has been promoted, no application will
be forwarded during the first year after promotion. Thereafter one
application per year may be forwarded.

23.1.3 If an employee has completed his probation on his initial appointment and
has been confirmed, no application will be forwarded during the first year
from the date he has been confirmed, thereafter, one application per year may
be forwarded.

23.1.4 Regular employees of POSOCO who are selected for appointment in other
Government/Public Sector Organisation against applications duly
forwarded by the Corporation may, on specific request, be permitted at the
discretion of the management to retain lien in POSOCO for a period of

POSOCO SERVICE RULES

Page 13
 one year, subject to the condition that leave salary contribution and CPF
contribution (both the employee’s and employer’s shares) are paid to
POSOCO either by the employee himself or by the new employer.

23.1.5 Applications from persons who have executed service bonds with
POSOCO will not be forwarded during the period for which they are liable
to serve the Corporation in terms of the service bond.

23.1.6 Applications from employees who remain in the same scale of pay for a
period of five years or more, may be forwarded without any restriction on
the number of applications.

Note: Issue of No objection Certificate for interview

If an employee is unable to route his application through proper channel
because the advertisement has not mentioned about the same or because
of shortage of time, at the time of interview, he may be issued NOC only
if such a request is accompanied by a photo-copy/attested copy of the
advertisement and if according to the last date of receipt of application as
mentioned in their advertisement, the employee concerned was eligible for
getting his application forwarded.

23.2.0 For employment in Corporation’s RLDCs, NLDC and Corporate Centre.

23.2.1 Applications of departmental candidates in response to open advertisement

or internal circulars from any employee of the Corporation for appointment
to the next higher grade may be considered if the applicants have served a
minimum of two years in their existing scale of pay. If, however, an
employee satisfies the specifications for the post advertised or circulated
as the case may be, the requirement of a minimum service of two years
may be relaxed at the discretion of the management.
Note 1:
In case of such supervisors in Technical category who qualify in AMIE, a
total of six applications per year can be forwarded for outside job based on
their individual requests.

Note 2:
Internal candidates may apply for posts in the next higher grades advertised
or notified openly in the press or elsewhere including employment
exchange, subject to the following conditions.

(a) Internal candidates must have served for a minimum of 2 years in his
existing grade in POSOCO.

(b) Internal candidates must fully satisfy the job requirements and specifications

POSOCO SERVICE RULES

Page 14
 as advertised or notified including the minimum period of service in the
specified grades.

Reference date for (a) and (b) above will be last date of receipt of applications
as stated in the advertisement or notification. For the purpose of
determination of length of service in the specified grade under condition (b),
seniority weightage granted at the time of initial appointment will be taken
into account.

24.0 Termination of Service

24.1 Eventualities:
Subject to the provisions of law for the time being in force, an employee’s
services may be terminated in any one of the following ways:-
a) Termination in terms of service contract.
b) Resignation.
c) Retrenchment.
d) Retirement.
e) Medical unfitness.
f) Death.
g) Dismissal or removal from service as a result of disciplinary action.
h) Compulsory Retirement

24.2 In terms of service contract:

The services of an employee may be terminated by giving such notice or pay
in lieu thereof as may be prescribed in the contract of his service. In the
absence of any such specific provision in the Contract of Service, the
services of the employee may be terminated in the following manner:
24.2.1 Services of a temporary employee shall stand automatically terminated at the
end of the period as specified in the order of appointment or on
completion of work for which he was engaged, whichever is earlier. The
services of such an employee may be terminated even before expiry of the
said work by one month’s notice on either side or payment of salary in lieu
thereof. If the unexpired period out of the specified period is less than one
month, the notice period or pay in lieu thereof will be correspondingly
reduced.

24.2.2 The services of a casual employee can be terminated without assigning any
reason or giving any notice.

24.2.3 The services of a fresh recruit on probation can be terminated without

assigning any reason by giving one month’s notice on either side or
payment of salary consisting of pay and dearness allowance in lieu thereof.

24.2.4 The services of a regular employee, can be terminated by either side by

POSOCO SERVICE RULES

Page 15
 giving three months’ notice if he is an executive or one month’s notice if
he is non-executive or payment of salary consisting of pay and dearness
allowance in lieu thereof.

24.3 Resignation
24.3.1 An employee resigning from the services of the Corporation shall be
required to give such notice as is prescribed in his service contract or in the
absence thereof as per the provisions indicated under para 24.2 above.

24.3.2 Under no circumstances shall the resignation tendered by an employee

whose conduct is under investigation, be accepted, without the sanction of
the authority competent to dismiss him.

Note:
Where an employee submits resignation during pendency or where
disciplinary proceedings are contemplated, the resignation may be accepted
by the appointing authority if the charges are not in the nature of moral
turpitude, criminal offence, bribery or corruption or where the substantial
loss to corporation is involved or where the evidence against delinquent
employee does not warrant or justify assumption that if the departmental
proceedings were continued, the employee would be removed or dismissed
from service. However, in other cases of lesser nature, in the letter
accepting the resignation, it must be indicated that the enquiry proceedings
were pending or contemplated against the employee. The principal will
apply in case of superannuation also.

24.4 Retrenchment
When it becomes necessary to resort to termination by way of
retrenchment, the same shall be carried out in accordance with procedures
as prescribed in the relevant Act or Acts.

24.5 Retirement
The normal age of retirement for the employees of the Corporation shall be
60 years i.e. from the afternoon of the last day of the month in which the
employee completes the age of sixty years.

24.5.1 Notwithstanding anything contained in these rules, the Competent

Authority shall, if it is of the opinion that it is in the public interest to do so,
have absolute right to retire prematurely any employee who has attained the
age of 50 years and not covered under the Industrial Dispute Act, 1947,
on the grounds of his/her being medically unfit, inefficient or of doubtful
integrity by giving him notice of one month/three months in writing or one
month/three months basic pay and allowances in lieu of such notice, as

POSOCO SERVICE RULES

Page 16
 may be applicable to the employees under the terms and condition of service.
The circumstances and the conditions regulating the operation of this clause
are detailed in the Annexure to the Service Rules.

24.5.2 Any employee who has attained the age of 55 years and not covered
under Industrial Dispute Act, 1947 may by giving notice of one
month/three months in writing as may be applicable under the terms and
condition of service, to the appropriate authority and on acceptance thereof,
retire from service of the company. Terms and conditions governing this
clause is mentioned in Annexure-I.

24.6 Medical Unfitness

An employee is liable to be discharged at any time from service on being
found medically unfit to continue in the service of the Corporation.

24.7 Death
Pay and allowances of an employee may be drawn in his name upto the day
of his demise, the hour at which it took place, having no effect on the claim
of his outstanding dues.

24.8 As a Result of Disciplinary Action

Employees may be removed or dismissed or Compulsory retired from the
service of the Corporation as result of disciplinary action in accordance
with the POSOCO Conduct, Discipline & Appeal Rules.

25.0 Issue of Service Certificate

On receipt of a request, every employee may be furnished with a Service
Certificate at the time of discharge, dismissal, termination of his service,
resignation or retrenchment, giving duration of his employment in the
Corporation, posts held by the employee, pay scale of the last post held and
the pay drawn by the employee at the time of his leaving the Corporation.

26.0 Return of Corporation’s Property Equipment Tools etc.

Every employee leaving the service of the Corporation shall, before leaving
return all property or equipment or tools belonging to the Corporation
issued or lent to him in connection with his employment in the Corporation.
The cost of such property, equipment or tools not so returned shall be
deducted from his pay or the amount due to him or recovered otherwise.

POSOCO SERVICE RULES

Page 17
 ANNEXURE

PREMATURE RETIREMENT UNDER CLAUSE 24.5.1

1.0 CRITERIA FOR JUDGING MEDICAL UNFITNESS,

INEFFICIENCY OR DOUBTFUL INTEGRITY OF EMPLOYEES
PROPOSED TO BE PRE- MATURELY RETIRED.

1.1 Medical Unfitness

A) If an employee has been continuously on leave on medical grounds for a
period of 12 weeks (Including Sundays and Holidays) or has been on
leave for reasons of sickness for a total period of 120 days (Including
Sundays and Holidays) or more during a continuous period of six months or
if a person though attending duties but is found to be mentally derange, his/her
departmental head may refer him/her to a medical board for thorough medical
check-up and report:-

- Disease he/she is suffering from.

- Whether the disease is infectious/ contagious.
- Whether it is curable or incurable.
- In case of curable disease whether the person is likely to be fit to resume his
normal duties within a period of 12 months.

B) If the person is not fit to resume duty within a period of 12 months or in

case of employee suffering from incurable and infectious/contagious disease
or suffering from lunacy or mental derangement and whose service cannot
be gainfully utilized by the company or whose attendance is likely to pose
health hazard to others as may be certified by the Medical Board, premature
retirement will be considered.

Note:
This premature retirement on medical grounds is independent of and
without prejudice to the right of the company to discharge an employee
who might not have attained the age of 50 years, from service on being
found medically unfit in accordance with the provisions of Rule 24.6 of the
Service Rules.

1.2 Inefficiency
Inefficiency would be evaluated on the basis of Appraisal Reports.
Employees whose overall assessment is ‘not satisfactory’ for three
consecutive years, may be deemed as a fit case for consideration for
premature retirement.

POSOCO SERVICE RULES

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 1.3 Doubtful Integrity
An employee who gets an adverse comment consecutively for three
years on his integrity in his Appraisal Reports would be considered for
premature retirement.
2.0 Benefits to be Allowed to Employees Prematurely Retired
(i) One month/Three month's notice as applicable in terms of Service Rules
or payment of salary consisting of Basic Pay, Personal Pay and Dearness
Allowance in lieu thereof.
(ii) Full Provident Fund contribution of the employer with accretions thereto in
the account of the employee subject to the provisions of the Provident
Fund Rules applicable to him/her.
(iii) Gratuity for each completed year of service or part thereof as admissible
under the Gratuity Rules.
(iv) Retirement benefits viz encashment of un-availed Earned Leave, HPL,
Transfer Benefits as per T.A Rules, Post Retirement Medical Facility etc.,
as per the rules in force.
(v) Other benefits which are applicable to employees on superannuation on
attaining the age of 60 years.

3.0 General
3.1 Notwithstanding anything contained in these rules, no employee will be
prematurely retired on grounds of ineffectiveness if he/she is reaching the
normal age of superannuation within one year.
3.2 Provision of premature retirement should not be resorted as substitute to
disciplinary action. However, where disciplinary action has not been
initiated, recourse to premature retirement can be taken.
3.4 Authority under whose custody the Appraisal Reports are kept shall be
responsible to undertake review of the appraisal reports at the beginning of
each year and to put up to the Competent Authority those cases where
premature retirement may be considered. Competent Authority may
appoint a committee to review such cases and submit its recommendations
to him. Decisions, however, shall rest with Competent Authority which shall
be final.
3.5 Retirement under this Rule will not constitute punishment or penalty of
any kind.

3.6 On question of interpretation of these Rules, the decision of CMD shall be

final and binding. CMD can also relax or modify these rules appropriately
and notify detailed guidelines (if required) keeping in view the interest of
the company, principle of Equity and Government of India guidelines.

POSOCO SERVICE RULES

Page 19
 ANNEXURE

1.0 CONDITIONS FOR APPLICABILITY & REGULATION OF

CLAUSE 24.5.2
1.1 An employee who attains the age of 55 years can seek retirement under this
Clause provided he has rendered 15 years of continuous service in
Central/State Government/ Public Sector Undertaking including atleast 5
years of service in POSOCO.

1.2 Appropriate authority can withhold the permission to an employee under

suspension/ disciplinary action or any other reason to be recorded in
writing, to an employee who seeks to retire under this clause.

1.3 Appropriate Authority can grant relaxation in the prescribed notice period
of one month/ three months.

1.4 An employee who has elected to retire under this clause and has given the
necessary intimation to that effect to the appointing authority shall be
precluded from withdrawing his election subsequently except with the
specific approval of such authority provided that the request for
withdrawal shall be within the intended date of his retirement.

2.0 Benefits Admissible to Employees Retired Under This Clause are as

follows:
2.1 Full Provident Fund contribution of the employer with accretions thereto in
the account of the employee subject to the provisions of the Provident
Fund Rules applicable to him/her.

2.2 Gratuity for each completed year of service or part thereof as admissible
under the Gratuity Rules.

2.3 Retirement benefits viz encashment of un-availed Earned Leave, HPL,

Transfer Benefits under T.A. Rules, Post Retirement Medical Facility, as
per the rules in force.

2.4 Other benefits which are applicable to employees on superannuation on

attaining the age of 60 years.

3.0 General
3.1 This clause should not be resorted to as a substitute to disciplinary action.
However, where disciplinary action has not been initiated, recourse to this
clause can be taken.

3.2 Appropriate authority in respect of Executives will be Chairman and

POSOCO SERVICE RULES

Page 20
 Managing Director. In respect of Non-executive personnel not covered
under Industrial Disputes Act, Competent Authority will be the concerned
Executive Director.

3.3 On question of interpretation of these Rules, the decision of CMD shall be

final and binding. CMD can also relax or modify these rules appropriately
and notify detailed guidelines (if required) keeping in view the interest of
the company, principle of equity and Government of India guidelines (if
any).

POSOCO SERVICE RULES

Page 21
 GUIDELINES
FOR
DISCIPLINARY
PROCEDURE

Page 22
 CHAPTER-1
DISCIPLINE AND INDISCIPLINE

1.1 Discipline means Orderly Behavior - It means voluntary and willing compliance
of rules and regulations and instructions and also development of right habits of
conduct in work with others at the work-place.

1.2 Why do we Want Discipline?

(a) Discipline is essential in any organisation for improving the employee morale as
well as to increase the productivity which is the ultimate goal of any organisation.
(b) Discipline is of utmost importance for harmonious working with a view to
achieve Company’s objectives.
(c) It is moral responsibility of the employer not to allow the minority of employees
who are indisciplined to affect the life of majority.

1.3 How does Indiscipline Arise?

In most of the cases, indiscipline of a worker is the expression of his reaction to
his environment. Usually the causes of indiscipline are:

(a) Lack of awareness of Company’s rules and regulations;

(b) False promises made by superiors;
(c) Absence of any procedure to handle grievances;
(d) No action taken when required;
(e) Personal frustrations and misunderstandings.
There could be many other different reasons for indiscipline depending upon
individual differences.

1.4 Corrective and Punitive Action

Since any case of indiscipline is basically a behavioural problem, it is necessary
that before taking any punitive action, all efforts should be made to improve the
behaviour of the employee by correcting him through education, counselling,
persuasion and cautioning. However, if all the efforts to improve the employee
fail, the Supervisor/Manager should never hesitate to reprimand the employee
and, if the misconduct is serious or has been repeated, to report the matter to the
superiors for appropriate disciplinary action.

GUIDELINES FOR DISCIPLINARY PROCEDURES

Page 23
 CHAPTER-2
ACTS OF MISCONDUCT

2.1 Misconduct means improper conduct or wrongful behaviour. However, while we

are dealing with employees in an organisation, the term misconduct has to be seen
with reference to the rules and regulations applicable to the various categories of
employees working in the organisation.

2.2 In POWER SYSTEM OPERATION CORPORATION LTD, to decide whether a

particular act of misconduct or not, we have to keep in mind, the following three
documents :
(a) Conduct, Discipline & Appeal Rules
(b) Service Rules
(c) Contract/Agreement of Appointment or Appointment letter.

2.3 Conduct, Discipline & Appeal Rules

These are the rules framed by POSOCO which are applicable to all employees
including deputationists. List of acts of misconduct as per Conduct, Discipline &
Appeal Rules is as shown in Annexure ‘A’.

2.4 Service Rules

These are the rules framed by POSOCO, defining the terms and conditions of
employment and also prescribing the obligations of the employees. These are
applicable to all the employees of POSOCO except the deputationists unless the
terms of deputation otherwise stipulate.

Any act committed by an employee in breach of Service Rules to the extent they
are applicable to him, will be considered an act of misconduct. Hence, referring to
Service Rules is relevant in this context.

2.5 Contract of Appointment

Basically the appointment letter issued to an employee governs his employment
with the organisation. Hence, while taking a disciplinary action against any
employee for an act of misconduct committed by him, the management has to
keep in mind the terms and conditions stipulated in the offer of appointment given
to the concerned employee, over and above which only the other rules and
regulations will become applicable to the employee concerned.

GUIDELINES FOR DISCIPLINARY PROCEDURES

Page 24
 CHAPTER-3
REPORT OF MISCONDUCT

3.1 Complaint is the starting point of any disciplinary action. For taking disciplinary
action against any employee for having committed an act of misconduct, the
management should invariably get a specific written complaint. Complaint is
nothing but a clear, sequential narration of the facts of incidence of indiscipline by
the complainant, in the form of a report to his superior.

3.2 Since any disciplinary action may go hay-way if the complaint is not proper,
every complainant should bear in mind the following :

(a) Do not rely on memory. Reduce to writing whatever has happened, immediately.
(b) Submit your complaint in the shape of report of misconduct without any delay to
superiors.
(c) Avoid dictating the complaint to somebody else.
(d) Avoid type-writing the complaint, if possible. It is advisable to send it in hand
writing.
(e) Do not add your impressions or guesses but narrate the actual facts.
(f) Take written statements of all whoever has any facts relating to the complaint or
witnessed the incident.

3.3 The Report of misconduct should invariably give the following details :
(a) Full name of the person who committed the act of misconduct;
(b) Designation;
(c) Punch Card No./Employee No.;
(d) Section/Deptt./Division;
(e) Shift or Relay in which the employee was working;
(f) Date and time of incident;
(g) Place of occurrence;
(h) Details of misconduct;
(i) Names of witnesses, if any;
(j) Recorded Statements, if any.

For Report of misconduct, the guidelines suggested in Annexure-B might be

followed.

GUIDELINES FOR DISCIPLINARY PROCEDURES

Page 25
 CHAPTER-4
FLOW-CHART OF DISCIPLINARY PROCEDURE

Written Complaint
STAGE-1
(Report of Misconduct)

Preliminary Enquiry
STAGE-2

If there is no prima facie

case, drop the case

STAGE-3 Suspension pending

Enquiry, if necessary

If the situation does not

Order for payment of warrant his immediate
Subsistence Allowance Suspension , the employee
will be on duty and we get
on to next stage.

Framing charge-sheet under

STAGE-4
CDA Rules

Serving Charge-sheet
STAGE-5 Direct Registered Post UPC Notice Boards News Paper
Service

GUIDELINES FOR DISCIPLINARY PROCEDURES

Page 26
 Study the reply given by
STAGE6
charge-sheeted employee

If he does not plead

If the charge-sheeted guilty and reply is
employee pleads guilty and unsatisfactory, proceed
reply is satisfactory with the enquiry

Major Minor Innocent -

penalty penalty Exoneration

Proceed No
with further
enquiry enquiry

or

Award Award Punishment/

Punishment Caution memo

Appointment of Enquiry Officer

STAGE-7 & Presenting Officer

Serving Enquiry Notice

STAGE-8 Direct Registered Post Notice Boards News Paper

Service UPC

Enquiry If the employee is found

STAGE-9 proceeding not guilty, exoneration
& suspension revokal
letter issued
Enhancement or reduction of
Subsistence allowance
If the employee is found not
Enquiry guilty, exoneration &
STAGE-10 suspension revokal letter
report
issued

GUIDELINES FOR DISCIPLINARY PROCEDURES

Page 27
 If the charge(s) are proved, check the past record and if any
STAGE-11 conciliation or adjudication proceedings are going on, check
Industrial Dispute Act, provision, Check whether protected
workman

STAGE-12 Final Show-cause notice before punishment

STAGE-13 Study the reply given by employee to Final show-cause notice

Give clarifications, if any, asked for in reply to final show-Cause

STAGE-14
notice

STAGE-15 Punishment Order

STAGE-16 Appeal by accused Employee

Reply to appeal and final Punishment order/ Disposal of Appeal

STAGE-17

Implementation of punishment order and closing of file

STAGE-18

STAGE-19 Contest the case if referred to conciliation/ adjudication

GUIDELINES FOR DISCIPLINARY PROCEDURES

Page 28
 CHAPTER-5
PRELIMINARY ENQUIRY

5.1 As soon as a a complaint is received, we should see whether it is worth dealing

with in an elaborate manner by charge-sheeting the employee and conducting a
domestic enquiry or not. This is determined by the gravity of the misconduct
committed by the employee.

5.2 When an act of misconduct has been committed and the disciplinary authority
receives a complaint, he should conduct a preliminary enquiry either himself or
get it done by another Officer (Officer other than the one who has made the
complaint or who is a witness to the incident). Preliminary enquiry is done with a
view to decide whether there is adequate material for proceeding with a domestic
enquiry. Domestic enquiry starts the moment a charge-sheet is issued and
preliminary enquiry ends with the issue of charge-sheet. In all cases, preliminary
enquiry is not essential. If the matter is obvious enough, the domestic enquiry can
start with the issue of charge-sheet.

5.3 The following are the differences between domestic enquiry and preliminary
enquiry.

a) Preliminary enquiry is not an essential step while domestic enquiry is a must for
taking disciplinary action for major penalty cases.
b) Domestic enquiry aims at determining whether charges are established or not
while preliminary enquiry is conducted for finding out whether a prima-facie case
has been made out.
c) Conclusions of preliminary enquiry lead to framing of charge-sheet while the
report of domestic enquiry forms the basis for awarding punishment.
d) Preliminary enquiry is not subject to any rules while conduct of domestic enquiry
is subject to principles of natural justice.

GUIDELINES FOR DISCIPLINARY PROCEDURES

Page 29
 CHAPTER-6
PRINCIPLES OF NATURAL JUSTICE

6.1 The procedure for taking disciplinary action against any delinquent employee
must be based on principles of “natural justice” – which again are in conformity
with the principles of a Welfare State.

6.2 To hold an enquiry in conformity with the principles of natural justice, the
following conditions are to be met :

a) the employee proceeded against has been informed clearly of the charges levelled
against him.
b) the witnesses are examined ordinarily in the presence of the employee in respect
of the Charges;
c) the employee is given a fair opportunity to cross-examine the witnesses;
d) the employee is given a fair opportunity to examine his own witnesses, including
himself in his defence, if he so wishes;
e) the enquiry officer records his findings with reasons for the same in his report.

GUIDELINES FOR DISCIPLINARY PROCEDURES

Page 30
 CHAPTER-7
CHARGE-SHEET

7.1 If on the basis of preliminary enquiry or otherwise, the disciplinary authority is

satisfied that a prima-facie case exists and decides to take disciplinary action
against the employee concerned, the first thing to be done is to issue a charge-
sheet to delinquent employee.

7.2 Charge-sheet is a memorandum of charges or allegation levelled against the

employee which are acts of misconduct as per the Conduct, Discipline and Appeal
Rules.

7.3 Check-List for preparation of Charge-Sheet

While framing a Charge-sheet, the following items may be kept in mind so that
nothing relevant would be missing from the Charge -sheet :
a) Date of charge sheet.
b) Correct Name and Card No./Employee No. of delinquent employee.
c) Specify date of incident.
d) Description of incident.
e) Reproduce the language in verbatim if there are words of abuse, defamation or
threat.
f) Give reference of relevant rules as Conduct, Discipline and Appeal Rules.
g) Specify within how much time and to whom the reply should be submitted.
h) Check the authority competent to issue the Charge-Sheet (See Conduct,
Discipline and Appeal Rules or Delegation of Powers, as the case may be).
i) Decide whether employee is to be kept under suspension or not.
j) Decide whom to send the copies of Charge-sheet.

7.4 Guidelines for preparing Charge-Sheet

a) The Charge-Sheet should be specific and must spell out all the relevant particulars
of the misconduct.
b) As far as possible, it should be precisely mentioned in the Charge-sheet as to
under which rule or clause, the charges constitute acts of misconduct so as to
enable the employee as to which rules are applicable to him in this context.
c) The Charge-sheet must be signed by the competent authority so as to avoid facing
a situation where the Charge-sheet is made invalid because it is signed by
incompetent authority. (Refer to schedule of Conduct, Displne and Appeal Rules
or Delegation of Powers, as the case may be).
d) Avoid loose usage of words such as ‘Habitual’ and ‘Wilful’ in the Charge-sheet.
Do not use such qualifying words unless the charges are really so.
e) If the charge is of abusing or threatening, reproduce the exact words used in the
Charge-sheet.
f) Avoid using abbreviations such as “etc.” and also phrases such as “such other
things”.
g) If the previous record of the employee is referred to, then sufficient particulars of
the previous record should be given in the Charge-sheet.

GUIDELINES FOR DISCIPLINARY PROCEDURES

Page 31
7.5 Time for reply to Charge-sheet
A reasonable period of time should be given to the employee to submit his reply
to the Charge Sheet. Time as stipulated in the Conduct, Discipline & Appeal
Rules, but not less than 48 hours from the receipt of the Charge-sheet by the
employee should be allowed for submission of his reply. If the Charge-sheeted
employee requests for extension of time, such request(s) may be considered on its
own merits.

7.6 Who signs Charge-sheet

Unless it is delegated otherwise, Disciplinary Authority is the Competent
Authority to sign Charge-sheet. (See Annexure-C).

From the Annexure, it may be seen that for major penalties, the Disciplinary
Authorities are different from those for minor penalties. At the stage of issuing the
Charge-Sheet it may always not be very clear whether the offence is such that a
major penalty may be imposed ultimately or the decision would be only in favour
of a minor penalty. Except for very simple cases where beyond doubt the offence
may lead to imposition of only a minor penalty, it will be desirable to have the
Charge-sheet issued under the signature of Disciplinary Authorities empowered to
impose major penalty.

7.7 Service of Charge-sheet

Serving the Charge-sheet on the delinquent employee plays a very important role
in disciplinary proceedings. Hence, all efforts should be made by the employer to
see that the Charge-sheet is served on the delinquent employee. The Charge-Sheet
may be handed over to the employee and his signature or thumb-impression of his
having received the same obtained on the office copy.

- In case he refuses to accept the Charge-sheet, an endorsement to the effect should

be made on the office copy in the presence of at least two witnesses whose
signatures should be obtained.
- In case the concerned employee receives the Charge-sheet but refuses to sign or
give his thumb-impression on the office copy, an endorsement to the effect should
be made on the office copy and signatures of at least two witnesses may be taken.
- If the employee concerned asks for the Charge-sheet being made out in the
language which he knows, the same should be done.
- If the employee either refuses to accept or give acknowledgement of the Charge-
sheet or is not present within the organisation due to suspension or any other
reason, the Charge-sheet should be sent to his last known and recorded address
(both local as well as permanent) by Registered Post with acknowledgments due.
- If the employee concerned refuses to accept the registered letter carrying the
Charge-sheet and there is an endorsement by the Postal Authorities to that effect
on the envelope, the same may be treated as adequate service. The returned postal
envelope in that case should be retained, without opening, in record.

GUIDELINES FOR DISCIPLINARY PROCEDURES

Page 32
 - In case of absence or refusal of the employee to take the Charge-sheet or refusal
to give acknowledgement of its receipt, a copy of the same should also be
displayed on Notice Board.
- If all efforts to serve the Charge-sheet on the employee fail, the Charge-sheet may
be published in some local/regional newspaper with a wide circulation.

7.8 While preparing a Charge-Sheet, the format suggested in Annexure ‘D’ may be
followed.

GUIDELINES FOR DISCIPLINARY PROCEDURES

Page 33
 CHAPTER-8
SUSPENSION

8.1 What is Suspension?

Suspension from duty means keeping an employee away from work-place
temporarily for reasons of discipline. Suspension does not mean removal from
service. If a person is suspended, he continues to be in service, but is in a state, as
it were of suspended animation.

8.2 When to Suspend?

The suspension of an employee from duty often arises under the following three
different types of situations :

a) Suspension Pending Domestic Enquiry

If an employee has committed serious acts of misconduct such as assault,
sabotage etc. and his presence inside the work premises poses a threat to the
safety of the men and material, he may be kept under suspension immediately,
pending investigations. This is called Suspension Pending Domestic Enquiry. At
this stage, a suspension cannot be called a punishment. It is desirable to issue the
order of suspension along with charge-sheet but if it is not possible, the charge-
sheet must follow within 7 days of issue of suspension order (See Annexure ‘E-
1’).

b) Suspension Pending Court’s Order

The disciplinary authority has the right to keep an employee under suspension, if
he is accused in a court of law for any criminal offence, until the disposal of the
trial. (See Annexure ‘E-2’).

c) Suspension as Punishment
Even though an employee is not suspended pending enquiry, if it is decided to
punish him by way of suspension for the acts of misconduct committed by him,
the disciplinary authority may do so after the conclusion of enquiry in which case
the suspended employee will not be entitled to any payment for the period of
suspension since it is a punishment imposed on him. (See Annexure ‘M’).

8.3 Status of Suspended Employee

a) During the period of suspension, the suspended employee shall not enter the
work-premises without the permission of the disciplinary authority or any other
authority competent to do so.
b) The suspended employee shall not leave the station without the written
permisstion of the competent authority.
c) The employee suspended pending enquiry shall be paid subsistence allowance as
admissible to him under CDA Rules, which will increase/decrease depending
upon the merits of the case if the period of suspension gets prolonged.
d) No leave shall be granted to a suspended employee during the period of
suspension.

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 e) The suspended employee will not be paid subsistence allowance if he is engaged
in any other employment, business, profession or vocation.
f) If it is decided after the conclusion of enquiry not to remove the suspended
employee from service, he will be simply allotted the job treating the period of
suspension as on duty or leave as decided by the disciplinary authority.
g) If an employee suspended pending enquiry submits resignation, it is normally not
accepted unless it is in the company interest.

8.4 Subsistence Allowance

Subsistence allowance is the payment made to an employee who is kept under
suspension pending enquiry/court’s order only, as per CDA Rules, as under:

a) Subsistence Allowance is payable at the rate of 50% of his basic pay. In addition,
Dearness Allowance as admissible on such Subsistence Allowance and any other
Compensatory Allowance of which he was in receipt on the date of suspension,
are also admissible.
b) If the period of suspension exceeds six months :
(i) Due to reasons not directly attributable to the employee, subsistence
allowance, is payable at the rate of 75% of his basic pay and allowances
thereon.
(ii) Due to reasons directly attributable to the employee, subsistence allowance is
payable at the rate of 25% of his basic pay and allowances thereon.

c) The payment of above subsistence allowance will be subject to a written

declaration by the employee concerned that he is not engaged in other
employment or business or profession or vocation as well as his observance of the
instructions/advice contained in the order of suspension issued to him.
d) If the suspended employee is found guilty of the misconduct alleged against him
or some other mis-conduct brought out in the course of the enquiry and
punishment is awarded, he shall be entitled to such proportion of pay and
allowances, only as the competent authority may prescribed.
e) If the suspended employee is found not guilty of the misconduct, he shall be paid
the difference between the subsistence allowance already paid and the
emoluments consisting of pay and allowances which he would have received if he
had not been suspended.
f) For establishments located in West Bengal, the above provision will be subject to
the West Bengal Payment of Subsistence Allowance Act, 1969.

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 CHAPTER-9
DOMESTIC ENQUIRY

9.1 If the explanation submitted by the delinquent employee in reply to the charge-
sheet is not found satisfactory, the Disciplinary Authority may institute domestic
enquiry by appointing an Enquiry Officer (or Enquiry Committee consisting of
more than one person) and Presenting Officer and inform the charge-sheeted
employee about the same as shown in Annexures (‘F’ & ‘G’). The Enquiry
Officer would send a Notice of Enquiry as shown in Annexure ‘H’ giving him
sufficient time to attend the enquiry.

9.2 Role of Participants in Domestic Enquiry

The persons concerned with domestic enquiry and who participate in any
domestic enquiry are:

a) Enquiry Officer: The Enquiry Officer is the officer appointed by the disciplinary
authority to conduct an enquiry into the allegations levelled against the charge-
sheeted employee. The Enquiry Officer’s job is to listen to and record the
statements of both the parties i.e., the accused employee and the management
representative; allow both the parties to submit to him the relevant documents in
support of their contentions; allow both the parties to examine their witnesses as
well as cross-examine the other’s witnesses; allow both the parties to submit
arguments and counter arguments in respect of the charges and evidence adduced
in the enquiry; and finally submit his enquiry report to the disciplinary authority.

b) Presenting Officer: Presenting Officer is the officer appointed to present the case
of the management before the Enquiry Officer relating to the charges levelled
against the accused employee. The Presenting Officer will produce in the enquiry,
all the relevant documents relating to charges levelled against the employee and
also examine the witnesses of the Company as well as cross-examine the
witnesses of the charge-sheeted employee. In other words, he plays the role of the
Prosecutor. In cases where felt appropriate, complainant may also be appointed as
Presenting Officer.

c) Charge-sheeted Employee: It is necessary that the enquiry should be held in the

presence of the accused. If, however, the employee failed to report for the enquiry
at the appointed place, date and time, the Enquiry Officer may proceed with the
enquiry ex-parte, provided the charge-sheet or the enquiry notice included a
provision to that effect.

d) Defence Assistant of the Accused Employee: If the accused employee wishes

another employee of his choice to assist him at the enquiry in the conduct of his
defence, it should be allowed, if a request is made for a non-employee union
office-bearer, he may be allowed if there is a provision to that effect under the
Conduct, Discipline and Appeal Rules.

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 e) Interpreter: The presence of an interpreter, from amongst the employees, would
be desirable in case the accused employee is not familiar with the language in
which the enquiry is conducted.

f) Management Witnesses: These are the persons who appear in the enquiry to give
their statements in support of the charges levelled against the charge-sheeted
employee.

g) Charge-sheeted Employee’s Witnesses: These are the persons who appear in the
enquiry to give their statements in defence of the charge-sheeted employee.

9.3 Who should be Enquiry Officer

a) If a person is the witness in the case, he should not be Enquiry Officer.
b) Enquiry Officer should not be appointed by an Officer who is a witness in the
case.
c) Enquiry Officer can be any Officer of the Company. In exceptional cases, if it is
felt desirable, any public servant or retired honest public servant may be
appointed as Enquiry Officer (*Subject to the provisions of Rules).
d) A person to be Enquiry Officer must be a responsible Officer commanding
respect from the employee. He should not be a judge in his own case.
e) A person to be Enquiry Officer should be open-minded and unbiased.

9.4 Documents to be Forwarded to Enquiry Officer

The disciplinary authority shall forward to the Enquiry Officer:
a) A copy of the charge-sheet;
b) A copy of the reply, if submitted by the charge-sheeted employee;
c)* List of witnesses, if available;
d)* List of documents to be produced in enquiry, if available;
d) Copy of order appointing the Presenting Officer.
(* Not mandatory at this stage).

9.5 Procedure of Domestic Enquiry

a) At the commencement of the enquiry, the charges should be read out and
explained to the charge-sheeted employee and he should be asked whether he
pleads guilty to the charges or not. If the employee admits his guilt it will be open
to the Enquiry Officer to examine the employee himself even in the first instance,
so as to enable him to offer any explanation for his conduct, or to place before the
Enquiry Officer any circumstances which may go to mitigate the gravity of the
offence. If, after the examination of the employee, the Presenting Officer chooses
to examine any witness, the employee must be given a reasonable opportunity to
cross-examine those witnesses and also to adduce any other evidence that he may
choose including his own further statement. If, on the other hand, the employee
denies the charge, the burden of proving the truth of the charge and the allegations
will be on the management and the witnesses for establishing the same should be
examined first.

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 b) At the conclusion of the statement given by each witness in support of the
charges, the same should be read over and explained to the charge-sheeted
employee in the language understood by him and he must be given a chance to
cross-examine the witness. An endorsement to this effect should be made at the
bottom of the statement. The Enquiry Officer may, as well as, put certain
questions to the witness to elicit certain details/clarifications from him but the
Enquiry Officer should not cross-examine the witnesses by putting leading
questions or making suggestions. If the Enquiry Officer puts certain questions to
the witnesses after the cross-examination of the said witnesses by the employee is
over, the latter may again be given a chance to cross-examine on the basis of the
supplementary statement given by the witness. Similar facility may as well be
afforded to the Presenting Officer, after the Enquiry Officer asks some questions
to a defence witness.

c) After the examination and cross-examination of all the witnesses in support of the
charge are completed, the charge-sheeted employee should be asked to adduce his
defence. He may offer himself to be examined as a witness and also produce
witnesses in his defence. The charge-sheeted employee may, if he so likes, submit
his defence statement in writing, which should be accepted by the Enquiry Officer
as part of the proceedings. The burden of bringing the defence witnesses before
the Enquiry Officer is on the charge-sheeted employee. But if the charge-sheeted
employee requests for time to adduce his defence such request should duly and
liberally be considered by the Enquiry Officer. If the employee refuses to examine
any witness the same should be recorded by the Enquiry Officer. After the
examination of the defence witness is over, the employee should be asked
whether he desires to make any further statement. Any statement which he may
make should be taken down and questions may be put to him and asking him to
clarify any particular point or circumstance. It is advisable for the Enquiry Officer
to put the following question to the charge-sheeted employee before concluding
the enquiry – “Have you anything further to state”? and record his answer thereto.

9.6 Recording of the Proceedings

Proceedings of the enquiry must be recorded elaborately. The statement of the
witness and subsequent examination/cross-examination should be recorded. The
statement should be recorded in a narrative form. However, on crucial and vital
points the actual question put and answer given may, if necessary, be recorded.
But as far as practicable question-answer form of recording should be avoided.

9.7 Leading Questions

Leading questions i.e. questions suggesting the desired answer and suggestions,
positive or negative, should be disallowed except in cross-examination. Some
examples of Leading questions are given below:

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 1. X is charge-sheeted for assaulting Y in the latter’s office at 10.30 a.m. on
1.1.1991. The Presenting Officer puts the following question to the witness for the
charge.
Q. Did not Mr. X enter the office of Y at 10.30 a.m., on 1.1.91 and slap Y on his
face?
2. In another case X is charge-sheeted for theft of Company’s property. The
Presenting Officer puts the following question to the witness for the charge.
Q. “Was not x going out through the gate with a red packet concealed in his
umbrella?”

9.8 All documents and records relied upon by the Presenting Officer and produced at
the enquiry for establishing the charge should be produced in the presence of the
charge-sheeted employee and he should be explained the contents thereof relevant
for the purpose.

9.9 The charge-sheeted employee and/or his co-employee should be allowed to

inspect all such documents and records produced as evidence during the enquiry
and his signature obtained on the documents and records which will show that he
had inspected the same. Such documents and records should be marked as
exhibits for the charge. Similarly documents and records produced by the charge-
sheeted employee in his defence should also be marked as exhibits in defence.

9.10 If the charge-sheeted employee declines to cross-examine any witness

examined in support of the charge, the fact of his having declined to do so should
be recorded and the signature of the charge-sheeted employee and his co-
employee obtained thereon. The statements at each page should be signed by the
witness, the Enquiry Officer, the charge-sheeted employee and the co-employee.
If the charge-sheeted employee does not know the language in which the
statement is recorded, the Enquiry Officer should read it over and explain the
statement in the language understood by him/them and, if necessary, may take the
help of an interpreter. The Enquiry Officer then should record at the conclusion of
the statement of each witness to the effect that the statement was recorded in
presence of the employee and was explained to the witness and the employee in
the language understood by them, as the case may be and then ask the witness to
put his signature at the end and on each page and so also the employee be asked to
sign on each page and at the end. The co-employee, if any, should similarly be
asked to sign on each page and at the end. If any of the (above referred) persons
refuses to sign as required, the same should be recorded by the Enquiry Officer
and attested by any witness present.

9.11 Ex-parte Enquiry

When the enquiry is fixed at a particular time, place and date and the charge-
sheeted employee does not turn up and seeks a postponement on genuine grounds,
the same may be granted. If the charge-sheeted employee makes further attempts
for adjournment and the Enquiry Officer is convinced that it is being done with a
view to deliberately delay the proceedings, the Enquiry Officer may proceed with

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 the enquiry ex-parte. Every adjourned proceedings of the ex-parte enquiry should
be duly notified to the charge-sheeted employee. If he presents himself and
desires to participate, he should be allowed to do so. In no case the Enquiry
Officer should proceed ex-parte on the first date of enquiry. One ex-parte hearing
does not preclude giving notice for subsequent hearings. Where an ex-parte
enquiry is held, it should not be presumed that the misconduct as mentioned in the
charge-sheet stands proved. The Enquiry Officer still should hold the enquiry and
the Presenting Officer prove the charge against the charge-sheeted employee and
adduce adequate evidence to that effect. If the Presenting Officer fails to prove the
charge, the Enquiry Officer should give his findings accordingly, holding the
delinquent not guilty.

9.12 Partly Heard Enquiry

If an Enquiry Officer, after having heard and recorded the whole or any part of the
evidence in an enquiry, ceases to function as Enquiry Officer for any reason and a
new Officer is appointed as Enquiry Officer for conducting the enquiry, the new
enquiry officer may proceed with the enquiry from the stage left over by the
predecessor and act on the evidence already recorded by his predecessor.

9.13 Joint Enquiry

Where two or more persons are charge-sheeted in connection with the same
incident or transaction, the authority competent to take disciplinary action for all
of them may direct a joint enquiry to be held against them. If the authorities
competent to impose the penalty are different, an order for joint proceedings may
be made by the highest of such authorities.

9.14 De-Novo Enquiry

If the charge-sheeted employee makes a request for re-conducting the enquiry or
the Disciplinary Authority feels on the merits of the case that the enquiry has to
be re-opened and conducted again in the interest of justice, the enquiry may be re-
opened and conducted again as per the orders of the Disciplinary Authority. This
is called De-Novo Enquiry.

9.15 Examination-in-Chief/Cross-examination/Re-examination
Examination of a witness by the party who calls him is called as examination-in-
chief. The witness here may give his statement by himself or reply to the
questions put by the party who has called him. The questions cannot be leading
questions. The examination-in-chief of a witness is followed by cross-
examination, by the opposite party. If after the cross examination, the party who
has called the witness to further examination which is called re-examination.
After such re-examination the witness should be allowed to be further cross-
examined.

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9.16 Report of the Enquiry Officer
After the conclusion of the recording of evidence, the Enquiry Officer should
prepare and submit his report. The Enquiry Officer should record clearly and
precisely his findings and indicate the reasons for arriving at such findings in
respect of each charge. The findings must be based on the evidence on record. He
should not import his personal knowledge or any material which is not on record.
The oral evidence and the documents and records marked as exhibits at the
enquiry should alone form the basis for arriving at the findings in respect of each
charge. The Enquiry Officer need not write a very long or elaborate report, but he
must discuss the evidence and state his reasons for accepting or rejecting the
same. Even in a case where the Enquiry Officer himself is the ultimate
disciplinary authority, he must state his reasons for finding the employee
concerned guilty, or otherwise of the charges levelled against him.

9.17 The Enquiry Officer should clearly bear in mind that his task is to hold an enquiry
into the charges and to record, in respect of each charge, whether it is established
or not. He should not recommend any punishment to be imposed on the charge-
sheeted employee. Facts or documents which have been adduced or produced as
evidence before the committee in the presence of the charge-sheeted employee
only should be taken into consideration while recording the findings unless the
proceedings are ex-parte.

i) After conclusion of the enquiry, a report shall be prepared by the Enquiry Officer
and it shall contain:
a) the articles of charges and the statement of the allegations of misconduct or mis-
behaviour;
b) the defence of the employee in respect of each article of charge;
c) an assessment of the evidence in respect of each article of charge;
d) the findings on each article of charge and the reasons therefore.

ii) The Enquiry Officer, where he is not himself the disciplinary authority, shall
forward to the disciplinary authority the records of enquiry which shall include:
a) the report prepared by it under clause 9 i) above;
b) the written statement of defence submitted by the employee;
c) the oral and documentary evidence produced in the course of the enquiry;
d) the orders, if any, made by the disciplinary authority and the enquiry authority in
regard to the enquiry.

iii) The disciplinary authority shall consider the records of the enquiry, record his
conclusions on each charge and pass appropriate order.

9.18 Supplying Copy of the Proceedings to the Employee

In case, during the proceedings of the enquiry, the charge-sheeted employee asks
for copies of statement for the purpose of cross-examinations, he should be
supplied with the same provided that he is unable to read and understand the
deposition.

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9.19 Order by the Disciplinary Authority
The disciplinary authority has to finally decide the matter. He may accept the
findings of the Enquiry Officer and decide the penalty or otherwise. While so
deciding he has to take into consideration the gravity of the misconduct and the
past records of the charge-sheeted employee and any other extenuating and/or
aggravating circumstances that may exist. If he agrees with the findings, he
should take a decision regarding the penalty to be imposed. If, on the other hand,
he does not agree with the findings he should record his own findings based on
the evidence on record. In case the Enquiry Officer finds a charge-sheeted
employee not guilty and the disciplinary authority, disagreeing with the findings
of the Enquiry Officer records his own findings of guilt, he should afford another
opportunity to the charge-sheeted employee to show-cause against the findings of
guilt and take into consideration the causes, if any, shown before awarding any
penalty. The quantum of penalty imposed on the charge-sheeted employee should
not be disproportionate to the seriousness of the misconduct established, and
should be one which any other reasonable employer, under similar circumstances
would have awarded.

9.20 Check List for Disciplinary Authority

The disciplinary authority before passing final orders should check up if the
following aspects have been taken care of:

a) Whether definite and specific charges were framed;

b) Whether the charge-sheet was properly served;
c) Whether the charge-sheeted employee was given sufficient time to submit his
explanation, as required under the rules. Whether the explanation, if any,
submitted was duly considered;
d) Whether the person charged was allowed to cross examine the witness produced
in support of the charges, to give evidence in person and to call witness on his
behalf;
e) Whether the findings are based on evidence on record, and whether the penalty is
proportionate to the gravity of the offence established;
f) The disciplinary authority should also look into the past records of the employee
and extenuating and aggravating circumstances, if any, while deciding the penalty
to be imposed.
g) The disciplinary authority should also see if permission or approval is to be taken
from the appropriate authority under Industrial Disputes Act because some
dispute is pending with conciliation etc. or the employee is a Protected Workman.
h) The disciplinary authority should also check-up if any final show-cause notice is
to be given to the charge-sheeted employee before passing the punishment order.

9.21 Communication of Order to the Charge-sheeted Employee

After the disciplinary authority decides to impose a major penalty it should be
communicated to the employee as early as possible in the specimen form as in
Annexures. The orders should be unambiguous and must relate to the charge. It

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 should be signed by the authority competent to sign the order and in no case by
any subordinate officer as “for and on behalf of” the Disciplinary Authority.

9.22 Employee on deputation from the Central Govt. or the State Government
etc.
Where an order of suspension is made, or disciplinary proceedings is taken
against an employee, who is on deputation to the Company from the Central or a
State Government, or another public undertaking, or a local authority, the
authority lending his services (here-in-after referred to as the “lending authority”)
shall forthwith be informed of the circumstances leading to the order of his
suspension, or the commencement of the disciplinary proceedings, as the case
may be.

9.23 In the Light of the findings in the Disciplinary Proceeding taken against the
Employee
a) If the Disciplinary Authority is of the opinion that any of the minor penalties
should be imposed on him, it may pass such orders on the case as it deems
necessary after consultation with the Lending Authority; provided that in the
event of a difference of opinion between the disciplinary authority and the
Lending Authority, the services of the employee shall be placed at the disposal of
the Lending Authority.
b) If the disciplinary authority is of the opinion that any of the major penalties
should be imposed on him, it should replace his services at the disposal of the
Lending Authority and transmit to it the proceedings of the enquiry for such
action as it deems necessary.

9.23.1 If the employee submits an appeal against an order imposing a minor penalty on
him under sub-rule (a), it will disposed off after consultation with the Lending
Authority; provided that if there is a difference of opinion between the Appellate
Authority and the Lending Authority, the services of the employee shall be placed
at the disposal of the Lending Authority and the proceedings of the case shall be
transmitted to that authority for such action as it deems necessary.

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 CHAPTER – 10
PENALTIES

10.1 On the basis of the conclusions arrived at in the domestic enquiry, if it is found
that the charges levelled against the employee are not proved, he may be
exonerated and a letter to that effect may be issued (See Annexure-I). If any of the
charges or all the charges are proved, then the appropriate penalty may be
imposed on the employee by referring to the penalties provided under the Rules.

10.2 Form of Penalties

For Employees governed by Conduct, Discipline and Appeal Rules :

Minor Penalties
a) Censure;

b) Withholding of increments of pay with or without cumulative effect;

c) Withholding of Promotion;

d) Recovery from pay or such other amount as may be due to him, of the whole or
part of any pecuniary loss, caused to the Company by negligence or breach of
orders.

e) Reduction to a lower stage in the time scale of pay for a period not exceeding 3
years without cumulative effect and not adversely affecting his terminal benefits.

Major Penalties
f) Save as provided in clause (e), reduction to a lower stage in the time scale of pay
for a specified period, with further directions as to whether or not the employee
will earn increments of pay during the period of such reduction and whether on
expiry of such period, the reduction will or will not have the effect of postponing
the future increment of pay.

g) Reduction to a lower time scale of pay, grade post or service which shall
ordinarily be a bar to the promotion of the employee to the time scale of pay,
grade, post from which he was reduced, with or without further directions
regarding conditions of restoration to the grade or post from which the employee
was reduced and his seniority and pay on such restoration to that grade or post.

h) Compulsory retirement.

i) Removal from service which shall not be a disqualification for future employment
under the Govt. or the Corporation/Company owned or controlled by the Govt.

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 j) Dismissal from service which ordinarily be a disqualification for future
employment under the Govt. or the Corporation/Company owned or controlled by
the Govt.

10.3 Action not considered “Penalty”

The following shall not amount to a penalty:
i) Issue of warning;

ii) Withholding of increment of an employee on account of his work being found

unsatisfactory or failure to pass a prescribed test or examination;

iii) Stoppage of an employee at the efficiency bar/test in a time-scale on the ground of

his unfitness to cross the efficiency bar/test.

iv) Non-promotion, whether in an officiating capacity or otherwise, of an employee

to a higher post for which he may be eligible, but for which he is found
unsuitable;

v) Revision to a lower scale, grade or post of an employee officiating in a higher

class, grade or post on the ground that he is considered, after trial, to be unsuitable
for such higher class, grade post, or on administrative grounds unconnected with
his conduct;

vi) Reversion to the previous class, grade or post of an employee, appointed on

probation or another class, grade or post, during or at the end of the period of
probation, in accordance with the terms of his appointment or probation;

vii) Termination of service :

- of an employee appointed on probation during or at the end of the period of
probation, in accordance with the terms of his appointment;
- of an employee appointed in a temporary capacity otherwise than under a contract
or agreement, on the expiry of the period for which he was appointed earlier in
accordance with the terms of his appointment;
- of an employee appointed under a contract or agreement, in accordance with the
terms of such contract or agreement; and
- of an employee on reduction of establishment.

10.4 Penalties and their Imposition

The penalty proposed should normally be commensurate with the gravity of the
‘misconduct’. Though it is the management’s discretion to award a lesser penalty
than stipulated under the rules, major penalty for a minor misconduct cannot be
awarded. The management has the discretion to decide the appropriate penalty for
a particular misconduct, subject to the obvious qualification that the penalty
should not be unduly excessive. The penalty must be imposed for good and
sufficient reasons.

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10.5 Warning
Warning may be oral or written. When it is in writing, it forms a part of one’s
record of service and reflects on the conduct and efficiency of the employee.

It can also be used in awarding severe punishment in future in case of habitual

repetition of the same offence.

Issue of warning does not affect wages of the employee nor does it have any
bearing on the status or future increment of the employee. It merely amounts to a
displeasure by the management that such an act of the employee is not looked in
with favour by the management and is just to inspire awe in the mind of the
employee to be a bit more vigilant, careful and responsible and make it clear to
him that if he persists in that action it is likely to bring him into trouble. Warning
letter may be issued in the lines of the draft suggested, in Annexure-J.

10.6 Censure
Censure is a minor penalty that can be imposed as formal punishment. The
conditions for imposing this penalty are :
(i) that the employee has been held guilty of some blame-worthy act or omission;
(ii) that it is imposed for good and sufficient reason;
(iii) that his explanation is received in writing and is found unsatisfactory, or his
explanation has not been received.
Censure should be recorded in the service document of the employee. Letter
awarding the punishment of Censure may be issued in the proforma as in
Annexure-‘K’.

10.7 Fine
Fine may be defined as sum of money fixed as penalty for an act of misconduct. It
is a deduction made from the wages of an employee as a punishment. Payment of
Wages Act provides that the total amount of fine which may be imposed in any
one wage period on an employee shall not exceed an amount equal to three paise
in a rupee of the wages payable to him in respect of that wage period.
No fine so imposed shall be recovered from an employee by installments or after
expiry of 60 days from the day on which it was imposed.

Every fine shall be deemed to have been imposed on the day of act or omission in
respect of which it was imposed.

Letter imposing the penalty of fine may be issued in the proforma as shown at
Annexure-’L’.

All fines and all realizations thereof shall be recorded in a register, and all such
realizations shall be applied only to such purpose beneficial to the persons
employed in the factory or establishment as are approved by the prescribed
authority.

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10.8 Suspension
Suspension may be ordered as a punishment. It is different from suspension
pending enquiry. Suspension as a penalty can be inflicted on an employee after
the completion of the formalities of the disciplinary proceedings. Suspension
letter may be issued on the lines of the draft suggested in Annexure-‘M’.

10.9 Withholding of Increments

Employees in time-scale of pay get annual increment in normal course, subject to
passing of the efficiency bar or test, if any, prescribed. Withholding of increment
of an employee either on account of his work being found unsatisfactory or for
failure to pass the prescribed test/examination is different from withholding of
increment as a penalty. While the former is only an administrative action taken by
the management against an employee for his inefficiency, the latter is a result of
disciplinary action.

As a penalty, the increment can be withheld after following the procedure

prescribed. A letter to this effect may be issued on the lines of the draft suggested
in Annexure-‘N’.

10.10 Reduction to a Lower Grade or Post Stage

The expression ‘reduction to a lower grade or post’ means a transfer from a higher
position to a lower position at a lower rate of salary.

Reduction in rank may be either by way of punishment or it may be on

administrative grounds. When an employee is reverted from a higher post in
which he does not hold a lien, it cannot be considered either a punishment or
forfeiture of emoluments.

While ordering the punishment of reduction to a lower grade or post, the

disciplinary authority shall state the period for which it shall be effective and
whether on restoration, the period of reduction shall operate to postpone his future
increment, if so, to what extent.

Every order passed by a disciplinary authority imposing the penalty of reduction

to a lower stage in a time-scale. (Annexure-O) should indicate :

i) the stage in the time-scale (in terms of rupees) to which the employee is reduced;
and
ii) the date from which it will take effect.
It is a major penalty and the acts of misconduct for which reduction in rank/grade
may be awarded are almost the same as those for which the penalty of removal or
dismissal can be awarded.

10.11 Removal and Dismissal

The Dictionary meaning of the word removal means ‘to discharge’, ‘to get rid of’,
‘to dismiss’. The word dismissal means ‘to let go’, ‘to relieve from duty’. In the

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 ordinary parlance, both these words mean the termination of an employee’s
service. However, there is slight distinction between the two in the sense that the
removal from service does not disqualify an employee from re-employment in the
Company whereas dismissal from service does disqualify him from such re-
employment and thus, dismissal is the severest of all the penalties. Removal or
dismissal is due to gross misconduct on the part of an employee and is resorted to
generally for:

a) Such conduct on the part of the employee as may be deemed to be inconsistent or

incompatible for discharge of his duties; and
b) Such immorality on his part as may bring the employer in disrepute.

No order of removal or dismissal from service shall be made by an authority

lower than the appointing authority of the employee concerned, notwithstanding
the fact that the appointing authority might have subsequently delegated the
power of appointment of employees of the category/rank to which the employee
belongs to such lower authority.
A removal or dismissal letter may be made on the lines of the draft suggested in
Annexure-‘P’.

Names of the dismissed employees shall be communicated to the different

units/offices in order to prevent their re-employment in the Company.

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 CHAPTER-11
APPEAL AND REVIEW

11.1 An employee on whom any of the penalties is imposed shall have the right of
appeal to the authority notified in this behalf.

11.2 Provisions under Conduct, Discipline & Appeal Rules

11.2.1 An employee governed by Conduct, Discipline & Appeal Rules may also prefer
an appeal against an order of suspension to the appellate authority as shown in
Annexure-‘C’.

11.2.2 The appeal shall be addressed to the appellate authority and submitted to the
authority whose order is appealed against. The latter authority shall forward the
appeal together with its comments and the records of the case to the appellate
authority within 15 days. The appellate authority shall consider whether the
findings are justified or whether the penalty is excessive or inadequate and pass
appropriate orders within three months of the date of appeal. The appellate
authority may pass order confirming, enhancing, reducing or setting aside the
penalty or remitting the case to the authority which imposed the penalty or to any
other authority with such direction as it may deem fit in the circumstances of the
case.

Provided that if the enhanced penalty which the appellate authority proposes to
impose is a major penalty and an enquiry as provided under rules has not already
been held in the case, the appellate authority shall direct that such an enquiry be
held in accordance with the provisions of the rules and thereafter consider the
record of the enquiry and pass such orders as it may deem proper. If the appellate
authority decides to enhance the punishment but an enquiry has already been held
as provided in rules, the appellate authority shall give a show-cause notice to the
employee as to why the enhanced penalty should not be imposed upon him. The
appellate authority shall pass a final order after into account the representation, if
any, submitted by the employee.

11.3 Review
11.3.1 For employees governed by Conduct, Discipline & appeal Rules, the reviewing
authority may either in its own motion or on the application of the employee
concerned, call for the record of the case within 6 months of the date of the final
order and after reviewing the case pass such orders thereon as it may deem fit.
Provided that if the reviewing authority proposes to impose any enhanced penalty,
in the nature of a major penalty, the reviewing authority shall deal with the case in
the same manner as indicated in the provision to para 11.2.2.

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 LIST OF ANNEXURES

1. Annexure-A Acts of Misconduct as per Conduct, Discipline and Appeal Rules

2. Annexure-B Report of Misconduct

3. Annexure-C Schedule of Delegation of Powers in respect of Disciplinary matter

under POSOCO CDA Rules.

4. Annexure-D Charge-sheet

5. Annexure-E1 Order of suspension pending enquiry

6. Annexure-E2 Order of suspension where an employee is accused in a court of

law for criminal offence

7. Annexure-F Order appointing the Enquiry Officer/Committee

8. Annexure-G Order appointing the Presenting Officer

9. Annexure-H Notice of enquiry

10. Annexure-I Exoneration letter

11. Annexure-J Warning letter

12. Annexure-K Punishment Order – Censure

13. Annexure-L Punishment Order – Fine

14. Annexure-M Punishment Order – Suspension

15. Annexure-N Punishment Order – Withholding/Stoppage of increment

16. Annexure-O Punishment Order – Reduction in pay/rank

17. Annexure-P Punishment Order – Removal/Dismissal

N.B. : The proforma given in these Annexures may be suitably modified, wherever necessary, to
suit the facts and circumstances of a particular case.

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 ANNEXURE-A
ACTS OF MISCONDUCT
(As per Rule 5 of POSOCO Conduct, Discipline and Appeal Rules)

Without prejudice to the generality of the term ‘misconduct’ the following acts of
omission and commission shall be treated as misconduct:

(1) a) Theft, Fraud or dishonesty in connection with the business or property of the
company.
b) Theft, Fraud or dishonesty with the property of another person within the
premises of the company.
c) Fraud, Dishonesty and Offences under Cyber laws leading to misrepresentation,
breach of confidentiality and privacy.
d) Securing or causing others to secure unauthorized access to any confidential
electronic communication of the company or misuse of the electronic
communication of the company or the computer system or network which may
cause damage to the company.
e) Publishing, transmitting or causing to publish in electronic form any material,
which appeals to prurient interest and unauthorized passing of information from
electronic media.
f) Destroying, cancelling or altering or causing others to destroy, cancel or alter
confidential computer programme including computer command, design and
layout, computer system and computer network, etc.
g) Viewing obscene material/scene and involving oneself in indecent chatting/
communication through the electronic communication/ computer system of the
company.

(2) Taking or giving bribes or any illegal gratification.

(3) Possession of pecuniary resources or property disproportionate to the known

sources of income by the employee or on his behalf by another person, which the
employee cannot satisfactorily account for.

(4) Furnishing false information regarding name, age, father’s name, qualification,
ability or previous service or any other matter germane to the employment at the
time of employment or during the course of employment.

(5) Acting in a manner prejudical to the interests of the Company.

(6) Wilful insubordination or disobedience, whether or not in combination with

others, of any lawful and reasonable order of his superior.
(7) Absence without leave or overstaying the sanctioned leave for more than four
consecutive days without sufficient grounds or proper or satisfactory explanation.

(8) Habitual late or irregular attendance.

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(9) Neglect of work or negligence in the performance of duty including malingering
or slowing down of work.

(10) Damage to any property of the company.

(11) Interference or tampering with any safety devices installed in or about the
premises of the company.

(12) Drunkenness or riotous or disorderly or indecent behaviour in the premises of the

company or outside such premises where such behaviour is related to or
connected with the employment.

(13) Gambling within the premises of the establishment.

(14) Smoking within the premises of the establishment

(15) Collection without the permission of the competent authority of any money within
the premises of the company except as sanctioned by any law of the land for the
time being in force or rules of the company.

(16) Sleeping while on duty.

(17) Commission of any act which amounts to a criminal offence involving moral
turpitude.

(18) Absence from the employee’s appointed place of work without permission or
sufficient cause.

(19) Purchasing properties, machinery, stores etc. from or selling properties,

machinery, stores etc., to the company without express permission in writing from
the competent authority.

(20) Commission of any act subversive of discipline or of good behaviour.

(21) Abetment of or attempt at abetment of any act which amounts to misconduct.

(22) Making allegations against another employee/ key officials/ Company’s

Directors/ CMD. Use of insolent or impertinent or unparliamentary language in
any official dealing/correspondence or in any representation including appeal or
in any forum/meeting.

(23) Failure of the employee to comply with the terms and conditions associated with
the loan/advance granted to him under the Company’s Rules.

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(24) Violation or non-compliance with the Company’s Rules /Policies /Manuals/
Circulars/ Notices/ expressed instructions.

(25) Un-authorized use or occupation of the company’s quarters/land or other movable

or immovable property.

(26) Assaulting or threatening or intimidating any employee of the Company.

(27) Breach of any law applicable to the establishment or the Company or Conduct
Rules or any other Rules or specific orders issued by the Company from time to
time.

(28) Writing of anonymous letters, addressing appeals or representations to any person

other than the appropriate or appellate authority and forwarding advance copies of
appeals or representation to any other person outside the Company.

(29) Distribution or exhibition in the Company’s premises any bills, posters, pamphlets
or papers or causing them to be displayed by means of signs or writing or other
visible representation, any matter prejudicial to the company without previous
sanction of the management.

(30) Refusal to work on Holidays or on Sundays or beyond working hours when

notified/directed to do so in the exigencies of Company’s interest.

(31) Gherao, coercion, intimidation, wrongful confinement or use of force or forcibly

detaining any of the Company’s employees. Shouting/use of defamatory or
disrespectful statement/ slogans in the Company’s premises.

(32) Refusal to accept any order or notice communicated in writing.

(33) No employee shall indulge in any act of sexual harassment of any woman at the
workplace.
Explanation:
Sexual harassment includes such unwelcome sexually determined behaviour,
whether directly or by implication as :

a) Physical contact and advances

b) Demand or request for sexual favours
c) Sexually coloured remarks
d) Showing any pornography, or
e) Any other unwelcome physical, verbal or non-verbal conduct of sexual nature

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(34) Adopting a dilatory attitude, leading to delay in decision making/ or harassment
of the public.

Note :
The above instances of misconduct are illustrative in nature, and not exhaustive.

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 ANNEXURE-B
REPORT OF MISCONDUCT

To,

The Departmental Head/ Human Resource Department,

……………………………………………Department.
I wish to report as under:

1. Name & Employee No. of delinquent Employee

2. Designation of the delinquent Employee

3. Time and Date of incident

4. Place of occurrence

5. Details of misconduct

6. Name(s) & Signature of Witness (es)

7. Whether statements recorded and attached : Yes/No

Date : Signature of reporting Employee

(Complainant)
Name :
Designation :

………………………………………………….…………………………………………………
………………………………………..
Recommendation of Departmental Head : (To be forwarded to the Concerned HR Executive)

Signature of Departmental Head :

Date :

N.B. : This report should be filled in duplicate, one copy of which will be forwarded to the
Concerned HR Executive along with recommendations of Departmental Head. This copy
will ultimately be filed in the personal file of the person concerned.

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 Annexure-C
Schedule of Delegation of Powers in respect of Disciplinary Matters under CDA Rules

Grade Disciplinary Authority Appellate Reviewing

Code Minor Major Removal & Authority Authority
Penalty Penalty Dismissal
EXECUTIVES
E2 GM Sr. GM Appointing Next higher Executive/Authorit
Authority authority to y next higher to
the one who the Appellate
imposed the Authority
penalty
E3 GM Sr. GM -Do- -Do- -Do-
E4 Ch. GM Ch. GM -Do- -Do- -Do-
E5 Ch. GM Ch. GM -Do- Do -Do-
E6 Ch. GM ED -Do- -Do- -Do-
E7 ED ED -Do- -Do- -Do-
E8 Director Director CMD Committee of Board of Directors
Board
Members
E9 Director CMD CMD -Do- -Do-
(Excludi
ng
Function
al
Director
s)
SUPERVISOR

S1 Executive /
S2 Next higher
authority Authority next
S3
DGM GM Appointing executive to higher to the
S4
Authority the one who Appellate
SG
imposed the Authority
penalty

WORKMEN
W0
W1 Ch. Manager DGM -Do- -Do- -Do-
W2
W3

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 Grade Disciplinary Authority Appellate Reviewing
Code Minor Major Removal & Authority Authority
Penalty Penalty Dismissal
W4
W5 Ch. Manager DGM -Do- -Do- -Do
W6
W7
W8
W9 DGM GM -Do- -Do- -Do-
W10
W11
SG

1. For Group cases : Disciplinary Authority shall be as per the highest ranking executive.

2. For communication purposes : In cases where Directors/ CMD/Board is the Disciplinary

Authority/Appellate Authority/Reviewing Authority, the power of signing of the
documents/communications such as Memorandum of Charges, order appointing inquiring
authority, suspension pending enquiry/trial, final order etc. may be delegated to an
authority subordinate to him/her but not below the rank of Executive Director, subject to
overall control and the final decision being with the respective Directors, CMD / Board
in such disciplinary matters.

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 ANNEXURE-D
CHARGE SHEET

Ref. No. : Date : ………………….

Name ……………………………………..
Employee No. ……………………………
Designation ………………………………
Section ………………………………….
Department ……………………………

1. Whereas it has been reported that you have committed the following act(s) or omission
which constitute(s) misconduct in accordance with Conduct Discipline & Appeal Rules.
(i) (Full narration of the accounts of misconduct
(ii) in detail with particular reference
(iii) to date, time, place etc.)

2. You are, therefore, charged with having committed the following act(s) of misconduct:
i) (Mention only relevant portion from the clauses
ii) Applicable to misconduct and refer to number and
iii) Sub-clause of the CDA Rules against each of the charges).

3. You are required to submit to the undersigned a written explanation/statement of

defence* on or before ……………… showing cause as to why should you not be
dismissed or otherwise punished* for committing the above mentioned act(s) of
misconduct.

4. Should you fail to submit your explanation/statement of defence* as directed it will be

assumed that you have no explanation to offer and the matter will be disposed of ex-
parte.

5. Please acknowledge receipt of this charge-sheet on the duplicate copy enclosed.

Signature of the Disciplinary Authority

Name :
Designation :
Copy to :
1. Concerned Controlling Officer He is requested to hand-over the charge-sheet to
the above named employee after obtaining his
dated signature/left hand thumb impression on
the duplicate copy enclosed and return the same
for record.
2. Concerned HR Executive
3. Concerned File.
* Omit which is not applicable.

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 ANNEXURE-E1
ORDER OF SUSPENSION PENDING ENQUIRY

Ref. No. : Date : ………………….

Name ……………………………………..
Employee No. ……………………………
Designation ………………………………
Section ……………………………………
Department ………………………………

1. Certain allegations amounting to serious misconduct under the Conduct, Discipline &
Appeal Rules have been made against you. Formal charge-sheet is being issued
separately.

2. Since the allegations made against you are of a serious nature, you are hereby suspended
with immediate effect pending further proceedings and final orders in the matter.

3. During the period of your suspension, you shall not enter the Works Premises except with
the permission of the competent authority, nor should you leave the station without the
written permission of the undersigned.

4. You are required to surrender you token/identification card* to ………….. immediately.

5. During the period of your suspension, you will be entitled to draw Subsistence Allowance
as admissible under the rules.

6. Please acknowledge receipt of this order on the duplicate copy enclosed.

Signature of the Disciplinary Authority

Name :
Designation :

Copy to :

1. Concerned Controlling Officer He is requested to hand-over the charge-sheet to

the above named employee after obtaining his
dated signature/left hand thumb impression on
the duplicate copy enclosed and return the same
for record.
2. Pay & Accounts Section.
3. Concerned HR Executive.
4. Concerned File.
* Omit which is not applicable.

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 ANNEXURE-E2
ORDER OF SUSPENSION WHERE AN EMPLOYEE IS ACCUSED
IN A COURT OF LAW FOR A CRIMINAL OFFENCE

Ref. No. : Date : ………………….

Name ……………………………………..
Employee No. ……………………………
Designation ………………………………
Section ……………………………………
Department ………………………………

1. Whereas it has been reported that action is being taken to prosecute you/you have been
prosecuted in a Court of Law for an offence/under Section(s) ……………… of the
Indian Penal Code which is/are of serious nature involving moral turpitude/corruption*.

2. You are, therefore, placed under suspension with immediate effect until disposal of the
Criminal trial contemplated/pending against you in accordance with Rule
…………………………… of Conduct, Discipline and Appeal Rules.

3. During the period of your suspension you shall not enter the Works Premises except with
the permission of the competent authority nor should you leave the station without the
written permission of the undersigned.

4. You are required to surrender your token/identification card* to …………. Immediately.

5. During the period of suspension, you will be entitled to the Subsistence Allowance as
admissible under the rules.

6. Please acknowledge receipt of this order on the duplicate copy enclosed.

Signature of the Disciplinary Authority

Name :
Designation :
Copy to :
1. Concerned Controlling Officer He is requested to hand-over the charge-sheet to
the above named employee after obtaining his
dated signature/left hand thumb impression on
the duplicate copy enclosed and return the same
for record.
2. Pay & Accounts Section.
3. Concerned HR Executive.
4. Concerned File.

* Omit which is not applicable.

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 ANNEXURE-F
ORDER APPOINTING THE ENQUIRY OFFICER/COMMITTEE
Ref. No. : Date : ………………….

OFFICE ORDER

1. Whereas certain allegations constituting misconduct have been made against (name)
…………………………. Designation ………..……………… Section/Deptt.
………………………….. on which basis the charge-sheet was issued to him vide letter
No. …………… dated ………….. and whereas the above workman/employee* has
denied the allegation(s) and the charge(s)/has partly admitted the allegation(s) and the
charge(s) necessitating further enquiry/his explanation is not otherwise considered
satisfactory/his explanation has not been received*.

2. The undersigned, therefore, appoints …………………… as Enquiry Officer to enquire in

to the allegations and submit findings to the undersigned within ………………………….
Days for consideration.

*2. The undersigned, therefore, appoints an Enquiry Committee consisting of the following
members :

i) …………………………, Chairman

ii) …………………………., Member

iii) ………………………….., Convenor

to enquire into the allegations and submit findings to the undersigned within
……………………………… days for consideration.

3. Shri ……………………………… (name of delinquent employee) is directed to appear

before the said Enquiry Officer/Committee* and give his testimony and produce
witnesses and/or evidence in support of his defence before him/the Committee*.

Signature of the Disciplinary Authority

Name :
Designation :
Copy to :
1. Enquiry Officer/Members of the Enquiry Committee.
2. Delinquent employee.
3 Concerned HR Executive.
4. Concerned File.

* Omit which is not applicable.

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 ANNEXURE-G

ORDER APPOINTING THE PRESENTING OFFICER

Ref. No. : Date : ………………….

OFFICE ORDER

1. Whereas Charge-Sheet No. ………………… dated …………….. was issued to Shri

……………………… (name) ……………….. designation ……………… Section/Deptt.
…………………….

2. Whereas an Enquiry Officer/Committee* was appointed constituted to enquire into the

allegations against the above named employee vide No. …………. Dated
…………………

3. The undersigned, therefore, appoints Shri ………………….. (name), Designation

………………………………. Section/Deptt. …………………… as the Presenting
Officer to present the case and adduce evidence in support thereof, before the said
Enquiry Officer/Committee on behalf of the undersigned.

Signature of the Disciplinary Authority

Name :
Designation :

Copy to :
1. Shri ……………………………… (Presenting Officer)
2. Enquiry Officer/Members of the Enquiry Committee.
3. Delinquent employee.
4. Concerned HR Executive.
5. Concerned File.

* Omit whichever is not applicable.

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 ANNEXURE – H
NOTICE OF ENQUIRY
REGISTERED A/D
U.P.C.
Ref. No. : Date : ……………….

Name …………………………………..
Employee No. …………………………
Designation ………………………..….
Section ………………………….…….
Department ……………….…………..

Sub. : Enquiry Proceedings

1. In the matter of charge-sheet No. …………………….. dated …………………… issued

to you, it hereby informed that the undersigned/the Enquiry Committee* constituted vide
Office Order No. ………………………. dated ………………….. will hold enquiry in
………………. (Place) in the said matter on …………………… (date) and at
……………………. (time).

2. You are advised to appear at the above mentioned enquiry and produce all your witnesses
and evidence in support of your defence.

3. At the enquiry, the management evidence and witnesses will be examined first. You will
be given full opportunity to examine the evidence and cross-examine the management
witnesses on which the charges are based. You will then be given the opportunity to
produce defence evidence and witnesses. The Presenting Officer will have the right to
examine defence evidence and cross-examine defence witnesses.

4. In the enquiry, you may conduct your defence in person & take the assistance of a
representative as per the provisions of the Conduct, Discipline & Appeal Rules applicable
to you. Therefore, you may bring a representative to assist you in the enquiry, if you so
desire.

5. You should nominate your representative before the enquiry proceeds and should attend
alongwith him if you wish to be so assisted at the enquiry. The evidence and witnesses
you intend to produce in the enquiry should also be kept available.

6. Should you/the prosecution side* fail to appear at the enquiry as aforesaid, the
undersigned/committee* will be constrained to proceed with the enquiry ex-parte.

Signature of the Enquiry Officer/

Convener of the Enquiry Committee
Name :
Copy to : Designation :
1. …….……….……………………… (Presenting Officer)

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Page 63
2. …………………………………….. (Members of the Enquiry Committee*)
3. ……………..……………………… (HR Executive)
4. …………….………………………. (Disciplinary authority)
* Omit whichever is not applicable.

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 ANNEXURE-I
EXONERATION LETTER

Ref.No. Date………………….

Name ………………………………….
Employee No. …………………………
Designation …………………………….
Section ………………………………….
Department ……………………………

1. Please refer to the letter of charge No. …………… dated ………….. issued to you and
the subsequent enquiry into the allegations mentioned therein.

2. You are, hereby, exonerated of the charges levelled against you vide above mentioned
letter dated ………………………

*3. Your suspension order dated ………………………… in the above case is hereby
revoked; and you are advised to report for your duties forthwith, but not later than
………………………………

*4. Subject to (3) above, the period of your suspension will be treated as on duty and you will
be paid the difference between the subsistence allowance already paid to you and the
emoluments consisting of pay and allowances which you would have received had you
not been suspended.

Signature of the Disciplinary Authority

Name :
Designation :
Copy to :

1. Concerned Controlling Officer He is requested to hand-over the letter to the

above named employee after obtaining his dated
signature/left hand thumb impression on the
duplicate copy enclosed and return the same for
record.
2. Pay & Accounts Section.
3. Concerned HR Executive.
4. Concerned File.
*Omit if the employee was not placed under suspension.

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 ANNEXURE-J
WARNING LETTER

Ref. No. : Date : …………………

Name ………………………………….
Employee No. …………………………
Designation …………………………….
Section ………………………………….
Department ……………………………

1. As a result of the departmental enquiry held in your presence/ex-parte,*you are found

guilty jointly* and severally* of the charge(s) levelled against you. (If all the charges are
not proved, mention only those charges which are proved as per the charge sheet dated
…………………………. * ).

2. In the circumstances, the undersigned would have been fully justified to take a serious
view in the matter and inflict upon you severe punishment. However, in consideration of
the fact that your past record is satisfactory/you have admitted your guilt and requested
for pardon/with a view to offer you a fair chance to improve your conduct*, I have
decided to let you off with a written warning this time.

3. It is hoped that you will appreciate it and improve your conduct in future. However, you
should note that in future, if you are found guilty of this or similar misconduct, the
Management will not hesitate to take a very serious view, if justified by the facts and
circumstances of the case.

Signature of the Disciplinary Authority

Name :
Designation :

Copy to :
1. Concerned Controlling Officer He is requested to hand-over this letter to the
above named employee after obtaining his dated
signature/left hand thumb impression on the
duplicate copy enclosed and return the same for
record.
2. Concerned HR Executive.
3. Concerned File.

*Omit whichever is not applicable.

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 ANNEXURE-K
PUNISHMENT ORDER – CENSURE

Ref. No. : Date: ………………….

Name ………………………………….
Employee No. …………………………
Designation …………………………….
Section ………………………………….
Department ……………………………

1. As a result of the departmental enquiry held in your presence/ex-parte, * you are found
guilty of the charge(s) levelled against you. (If all the charges are not proved, mention
only those charges which are proved as per the charge-sheet dated ……………………….
*).

2. In the circumstances, the undersigned would have been fully justified to take a serious
view in the matter and inflict upon you severe punishment. However, in consideration of
the fact that your past record is satisfactory/you have admitted your guilt and requested
for pardon*/with a view to offer you a fair chance to improve your conduct*. You are
hereby Censured.

Signature of the Disciplinary Authority

Name :
Designation :

Copy to :
1. Concerned Controlling Officer He is requested to hand-over this letter to the
above named employee after obtaining his dated
signature/left hand thumb impression on the
duplicate copy enclosed and return the same for
record.
2. Concerned HR Executive.
3. Concerned File.

*Omit whichever is not applicable.

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 ANNEXURE-L
PUNISHMENT ORDER – FINE

Ref. No. : Date : ………………

Name ………………………………….
Employee No. …………………………
Designation …………………………….
Section ………………………………….
Department ……………………………

1. Further to the charge-sheet No. ……………….. dated ……………. issued to you and
receipt of your explanation dated ………………….., an enquiry was held into the
charge(s) levelled against you.

2. The undersigned finds from the proceedings of the enquiry that reasonable opportunity
was provided to you for conducting your defence at the enquiry by cross-examining
management witnesses and producing your defence.

3. The undersigned has carefully gone through the records of the enquiry, the connected
papers, documents and findings of the Enquiry Officer/Committee* and based on the
findings at the enquiry, it is found that the following charge(s) levelled against you
has/have been sufficiently proved/established*.

4. Not only your previous record is not good/unsatisfactory* and there are no extenuating
circumstances, your present acts of misconduct are serious and by themselves warrant
severe disciplinary action.

5. In the circumstances, it has been decided to punish you by way of imposition of a fine
amounting to Rs. ……………. Which is required to be deposited by you at the cash
counter of the Finance & Accounts Department by ………… (date)/which will be
recovered from your salary/wages bill for the month of …………….., 20…..

Signature of the Disciplinary Authority

Name :
Designation :
Copy to :
1. Concerned Controlling Officer He is requested to hand-over this letter to the
above named employee after obtaining his dated
signature/left hand thumb impression on the
duplicate copy enclosed and return the same for
record.
2. Concerned HR Executive.
3. Concerned File.
*Omit whichever is not applicable.

GUIDELINES FOR DISCIPLINARY PROCEDURES

Page 68
 ANNEXURE-M
PUNISHMENT ORDER - SUSPENSION
Ref. No. : Date: ………………….

Name ………………………………….
Employee No. …………………………
Designation …………………………….
Section ………………………………….
Department ……………………………

1. Further to the charge-sheet No. ……………… dated ………………… issued to you and
receipt of your explanation dated ………………., an enquiry was held into the charge(s)
levelled against you.
2. The undersigned finds from the proceedings of the enquiry that reasonable opportunity
was provided to you for conducting your defence at the enquiry by cross-examining
management witnesses and producing your defence.
3. The undersigned has carefully gone through the records of the enquiry, the connected
papers, documents and findings of the Enquiry Officer/Committee* and based on the
findings at the enquiry,* it is found that the following charge(s) levelled against you
has/have been sufficiently proved/established*.
4. Not only your previous record is not good/unsatisfactory* and there are no extenuating
circumstances, your present acts of misconduct are serious and by themselves warrant
severe disciplinary action.
5. In the circumstances, it has been decided to punish you by way of suspension from duty
for day(s) w.e.f. ……………………. (date). Accordingly you will remain suspended
from duty from …………………….. to ………………. (date). You are to report back for
your duties on ………………….. (date).
6. Please note that you will not be entitled for any wages for the aforesaid period of your
suspension.

Signature of the Disciplinary Authority

Name :
Designation :
Copy to :
1. Concerned Controlling Officer He is requested to hand-over this letter to the
above named employee after obtaining his dated
signature/left hand thumb impression on the
duplicate copy enclosed and return the same for
record.
2. Concerned HR Executive.
3. Concerned File.
* Omit whichever is not applicable.

GUIDELINES FOR DISCIPLINARY PROCEDURES

Page 69
 ANNEXURE-N
PUNISHMENT ORDER – STOPPAGE OF INCREMENT
Ref. No. : Date: ………………….

Name ………………………………….
Employee No. …………………………
Designation …………………………….
Section ………………………………….
Department ……………………………

1. Further to the charge-sheet No. ……………….. dated ……………… issued to you and
receipt of your explanation dated …………….., an enquiry was held into the charge(s)
levelled against you.

2. The undersigned finds from the proceedings of the enquiry that reasonable opportunity
was provided to you for conducting your defence at the enquiry by cross-examining
management witnesses and producing your defence.

3. The undersigned has carefully gone though the records of the enquiry, the connected
papers, documents and findings of the Enquiry Officer/Committee* and based on the
findings at the enquiry, it is found that the following charge(s) levelled against you
has/have been sufficiently proved/established*.

4. Not only your previous record is not good/unsatisfactory* and there are no extenuating
circumstances, your present acts of misconduct are serious and by themselves warant
severe disciplinary action.

5. In the circumstances, it has been decided to punish you by with-holding/stopping your

next ………………….. annual increment(s) with / without* cumulative effect.

Signature of the Disciplinary Authority

Name :
Designation :
Copy to :
1. Concerned Controlling Officer He is requested to hand-over this letter to the
above named employee after obtaining his dated
signature/left hand thumb impression on the
duplicate copy enclosed and return the same for
record.
2. Pay & Accounts Section
3. Concerned HR Executive
4. Concerned File.
* Omit whichever is not applicable.

GUIDELINES FOR DISCIPLINARY PROCEDURES

Page 70
 ANNEXURE-O

PUNISHMENT ORDER – REDUCTION IN PAY/RANK

Ref. No. : Date : ………………….

Name ………………………………….
Employee No. …………………………
Designation …………………………….
Section ………………………………….
Department ……………………………

1. Further to the charge-sheet No. ……………. Dated …………….. issued to you and
receipt of your explanation dated ……………….., an enquiry was held into the charge(s)
levelled against you.

2. The undersigned finds the proceedings of the enquiry that reasonable opportunity was
provided to you for conducting your defence at the enquiry by cross-examining
management witnesses and producing your defence.

3. The undersigned has carefully gone through the records of the enquiry, the connected
papers, documents and findings of the Enquiry Officer/Committee* and based on the
findings at the enquiry, it is found that the following charge(s) levelled against you
has/have been sufficiently proved/established*.

4. Not only your previous record is not good/unsatisfactory* and there are no extenuating
circumstances, your present acts of misconduct are serious and by themselves warant
severe disciplinary action.

5*. In the circumstances, it has been decided to reduce your pay from
Rs. …………………….. to Rs. ……………… in the scale of Rs. ……………… (present
scale of pay) with effect from ………………. (date).

5*. In the circumstances, it has been decided to reduce you to the lower post of
…………………………………. (lower designation) and you will draw a basic pay of
Rs. ……………………………… in the scale of Rs. ………………… (lower scale of
pay) with effect from …………………….. (date) for a period of …………………
(months/years). On the expiry of the aforesaid period, you will be restored to the position
of ………………………….. (present designation) in the scale of Rs. ……….. (present
scale of pay) and you will draw a basic pay of Rs. ………………….. in the scale of Rs.
……………… (present scale of pay).

5*. In the circumstances, it has been decided to reduce you to the post of
………………………….. (lower designation) in the scale of Rs. …………….. (lower
scale of pay) and you will draw a basic pay of Rs. …………………….. in the scale of

GUIDELINES FOR DISCIPLINARY PROCEDURES

Page 71
 Rs. …………………… (lower scale of pay) with effect from
……………………………… (date).

6*. You are posted to …………………. (Section)……………………. (Department)

Signature of the Disciplinary Authority

Name :
Designation :

Copy to :
1. Concerned Controlling Officer He is requested to hand-over this letter to the
above named employee after obtaining his dated
signature/left hand thumb impression on the
duplicate copy enclosed and return the same for
record.
2. Pay & Accounts Section
3. Concerned HR Executive
4. Concerned File.

* Omit whichever is not applicable.

GUIDELINES FOR DISCIPLINARY PROCEDURES

Page 72
 ANNEXURE-P

PUNISHMENT ORDER – REMOVAL/DISMISSAL

Ref. No. : Date : ………………….

Name ………………………………….
Employee No. …………………………
Designation …………………………….
Section ………………………………….
Department ……………………………

1. Further to the charge-sheet No. ……………….. dated ……………… issued to you and
receipt of your explanation dated …………………….., an enquiry was held into the
charge (s) levelled against you.

2. I find from the proceedings of the enquiry that reasonable opportunity was provided to
you for conducting your defence at the enquiry by way of examination of the
documents/materials produced by the prosecution side and/or cross-examination of
procecution witnesses and production of your own documents/materials and examination
of your own witnesses including yourself.

3. I have very carefully gone through the records of the enquiry, the connected papers,
documents and findings of the Enquiry Officer/Committee* and fully agree with the
findings that on the evidence at the enquiry, the following charge(s) levelled against you
has/have been established beyond doubt.

4. On due consideration of the gravity of your misconduct/your previous record*, I find that
the charges levelled against you are of grave nature and warrant severe punishment.
*Moreover, there is no extenuating or aggravating circumstances.

5. In the circumstances, I hereby remove/dismiss you from the services of the Company
with effect from …………………. (date)/immediate effect*.

6. Since you are a workman concerned in an/the* industrial dispute pending before
………………………. (name of the authority), you are being paid wages for one month
amounting to Rs. …………………../wages for one month amounting to Rs.
………………. is being remitted to you by money order* and simultaneously an
application is being made to the …………… (name of the authority before which the
proceeding is pending) for approval of the action taken against you under Section 33 (2)
(b) of the Industrial Disputes Act, 1947.

GUIDELINES FOR DISCIPLINARY PROCEDURES

Page 73
7. You should surrender the token/identification card*, medical card, bus pass and all other
properties of the Company issued to you/in your possession.

8. You are also required to vacate the Company’s quarters/accommodation, if any, in your
occupation/possession by ………………… (date).

9. Final payment will be made to you subject to receipt of ‘No Demand Certificate’ from
all and adjustment of outstanding dues, if any.

Signature of the Disciplinary Authority

Name :
Designation :
Copy to :
1. Concerned Controlling Officer He is requested to hand-over this letter to the
above named employee after obtaining his dated
signature/left hand thumb impression on the
duplicate copy enclosed and return the same for
record.
2. Pay & Accounts Section
3. Concerned HR Executive
4. Concerned File.

N.B. This order is not to be made by an authority lower than the appointing authority of the
employee concerned, notwithstanding the fact that the appointing authority might have
subsequently delegated the power of appointment of employees of the category/rank to
which the employee belongs, to such lower authority.

* Omit whichever is not applicable.

GUIDELINES FOR DISCIPLINARY PROCEDURES

Page 74
 PAY
SCALES

Page 75
 PAY SCALES
Pay Scale Effective Date: 01.01.2017
Board Level Executives -
Pay Scale (Rs.) Representative Designation
200000-370000 Chairman and Managing Director
180000-340000 Functional Director

Executives (Below Board Level)

Scale Code Pay Scale (Rs.) Representative Designation

E2 50000-160000 Engineer/Officer
E3 60000-180000 Assistant Manager
E4 70000-200000 Dy. Manager
E5 80000-220000 Manager
E6 90000-240000 Chief Manager
Deputy General Manager
E7 100000-260000
Senior DGM
General Manager
E8 120000-280000 Senior GM
Chief GM/ GM- Functional Head
E9 150000-300000 Executive Director

Rate of Increment: A uniform rate of 3% of Basic pay will be applicable for both
annual increment as well as promotion increment, rounded off to the next multiple of Rs.
10/-

Stagnation increment:

(i) The rate of stagnation increment will be 3% of the revised basic pay rounded off
to next multiple of Rs.10/-

(ii) Executives shall be allowed to draw maximum three stagnation increments, one
after every two years, upon reaching the maximum of the revised pay scale
provided the executives get a performance rating of “Good” or above.

POSOCO PAY SCALES

Page 76
(iii) Stagnation increment shall be treated as basic pay for all purposes except for
further stagnation increments and promotion benefits.

(iv) In case of re-designation to Sr. DGM/Sr.GM/CGM grade, no increment shall be

granted.

Supervisors

Scale Code Scale Code Representative Designation

S1 25000 – 117500 Jr. Engineer Gr-IV/ Jr. Officer (HR/
Accounts/ Law/ etc.) Gr.-IV/ Jr. Private
Secretary.
S2 26000 – 118000 Jr. Engineer Gr.-III / Jr. Officer (HR/
Accounts/ Law/ etc.) Gr.-III / Private
Secretary Gr.-II.
S3 27000 – 118500 Jr. Engineer Gr.-II/ Jr. Officer (HR/ Accounts/
Law/ etc.) Gr.-II/ Private Secretary Gr.-I.
S4 28000 – 119000 JE Gr-I / Jr. Officer (HR/ Accounts/ Law/
etc.) Gr.-I/Sr. PS
Selection 29000 – 119500 JE Gr-I (SG)/ Sr. PS (SG)/ Jr. Officer (HR/
Grade Accounts/ Law/ etc.) Selection Grade.

Rate of Increment: The rate of annual increment will be 3% of the Basic Pay rounded
off to the next multiple of Rs.10/-.

Stagnation increment:
(i) The rate of stagnation increment will be 3% of the revised basic pay rounded off
to next multiple of Rs.10/-

(ii) Supervisors shall be allowed to draw upto 3 stagnation increments, one after
every 2 years, upon reaching the maximum of the revised pay-scale provided the
supervisors gets a performance rating “ Good” or above.

(iii) Stagnation increments shall be treated as basic pay for all purposes except for
further stagnation increments and promotion benefits.

POSOCO PAY SCALES

Page 77
Scale Code Pay Scale (Rs.) Representative Designation
W0 20000 – 57500 Multi-Tasking Staff Gr. – VII

W1 20500 – 68000 Multi-Tasking Staff Gr. – VI

W2 21000 – 72000 Multi-Tasking Staff Gr. – V

W3 21500 – 74000 Jr. Technician / Jr. Assistant/ Jr. Operator/ Multi-

Tasking Staff Gr. – IV

W4 22000 – 85000 Technician Gr.-IV /Assistant Gr.-IV/ Steno-typist/

Store Keeper Gr.-IV/ Operator Gr.-IV/ Multi-
Tasking Staff Gr. – III
W5 22500 – 100000 Technician Gr.-III /Assistant Gr.-III/ Stenographer/
Store Keeper Gr.-III/ Operator-(O&M) Gr.-III/
Multi-Tasking Staff Gr. – II
W6 23000 – 105000 Technician Gr.-II/Assistant Gr.-II/Sr. Stenographer/
Store Keeper Gr.-II/ Operator- Gr.II / Multi-Tasking
Staff Gr. – I.
W7 24000 – 108000 Technician Gr.-I /Assistant Gr.-I/Store Keeper Gr.-I
/ Operator- Gr.-I
W8 25000 – 117500 Sr.Operator Gr.-III/ Sr.Technician /Sr. Assistant Gr.-
III/Sr. Store Keeper Gr.-III
W9 26000 – 118000 Master Technician Gr.-II/ Sr.Assistant Gr.-II/Sr.
Store Keeper Gr.-II / Sr.Operator Gr.-II/
W10 27000 – 118500 Sr. Operator Gr.-I/Master Technician Gr.-I/Sr.
Assistant Gr.-I/Sr. Store Keeper Gr.-I
W11 28000 - 119000 Sr. Operator Gr.-IA /Master Technician Gr.-IA/Sr.
Assistant Gr.-IA
Workmen 29000 - 119500 Sr. OperatorGr.-IA (SG)/ Master Technician Gr.-IA
Selection (SG)/ Sr. Assistant Gr.-IA (SG)
Grade

Rate of Increment: The rate of annual increment will be 3% of the Basic Pay rounded
off to the next multiple of Rs.10/-.

Stagnation Increment:
(i) The rate of stagnation increment will be 3% of the revised basic pay rounded off
to next multiple of Rs.10/-

POSOCO PAY SCALES

Page 78
(ii) Workmen will be allowed to draw upto 3 stagnation increment, one after every
two years upon reaching the maximum of revised pay scale. The stagnation will
be treated as basic pay for all purpose for further stagnation increment and
promotion benefit.

(iii) Stagnation increments shall be treated as basic pay for all purposes except for
further stagnation increments and promotion benefits.

Stipend rates for Trainees under Company’s Training Scheme

Executive Trainees In the minimum pay scale of ₹ 60000-180000 and other

allowances and benefits as applicable, during the one-year
training period.
On regularization, compensation package will include
Performance Related Pay, Company Leased
Accommodation / Company Quarters or HRA,
Reimbursement of monthly conveyance expenditure,
mobile facility, Group Insurance, Personal Accident
Insurance, PF, Gratuity, Pension & Leave encashment
etc.

Assistant Engineer AET/AOT shall be paid a stipend in the form of Basic

(Trainee)/Assistant Officer Pay of Rs. 40000/- per month in the scale of
(Trainee) Rs.40000-3%-140000 (IDA) along with Industrial
Dearness Allowance (IDA), House Rent Allowance
(HRA) and perks @12% of Basic pay during training
period.
On successful completion of training/ regularisation they
will be absorbed as Engineer/ Officer and placed in the
DPE Scale of E2 (Rs.50000-3%-160000) with the initial
Basic Pay of Rs. 50000/- and benefits / allowance of a
regular employee at E2 level shall be applicable.

Diploma/ Supervisor Stipend Rs.27,500/- per month

Trainee (Revised stipend when IDA becomes 50% will be
Rs.37,500/- per month)

Workmen Trainee/ Stipend Rs.18,500/- per month

Jr. Technician Trainee (Revised stipend when IDA becomes 50% will be
Rs.25,500/- per month)

POSOCO PAY SCALES

Page 79
 DESIGNATION
Executive Secretary Category in Executive cadre will be as follows:

Level Designation
E2 Executive Secretary Gr- I
E3 Executive Secretary Gr- II
E4 Sr. Executive Secretary Gr- I
E5 Sr. Executive Secretary Gr- II
E6 & above Principal Executive Secretary

Reference:
(1) Corporate HR Circular No. 14/2018 dated 11.06.2018 (Pay revision of Board Level
and below Board level executives w.e.f 01.01.2017)
(2) Corporate HR Circular No. 10/2019 dated 29.03.2019 (Revision of Pay and Benefit
Structure for Employees in the Supervisory Category)
(3) Corporate HR Circular No. 9/2019 dated 29.03.2019 (Revision of Pay and Benefit
Structure for Employees in the Workmen Category)
(4) Corporate HR Circular No.35/2018 dated 30.11.2018 (Regarding designations in
Executive Category)
(5) Corporate HR Circular No.11/2019 dated 01.04.2019 (Revision of Remuneration of
Asst Engineer Trainee/ Asst Officer Trainee)
(6) Corporate HR Circular No. 31/2019 dated 15.10.2019(Revised Stipend for
Supervisory and Workmen Trainees)

POSOCO PAY SCALES

Page 80
 DEARNESS
ALLOWANCE

Page 81
 DEARNESS ALLOWANCE
Effective Date: 01.01.2017

(a) The Dearness Allowance shall be revised on 1st April, 1st July, 1st October and 1st
January of each year based on the percentage increase in the quarterly average of
the AICPI for the quarters ending February, May, August and November
respectively.

(b) The Dearness Allowance in the revised pay scales as on 01.01.2017 shall be zero,
linked to All India Consumer Price Index (AICIPI) 2001 =100 which is 277.33 as
on 01.01.2017. The quarterly DA payable on Basic pay from 01.01.2017 shall be as
follows:-

Effective Average of AICPI Revised DA rates

Date (% of Basic Pay)
01.01.2017 277.33 0.0
01.04.2017 274.33 -1.1
01.07.2017 276.67 -0.2
01.10.2017 283.33 2.2
01.01.2018 286.67 3.4
01.04.2018 287.00 3.5
01.07.2018 288.00 3.8
01.10.2018 297.66 7.3
01.01.2019 301.66 8.8
01.04.2019 305.00 10
01.07.2019 311.67 12.4
01.10.2019 318.33 14.8
01.01.2020 325.00 17.2
01.04.2020 329.33 18.7
01.07.2020 328.33 18.4

DEARNESS ALLOWANCE
Page 82
GUIDELINES ON
ENGAGEMENT
OF
CONTRACTOR’S
WORKERS &
STAFF

Page 83
 GUIDELINES ON ENGAGEMENT OF
CONTRACTOR’S WORKERS & STAFF
Engagement of contract labour on our premises has to be governed by (a) Company
policy in this regard, (b) the Contract Labour (Regulation and Abolition) Act, 1970
(hereafter called as Act) and all other allied Acts and Rules applicable in this
context. The engagement of Contract Labour, which has met the requirements of
factors mentioned above, will be governed by the following procedures:-

1.0 Every contractor who is to be allowed to engage his workmen and staff on our
premises, will undertake to fulfil all the obligations under laws in force from time
to time and keep POSOCO indemnified against any loss or liability arising out of
his failure to abide by them. Suitable clauses to this effect will form part of the
terms of every contract.

2.0 Whenever a Department/the Contract Department engages a contractor, the

concerned Manager (or his nominee) will send a copy of the Letter of Award/Work
Order to the Human Resource Department on receipt of which the Human Resource
Department will send Form ‘A’ (attached) to the Contractor and make necessary
entries in the Register of Contractors (Form 12). In cases where contractors are
already working, intimation in this said form must be collected immediately by the
Human Resource Department.

3.0 Thereafter, if the Act does not require the contractor to obtain a licence (i.e. when
he has workers numbering only upto 19), his workmen and staff can commence
work on our premises, as soon as he has covered them under a Workmen
Compensation Policy (WCP), in proof thereof the contractor will submit a true copy
of an insurance policy (WCP), to Human Resource Department or has certified that
he will undertake liability arising out of the Workmen’s Compensation Act 1923
and rules made thereunder.

4.0 a) If the act requires the contractor to obtain a licence, his workmen and staff can
commence work on our premises as soon as he :
i) has given to Human Resource Department a true copy of the Licence under the Act.
ii) has submitted the names and addresses of all workers and staff to Human Resource
Department. Supplementary lists will be given when changes take place.
iii) Workmen and staff of such a Contractor can work on our premises only during the
validity period of the licence issued to him.

5.0 Human Resource Department will keep the statutory Register of Contractors upto
date at all times. Details in respect of every Contractor will be entered in this
Register before his workers and staff commence work on our premises.

GUIDELINES ON ENGAGEMENT OF CONTRACTOR’S WORKERS & STAFF

Page 84
6.0 All Contractor’s workers and staff will be issued token or identity card preferably
in Form ‘B’ or in some other form nearer to it, duly signed by the Contractor or his
representative and by authorised person of POSOCO.

7.0 If a Contractor completes his work before the expiry of the period of contract
(previously intimated to Human Resource Department in Form ‘A’) or after
extended period, if any, the concerned Manager or his nominee will write to Human
Resource Department accordingly on the day of the completion of work. Human
Resource Department will then ask the Contractor to deposit back the identity
cards/tokens.

8.0 If any Contractor desires to increase the number of workers and staff engaged on
our premises beyond the limit prescribed under the licence in cases of Licenced
Contractor and beyond the number intimated to us by unlicenced Contractor, the
licence should be amended/obtained accordingly.

9.0 At least minimum wages prescribed by the Government will have to be paid by the
Contractor. Every Contractor will be required to make payment to his workers and
staff within the stipulated time on expiry of wage period in presence of the
representatives (not below the rank of supervisor) deputed by POSOCO
management for the purpose, who in token of having supervised the payments will
sign on the wage register or pay sheet, as the case may be. The representative will
be deputed by the executive concerned under whom the Contractor is working. In
order that this system is followed, the Human Resource Department will carry out
random checks and suggest measures, if any, to ED/Chief General Manager for
proper implementation.

10.0 One Contractor is not permitted to float two or more contractorship in different
names, specially in case of unlicenced Contractor.

11.0 Before releasing the final bill, the Contractor concerned will be required to obtain
a “No Objection Certificate” from Human Resource Department to ensure that he
does not leave behind any obligation like payment of wages, retrenchment
compensation etc. Before giving “No Objection Certificate”, the Human Resource
Department will issue a notice asking for claims of employees concerned including
employees of Sub-Contractors.

12.0 Ordinarily engagement of Sub-Contractors will not be allowed except on project

jobs.

13.0 Human Resource Department will ensure that other benefits/facilities as laid down
in the Act are provided.

GUIDELINES ON ENGAGEMENT OF CONTRACTOR’S WORKERS & STAFF

Page 85
14.0 It may be advisable to hold meetings periodically (say once in a month) of
contractors, line-executives and Human Resource Department’s representatives
and ED/CGM, GM to discuss problems relating to contract labour and staff.

15.0 Human Resource Department will device suitable methods to have prior
information on problems that may assume industrial relations dimension and guide
and advise the Contractors to take preventive measures.

16.0 Contractors may be advised to inform the Human Resource Department as soon as
the Industrial Relations problem is identified rather than waiting till the last moment
of precipitation of problem.

17.0 Basically it will be the responsibility of the contractors to settle their

problems/disputes including law and order problems. If requested, Human
Resource Department will provide necessary guidance/assistance including
assistance of security personnel.

18.0 For establishments where MPIR Act applies, the following provisions may be kept
in mind :

As per Section 2 (13) of M.P. Industrial Relations Act, 1960, the definition of
employee is as under:

“Employee” means any person employed in any industry to do any skilled,

unskilled, manual, supervisory, technical or clerical work for hire or reward
whether the terms of employment be express or implied, and includes –
(a) a person employed by a contractor to do any work for him in the execution
of a contract with an employer within the meaning of sub-clause(e) of clause
14.

Sub: clause (e) of clause 14 while describing “Employer” reads as under:

Where the owner of any undertaking in the course of or for the purpose of
conducting the business of undertaking, contracts with any person for the execution
by or under the contractor for the whole or any part of any work which is ordinary
part of the undertaking, the owner of the undertaking.

It is, therefore, evident that the Principal employer will become a party to an
Industrial Dispute that may occur in a Contractor’s establishment, and by
implication he has an ultimate responsibility for industrial dispute.

In practice, whenever industrial disputes in the Contractors’ establishments have

been registered with the State Government Labour Authorities, the Principal
Employers have been made a party in the dispute.

GUIDELINES ON ENGAGEMENT OF CONTRACTOR’S WORKERS & STAFF

Page 86
 FORM ‘A’
PARTICULARS OF CONTRACTOR & HIS WORKERS & STAFF
1. i) Name of the Contractor
(in block letters)

ii) Nature of Business : …………………………………..

iii) Permanent Address : …………………………………..
iv) Local Address : …………………………………..
2. i) Nature of work (Give a
detailed description of the : From ………. To ……………….
work done/to be done by
you in the project of
POSOCO) : …………………………………..
ii) Period of contract : .....................................
iii) Maximum No. of workers
and staff to be engaged on
any day during the year : Yes/No
(iv)Do you have simultaneous
contract anywhere else? : .......................................
v) Since your workers are not
covered by Employees
State Insurance
Scheme(ESIS), have you
covered them under a
Workmen’s
Compensation Policy?
If ‘yes’ : Name of Company ………………......…….. Policy No.
...........…………No. of persons covered ……….. Period of coverage from
…………............... To …………………. If No, I here by undertake the liability
arising out of Workmen’s Compensation Act and rules made thereunder.
3. i) Wage period Monthly/Fortnight/Weekly
(Tick whichever is applicable)
ii) Date of wage payment : :
(Has to be within 7 days …………………………………………………….
from the end of your wage
period)
iii) Day of weekly holiday :
iv) Your financial year …………………......…………………………….
: From ……………….. To ……………………
4. i) Paid holidays per year :-
(Specify below the days/festivals or other occasions, when such holidays are
allowed).
1 2 3 4
5 6 7 8

GUIDELINES ON ENGAGEMENT OF CONTRACTOR’S WORKERS & STAFF

Page 87
 5. i) Whether leave is allowed? If ‘Yes’
No. of days basis if any ………………………..
…………………………
6. i) Designations and rate of pay of your workers and staff.
(i) (ii) (iii) (iv)
Designation:
Rate of Pay:

7. If any other allowance is paid to your workers and staff or benefits, indicate those
clearly :

8. Name & Address of sub-contractor(s), if any :

i)
ii)
iii)
iv)
I/We shall fulfill and obligations arising from and under all laws in force time to
time and keep the POSOCO indemnified against any loss or liability arising out of
failure of my/our abiding the laws.
The name of my/our representative is ……………………….. to enter the
POSOCO premises on my behalf.

Signature of the Contractor or

His authorised representative

Date :

Seen by me and this contractor is/will be engaged in our project.

Signature of the Executive of POSOCO

GUIDELINES ON ENGAGEMENT OF CONTRACTOR’S WORKERS & STAFF

Page 88
 FORM ‘B’

IDENTITY CARD FOR CONTRACTOR’S WORKERS/STAFF

1. Name (in Block letters)

2. Age

3. Sex

4. Mark of Identification

5. Name and address of the Contractor under

whom engaged
6. Job/Area of work for which engaged

7. Date of issue

8. Valid upto

Signature of the Contractor/ Issuing Authority

His representative

GUIDELINES ON ENGAGEMENT OF CONTRACTOR’S WORKERS & STAFF

Page 89
 POLICY
GUIDELINES TO
GOVERN
AND
REGULATE
RECRUITMENT
OF CASUAL
EMPLOYEES

Page 90
 POLICY GUIDELINES TO GOVERN AND REGULATE
RECRUITMENT OF CASUAL EMPLOYEES

INTRODUCTION

Indiscriminate and unplanned induction of casual/muster roll staff specially during construction
of projects have been the root cause of over-manning and industrial strife in many Undertakings
in the public sector. Continuation in service of casual employees for long periods at wage rates
considerably lower than that of employees in regular pay scales performing identical jobs, apart
from causing discontent and frustration and consequent demand for regularisation, is also to be
discouraged as an unfair labour practice.

Employer also incurs certain legal liabilities under different statutes arising out of continued
employment beyond certain stipulated periods. For example, all appointments for a period of 3
months and more, by whatever name called, attract the provisions of Employments Exchange
(Compulsory Notification of Vacancies) Act, 1959. Similarly, provisions regarding retrenchment
and lay-off under the Industrial Disputes Act are applicable as soon as an employee completes
continuous service of 240 days. Employer is also liable for implementing the employees
Provident Fund Act in all cases of employees. Presidential Directives on reservation of posts for
Scheduled Castes and Scheduled Tribes are applicable to vacancies above 45 days duration.

It is against the above backdrop that it is proposed to lay down the following policy guidelines
with regard to employment of persons on casual basis. The guidelines will not cover consultants,
advocates etc. engaged against fee, honorarium or on retainership basis.

1. It will be the endeavour of all concerned in POSOCO to determine the manpower

requirements both in the long term and in the short term for all categories based
on a systematic assessment of tasks and targets keeping in view the Company’s
policy to restrict the number of casual employees to the barest unavoidable
minimum.

2. There will be no creation of and appointment to posts in Executive and

Supervisory categories on casual basis except in very special circumstances in
which case the power for creating such casual posts shall vest exclusively in the
Chairman & Managing Director.

3. The three broad categories of non-supervisory posts that can be operated on

casual basis are :

(a) Posts for which budget sanction exists such as regular posts operated on casual
basis, posts which are likely to exist for the entire duration of project and for jobs
of short duration but of recurring nature.
(b) Posts for which budget sanction exists such as where placement of employees on
regular basis may take time, and for leave vacancies.

GUIDELINES TO GOVERN AND REGULATE RECRUITMENT OF CASUAL EMPLOYEES

Page 91
 (c) Posts for which budget sanction does not exist and wage payments are charged
directly to the concerned works. These may be of two categories:
- Jobs of short duration which can be anticipated in advance; and
- Unforeseen jobs of short duration for which no advance planning can be possible.

(A) Categories covered under ‘A’ are follows:

(i) Regular posts initially operated on casual basis, with a view to watching
performance and general conduct before the incumbents are made regular. This
would be restricted to posts in unskilled categories only.

(ii) Posts which are likely to exist for the entire duration of the Project, but might
result in the incumbents being rendered surplus on completion of the Project.
Specially in the unskilled and semi-skilled categories, all care should be taken (in
selecting the personnel) to ensure that only those persons are appointed who have
the education and potential for being trained and developed eventually as skilled
and semi-skilled workers capable of being absorbed in the regular establishment.

(iii) Jobs of short duration and of recurring nature within the project as a whole, where
it is possible to determine the minimum number of employees in unskilled, semi-
skilled and other non-supervisory categories for necessary sanction by the Board
of Directors and may be filled by the employees initially on daily rated basis with
a view of eventual regularisation.
Recruitment to all the above posts for which budget sanction exists will be done
in the same manner as for regular posts i.e. job specification. Employment
Exchange procedure and medical examination etc. will be adhered to. Human
Resource Department will recruit and the appointing authority for these posts will
be the same as for regular posts.

(B) Apart from the above, the recruitment of casual manpower in non-supervisory
categories may take place in cases :

(i) Where placement of employees on regular basis may take time, owing to
formalities to be complied with. This will, however, be restricted to such posts
which are required to be filled urgently and if the required personnel are not
placed in position, certain equipment/machines will be kept idle. However, in no
case will it be operated in unskilled categories.

(ii) Where regular employee is absent on leave and substitute is not available, for a
period of absence less than 15 days, normally to substitute will be provided.

For the purposes of recruitment, the above posts will be classified into the
following categories:

(a) Casual vacancies for duration of not more than 30 days.

GUIDELINES TO GOVERN AND REGULATE RECRUITMENT OF CASUAL EMPLOYEES

Page 92
 Recruitment may be made to fill these casual vacancies by the Head of
Department not below the rank of Manager, with the concurrence of Human
Resource Department which will issue necessary order in this regard and maintain
necessary record. Such employees will be taken on the Muster Roll for a duration
not exceeding 30 days and their services dispensed with on expiry of the
stipulated period. No such employee taken on Muster Roll will be retained in
service, beyond 30 days except with specific sanction of Competent Authority, for
which the Human Resource Department will issue the necessary orders and
maintain records.

(b) All appointments to Casual posts for duration of 31 days but less than 90 days
will be made by Head of the Human Resource Department on requisition of the
indenting department, after obtaining the due sanction of the Competent
Authority.

For purposes of all such appointments, Human Resource Department will

maintain a panel of suitable candidates by following the appropriate recruitment
procedure and subject to compliance of the following conditions:

- The names of the candidates considered must have been sponsored by

Employment Exchange.
- Candidates must meet all prescribed eligibility standards including medical
fitness.
- Panel should be prepared on the basis of selection interviews to be conducted
before a duly constituted Selection Board as indicated in the general ‘Recruitment
Policy and Procedures’.

In respect of the above posts, the appointment order will clearly specify the
duration, and appointment will stand automatically terminated on expiry of the
stipulated period.

(C) Posts for which budget sanction does not exist and wage payments are charged
directly to the concerned works.

Jobs of short duration and not of recurring nature may be categorised.

i) Jobs of short duration which can be anticipated in advance: Such jobs may be
contracted out well in advance and no casual labour should be engaged.

ii) Unforeseen jobs of short duration for which no advance planning can be possible:
In these cases, casual labour may have to be engaged, but it should be done with
the approval of GM as per guidelines given below:

All appointments of less than 90 days duration will be made with the special
approval of the Competent Authority. The recruitment will be done by the Human

GUIDELINES TO GOVERN AND REGULATE RECRUITMENT OF CASUAL EMPLOYEES

Page 93
 Resource Department on the requisition of the indenting department. Human
Resource Department may keep a list of names for different types of jobs to meet
these requirements.

Appointment of any individual on casual basis under clause ‘B’ and ‘C’ for more
than 89 days with or without break is not permissible unless at least 3 calendar
months have elapsed since the last termination.

GUIDELINES TO GOVERN AND REGULATE RECRUITMENT OF CASUAL EMPLOYEES

Page 94
 POLICY FOR
ENGAGEMENT OF
INDIVIDUAL
CONSULTANTS AND
CONSULTING FIRMS
/AGENCIES

Page 95
 POLICY FOR ENGAGEMENT OF INDIVIDUAL CONSULTANTS
AND CONSULTING FIRMS/ AGENCIES
1.0 TITLE
This policy is called POSOCO policy for availing the services of individual persons with
domain knowledge and expertise and firms/ agencies as ‘Consultants’.

2.0 OBJECTIVES
To utilize the services of individual persons and firms/ agencies for the following
purposes, namely-
(a) providing expert advice on specific issues of relevance and interest to the
organization/ sector
(b) conducting study of best practice, analyzing data, developing bench marks or for
any other similar purpose, and
(c) performance of tasks requiring experience and qualifications which are either not
available within the organization or in the opinion of the organization, the
engagement of consultant shall be a more efficacious and efficient method of
completing the task in terms of quality, cost, time or for any other consideration.
(d) assisting the organization in performing other functions, if the organization is
satisfied that there has been increase in quantum, of work in the organization or
regular posts could not be filled due to various constraints.
3.0 SCOPE
The policy covers engagement of individual persons and firms/ agencies as ‘Consultants’
on fixed tenure basis in POSOCO.

This policy is not meant for re-appointment but would be treated as an exception only as
temporary measure in view of superannuation of experienced executives in various
disciplines. VRS optees shall not be considered.

4.0 Categorisation of Consultants

Consultants shall be categorized as:
(a) Consulting firm/agency
(b) Professional experts
(c) Individual Consultants

5.0 DEFINITION
(i) Consulting firm/agency means a corporate body having relevant experience and
expertise for the assignment.
(ii) Professional Expert means a person of international repute or nationally
acclaimed who is widely commended in the field related to the
organization/sector.
(iii) Individual consultant means a person who has retired from the services of Govt./
PSU/ Autonomous/ Statutory bodies on attaining the age of superannuation with
good service record.

POLICY FOR ENGAGEMENT OF INDIVIDUAL CONSULTANTS AND CONSULTING FIRMS /AGENCIES

Page 96
6.0 PERIOD OF ENGAGEMENT
Period of engagement shall be a minimum period as required for the assignments and
deliverables.

7.0 APPOINTMENT OF CONSULTING FIRMS/AGENCIES

7.1 The indenting deptt., on being satisfied that there is a need for availing consultancy
services which, in its opinion, may be more appropriately provided by a firm/agency,
shall prepare the terms of reference indicating the scope of the work, QR, various
deliverables and milestones.

7.2 A Selection Committee shall be constituted with the approval of CMD comprising
members from HR, Fin. and the indenting deptt.

7.3 The Committee shall decide the weightage to be allocated to each of the parameters for
the purpose of evaluation of bids, allocating at least 70% weightage to technical proposal
and obtain the approval of the
CMD for the weightage proposed.

7.4 After finalizing the weightage, the Committee shall invite single stage bids, containing
technical and financial proposals in separate sealed envelopes, through e-publishing of
advertisement and also on POSOCO’s website giving, as far as possible, a notice of not
less than three weeks:

Provided that in matters of urgency, the period of notice may be reduced to less than
three weeks but shall not be less than two weeks, as may be decided with the approval of
the CMD.

7.5 The Committee shall evaluate the bids through ‘Combined-Quality-Cum-Cost-Based

System’ based on the pre-determined weightages allocated to each of the parameters:

Provided that the Committee shall not proceed with evaluation of bids, unless at least
three valid bids have been received.

Provided further that the condition of three valid bids may be relaxed with prior approval
of the CMD in cases the adequate number of bids are not received.

7.6 The Consulting firm/agency shall be engaged after obtaining approval of the CMD. The
Letter of award shall clearly indicate the scope of the work, various deliverables,
milestones and the schedule of payments linked to achievement of each milestone.

POLICY FOR ENGAGEMENT OF INDIVIDUAL CONSULTANTS AND CONSULTING FIRMS /AGENCIES

Page 97
8.0 PROFESSIONAL EXPERTS

8.1 The indenting deptt., on being satisfied that there is a need for availing consultancy/
advisory services which, in its opinion, can be more efficiently performed by an
individual, having qualification, expertise and experience considered essential for an
assignment may decide to engage an individual expert and prepare the terms of reference
indicating the scope of the work, QR, milestones to be achieved and the experience and
qualification required for obtaining consultancy services.

8.2 A Selection Committee shall be constituted with the approval of CMD comprising
members from HR, Fin. and the indenting deptt.

8.3 The Selection Committee shall after necessary modification, if any, obtain approval of
CMD for the terms of reference for engagement of individual consultant.

8.4 The Selection Committee shall call for applications through e-publishing of
advertisement and on POSOCO’s website giving, as far as possible, a period of at least
three weeks for submission of applications.

8.5 Based on the academic background, knowledge, expertise and experience of applicants,
the Committee shall prepare a panel of persons, indicating the order of merit, for
appointment as Consultant. The Committee shall also give its recommendations on the
Advisory Fee and other benefits/ facilities etc. commensurate with the experience and
qualifications of the shortlisted candidates. .

8.6 The candidate, from the panel prepared by the Selection Committee, approved by CMD
shall be engaged as individual consultant.

9.0 INDIVIDUAL CONSULTANTS

9.1 The upper age limit of the Consultant should not exceed 65 years.

9.2 The indenting deptt., on being satisfied that there is a need for availing consultancy
services which in its opinion can be more efficiently performed by an individual who has
retired from the services of a Govt. deptt./ PSU/ Autonomous/ Statutory bodies, shall take
in-principle approval of number of Consultants to be engaged, justification of
requirement of Consultants etc. It shall prepare the terms of reference indicating the
scope of the work, milestones to be achieved and the experience and qualification
required for obtaining consultancy services etc. Controlling and reporting officer for the
Consultant shall also be indicated.

9.3 Applications shall be called through e-publishing of advertisement and on the company’s
website giving, as far as possible, a period of at least three weeks for submission of
applications.

POLICY FOR ENGAGEMENT OF INDIVIDUAL CONSULTANTS AND CONSULTING FIRMS /AGENCIES

Page 98
9.4 A Selection Committee shall be constituted with the approval of CMD comprising
members from HR, Fin. and the indenting deptt. The Committee shall shortlist the
candidates as per the terms of reference.

9.5 Based on the academic background, knowledge, expertise and experience of applicants,
the Committee shall prepare a panel of persons, indicating the order of merit, for
appointment as Consultant.

9.6 The candidate, from the panel prepared by the Selection Committee, approved by
Director (HR) shall be engaged as individual consultant.
9.7 BENEFITS
Sl. Benefits Level (per month)
i Professional fees to E4 & below ₹ 34,500/-
retired POSOCO E5 ₹ 46,000/-
employees E6-E6A ₹ 57,500/-
E7-E7A ₹ 69,000/-
E8 ₹ 80,500/-
E9 ₹ 92,000/-
Professional fees to Retired government servant and retired personnel from other
PSU shall be negotiable but not exceeding last pay drawn + DA less total
pension
ii HRA HRA @ 15% of the professional fee where
accommodation is not provided by POSOCO
iii Monthly Mobile ₹ 2500/- all levels
Reimbursement
iv Monthly Conveyance E1-E2 ₹ 3,295/-
E2A-E4 ₹ 4,250/-
E5-E6A ₹ 4,710/-
E7-E9 ₹ 5,175/-
v TA/DA TA/DA and other boarding/lodging charges shall be
payable as per entitlement applicable to the existing
executives of equal grades whenever tours are
undertaken for the related to the assignment but shall
not exceed the entitlement of GM level
vi Leave One day paid leave for every 20 days of working

Note:
(i) In case where Consultant are engaged for less than a month, then professional fee,
HRA, monthly mobile reimbursement & conveyance payable shall be on pro-rata
basis.
(ii) The consultant shall have to work on all working days.
(iii) In case of Consultant absence from duty then professional fees shall be pro-rata
reduced. Further any absence from duty requires approval of head of the
Indenting department.

POLICY FOR ENGAGEMENT OF INDIVIDUAL CONSULTANTS AND CONSULTING FIRMS /AGENCIES

Page 99
 (iv) Payment shall be regulated on certification by indenting department and there
after submitting to Finance Department.
(v) In case of Consultant is needed to be hired at better terms then separate Board
approval shall be needed

10.0 OFFER OF ENGAGEMENT

10.1 Offer of engagement shall be issued in writing and must clearly specify the tenure of
engagement.

10.2 The engagement shall stand terminated automatically at the end of the terms specified in
the offer of engagement.

10.3 Further, the engagement may also be terminated, without assigning any reason at any
point during the term by giving one-month notice or on payment of consolidated
compensation amount from either side.

10.4 The performance of the Consultant shall be reviewed by the Selection Committee after 06
months of their engagement in consultant with the indenting Department.

11.0 OTHER CONDITIONS

11.1 Advisor /Individual consultants shall be stationed at place of posting specifically

mentioned in their offer.

11.2 The appointment shall be subject to Medical fitness to be obtained by registered medical
practitioner.

11.3 Sitting space/computer, office equipment etc. shall be provided as per work requirement
and as per the level of executive.

11.4 He shall not sign or certify documents or pass bill etc. pertaining to the Department.

11.5 He shall maintain integrity and secrecy of the company’s business and shall not engage
himself with any other business during his tenure. He shall follow all the applicable rules
& regulations of the - Corporation/Government which are in force. In case his services
are not found satisfactory or found in conflict of interest of the Corporation/ Government,
his services shall be discontinued by terminating the contract without assigning any
reason, thereof.

11.6 He shall not divulge any information gathered by him during the period of engagement to
anyone who is not authorized to know the same. He shall not, except with the sanction of
Competent Authority, publish any article or participate in Radio or TV broadcast either in
his own name or anonymously or pseudonymously, on subjects/work relating to his role
and to any organizations related to it or coming in its purview.

POLICY FOR ENGAGEMENT OF INDIVIDUAL CONSULTANTS AND CONSULTING FIRMS /AGENCIES

Page 100
11.7 Tax shall be deducted as per law.

12.0 DELEGATION
Delegation of power, to appoint a ‘Consultant’, shall be as under:

Sl. No. Subject Mattaer Level Extent of Power

1 To engage ‘Consultancy firm/agency’ as per - CMD
the recommendations of the Selection
Committee
2 To engage ‘Professional Expert’ as per the - CMD
recommendations of the Selection
Committee
3 To engage ‘Individual Consultant’ as per the Upto E7A Director(HR)
recommendations of the Selection E8 to E9 CMD
Committee

13.0 GENERAL

13.1 Corporate HR shall be the nodal centre for coordinating the activities related to hiring of
service as Consultant.

13.2 The power to interpret, modify, cancel, add or amend any of the provisions of the above
Policy at any point rests with CMD.

POLICY FOR ENGAGEMENT OF INDIVIDUAL CONSULTANTS AND CONSULTING FIRMS /AGENCIES

Page 101
 ANNUAL
PERFORMANCE
ASSESSMENT
FOR
SUPERVISORS
AND
WORKMEN

Page 102
 ANNUAL PERFORMANCE ASSESSMENT
FOR SUPERVISORS AND WORKMEN
1.0 Objectives
1.1 The Annual Assessment System for Supervisory and Workmen Categories seeks
to meet the following objectives.

1.2 Promotion: To form an important basis for promotion along with seniority.

1.3 Training and Development : To understand the gaps in knowledge and skills with
reference to the present assignment of an employee and with reference to his
future development; and fill the same by planned guidance and training.

2.0 Coverage
2.1 There will be different formats for assessment as per the following broad
categories :

i) Supervisors
ii) Secretarial & Office Personnel
iii) Skilled Workmen
iv) Unskilled Workmen

3.0 Assessment
3.1 The assessment will be annual and will cover performance during the calendar
year.

3.2 The annual assessment form provides for evaluation on certain attributes and
abilities on a five-point scale, viz., ‘Outstanding’, ‘Very Good’, ‘Good’,
‘Satisfactory’ and ‘Not satisfactory’. Periodic performance records and critical
incidents maintained by persons reporting, with respect to each employee, will
form the basis which will aid in filling the annual assessment. This, it is hoped,
will contribute towards making the appraisal objective.

3.3 The assessment form also provides for an overall evaluation on a five-point scale.
Keeping in view the relative priorities/ratings on each attribute on the five-point
scale, the overall assessment may be arrived upon.

3.4 In addition to the above, the annual assessment form provides for identification of
training needs and rotational assignment to fill the gaps in knowledge and skills.

4.0 Who Appraises

4.1 The annual assessment for each supervisor/workman will be done by the person to
whom he reports. However, the minimum level of the reporting person will not be
less than a supervisor for assessment of a workman, and executive for assessment
of a supervisor.

ANNUAL PERFORMANCE ASSESSMENT FOR SUPERVISORS AND WORKMEN

Page 103
4.2 The annual report will further be reviewed by the officer to whom the reporting
person in turn reports. The minimum level of reviewing authority both in case of
supervisors & workman will be that of an executive.

The multi-level evaluation, it is believed will provide checks and ensures greater
objectivity.

4.3 The report will further be seen and signed by the Sectional Head in case he is not
the reviewing officer, and countersigned by the Head of the Department who may
enter remarks, if any. The Head of the Department referred herein before should
be at least a Dy. General Manager in case of Supervisory, Secretarial and Office
Personnel.

4.4 In the event of the “Overall Assessment” being rated ‘Not-satisfactory’, a written
communication will be issued to the concerned employee by the H.O.D.

The communication will be accompanied with specific facts and figures

substantiating the adverse remarks.

In case of representation by the concerned employee, the same will be examined

by the H.O.D. who will record his final decision along with reasons.

The final decision will be communicated to the employee with regard to :

The earlier assessment being retained.

Or

After due consideration the earlier remarks are expunged and the same being
noted in the annual assessment form.

4.5 If an employee has worked with more than one reporting person for 3 months or
more, he will be assessed by all the concerned reporting persons.

4.6 As in the case of executives, an important outcome of the follow up of annual

assessment will be counseling. Counseling in case of ‘Not-satisfactory
performers’ will be done by the Heads of the Department.

4.7 System of Maintenance: Time Schedule & Follow up of Annual Assessment

Forms’ is annexed.

ANNUAL PERFORMANCE ASSESSMENT FOR SUPERVISORS AND WORKMEN

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 ANNEXURE

SYSTEM OF MAINTENANCE, TIME SCHEDULE AND FOLLOW-UP

OF ANNUAL ASSESSMENT REPORTS

1.1 Executive in-charge of the HR Establishment at the units will ensure that the
blank assessment forms are sent to HODs by 1st November who will pass down
the forms to the Reporting Persons by 20th December.

1.2 The Reporting Persons will complete the report by 5th January and hand it over to
the reviewing officers, who on reviewing the forms by 12th January will send it to
Sectional Head by 15th January (in case he is not the reviewing officer) for
signature, and further to H.O.D. for countersigning and remarks, if any. Overall
evaluation will be completed by 22nd January.

1.3 On the basis of the time schedule, each concerned level will follow up with the
concerned person in the next lower levels to see that the reports are completed as
per schedule. All the reports after being countersigned by HOD will be sent to the
Human Resource Department by 31st January.

2.0 Follow up of Assessment Reports

2.1 The Human Resource Department at Units will ensure that the reports have been
signed by the reporting persons and in each case reviewed by the reviewing
officer and countersigned by the respective HOD. Cases of omission will be sent
to the concerned persons for necessary action.

2.2 The Human Resource Department will also check that in case of ‘Not-satisfactory
report’, the adverse comments have been communicated to the concerned
employee and the copy of the comments supported by facts has been received
along with the report. If not, the report will be sent back for necessary action.

2.3 The Head of the Department will see if there is any apparent pattern – too liberal
or too conservative grading given by certain reporting persons. If it is so, he will,
after making the necessary analysis, discuss the same with the concerned person.

2.4 The Human Resource Department will also make a detailed analysis of the
training needs and rotational assignments, if any, as given in the assessment forms
and draw an implementation plan for the year.

ANNUAL PERFORMANCE ASSESSMENT FOR SUPERVISORS AND WORKMEN

Page 105
 ANNUAL
PERFORMANCE
ASSESSMENT
FOR
EXECUTIVES

Page 106
 ANNUAL PERFORMANCE ASSESSMENT FOR EXECUTIVES

1.0 The Performance Appraisal System in operation for the executives of the
Company, as modified from time to time, will generally provide the basis for
determination of merit, efficiency, potential and suitability of Executives and
Managers for positions of higher responsibility in the appropriate higher grade.

2.0 In POSOCO our endeavor is that the Appraisal System is used as an instrument
for improving the work culture. The focus is on the developmental and not
judgmental aspects and the company is utilizing the appraisal system as an
instrument for:-

2.1 Performance planning, analysis and review:

2.2 Generating a healthy problem-solving dialogue between the Reporting Officer

and the Appraisee about work-related problems.

2.3 For improving communication and performance counseling;

2.4 For improving levels of motivation through goal clarity.

3.0 Objectives of Performance Appraisal

3.1 To integrate company and individual goals through a process of performance
assessment linked to achievements and organizational objectives

3.2 To enhance awareness of targets/tasks and the responsibility of executives at all

levels and to ensure fulfillment of organizational objectives.

3.3 To facilitate the organizational objective of assessment of performance and

potential.

3.4 To distinguish between differing levels of performance on relative basis and to

identify executives with potential to grow in the organization.

3.5 To spell out the development actions to be taken to improve the performance of
the officers

4.0 Appraisal Formats for E2 to E6 and E7 level Executives.

4.1 The Performance Appraisal Format is divided into four parts viz.
- Performance
- Competencies
- Values
- Potential Appraisal

ANNUAL PERFORMANCE ASSESSMENT FOR EXECUTIVES

Page 107
 The above four parts are to be rated and marked separately.

4.2 Key Features of the Appraisal formats:-

- Key Result Areas (KRAs) have to be set after mutual discussions between the
appraiser and apraisee in the beginning of the appraisal year.

- KRAs have to finalize for the whole appraisal year in the beginning of the
appraisal period.

- KRAs are to be aligned with MOU targets of the Corporation as far as possible.

- KRAs should be made objective with specific targets for completion. The target
should be either in a Number/ Date or Percentage.

- There is a provision for mid–year review so that the progress of work can be
reviewed and incase some new assignment/ work is assigned the same can be
incorporated after discussion between appraiser and appraisee.

- At the end of the appraisal period the appraisee would be required to fill actual
achievement against each KRA.

- The appraiser shall discuss the actual achievements of appraisee at the end of
appraisal period and record the contents of discussion in the performance review
sheet.

- The appraiser shall award marks for the appraisal period in four parts of the
Performance Appraisal Formats viz.

- Performance
- Competencies
- Values
- Potential Appraisal.

4.3 Marking System in the Performance Appraisal Formats:

Appraisal Parameters Marks E2 to E6 Marks E7

Performance 75 65
Competencies 15 15
Values 05 10
Potential 05 10
Total 100 100

ANNUAL PERFORMANCE ASSESSMENT FOR EXECUTIVES

Page 108
4.4 Following shall be the conversion table for converting the marks into five point
scale:
80-100 Outstanding
60-79 Very Good
50-59 Good
40-49 Average
Below 40 Not Satisfactory

4.5 Following is the time schedule to be followed in the appraisal process:-

PMS process schedule

Sl. Particulars E2 to E6 E6 to E7 Completion

No Completion Date Date
1. Finalization of Key result 15th January of th
15 April of the
Areas after discussion the Calendar year Financial year for
between appraiser and for which report which report is to be
appraisee is to be written written
2. Mid Year Review 15th July of the 15th October of the
Calendar year for Financial year for
which report is to which report is to be
be written written
3. Final Review (year end 10th January of 15th April of next
assessment) next Calendar Financial year for
year for which which report is to be
report is to be written
written
4. Appraisal report to reach 15th January of 25th April of next
Corporate Appraisal Group next Calendar Financial year for
year for which which report is to be
report is to be written
written

5.0 Appraisal Year & Coverage

The appraisal year will be the financial year from 1st April to 31st March for
executives in the level of E7 and above and calendar year from 1st January to 31st
December for executives in the level of E6 and below.

5.1 The Appraisal Reports are required to be filled in, in respect of all the executives
who have served for a period of at least three months in the Appraisal Year.

5.2 If an executive has served in more than one RLDC/NLDC/CC/Deptt./Division or

with more than one Reporting Officer for a period of at least three months in the
Appraisal Year, separate reports have to be sent from each

ANNUAL PERFORMANCE ASSESSMENT FOR EXECUTIVES

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 RLDC/NLDC/CC/Deptt./Division. All the reports shall be considered by the
Moderation committee and final rating for the year awarded. The rating decided
by the moderation committee shall be the rating to be taken for all purposes.

5.3 Where more than 6 months of the appraisal year have elapsed at the time of
consideration of an executive’s promotion, a Special Performance Report for the
part year will be obtained and taken into consideration along with the Reports of
the previous years. Once the special report is followed and replaced by the usual
annual report, the special report will no longer be taken into consideration.

5.4 Performance Appraisal Reports for any period of less than 6 months in an
appraisal year will not be taken into consideration for the purpose of promotion.
However, where two or more reports are written in any appraisal year by reason
of an executive being posted under different reporting/countersigning officers, a
single rating for the year will be determined by the Corporate Promotion
Committee.

5.5 Where the case of an executive comes up for consideration for promotion before
he completes the prescribed eligibility period on account of a seniority weightage
granted to him as a part of the terms of his initial appointment, the rating given in
the first appraisal report in POSOCO, if for a period of 6 months or more, will be
deemed to be the appraisal rating of the earlier years reports which are to be taken
into consideration in accordance with this policy statement.

5.6 The Appraisal System will be on a five-point scale, that is ‘Outstanding, Very
Good, Good, Average and Not satisfactory. For purpose of aggregation, points
will be allotted to various ratings as follows:

Rating For Promotions For Promotions

upto E5 from E5 to E6 &
above
Outstanding 8 10
Very Good 6 8
Good 4 6
Average 2 4
Not Satisfactory 0 0

6.0 Target Setting and Feedback

6.1 Review on periodic basis of performance norms and targets for each individual is
imperative and the HODs may have developed their own alternatives with respect
to maintaining such data. However, mid-year review has been provided in the
performance appraisal formats to review performance. The
KRAs/targets/performance norms set for each individual will cover both

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 innovative and routine aspects of the job. In assessing the achievement of the
targets, cognizance should be taken of the external constraints and special efforts
that have been made to overcome these constraints.

6.2 As development of subordinates is one of the important objectives of our

performance appraisal system, the reporting officer must discuss employee’s
performance with him. Some suggestions with regard to what should be the
content or subject matter of the discussions with the appraisee are as follows:-

- The content of what has been written in the self appraisal (part-I).
- Difficulties and constraints in meeting the targets as also the contribution made by
the appraisee, both tangible and intangible.
- Strengths and weaknesses of the employee.
- Extent of achievement, reasons for shortfall and measures to avoid likely
shortfalls in future in target achievement.
- Where the rating on executive abilities is either 0 or 2, the same should be
discussed.
- Potential for undertaking jobs in other functions i.e. possibilities for job rotation
could be discussed.

7.0 Procedure
7.1 Part –I A – Performance – The Appraiser and Appraisee shall first discuss the
Key Result Areas, measures and marks for them, based on the organisational goal
and the role being performed by appraisee. The appraisee’s Key Result Areas
shall flow from the appraisers Key Result Areas.

Under the column Key Result Areas, the appraisee has to write the important
areas of work alongwith specific targets. This column should be filled in the
beginning of the appraisal period.

Under the column “Measures / Indicators”, the suitable unit of measure (Number/
Date or Percentage) may be chosen. The appraiser and appraisee have to jointly
assigned marks to each KRA based on relative importance of the appraisee’s role
and should be filled in the Marks column. The sum total of all KRA marks should
always be 100. After finalisation of the KRAs both the apprasiee and appraiser
shall put their signature at the end of Part- I A. After the signature the report shall
be kept by the appraiser.

After the expiry of 6 month of the appraisal period a mid-year review will be done
in the prescribed format to check if the performance is on the right track.
Additional KRAs if required can be added at this stage.

Part I B – End year review – The appraisee shall fill the actual achievement at
the end of appraisal year in the relevant column. The appraiser and appraisee shall

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 again have discussion on the achievement and other aspects of performance. A
brief note of the discussion shall also be recorded in the Performance Review
Sheet.

Part – II – Competencies – This section consist of functional, technical and

managerial Competencies required for successful performance in the job. The
appraiser shall rate the appraisee on nine competencies as given in the new
appraisal format. The appraiser shall rate each attribute on a scale of 1 to 5. (5
indicating the highest level of competency and one indicating the lowest level of
competency)

Part – III - Values – This section consist of values which an employee

demonstrates in day to day activity, work and interactions. There are 10 attributes
in the value section. Here, again the appraiser shall rate each value attributes on a
scale of 1 to 5. (5 indicating the highest level of value and one indicating the
lowest level of value)

Part-IV- Potential Appraisal- This section consist of attributes which are to be

demonstrated in day to day activities. Attributes here represent the abilities
required for senior level positions. POSOCO has identified five potential
appraisal attributes which have been defined in the appraisal format. The
appraiser again shall rate each potential appraisal attributes on a scale of 1 to 5. (5
indicating the highest level of potential and one indicating the lowest level of
potential)

7.2 In case of Transfer

If an executive has served minimum three months in one position/ location, he has
to complete the AAR process with his reporting officer. For a period less than
three months in a particular location or with a particular appraiser NO AAR is
required to be filled.

On transfer to a new place or new role, an executive would again finalise a new
set of KRAs with the new reporting officer for the balance assessment period.
In case of transfer, new appraisal format is to be filled.

7.3 Reporting
The Reporting Officer will complete the report in the light of the periodic
records/data of the Individual’s targets and hand it over to the Reviewing Officer

7.4 Review/Counter-signature
The reviewing Officer after recording his review will send the Appraisal Report to
other officers in the channel of reporting till the report reaches the final
Countersigning Authority viz. Executive Director/ Chief General Manager where
ED is not in position of the respective Division who will then countersign the

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 report in case of agreement and also record his assessment wherever it differs
from those of the Reporting/Reviewing Officers.

7.5 Final Countersigning Authority

The final countersigning authority is as under:

Level of Appraisee Countersigning Authority

E2 to E5 (1) Concerned ED/ CGM where ED not in
position

E6 (1) Concerned ED or Director

(2) In case Reporting Officer is ED/Director,

then the next higher level viz. Director/CMD

7.6 Wherever the overall assessment is ‘outstanding or not satisfactory the

Reporting/Reviewing Officer is required to substantiate the same with supporting
facts.

7.7 Sufficient care should be taken to arrive at the overall rating on the basis of the
ratings given on individual attributes of work performance and executive
effectiveness factors.

7.8 Procedure for HR & Finance Heads

The assessment of the performance appraisal reports of Heads of the two key
functional disciplines like HR/HRD and Finance & Accounts at the
RLDCs/NLDC will be written/reviewed by the CGM/GM in-charge respectively
and finally countersigned by the concerned Functional Director/ED at the
Corporate Centre.

7.9 Procedure for Vigilance Personnel

The following procedure has been laid down for writing/completion of AARs of
Personnel working in Vigilance department.

7.9.1 For RLDCs/NLDC

7.9.1.1 The AAR shall first be self appraised. The Head of the RLDCs/NLDC shall put
his comments on such AARs on a separate annexed page without giving any
rating. CVO will write/review such appraisals and the same will be countersigned
by CMD.

7.9.1.2 The AARs of other executives of Vigilance Department posted at RLDCs/NLDC

shall be written by Head of Vigilance, reviewed by Head of RLDCs/NLDC and
countersigned by CVO.

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7.9.1.3 The AARs of supervisors and workmen posted in Vigilance Department of
RLDC/NLDC shall be written by the respective Reporting Officer and reviewed
by Head of Vigilance Department of the RLDC/NLDC and countersigned by
Head of RLDCs/NLDC.

7.9.2 For Corporate Centre.

7.9.2.1 The AARs of Dy. CVO shall be written by CVO and reviewed/countersigned by
CMD.

7.9.2.2 The AARs of all other executives posted in Corporate Vigilance shall be written
by reporting officer, reviewed by Dy. CVO and countersigned by CVO

7.9.2.3 The AARs of Supervisors and workmen posted in Vigilance Department at

Corporate Centre shall be written by the respective reporting officer reviewed by
officer next in hierarchy and countersigned by Dy. CVO.
7.9.3 In cases where in the AARs are written/reviewed by CVO and subsequently are
reviewed/ countersigned by CMD, then the remarks of CMD shall be perused by
the CVO and in case he has any reservation about the comments of CMD made
under the review/countersign, he shall take it up with CMD to resolve the issue.
In case he is unable to do this he may then report the matter to the Central
Vigilance Commission who will intercede in the matter suitably.

8.0 Adverse Reports

8.1 In the event of the overall assessment being ‘Not satisfactory’, a communication
will be issued to the concerned executive after the report has been countersigned
by the concerned authority. For this, the final countersigning authority will send
back the report to the Reviewing Officer for issuing the necessary communication
to the concerned executive. The communication will be issued by the Reviewing
Officer along with details including facts and figures.

8.2 Comments, if any, of the appraisee will be asked on the adverse report. The
adverse report along with the comments of the appraisee will be examined by the
final countersigning authority who will record his final decision along with
reasons. Wherever CMD is the Reporting Officer or Reviewing Officer, his
decision regarding expunction/retention of the adverse comments after due
examination of the explanation submitted by the appraisee will be final.

8.3 The final decision will be communicated by the Reviewing Officer to the
appraisee.

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9.0 Normal Distribution Pattern of Appraisal Ratings
9.1 In appraisal of any population, the normal distribution pattern invariably holds
good, may be with minor variations. Keeping this in view, while completing the
appraisal reports, it should be ensured that:

Outstanding 25-30%
Very Good 55-60%
Good 10%
Average 0-5%
Not Satisfactory 0-1%

9.2 The above mentioned distribution pattern is not confined to the population falling
in the zone of consideration for promotion alone but is applicable for the total
population.

10.0 Moderation Committee Constitution

10.1 Moderation Committee will generally be as under:

Upto E6
Chairperson - Director (HR)
Member - Concerned Functional Director for Corporate Centre
Member - Head of RLDC/NLDC
Member - Concerned HOD/HOF (not below E7 level)
Convenor - Head of HR Corporate Centre or his Representative
Facilitator - Concerned Head of HR (RLDC/NLDC)

E7 and E8
Chairman - CMD
Member Secretary - Director (HR)
Member - Director (SO)
Member - Director (MO)
Member - Director (Fin.)
Convenor - Head of HR Corporate Centre or his Representative

10.2 In case of Head of Departments in RLDCs/NLDC also having Functional

Reporting to a Director in CC, the Functional Director shall also be a Member e.g.
in case of HOF of RLDCs/NLDC, Director (Finance) and concerned
RLDC/NLDC ED both will be the member of Moderation Committee.

10.3 Moderation of Annual Appraisal Reports in respect of Executives upto E6 level

will be done in the second week of February and in case of executives from E7 to
E8 level during second week of May.

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10.4 The Corporate HR Representative (APP Group) shall participate in Moderation
Committee proceedings as Convenor/Facilitators at RLDCs/NLDC/CC.

10.5 In exceptional situation, the constitution of the committee will be as indicated

below:

10.5.1 Where the CMD himself is the reporting officer (in case of STA or Executive
Secretary to CMD etc.) or where the Director/Executive Director is the reporting
officer and CMD is the Countersigning Authority, there will be no moderation
committee and the assessment of the CMD will be final. However in cases where
the Executive Director is the reporting officer and Director of the Company is the
Countersigning Authority, the Committee will be headed by the concerned
Director and the Executive Director will be a member.

10.5.2 In respect of Head of Finance and HR of the RLDC, the concerned Functional
Director will be the Chairman of the ‘Moderation Committee’ and the other
members will be the concerned RLDC Executive Director and Functional
Executive Director.

10.5.3 All such cases, wherein difference of opinion exists between the Functional
Director and the Executive Director of the RLDC, will be put-up before CMD for
final decision.

10.5.4 The meeting of the “Moderation Committee” would be arranged after the
Performance Appraisal Reports in respect of all the executives of the
RLDCs/NLDC/CC are received by the Chairman of the Committee.

10.5.5 The order to facilitate smooth and timely conduct of CPC, the conveners of the
Moderation Committee will ensure that the AARs in respect of all the Executive
concerned (i.e. the total population and not only those who may be due for
promotion) are duly completed by 10th January.

10.5.6 The “Moderation Committee” will ensure that the following prescribed rating
distribution norms are generally adhered to in the level up to E6:-

Outstanding 25-30%
Very Good 55-60%
Good 10%
Average 0-5%
Not Satisfactory 0-1%

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11.0 General
11.1 Where the overall assessment is being changed at higher levels, the authorities
may keep the Reporting Officer(s)/Reviewing Officer(s) informed of such
changes.

Reference:
(1) Corporate HR IOM No. C: HR: APP: MOD 2020 dated 08.04.2020 (Moderation of Annual
Appraisal Reports - 2020)

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 WORKMEN
PROMOTION
POLICY

Page 118
 WORKMEN PROMOTION POLICY
1.0 Objectives
The objective of the Company’s Promotion Policy for employees in the Workmen
Categories is to provide, keeping in view the organizational requirement, adequate
growth opportunity consistent with merit and suitability.

2.0 General Principles

The following will be taken into account in promotion from one grade to the next
higher grade:

2.1 Promotions will be effected only against vacant sanctioned posts.

2.2 Channel of Promotion (COP)

All the functional areas/disciplines will be suitably grouped into well defined
channels of promotion taking into account the nature of duties and other relevant
considerations; and the promotions will be effected strictly in accordance with the
channels so laid down. The Channel of Promotion charts will also indicate the test,
interview, minimum qualification and relevant experience if any which will be
required for promotion to a certain grade.

Wherever channel of promotion indicates Trade test and interview, all eligible
workmen under special dispensation also needs to qualify the Trade Test and
interview for placement to next higher grade. Further, workmen have also to satisfy
all the conditions of promotion relating to AARs, Disciplinary action/ Vigilance
proceedings etc.

COP of drivers are applicable only to those drivers who are operating vehicle.
Those drivers, who are not presently operating any vehicles, will be subjected to
proper training for suitable deployments in technical fields like Technicians,
Operators etc.

2.3 Categorization of Workmen is Done in Two Groups

2.3.1 The grades will be grouped into the following skill levels:

A) Technicians, assistants, Stenographers, Storekeepers, Draftsmen, Operators,

Drivers, Security Guards, Cooks, Artisans, Pharmacists etc.
W3 to W6 Skilled
W7 & above Highly Skilled

B) Attendants, Mazdoors, Khalasis etc:

W0 & W1 Unskilled
W2 to W6 Semi-Skilled

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2.3.2 Eligibility Period

The minimum length of service required to be rendered by an employee in his

existing grade for being considered for promotion will be termed as Eligibility
Period. The Eligibility Periods for promotion shall be as follows:

Promotion from a Grade Falling in the Eligibility period

Group of (Years)
W-0 to W1 10
W-1 to W2 & W-2 to W3 6
W3 to W4 & above 4

The eligibility for workmen in Semi – Skilled group for W0 to W1 shall be ten (10)
years and from W1 onwards up to W5 to W6 eligibility period shall be six (6) years
at each level.

2.3.2.1 The grace period of one month is permissible for the purpose of determination of
eligibility period for promotion in Workmen category as being provided to
Supervisory and Executive category. Accordingly, the Workmen who have joined/
been promoted upto 1st February (F/N) of a calendar year will be considered in the
DPC to be conducted for promotion effective from 1st January and similarly the
Workmen who have joined/ been promoted upto 1st August (F/N) of a calendar year
will be considered in the DPC to be conducted for promotion effective from 1st July.

Workmen who are found suitable for promotion by the Departmental Promotion
Committee will be considered for promotion effective from the dates as mentioned
below:

i) Workmen who complete the eligibility period together with the grace period as on
1st February (F/N) will be considered for promotion w.e.f. 1st January of that year.

ii) Workmen who complete the eligibility period together with the grace period as on
1st August (F/N) will be considered for promotion w.e.f 1st July of that year.

2.3.2.2 Placement of Workmen (W7 & Above) in S1 Grade

A workman who is promoted to W7 grade, due to not possessing the requisite
qualifications or not passing the Supervisory test / interview etc will be considered
for placement in S1 grade if he:

a) Acquires the prescribed qualification

b) Qualifies in the supervisory test / interview etc

A workman promoted to W8 or above can also be considered for placement in S1

grade only on acquiring the prescribed qualification and passing the supervisory
test / interview etc. In other words instead of lateral placement in corresponding
Supervisory cadre on meeting prescribed requirement such placement shall be at

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 S1 level only, which is induction level in Supervisory cadre. In case workman W8
and above does not wish to be placed in S1 grade in this manner, he will continue
to move in the Workmen cadre as per available opening.

Placement in S1 grade will be subject to fulfillment of all the conditions for

promotion in terms of the promotion policy. For award of marks on account of
seniority, the service from the date of entry in W6 grade will be considered.

Seniority in the S1 grade will be counted from the date of actual placement in the
S1 grade.

Pay Fixation on placement in S1 grade will be at the same stage of pay in S1 scale,
if available, otherwise, at the next higher stage.

2.3.3 E.O.L. on account of illness or for pursuing of higher scientific and

technical/professional studies:- duly supported by a medical certificate from an
authorized medical officer of the Company in case of illness and by a certificate
from the Head of Division that the higher scientific and technical/professional
studies are in the interest of Company’s work, in case of leave for pursuing of such
higher studies, will count for the purposes of computing the period of eligibility for
the purpose of promotion.

E.O.L. taken on account of reasons other than illness or pursuing of higher scientific
and technical/professional studies- will also count for computing the period of
eligibility for the purpose of promotion provided it is for less than 3 months.

2.3.4 Where the employee placed under suspension pending enquiry, is held guilty by the
disciplinary authority, the period spent under suspension shall not be treated as on
duty/service. However, where the employee concerned is exonerated
unconditionally, the period of suspension will also be treated as on duty/service.

Consequently, in all such cases where the employee is not exonerated, the period
of suspension shall not be treated as on duty/service and will be excluded while
working out the minimum eligibility period required to be put in by such employee
in service/on duty under the promotion policy for being considered eligible for
promotion to the next higher grade/scale of pay.

2.3.5 In case of both inter-unit and intra-unit transfers (irrespective of whether the
transfer is inter-departmental or intra-departmental) of employees, the employees
will be allowed credit for the entire period of service put in by them in a grade if
the transfer is effected at the initiative of management. In case the transfer is due to
an employee’s own initiative, full credit for the entire period of service put in by
him in a grade will be allowed subject however, to the condition that at least one
year’s service in the unit/post to which he is transferred will be necessary before he
is considered for promotion.

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2.4 Marking System

(i) Seniority Marks

The seniority marks will be as under:

Eligibility period Eligibility Eligibility Period Eligibility Period

of 04 years Period of 05 of 06 years of 10 years
years
Years of Marks Years Marks Years of Marks Years Marks
Service of Service of
Service Service
4 15 5 15 6 15 10 15
5 20 6 20 7 20 11 20
6 25 7 25 8 25 12 25
7& 30 8&above 30 9&above 30 13&abo 30
above ve

2.5 Annual Appraisal/Merit rating

Appraisal Forms/Merit Rating Reports in respect of each employee will be
maintained on the prescribed forms, to be written at the end of every calendar year.
Such reports may, however, also be asked for at any time other than the annual
reports mentioned above at the discretion of the management. These reports will be
kept in the custody of the concerned HR Department.

(i) AAR Marks in case of Workmen will be as under:

Ratings Eligibility Eligibility Eligibility Eligibility

Period of 04 Period of 05 Period of 06 Period of 10
years years years years
Outstanding 7.5 6.0 5.0 3.0
Very Good 5.5 4.5 3.0 2.0
Good 4.0 3.0 2.5 1.5
Satisfactory 2.0 2.0 1.5 1.0
Not 0 0 0 0
satisfactory

2.6 Test/Interview/Qualification Bar

In addition to fulfilling the other eligibility conditions, an employee must possess
the requisite qualifications prescribed, if any, for the next higher post against which
he is to be considered for promotion. Similarly, he must qualify in the test(s) and
interview, if any, laid down for consideration for promotion to the next higher post.

2.7 Exemption from trade test/written test

2.7.1 Those Workmen/Supervisors who have qualified the Test i.e. Trade Test/Written
Test/Supervisory Test as prescribed in the COP but not promoted either due to non-
availability of vacancies or failing to qualify the interview will be exempted for re-

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 appearing the same Test. However, while considering promotion in the next DPCs,
such Workmen/ Supervisor have to re-appear in the interview again and their cases
will be finalized keeping in view the performance in the interview, appraisal rating,
disciplinary / vigilance record etc. as required in case of a fresh candidate. The
marks secured in the Test qualified earlier will be taken into account by the DPCs.
This will also be applicable for placement to higher grade under special
dispensation for Workmen.

2.7.2 In case where promotion to higher grade involves qualifying both Trade as well
Written/Supervisory Test and an employee has qualified only one of the prescribed
Test then he will be exempted from re-appearing the Test in which he has qualified.

2.7.3 The above provision will be applicable from DPC-2010 onwards and the candidates
who have qualified the Trade Test/Written Test/Supervisory Test during the DPC-
2009 (Workmen and Workmen to Supervisor grade) and wherever such type of
Trade/Written Test are admissible will also be exempted from re-appearing the test.

2.8 Honorarium Rate for Setting and Evaluation of Question Papers & Answer
Sheets.

S.No. Type of test/area Rate (Rs.)

1. Setting of Question paper / trade test (objective/ Rs. 600/-
descriptive) upto 1½ hrs. duration.
2. Setting of Question paper / trade test (objective/ Rs. 800/-
descriptive) above 1½ hrs. duration.
3. Evaluation of Answer Sheets for Objective-cum- Rs. 32 per paper
descriptive type question papers upto 1½ hrs. (Minimum
duration. Rs.400)
4. Evaluation of Answer Sheets for Objective-cum- Rs. 40 per paper
descriptive type question papers above 1½ hrs. (Minimum
duration. Rs.400)

2.9 Reservation of SC/ST

The directives of the Central Government/Company with regard to the reservation
of posts for Scheduled Caste/Scheduled Tribe candidates in the matter of
promotion, issued from time to time, will also be kept in view while effecting the
promotions of the employees.

2.10 Debarring
2.10.1 No employee whose latest confidential/merit rating report, whether annual or
special is adjudged as “Adverse” will be considered for promotion.

2.10.2 No employee under suspension or against whom decision has been taken to charge-
sheet, or where the charge-sheet has been issued or where a criminal case is pending
against him shall be promoted until he is unconditionally reinstated or exonerated.
In case of unconditional reinstatement or exoneration, he will be allowed promotion

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 with retrospective effect, but the financial benefit accruing due to promotion will
be allowed with effect from the date his promotion order is issued and no arrears
will be payable on this account unless specifically mentioned otherwise in the
promotion order. However, in respect of those employees who have been
recommended for promotion by DPC and in whose case decision to issue charge-
sheet has not been taken by the Competent Authority, order of promotion be issued
in normal course.

The case of employees against disciplinary proceedings are pending or

contemplated but are otherwise eligible for consideration for promotion shall also
be considered by the DPC (Department Promotion Committee) along with all other
cases. The recommendations of the DPC, including “unfit for Promotion” will be
kept in a sealed cover. The cover will be so superscribed ‘findings regarding
suitability for promotion to the grade/post of …….. in respect of Shri
……………………… not to be opened till the conclusion of the disciplinary
case/criminal prosecution against Shri …………………….. The proceedings of the
DPC need only contain the note, “The findings are contained in the attached sealed
cover”. The same procedure will be followed by the subsequent DPCs convened
till the disciplinary case/criminal prosecution pending against the employee
concerned is finally concluded.

In the event of delay in the conclusion of the disciplinary proceedings/criminal

prosecution, the delay not being attributable to the charged employee, and the
disciplinary proceedings/criminal prosecution against the employee concerned are
not concluded even after the expiry of two annual DPCs from the date of the
meeting of the first DPC which kept its findings in respect of the employee in the
sealed cover, the Appointing Authority may review the case of the employee on
adhoc basis, provided his case was recommended by DPC keeping in view the
totality of the case, the availability of vacancy etc. The order of promotion should
make it clear that the promotion is purely on adhoc basis, till further orders and it
confers no right on the employee for regular promotion and that the Competent
Authority reserves the right to cancel/revoke the adhoc promotion or to revert, at
any time the employee to the post from which he was promoted on adhoc basis,
without any formal proceedings.

2.10.3 On conclusion of disciplinary cases / criminal prosecution etc. the promotion of the
employee will be regulated as under:

(i) If the employee concerned is finally acquitted and is fully exonerated, the sealed
cover recommendation shall be opened and in the event the employee was
recommended for promotion by the Committee, the promotion shall be made
effective from the date as would otherwise have been announced as if there were
no proceedings against him. The financial benefits accruing due to promotion will
be allowed with effect from the date promotion order is issued and no arrear will
be payable on this account, unless specifically mentioned otherwise in the
promotion order.

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 (ii) If any penalty is imposed as a result of the disciplinary proceedings or if he is found
guilty in the criminal prosecution against him, the findings of the sealed cover shall
not be considered. His case for promotion may be considered by the next DPC in
the normal course and having regard to the penalty imposed on him. Such employee
shall, however, not receive promotion during currency of the punishment and where
adhoc promotion has been given as at 2.8.2 above; it will be cancelled/ revoked.

3.0 Procedure
3.1 Written Test/Trade Test/Interview
The above wherever prescribed, for the candidates fulfilling all the eligibility
conditions as mentioned hereinbefore will be conducted once in a year in the same
order. The number of eligible candidates to be trade-tested will be limited to three
times the number of anticipated vacancies and all those who qualify in the test will
be allowed to appear for an interview before the Departmental Promotion
Committee. The test will be conducted by a Committee comprising of General
Manager’s nominee, representative of the Head of Department where the vacancy
exists/is likely to occur, an officer of the Training Department and Personnel
Officer/Senior Personnel Officer as nominated by the concerned Head of Personnel
& Administration. Where, in addition to Trade-test and Interview, the candidates
are required to appear for written test also, the number of eligible candidates to be
called for the Written Test should be limited to four/five times the number of
anticipated vacancies. Out of those who qualify in the Written Test, the number of
candidates to be called for Trade-Test and/or Interview will be limited to three times
the number of anticipated vacancies.

3.2 Departmental Promotion Committees for selecting candidates for promotion to

various grades/posts will be constituted by the Competent Authority.

3.3 Promotions will generally be based on seniority-cum-merit and the relative

weightage for the different factors will be as follows:

Seniority 30 marks
Appraisal Report/Merit Rating 30 marks
Test, Trade Test & Interview 40 marks
Total 100 marks
In cases where no test and/or interview is involved the total maximum marks will
be 60. The merit rating reports for the last three consecutive years will be taken into
account for the above purpose.

3.4 Based on the seniority position, the Merit Rating/Appraisal Reports and results of
the test/interview, the position of the candidates will be arranged in order of merit
by the Committee. The qualifying marks will be 50% in each of the items in respect
of which the candidates are evaluated. However, the qualifying marks for
SC/ST/PH candidates will be 40% in each of the items assessed.

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3.5 Based on the above mentioned criteria, the list of the successful candidates will be
drawn up by the Committee on which every member of the Committee will affix
his signature. Thereafter the panel will be put up for the approval of the competent
authority.

3.6 The approved list as well as the concerned papers/documents will be kept in the
custody of the concerned HR Department, and the promotion orders in respect of
the successful candidates will be issued by the concerned HR Department as per
the vacancies. The promotions will be effected from two standard dates, namely 1st
of January and 1st of July of every calendar year. The promoted employees will be
placed on probation for a period of six months in case of change of cadre from
Workmen to Supervisor, which may be extended wherever necessary.

If the performance of an employee during such probation including the extended

period is not found satisfactory, he shall be reverted to the lower post and he shall
not be considered for promotion for one year from the date of his reversion.

3.7 DPC Periodicity

DPC may be conducted once in a year in the month of July with the following
modalities:
- DPC in July
- Eligibility to be seen as on 1st Jan & 1st July
- Combined vacancies would be released against which both groups i.e. 1st Jan & 1st
July shall be considered.
- Successful candidates shall be promoted from their date of eligibility i.e. 1st Jan or
1st July as the case may be.
- Those found unsuitable would be considered for promotion after one (1) year. For
example, if one is dropped in Jan 2017 he would be considered for promotion in
Jan 2018 and similarly if dropped in July 2017 he would be considered for
promotion in July 2018.

4.0 Appeal
An employee aggrieved due to his non-promotion may take recourse to the
prescribed Grievance Procedure for redressal of the same.

5.0 General
The management, reserves the right to modify, cancel add or amend any of these
rules at any time.

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ANNEXURE-V

WORKMEN PROMOTION POLICY

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WORKMEN PROMOTION POLICY
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WORKMEN PROMOTION POLICY
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WORKMEN PROMOTION POLICY
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WORKMEN PROMOTION POLICY
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SUPERVISORS
PROMOTION
POLICY

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 PROMOTION OF EMPLOYEES IN SUPERVISORY CATEGORY
1.0 Objective
The objective of the Company’s Promotion Policy for employees in the
supervisory categories is to provide, keeping in view the organisational
requirement, adequate growth opportunity consistent with merit and suitability.

2.0 General Principles

The following factors will be taken into account in promotion from one grade to
the next higher grade:

2.1 Promotions will be effected only against vacant sanctioned posts.

2.2 Channel of Promotion

All the functional areas/disciplines will be suitably grouped into well defined
channels of promotion taking into account the nature of duties and other relevant
considerations; and the promotions will be effected strictly in accordance with the
channels so laid down. The channel of promotion charts will also indicate the test
interview and minimum qualification and relevant experience, if any which will
be required for promotion to a certain grade.

2.3 Eligibility Period

The eligibility period for promotion in various grades to available posts in
respective next higher grades will be three years. However, Supervisors in S4
Grade not meeting the prescribed qualification/ not qualifying the written test or
interview, for promotion to Executive grade, will be eligible for consideration for
promotion to Selection Grade on completion of 4 years of service in S4 Grade.

2.3.1 Promotion of Supervisors in S4 grade to E2

Supervisors who have put in 1 year of service in the S4 grade will be considered
for promotion to E2 grade. As per amended rules, Supervisors in S3 grade will not
be considered for promotion to E2.

Promotion of Supervisors in S4 grade to Selection Grade /E2

i) Employees in S4 grade who possess the prescribed qualification* for being
considered for promotion to E2 but fail to get promotion and complete 4 years in
the grade will be considered for promotion to Selection Grade on standard dates.

ii) On promotion to Selection Grade, such employees at (i) above will continue to be
eligible for consideration for promotion to E2 on fulfillment of other prescribed
conditions.

iii) Employees promoted to Selection Grade due to not having the prescribed
qualifications for E2 but acquire the qualification later will also be eligible for
consideration for promotion to E2 on standard dates after acquiring such
qualification.

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 iv) Employees found suitable for promotion from Selection Grade to E2 will be
placed in the scale of E2. The pay fixation in such a cases shall be as per the rules.

If a Supervisor in Selection Grade acquires qualification subsequently, he will be

eligible for consideration for promotion to E2. However, in such cases the pay
fixation on promotion will be done as in the case of placement.

2.3.1 Meeting of the Departmental Promotion Committee for promotion of supervisors

will be held once in a year.

2.3.2 Supervisors who are found suitable for promotion by the Departmental Promotion
Committee will be considered for promotion effective from the dates as
mentioned below:

i) Supervisors who complete the eligibility period together with the grace period as
on 31st July will be considered for promotion w.e.f. 1st January of the following
year.

ii) Supervisors who complete the eligibility period together with the grace period as
on 30th April will be considered for promotion w.e.f 1st April of that year.

2.3.3 E.O.L. on account of illness or for prosecution of higher scientific and

technical/professional studies duly supported by a medical certificate from an
authorised medical officer of the Company in case of illness, and by a certificate
from the Head of RLDCs/NLDC that the higher scientific and
technical/professional studies are in interest of Company’s work in case of leave
for prosecution of such higher studies, will count for the purposes of computing
the period of eligibility for the purpose of promotion.

E.O.L. taken on account of reasons other than illness or prosecution of higher

scientific and technical/professional studies will also count for computing the
period of eligibility for the purpose of promotion provided it is for less than 3
months.

2.3.4 Where the employee placed under suspension pending enquiry, is held guilty by
the disciplinary authority, the period spent under suspension shall not be treated
as on duty/ service. However, where the employee concerned is exonerated
unconditionally, the period of suspension will also be treated as on duty/service.

Consequently, in all such cases where the employee is not exonerated, the period
of suspension shall not be treated as duty/service and will be excluded while
working out the minimum eligibility period required to be put in by such
employee in service/on duty under the promotion policy for being considered
eligible for promotion to the next higher grade/scale of pay.

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2.3.5 In case of both inter-unit and intra-unit transfers (irrespective of whether the
transfer is inter-departmental or intra-departments of employees) the employees
will be allowed credit for the entire period of service put in by them in a grade if
the transfer is effected at the initiative of management. In case the transfer is due
to an employee’s own initiative, full credit for the entire period of service put in
by him in a grade will be allowed subject, however, to the condition that at least
one year’s service in the unit/post to which he is transferred will be necessary
before he is considered for promotion.

2.4 Seniority

The seniority lists of the employees in various grades/channels will be prepared

and updated from time to time by the concerned Human Resource Department in
accordance with the rules framed for this purpose.

2.5 Confidential/Merit Rating Reports

Confidential Forms/Merit Rating Reports in respect of each employee will be

maintained on the prescribed forms, to be written at the end of every calendar
year. Such reports may, however, also be asked for any time other than the annual
reports mentioned above at the discretion of the management. These reports will
be kept in the custody of the concerned Human Resource Department.

2.6 Test/Interview Qualification Bar

In addition to fulfilling the other eligibility conditions, an employee must possess
the requisite qualifications prescribed, if any, for the next higher post against
which he is to be considered for promotion. Similarly, he must qualify in the
test(s) and interview if any, laid down for consideration for promotion to the next
higher post.

2.7 Exemption from trade test/written test

2.7.1 Those Supervisors who have qualified the Test i.e. Trade Test/Written
Test/Supervisory Test/ Executive Written Test as prescribed in the COP but not
promoted either due to non-availability of vacancies or failing to qualify the
interview will be exempted for re-appearing the same Test. However, while
considering promotion in the next DPCs, such Supervisor have to re-appear in the
interview again and their cases will be finalized keeping in view the performance
in the interview, appraisal rating, disciplinary / vigilance record etc. as required in
case of a fresh candidate. The marks secured in the Test qualified earlier will be
taken into account by the DPCs.

2.7.2 In case where promotion to higher grade involves qualifying both Trade as well
Written/Supervisory Test and an employee has qualified only one of the
prescribed Test then he will be exempted from re-appearing the Test in which he
has qualified.

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2.7.3 The above provision will be applicable from DPC-2010 onwards and the
candidates who have qualified the Trade Test/Written Test/Supervisory Test/
Executive Written Test during the DPC-2009 (Workmen to Supervisor and
Supervisor to Executive-E2 grade) and wherever such type of Trade/Written Test
are admissible will also be exempted from re-appearing the test.

2.8 Honorarium Rate for Setting and Evaluation of Question Papers & Answer
Sheets

S.No Type of test/area Rate (Rs.)

1. Setting of Question paper / trade test Rs. 600/-
(objective/ descriptive) upto 1½ hrs.
duration.
2. Setting of Question paper / trade test Rs. 800/-
(objective/ descriptive) above 1½ hrs.
duration.
3. Evaluation of Answer Sheets for Objective- Rs. 32 per paper
cum-descriptive type question papers upto (Minimum Rs.400)
1½ hrs. duration.
4. Evaluation of Answer Sheets for Objective- Rs. 40 per paper
cum-descriptive type question papers above (Minimum Rs.400)
1½ hrs. duration.

2.9 Reservation for SC/ST

The directives of the Central Government/company with regard to the reservation

of posts for Scheduled Caste/Scheduled Tribe candidates in the matter of
promotion, issued from time to time, will also be kept in view while effecting the
promotions of the employees.

2.10 Debarring

2.10.1 No employee whose latest confidential/merit rating report whether annual or

special is adjudged as “Adverse” will be considered for Promotion.

2.10.2 No employee under suspension or against whom decision has been taken to
chargesheet, or where the charge-sheet has been issued or where a criminal case is
pending against him shall be promoted until he is unconditionally reinstated or
exonerated. In case of unconditional reinstatement or exoneration, he will be
allowed promotion with retrospective effect, but the financial benefit accruing due
to promotion will be allowed with effect from the date his promotion order is
issued and no arrears will be payable on this account unless specifically
mentioned otherwise in the promotion order. However, in respect of those
employees who have been recommended for promotion by DPC and in whose

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 case decision to issue charge-sheet has not been taken by the Competent
Authority, order of promotion be issued in normal course.

The cases of employees against whom disciplinary proceedings are pending or

contemplated but are otherwise eligible for consideration for promotion shall also
be considered by the DPC (Department Promotion Committee) along with all
other cases. The recommendations of the DPC, including “unfit for Promotion”
will be kept in a sealed cover. The cover will be so superscribed findings
regarding suitability for promotion to the grade/ post of ......... in respect of Shri
..................... not to be opened till the conclusion of the disciplinary case/criminal
prosecution against Shri ....................’ The proceedings of the DPC need only
contain the note, “The findings are contained in the attached sealed cover”. The
same procedure will be followed by the subsequent DPCs convened till the
disciplinary case/criminal prosecution pending against the employee concerned is
finally concluded.

In the event of delay in the conclusion of the disciplinary proceedings/criminal

prosecution, the delay not being attributable to the charged employee, and the
disciplinary proceedings/ criminal prosecution against the employee concerned
are not concluded even after the expiry of two annual DPCs from the date of the
meeting of the first DPC which kept its findings in respect of the employee in the
sealed cover, the Appointing Authority may review the case of employee,
provided he is not under suspension, and consider and order promotion of
employee on adhoc basis, provided his case was recommended by DPC keeping
in view the totality of the case, the availability of vacancy etc. The order of
promotion should make it clear that the promotion is purely on adhoc basis, till
further orders and it confers no right on the employee for regular promotion and
that the Competent Authority reserves the right to cancel/revoke the adhoc
promotion or to revert, at any time the employee to the post from which he was
promoted on adhoc basis, without any formal proceedings.

2.10.3 On conclusion of disciplinary cases/criminal prosecution etc. the promotion of the

employee will be regulated as under:

(i) If the employee concerned is finally acquitted and is fully exonerated, the sealed
cover recommendation shall be opened and in the event the employee was
recommended for promotion by the Committee, the promotion shall be made
effective from the date as would otherwise have been announced as if there were
no proceedings against him. The financial benefits accruing due to promotion will
be allowed with effect from the date promotion order is issued and no arrear will
be payable on this account, unless specifically mentioned otherwise in the
promotion order.

(ii) If any penalty is imposed as a result of the disciplinary proceedings or if he is

found guilty in the criminal prosecution against him, the findings of the sealed
cover shall not be considered. His case for promotion may be considered by the

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 next DPC in the normal course and having regard to the penalty imposed on him.
Such employee shall, however, not receive promotion during currency of the
punishment where adhoc promotion has been given as at 2.8.2 above will be
cancelled/revoked.

3.0 Procedure

3.1 Written Test/Interview, wherever prescribed, for the candidates fulfilling all the
eligibility conditions as mentioned hereinbefore, will be conducted once in a year
in the same order. The number of eligible candidates to be trade-tested will be
limited to three times the number of anticipated vacancies and all those who
qualify in the test will be allowed to appear for an interview before the
Departmental Promotion Committee. The test will be conducted by a Committee
comprising of Executive Director’s nominee, representative of the Head of the
Department where the vacancy exists/is likely to occur, an officer of the Training
Department and HR Executive as nominated by the concerned Head of Human
Resource.

Where, in addition to Interview, the candidates are required to appear for Written
Test also, the number of eligible candidates to be called for the written test should
be limited to four/five times the number of anticipated vacancies. Out of those
who qualify in the Written Test, the number of candidates to be called for Trade-
Test and/or Interview will be limited to three times the number of anticipated
vacancies.

3.2 Departmental Promotion Committees for selecting candidates for promotion to

various grades/posts will be constituted by the Competent Authority.

3.3 The promotion will generally be based on seniority-cum-merit and the relative
weightage for the different factors will be as follows :

Factor considered in Promotion Weightage / Marks

Seniority 30
Appraisal Report/ Merit Rating 30
Test, Trade Test, Interview 40
Total 100

In cases where no test and/or interview is involved, the total maximum mark will
be 60. The merit rating reports for the last three consecutive years will be taken
into account for the above purpose.

3.3.1 Grade Seniority Marks and AAR Ratings for Supervisors in S4 grade for
promotion to Selection Grade

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 1. The marks for AAR ratings and grade seniority will be as under:
AAR Ratings (*) Marks (Max 30)
Outstanding 7.5
Very Good 6
Good 5
Satisfactory 4
Unsatisfactory 0
(*)Four AARs to be taken into consideration

2. Grade Seniority
Grade Seniority Marks (Max 30)
4 yrs 15
5 yrs 20
6 yrs 25
7 yrs & above 30
Total marks 1+2 = 60 marks; Qualifying marks = 50% as per rules (40% for
SC/ST/PH)

3.3.2 AAR Ratings, Grade Seniority, Test and interview marks for Supervisors in
S4 Grade for Promotion to E2

1.
AAR Rating( *) Marks(Max 10)
Outstanding 10
Very good 8
Good 7
Satisfactory 5
Unsatisfactory 0
*Only one AAR to be taken into consideration.
2.
Grade Seniority ratings Marks (Max 30)
1 year 15
2 years 20
3 years 25
4 years & above 30

3. Test Marks : 20 marks

4. Interview Marks : 20 marks

Total marks (1+2+3+4) : 80 marks

Qualifying marks = 50% as per rules (40% for SC/ST/PH)

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 Break-up of Seniority marks in supervisory cadre upto S4 level
Grade Seniority Marks (Max 30)
3 years 15
4 years 20
5 years 25
6 years & above 30

AAR Ratings in supervisory cadre upto S4 level

AAR Rating( *) Marks(Max 10)
Outstanding 10
Very good 8
Good 6
Satisfactory 5
Unsatisfactory 0

3.4 Based on the seniority position, the merit rating/Appraisal Reports and results of
the test/ interview, the position of the candidates will be arranged in order of merit
by the committee. The qualifying marks will be 50% in each of the items in
respect of which the candidates are evaluated. However, the qualifying marks for
SC/ST/PH candidates will be 40% in each of the items assessed.

3.5 Based on the above mentioned criteria, the DPC shall give its recommendation.
Based on the recommendation of the DPC, the competent authority shall approve
the list of successful candidates and the promotion orders shall be issued by the
respective HR department.

3.6 Supervisors promoted to E2 will be placed on probation for a period of six

months. The policy for probation for Supervisors on promotion to E2 will
continue to be six months.

If the performance of an employee during such probation, including extended

period is not found satisfactory, he shall be reverted to the lower post and he shall
not be considered for promotion for one year from the date of his reversion.

3.7 Designation of supervisors in Selection Grade

The designation of the Supervisors in Selection Grade will be given by suffixing

“SG” in the respective pre-promoted designation. For example, Sr. Accountant in
S4 grade will be designated as Sr. Accountant (SG), Sr. P.S. and JE Grade-I will
be designated as Sr. P.S (SG) and JE Grade-I (SG) respectively.

4.0 Appeal

An employee aggrieved due to his non-promotion may take recourse to the

prescribed Grievance Procedure for redressal of the same.

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5.0 General
The Management reserves the right to modify, cancel, add or amend any of these
rules at any time.

***********

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EXECUTIVE
PROMOTION
POLICY

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 STATEMENT OF COMPANY POLICY REGARDING
PROMOTION OF EMPLOYEES IN EXECUTIVE CATEGORY
1.0 Scope and coverage
1.1 This Statement of Company Policy will be applicable to all POSOCO personnel on
the regular rolls of the Company in the following executive grades:

Grade Pay Scale (Rs.)

(w.e.f. 01.01.2017)
E2 50000-160000
E3 60000-180000
E4 70000-200000
E5 80000-220000
E6 90000-240000
E7 100000-260000

1.2 The Policy Statement will not be applicable to executives who are appointed in a
grade for a limited tenure, superannuated persons reappointed in the Company’s
service and to other executives appointed on a purely casual or temporary basis.

1.3 Executives in whose cases a clause in the terms of initial appointment explicitly
provides for eligibility for consideration for promotion after completion of a
specified period of service in the grade in which the executive initially joins the
Corporation, will be excluded from the purview of this Policy Statement.

1.4 Executives who are on deputation to POSOCO or who retain lien on the service of
the parent organization will not be covered by this Policy Statement.

2.0 Philosophy and Objectives

2.1 POSOCO as a Company subscribes to the philosophy of generating growth from
within, and in pursuance thereof, endeavors to achieve synchronization of the goals
and objectives of the organization with the aspirations for growth and development
of the individual employees.

2.2 POSOCO hereby declares that it will be the Company’s general policy to look
within the organization for suitable persons with the requisite skill, expertise, merit
and suitability for filling up the senior executive positions.

2.3 Notwithstanding anything stated above, POSOCO will take recourse to lateral entry
at all levels from outside to the extent considered necessary to ensure infusion of
new blood and fresh outlook brought in by specialized/experienced personnel from

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 other reputed organizations from India and abroad with a view to sustaining the
vigour and vitality of POSOCO as a leading and progressive organization.

2.4 The basic induction level into the executive cadre in POSOCO is E-3 grade to
which entry will be largely through the Company’s Executive Trainee Scheme, but
it will be ensured that such induction will not impair the growth opportunities for
the meritorious and talented executives in E-2 grade.

2.5 In order to facilitate the fulfillment of the growth expectations, POSOCO will strive
to create and sustain an environment conducive to efficient and effective
functioning of the executives in their roles and responsibilities and to provide the
necessary scope and facilities for development of technical and managerial skills
and capabilities through training, job rotation, opportunity to serve in the field, job
enlargement and job enrichment. Executives are expected to avail fully of the
developmental opportunities, as mere reliance on length of service may not be
sufficient to meet fully their growth aspirations.

2.6 Consistent with and subject to the above principles and Company philosophy,
POSOCO lays down herein its Promotion Policy for the executives and managerial
personnel with the following as the objectives :

2.6.1 To motivate and enthuse executives and managers for better and more effective
performance by rewarding them with promotion to positions of higher
responsibility commensurate with their merit and ability and contribution towards
the achievement of the organisational goals and objectives.

2.6.2 To lay down clear and unambiguous principles to regulate promotion of executives
to available higher positions consistent with requirements of the Company.

2.6.3 To ensure uniformity, consistency and fairness in the promotion of Company

executives as between various disciplines and establishments of the Company.

2.6.4 To communicate to the executives, the requirements of performance, merit and

other conditions prerequisite to promotion and the events and circumstances which
might disqualify them from being promoted.

3.0 General Principles

3.1 Promotion of executives to positions in next higher grades will be solely on the
basis of merit, efficiency, grade service and suitability. In view of the fact that such
merit, efficiency and suitability can be meaningfully determined on the basis of
assessment of performance and potential over a reasonable period, there shall be a
minimum period of service in a grade to be called “Eligibility Period” and only
those Executives who complete the minimum period so prescribed will be eligible
for consideration for promotion to the next higher grades.

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3.1.1 The Promotions to the grade of E6 & E7 will be subject to notified vacancies.
However, vacancy may not be a constraint for promotions upto E5 grade.

3.2 Wherever limited applicability of seniority is provided in this policy, such seniority
will be determined with reference to one or more of the following factors:

3.2.1 Length of service in a grade from the date of joining inclusive of seniority
weightage, if any or from the date of promotion in POSOCO.

3.2.2 Merit position in the selection panel where date of joining is the same or the merit
position in Corporate Promotion Committee minutes where date of promotion is
the same.

3.3 Cases of eligible personnel in the executive cadre may be taken up for consideration
for promotion at any time depending upon the availability of vacancies and
exigencies of work. Promotions will take effect from the date of assumption of
charge of the higher post or the date of issue of order or any prospective or
retrospective date as may be specified in the promotion order. However, to enable
promotions being effected in a planned and rational manner and to ensure that
anomalies and unavoidable widening of inter-se-differences are kept down to the
minimum, promotion of executives to available vacancies in grades upto and
including E-7 will normally be made effective from standard date/ dates.

The standard dates and other matters relating to eligibility date etc. shall be
regulated as under:

a) Meeting of the Corporate Promotion Committee for promotion of executive will be

held once in a year. The eligibility of an executive upto and including the grade of
E6 will be determined as on 1st of April with grace period of one month i.e. those
who complete the eligibility period as on 30th April will come under the zone of
consideration.

b) Executives in the grade of E6 and below who are found fit for Promotion by the
Corporate Promotion Committee will be considered for promotion effective from
the dates as mentioned below :

(i) Executives who completed the eligibility period together with the grace period as
on preceding 31st July will be considered for promotion from 1st January preceding
the April CPC proceedings.

(ii) Executives who complete the eligibility period as on 30th April (inclusive of grace
period) will be considered for promotion from 1st April.

c) However, in the case of promotion of executives from the grade of E7 to the grade
of E8, the promotion will normally be effective from 1st January.

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3.4 It would be essential to clear a Departmental Examination of standard equivalent
to Bachelor in Engineering for any executive who possesses only Diploma in
Engineering qualification, to be promoted beyond the grade of Manager. This
condition will be relaxable by CMD only in exceptional cases where knowledge
and performance of an individual is adjudged, by a committee duly constituted for
this purpose, to be equivalent to a degree in engineering and CMD is satisfied that
such relaxation is justified.

3.5 For consideration of Executives in the grade of E7 for promotion to E8, RLDC
Exposure is considered desirable except in cases of Specialisation/Expertise which
are required to meet the organisational needs.

4.0 Appraisal System - Basis for assessment of merit and suitability

4.1 The Performance Appraisal System in operation for the executives of the company,
as modified from time to time, will generally provide the basis for determination of
merit, efficiency, potential and suitability of executives and Managers for positions
of higher responsibility in the appropriate higher grade, as relevant.

4.2 The appraisal year will be the calendar year for executives in the grades upto and
including E6. For E7 and above, the appraisal year will be the financial year from
1st April to 31st March. Where more than 6 months of the appraisal year have
elapsed at the time of consideration of an executive for promotion, a Special
Performance Report for the part year may be obtained and taken into consideration
along with the Reports of the previous years.

Wherever an executive is promoted taking into consideration the special report, the
special report shall be treated as regular report and regular report for the balance
appraisal period shall only be obtained. However, incase the executive is not
promoted, the special report has to be replaced by the regular appraisal report for
the full appraisal period.

4.3 Performance Appraisal Report for any period of less than 6 months in an appraisal
year will not be taken into consideration for the purpose of promotion. However,
where two or more reports are written in any appraisal year by reason of an
executive being posted under different reporting/countersigning officers, a single
rating for the year will be determined by the Corporate Promotion Committee.

4.4 Where the case of an executive comes up for consideration for promotion before he
completes the prescribed eligibility period on account of a “seniority weightage”
granted to him as a part of the terms of his initial appointment, the rating given in
the first appraisal report in POSOCO, if for a period of 6 months or more, will be
deemed to be the appraisal rating of the earlier years’ reports which are to be taken
into consideration, in accordance with this policy statement.

4.5 The Appraisal System will be on a 5 point scale i.e “Outstanding”, “Very Good”,
“Good”, “Average” and “Not Satisfactory”. The final overall evaluation by the

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 “Moderation Committee” will be taken into consideration for the purpose of
aggregation and marks will be allotted to various ratings as follows:

Rating For Promotion For Promotions For Promotions

from E2 to E3 from E3 Level upto from E5 to E6 &
E5 Level above
Outstanding 6 8 10
Very Good 4 6 8
Good 2 4 6
Average 1 2 4
Not Satisfactory 0 0 0

Following shall be the conversion table for converting the marks into five point
scale:

80-100 Outstanding
60-79 Very Good
50-59 Good
40-49 Average
Below 40 Not Satisfactory

5.0 Eligibility Periods

5.1 Eligibility period for promotion from one grade to next higher grade shall be as
under-

Executive in Grade Eligibility period (years)

E3, E4, E5 3
E2,E6 4
E7 6

• Assistant Engineer Trainee/ Assistant Officer Trainee shall be regularized as

Engineer/ Officer in E2 level after one year of training period and shall be eligible
for consideration for promotion after 4 years in E2 level.

• Employees promoted to E2 grade from supervisory grade shall also be eligible for
consideration for promotion to next higher grade after 4 years in E2 level.

• Executive Trainee recruited in E3 level shall be regularized as Assistant Manager

after one year training period and shall be eligible for consideration for promotion
to E4 level after 3 years from regularization.

• Interview process as selection criteria shall be included for consideration for

promotion from E5 to E6 level

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 It is on completion of the minimum period of service in the grades as prescribed
above, as on 30th April (inclusive of the grace period of one month) that an
executive will become eligible for consideration for promotion to the next higher
grade.

5.2 In the case of promotions of executives in the pay scales of E-6 and E-7, keeping
in view the special requirements of the organization in this fast expanding phase
when it may be considered desirable to fill vacancies in higher grades with
executives from within rather than resorting to recruitment from outside, the
eligibility period may be relaxed at the sole discretion of the Chairman & Managing
Director upto a maximum of 6 months in exceptional cases.

5.3 There will be a grace period of a maximum of one calendar month for the purpose
of determination of the eligibility periods as above.

5.4 While computing the length of service rendered by an executive in his existing pay
scale, the seniority weightage granted to him in that pay scale, if any, as laid down
in the terms of initial appointment will be taken into account.

6.0 Constitution & Role of Corporate Promotion Committee (CPC)

6.1 CMD shall have the powers to constitute Corporate Promotion Committee (CPC),
as considered appropriate by him, from time-to-time.

6.2 CPC will consider the suitability or otherwise of the eligible executives for
promotion to the appropriate next higher grade, on the basis of their qualification,
grade service, performance and potential as reflected in the Appraisal Reports,
Interview (wherever applicable) and other documents, relevant records in the
personal files and any other information/reports having a bearing on their suitability
for assuming positions in the next higher grade.

6.3 In addition to the above, the CPC shall interview the eligible executives in E6 and
E7 grades, with a view to ascertain their suitability for the next higher position.

6.4 The CPC shall take into consideration the Performance Appraisal Reports including
Special performance Report, if any, for the last Three/Four/Six years as the case
may be depending upon the eligibility period prescribed at para 5.1 above.

6.5 While considering promotions after taking into account all relevant factors, the
CPC will award upto a maximum of 5 marks (for promotion to E3, E4 & E5 grade)
and 15 marks (for promotion to E6 grade), 20 marks (for promotion to E7 grade) to
each eligible executive, keeping in view;

a) the desirability of according special recognition to experience and performance in

the field consistent with the company’s priorities;

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 b) the need to ensure uniformity, consistency and equitability;

c) potential and suitability for the specific job position to which he is to be

promoted;

d) general conduct, personality and sense of involvement and commitment to the

organisation; and

e) the upward or downward trend in the appraisal ratings. In case of upward trend, the
CPC might consider awarding higher marks as compared to the cases where there
has been a downward trend, other things remaining equal.

6.6 The marks secured by each eligible executives from the Performance Appraisal
Reports, Grade Service and mark awarded by CPC (wherever applicable) will be
aggregated in the evaluation sheet. Those executives who have been found suitable
for promotion will be ranked in order of merit. Where aggregate of marks is the
same, they will be ranked in order of seniority. The promotion order shall be issued
in respect of executives who secure the promotability marks.

6.7 Subject to fulfilment of the principles, minimum criteria and other conditions as
laid down herein and subject to other relevant rules and orders in force in the
company, the recommendation of CPC will be put for approval of the Chairman
and Managing Director or any delegated authority, a panel of names of eligible
executives, ranked in order of merit, who are considered suitable for promotion to
specific appropriate positions in the next higher grade. Where the Chairman and
Managing Director himself is the Chairman of the CPC, the said recommendation
will be deemed to have been approved. The recommendation so approved will
constitute the basis and authority for promotion of executives to the appropriate
higher grade.

6.8 Human Resource Department will provide all necessary support to the CPC,
including constitution and convening of meeting of CPC, recording of minutes,
furnishing of information and records, analysis and report on the Appraisal Ratings,
available vacancies etc.

7.0 Criteria and Conditions for Promotion and Disqualification from Promotion

7.1 Factors which are to be taken into account for determining suitability for promotion
of an executive and the weightage therefore shall be as under:

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 a) Promotion of executives from the grades of E2 to E3, E3 to E4 and E4 to E5:

(E2 to E3)
SNo Factors Maximum Marks
i) Performance Appraisal Ratings 24
(for last 4 years)
ii) Grade Service 16
iii) CPC Marks 5
Total 45
Qualifying Marks 32

(E3 to E4 and E4 to E5)

SNo Factors Maximum Marks
i) Performance Appraisal 24
Ratings (for last 3 years)
ii) Grade Service 16
iii) CPC Marks 5
Total 45
The marks for Performance Appraisal Ratings will be as given in Para 4.5.

The marks for Grade Service will be as under :

(E2 to E3)
Grade Service Marks
4 years 10
5 years 12
6 years 14
7 years & above 16

(E3 to E4 and E4 to E5)

Grade Service Marks
3 years 10
4 years 13
5 years & above 16
The qualifying Marks for promotability will be 32 (thirty two)

NOTE: Executives in E2 grade, other than Assistant Engineer Trainee/ Assistant

Officer Trainee, will be designated as Engineer/Officer.

EXECUTIVE PROMOTION POLICY

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 b) Promotion of executives from the grades of E5 to E6

Sl. Factors Maximum Marks

i) Performance Appraisal Ratings (for last 3 30

years)
ii) Grade Service 15
iii) CPC 15
Total 60
The marks for Performance Appraisal Ratings will be as given in Para 4.5.

The marks for Grade Service will be as under:

Grade Service Marks
3 years 8
4 years 10
5 years 12
6 years & above 15
The ‘Qualifying Marks for ‘promotability’ will be 45 (Forty Five)

c) Promotion of executives from the grades of E6 to E7

Sl.No. Factors Maximum Marks

i) Performance Appraisal Ratings (for 40
last 4 years)
ii) Grade Service 20
iii) CPC 20
Total 80
The marks for Performance Appraisal Ratings will be as given in Para 4.5.

The marks for Grade Service will be as under :

Grade Service Marks
4 years 12
5 years 14
6 years 17
7 years & above 20
The’ Qualifying Marks’ for ‘promotability’ will be 60 (Sixty).

7.2 No employee whose Performance Appraisal Report for the last year or Special
Performance Report, if any, is “Not Satisfactory” will be considered for promotion.

7.3 No employee under suspension or where the charge sheet has been issued or where
a criminal case is pending against him shall be promoted until he is unconditionally
reinstated or exonerated. In case of unconditional reinstatement or exoneration, he

EXECUTIVE PROMOTION POLICY

Page 155
 will be allowed promotion with retrospective effect, but the financial benefit
accruing due to promotion will be allowed with effect from the date his promotion
order is issued and no arrears will be payable on this account unless specifically
mentioned otherwise in the promotion order.

7.3.1 The cases of employees against whom disciplinary proceedings are pending or
contemplated, but are otherwise eligible for consideration for promotion shall also
be considered by the CPC (Corporate Promotion Committee) along with all other
cases. The recommendations of the CPC, including “unfit for Promotion” will be
kept in a sealed cover. The cover will be so superscribed ‘findings regarding
suitability for promotion to the grade/post of …………………… in respect of Shri
……………… not to be opened till the conclusion of the disciplinary case/criminal
prosecution against Shri …………………………… The proceedings of the CPC
need only contain the note, ‘The findings are contained in the attached sealed
cover’. The same procedure will be followed by the subsequent CPCs convened till
the disciplinary case/criminal prosecution pending against the employee concerned
is finally concluded.

7.3.2 In the event of delay in the conclusion of the disciplinary proceedings/criminal

prosecution, the delay not being attributable to the charged employee, and the
disciplinary proceedings/criminal prosecution against the employee concerned are
not concluded even after the expiry of two annual CPCs from the date of the
meeting of the first CPC which kept its findings in respect of the employee in the
sealed cover, the Appointing Authority may review the case of the employee
provided he is not under suspension, and consider and order promotion of employee
on adhoc basis, provided his case was recommended by CPC keeping in view the
totality of the case, the availability of vacancy etc. The order of promotion should
make it clear that the promotion is purely on adhoc basis, till further orders and it
confers no right on the employee for regular promotion and that the Competent
Authority reserves the right to cancel/revoke the adhoc promotion or to revert at
any time, the employee to the post from which he was promoted on adhoc basis,
without any formal proceedings.

7.3.3 On conclusion of disciplinary cases/criminal prosecution etc. the promotion of the

employee will be regulated as under :

i) If the employee concerned is finally acquitted and is fully exonerated, the sealed
cover recommendation shall be opened and in the event the employee was
recommended for promotion by the Committee, the promotion shall be made
effective from the date as would otherwise have been announced as if there were
no proceedings against him. However, whether the concerned employee will be
entitled to any arrears of pay for the period of notional promotion preceding the
date of actual promotion and if so, to what extent, will be decided by the Competent
Authority by taking into consideration all the facts and circumstances of the
disciplinary proceedings/ criminal prosecution. Where the authority denies arrears
of salary or part of it, it will record its reasons for doing so. The financial benefits

EXECUTIVE PROMOTION POLICY

Page 156
 for the period of notional promotion will not be paid unless specifically mentioned
otherwise in the promotion order.

ii) If any penalty is imposed as a result of the disciplinary proceedings or if he is found

guilty in the criminal prosecution against him, the findings of the sealed cover shall
not be considered. His case for promotion may be considered by the next CPC in
the normal course and having regard to the penalty imposed on him. Such employee
shall, however, not receive promotion during currency of the punishment. Where
adhoc promotion has been given as at 7.3.2 above will be cancelled/revoked.

7.4 In case of transfer on promotion, the promotion will be effective from the standard
date or notified date, provided the concerned executive joins at the new place of
posting within a period of not more than two months from the date of issuance of
the promotion order failing which the promotion will be regulated as under :

a) In case the concerned executive joins at the new place of posting beyond two
months but within 6 months from the date of issuance of the promotion order, the
promotion will be effective only from the actual date of joining at the new place of
posting. However, in exceptional cases, based on merits of the case, the promotion
can be considered to be notionally effective from a date prior to the actual date of
joining, as may be decided by the Competent Authority. The financial benefits on
account of promotion will be allowed only from the actual date of joining the new
place of posting.

b) In case the concerned executive does not join at the new place of posting within 6
months from the date of issuance of the order, the promotion order would stand
automatically cancelled and withdrawn and his case for promotion to the next
higher grade will be considered afresh by the next CPC, as per policy.

8.0 Probation
8.1 All Executives promoted to the grades of E7 onwards shall be placed on probation
for a period of one year from the date of assumption of charge in the next higher
grade. The period of probation may be extended at the discretion of the Competent
Authority but will not be extended by more than one year save for exceptional
reasons to be recorded in writing.

8.2 Every executive promoted to the higher grade will be issued a formal order of
confirmation on satisfactory completion of the probationary period or the extended
period of probation as may be applicable. The executive will be deemed to be on
probation until so confirmed in writing.

8.3 An order relating to confirmation or extension of probation will normally be

communicated within one month from the date of completion of the probationary
period or the extended period of probation. Non-compliance of this stipulation will
not, however, result in automatic conformation of the executive concerned.

EXECUTIVE PROMOTION POLICY

Page 157
8.4 If during the probationary period or extended period of probation, the performance
of the executive is not found satisfactory or upto the standard required for the
promoted post, the executive shall be reverted back to the pre-promotion grade.
After reversion, the employee will not be considered for promotion to the higher
grade for a period of one year from the date of reversion.

9.0 Reservation for SC/ST

The directives of the Central Government with regard to the reservation of posts
for Scheduled Caste/Scheduled Tribe candidates in the matter of promotion will be
kept in view while effecting promotions of executives.

10.0 General
The Management reserves the right to modify, cancel, add or amend any of the
provisions of the policy at any time.

*************

Reference:
(1) Corporate HR Circular No. 04/2019 dated 23.01.2019 (Career Planning of Executives
upto E7 Level)
(2) Corporate HR Circular No. 16/04/2020 dated 16.04.2020 (Modification for Promotion
Policy for Executives in E2/E3 level)

EXECUTIVE PROMOTION POLICY

Page 158
RAJBHASHA
GUIDELINES

Page 159
 प�रभाषाएं

1. िह�ी म� प्रवीणता - िकसी कम�चारी के बारे म� यह समझा जाएगा िक उसे िह�ी म� प्रवीणता
प्रा� ह� यिद उसने -

(क) मैिट� क परी�ा या उसके समक� या उससे उ�तर कोई परी�ा िह�ी को मा�म के �प
म� अपनाकर उ�ीण� की है ; अथवा

(ख) �ातक परी�ा म� अथवा �ातक परी�ा के समक� या उससे उ�तर िकसी अ� परी�ा म�
िह�ी को उसने एक वैक��क िवषय के �प म� िलया था; अथवा

(ग) वह यह दाद् �णा करता है िक उसे िह�ी म� प्रवीणता प्रा� है ।

2. िह�ी का काय� साधक �ान - िकसी कम�चारी के बारे म� यह समझा जाएगा िक उसने िह�ी
का काय� साधक �ान प्रा� कर िलया है , यिद उसने -

(i) मैिट� क परी�ा या उसके समक� या उससे उ�तर परी�ा िह�ी िवषय के साथ उ�ीण� की
है ; अथवा

(ii) के�ीय सरकार की िह�ी िश�ण योजना के अ�ग�त आयोिजत प्रा� परी�ा या उस
सरकार �ारा िकसी िविश� वग� के पदों के सं बंध म� िनधा� �रत कोई िन��र परी�ा उ�ीण�
की है ; अथवा

(iii) के�ीय सरकार �ारा इस िनिम� िविनधा� �रत कोई अ� परी�ा उ�ीण� कर ली है ; या

(iv) यिद वह यह दाद् �णा करता है िक उसने ऐसा �ान प्रा� कर िलया है ।

RAJBHASHA GUIDELINES
Page 160
 DEFINITIONS

1. Proficiency in Hindi - An employee shall be deemed to possess proficiency in

Hindi if:-

(a) he has passed the Matriculation or any equivalent or higher examination with
Hindi as the medium of examination; or
(b) he has taken Hindi as an elective subject in the degree examination or any other
examination equivalent to or higher than the degree examination; or
(c) he declares himself to possess proficiency in Hindi.

2. Working knowledge of Hindi - An employee shall be deemed to have acquired

working knowledge of Hindi if he has passed:-

(i) the Matriculation or an equivalent or higher examination with Hindi as one of the
subject; or
(ii) the Pragya examination conducted under the Hindi Teaching Scheme of the
Central Government or when so specified by that Government in respect of any
particular category of posts, any lower examination under that Scheme; or
(iii) any other examination specified in that behalf by the Central Government; or
(iv) if he declares himself to have acquired such working knowledge.

RAJBHASHA GUIDELINES
Page 161
 प्र�ावली म� उ���खत राजभाषा अिधिनयम/िनयम तथा राजभाषा नीित सं बंधी
सरकारी आदे शों से िलए गए सं गत उ�रण

राजभाषा अिधिनयम, 1963 की धारा 3(3) से उ�रण

(3) उपधारा (1) म� अ�िव�� िकसी बात के होते �ए भी िह�ी और अं ग्रेजी भाषा दोनों ही-

(i) संक�ों, साधारण आदे शों, िनयमों, अिधसू चनाओं, प्रशासिनक या अ� प्रितवे दनों या प्रे स
िव���यों के िलए जो के�ीय सरकार �ारा या उसके िकसी मंत्रालय, िवभाग या काया� लय
�ारा या के�ीय सरकार के �ािम� म�/के या िनयं त्रण म�/के िकसी िनयम या क�नी �ारा
या ऐसे िनगम या कंपनी के िकसी काया� लय �ारा िनकाले जाते ह� या िकए जाते ह� ;

(ii) संसद के िकसी सदन या सदनों के सम� रखे गए प्रशासिनक तथा अ� प्रितवे दनों और
राजकीय कागज-पत्रों के िलए;

(iii) के�ीय सरकार या उसके िकसी मंत्रालय, िवभाग या काया� लय �ारा या उसकी ओर से या
के�ीय सरकार के �ािम� म�/के या िनयं त्रण म�/के िकसी िनगम या क�नी �ारा या ऐसे
िनगम या क�नी के िकसी काया� लय �ारा िन�ािदत सं िवदाओं और करारों के िलए तथा
िनकाली गई अनु ���यों, अनु �ापत्रों, सू चनाओं और िनिवदा-प्रा�पों, के िलए प्रयोग म� लाई
जाएगी ।

राजभाषा अिधिनयम, 1963 की धारा 3 (3) के अनु सार सामा� आदे श म� िन�िल�खत
स��िलत है -

(1) ऐसे सभी आदे श, िनण�य या अनु देश जो िवभागीय प्रयोग के िलए हों और जो स्थायी प्रकार
के हों;

(2) ऐसे सभी आदे श, अनुदेश, पत्र, �ापन, नोिटस आिद जो सरकारी कम�चा�रयों के समूह
अथवा समूहों के संबंध म� हों या उनके िलए हों;

(3) ऐसे सभी प�रपत्र जो िवभागीय प्रयोग के िलए हों या सरकारी कम�चा�रयों के िलए हों।

RAJBHASHA GUIDELINES
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 RELEVANT EXTRACTS FROM THE OFFICIAL LANGUAGES
ACT /RULES AND GOVERNMENT ORDERS ON OFFICIAL LANGUAGE
POLICY AS MENTIONED IN QUESTIONNAIRE

Extract from Section 3(3) of Official Languages Act, 1963

(3) Notwithstanding anything contained in sub-section (1) both Hindi and the English
language shall be used for -

(i) resolutions, general orders, rules, notifications, administrative or other reports or

press communiqués issued or made by the Central Government or by a Ministry,
Department or office thereof or by a Corporation or Company owned or
controlled by the Central Government or by any office of such Corporation or
Company;

(ii) administrative and other reports and official papers to be laid before a House or
the Houses of Parliament;

(iii) contracts and agreements executed, and licences, permits, notices and forms of
tender issued by or on behalf of the Central Government or any Ministry,
Department or Office thereof or by a Corporation or Company owned or
controlled by the Central Government or by any office of such Corporation or
Company.

As per Section 3(3) of the Official Languages Act, 1963 the following are
covered in general orders :-

(1) all orders, decisions or instructions intended for departmental use and which are
of standing nature;

(2) all such orders, instructions, letters, Memoranda, Notices, etc. related to or
intended for group or groups of Government employees;

(3) all circulars whether intended for departmental use or for Government
employees.

RAJBHASHA GUIDELINES
Page 163
 राजभाषा (संघ के शासकीय प्रयोजनों के िलए प्रयोग) िनयम, 1976

िनयम 2 (च) �ेत्र क से िबहार, झारख�, ह�रयाणा, िहमाचल प्रदे श, म� प्रदे श, छ�ीसगढ़,
राजस्थान और उ�र प्रदे श रा�, उ�रां चल और अं डमान और िनकोबार �ीप समूह तथा
िद�ी के संद रा� �ेत्र अिभप्रे त ह� ;

(छ) �ेत्र "ख" से गुजरात, महारा�� और पं जाब रा� और चं डीगढ़ सं द रा� �े त्र अिभप्रे त ह� ;

ज) �ेत्र "ग" से ख� (च) और (छ) म� िनिद� � रा�ों और सं घ रा� �े त्रों से िभ� रा� तथा
संघ रा� �ेत्र अिभप्रे त ह� ।

िनयम 8 के�ीय सरकार के काया� लयों म� िट�णों का िलखा जाना

(1) कोई कम�चारी िकसी फाईल पर िट�ण या काय� वृ� िह�ी या अं ग्रेजी म� िलख सकता है और
उससे यह अपे �ा नही की जाएगी िक वह उसका अनु वाद दू सरी भाषा म� प्र�ु त करे ।

(4) उपिनयम (1) म� िकसी बात के होते �ए भी के�ीय सरकार, आदे श �ारा ऐसे अिधसू िचत
काया� लयों को िविनिद� � कर सकती है जहां ऐसे कम�चा�रयों �ारा िज�� िह�ी म� प्रवीणता
प्रा� ह� , िट�ण, प्रा�पण और ऐसे अ� शासकीय प्रयोजनों के िलए, जो आदे श म�
िविनिद� � िकए जाएं , केवल िह�ी का प्रयोग िकया जाएगा।

िनयम 10 (2) यिद के�ीय सरकार के िकसी काया� लय म� काय� करने वाले कम�चा�रयों/अिधका�रयों म�
से अ�ी प्रितशत ने िह�ी का काय� साधक �ान प्रा� कर िलया है तो उस काया� लय के
कम�चा�रयों के बारे म� सामा�तया यह समझा जाएगा िक उ�ोंने िह�ी का काय� साधक
�ान प्रा� कर िलया है ।

िनयम 10 (4) के�ीय सरकार के िजन काया� लयों के अ�ी प्रितशत कम�चा�रयों/अिधका�रयों ने िह�ी
का काय� साधक �ान प्रा� कर िलया है , उन काया� लयों के नाम राजपत्र म� अिधसू िचत
िकए जाएं गे।

पर�ु , यिद के�ीय सरकार की राय है िक िकसी अिधसू िचत काया� लय म� काम करने वाले और िह�ी का
काय�साधक �ान रखने वाले कम�चा�रयों का प्रितशत िकसी तारीख से उप-िनयम (2) म� िविनिद� � प्रितशत से
कम हो गया है , तो वह राजपत्र म� अिधसू चना �ारा दा�िषत कर सकती है िक उव्त काया� लय उस तारीख से
अिधसूिचत काया� लय नही रह जाएगा ।

RAJBHASHA GUIDELINES
Page 164
 Official Language (for Official use of the Union) Rules, 1976

Rule 2 (f) “Region A” means the States of Bihar, Jharkhand, Haryana, Himachal Pradesh,
Chattisgarh, Madhya Pradesh, Rajasthan, Uttar Pradesh, Uttaranchal and
Andaman and Nicobar Islands and the Union Territory of Delhi;

(g) “Region B” means the States of Gujarat, Maharashtra and Punjab and the Union
Territories of Chandigarh;

(h) “Region C” means the States and the Union Territories other than those referred
to in clauses (f) and (g).

Rule 8 Noting in Central Government offices

(1) An employee may record a note or minute on a file in Hindi or in English without
being himself required to furnish a translation thereof in other language.

(4) Not withstanding anything contained in sub-rule (i) the Central Government may
order, specify the notified offices where Hindi alone shall be used for noting,
drafting and for such other official purpose as may be specified in the order by
employees who possess proficiency in Hindi.

Rule 10(2) The staff of a Central Government Office shall ordinarily be deemed to have
acquired a working knowledge of Hindi if eighty percent of the staff working
therein have acquired such knowledge.

Rule 10(4) The names of the Central Government Offices, the staff whereof have acquired a
working knowledge of Hindi, shall be notified in the Official Gazette.

Provided that Central Government may if it is of opinion that the percentage of

the staff working in a notified office and having a working knowledge of Hindi
has gone below the percentage specified in sub-rule (2) from any date, it may, by
notification in the Official Gazette declare that the said office shall cease to be a
notified office from that date.

RAJBHASHA GUIDELINES
Page 165
िनयम 11 मैनुअल, संिहताएं , प्रिक्रया सं बंधी अ� सािह�, लेखन सामग्री आिद -

(1) के�ीय सरकार के काया� लयों से सं बंिधत सभी मैनुअल, सं िहताएं और प्रिक्रया सं बंधी अ�
सािह� िह�ी और अंग्रेजी म� ि�भािषक �प म� यथा�स्थित, मौित या साइ�ो�ाइल िकया
जाएगा और प्रकािशत िकया जाएगा।

(2) के�ीय सरकार के िकसी काया� लय म� प्रयोग िकए जाने वाले रिज�रों के प्रा�प और
शीष�क िह�ी और अंग्रेजी म� होंगे ।

(3) के�ीय सरकार के िकसी काया� लय म� प्रयोग के िलए सभी नामप�, सू चना प�, पत्रशीष�
और िलफाफों पर उ�ीण� लेख तथा लेखन सामग्री की अ� मद� िह�ी और अं ग्रेजी म� िलखी
जाएं गी, मौित या उ�ीण� होंगी

पर�ु यिद के�ीय सरकार ऐसा आव�क समझती है तो वह साधारण या िवशे ष आदे श �ारा
के� सरकार के िकसी काया� लय को इस िनयम के सभी या िक�प उपब�ों से छूट दे सकती
है ।

िनयम 12 अनु पालन का उ�रदािय� –

(1) के�ीय सरकार के प्र�ेक काया� लय के प्रशासिनक प्रधान का यह उ�रदािय� होगा िक वहः-

(i) यह सु िनि�त कर� िक अिधिनयम और इन िनयमों के उपब�ों और उपिनयम (2) के अधीन

जारी िकए गए िनदे शों का समुिचत �प से अनु पालन हो रहा है और;

(ii) इस प्रयोजन के िलए उपयु व्त और प्रभावकारी जां च के िलए उपाय कर� ।

(2) के�ीय सरकार अिधिनयम और इन िनयमों के उपब�ों के स�क अनु पालन के िलए अपने
कम�चा�रयों और काया� लयों को समय-समय पर आव�क िनदे श जारी कर सकती है ।

RAJBHASHA GUIDELINES
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Rule 11 Manuals, codes, other procedural literature, articles of stationery etc.

(1) All manuals, codes and other procedural literature relating to Central Government
offices shall be printed or cyclostyled, as the case may be, and published both in
Hindi and English in diglot form.

(2) The forms and headings of registers used in any Central Government office shall
be in Hindi and in English.

(3) All name-plates, sign boards, letter heads and inscriptions on envelopes and other
items of stationery written, printed or inscribed for use in any Central
Government office shall be in Hindi and in English.

Provided, the Central Government may, if it is considered necessary to do so by

general or special order exempt any Central Government office from all or any of
the provisions of this Rule.

Rule 12 Responsibility for compliance-

(1) It shall be the responsibility of the administrative head of each Central

Government office:-

(i) to ensure that the provisions of the Act and these rules are properly complied
with; and
(ii) to devise suitable and effective check points for this purpose.

(3) The Central Government may from time to time issue such directions to its
employees and offices as may be necessary for the due compliance of the provisions of
the Act and these rules.

RAJBHASHA GUIDELINES
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 राजभाषा नीित सं बंधी आदे श

(1) राजभाषा िवभाग, ग्� मं त्रालय के िदनां क 24.11.95 के का. �ा. सं 0 12021/5/95-
रा.भा. (काया�0 ।।) से उ�रण-मै नुअलों, फाम�, कोडों आिद की िह�ी-अं ग्रेजी
ि�भाषी (िडगलॉट �प म� ) छपाई ।

1. मैनुअल, फाम�, कोड आिद िह�ी-अं ग्रेजी (िडगलॉट �प म�) ि�भाषी छपवाए जाएं । फाम�
आिद के िह�ी शीष�क पहले िदए जाएं और अं ग्रेजी शीष� क बाद म� । िह�ी अ�रों के टाइप
अंग्रेजी से छोटे न हों ।
2. सभी मंत्रालय/िवभाग अपने िनयं त्रणाधीन प्रे स तथा अ� काया� लयों को आव�क अनु देश
जारी कर� िक वे कोई भी सामग्री केवल अं ग्रेजी म� छापने के िलए �ीकार न कर� ।
3. शहरी िवकास मंत्रालय की ओर से प्रकाशन िनदे शालय को अनु देश है िक कोड/मैनुअल
आिद को छपाई के िलए तभी �ीकार िकया जाए जब वे ि�भाषी �प म� हों ।
[संदभ� : प्र�ावली के भाग -II की मद सं .- 5]

(2) राजभाषा िवभाग, ग्� मं त्रालय के िदनां क 26 फरवरी, 1988 के का. �ा. सं 0
14034/15/87-रा.भा.( क.1) से उ�रण - अं ग्रेजी म� प्रा� पत्रों का उ�र िह�ी म� दे ना ।

1. राजभाषा िनयम, 1976 के िनयम 3 के उपबंधों के अधीन के�ीय सरकार के “क” और

"ख" म� �स्थत सभी मंत्रालयों/िवभागों/काया� लयों/उपक्रमों/क�िनयों आिद �ारा क �े त्र म�
�स्थत रा�ों या संघ �ेत्रों या उनके अधीन काया� लयों के साथ पत्र-�वहार िह�ी म� िकया
जाना आव�क है ।
2. राजभाषा िनयम, 1976 म� की गई उपयु� व्त �वस्था का अनु पालन सही ढं ग से तभी हो
सकता है जबिकक �ेत्र की रा� सरकारों और सं घ रा� �े त्र के प्रशासनों से मूल पत्राचार
िह�ी म� िकया जाए और उनसे कोई पत्र अं ग्रेजी म� भी आए तो उसका उ�र िह�ी म� िदया
जाए ।
[संदभ� : प्र�ावली के भाग - III की मद सं . 1 ( ख) ]

(3) राजभाषा िवभाग, गृह मं त्रालय के िदनां क 21 जु लाई, 1992 के का.�ा. सं.
12024/2/92- रा.भा. (ख-2) -4 से उ�रण - िह�ी म� पत्राचार ।

1. सं सदीय राजभाषा सिमित ने अपनी �रपोट� के चतु थ� ख� म� िसफा�रश की है िक िह�ी म�

प्रा� पत्रों के उ�र अिनवाय� �प से िह�ी म� िदए जाएं तथा मूल पत्राचार म� राजभाषा
िनयमों म� विण�त अिनवाय� ताओं का पू ण� �प से अनु पालन िकया जाए औरगू �े त्र म� �स्थत
के�ीय सरकार के काया� लयों के साथ भी िह�ी म� पत्राचार को बढाया जाए । सिमित ने यह
भी िसफा�रश की है िक के�ीय सरकार के काया� लयों �ाराक और "ख" �े त्र को भे जे जाने
वाले तार दे वनागरी म� भेजे जाएं और ग �े त्र म� भी िह�ी म� तार भे जने की शु �आत की
जाए ।

RAJBHASHA GUIDELINES
Page 168
 ORDERS REGARDING OFFICIAL LANGUAGES POLICY
(1) Extracts from O.M. No. 12021/5/95-O.L. (Imp.II) dated 24.11.95 of Ministry of
Home Affairs, Department of Official Language regarding printing of manuals,
forms, codes, etc. bilingually (in diglot form).

1. All forms, manuals, codes, etc. should be printed bilingually both in Hindi and
English (in diglot form). Hindi headings should come first followed by English
headings on the forms. The type used for Hindi letters should not be smaller in
size than that used for English letters.

2. All Ministries/Departments may issue necessary instructions to the presses and

other offices under their control that they should not accept any material for
printing in English only.

3. Instructions have been issued by the Ministry of Urban Development to the

Publication Directorate that codes/manuals etc. should be accepted for printing
only when they are in bilingual form.
[Reference: Item No. 5 of Part II of the Questionnaire]

(2) Extracts from O.M. No. 14034/15/87-O.L. (A-I) dt. 26 Feb' 1988 of Ministry of
Home Affairs, Department of Official Language regarding reply in Hindi of the
letters received in English.

1. Under the provisions of Rule 3 of the Official Language Rules, 1976, itis required
that all Ministries/ Departments/ Offices/ Undertakings/ Companies, etc. of the
Central Government located in Region “A” and “B” should correspond with the
States or Union Territories or the offices under their control located in Region
“A” in Hindi.

2. The aforesaid provisions made under the Official Language Rules, 1976 can be
complied with properly only if original correspondence with the State
Governments and the administrations of the Union Territories in Region “A” is
done in Hindi and even if a letter is received in English from them it may also be
replied to in Hindi.
[Reference : Item No. 1(B) of Part III of Questionnaire]

(3) Extracts from O.M. No. 12024/2/92-O.L. (B-2)-4 dated 21 July' 1992 of Ministry of
Home Affairs, Department of Official Language regarding correspondence in Hindi.

1. The Committee of Parliament on Official Language in the fourth part of its report
has recommended that the letters received in Hindi should, invariably be replied
to in Hindi and the bindings laid down in the Official Language Rules relating to
original correspondence should be fully complied with and the quantum of
correspondence in Hindi with the Central Govt. Offices located in Region "C"
should also be increased. The Committee has also recommended that the
telegrams issued by the Central Govt. Offices to the Offices located in Regions
‘A’ & ‘B’ should be in Devanagari Script and a beginning be made to send
telegrams in Hindi in Region ‘C’ as well.

RAJBHASHA GUIDELINES
Page 169
2. सिमित की उव्त िसफा�रश के प�रप्रे � म� सभी मंत्रालयों/ िवभागों, आिद से अनु रोध है िक
वे अपने यहां तथा अपने सभी स��/ अधीनस्थ काया� लयों/ उपक्रमों/ िनगमों आिद म�
िह�ी पत्राचार को बढ़ाने के िलए ठोस कदम उठाएं तािक वािष� क काय� क्रम म� िदए गए
ल�ों की प्रा�� की जा सके ।
[संदभ� : प्र�ावली के भाग -III की मद सं . - 2 ( ग ) (iii)]

(4) राजभाषा िवभाग, गृह मं त्रालय के िदनां क 21 जु लाई, 1992 के का.�ा. सं.
12024/2/92-रा.भा. (ख-2)-6 से उ�रण - रिज�रों और से वा पु ��काओं के शीष� क
और प्रिवि�यां ।

1 सं सदीय राजभाषा सिमित ने अपनी �रपोट� के चतु थ� ख� म� यह िसफा�रश की है िक - ( 1)

सभी काया� लयों म� उपल� रिज�रों और सभी वग� के अिधका�रयों और कम�चा�रयों की
सेवा पु��काओं के शीष�क ि�भाषी होने चािहए और उनम� प्रिवि�यां िह�ी म� होनी चािहए
। ( 2)क और ख �ेत्रों म� भेजे जाने वाले िलफाफों पर पते अिनवाय� �प से िह�ी म� ही िलखे
जाएं ।

2. सिमित की उव्त िसफा�रशों के प�रप्रे � म� सभी मंत्रालयों/िवभागों आिद से अनु रोध है िक वे

यह सु िनि�त कर� िक (1)क व ख �े त्र म� �स्थत के�ीय सरकार के काया� लयों म� रखे जाने
वाले रिज�रों/ सेवा पु ��काओं म� प्रिवि�यां िह�ी म� ही की जाएं �े त्र म� �स्थत काया� लयों म�
ऐसी प्रिवि�यां यथासं भव िह�ी म� की जाएं । (2)क तथा ख �े त्रों म� भे जे जाने वाले िलफाफों
पर पते अिनवाय� �प से िह�ी म� ही िलखे जाएं ।
[संदभ� : प्र�ावली के भाग - III की मद सं . 3(i) तथा 17 (क)]

(5) राजभाषा िवभाग, गृह मं त्रालय के िदनां क 6 अप्रै ल, 1992 के का.�ा. सं . 12024/2/92-
रा.भा. ( ख-2) से उ�रण - जां च िबन्दु स्थािपत करना ।

1. सं सदीय राजभाषा सिमित ने अपने चतु थ� ख� म� यह िसफा�रश की है िक के�ीय सरकार

के सभी मंत्रालयों/ िवभागों एवं उनके स��/ अधीनस्थ काया� लयों/उपक्रमों/ िनगमों आिद
म� राजभाषा िनयम, 1976 के िनयम 12 के अनु सार प्र�े क काया� लय के प्रशासिनक प्रधान
राजभाषा अिधिनयम, 1963 और उसके अधीन बनाए गए िनयमों के अनु बंधों के समुिचत
अनु पालन के िलए जां च िबन्दु बनाने के सं बंध म� अपनी िज�े दारी का िन�ापू व�क पालन कर�
और जां च िबन्दु ओं को प्रभावशाली ढं ग से स्थािपत कर� ।

2. मंत्रालयों/िवभागों से सं सदीय राजभाषा सिमित की उव्त िसफा�रश के प�रप्रे � म� अनु रोध

है िक वे राजभाषा िनयमों की अनु पालना सु िनि�त करने एवं िह�ी के प्रगामी प्रयोग को
बढ़ाने हे तु िन�िल�खत जां च िबन्दु स्थािपत करे ः-

(क) िलफाफों पर िह�ी म� पते िलखना

प्रे षण अनु भाग को जां च िबन्दु बनाया जाए और यह सु िनि�त िकया जाए िक क तथा ख
�ेत्रों को जाने वाले पत्रों के िलफाफों पर पते दे वनागरी िलिप म� ही िलखे जाएं ।

RAJBHASHA GUIDELINES
Page 170
 2. In the perspective of the above recommendations of the Committee, all the
Ministries/Departments are requested that they should take concrete steps to
increase Hindi correspondence in their Ministries/ Deptt./ all the
Attached/Subordinate offices/ Undertakings/ Corporations etc. in order to achieve
the targets mentioned in the Annual Programme.
[Reference : Item No. 2(c)(iii) of Part III of Questionnaire]

(4) Extracts from O.M. No. 12024/2/92-O.L.(B-2)-6 dt. 21 July' 1992 of Ministry
of Home Affairs, Department of Official Language regarding Headings and
Entries in the Registers and Service Books.

1. The Committee of Parliament on Official Language in the fourth part of its report
has recommended that (1) the headings of the registers available in all the Govt.
Offices and of the service books of all categories of Officers and employees
should be bilingual and the entries therein should be made in Hindi; (2) the
addresses on the envelopes to be sent to regions ‘A’ & ‘B’ should, invariably, be
written in Hindi.

2. In the perspective of the recommendations of the Committee of Parliament on

Official Language, all the Ministries/Departments are requested to ensure that (i)
the entries in the registers/service books to be maintained in the Central
Government Offices located in Regions “A” & “B” be made in Hindi and such
entries in the offices located in region “C” as far as possible be made in Hindi. (ii)
addresses on the envelopes to be sent to regions “A” & “B”, invariably, be written
in Hindi.
[Ref.: Item Nos.3 (i) and 17(a) of Part III of Questionnaire]

(5) Extracts from O.M.No. 12024/2/92-O.L.(B-2) dated 06-04-1992 of Ministry of

Home Affairs, Department of Official Language regarding establishment of
check points.
1. Committee of Parliament on Official Language in Fourth Part of its report has
recommended that according to Rule 12 of Official Language Rules, 1976, the
Administrative heads of all Ministries/Departments and their attached/subordinate
offices/undertakings/corporations etc. may discharge their responsibility
effectively regarding devising of the check-points for ensuring appropriate
compliance of the Official Languages Act, 1963 and the provisions made
thereunder and thus, may establish various check-points in an effective manner.

2. In the perspective of the above mentioned recommendation of the Committee of

Parliament on Official Language, all the Ministries/Departments are requested
that they may establish the following check-points for the progressive use of
Hindi and to ensure compliance of Official Language Rules:-

(A) Writing of addresses on envelopes in Hindi

RAJBHASHA GUIDELINES
Page 171
 The Despatch section should be made a check-point and it should ensure that the
addresses on the envelopes, meant for dispatch to regions “A” and “B” are written
in Hindi.

RAJBHASHA GUIDELINES
Page 172
(ख) दे वनागरी टाइपराइटरों की खरीद
पू ित� और िनपटान महािनदे शालय अपने वहां टाइपराइटरों की खरीद सं बंधी प्रा� होने वाले
इ�� टों की जां च करके यह दे खता है िक �ा दे वनागरी टाइपराइटरों के िलए िनधा� �रत
ल� का पालन हो रहा है । जो िवभाग, काया� लय या उपक्रम अपने टाइपराइटरों की खरीद,
आपू ित� तथा िनपटान महािनदे शालय के माफ�त न करके सीधे ही करते ह� , उ�� भी इस
प्रकार के जां च-िबन्दु बना लेने चािहए । उनका जो अिधकारी टाइपराइटर खरीदने के िलए
आड� र दे ता है उसे यह भी दे ख लेना चािहए िक �ा दे वनागरी टाइपराइटरों के िलए
िनधा� �रत ल� का पालन हो रहा है । उ�� यह सु िनि�त करना चािहए िक जब तक
दे वनागरी टाइपराइटरों के िलए िनधा� �रत ल� पू रा नहीं होता तब तक रोमन टाइपराइटर
न खरीदे जाएं ।

(ग) सेवा पंजी म� प्रिवि�यां

िजस अनु भाग म� कम�चा�रयों की से वा पु ��काओं म� प्रिवि�यां करने का काम होता है
उसके प्रभारी अिधकारी की यह िज�े दारी होनी चािहए िक क तथा ख �े त्रों म� काम करने
वाले अिधका�रयों/कम�चा�रयों की से वा पु ��काओं म� की गई प्रिवि�यां िह�ी म� की जाएं ।
इस प्रकार की प्रिवि�यां गू �े त्र म� यथासं भव िह�ी म� की जाएं / इस बात की पड़ताल से वा
पु��का म� प्रिवि�यां करते समय/ उस पर ह�ा�र करते समय कर ली जाए ।
[संदभ� : प्र�ावली के भाग -III की मद सं . - 3 (iii), 4(4), 17(ख)]

(6) राजभाषा िवभाग, गृह मं त्रालय के िदनां क 25 मई, 1990 के का.�ा. सं. 12015/18/90-
रा.भा. (त.क.) से उ�रण - दे वनागरी म� यां ित्रक सु िवधाएं ।
1. इलै��ािनक टाइपराइटरों के िवषय म� सं सदीय राजभाषा सिमित की िसफा�रश के अनु सार
यह सु िनि�ित िकया जाना चािहए िक जब तक केवल दे वनागरी इलै��ािनक टाइपराइटर
का िनमा� ण नहीं हो जाता तब तक सभी काया� लय केवल वही इलै��ािनक टाइपराइटर
खरीद� िजनम� रोमन के साथ-साथ दे वनागरी टाइिपं ग की सु िवधा भी उपल� हो ।

2. सभी मंत्रालयों/ िवभागों से अनु रोध है िक वे भिव� म� अब केवल ि�भाषी (िह�ी-अं ग्रेजी)
टे लीिप्रं टर/ टे ले� ही खरीद� या लीज पर ल� । िजन काया� लयों म� इस समय रोमन टे लीिप्रं टर/
टे ले� लीज पर ह� वे दू रसंचार िवभाग को तुं त इनके बदले ि�भाषी इलै��ािनक टे लीिप्रं टर/
टे ले� लगाने का अनु रोध कर� ।

3. सं सदीय राजभाषा सिमित ने िसफा�रश की है िक िविभ� सरकारी काया� लयों म� उपल�

कम्�ूटरों म� केवल रोमन म� काय� करने की सु िवधा है वहां दे वनागरी टिम�नल भी त�ाल
लगाए जाने चािहए । सिमित की िसफा�रश मान ली गई है । अतः सभी मंत्रालय/ िवभाग
इस समय उपल� कम्�ूटरों के बारे म� �स्थित का जायजा लेकर ये सु िनि�त कर� िक सभी
कम्�ूटरों म� दे वनागरी म� काम करने की �मता उपल� कराने हे तु दे वनागरी टिम�नल का
काड� लगा हो ।
[संदभ� : प्र�ावली के भाग -III की मद सं . 4 (घ)]

RAJBHASHA GUIDELINES
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(B) Purchase of Devanagri Typewriters
The Directorate General of Supplies and Disposal examines the indents received
by them, is meant for the purpose of Typewriters and sees whether the targets
fixed for the Devanagri Typewriters are being achieved or not. Those officers
who are purchasing their typewriters directly and not through the D.G.S. & D.,
should also make check-points. The officer who places the order for the purchase
of typewriters should see whether the target fixed for Devanagri typewriters is
being fulfilled. They should ensure that until and unless the target fixed for
Devanagri typewriters has been achived, Roman typewriters should not be
purchased.

(C) Entries to be recorded in the Service-Books

It should be the responsibility of the Officer-in-Charge of the section where the
service books are maintained that the entries in the service books of the
officers/staff working in the regions “A” and “B” should be recorded in Hindi. In
region “C” such entries should be made in Hindi as far as possible. This fact
should be examined at the time of making entry in the Service Books/signing the
Service-Books.
[Reference: Item Nos. 3(iii), 4(4), 17(b) of Part III of the Questionnaire]

(6) Extracts from O.M.No. 12015/18/90-O.L.(TC) dated 25th May, 1990 of

Ministry of Home Affairs, Department of Official Language regarding
mechanical aids in Devanagri.
1. Regarding the electronic typewriters the Committee of Parliament on Official
Language is of the view that till such time as only Devanagri Typewriters are
manufactured, all the offices should purchase only those electronic typewriters
which have the facility of Devanagri typing alongwith Roman.

2. All the Ministries/Departments are requested that in future they should purchase
or take on lease only bilingual (Hindi/English) Teleprinters/Telex machines. The
offices having Roman Teleprinter/Telex on lease at present should immediately
request the Department of Telecommunication to install bilingual Electronic
Teleprinters/Telex in place of these machines.

3. The Committee of Parliament on Official Language has recommended that the

Devanagri terminals should be installed with all the computers available in
different Government offices, which have the facility of working the Roman only.
The recommendations of the Committee have been accepted. Therefore all the
Ministries/Departments may review the position of computers available at present
and ensure that Devanagri Terminals or Card is provided on all the computers.
[Ref: Item No. 4 (d) of Part III of Questionnaire]

RAJBHASHA GUIDELINES
Page 174
(7) राजभाषा िवभाग, गृह मं त्रालय के िदनां क 22 अप्रैल, 2008 के सं क� सं .
21034/18/2008-रा0भा0 (प्रिश0) से उ�रण - िह�ी प्रिश�ण ।
1. राजभाषा िवभाग, गृह मंत्रालय के िदनां क 04 नव�र, 1991 के सं क� सं �ा
13015/1/91-रा0भा0 (घ) का आं िशक सं शोधन करते �ए रा��पित ने अब यह आदे श िदया
है िक सभी �ेत्रों अथा� त क, ख एवं ग �े त्रों म� �स्थत काया� लयों के कम�चा�रयों को िह�ी का
प्रिश�ण वष� 2015 के अंत तक पू रा कर िलया जाए ।
[संदभ� : प्र�ावली के भाग - III की मद सं . - 5]

(8) राजभाषा िवभाग, गृह मं त्रालय के िदनां क 06 मई, 1992 के का. �ा. सं . 12012/7/92-
रा.भा. (ख-1) से उ�रण - िह�ी मा�म से प्रिश�ण ।
1 सं सदीय राजभाषा सिमित ने अपनी �रपोट� के तीसरे ख� म� यह िसफा�रश की है िक सभी
प्रकार का प्रिश�ण चाहे वह अ�ाविध का हो या दीघा� विध का, िह�ी मा�म से स��
होना चािहए तािक िह�ी मा�म से प्रिश�ण लेने के बाद कम�चा�रयों के िलए िह�ी म� ही
मूल काय� करना सु िवधाजनक हो ।

2. सिमित की उव्त िसफा�रश के प�रप्रे � म� सभी मंत्रालयों/ िवभागों से अनु रोध है िक वे िह�ी
मा�म से प्रिश�ण दे ने सं बंधी सभी िनद� शों को पू री तरह काया� ��त कराएं तथा इसकी
सूचना राजभाषा िवभाग को िभजवाएं ।
[संदभ� : प्र�ावली के भाग - III की मद सं . - 6 (घ) (i)]

(9) राजभाषा िवभाग, गृह मं त्रालय के िदनां क 17 जु लाई, 1990 के का. �ा. सं .
13015/1/90-रा.भा. (घ) से उ�रण - िह�ी टाइिपं ग/ िह�ी आशु िलिप म� प्रिशि�त
सभी कम� चा�रयों �ारा िह�ी म� काय� िकया जाना ।
1. सं सदीय राजभाषा सिमित ने अपने प्रितवे दन के दू सरे ख� म� िसफा�रश की है िक यह
सु िनि�त िकया जाना चािहए िक िह�ी टाइिपं ग/आशु िलिप म� प्रिशि�त सभी कम�चा�रयों की
सेवाओं का िह�ी म� काम करने के िलए पू रा लाभ उठाया जाए ।

2. सिमित की उव्त िसफा�रश के प�रप्रे � म� सभी मंत्रालयों/ िवभागों से यह अनु रोध है िक वे

दे वनागरी टं कण व आशु िलिप म� प्रिशि�त कम�चा�रयों/ अिधका�रयों को िह�ी म� काम
करने के िलए प्रे �रत कर� तथा उ�� िह�ी टाइपराइटर, उपयु व्त सं दभ� सािह� आिद
उपल� कराना सु िनि�त कर� ।
[ संदभ� : प्र�ावली के भाग - III की मद सं . 9 (i)]

(10) राजभाषा िवभाग, गृह मं त्रालय के िदनां क 5 अप्रै ल, 1989 के का. �ा. सं . 13035/3/88-
रा.भा. (ग) से उ�रण िह�ी पदों का सृ जन ।
िह�ी के �ूनतम पदो के मानकों पर पु नः िवचार िकया गया है तािक राजभाषा नीित के
अनु पालन के िलए अपे ि�त �ू नतम पदो के मानकों को और अिधक यु �व्तसं गत बनाया जा
सके िजससे िक अनाव�क पदों की रचना न की जाए पर साथ ही राजभाषा नीित के
काया� �यन पर कोई प्रितकूल प्रभाव न पड़े और आव�क पदों का सृजन भी आसानी से
िकया जा सके। [ संदभ� : प्र�ावली के भाग - III की मद सं . 11 (ग)]

RAJBHASHA GUIDELINES
Page 175
(7) Extracts from Resolution No. 21034/18/2008-O.L. (Trg.) dated 22nd April,
2008 of Ministry of Home Affairs, Department of Official Language
regarding training in Hindi.

1. In partial modification of Ministry of Home Affairs, Department of Official

Language's Resolution No. 13015/1/91-OL(D) dated 4th November, 1991, the
President has now ordered that the employees of the offices located in all the
regions viz. ' A ', 'B ' and 'C ' would be imparted training in Hindi by the end of
the year 2015.
[Ref: Item No. 5 of Part III of Questionnaire]

(8) Extracts from O.M. No. 12012/7/92-O.L. (B-I) dated 6th May, 1992 of
Ministry of Home Affairs, Department of Official Language regarding
imparting training through Hindi medium.

1. The Committee of Parliament on Official Language has recommended in the third

Part of Report that all types of training whether it is of short or long duration
should be imparted through Hindi medium so that after having training through
Hindi medium, the employees could be able to do their original work in Hindi
easily.

2. In view of the above, all the Ministries/Departments are requested that all the
instructions regarding imparting training through Hindi medium may be got
implemented fully and the Department of Official Language may be accordingly
informed.
[Ref: Item No. 6(d) (i) of Part III of Questionnaire]

(9) Extracts from O.M. No. 13015/1/90-O.L. (D) dated 17 th July, 1990 of
Ministry of Home Affairs, Department of Official Language regarding work
to be done in Hindi by all employees trained in Hindi typing/Hindi
stenography.
1. The Committee of Parliament on Official Language has recommended in its
Second Part of the Report that it should be ensured that the services of all the
employees trained in Hindi typing/Hindi stenography are fully utilised.

2. In the perspective of the above recommendation of the Committee, all

Ministries/Departments are requested to encourage the employees/Officers trained
in Devanagri typing and stenography to do the work in Hindi and ensure the
availability of Devanagri typewriters, relevant reference literature, etc. to these
persons.
[Ref: Item No. 9 (i) of Part III of Questionnaire]

(10) Extracts from O.M. No. 13035/3/88-O.L. (C) dated 5th April, 1989 of Ministry
of Home Affairs, Department of Official Language regarding creation of
Hindi posts.

RAJBHASHA GUIDELINES
Page 176
 The norms relating to the minimum number of Hindi posts have been
reconsidered to further rationalize them so that the creation of unnecessary posts
is avoided without adversely affecting the implementation of Official Language
policy and at the same time facilitating the creation of necessary posts.
[Ref: Item No. 11 (c) of Part III of Questionnaire]

RAJBHASHA GUIDELINES
Page 177
(11) राजभाषा िवभाग, गृह मं त्रालय के िदनां क 26 नव�र, 1990 के का. �ा. सं.
13017/3/90-रा.भा. (ग) से उ�रण - िविध के �ेत्र म� मू ल प्रा�प िह�ी म� काम करना
तथा फामों को ि�भाषी बनाया जाना ।
(क) सिमित ने िसफा�रश की है िक राजभाषा अिधिनयम की धरा 3 (3) (iii) के अ�ग�त आने
वाले सं िवदाओं और करारों तथा लाइस� सों, परिमटों, नोिटसों और ट� डरों के सभी फाम� को
िह�ी म� अनु िदत कराने तथा ि�भाषी �प म� छपवाने की यथाशीघ्र �वस्था की जानी
चािहए तािक ये िह�ी और अं ग्रेजी दोनों म� जारी िकये जा सक� और भरे जा सक� ।

2. सभी मंत्रालय/ िवभाग कृपया उपयु� व्त के अनुसार काय�वाही सु िनि�त कर� ।
(ख) सं सदीय राजभाषा सिमित ने मूल प्रा�पण के बारे म� यह िसफा�रश की है िक िविध के �े त्र
म� मूल प्रा�पण िह�ी म� िकया जाए तािक िह�ी म� बनी िविधयों का िह�ी म� िनव� चन कर
िनण�य िह�ी म� िलखे जाएं । [ सं दभ� : प्र�ावली के भाग - III की मद सं . 12 (क) (iv)]

(12) राजभाषा िवभाग, गृह मं त्रालय के िदनां क 17 जु लाई, 1992 के का. �ा. सं .
20034/53/92-रा.भा.(अ.िव.) से उ�रण - के�ीय सरकार के काया� लय म� सहायक/
संदभ� सािह�, श�ाविलयों और श�कोशों आिद की �वस्था तथा िह�ी पु �कों
की खरीद ।
1. सं सदीय राजभाषा सिमित ने अपने प्रितवे दन के चतु थ� ख� म� िसफा�रश की है िक िह�ी
म� काम करने का वातावरण बनाने और राजभाषा िह�ी म� मूल काम करने को सु कर बनाने
के िलए सहायक िह�ी पु�कों जै से- अं ग्रेजी-िह�ी और िह�ी-अं ग्रेजी श�कोष, सहायक
और संदभ� सािह�, तकनीकी श�ाविलयां , तकनीकी सािह�, लिलत सािह� आिद का
पू रा प्रचार िकया जाए और इनका नःशु � िवतरण भी िकया जाए । साथ ही पु �कों की
खरीद के िलए िनयत कुल धनरािश का 50% िह�ी म� प्रकािशत पु �क� खरीदने के िलए
खच� िकया जाए । राजभाषा िवभाग �ारा इस प्रकार की िह�ी की उपयोगी पु �कों का पता
लगाने की प्रिक्रया िनर�र चलाई जानी चािहए और उनकी सू ची उपल� कराई जानी
चािहए तािक मंत्रालय/ िवभाग/ काया� लय आिद उनके अनु सार अपने पु �कालयों के िलए
िह�ी पु�क� खरीद सक�।
2. सं सदीय राजभाषा सिमित की िसफा�रशों के अनु सरण म� कृपया उपयु�व्त आदे शों का
पूण�तया अनु पालन सु िनि�त कराया जाए और की गई कार� वाई की सू चना राजभाषा िवभाग
को भी िभजवाई जाए ।
[ संदभ� : प्र�ावली के भाग - III की मद सं . 13 व 14]

(13) राजभाषा िवभाग, गृह मं त्रालय के िदनां क 16 फरवरी, 1988 के का. �ा. सं .
14012/6/87-रा.भा.(ग) से उ�रण - अधीनस्थ से वाओं और गै र-तकनीकी पदों की
भत� परी�ाओं म� वैक��क मा�म के �प म� िह�ी का ऐ��क प्रयोग ।
1. इस मामले के िविभ� पहलु ओं पर िवचार-िवमश� करने के बाद अब यह िनण� य िलया गया है
िक "ख" �ेत्र म� अथा� त गुजरात, महारा�� और पं जाब रा�ों म� तथा च�ीगढ़ सं घ रा� �े त्र
म� �स्थत के�ीय सरकार के अधीनस्थ काया� लय तथा के�ीय सरकार के िनयं त्रणाधीन या
�ािम� वाले सभी सरकारी उपक्रमों, ब�कों आिद की से वाओं म� और पदों पर सीधी भत�
के िलए �ेत्रीय या स्थानीय आधार पर ली जाने वाली सभी परी�ाओं म� वैक��क मा�म के
�प म� िह�ी के ऐ��क प्रयोग की अनु मित उसी प्रकार से दी जाए िजस प्रकार 6 फरवरी,
1976 के काया� लय �ापन के अनु सार क �े त्र म� �स्थत अधीनस्थ काया� लयों के िलए दी जा
रही है ।

RAJBHASHA GUIDELINES
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(11) Extracts from O.M. No. 13017/3/90-O.L. (C) dated 26th November, 1990 of
Ministry of Home Affairs, Department of Official Language in the field of
law, original drafting should be done in Hindi and forms should be prepared
bilingualy.
(A) The committee has recommended that arrangements should be made for getting
all the forms pertaining to contracts, agreements, Licences, Permits, Notices and
Tenders covered by sub-section 3(3) (iii) of the Official Languages Act translated
into Hindi and printed in bilingual form as early as possible so that these could be
issued and made use of both in Hindi and English.

2. All Ministries/Departments are requested to ensure action as above.

(B) The Committee of Parliament of Official Language has recommended that in the
field of law, original-drafting should be done in Hindi so that laws enacted in
Hindi are interpreted in Hindi and decisions written in Hindi.
[Ref: Item No. 12(a) (iv) of Part III of Questionnaire].

(12) Extracts from O.M.No. 20034/53/92-O.L.(R & A) dated 17th July, 1992 of
Ministry of Home Affairs, Department of Official Language regarding
arrangements for help/reference literature, glossaries and dictionaries, etc.
and purchase of Hindi Books in the Central Government Offices.
1. The Committee of Parliament on Official Language has recommended in its
Report (Part IV) that in order to create a conducive atmosphere for working in
Hindi and to facilitate original work in Hindi, books such as English-Hindi,
Hindi-English dictionaries, help and reference-Literature, technical glossaries,
Technical Literature and fine-arts literature should be widely publicized and
distributed free of cost. Besides, fifty per-cent of the total grant, earmarked for
purchase of books should be utilized for purchase of books published in Hindi.
The process of identifying useful books in Hindi should be continuously carried
out by the Department of Official Language and a list thereof should be made
available to all the Ministries/Departments/Offices so that they are able to
purchase Hindi books for their libraries conforming to the list.

2. In pursuance of the recommendations of the Committee of Parliament on Official

Language compliance of the above orders should please be ensured in toto and the
action taken be intimated to the Department of Official Language.
[Ref: Item Nos. 13 & 14 of Part III of Questionnaire]

(13) Extracts from O.M. No.14012/6/87-O.L. (C) dated 16th February, 1988 of
Ministry of Home Affairs, Department of Official Language regarding
optional use of Hindi as medium of examinations for recruitment to the
subordinate services and non-technical posts.
1. After considering various aspects of this matter, it has now been decided that the
optional use of Hindi be permitted in the examinations conducted on regional or
local basis for direct recruitments to the services and posts of the subordinate
offices of the Central Government and undertakings, banks, etc. owned or
controlled by the Central Govt. located in ‘B’ region viz the States of Gujarat,
Maharashtra and Punjab and the Union Territory of Chandigarh, in the same way

RAJBHASHA GUIDELINES
Page 179
 as is allowed for subordinate offices in Region ‘A’ vide O.M. dated 6th Jan.,
1976.

RAJBHASHA GUIDELINES
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 2. के�ीय सरकार के सभी मं त्रालयों तथा िवभागों से अनु रोध है िक इस िनण� य को अपने सभी
स�� और अधीनस्थ काया� लयों के तथा सरकारी उपक्रमों, ब�कों आिद के �ान म� ला द�
और इसका अनु पालन सु िनि�त कर� ।
[ संदभ� : प्र�ावली के भाग - III की मद सं . 16 (क) (4)]

(14) राजभाषा िवभाग, गृह मंत्रालय के िदनां क 2 जू न, 1992 के का. �ा. सं .13034/37/97-
रा.भा. (ग) से उ�रण - भत� के िलए सा�ा�ार म� िह�ी का िवक� ।
1. सं सदीय राजभाषा सिमित ने िसफा�रश की है िक भत� सं बंधी िव�ापनों, िववरण-पत्रों तथा
सा�ा�ारों के िलए उ�ीदवारों को भे जे जाने वाले िनमंत्रण पत्र िह�ी तथा अं ग्रेजी दोनों
भाषाओं म� हों और उनम� न केवल यह िवशे ष �प से �� िकया जाए िक उ�ीदवार
सा�ा�ार म� िह�ी अथवा अं ग्रेजी का प्रयोग अपनी इ�ानु सार कर सकता है ब�� उसे
िल�खत �प म� यह सूचना दे ने के िलए भी कहा जाये िक वह िकस भाषा का मा�म
अपनाना चाहता है , तािक चयन बोड� �ारा उसका सा�ा�ार उसी भाषा म� िलया जाए ।
सिमित ने यह भी िसफा�रश की है िक सा�ा�ार लेने वाले चयन बोड� का गठन इस प्रकार
िकया जाए िक उसके सद�ों को िह�ी का भी �ान हो।

2. सभी मंत्रालयों/ िवभागों से अनु रोध है िक वे उपरोव्त पै रा दो एवं पै रा तीन म� िदये गये
िनद� शों के अनु सार कार� वाई सु िनि�त कर� तथा अपने सं ब� एवं अधीनस्थ काया� लयों के
�ान म� उपरोव्त िनद� श लाएं तथा उनका अनु पालन सु िनि�त करने हे तु िनद� श जारी कर� ।
[ संदभ� : प्र�ावली के भाग - III की मद सं . - 16 ख)]

(15) राजभाषा िवभाग , गृह मंत्र ालय के िदनांक 21 जुल ाई , 1992 के का . �ा . सं.
12024/2/92-रा .भा . (ख -2-3) से उ�रण - राजभाषा काया� � न सिमितयो ं का गठन
एवं उनकी बैठ क� ।
1. सं सदीय राजभाषा सिमित ने अपनी �रपोट� के चतु थ� ख� म� यह िसफा�रश की है िक
प्र�ेक छोटे -बड़े काया� लय म�, चाहे उनम� काय� रत �ॉफ की सं �ा 25 से अिधक हो या
कम, अिनवाय� �प म� राजभाषा काया� �यन सिमितयों का गठन िकया जाए और
काया� लया�� को इस सिमित के अ�� के �प म� नािमत िकया जाए ।

2. सिमित की उव्त िसफा�रश के प�रप्रे � म� सभी मं त्रालयों/ िवभागों से अनु रोध है िक

उपयु� व्त जानकारी अनु पालनाथ� अपने सभी स��/ अधीनस्थ काया� लयों/ िनगमों आिद के
�ान म� ला द� । सभी मंत्रालयों/ िवभागों से यह भी अपे �ा की जाती है िक अपने यहां एवं
अपने सभी स��/ अधीनस्थ काया� लयों आिद म� गिठत राजभाषा काया� �यन सिमितयों
की वष� म� 4 बैठकों (प्र�ेक ितमाही म� एक) का िनयिमत �प से आयोजन सु िनि�त कराय�
।
[ संदभ� : प्र�ावली के भाग - III की मद सं . 18 ]

2. All the Ministries and Departments of the Central Government are requested to
bring this decision to the notice of all their attached and subordinate offices and
undertakings, banks etc. and ensure its implementation.
[Ref: Item No. 16 (a) (4) of Part III of the Questionnaire]

RAJBHASHA GUIDELINES
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(14) Extracts from O.M No. 13034/37/97-O.L. (C) dated 2nd June, 1992 of
Ministry of Home Affairs, Department of Official Language regarding option
of Hindi in interviews for recruitments.
1. The Committee of Parliament on Official Language has recommended that
advertisements for recruitment, bio-data forms and call-letters for interviews to be
sent to the candidates should be both in Hindi and English and in these
communications, not only it should be specifically made clear to the candidates
that they can opt for either Hindi or English in the interview, but he should also be
asked to intimate in writing the language in which he would like to be interviewed
so that the Selection Board might interview him in that language. The Committee
has also recommended that the interview boards should also be so constituted that
the members of the Board should have knowledge of Hindi.

2. All the Ministries/Departments are requested that they should ensure action
according to the instructions in paras 2 and 3 above and they should also bring
these instructions to the notice of their attached/subordinate offices and
instructions to ensure their compliance.
[Ref: Item No. 16(b) of Part III of Questionnaire]

(15) Extracts from O.M. No.12024/2/92-O.L. (B-2-3) dated 21st July, 1992 of
Ministry of Home Affairs, Department of Official Language regarding
constitution of the Official Language Implementation Committee and their
meetings.
1. Committee of Parliament on Official Language in the fourth part of its Report has
recommended that Official Language Implementation Committee essentially, be
constituted in all the big or small offices irrespective of the fact whether the
number of staff working therein is more or less than 25 and the Head of the Office
be nominated as its Chairman.

2. In the perspective of the above recommendations all the Ministries/Departments

are requested to bring the above information to the notice of all
attached/subordinate offices/corporations etc. for compliance. However, all the
Ministries/Departments are also required to ensure convening invariably four
meetings of the Official Language Implementation Committee regularly, (one in
each quarter), during a year in their Ministries/Departments as well as in all their
attached and subordinate offices etc.
[Ref: Item No. 18 of Part III of Questionnaire]

RAJBHASHA GUIDELINES
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(16) राजभाषा िवभाग, गृह मं त्रालय के िदनां क 3 िसत�र, 1979 के का. �ा. सं.
12027/2/79-रा.भा.(ख-1) से उ�रण - नगर राजभाषा काया� �यन सिमितयों के
काय� का िव�ार ।
1. गृह मंत्रालय (राजभाषा िवभाग) के तारीख 22 नव�र, 1976 के का. �ा. सं .
1/14011/12/76-रा.भा. (क-1) के अधीन ये िनदे श जारी िकए गए थे िक उन सभी नगरों म�
जहां के�ीय सरकार के 10 या इससे अिधक काया� लय ह� नगर राजभाषा काया� �यन
सिमितयां बनाई जाए । नगर राजभाषा काया� �यन सिमितयों की बैठकों म� िह�ी प्रिश�ण,
िह�ी टाइपराइिटं ग तथा िह�ी आशु िलिप के प्रिश�ण, दे वनागरी िलिप के टाइपराइटरों
की उपल�� आिद के संबंध म� अनु भव होने वाली सामा� किठनाईयों के बारे म� चचा� की
जाती है और नगर के िविभ� काया� लयों म� िह�ी का प्रयोग बढ़ाने के िलए जो उपाय िकए
गए ह� उनसे भी पर�र लाभ उठाया जाता है । प्रारं भ म� ये सिमितयां िह�ी भाषी �े त्रों तथा
गुजरात, महारा�� और पं जाब के नगरों म� बनाई गई ह� ।

2. ऐसा दे खा गया है िक सिमितयों की बै ठक� तो वष� म� एक से अिधक बार की जाती ह� ,

लेिकन कई नगरों म� इनकी बै ठक� िनयिमत �प से नही ं हो रही ह� । यह िनण� य िकया
गया है िक नगर राजभाषा काया� �यन सिमित की बै ठक� वष� म� कम से कम दो बार
अव� रखी जाएं ।

3. नगर राजभाषा काया� �यन सिमितयों के मु�तः िन�िल�खत क�� � होंगे :-

1. राजभाषा अिधिनयम/िनयम और सरकारी कामकाज म� िह�ी का प्रयोग बढ़ाने के सं बंध म�
भारत सरकार �ारा जारी िकए गए आदे शों और िह�ी के प्रयोग से सं बंिधत वािष� क
काय�क्रम के काया� �यन की �स्थित की समी�ा;
2. नगर के के�ीय सरकार के काया� लयों म� िह�ी का प्रयोग बढ़ाने के सं बंध म� िकए जाने वाले
उपायों पर िवचार;
3. िह�ी के संदभ� सािह�, टाइपराइटरों, टाइिप�ों, आशु िलिपकों आिद की उपल�� की
समी�ा;
4. िह�ी, िह�ी की टाइिपं ग तथा िह�ी आशु िलिप के प्रिश�ण से सं बंिधत सम�ाओं पर
िवचार
[ संदभ� : प्र�ावली के भाग - III की मद सं . 19]

(17) राजभाषा िवभाग, गृह मं त्रालय के िदनां क 28 मई, 1993 के का. �ा. सं. 20034/53/93-
रा.भा. (अ.िव.) से उ�रण - िह�ी काय� शालाओं/संगो�श्ठयों/ स�े लनों तथा अ�खल
भारतीय राजभाषा स�े लनों का आयोजन ।
राजभाषा अिधिनयम, 1963 की धारा 4 के अनु सरण म� गिठत सं सदीय राजभाषा सिमित के
प्रितवेदन के ख�-4 के अ�ग�त उपयु� व्त िवषय पर िन�िल�खत सं �ुितयां की गई ह� :-

(क) अिधका�रयों/ कम�चा�रयों की मनोवृ ि� बदलने हे तु और उ�� राजभाषा-नीित की �ापक

जानकारी कराने हे तु समय-समय पर सं गोि�यां , स�े लन, काय� शालाएं आिद आयोिजत की
जाय� ।

RAJBHASHA GUIDELINES
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(16) Extracts from O.M. No. 12027/2/79-O.L. (B-1) dated 3rd September, 1979 of
Ministry of Home Affairs, Department of Official Language regarding
widening the functions of the Town Official Language Implementation
Committees.
1. Instructions were issued vide the Ministry of Home Affairs(Department of
Official Language) O.M. No. 1/14011/12/76-O.L. (A-1) dated the 22nd November
1976 that Town Official Language Implementation Committees may be set up in
the towns having ten or more Central Government Offices. The Town Official
Language Implementation Committees discuss in their meetings the common
difficulties felt in the teaching of Hindi, training in Hindi stenography and Hindi
typewriting, the availability of Devnagri typewriters etc. The information given
in the meeting regarding the measures adopted for the progressive use of Hindi in
the various Offices in the town mutually benefit the participants. Initially these
Committees have been constructed in the towns located in Hindi speaking areas
and in Gujrat, Maharashtra and Punjab.

2. It has been observed that while some of the Committees are active and hold their
meetings more than once a year certain others do not hold their meetings
regularly. It has been decided that meetings of the Town Official Language
Implementation Committees should be held at least twice a year.

3. The functions of the Town Official Language Implementation Committee would

mainly be as follows:-

(1) Review of the postion regarding implementation of the Official Languages

Act/Rules and the orders issued by the Governement of India regarding the use of
Hindi in official work and of the Annual Programme prepared in that regard.
(2) Consideration of the measures for increasing the pace of Hindi in offices of the
Central Government located in the town.
(3) Review of the position in regard to the availability of reference literature in Hindi,
Hindi typewriters, typists and stenographers, etc.
(4) Consideration of the problems relating to Hindi, training in Hindi typewriting and
Hindi stenography.
[Ref: Item No. 19 of Part III of Questionnaire]

(17) Extracts from O.M. No. 20034/53/93-O.L. (R&A) dt. 28th May, 1993 of
Ministry of Home Affairs, Department of Official Language regarding
organizing Hindi Workshops/Seminars/Conferences and All India Official
Language Conferences.
The Committee of Parliament on Official Language constituted in pursuance of
Section 4 of Official Language Act, 1963 have made the following
recommendations in their Report (Vol. IV) on the subject mentioned above :-

(A) Seminars, Conferences, Workshops, etc. may be organized from time to time for
bringing out a change in the attitude of the Officers/Employees and for imparting
them comprehensive knowledge regarding the Official Language Policy.

RAJBHASHA GUIDELINES
Page 184
(ख) प्र�ेक मंत्रालय/ िवभाग वष� म� एक बार अ�खल भारतीय राजभाषा स�े लन आयोिजत कर�
।इस प�रप्रे � म� भारत सरकार के सभी मंत्रालयों/िवभागों/काया� लयों/उपक्रमों/ िनगमों/
ब�कों/ सं स्थानों आिद से अनु रोध है िक वे सं सदीय राजभाषा सिमित �ारा की गई उव्त
सं �ुितयों पर अनु पालना�क कार� वाई कर� ।
[ संदभ� : प्र�ावली के भाग - III की मद सं . 20 व 22 (ख)]

(18) राजभाषा िवभाग, गृह मं त्रालय के िदनां क 20 अप्रै ल, 1992 के का. �ा. सं .
14025/2/91-रा.भा.(घ) से उ�रण - िह�ी काय� शालाय� आयोिजत करना ।
1. उपयु� व्त िवषय पर सं सदीय राजभाषा सिमित ने अपने प्रितवे दन (ख�-4) म� यह
िसफा�रश की है िक उनके प्रितवे दन के तीसरे ख� म� इस सं दभ� म� की गई िसफा�रशों के
अनु�प अगले पां च वष� के दौरान अिधका�रयों/कम� चा�रयों को िह�ी म� काम करने की
िझझक दू र करने के िलए िनयिमत �प से िह�ी काय� शालाओं का आयोजन िकया जाये
और ऐसी काय� शालाओं म� िह�ी जानने वाले प्र�े क कम�चारी को वष� म� कम से कम एक
बार इनम� भाग लेकर िह�ी म� मूल �प म� काम करने के अ�ास का अवसर िमले ।

2. सभी मंत्रालयों/ िवभागों से अनु रोध है िक सं सदीय राजभाषा सिमित के प्रितवे दन (ख�-4)
म� इस संदभ� म� की गई िसफा�रश के अनु सरण म� राजभाषा िवभाग के काया� लय �ापन
िदनां क 31.12.1991 म� िदए गए िनद� शों का अनु पालन सु िनि�त कर� । कृपया इसकी
जानकारी अपने सभी संब�/अधीनस्थ काया� लयों/िनयं त्रणाधीन िनगमों/िनकायों को भी द�
तथा इससे संबंिधत प्रगित राजभाषा िवभाग को भी दी जाये ।
[ संदभ� : प्र�ावली के भाग - III की मद सं . 21]

(19) राजभाषा िवभाग, गृह मं त्रालय के िदनां क 17 जु लाई 1992 के का.�ा. सं .

20034/53/92-रा.भा.(अ.िव.) से उ�रण - सरकारी प्रकाशनों आिद का ि�भाषी �प
म� प्रकाशन ।
1. राजभाषा अिधिनयम, 1963 की धारा 4 के अनु सरण म� गिठत सं सदीय राजभाषा सिमित के
प्रितवेदन (ख�-4) म� उपयु� व्त िवषय म� िन�िल�खत सं �ुित की गई है :-
भारत सरकार के मंत्रालयों/िवभागों/काया� लयों/सं गठनों आिद �ारा केवल अं ग्रेजी म� ही नही ं
ब�� ि�भाषी �प म� भी प्रकाशन िनकाले जाएं । िह�ी प्रकाशनों की मुिद्रत सं �ा अं ग्रेजी
प्रकाशनों की तु लना म� कम न हो और ि�भािषक प्रकाशनों म� िह�ी के पृ�ों की सं �ा
अंग्रेजी के पृ �ों की सं�ा से कम न हो और िह�ी म� नए मौिलक प्रकाशन िनकाले जाय� ।

2. इस संबंध म� उ�ेखनीय है िक राजभाषा िनयम, 1976 के िनयम 11 म� िदए गए प्रावधान के

अनु सार प्रिक्रया संबंधी सभी सािह� िह�ी और अं ग्रेजी म� ि�भाषी (िड�ाट) �प म�
यथा�स्थित मुिद्रत, साइ�ो�ाइल और प्रकािशत िकया जाना अपे ि�त है । इसके अित�रव्त
राजभाषा अिधिनयम, 1963 (यथा सं शोिधत 1967) की धारा 3 (3) म� प्रावधान है िक सभी
प्रशासिनक या अ� प्रितवे दन अिनवाय� �प से िह�ी और अं ग्रेजी दोनों भाषाओं म� ही
िनकाले जाएं ।

(B) All the Ministries/Departments may organize All India Official Language
Conference once in a year. In this context, it is requested that all the
Ministries/Departments/Offices/Undertakings/Corporations/Banks/Institutions of

RAJBHASHA GUIDELINES
Page 185
 the Government of India should comply with the recommendations made by the
Committee of Parliament on Official Language.
[Ref: Item Nos. 20 and 22 (B) of Part III of Questionnaire]

(18) Extracts from O.M. No. 14025/2/91-O.L.(D) dated 20th April, 1992 of
Ministry of Home Affairs, Department of Official Language regarding
organizing Hindi Workshops.
1. On the subject mentioned above, the Committee of Parliament on Official
Language in its Report (Part-IV) has recommended that Hindi workshop should
be organized regularly during the next 5 year in the context of recommendations
made in Part-III of their report so that the officers/employees could overcome
their hesitation of doing work in Hindi and every Hindi knowing employee could
participate in these workshops at least once in a year and could get an opportunity
for the practice of doing work originally in Hindi.

2. All the Ministries/Departments are requested to ensure the implementation of the

directions given in the Department of Official Language Office Memorandum
dated 31.12.1991 with reference to the recommendations of the Committee of
Parliament of Official Language made in its report (Part-IV). This information
may also be given to all the attached/subordinate offices/Corporations/Bodies
under your control and the Department of Official Language may be informed
about the progress made in this regard.
[Ref: Item No. 21 of Part III of Questionnaire]

(19) Extracts from O.M. No. 20034/53/92-O.L. (R&A) dated 17th July, 1992 of
Ministry of Home Affairs, Department of Official Language regarding
publication of the Govt. publication etc. in bilingual form.
1. The Committee of Parliament on Official Language constituted in pursuance of
Section 4 of the Official Languages Act, 1963, have made the following
recommendation in their Report (Part IV) on the above subject:-

“The Ministries/Departments/Organisations etc. of the Govt. of India should not

bring out publications in English alone but only in bilingual form. The number of
printed Hindi publications should not be in any way, less than the English ones
and in the bilingual publications, the number of pages for Hindi should not be less
than that of English and new original publications may be brought out in Hindi.''

2. In this regard it is mentioned that according to the provision of Rule –11 of the
Official Language Rules, 1976 all procedural literature is required to be printed,
cyclostyled and published as the case may be both in Hindi and English in diglot
form. Besides, under the provision of Section 3(3) of the Official Languages Act,
1963 (as amended 1967), all administrative and other reports should be brought
out positively in both Hindi and English.

RAJBHASHA GUIDELINES
Page 186
 3. इस प�रप्रे � म� कृपया सं सदीय राजभाषा सिमित की सं �ुित पर िकए गए िनण� य का पू री
तरह अनु पालन सु िनि�त िकया जाए और आव�क जां च िबन्दु भी िनि�त कर िदए जाएं
तािक राजभाषा अिधिनयम की धारा 3(3) म� उ���खत प्रकाशन िड�ाट फाम� म� ही छप�
और अ� कोई भी प्रकाशन न तो केवल अं ग्रेजी म� प्रकािशत िकया जाए और न ही उसके
िह�ी �प की मुद्रण सं�ा अं ग्रेजी �प की मुद्रण सं �ा से कम हो । ये आदे श कृपया
अपने स��/अधीनस्थ काया� लयों, उपक्रमों, िनगमों और आयोगों आिद को अनु पालन के
िलए पृ�ां िकत कर िदए जाएं और इसकी जानकारी इस िवभाग को भी िभजवाने की
�वस्था की जाए । [ संदभ� : प्र�ावली के भाग - III की मद सं . 23]

(20) राजभाषा िवभाग, गृह मं त्रालय के िदनां क 17 जु लाई, 1996 के का. �ा. सं .
टी/14011/1/96-रा.भा.(नी.-1) से उ�रण - गृह पित्रकाओं/ सू चना पत्रों को और
अिधक उपयोगी तथा प्रभावशाली बनाना ।
1. उपयु� व्त िवषय पर िवचार करने के उपरां त अब यह िनण� य िलया गया है िक जहां पित्रकाओं
को केवल अंग्रेजी म� छपवाया जा रहा है वहां यह आव�क होगा िक गृह पित्रकाएं और
सूचना-पत्र ि�भाषी (िह�ी-अं ग्रेजी) �प म� छपवाएं जाय� । ि�भाषी गृह पित्रकाओं और
सूचना-पत्रों म� िह�ी व अंग्रेजी के पृ �ों की सं �ा बराबर होनी चािहए और ये एक ही िज�
म�, एक ही नाम से, छापे जाने चािहये । िज� के शीष� व िडजाइन ि�भाषी होने चािहए ।
इनम� संगठन के काय� संबंधी लेखन तथा सूचनाएं दोनों ही भाषाओं म� छापी जानी चािहये ।
2. ऐसे �ेत्रों म� जहां िह�ी और अं ग्रेजी के अित�रव्त स्थानीय भाषाओं का प्रचलन अिधक है ,
वहां से पित्रकाएं ित्रभाषी �प म� छापी जा सकती ह� । ित्रभाषी पित्रकाएं भी एक ही िज� म�
छापी जाएं तथा यह सु िनि�त िकया जाए िक उनके शीष� व िडजाइन ित्रभाषी हों तथा तीनों
भाषाओं (�ेत्रीय भाषा, िह�ी तथा अं ग्रेजी) म� मुिद्रत पृ �ों की सं �ा लगभग बराबर हो ।
[संदभ� : प्र�ावली के भाग - III की मद सं .-23(ड.)]

(21) राजभाषा िवभाग, गृह मं त्रालय के िदनां क 26.08.92 के का.�ा. सं . 14034/4/92-रा.भा.

(क-1) से उ�रण - टे लीफोन िनद� िशकाओं को िह�ी और अं ग्रेजी दोनों भाषाओं म�
प्रकािशत करने की अिनवाय� ता ।
दू रसं चार िवभाग �ारा प्रकािशत की जाने वाली टे लीफोन िनद� िशकाओं के िह�ी सं �रण
भी अिनवाय� �प से साथ ही प्रकािशत िकए जाएं । िविभ� नगरों के दू रसंचार काया� लय क
और ख �ेत्रों म� टे लीफोन िनद� िशकाओं के िह�ी सं �रण अं ग्रेजी सं �रणों से पहले जारी
कर� । एक कूपन, जैसा िक अब लगाया जाता है , वै सा ही अलग रं ग के कागज म�, िह�ी
और अं ग्रेजी दोनों भाषाओं म�, तै यार करके िनद� िशका के दोनों �पों म� लगाया जाए, िजससे
यह पू छा जाए िक उपभोव्ता अगली टे लीफोन डाइरे �री िह�ी म� अथवा अं ग्रेजी म� प्रा�
करना चाहे गा । क और ख �े त्रों म� प्रारं भ से ही दोनों सं �रण समान सं �ा म� अथवा िह�ी
: अंग्रेजी 40 : 60 के अनु पात म� प्रकािशत िकए जाएं और ग �ेत्र म� प्रारं भ म� िह�ी :
अंग्रेजी 30 : 70 के अनु पात म� प्रकािशत िकए जाएं (और बाद म� आव�कता के अनु सार
ग �ेत्र म� भी दोनों सं �रणों की सं�ाएँ समान की जा सकती ह� ।)
[ संदभ� : प्र�ावली के भाग - III की मद सं . 23 (झ)]

RAJBHASHA GUIDELINES
Page 187
3. In this context it may kindly be ensured that the decision taken on the
recommendation of the Committee of Parliament on Official Language is fully
complied with and required check-points be devised so that publications
mentioned under Section 3(3) of the O.L. Act are published in diglot form only
and any other publication is neither published in English alone, nor the number of
copies of the Hindi version is less than that of English one. These orders may
kindly be endorsed to all the attached/subordinate offices, Undertakings,
Corporations and Commissions etc. for compliance and this Department may also
be apprised of the action taken in this regard.
[Ref: Item No. 23 of Part III of the Questionnaire]

(20) Extracts from O.M. No. T/14011/1/96-O.L. (Policy-I) dated 17th July, 1996 of
Ministry of Home Affairs, Department of Official Language regarding
making house magazine/news-letters more useful and effective.
1. After due consideration on the subject mentioned above it has now been decided
that wherever house-magazine and news-letters are published only in English, it
will be obligatory to publish these bilingually (in Hindi and English). Bilingual
house-magazines/News-letters should have equal allocation of pages for the two
languages and they should be brought out in one single cover and name. The
design of the cover-page should also be bilingual. In these publications,
information including information regarding the working of the
organizations/offices, should be published in both the languages uniformly.

2. In areas, where regional Languages are also being used besides Hindi and
English, the magazines may also be brought out trilingually. The trilingual
magazines should also be brought out under a single cover and should be ensured
that their cover designs are trilingual and that printed pages, in all the three
languages (Regional Language, Hindi and English) are more or less equal.
[Ref: Item No. 23 (e) of Part III of the Questionnaire]

(21) Extracts from O.M. No. 14034/4/92-O.L. (A-I) dated 26.8.1992 of Ministry of
Home Affairs, Department of Official Language regarding obligatory
publication of telephone directories in Hindi and English
It is obligatory that Department of Telecommunications publish Hindi and
English versions of telephone directories simultaneously. Telephone offices in
different cities in regions 'A' and 'B' should publish Hindi versions of telephone
directories before the publication of English versions. A coupon, as it is affixed at
present, on a separate paper in different colour, both in Hindi and English
languages may be prepared and affixed on both the versions of the directory,
wherein it may be asked whether the subscriber would like to obtain the next
telephone directory in Hindi or English. From the very beginning in regions 'A'
and 'B', both the versions are published in equal numbers or in the ratio of 40 : 60
in Hindi and English and in the ratio of 30 : 70 in region 'C' in the beginning (later
on, according to needs, in region 'C', the number for both the versions may be
made equal).
[Reference: Item No. 23(i) of Part III of the Questionnaire]

RAJBHASHA GUIDELINES
Page 188
 WHISTLE BLOWER
AND FRAUD
PREVENTION POLICY

Page 189
 POSOCO WHISTLE BLOWER AND
FRAUD PREVENTION POLICY
1.0 PREFACE
The Company believes in the conduct of its affairs of business in a fair and
transparent manner by adopting highest standards of professionalism, honesty,
integrity and ethical manner. Over the years, POSOCO has put in place various
policies, procedures, systems to guide its employees and other stakeholders within
and outside the organization. Most of these have been formalized in form of
policy documents. These systems have been designed to ensure that officials
dealing and undertaking transactions conduct the same in a transparent and
uniform manner. Few examples are Delegation of Powers, Contract Management
Systems, Finance and Human Resources Systems, Code of Conduct, Conduct,
Discipline and Appeal Rules for employees and Service Rules etc. Further, there
are various provisions under different Acts and guidelines which requires
Company to prevent any fraud & corrupt practices and develop a mechanism to
prevent and detect such activities.

A. PROVISIONS/ GUIDELINES RELATED TO WHISTLE BLOWER:

(i) Companies Act, 2013: [Section 177(9) & (10)]
States that "Every listed company or such class or classes of companies, as may
be prescribed shall establish a vigil mechanism for directors and employees to
report genuine concerns in such manner as may be prescribed."
"The vigil mechanism under sub-section (9) shall provide for adequate safeguards
against victimization of persons who use such mechanism and make provisions
for direct access to the chairperson of the audit committee in appropriate or
exceptional cases. Provided that the details of establishment of such mechanism
shall be disclosed by the Company on its website, if any, and in the Board's
Report."
As per Rule 7(2) of the Companies Act, 2013 (Meetings of Board and its powers)
provides that companies where Audit Committee exists, it is the responsibility of
the Audit Committee to oversee the Vigil Mechanism. Rule 7 (5) also provides
that in case of repeated frivolous complaints being filed by a director or an
employee, the Audit Committee may take suitable action against concerned
director or employee, including reprimand.
(ii) DPE guidelines on Corporate Governance for CPSE: (Para 10)
Suggest inclusion of a "Whistle Blower Policy" in the report on Corporate
Governance in Annual Report of companies, to report the management concerns
about unethical behavior, actual or suspected fraud, or violation of the Company's
General Guidelines on conduct or ethics policy, in the report on Corporate
Governance in the Annual Report companies.

(iii) Public Interest Disclosure and Protection of Informers (PIDPI)

WHISTLE BLOWER & FRAUD PREVENTION POLICY

Page 190
 Prescribes procedure for handling of complaints to be followed by the Chief
Vigilance Officers of the Ministries/ Departments of Government of India and
states that CVOs have been authorized as the Designated Authority to receive
written complaints or disclosure on any allegation of corruption or misuse of
office by or under any Central Act, Government Companies, Societies or Local
authorities owned or controlled by the Central Government and falling under the
jurisdiction of that Ministry or the Department.

(iv) Whistle Blower Protection Act, 2011

The said Act envisages a mechanism to receive complaints related to disclosure
on any allegation of corruption or willful misuse of power or willful use of
discretion against any public servant and to inquire or cause an inquiry into such
disclosure and to provide adequate safeguard against victimization of the person
making such complaints and for latters connected therewith and incidental
thereto. The Rules of Whistle Blower Protection Act are yet to be notified. As
and when the Rules of Whistle Blower Protection Act are notified by the
Government of India, the applicable rules will become enforceable.

B. PROVISIONS / GUIDELINES RELATED TO FRAUD

PREVENTION:
(i) Report to Comptroller and Auditor General of India (C&AG)
Statutory Auditors of the Company are required to comment on the Fraud
Prevention Policy of the company in their report to the Comptroller and Auditor
General of India on the annual accounts of the Company.

Keeping in view of the above provisions, Whistle Blower and Fraud Prevention
policy has been framed and same is as under:

2.0 WHISTLE BLOWER AND FRAUD PREVENTION POLICY

Both Whistle Blower mechanism and Fraud Prevention deal with disclosures
made by an employee/ complaint made by an outsider to the Organization
regarding corruption or acts of Fraud. Therefore, to deal with such disclosure or
complaints of fraud in POSOCO, a single policy has been framed. This policy
deals with disclosures made by employees or complaint of any fraud or suspected
fraud involving employees of POSOCO (all full time, part time or employees
appointed on adhoc/ temporary/ contract basis ) as well as representative of
vendors, suppliers, contractors, service providers or any outside agency(ies) doing
any type of business in POSOCO.

WHISTLE BLOWER & FRAUD PREVENTION POLICY

Page 191
3.0 DEFINITIONS
The definitions of some of the key terms used in this policy are given below:

(i) Company means Power System Operation Corporation Limited.

(ii) Employee means every employee whose names appear on the rolls of the
Company (Whether working in India or abroad) including the Functional
Directors of the Company.

(iii) Whistle Blower means an employee making a Protective Disclosure under this
policy.

(iv) Protective Disclosure means any communication made in good faith that
discloses or demonstrates information that may evidence unethical or improper
activity.

(v) Improper Activity means any activity by an employee of the Company that is
undertaken in performance of his or her official duty, whether or not that act is
within the scope of his or her employment, and that is violation of any law or the
rules of conduct applicable to the employee, including but not limited to abuse of
authority, breach of contract, manipulation of company data, pilferage of
confidential/ proprietary information, criminal offence, corruption, bribery, theft,
conversion or misuse of the Company's property, fraudulent claim, fraud or
willful omission to performance the duty, or that is economically wasteful or
involving gross misconduct, incompetence or gross inefficiency and any other
unethical biased favored or imprudent Act.

(vi) Fraud in relation to affairs of a Company or anybody Corporate, includes any

act, omission, concealment of any fact or abuse of position committed by any
person or any other person with the connivance in any manner, with intent to
deceive, to gain undue advantage from, or to injure the interests of, the company
or its shareholders or its creditors or any other person, whether or not there is any
wrongful gain or wrongful loss.

(vii) Wrongful gain means the gain by unlawful means of property to which the
person gaining is not legally entitled.

(viii) Wrongful loss means the loss by unlawful means of property to which the person
losing is legally entitled.

(ix) Corruption is the abuse or misuse of entrusted power for private gain.

(x) Person(s) who can report fraud includes any employee (Full-time, Part-time or
employees appointed on adhoc/ temporary/ contract basis), representative of

WHISTLE BLOWER & FRAUD PREVENTION POLICY

Page 192
 vendors, suppliers, contractors, consultants, service providers or funding agencies,
any other agency(ies) doing any type of business with POSOCO.

(xi) Electronic mail or electronic mail message means a message or information

created or transmitted or received on any computer, computer system, computer
resource or communication device including attachment in text, image, audio,
video and any other electronic record which may be transmitted with message.

(xii) Nodal Officer means officer(s) identified for receiving protective disclosure or
complaints relating to fraud/ improper activity.

(xiii) Audit Committee means the Audit Committee constituted by the Board of
Directors of the Company in accordance with Section 177 of the Companies Act,
2013 read with Clause 49 of the Listing Agreement with the Stock Exchanges.

4.0 ACTIONS CONSITUTING FRAUD

While fraudulent activities could have a very wide range of coverage, the
following are some of the act(s) which constitutes fraud:
(i) Forgery or alteration of any document or account belonging to the Company.
(ii) Forgery or alteration of cheque, bank draft or any other financial instruments etc.
(iii) Misappropriation of funds, securities, supplies or other assets by fraudulent means
etc.
(iv) Falsifying records such as pay rolls, removing of documents from files and / or
replacing it by a fraudulent note etc.
(v) Willful suppression of facts/ deception in matters of appointment, placement,
submission of reports, tender committee recommendations etc as a result of which
wrongful gain(s) is made to one and wrongful loss(s) is caused to the others.
(vi) Utilizing company funds for personal purposes.
(vii) Authorizing or receiving payments for goods not supplied or service not rendered.
(viii) Destruction, disposition, removal of records or any other assets of the Company
with an ulterior motive to manipulate and misrepresent the facts so as to create
suspicion/ suppression/ cheating as result of which objective assessment/ decision
would not be arrived at.
(ix) Accepting bribes/ gifts etc from outsiders.
(x) Any other act that falls under the gamut of fraudulent activity or as may be
specified by CVC or DPE.
(The list given above is only illustrative and not exhaustive)

WHISTLE BLOWER & FRAUD PREVENTION POLICY

Page 193
5.0 WHISTLE BLOWER/ PERSON(S) REPORTING FRAUD:
ROLES & DISQUALIFICATION
A. ROLE
(i) Protective disclosure being made by the employee or any person reporting of
fraudulent activity should be made to be identified "Nodal Officer".
(ii) The protective disclosure or reporting of fraud should be in writing so as to ensure
a clear understanding of the issues raised and should be either typed or written in
legible writing in English, Hindi or Regional Language. The protective disclosure
or reporting can also be made by "electronic mail" or "electronic mail message".
(iii) The protective disclosure or the reporting of fraud should be forwarded with
covering letter which shall bear the identity of the whistle blower/ person
reporting fraud.
(iv) The disclosure / reporting of fraud should be factual and not speculative and
should contain as much specific information as possible to allow proper
investigation.
(v) The Whistle Blower/ person reporting fraud is not required or expected to conduct
investigation of his own neither s/he have any right to participate in investigation.
B. DISQUALIFICATIONS
(i) Genuine Whistle Blower/ person reporting fraud will be accorded protection from
any kind of unfair treatment/ victimization. However, any abuse of this protection
shall warrant disciplinary action if s/ he is an employee.
(ii) Whistle Blower who makes any protected disclosures which have been
subsequently found to be motivated or malafide or malicious or frivolous baseless
or reported otherwise than in good faith, will be liable for disciplinary action as
per the applicable CDA Rules.
(iii) Whistle Blower or any other person who makes three protected disclosure
reporting fraud which have been subsequently found to be malafide, frivolous,
baseless, malicious reported otherwise than in good faith, will be disqualified
from reporting any disclosure or fraud under this scheme, with the approval of the
Audit Committee.
(iv) In case any Whistle Blower person reporting of fraud resiles from disclosure/
complaint the management shall still reserve the right to proceed with the matter
under this policy.

6.0 NODAL OFFICER

(i) The Nodal Officer shall be identified in Corporate Centre, POSOCO, for other
RLDCs will be nominated with the approval of CMD. The Officer will not be

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 below the rank of ED/CGM. The officer chosen should be known for his/ her
integrity, independence and fairness.
(ii) In case the disclosure/ report of fraud or suspected fraud relates to Nodal Officer
itself then the same shall be reported directly to the Chairman and Managing
Director.
(iii) All disclosures/ report of fraud or suspected fraud shall be handled with utmost
speed and shall be coordinated by Nodal Officer(s).
(iv) The Nodal Officer(s) shall ensure that all relevant records documents and other
evidence is being immediately taken into custody and being protected from being
tampered with, destroyed or removed by suspected perpetrators of fraud or by any
other official under his influence.
(v) The Nodal Officer(s) shall preliminary examine disclosure/ complaint such as
letter should bear the identity of the Whistle Blower/ persons reporting of fraud i.e
Name, Employee No, Location/ Address and to ensure that the same is factual and
not baseless and should contain as much specific information as possible to allow
Empowered Committee to take appropriate decision.
(vi) The Nodal Officer(s), on finding the discloser/ complaint to be proper, shall
forward the details of the improper activities or fraud or anticipated / suspected
fraud to the Empowered Committee. The Nodal Officer, on finding the disclosure/
report of fraud to be improper shall reject the complaint, with a report in this
regard to Empowered Committee.

7.0 EMPOWERED COMMITTEE

(i) Empowered Committee shall comprise 03 Member Committee in the rank of
Executive Director. The following will be Committee members:

(a) ED (HR)/CGM (HR) Member Secretary

(b) ED (Finance)/CGM(Finance) Member
(c) One ED/CGM from Technical Member.
department at CC, to be nominated by
CMD

However, it must be ensured that the Empowered Committee should not comprise
of members (i.e ED/CGM) against whom or any employee of his department
against whom disclosure/complaint is made. For example, in case, the disclosure
is with respect to the HR department, then ED (Finance)/CGM (Finance) shall be
the member secretary of the Empowered Committee, with two other members
from Technical/ other departments. If the complaints/ disclosure pertain to both

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 HR/ Finance Department, then the Committee will comprise of all the 03
members from technical/ other department with Member Secretary being the
senior most members. The Empowered Committee shall be approved by
Chairman & Managing Director
(ii) The Empowered Committee will apply due diligence on complaint/ disclosure
received from the Nodal Officer and conclude if it is of administrative or of
disciplinary nature; whether it requires further investigation or decide appropriate
course of action including closure of the complaint. The decision taken by the
Empowered Committee on the complaint/ disclosure alongwith its justification
shall be put up to CMD for approval. In case where gravity of the situation
warrants involvement of Vigilance Department, Empowered Committee through
CMD shall put-up such cases for approval of Audit Committee. On approval by
Audit Committee, the Vigilance Department shall start investigation and the
outcome of the investigation shall be submitted by Vigilance Department to the
Audit Committee through CMD.
8.0. ROLE OF VIGILANCE DEPARTMENT
(i) The Empowered Committee shall put up the cases requiring investigation after
obtaining approval of Audit Committee. On receipt of complaint/disclosure from
Empowered Committee, the Vigilance Department will start it investigation
process.
(ii) When the disclosure/ complaint is forwarded to the Vigilance Department by
Empowered Committee, the input provided would be in addition to the
intelligence, information and investigation of cases of fraud being investigated by
the Vigilance Department on their own as part of their day-to-day functioning.

(iii) The Vigilance Department shall apprise the Empowered Committee of the results
of the investigation undertaken by them. There shall be constant coordination
maintained between the two. The outcome of the investigation procedure shall
also be informed to Nodal officer by the Empowered Committee.

(iv) On receipt of complaints/disclosures from Empowered Committee, the Vigilance

Department shall submit a Quarterly Report on action taken thereon to Audit
Committee through CMD.

(v) At every stage/ step, from receiving of disclosure/ complaint to outcome of

investigation, utmost effort shall be made to protect the identity of the
complainant/ Whistle Blower.

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9.0 SAFEGUARDS
(i) The Company shall ensure that no person or employee who has made disclosure/
complaint is subjected to victimization by initiation of any proceedings or
otherwise merely on the grounds that such person or the employee had made a
disclosure or rendered assistance in inquiry under this Act.

(ii) If any person or whistle blower is being victimized or likely to be victimized on

the ground that he had filed a complaint or disclosure or rendered assistance in
inquiry under this Act, he may file an application to Chairman & Managing
Director seeking redress in the matter and such authority shall take such action, as
deemed fit and may give suitable directions to protect the person or whistle
blower being victimized or avoid his victimization.

(iii) Every effort will be made to protect the complainant(s) / whistle blower(s)
identity and under no circumstances be discussed with any unauthorized person.
Utmost care should be taken by Nodal Officer & Empowered Committee that the
disclosure made by the complainant(s) / whistle blower(s) is kept confidential and
identity of the complainant(s)/whistle blower(s) is not revealed. In case of
information being disclosed necessary action, as deemed fit will be taken against
the concerned Officer.

(iv) Harassment or victimization of the complainant(s) / whistle blower(s) will not be

tolerated and could result in strict action against the concerned involved (s) as per
the CDA Rules.

10.0 RESPONSIBILITY FOR FRAUD PREVENTION

(i) Every employee or persons having dealing with POSOCO is expected and shall
be responsible to ensure that there is no fraudulent act being committed in their
areas of responsibility/ control. As soon as it is learnt that a fraud or suspected
fraud has taken or likely to take place they should immediately apprise the same
to the Nodal Officer as per the procedure.

(ii) All controlling officers shall share the responsibility of prevention and detection
of fraud and for implementing the Whistle Blower and Fraud Prevention policy of
the Company. It is the responsibility of all controlling officers to ensure that there
are mechanisms in place within their area of control to:

a) Familiarize each employee with the types of improprieties that might occur in
their area.
b) Educate employees about the fraud prevention and detection.

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 c) Create a culture whereby employees are encouraged to report any fraud or
suspected fraud which comes to the knowledge without any fear of victimization.
d) Promote employee awareness on ethical principles subscribed to by the Company
through CDA Rules & corporate governance.

(iii) Due amendments shall be made in the General Conditions of Contract (GCC) of
the Company wherein all bidders/ service providers/ vendors/ consultants etc.
shall be required to certify that they would adhere to this policy and not indulge or
allow anybody else working in their organization to indulge in fraudulent
activities and would immediately apprise the corporation of the fraud/ suspected
fraud as soon as it comes to their notice. These conditions shall form part of
documents both at the time of submission of bid and agreement of execution of
contact.

11.0 ADMINISTRATION & REVIEW OF THE POLICY

The Chairman and Managing Director shall be responsible for the administration,
interpretation, application and revision of this policy. The policy will be reviewed
and revised as and when needed.

*****************

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LEAVE
RULES

Page 199
 POSOCO LEAVE RULES
1.0 Short Title
These Rules will be called "POSOCO Leave Rules".

2.0 Scope of Application

These Rules shall apply to:
i) All regular employees of the Company;
ii) Probationers;
iii) Temporary employees;
iv) Trainees/ Apprentices, other than Apprentices under the Apprentices Act 1961;
v) Employees engaged on contract;

2.1 These Rules shall not apply to employees on deputation/ Foreign Service to the
Corporation.

3.0 Definitions
In these Rules, unless there is anything repugnant in the subject or context:
(a) The "Corporation" means Power System Operation Corporation Limited.

(b) "Board" means the Board of Directors of the Corporation.

(c) "Management" means the Board of Directors, the Chairman and Managing
Director or any other officer of the Corporation authorised to act on their behalf.

(d) "Competent Authority" with reference to the exercise of any power under these
Rules means the Officer or Authority to whom such powers are delegated either in
general or in particular.

(e) "Employee" means a person appointed to any position in the Corporation and will
include a probationer.

(f) "Regular Employee" means an employee who has been engaged in a vacancy on
the regular establishment of the Corporation and has been declared in writing to
have satisfactorily completed probation period in one or the other post.

Clarification:
Wherever probation has not been closed, pending receipt of police verification
report from District Authorities/Intelligence Bureau or previous employers, the
employee will be allowed the benefit of leave encashment, commuted leave and
special disability leave on completion of one year's service, subject to the

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 condition that the employee is otherwise eligible for closing of probation and
written undertaking to the effect that in case verification reports received
subsequently are found to be adverse, the employee shall refund the entire amount
of leave encashment and apply for another kind of leave as admissible, if
commuted leave etc. has been sanctioned earlier as on completion of one year
satisfactory service.

(g) "Probationer" means an employee who is provisionally employed with a view to

being considered for appointment on the regular establishment of the Corporation.

(h) "Temporary Employee" means an employee who has been engaged on a

temporary basis for a specified period or for work which is of an essentially
temporary nature likely to be completed within a stipulated period.

(i) "Apprentice/Trainee" is a learner who is paid a stipend during the period of his
apprenticeship/training.

Note :
The terms and conditions of employment and the period of training of all
Apprentices/Trainees will be governed by the apprenticeship contract and/or any
special rules or orders framed by the Corporation from time to time.

(j) "Foreign Service" - when an employee of some other organisation is deputed for
service in the Corporation at its request he is said to be on "foreign service".

(k) "Notice" means a notice in writing required to be given or affixed on the Notice
Board for the purpose of these Rules.

(l) "Notice Board" means the Notice Board specially maintained in a conspicuous
place at or near the main entrance or entrances of the establishment for the purpose
of displaying notices.

(m) "Registered Medical Practitioner" and "Attending Medical Officer" means

any person registered as such under any Law for the time-being in force and
includes any practitioner in the fields of Allopathy, Homeopathy, Ayurveda and
Unani system of medicines.

(n) "Authorised Medical Officer" means a doctor authorised by Company to treat it

employees and would include all doctors empanelled/ engaged by Company.

(o) "Government Hospital" means any hospital established by any authority under
the control of Central or State Government, municipal authorities, autonomous
body, public sector undertaking or a hospital recognised by Company as such.

(p) "Executive" means an employee who is employed mainly in a managerial and

administrative capacity.

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 (q) "Supervisor" means an employee who is employed in a supervisory capacity,
draws wages, exceeding two thousand five hundred rupees per mensum or
exercises either by nature of his duties or by reason of powers vested in him,
functions mainly of a managerial nature.

(r) "Workman" means an employee other than a Supervisor or an Executive.

Management will publish a list of posts categorised as Executives/Supervisors.

(s) "Uniform Dates" in these Rules would mean 1st January and 1st July of every
year.

4.0 Amendments to and interpretation of the Leave Rules

4.1 These Leave Rules may be amended or modified from time to time by the
Corporation and the same shall take effect in accordance with the orders issued by
the Corporation.

4.2 All amendments or modifications made to these Leave Rules and any notices,
orders or instructions issued thereunder shall be circulated from time to time and
displayed on the Notice Board.

4.3 If any doubt arises relating to the correct interpretation of these Leave Rules, the
decision of the Management thereon shall be final and binding.

5.0 Entitlement
5.1 Entitlements to leave in respect of Casual Leave, Earned Leave, Half-pay Leave,
Sick Leave, for various categories of employee will be as shown in 'Annexure-I'.
5.2 Entitlement in respect of other kinds of leave such as Extraordinary Leave,
Maternity Leave and Special Disability Leave etc. for various categories of
employees shall, however, be as given in these Rules.

6.0 Casual Leave

6.1 Casual Leave is intended to cover casual absence of the employees for personal
reasons.
6.2 Casual Leave can be granted for half a day also. If half-day's leave is taken, the
lunch interval will be taken as the dividing line.

6.2.1 Casual Leave can also be granted in units of quarters consisting of Two Hours

Casual Leave availed in a unit of quarter (Two-Hourly leave), would be regulated

as under:-

i. “Two-Hourly Leave” shall be set-off against the Casual Leave (CL) as

admissible to an employee in a calendar year. When no Casual Leave is

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 admissible, “Two-Hourly Leave” shall also cease to be admissible to an
employee.

ii. “Two-Hourly Leave” would mean absence from place of duty for Two
hours (i.e. 120 minutes). Any absence beyond Two hours shall be treated as
half-day’s leave

iii. “Two-Hourly Leave” can be availed at any time during the normal
working hours.

6.3 The employees joining the service of the Corporation during the first quarter of the
calendar year shall be entitled to full quantum of casual leave. In all other cases
casual leave entitlement would be calculated on pro-rata basis.

6.4 Un-availed Casual Leave would lapse at the end of each calendar year.

6.5 Sundays and holidays will not be debited to the Casual Leave account. While
Sundays and holidays can be prefixed/suffixed to Casual Leave, the total absence
including intervening Sundays and holidays should not exceed 10 days on any one
occasion.

6.6 Trainees and Apprentices shall get an additional pro-rata credit of Casual Leave on
their absorption as Executives/Supervisors.

7.0 Special Casual Leave

Special Casual Leave falls outside the normal leave and can be granted to meet
special situations but not for domestic or personal reasons as in the case of Casual
Leave. Cases in which Special Casual Leave can be granted are mentioned below:

7.1 Period spent in camp by employees permitted to join the Territorial Army, not
exceeding 14 days which can be combined with other leave, wherever necessary.

7.2 Special Casual Leave not exceeding 30 days in a calendar year may be granted:

a) to employees selected to represent the Company in tournaments recognised by the

State/National Association for the game concerned.
b) to employees selected to represent the District or the State or All India in a
recognised tournament.
c) to employees selected to participate in training/coaching camps by State
Associations.
d) to employees required to act as Umpires in tournaments of National/International
importance.
e) to employees who wish to attend in their individual capacity meetings/training
courses organised by professional institutes of which they are members.

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 f) to employees selected to participate in local tournament on behalf of POSOCO.
g) to employees participating in mountaineering and trekking arranged by recognised
clubs/associations.
While sanctioning Special Casual Leave under (f) & (g) within the limits specified,
the periods of absence for attending pre-selection trials/camps connected with
sporting events of National/International importance will be included. If the period
exceeds 30 days in any calendar year, the employees can be permitted by the
competent authority to combine Special Casual Leave with Earned Leave as a
special case, but not with Casual Leave.

7.3 Employees participating in inter-unit or inter-departmental tournament can also be

granted Special Casual Leave not exceeding 10 days at a time which can also be
permitted by competent authority to be combined with Earned Leave.

7.4 Employees who donate blood on working days may be granted special casual
leave for that day.

7.5 Employees who undergo sterilisation operation under the family welfare scheme
may be granted Special Casual Leave not exceeding 6 working days in case of
male employees and 14 days is respect of female employees.

7.6 Employees who are ex-servicemen when called by Ministry of Defence to

participate in the Republic Day Parade can be granted Special Casual Leave for the
period of their stay in Delhi and the minimum period spent on journey to and from
Delhi by direct route.

7.7 Special Casual Leave can be granted to an employee if he is called as witness by

the courts, towards the days of absence, i.e. attendance days and minimum
travelling time by shortest route. This leave will only be allowed to the employees
when they are called as witnesses in cases where the Government is a party or
Government calls the incumbent for evidence even when the Corporation has
nothing to do in these cases, provided, however, that the employee himself is not a
party being prosecuted or defended. Where the Corporation is a party and the
employee is called for evidence by the Corporation, the said period will be treated
as on duty and employee would be paid the usual TA/DA.

7.8 For an employee who is not permitted to avail of full joining time in Company's
interest when transferred from one station to another, specific executive orders will
be issued in this respect by Management.

7.9 To regularise the absence on account of natural calamities and civil/political

disturbances and infectious diseases. Each case will be considered on merits by the
Competent Authority.

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7.10 Employees with disabilities* as defined in the Persons with Disabilities (Equal
Opportunity, Protection of Rights and Full Participation) Act, 1995 may be
granted Special Casual Leave for 04 (four) days in a calendar year for specific
requirements relating to the disabilities of the official.

In addition, Special Casual Leave for not more than 10 (ten) days in a calendar
year subject to exigencies of work may be granted to employees with disabilities*
for participating in the Conference/ Seminars/ Training/ Workshop related to
Disability and Development related programmes organized at National and State
Level agencies to be specified by the Ministry of Social Justice and
Empowerment. Absence in excess of 10 days may be treated as regular leave due
and admissible. Special Casual Leave will be allowed to be combined with
regular leave as a special case.

* [Under the Rights of Persons with Disabilities (Equal Opportunity, Protection of

Rights and Full Participation) Act, 1995, “Disability” means i)Blindness; ii)Low-
vision; iii)Leprosy-cured; iv)Hearing Impairment; v) Loco motor disability;
vi)Mental retardation; vii)Mental illness]

8.0 Earned leave

8.1 Earned Leave means leave earned in respect of periods of service with the
Corporation and granted on full pay or stipend in case of Trainees/Apprentices
other than those under Apprentices Act.

8.2 Every employee's earned leave account will be credited in advance each year. This
will be done in two instalments, namely 50% of the entitlement on 1st January and
1st July, every year. The leave at credit of the employee at the close of the
previous half year will be carried forward subject to the condition that the total
credit at the beginning of each half year does not exceed the limit of accumulation
as allowed under these rules. However w.e.f. 1.7.93, ceiling limits of 300 days of
EL should be applied only at the end of the half year and not at the beginning
thereof and the same may be regulated in the following manner:

a) In case of employees having at their credit Earned Leave of 285 days or less as on
1st January/1st July of a year, Earned Leave of 15 days, or proportionately less in
respect of retiring persons or those leaving services during the next half year, may
continue to be credited to their leave account in advance as at present.
b) In case where the Earned Leave at credit as on 1st January/1st July is 300 days or
less but more than 285 days, credit of Earned Leave for 15 days may be kept
separately and first exhausted against any Earned Leave which the employee may
take during the ensuring half year and the balance, if any, credited to the Earned
Leave account at the close of the half year subject to the ceiling of 300 days. If the
Earned Leave taken during the half year is more than 15 days, the amount in
excess of 15 days will, however, have to be debited to the leave account.

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8.3 In respect of the employees who join the services of the Corporation at any time
between the uniform dates i.e. 1st January and 1st July, Earned Leave account will
be credited on pro-rata basis till the close of the half year in which he is appointed.
The period of Earned Leave so calculated will be rounded off to the next higher
figure. From the next half year onwards, the employee will be governed by the
rules as above.

8.4 Intervening Sundays and holidays falling within the spell of Earned Leave will be
counted as Earned Leave.

9.0 Half -Pay Leave

(Not admissible to Trainees/Apprentices and employees on contract)

9.1 Half Pay Leave means leave on half pay earned in respect of service with the
Company and can be granted to an employee for any reasons including on medical
grounds. Half-pay for this purpose shall be half of the basic pay plus DA
admissible on such half basic pay. All other allowances would be paid in full.

9.2 Every employee's Half-Pay Leave account will be credited in advance as in the
case of Earned Leave.

9.3 In respect of those who join service at any time between the two uniform dates, i.e.
1st January and 1st July, Half-Pay Leave account will be credited in the same
manner as in the case of Earned Leave mentioned above.

9.4 Half pay Leave can be allowed to an employee during the notice period required
on resignation. However, in such cases notice period/release will be extended to
that extend.

10.0 Commuted Leave

10.1 Half-Pay Leave can be commuted into full-pay leave on medical grounds, subject
to production of Medical Certificate from a Registered Medical practitioner.
However, in case the period of absence on account of sickness is 07 days or
less, the employee is not required to submit a medical certificate. The total
Commuted Leave admissible in the entire service of the employee shall not exceed
240 days.

10.2 Total amount of Earned Leave and Commuted Leave taken in conjunction shall
not exceed 180 days at a time.

10.3 Commuted Leave will be allowed to regular employees only. It will not be
admissible to trainees/apprentices, probationers, temporary employees and
employees engaged on contract.

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10.4 When Commuted Leave is granted, the Half-Pay Leave account of the employee
will be debited with twice the period of Commuted Leave.

11.0 Sick Leave

(Admissible to Trainees/Apprentices only)

11.1 Sick Leave will be admissible to the Trainees/Apprentices at the rate of 10 days
per year on full pay.

11.2 Sick Leave account will be credited in advance with five days on 1st January and
the balance five days on 1st July every year. The leave at credit of the employee at
the close of the previous half year will be carried forward subject to the
accumulation limit of 30 days.

11.3 In respect of those who join the service of the Corporation at anytime between the
two uniform dates, Sick Leave account will be credited at the rate of 5/6 days for
each completed month of service till the close of the half year in which he is
appointed. The period of leave so calculated will be rounded off to the next higher
figure, if the fraction is not less than half. From the next half year onwards, five
days of Sick Leave will be credited in advance.

11.4 The Sick Leave at the credit of a Trainee/Apprentice who is absorbed as an

Executive/Supervisor, on the date of absorption will be doubled and credited as
Half-Pay Leave to his account.

12.0 Extra-Ordinary Leave

12.1 Extra-ordinary Leave means leave sanctioned under special circumstances without
any pay and allowances to the following extent when no other kind of leave is due,
or when the employee specifically applies for Extraordinary Leave:
i) Up to three months on any one occasion other than on grounds of illness.
ii) Up to six months on any one occasion on Medical Certificate for diseases other
than T.B., Leprosy and Cancer.
iii) Up to eighteen months on any one occasion in cases of treatment for T.B., Leprosy
and Cancer.

12.2 Entitlement of extra-ordinary leave in respect of Trainees/Apprentices and

employees engaged on contract shall not exceed 20 days on any one occasion.

12.3 The Chairman and Managing Director may sanction extra-ordinary leave in excess
of the above mentioned limits by three months in exceptional cases.

12.4 In no case the total extra-ordinary leave admissible to an employee during the
entire service period shall exceed five years.

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12.5 Where an employee fails to resume duty on the expiry of the period of extra-
ordinary leave granted to him or where an employee who is granted a lesser
amount of extra-ordinary leave than the maximum admissible, remains absent
from duty for any period which together with the extra-ordinary leave already
granted exceeds the limit up to which he could have been granted such leave under
the above provision, he shall, unless the Chairman and Managing Director in view
of the exceptional circumstances of the case otherwise determines, be deemed to
have resigned to his appointment and shall accordingly, cease to be in the service
of the Company.

12.6 Earned Leave and Half-Pay Leave/Sick Leave, as the case may be, to be credited
on half yearly basis to the leave account of the employees who remain on extra-
ordinary leave/un-authorised absence is to be reduced on pro-rata basis for the
period of EOL/unauthorised absence subject to the condition that no such
adjustment will be made when the combined period of such types of leave in a
given half year is up to a period of 30 days.

13.0 Maternity/Paternity Leave

13.1 Maternity Leave
This will be granted to women employees (excluding Apprentices/Trainees) in
accordance with the following rules:

13.2 The female employee shall not be entitled to Maternity Leave unless she has
actually worked for a period of not less than 80 days for the 12 months preceding
the date of her expected delivery.

Explanation:

For the purpose of calculating the days on which a female employee has actually
worked in the establishment, the Saturdays (in respect of establishments where
Saturday is a holiday), Sundays and declared holidays shall be taken into account.
However, intervening Saturday(s), Sunday (s) and Holiday(s) falling within the
spell of Earned Leave, Half Pay Leave and Commuted Leave etc, availed by the
female employee shall not be counted for the above purpose.

13.3 The maximum period for which any woman employee shall be entitled to
maternity leave shall be 26 weeks from the date of its commencement on
production of medical certificate from Attending Medical Practitioner provided
that maternity leave shall not commence from a date earlier than eight weeks from
the expected date of delivery. The grant of leave is further subject to the
condition that prior permission is obtained by the employee and all other
prescribed conditions are fulfilled.

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 In case where a woman employee is having two or more surviving children, then
the maximum period of maternity leave shall be 12 weeks of which not more than
06 weeks shall precede the date of her expected delivery

A woman employee who legally adopts a child below the age of three months or a
commissioning mother* shall be entitled to maternity leave for a period of 12
weeks from the date the child is handed over to the adopting mother or a
commissioning mother as the case may be.

The grant of leave is further subject to the condition that prior permission is
obtained by the employee and all other prescribed conditions are fulfilled.

* Commissioning mother means a biological mother who uses her egg to create
an embryo implanted in any other woman.

13.4 It may be combined with leave of any other kind, but only if the request for such
leave is supported by a medical certificate from the Medical Officer.

13.5 In case of miscarriage or medical termination of pregnancy, a female employee

shall, on production of a medical certificate, be entitled to maternity leave with
wages for a period of six weeks, immediately following the day of her miscarriage
or, as the case may be, her medical termination of pregnancy. This leave can be
combined with leave of any other kind in terms of clause 13.4.

13.6 Leave salary towards the Maternity Leave for the period preceding the date of
expected delivery of an eligible women employee shall be payable in advance to
her on a written request along with documentary proof as regards her pregnancy
and the amount due for the subsequent period shall be immediately payable to her
on a written request along with the documentary proof of her having delivered a
child. However, where Maternity Leave is taken in conjunction with any other
kind of leave (either preceding or succeeding the Maternity Leave due), payment
of leave salary shall be restricted only for the period of Maternity Leave due as per
rules, in addition to leave salary due for Earned Leave, if any, as per clause 20 of
these rules.

13.7 In respect of matters not specified above, the provisions of Maternity Benefit Act,
1961 shall apply.

13.8 The Chairman and Managing Director shall be empowered to approve for adoption
in POSOCO LEAVE RULES, any provision of the Maternity Benefit Act, 1961
and the amendments carried out therein by the Government.

13.9 Paternity Leave

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 A male employee with less than two surviving children may be granted Paternity
Leave for a period of 15 days during the confinement of his wife (i.e. within the
period in which Maternity Leave is allowed to a female employee). During period
of such leave, he shall be paid wages as admissible in case of Maternity Leave at
the rate drawn immediately before proceeding on leave. Paternity leave shall not
be debited against the leave account and may be combined with any other kind of
leave. Subject to the above, it shall be granted only twice in an entire period of
service.

14.0 Quarantine Leave

14.1 Quarantine leave is leave for absence from duty necessitated as a consequence of
the presence of certain infectious diseases in the family or household of the
employee. Such leave may be granted by the leave sanctioning authority on the
certificate of the Registered Medical Practitioner for a period not exceeding 21
days, or in exceptional circumstances 30 days. Any leave necessary in excess of
this period shall be treated as leave of the type that may be available at the credit
of the employee. Quarantine leave can also be granted in continuation of any other
kind of leave other than Casual Leave. An employee on quarantine leave will not
be treated as absent from duty and his pay will not be affected.

14.2 Cholera, Small pox, Plague, Diphtheria, Typhus, Cerebrospinal Meningitis and
COVID-19 may be treated as infectious diseases for which Quarantine Leave can
be granted.

CMD is Competent Authority to modify the list of diseases which may be treated
as infectious diseases for which Quarantine Leave can be granted.

14.3 Quarantine Leave can be granted to an employee at a place other than his
Headquarters, also, provided that he had gone there on duty or authorised leave
with permission of competent authority.

15.0 Terminal Leave

Earned Leave to the extent due and admissible may be granted to any employee at
the discretion of the sanctioning authority on termination of his services on
medical grounds certified by Authorised Medical Attendant or in the case of
Executives and Supervisors on account of retrenchment or abolition of posts. In
the latter case, it will run concurrently with the notice period required to be given
under the contract of appointment, if any. Such leave may be granted even when it
has not been applied for and refused in Company's interest.

16.0 Compensatory Off

16.1 For Workman

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 a) If a worker works on his weekly off/rest day which is not a National Holiday
(although it may be a paid closed holiday), he will be allowed one day's
compensatory off in lieu of this extra one day/shift work.
b) If a worker works on a weekly off/rest day which is also a National Holiday, he
will be allowed two days single wage (Basic plus D.A.).
c) The compensatory offs as regulated in terms of (a) & (b) above can be allowed to
be accumulated.
d) Compensatory-off can be accumulated during the calendar year. Compensatory-off
earned till 31st of December of each calendar year can be carried forward and
availed till 31st of March of next calendar year after which it will lapse.

e) If extra duty as mentioned above is regulated in terms of these provisions, no other

payment (such as for overtime) will be admissible.

16.2 For Supervisors/Executives

The Compensatory-off shall be granted in lieu of working extra one day/ shift
work to the Supervisors/ Executives of all establishment of POSOCO which have
been commissioned and where O&M work is going on or, wherever such control
rooms are in operation to assist the exigencies of work. The grant of
compensation off in such cases will be regulated in following manner.

(a)(i) Supervisor/Executives in all establishment of POSOCO doing shift duties (and

required to work on staggered weekly off) may be allowed one day
Compensatory-off if they work in an extra shift in addition to their normal shift
duty.
(ii) If the weekly holiday, being a day other than Sunday in case of such
Supervisors/Executive doing shift duties in any establishment of POSOCO and
meeting the criteria defined at 16.3, coincides with a closed holiday or a national
holiday and the Supervisor/Executive does not work on such a day, one day
Compensatory-off will be allowed to him.
(b) Compensatory-off can be accumulated during the calendar year. Compensatory-
off earned till 31st of December of each calendar year can be carried forward and
availed till 31st of March of next calendar year after which it will lapse.
(c) For availing of Compensatory-off, prior permission and sanction shall be
necessary and the same cannot be availed on medical grounds.
The Compensatory-off will be allowed to be clubbed with all types of leave viz.
casual leave, earned leave, half-pay leave, special additional leave etc. However,
not more than 2 (two) Compensatory-off will be allowed to be clubbed with such
types of leave at a time.

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16.3 The compensatory off will be allowed to be clubbed with all types of leave viz.
casual leave, earned leave, half-pay leave etc. However, not more than two
compensatory off will be allowed to be clubbed with such types of leave at a time.

17.0 Settling off of Leave towards Notice Period

Where an employee resigns his post of his own volition and is required to give
notice under terms and conditions of his appointment or deposit pay and
allowances for the specified period in lieu thereof, the employee may be
permitted, at the discretion of the Corporation, to set-off the Earned Leave at his
credit on the date of leaving service towards the notice period.

18.0 Transfer of Leave

18.1 Earned Leave transferred from other Public Undertaking/Government
Department/Semi-government/Autonomous Body by virtue of service put in by the
employee in that Organisation shall be kept as a separate credit to be availed by
him provided a lump sum equivalent of leave salary is paid to this Corporation by
the Organisation concerned.

18.2 In case any employee of the Corporation joins another Public Sector
Undertaking/Semi-Government/Govt. Organisation or Autonomous Body, Earned
Leave at his credit along with the amount of leave salary may be transferred at the
discretion of this Corporation, if acceptable to the new employer.

18.3 The transfer of accumulated Sick Leave/Half-Pay Leave, standing at the credit of
the employee at the time of transfer to or from another Public Sector Enterprises
will be permissible, provided such transfer has taken place with the consent of the
management of both the enterprises or under the orders of the Government/Public
Enterprises Selection Board (PESB).

The procedure for transfer of Sick Leave/Half-Pay Leave and liquidation of

liabilities for such leave would be the same as for Earned Leave.

19.0 Leave Salary

An employee on Earned Leave shall be entitled to leave salary on a full pay. Full
pay for purposes of these rules shall be the pay drawn immediately prior to
proceeding on leave. Regular employees proceeding on Earned Leave for more
than 30 days will be entitled to draw leave salary advance limited to one month.

20.0 Over-Stayal of Leave

An employee who remains unauthorisedly absent i.e. without sanctioned leave or
on expiry of sanctioned leave and does not report for duty within 15 days, shall
lose lien on his post and shall be deemed to have voluntarily left the service of the
Corporation, without notice. However, if the employee is subsequently able to

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 account for his unauthorised absence to the satisfaction of the Management, the
absence may be regularised in the manner deemed fit and covered by Rules.

21.0 Combination of Leave

Subject to the other relevant provisions, any kind of leave other than Casual Leave
may be granted in combination with or in continuation of any other kind of leave.

22.0 General Conditions for Grant of Leave

22.1 It shall be the endeavour of the Management to grant all reasonable requests for
leave which should be submitted well in time. However, leave cannot be claimed
as a matter of right. The Sanctioning Authority may, at its discretion, revise, curtail
or revoke at any time according to the exigencies of service.

22.2 In case where an employee on leave is recalled to duty in the interest of the
Corporation's work, single railway journey fare of the entitled class will be paid
from the station of leave to station of duty. The leave in such cases shall end on the
day the return journey commences.

22.3 There will be no restriction as regards the number of times in a year an employee
can avail of the Earned Leave. The employees should invariably plan their regular
leave (EL and HPL) in advance and obtain prior sanction.

22.4 The limit as to how many employees may be granted leave at one time in each
Section/ /Department/RLDC/NLDC/CC shall be fixed or decided by the
Competent Authority from time to time.

22.5 An employee returning from leave shall ordinarily report back to the post where
from he/she proceeded on leave, unless otherwise intimated by the Competent
Authority.

22.6 All applications for leave for three days or less shall be made at least 24 hours
before the time from which leave is required. Applications for leave for more than
three days shall be made at least 7 days before the date from the day the leave is
required, except in special cases.

22.7 Request for extension of leave in all cases may be considered only if the same has
been received from an employee giving reasons for such extension, sufficiently in
advance of the expiry of the leave granted to him. Extension of leave so requested
by an employee shall not be considered as sanctioned, unless a communication to
that effect is received by that employee from the Competent Authority.

22.8 If the request for extension of leave is on grounds of illness of the employee, it
shall be accompanied by a medical certificate from a Registered Medical
Practitioner.

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22.9 The sanctioning authority on receiving the application for extension of leave may,
at its discretion, grant the extension asked for, or grant it for a lesser period or
refuse the extension. Decision so arrived at shall be communicated to the
employee as soon as possible.

22.10 Where the extension of leave has been granted once, on the grounds of illness,
second or subsequent requests for further extension on grounds of illness shall be
accompanied by a certificate from a Medical Officer of a Government Hospital.

22.11 Where an employee has been sanctioned leave or an extension of leave on medical
grounds, the employee will be required to produce 'Fitness Certificate' from the
Attending Medical Officer at the time of resuming duty.

22.12 Employees while proceeding on Leave on private foreign visit shall require to
obtain prior permission from the Competent Authority. Permission has to be
obtained in the prescribed format. Failure to do so will invite action as per CDA
Rules.

23.0 Other Employment during the Leave

An employee on leave shall not take up any service or accept any employment.

24.0 Return to Duty

No employee on leave shall return to duty before the expiry of the period of leave
granted to him except with the permission of the authority competent to grant
leave.

25.0 Encashment of Earned Leave

(i) Encashment of earned leave will be allowed to all Regular employees, Temporary
employees appointed on regular pay scales and Trainees/Apprentices (other than
Apprentices Act). Employees under suspension will not be eligible for encashment
of Earned Leave.

(ii) Encashment will be allowed two times in a calendar year. Earned Leave account
will be maintained in one section only i.e. Encashable. Encashment of Earned
Leave can also be availed of as leave and it is not necessary that it must be
Encashed. On separation of the employees it will be subject to ceiling of 300 EL
will be encashable (including HPL which shall not be commuted).

(iii) In case of Deputationists from Government Department who are permanently

absorbed in the Corporation, 75% of earned leave at credit on the date of
absorption rounded off to the nearest number will be transferred to the Encashable
portion of the Earned Leave account. Likewise, in case of persons whose Earned
Leave is transferred to the Corporation, 75% of the leave so transferred will be

POSOCO LEAVE RULES

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 treated as Encashable. This will be in addition to the leave of the two types
accrued in the Corporation after absorption for which separate account will be
maintained.

(iv) The rate of Earned Leave will be limited to 20 days for trainees & apprentices and
30 days for Executives, Supervisors & Workmen for each calendar year. It will be
credited to the leave account as and when credit is given for total leave for each
half year. Total of the earned leave to the credit at any time will not exceed the
limits prescribed in the leave rules.

26.0 Procedure and amount of Encashment

(i) Leave as due on 30th June or 31st December of the preceding half year or balance
of leave after adjusting leave taken during the year up to the date of encashment,
whichever is less, can be encashed.

However, employees superannuating/ separating from the Company shall be

allowed to encash the total available Earned Leave in their leave account in the
month of superannuation/ separation.

(ii) On receipt of an application from the employee for encashment (in the form at
Annexure-II), the earned leave admissible for encashment subject to the limits laid
down in the preceding paras will be debited to his leave account and sanction
issued by the Competent Authority.

(iii) For the period of leave encashed, an amount equal to the total of the following
elements of emoluments admissible on the date of application will be payable on
the basis of 30 days a month; a) Basic pay, including special pay and personal pay
b) Dearness allowance; c) Interim relief, if any.

(iv) Encashment shall be allowed in full subject to overall ceiling of 300 days i.e.
including 300 days of HPL at the time of retirement or termination of employment
except by disciplinary proceedings, or retrenchment, or death of an employee.
However, no commutation of HPL shall be allowed. In case of death, the
encashment shall be allowed to heirs of the employee, as nominated by him for the
purpose of CPF. In the case of employees who resign their appointment, the total
amount of Earned Leave at their credit worked out as on the date of resignation
shall also be allowed to be encashed.

(v) Employees who are given further extension of service beyond the age of
superannuation can also carry forward the Earned Leave to the extended period of
service.

27.0 Deductions
No deduction other than income tax and over payments, if any, will be made from
the amount of leave encashment payable to serving employee. In cases of

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Page 215
 retirement/retrenchment/resignation or death, company's dues should be recovered
from the amount of encashment.

28.0 Encashment of Half Pay Leave

The encashment of Half-Pay Leave will also be allowed subject to a maximum of
300 days (HPL) including EL standing at the credit of the employee in the
following events:
i) Separation from the Company on attaining the age of superannuation or
ii) Death while in service or
iii) Cessation of service, other than on grounds of disciplinary action, after attaining
the age of 50 years provided that the concerned employee has completed a
minimum of 10 years continuous service in Central/State Government/PSUs out of
which a minimum of 5 years is in POSOCO or
iv) On completion of the tenure of Board Level appointees.

28.1 Other conditions governing encashment of Half-Pay Leave as above shall be the
same as applicable for encashment of EL, subject, however, to the condition that
for the purpose of computing encashment of HPL, only half of the basic pay plus
DA admissible on such half basic pay shall be taken into account. No
commutation of HPL shall be allowed.

29.0 Optional Holidays

Two days of Restricted Holidays presently being availed by the Workmen,
Supervisors and Executives can be availed as Optional Holidays on any day of the
calendar year subject to exigencies of work. However, Optional Holidays can not
be sandwiched between the spell of regular leave and the same can be availed as a
prefix or suffix to regular leave.

30.0 Special Disability Leave

These Rules shall cover and be applicable to all the regular employees of the
Corporation including probationers drawing pay in regular pay scales.

30.1 Entitlement
30.1.1 Employees who are disabled and become temporarily unfit to work on account of
injuries arising out of and in the course of employment shall be allowed Special
Disability Leave with full wages/salary provided that such disability leave shall
not be granted in respect of any injury, not resulting in death, caused by an
accident which is directly attributable to :-

(i) the employee having been at the time thereof under the influence of drinks or
drugs; or

POSOCO LEAVE RULES

Page 216
 (ii) the wilful disobedience of the employee to an order expressly given, or to a rule
expressly framed, for the purpose of securing the safety of the employees;
or

(iii) the wilful removal or disregard by the employee of any safety guard or other
device which, he knew to have been provided for the purpose of securing the
safety of employees.

30.1.2 For this purpose, wages/salary shall consist of the following:

a) Basic Pay, Special Pay and Personal Pay, if any;

b) Dearness Allowance;
c) House Rent Allowance, Special Compensatory Allowance, and Deputation
Allowance, if any.
All the above payments would be regulated in manner as if the employee was not
out of duty because of the injury due to accident and accordingly usual increment,
variable DA etc. would be taken into account while calculating wages/salary in
terms of the above provisions.

30.1.3 In so far as employees covered by the Workmen's Compensation Act, 1923 are
concerned, the wage/salary payment mentioned herein before is in lieu of half
monthly compensation admissible to them under the Act.

30.1.4 Where the benefits under the Group Personal Accident Insurance Scheme are
availed, the benefit of Special Disability Leave will not be admissible and vice-
versa.

30.2 Procedure
Special Disability Leave will be granted on the basis of recommendations of a
committee consisting of the following representatives:
a) Concerned HOD or his authorised nominee;
b) Medical Officer authorised for this purpose;
c) Representative from the Personnel Deptt.; and
d) Safety Officer (if in position)

The Committee as mentioned above shall prepare a report in the format as given in
FORM-I and make its recommendations both for prevention of recurrence of
accident and also for grant of Special Disability Leave. The employee will submit
his application in the format as given at FORM-II. The authority to sanction leave
will vest with the ED/GM of the Region concerned for employees posted in
Regions and GM (HR) for employee posted at Corporate Centre. Orders will be
issued by the Human Resource Department.

POSOCO LEAVE RULES

Page 217
30.3 Appellate Authority
In case of any grievance in the matter of Special Disability Leave, an appeal can
be made by the concerned employee to the Executive Director of the
RLDCs/NLDC or Director (HR), Corporate Centre, as the case may be, whose
decision will be final and binding.

30.4 General
In order to mitigate the hardship of the incumbents, payment of wages/salary for
the period of disablement would be released provisionally and the necessary
adjustment made later on after disposal of the leave applications.

Reference:
(1) Clause 13.7 of Maternity Benefit Act, 1961
(2) Corporate HR Circular No. 04/2017 dated 20.12.2017 (POSOCO Leave Rules –
Modifications thereof)
(3) Corporate HR Circular No. 28/2019 dated 01.10.2019 (Introduction of Two Hourly Leave
under POSOCO Leave Rules)
(4) Corporate HR Circular No. 32/2019 dated 16.10.2019 (Half Pay Leave – Modification
thereof)

FORM – I
POWER SYSTEM OPERATION COPRORATION LTD
(To be filled up in duplicate)

POSOCO LEAVE RULES

Page 218
 PART-A
Report of injury sustained by an employee
(To be filled up immediately after the accident by the Reporting Officer*)

Name:………………………………………………………………………….EmployeeNo:……
………………………………………

Designation:…………………………………………………Department:…………………………
…………………................

Date& Time of accident:

………………………………..………………………………………………………
……………………..

Details of accident
:……………………………………………..…………………………………………
……………………………..
…………………………………….…………………………………………………………………
…………
Cause of the accident : ……………………………………………………………………………..
Date : ..........................
Signature of the Supervisor/Officer
* By the concerned Supervisor, if the officer is not there.

PART 'A'
To be brought to the Doctor to receive medical assistance/treatment. In emergency cases where it
is not possible to get Part-A filled up immediately, this should be sent latest by next working day
to the Doctor.
PART ' B'
RECOMMENDATIONS:

(A) To prevent recurrence of the accident :

…………………………………………………

………………………………………………………………………………………
…………….…………

(B) For Special Disability Leave :

……………………………………………………………

………………………………………………………………………………………
……………….….

POSOCO LEAVE RULES

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HOD/His Nominee Medical Officer Safety Officer Concerned HR
Executive
Date :

Signature of the Sanctioning Authority

POSOCO LEAVE RULES

Page 220
 FORM - II

To,
The Executive Director

(Through Human Resources Department)

SUB: REQUEST FOR GRANT OF SPECIAL DISABILITY LEAVE

Dear Sir,

I had met with an injury while on duty on………………………(Date) while working in

……………………………………(Department). I request that I be granted Special Disability
Leave for ……………………………. (No. of days) from ……………….. to
………………………….

I shall not claim half-monthly compensation for the above disablement period under the
Workmen's Compensation Act, 1923. (This is applicable only for those covered under the Act).

Date : Signature :
Name :
Employee No. :
Designation :
Department :
Recommendations of the Committee are enclosed. The individual may be sanctioned Special
Disability Leave from ………………………………. to ……………………………….

Date : Concerned HR
Executive
----------------------------------------------------------------------------------------------------------------------

Sanctioned Special Disability Leave from ………………….. to ………………………………

Date : Executive Director

POSOCO LEAVE RULES

Page 221
 ANNEXURE-I

ENTITLEMENTS OF VARIOUS KINDS OF LEAVE

(a) Workmen, Supervisor & Executives

Type of Leave No. of Leaves/ year Accumulation

Optional 02 Nil
Hol
ida
y
Casual Leave 12 Nil
Earned Leave 30 300 days
Half Pay Leave 20 No ceiling
Sick Leave Nil Nil

(b ) Trainees/ Apprentices (other than Act Apprentices)

Type of Leave Nos. of Leave / year

Casual Leave 07
Earned Leave 20
Half Pay Leave Nil
Sick Leave 10

(*) The length of service for the purpose of computation of EL & CL entitlements
shall be the service rendered in POSOCO and its constituent organisations only.

Two days of Restricted Holidays can be availed as Optional Holidays on any day
of the calendar year.

POSOCO LEAVE RULES

Page 222
 ANNEXURE-II

POWER SYSTEM OPERATION CORPORATION

APPLICATION FOR ENCASHMENT OF EARNED LEAVE

Name:…………………………………………………………………………..……Employee No.
……………………………………

Designation:………………………………….Deptt……………………RLDC/NLDC/CC………
………………………………..

Please sanction me Encashable Earned Leave for ............... days. I have not availed of
encashment facility during this calendar year.

Signature of Employee
===================================================================

Sanctioned subject to eligibility

Date :

Signature & Designation

(Authority Competent to sanction Earned Leave)

To

Personnel Establishment Section

===================================================================
TO BE COMPLETED BY HR ESTABLISHMENT SECTION

The applicant has______ (No.) days_________________(in words) of Encashable Earned Leave

at his credit.

He/She is allowed to encash __________________ days _______________ as requested.

Necessary entry in this respect has been made in the leave record.

Date : Signature

POSOCO LEAVE RULES

Page 223
 Name:
Designation:
To

Finance –Establishment Section

===================================================================
TO BE COMPLETED BY FINANCE DEPARTMENT

Bill No. _________________ Pay Factor______________________________

Payment admitted for Rs. __________ (Rupees _______________________________)

Accountant Officer (Accts.)

No. Dated:
===================================================================

Your application for encashment of leave has been forwarded to A.O. for payment of leave salary
for …………………… days. The balance that stands to your credit on date, after allowing
encashment as above, is as follows:

(a) Encashment Earned Leave……………………… Days.

(b) Non-encashment Earned Leave ………………...Days.

Signature & Designation

To

Name ……………………………………Employee No………………………………..……….

Designation………………………………….…Department/Region……………………………

POSOCO LEAVE RULES

Page 224
 ANNEXURE-III

FORMAT
PERMISSION FOR LEAVE IN CASE OF PRIVATE FOREIGN VISIT

NAME :
DESIGNATION :
EMP.NO :
DEPARTMENT :
REGION :
PASSPORT NO :
DETAILS OF PRIVATE FOREIGN TRAVEL TO BE UNDERTAKEN
Period of Names of Purpose Estimated Source of Remarks
Foreign Stay foreign expenditure Funds
countries (Travel;
to be Board/
visited Loading,
visa, misc
etc.

From To

Name :
Date :
Controlling Officer:

Leave Approving Authority:

Copy (i) Establishment Section (HR)

(ii) Vigilance Department

POSOCO LEAVE RULES

Page 225
SCHEME FOR
CHILD CARE
LEAVE

Page 226
 SCHEME FOR CHILD CARE LEAVE
1.0 Objective:

To facilitate women employees for taking care of two eldest surviving children,
including legally adopted children upto the age of 18 years, for rearing or to look
after any of their needs like education, sickness etc.

2.0 Coverage:

Women employees on the regular rolls of the Corporation excluding trainees.

3.0 Quantum of leave:

3.1 The women employees may be granted Child Leave Care (CCL) for a maximum
period of two years i.e. 730 days with pay during their entire service period for
taking care of up to two eldest surviving children (children will also include legally
adopted children) whether for rearing or to look after any of the needs like
education, sickness etc.

3.2 Child Care Leave (CCL) will have to be availed in a spell of not less than one month
and maximum thrice in a year.

3.3 Child Care Leave (CCL) shall not be admissible if the child is 18 years or more in
age.

3.4 In case of disability in a child (with minimum disability of 40% as specified in

Ministry of Social Justice and Empowerment’s Notification No: 16-18/97-NI dated
01.06.2001), CCL may be availed by a women employee upto the age of 22 years
of the child instead of 18 years. However, total Child Care Leave (CCL) will not
exceed 730 days during the entire service period. Women employee who has a child
with 40% or more of the following disabilities will be entitled to above concession:
a) Visual impairment.
b) Locomotors/ Orthopaedic disability.
c) Speech & hearing disability.
d) Mental retardation.

The authorities to give disability certificate will be medical board duly constituted
by the Central and/or the State Government. The medical Board should consist of
at least one specialist in a particular field for assessing locomotors/ visual including
low vision/ hearing and speech disability.

3.5 The employee need not adjust/ avail entire quantum of EL before availing Child
Care Leave (CCL).

SCHEME FOR CHILD CARE LEAVE

Page 227
3.6 Child Care Leave (CCL) may be combined with leave of any kind due and is
admissible, including Maternity leave except casual leave.

3.7 Child Care Leave (CCL) cannot be demanded as a matter of right. Under no
circumstances can an employee proceed on Child Care Leave (CCL) without prior
approval of the leave sanctioning.

3.8 Sundays, declared holidays etc. falling during the period of leave will also count
for the total period of Child Care Leave (CCL).

3.9 Child Care Leave (CCL) should not ordinarily be granted during initial probation
period except in case of certain extreme situations where the leave sanctioning
authority is satisfied about the need of Child Care Leave (CCL) to the probationer.
Provided that the period for which such leave is sanctioned, is minimal.

4.0 Entitlement during leave:

4.1 The women employee would be entitled to the following benefits during the period
of Child Care Leave (CCL):
a) Payment of leave salary (Basic + DA) equal to the pay drawn immediately
before proceeding on leave and drawal of medical benefits in respect of
employee and her dependents.

b) She will be granted permission to continue occupying the existing

accommodation on payment of usual rent/license fee. Employee drawing
HRA/ Leased accommodation will continue to draw HRA/ leased
accommodation during the period of leave.

c) The concerned employee shall be entitled to continuity of service for CPF

and Gratuity. Statutory deduction against CPF shall be made from the leave
salary against which matching contribution shall be made by POSOCO

d) Any outstanding loans/ advance shall be recovered from the leave salary.

4.2 During the Child Care Leave (CCL), the employee will not be allowed to take up
any remunerative/ honorary service elsewhere.

4.3 During the Child Care Leave (CCL) period, the employee shall not be considered
for promotion. However the period will count for eligibility for promotion.

5.0 General:

5.1 The Competent authority for sanctioning the leave shall be Head of RLDC/ NLDC/
Director (HR) at CC.

SCHEME FOR CHILD CARE LEAVE

Page 228
5.2 The above scheme shall come into force with immediate effect.

5.3 Chairman and Managing Director shall be authorized to make amendments/

modifications in any of the provisions in the Scheme from time-to-time.

**************
Reference:
(1) Corporate HR Circular No. 08/2018 dated 12.04.2018 (introduction of Child Care Leace
(CCL))

SCHEME FOR CHILD CARE LEAVE

Page 229
SCHEME FOR CHILD CARE LEAVE
Page 230
SCHEME FOR CHILD CARE LEAVE
Page 231
SCHEME FOR CHILD CARE LEAVE
Page 232
TRAVELLING
ALLOWANCE
RULES

Page 233
 POSOCO TRAVELLING ALLOWANCE RULES
1.0 Short title

These Rules shall be called 'POSOCO Travelling Allowance Rules'.

2.0 Applicability

These rules shall be applicable to all employees of the Company including:

1) Lien holders;

2) Deputationists on Foreign Service terms, unless their terms of deputation provide

otherwise;

3) Apprentices/Trainees engaged under Company's own training schemes;

These rules shall not be applicable to:

i) Apprentices engaged under the Apprentices Act, 1961; and

ii) Muster-Roll, Daily-Rated, Casual, Badli or Substitute employees save and except to
the extent specifically mentioned in these rules.

2.1 These rules shall also be applicable to:

i) Persons appointed on contract, unless otherwise specified in the terms of their

contracts;

ii) Candidates called for appearing in a test/interview conducted by the Company; and

iii) Any other person or class of persons to whom these rules are so extended by specific
order(s) of the Chairman and Managing Director.

POSOCO TRAVELLING ALLOWANCE RULES

Page 234
 CHAPTER - I

3.0 Scope
3.1 The provisions of this Chapter shall be applicable to journeys performed by the
employees to places beyond a radius of 30 kms from the Headquarters or outside
municipal limits of the Headquarters, whichever is more for purpose specified
hereinafter.

4.0 Definitions
In these Rules, unless the context otherwise requires:

4.1 "Company/Corporation" means the Power System Operation Corporation

Limited including the RLDCs/NLDC/Offices under its management.

4.2 "Controlling Officer" means the officer empowered to approve and/or countersign
the Travelling Allowance claims (including advance) in respect of employees
working under him, in accordance with the powers delegated from time to time for
specified purposes under these Rules.

4.3 "Day" means a calendar day beginning and ending at mid-night. This is for general
reckoning only.

4.4 "Family" means an employee's spouse residing with the employee and legitimate
children (including step children and legally adopted children) parents, unmarried
sisters and minor brothers, provided that the concerned member is residing with and
wholly dependent upon him.

4.4.1 However, till such time the Company's special facility of housing/house rent
allowance for retention of family at a place other than the place of posting of the
employees is in existence, the condition of 'residing with the employee' will not be
essential for such employees as are allowed to retain their family under the
provisions of such special facility.

4.4.2 Only one wife is included in the term 'family' for the purpose of these Rules.

4.4.3 Legitimate children do not include adopted children except those legally adopted.

4.4.4 Step children include the children of the spouse from a previous marriage, where
the same was dissolved due to legal divorce or death of the other party to such
marriage.

4.4.5 “Minor” means a person below 21 years of age.

4.4.6 The criterion for judging the dependency will be as per Medical Treatment and
Attendance Rules of POSOCO.

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4.4.7 Where both husband and wife are employed in the Company, the dependent parents
of either of the spouses may be treated, at their option, as parents for the purpose of
these Rules.

4.5 "Headquarters" means the normal place of duty of an employee. In case of an

employee deputed for training in India or abroad, the Headquarters will mean the
place of duty from where he proceeded on training unless the same is changed in
respect of an employee sent on long-term training or assignment by a specific order
of the Head of NLDC/RLDC/ HOD at CC.

4.5.1 In respect of an apprentice/trainee, the Headquarters shall mean the place of training
at which he is posted for undergoing long duration (more than 30 days)
apprenticeship/training.

4.6 "Head of NLDC/RLDC" means the concerned Functional Director/ Executive

Director/Chief General Manager or any other Executive to whom the power is
delegated by Chairman and Managing Director for the purpose of these Rules.

4.7 "Management" means the Board of Directors and if authorised by the Board, the
Chairman and Managing Director of the Company for the purpose of these Rules.

4.8 "Official Tour" means absence on duty of an employee from his Headquarters.

4.9 "Pay" means basic pay together with personal pay, special pay, deputation (duty)
allowance, dearness pay and officiating pay, if any.

4.9.1 In case of a re-employed pensioner, pension and pension equivalent of retirement

benefits will also be considered as pay, provided and to the extent, the same has
been taken into consideration for fixation of his basic pay. In such a case, if the sum
of his pay plus pension exceeds the pay of the post, if it is on a fixed rate of pay or
the maximum pay of the post, if it is on a time scale of pay, such excess shall be
ignored.

4.9.2 For muster roll, daily rated, casual, badli or substitute employees, pay means the
amount arrived at by multiplying their daily rate of wage by 26 (twenty six) or 30
(thirty), as the case may be, depending upon the manner of calculation of their daily
wage-rates.

4.10 "Principal Cities" mean Kolkata, Delhi, Mumbai, Chennai, Hyderabad and any
other cities earlier categorised as “A” and B-1 under City Compensatory Allowance
as per Government of India Notification.

4.11 "Shortest Route" means the route which is shortest in terms of distance.

4.11.1 The route by which the destination can be reached most speedily by rail/air as per
entitlement, even if longer, will be deemed to be the shortest route for the purpose

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 of these Rules. In respect of a road journey, it means the route which is shortest in
point of time by entitled mode of travel.

4.11.2 Keeping in view the locations of various destinations, availability of various means
of transport and other relevant factors, the Chairman and Managing Director may
declare from time to time specific routes which, though not shortest, will deem to
be shortest routes for the purposes of all or any of the journeys mentioned in these
Rules.

4.12 "Transfer" means the movement of an employee from one Headquarters station at
which he is posted to another station to which his former Headquarters have been
changed or where he is ordered to take up the post.

4.12.1 Notwithstanding the above definition of transfer, the movements of an apprentice/a

trainee, engaged under the Company's own training scheme, during the period of
training as well as that for joining his duties at the place of posting in consequence
of final appraisal and placement etc. shall be not be treated as transfer.

5.0 Entitlement of Travelling Allowance on official tours within India

An employee on official tour will be entitled to Travelling Allowance which is
intended to cover expenditure incurred in connection with journeys performed for
the Company's work, as provided hereinafter.

5.1 Reimbursement of journey fares

5.1.1 The reimbursement of fares for journeys performed between the Headquarters
station and tour station by the employees of various Levels/Pay ranges by different
means of transport shall be as per the following entitlement, subject to actuals:

5.1.2 Nature of Entitlement

(i) Journey by Air

Sl.No: Level/ Pay Range (Rs.) Class of Travel

Employees
1. Those in the Level of E9 and Executive Class
above
2. Those in the Level of E6 to E8 Economy Class
3. Those in the level of E2 to E5 Only on Business tours or
(Including Executive Trainee/ training, Economy Class.
Assistant Engineer Trainee/ For all other purpose
Assistant Officer Trainee) including sports, culture
events, etc. they shall be
allowed to travel by their
normal entitlement of I-
class/ AC-II tier by train. All

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 ticket are to be booked
through POSOCO appointed
agency or on the web-portal
of the airline at the lowest
available fare.

(ii) Journey by Rail

Sl.No: Level / Pay Range (Rs.) Class of Travel

A. Employees
1. Those in the Level of E7 and ACC I Class
above
2. Those in the Level of E6 AC II Tier

3. Those in the Level of E3-E5 AC II Tier

4. Those in the level of E2 and AC II Tier
below
All Supervisors and Workmen
in the levels W7 & above.
5. W6 to W1. AC III Tier/ Sleeper Class
6. W0 Ordinary Sleeper Class
B Trainees
1. Executive Trainees AC II Tier
2. Assistant Engineer Trainees/ AC II Tier
Assistant Officer Trainees
3. Supervisor/ Diploma Trainee II Class
and Artisan Trainee/ ITI
C DAILY RATED / MUSTER II Class
ROLL ETC EMPLOYEES

(iii) Journey By Road

Sl.No: Level / Pay Range (Rs.) Class of Travel

A. Employees
1. E6 and above Actual Taxi Fare
2. E4-E5 Actual Taxi Fare limited to
Rs.6.10/ Kms

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 Sl.No: Level / Pay Range (Rs.) Class of Travel
3. E3 Fare of a single seat in taxi
availed limited to Rs.2.30
/kms or actual bus fare.
4. E2, All Supervisors, Workmen Fare of a single seat in taxi
W7 and above availed limited to Rs.1.10/
Kms or actual bus fare.

Workmen other than those Actual Bus Fare

mentioned at Sl.No:4 above.
B Trainees
1. Executive Trainees Fare of a single seat in taxi
availed limited to Rs.1.10/
Km or actual bus fare.
2. Assistant Engineer Trainees/ Fare of a single seat in taxi
Assistant Officer Trainees availed limited to Rs.1.10/
Km or actual bus fare.
3. Supervisor/ Diploma Trainee Actual Bus Fare
and Artisan Trainee/ ITI

C DAILY RATED / MUSTER Actual Bus Fare

ROLL ETC EMPLOYEES

5.1.3 For places which are not connected by rail but which are connected with the railway
system by steamer, if the steamer service is not owned by the railways or for
journeys otherwise by sea, the reimbursement of fares for such portion of the journey
as is undertaken by steamer or otherwise by sea, in respect of employees of various
Levels/ Pay ranges shall be as per the following scale:

S.No Level/Pay Range Entitled class of travel

1 2 3
(A) EMPLOYEES
1. Those in the level of E6 and aboveHighest class
2. Those in the level of E3, E4 & E5 Higher class, if there are
only two classes on the
vessel. Middle or second
class, if there are more than
two classes
3. Those in the pay scales of E2 and Lower class, if three are two
Below & All Supervisors and classes only on the vessel.
Workmen in the grades W7 & (Middle or second class, if
above. Third class, if there are four
classes.

4. W6 & below. Lowest Class

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 (B) TRAINEES
5. Executive Trainees/Assistant Lower class, if there are two
Engineer Trainees/Assistant classes only on the vessel.
Officer Trainees Middle class if there are
three classes. Third class, if
there are four classes.
6. Supervisors/ Diploma Trainee and Lowest Class
Artisan Trainee
(C) DAILY RATED/MUSTER ROLL ETC. EMPLOYEES
7. All pay ranges. Lowest Class

5.1.4 Where journeys are performed by road between places connected by rail, the
reimbursement as per sub-rule 5.1.2 (iii) will be restricted to rail fare as per
entitlement, subject to actual.

5.1.5 For journeys performed by road between places not connected by rail and where
road travel is customary, the reimbursement will be allowed in full as admissible
under table (iii) of sub rule 5.1.2.

5.1.6 Notwithstanding the provision contained in sub-rule 5.1.4, keeping in view the
locations of various destinations, availability of various means of transport and other
relevant factors, the Chairman and Managing Director may notify places/stations
connected by rail, in respect of which reimbursement of actual fare may be permitted
as for road journey under table (iii) of sub-rule 5.1.2 in full for all or specified
categories of employees.

5.1.7 When journey is performed by an employees in his own car/scooter/motor cycle,

reimbursement will be allowed @ Rs. 6.10/Km for travel by car if entitled for full
taxi; otherwise Rs.2.30/Km for travel by scooter/motor cycle, subject to restrictions
as contained in sub-rule 5.1.4 unless there is any contrary notification under sub-
rule 5.1.6.

5.1.8 The reimbursement of fare will normally be admissible by the shortest route on
through ticket basis. In exceptional cases, the concerned Head of RLDC/NLDC,
HOD at CC may relax this provision in really deserving cases purely on merits but
not as a general rule.

5.1.9 Charges for sleeper accommodation, super-fast train surcharge, reservation,

telegram charges by railways for booking of tickets as well as telegram charges
levied by airlines for reserving accommodation and with the approval of the Head
of Department, charges for cancellation of tickets for journeys not undertaken due
to official reasons will also be reimbursable. In addition, agency charges paid to
travel agents for booking of tickets subject to the monetary limit as may prescribed
from time to time by the Chairman and Managing Director for each journey are also
reimbursable on production of vouchers. Service charges towards purchase of ticket
under “Tatkal” service will also be reimbursed on production of proof of payment.

POSOCO TRAVELLING ALLOWANCE RULES

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5.1.10 In exceptional cases cancellation charges may be reimbursed, at the discretion of the
Controlling Officer where the journey is not undertaken by an employee due to
natural calamities or any mishap in his family.

5.1.11 Non-availability of reservation by train is not an acceptable reason for not

performing the journey connected with official work. Also, in case of non-
availability of accommodation in the entitled class and/or modes, an employee
should travel in a lower class/by a lower mode.

5.2 Reimbursement of conveyance charges

An employee will also be entitled to reimbursement of actual conveyance charges
for journeys between railway station/bus-stand/airport and residence/place of stay
either at Headquarters or tour stations and other than official journeys performed by
road at tour stations/through means of conveyance other than Company's transport.
The reimbursement shall be regulated in accordance with the following sub-clauses:

5.2.1 For journeys to and fro railway station/bus-stand/airport, at Headquarters and tour
stations, the reimbursement will be as per the scale laid down in the table under sub-
rule 17.2.2 of Chapter II of these Rules. Notwithstanding the above provision the
employees at the levels of E3 to S-1 and Executive Trainees may be reimbursed
actual taxi charges wherever three wheelers do not ply.

5.2.2 For journeys performed by road at tour stations, the reimbursement will be regulated
as per the scale laid down in the table under sub-rule 17.2.2, subject to the provisions
of sub-rules 17.2.3, 17.2.4 and 17.2.5 of Chapter II. The reimbursement will be
limited to a maximum of Rs.2000/- at any one station, at any one time for a
continuous halt not exceeding seven days. The limit of Rs. 2000/- can be relaxed in
exceptional cases by the concerned Head of Department not below the rank of GM
up to Rs. 2500/-. For halts exceeding seven days, the limit may be raised
proportionately. These limit are for journeys other than those covered in sub-rule
5.2.1.

5.2.3 It is clarified that in case of journeys between places situated in the urban
agglomerate of 'A' class cities such as Greater Mumbai, Greater Kolkata and like
stations, journeys between places connected by rail should be undertaken by rail
only and if the journeys are performed by road between such places, the
reimbursement will be restricted to rail fare as per entitlement. However, Self-
Controlling Officers may undertake the journeys between such places by road in
exceptional circumstances at their discretion and the reimbursement will be allowed
accordingly.

5.2.4 Employees proceeding on official tour for work in the suburbs of 'A' class cities of
contiguous industrial complex should normally stay in such places where the official
work-proper is to be done. In case they choose to stay in the 'A' class city-proper,
the journeys between the place of stay and the suburbs/contiguous industrial
complex if connected by rail should be undertaken by rail, and in case the journey

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 is performed by road between such places, the reimbursement will be restricted to
rail fare as per entitlement. However, Self-Controlling Officers may undertake the
journey between such places by road in exceptional circumstances at their discretion
and the reimbursement will be allowed accordingly.

5.2.5 In respect of the top officials of the Company who are entitled to staff car facility
for official duties at their Headquarters/Stations as per their terms of appointment or
otherwise, the restrictions laid down in sub-rules 5.2.2, 5.2.3 & 5.2.4 will not apply
and they will be reimbursed the actual cost of conveyance charges incurred by them
at tour stations, if not provided with staff car facility at such stations.

5.2.6 No conveyance charge for purchase, cancellation or exchange of railway ticket

either at Headquarters or tour stations will be reimbursed.

5.3 Daily Allowance

5.3.1 An employee on official tour will be entitled to daily allowance intended to cover
expenses incurred for food and incidentals in the course of travelling and for
boarding and lodging at places other than Headquarters, as provided here-in-after:

5.3.2 Daily Allowance will be admissible at the following rates :

(i) Accommodation Charges

Sl. Category of Employees Accommodation Charges subject to

No: maximum of
Delhi, Other Ordinar
Mumbai Principal y Cities
&Bangalor Cities Rate/
e, Rate/ Rate/Day Day
Day (Rs.) (Rs.) (Rs.)
1 CMD & Functional Directors Boarding & Lodging as per actual
2 E9 14000/- 11000/- 8800/-
3 E8 9800/- 7700/- 6160/-
4 E6-E7 5600/- 4400/- 3520/-
5 E4-E5 4200/- 3300/- 2640/-
6 E2-E3 3150/- 2475/- 1980/-
7 W8/S1 and above but below E2 2000/- 1600/- 1200/-
8 W4 to W7 1500/- 1200/- 1100/-
9 W3 and below 1300/- 1150/- 1000/-
10 Executive Trainee/ Assistant 1500/- 1200/- 1100/-
Engineer Trainees/ Assistant
Officer Trainee
11 Supervisor/ Diploma Trainee and 1300/- 1150/- 1000/-
Artisan Trainee/ ITI

POSOCO TRAVELLING ALLOWANCE RULES

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 (ii) Rates of DA

Daily Allowance will be admissible at following rate:

(a) Board Level Executives:

S.No Allowance for food & incidentals (Per

day)
Principal cities Other Cities
1. Stay in Hotel
(i) Where Lodging and Board Actual + Rs.700 * Actual + Rs.550 *
charges are claimed at actual.
(ii) Where lodging only is Rs.1100 (DA) Rs.900 (DA)
claimed at actual.
2. Stay in POSOCO / PSUs/ Government- Transit Camp/ Guest House.
(i) Where Lodging only is Rs.1100 Rs. 900
claimed at actual.
(ii) Where Lodging and Boarding ¼ of Composite DA ¼ of Composite DA
are provided free of cost.
(iii) Where Boarding only is ¼ of DA ¼ of DA
provided free of cost.
3. Composite DA Rs.1400 Rs.1100
*Incidentals

(b) For other employees:

S.No Level of Employee DA for Food & Composite DA in lieu
incidentals (Rs/ Per Day) of accommodation
charges & DA (Rs/ Per
Day)
Principal Other Principal Other
Cities Cities Cities Cities
(i) (ii) (iii) (iv) (v) (vi)

A) Employees
1 E9 1100 1380
2 E8 1000 1250
3 E6-E7 900 1130
4 E4 –E5 800 80% of 1000 80% of
5 E3 700 Column 880 Column
6 E2 600 (iii) 750 (v)
7 W8/S1 and above but 400 500
below E2
8 W4, W5, W6 & W7 330 420
9 W3 and below 275 350

POSOCO TRAVELLING ALLOWANCE RULES

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 B) Trainees
11 Executive 370 80% of 470 80% of
12 Non-Executive 250 Column 320 Column
(iii) (v)
C) Daily rated/ Muster Roll
13 Skilled 60 80% of 130 80% of
14 Semi-Skilled 60 Column 110 Column
15 Un-skilled 60 (iii) 80 (v)

5.3.3. Actual accommodation charges limited to the amounts as shown in table 5.3.2.(i) in
case of Principal Cities in case of Ordinary cities/ Other places as in sub-rule 5.3.2
for stay in any hotel, Company's guest house or any other guest house will be
reimbursed subject to production of receipts. The limits of accommodation charges
may be relaxed in exceptional cases on merits with the approval of the Chairman &
Managing Director.

5.3.4 The ceiling rates of accommodation charges indicated in sub-rule 5.3.2 are exclusive
of service and other similar charges/taxes related to accommodation charges. Such
charges where levied and paid will also be reimbursable to the extent of an amount
which would have been payable on the maximum amount of entitled
accommodation charges, subject to actuals. Luxury taxes levied by Hotels on the
declared/published tariff shall be paid as per actuals.

5.3.5 For food and other incidental expenses, an employee will be paid as per 5.3.2
table(ii) Column (i) &(ii) in case of stay at Principal Cities and Ordinary cities/ Other
places, respectively.

5.3.6 An employee who does not produce receipt of accommodation charges will be paid
composite daily allowance at the rates indicated in 5.3.2 table No: (ii) Column (iii)
& (iv) for stay at Principal Cities and Ordinary Cities/Other places, respectively.

Provided that an employee who stays in a public sector undertaking's guest house
shall be entitled to boarding expenses as laid down in column (i) & (ii) of sub-rule
5.3.2 (ii) as the case may be in addition to accommodation charges as per actuals
subject to the limits indicated in 5.3.2 table No: (i)

When the family members of an employee accompany him while he is on tour and
the accommodation is hired for lodging of the employee as well as his family
members, the actual accommodation charges may be reimbursed to him in full,
without making any proportionate reduction, subject to the ceiling limits in force
from time to time. However, it would be obligatory on the part of employee
concerned to submit the hotel bill(s) clearly indicating the name(s) of the person(s)
who have shared the accommodation with him.

POSOCO TRAVELLING ALLOWANCE RULES

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 Family members for the above purpose would mean an employee's spouse residing
with him and legitimate children (including step children and legally adopted
children) residing with and wholly dependent upon him.

5.3.7 An employee, who having proceeded on official tour returns to his Headquarters
within a period of 24 hours from the time of his departure from his place of
work/residence, will be entitled to daily allowance, at the rate applicable to the place
of visit, on the following scales:

PERIOD OF ABSENCE ADMISSIBLE ALLOWANC

(Hours)
Less than 12 Half
12 - 24 Full

Provided that where the accommodation booking is for a full day, accommodation
charges in full will be admissible.

Notwithstanding the above, in case the absence from Headquarters involves

overnight halt, full Daily Allowance shall be admissible at the rate applicable to the
place of visit.

5.3.8 In case an employee proceeds on official tour and the period of absence from
Headquarters is for more than 24 hours from the time of his departure from his place
of work/residence, he shall be entitled to daily allowance for his day of departure
from Headquarters, day of arrival at the Headquarters and for each day in between
as detailed hereunder:

i) DA for the day of departure - full DA if time of departure is 12.00 noon or

before and half DA if time of departure is after 12.00 noon, at the rate applicable to
the place where the employee spent the first night (24.00 mid-night hrs.)

ii) DA for the day of arrival - full DA if time of arrival is 12.00 noon or
thereafter and half DA if time of arrival is before 12.00 noon, at the rate applicable
to the place where the employee spent the preceding night (24.00 mid-night hours).

iii) DA for the intervening period - one full DA for each night (24.00 mid-night
hours) spent on tour beginning from second night till the last night of the tour period,
the rate of DA for each such night being the rate applicable to the place (Principal
City or Ordinary City /Other place where the night (24.00 mid night hrs.) was spent.
This procedure is to be adopted for the limited purpose of calculation of DA payable,
either composite DA or allowance for food incidentals in case of stay in Guest
House, Hotel etc. The accommodation charges for stay in Guest House, Hotel etc.
during the period of tour shall be reimbursable in full subject to the daily limits as
laid down from time to time. The accommodation charges in full will be admissible
even for part of a day, where the accommodation booking is for a full day.

POSOCO TRAVELLING ALLOWANCE RULES

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 For the above purpose, any night (24.00 mid-night hrs.) spent on journey shall be
deemed to have been spent at an Ordinary / Other place.

5.3.9 The allowance will be admissible for the period of absence from Headquarters
starting from the time of departure from place of work or residence, as the case may
be and ending at the time of arrival at residence/work place.

5.3.10 For prolonged halts, full daily allowance may be drawn for a period of 30 days/and
for a further period of 60 days, half daily allowance will be admissible. These limits
relate to stay at any one station only. The concerned Head of RLDC/NLDC, HOD
at CC may relax these conditions in special circumstances for an additional period
upto 90 days with half daily allowance as in table no: (ii), column (i) or(ii) of sub-
rule 5.3.2, as the case may be, irrespective of the place of stay. Notwithstanding the
above provision, actual accommodation charges as per sub-rule 5.3.3 will be
reimbursed, when composite daily allowance is not claimed.

5.3.11 Wherever calculation for daily allowance admissible for journey period are required
to be necessarily made, the same is to be regulated on the basis of actual journey
time involved starting from the time of departure from place of work/residence, as
the case may be, and ending at the time of arrival at residence/work place after
suitable rounding off in case of period less than 24 hours as under:

PERIOD OF ABSENCE ADMISSIBLE ALLOWANCE

(HOURS)
Less than 12 Half
12 – less than 24 Full

Notwithstanding the provision mentioned above, the daily allowance admissible for
the journey period under sub-rules 5.3.15 and 10.1.4 (a) (iii) shall be calculated by
subtracting the number of days for which daily allowance is admissible for halts on
tour (i.e. 24.00 mid-night hrs. spent on such halts) from the total number of days
for which the daily allowance is payable in respect of the entire tour duration.

5.3.12 If an employee is provided with both boarding and loading free of cost, he will be
entitled to draw 1/4th of the D.A. as in table (ii) column (iii) or (iv) of the sub-rule
5.3.2, as the case may be. If only lodging is provided free of cost, he will be paid
1/4th of the amount in column (i) or (ii), in addition to charges for accommodation
as per sub rule 5.3.2 table (i) as the case may be subject to actual.

5.3.13 The daily allowance will be admissible for journey periods, all halts on tour and
holidays occurring during the period of halt subject to the provision in sub-rule
5.3.15 but the same will not be admissible for the period of leave of any kind availed
while on tour. If an employee breaks journey enroute due to personal reasons, he
shall not be paid the daily allowance for such period of halt.

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5.3.14 Employees are expected to stay in the Company's Guest House and Guest Houses
of other Public Sector Undertakings and of the Government. The accommodation
charge as provided in sub-rule 5.3.2 for staying in hotels will be admissible only
when the employees fail to get accommodation in the guest house of the Company.
In such situation, the employees will have to certify that he could not get
accommodation in the Company’s guest house.

5.3.15 An employee who is in receipt of House Rent Allowance or is provided with

Company's leased accommodation, for keeping his family at a station other than his
Headquarters, will be entitled, when on tour to such station to draw only 1/4th of the
Composite Daily Allowance as in table (ii) of sub-rule 5.3.2, as applicable, in
addition to the allowance admissible for the period spent on journeys between
Headquarters station and tour station.

5.3.16 As provided in sub-rule 4.5.1 the places at which long duration (more than 30 days)
training arrangements are made for the trainees, shall be deemed to be their
headquarters. Accordingly no TA/DA etc. shall be admissible to the trainees for
their stay at such places. However, when the trainees are required to be sent from
their Headquarters for short durations to other places for work visits, practical
demonstration etc. as part and parcel of their training, they will be entitled to TA/DA
etc. as per rules. For this purpose any period of stay up to 30 days at a particular
outstation shall be treated as "Short Duration" visits. In case the stay exceeds 30
days at any one outstation, the Headquarters of the trainees would be deemed to
have been changed from previous place to the new place of training.

5.3.17 When the trainees move from one Headquarters to another, the TA/DA etc. for the
journey period will be admissible to them, and they will be entitled to bare journey
time only, but no preparation time.

5.3.18 When the trainees are recalled from outstations to Delhi at fag end of their training
for final appraisal and placement etc., and if the period of stay at Delhi during the
period of training is not more than 30 days, the same will be treated as on tour and
accordingly TA/DA etc. will be admissible to them.

5.3.19 Consequent upon the decision regarding final placement, if some of the trainees are
posted at Corporate Centre, the period of stay up to the date of issue of the placement
order will still be treated as on tour and accordingly TA/DA etc. will be payable.

5.3.20 Consequent upon the decision regarding final placement, such of the trainees as are
posted to the RLDCs away from Delhi will be entitled to TA/DA etc. for journey
period and they will be entitled to bare journey time only, but no preparation time.

5.3.21 If a trainee is sent on official tour other than training, TA/DA etc. shall be admissible
to him as per his entitlement. Recourse to this provision can be taken only in very
exceptional cases with specific approval of concerned Head of NLDC/RLDC, HOD
at CC.

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5.4 Miscellaneous charges incidental to official tour
5.4.1 The following tour incidental expenses, if actually incurred, will also be reimbursed
on production of receipts:

i) The excess baggage charges for carrying the official records;

ii) The expenses on account of official telephone calls (local and STD) and
telegram/phonogram if specifically sanctioned by the Controlling Officer;

iii) Insurance charges in respect of journeys by air at the rate of Rs. 10/- per air travel.
Annual Insurance Policy may be taken with the approval of the concerned Head of
NLDC/RLDC, HOD at CC for such executives who are likely to travel frequently
by air. For reimbursement of the claims of Insurance Charges the details of policy
number, date, place of issue should be indicated in the TA claims;

iv) Any other expenses not covered hereinbefore, incidental to and incurred during the
course of tour at the discretion of the concerned Head of NLDC/RLDC/HOD at CC.

5.5 In exceptional cases, on merits, the concerned Head of NLDC/RLDC HOD at CC

may permit employees to travel by a class/mode higher than their entitlement.

5.6 The rate of reimbursement for road journey as indicated in sub-rules 5.1.2 and 5.1.7
and the Daily Allowance rates as indicated in sub-rule 5.3.2 may be reviewed once
in two years by the Chairman and Managing Director, who shall have the powers to
increase/decrease the rates subject to the maximum variation of 20% of the
prevailing rates on one such occasion, keeping in view the increase/decrease in
prices of petroleum products, boarding and lodging charges and other relevant
factors.

6.0 Entitlement outside India

6.1 The entitlement of Travelling Allowance, Daily Allowance etc. in connection with
official tours outside India will be regulated in accordance with the provisions
contained hereinafter except for the portion of the journey, including halts, if any,
within India up to the point of embarkation/disembarkation in India, which will be
regulated in accordance with the provisions contained in rule 5.0.

6.2 Travelling Allowance

6.2.1 Chairman & Managing Director and Functional Directors/Executive Directors may
travel by air in Executive Class. Other employees will be entitled to economy class
air fare only.

6.2.2 Statutory levies as paid in connection with tour will also be reimbursable.

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6.2.3 The payment of Travelling Allowance for official tours abroad will be subject to the
instructions/guidelines of the Government of India as adopted by the Board from
time to time.

6.3 Daily Allowance and other Travelling Entitlements

6.3.1 The payment of Daily Allowance for tour abroad will be made on the basis of actual
time spent outside India including journey time by shortest route.

6.3.2 The Daily Allowance and other travelling entitlements in respect of the employees
deputed abroad will be as per the scale of release of foreign exchange prescribed by
the Reserve Bank of India from time to time for employee of Public Sector
Undertakings. Based on RBI norms, internal guidelines will be issued with the
approval of Chairman & Managing Director from time to time.

6.3.3 Where the stay abroad is extended for official reasons with the approval of an
authority competent to approve the foreign tour beyond the period for which foreign
exchange was released, the employee will be paid additional Daily Allowance in
foreign exchange for such extended period of halt provided it is released on time by
the Reserve Bank of India, failing which the Company will pay an equivalent
amount in Indian currency.

6.3.4 Where the duration of stay abroad is curtailed/ reduced, the employee shall refund
the Daily Allowance in foreign exchange for the number of days so curtailed/
reduced.

6.4 Miscellaneous
6.4.1 In respect of employees provided with free lodging and boarding facilities abroad,
the out-of-pocket expenses will be regulated as per the scales prescribed by Reserve
Bank of India from time to time.

6.4.2 Foreign exchange which is normally released at the airport at the time of
embarkation will not be treated as part of travelling expenses reimbursable by the
Company.

6.4.3 The employees of the Company who are deputed abroad for training under Colombo
Plan, UNDP Programme, Bilateral Agreements like PRG, EDF etc. will be paid a
non-refundable kit allowance of Rs. 1500 (Rupees one thousand & five hundred)
only towards preparatory pre-departure expenditure subject to fulfillment of the
following conditions:

i) The continuous duration of training abroad should be more than 30 days; and

ii) The employee concerned has not received such an allowance in the last three years.

POSOCO TRAVELLING ALLOWANCE RULES

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7.0 Entitlement during leave availed while on official tour
7.1 Under exceptional circumstances, leave (irrespective of its nature) can be allowed
to an employee on tour either before, after or during the tour by the Controlling
Officer. However, no Daily Allowance or other charges will be admissible during
such period of leave. Where an employee makes a de-tour for his own convenience
and with the prior approval of the Head of Department, the entitlement of TA/DA
etc. may be determined in each case on merits by the concerned Head of Department
subject to the condition that the same in no case shall exceed the amount that would
have been admissible had the journey been performed by shortest route between the
tour-station and Headquarters, limited to actuals.

8.0 Entitlement on transfer

8.1 In case of transfer of an employee in the Company's interest, the entitlements shall
be regulated as per the provisions contained hereinafter.

8.2 A transfer at the request of an employee will not be treated as a transfer in

Company's interest unless the authority sanctioning the transfer, for special reasons
which should be recorded, otherwise directs.

8.3 Journey Fare

8.3.1 An employee and members of his family will be entitled to travel by the same mode
and class of travel as on tour with reference to his level/pay range at the new station
of posting and will be entitled to single fare for self and each member of his family
as chargeable under the rule of the concerned carrier.

8.3.2 The fare will normally be admissible from the old station of posting to the new
station of posting. However, if the family of an employee travels to a station other
than his new place of posting, or travels from a station other than his old station of
posting, the fare to be allowed for such journey performed by the family shall be the
amount admissible for the distance between the new place of posting and the old
station of posting or the actual fare paid, whichever is less.

8.3.3 An employee’s family member who follows him within six months from the date of
the transfer or precedes him by not more than one month will be deemed to have
accompanied him.

8.3.4 If the family of an employee does not accompany and the employee undertakes a
journey prior/subsequent to his transfer for shifting his family, the employee will
have the option to claim TA for self either for the journey undertaken at the time of
actual transfer or journey undertaken at the time of shifting his family, subject to the
condition that the prior/subsequent journey is performed within one month or six
months respectively of the transfer.

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 Provided that in case of transfer to another RLDC/NLDC/CC, the aforesaid
limitation of six months will not apply in case of an employee who is compelled to
keep his family away from the place of positing because of non-availability of
family accommodation at the RLDC/NLDC/CC.

8.3.5 The above time limits of 1 month or 6 months, as applicable, may be extended by
the concerned Head of Division, in consultation with concerned Human Resources
Department, in individual cases attendant with special circumstances such as
education of children or illness of family members.

8.3.6 Subject to above, the provisions as contained in rule 5.1 will apply mutatis-mutandis
to such journeys.

8.4 Conveyance Charges

8.4.1 For journeys between Airport/Railway Station/Bus Stand and residence at the
previous Headquarters as well as at the new Headquarters, the conveyance charges
will be reimbursed in accordance with the provision contained in Rule 5.2 of these
Rules.

8.5 Daily Allowance

8.5.1 For journey period, an employee will be entitled to Daily Allowance for self and
each adult member of his family at full-rate and for member between the age of 3-
12 years at half rates as incidentals in accordance with sub-rule 5.3.11 subject to a
minimum of one Daily Allowance for each adult member and half daily allowance
to a child in the age group of 3 to less than 12 years.

Provided that if an employee performs journey in his own Car/Scooter, DA will be

paid as admissible for journey by Rail for the shortest route and duration.

8.6 Baggage Allowance

8.6.1 An employee will also be entitled to reimbursements of actual expenses of the
following kind subject to the limits as specified herein under:
i) Cost of transportation of his baggage by goods train up to the following maxima:

LEVEL ENTITLEMENT
Those in the levels of E5 & Full eight wheeler wagon or two containers,
above. wherever available. If transported by road,
actual hire charges for truck or twice the amount
as admissible for Goods Train whichever is less.
Those in the levels of E3-E4 Full eight wheeler wagon or two containers,
wherever available. If transported by road actual
hire charges for truck or amount admissible for
Goods Train, whichever is less.

POSOCO TRAVELLING ALLOWANCE RULES

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 Those in the levels of E2 to Full four-wheeler wagon/one container, wherever
W9/S3 available. If transported by road limited to
cost of transportation of 6000 kgs by Goods
Train.
Those in the levels of W8/S2 to 4000 kgs.
W4
Those in the levels of W3 & 2000 kgs.
below.

ii) Cost of transportation of his conveyance (one motor car or motorcycle or scooter or
moped or bicycle) by passenger train provided the same is necessary for the
performance of duties. However, there is no objection to an employee transporting
his conveyance on its own power, but the reimbursement will be limited only to the
amount admissible had it been transported by passenger train.

iii) Mileage Allowance @ Re.one per quintal per km subject to a minimum of Rs. 100/-
each way for carriage of personal effects (on the basis of actual weight) from
residence to railway station and vice-versa, provided that railway container service
has not been utilised or no reimbursement of hire charges for truck has been allowed,
as the case may be.

iv) Octroi duty, entry taxes, terminal taxes and insurance charges on house hold effects
and conveyance etc. subject to production of receipts.

8.6.2 An employee, who is not entitled to reimbursement of hire charges by truck, may
carry his personal effects by passenger train/road instead of goods train between the
points connected by rail, but the reimbursement will be restricted to the amount
admissible had he taken the maximum permissible baggage by goods train, subject
to actuals.

8.6.3 An employee, who is otherwise entitled to reimbursement of cost of transportation

of his conveyance by passenger train, may transport his conveyance by road,
goods/passenger train at his option but the reimbursement will be restricted to the
amount admissible, had he taken the conveyance by passenger train, subject to
actuals.

8.6.4 There is no objection to an employee who is not entitled to reimbursement of cost

of transportation of conveyance for transporting his conveyance and claiming
reimbursement of the expenditure involved, if the same is within the baggage
allowance limit as stipulated in sub-rule 8.6.1 (i).

8.7 Transfer Grant

8.7.1 An employee will be entitled to transfer grant equal to one month of his wage/salary
(Pay + Dearness Allowance) subject to a maximum of Rs. 10,000/- on fulfillment
of the following conditions:

POSOCO TRAVELLING ALLOWANCE RULES

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 i) The transfer is for a period of not less than one year;

ii) The transfer involves change of station of posting and residence;

iii) The transfer involves actual breaking and setting up of establishment;

iv) Company's accommodation in possession of the employee at the old station of his
posting is vacated; and

v) The employee is neither in receipt of HRA nor has been provided Company's leased
accommodation, for keeping his family at a station other than the new place of
posting.

8.8 Package Charges

8.8.1 An employee will be entitled to package charges for meeting expenses incurred on
packing of personal effects as under:

CATEGORY/GRADE AMOUNT (RS.)

All non-executive employees 2,000/-
Executives in the grades of E2 to E6 3,500/-
Executives in the grades of E7 & above 5,000/-

8.8.2 For claiming reimbursement of package charges, the employees concerned should
certify that they have incurred expenditure not less than their entitlement towards
packing of personal effects.

8.9 An employee who has availed facilities as in Rule 8.0 as baggage allowance,
transfer grant, package charges etc. and leaves the services of the company* within
one year of joining at the new place of posting shall be liable to refund the entire
amount paid to him under these Rules.

*(shall not include separation on account of superannuation or premature retirement

or death or termination in terms of service of contract.)

8.10 Transfer Pay Advance

8.10.1 An employee on transfer for a period of not less than one year may be allowed, in
addition to the advance towards TA, DA etc., an interest free advance not exceeding
two months' pay which will be recovered in twelve equal monthly instalments. The
recovery will start from the month following the month of joining the post at the
new headquarters or the month following the month in which advance is paid,
whichever is earlier.

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8.11 Joining Time
8.11.1 An employee under transfer will be allowed joining time comprising of preparation
time and journey time, at the following rates:

a) Preparation time of 7 (seven) days including Sunday and Holidays' and

b) Journey time of one day for each 800 kms or part thereof in case of rail journey, one
day for each 300 kms or part thereof in case of road journey where travel by rail is
not customary and actual time in case of air journey, subject to a minimum of one
day in either case, in case of positing within India. For posting abroad, actual journey
time by the commonly used shortest route will be admissible. Besides any enforced
stay/halt will also be admissible at the discretion of the Head of Department.
Provided, however, travel by road not exceeding 30 kms to and from the railway
station/airport at the beginning or at the end of journey will not count for joining
time.

8.11.2 Journey time is to be calculated by the shortest route. In exceptional cases, it may
be relaxed by the concerned Head of RLDC/NLDC, HOD at CC depending upon
the merits of each case up to a maximum period of two days.

8.11.3 If an employee receives the transfer order while availing leave at a place other than
his headquarters, he will be entitled to joining time as admissible for transfer from
his headquarters, unless the authority sanctioning the transfer, for special reasons,
which should be recorded, allows joining time, as admissible, for transfer from his
leave station.

8.11.4 Where due to exigencies of Company's work, an employee cannot be granted joining
time in full, he may be allowed to carry forward the un-availed portion of the same.
This period should be treated as Special Casual Leave without requiring any special
approval or order and must be availed within the same calendar year or six months
of joining at the new station, whichever is later.

In case of the employee on transfer has been permitted to retain family at the
previous place of posting, he may be allowed to carry forward the un-availed portion
of joining time upto one month beyond the expiry of permitted period.

8.11.5 Notwithstanding anything mentioned above, employees will not be entitled to any
preparation time in the following cases:

i) Local transfers whether those are inter-unit or intra-unit;

ii) If the transfer is at the request of any employee; and

iii) Temporary transfer for period not exceeding three months. In these cases,
employees will be entitled to bare journey time under these rules.

POSOCO TRAVELLING ALLOWANCE RULES

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8.11.6 If an employee overstays the joining time admissible to him under these rules, the
period of overstay will be treated as extra ordinary leave. However, the concerned
Head of NLDC/RLDC, HOD at CC may grant him leave of the kind due in such
cases on the merits of individual cases.

8.11.7 An employee on transfer, during the period of joining time, will be entitled to pay
and allowances which he would have received had he continued in his old post or
pay and allowances which he will receive on assuming charges of the new post,
whichever is more. This is irrespective of the fact whether he joins a new post either
at the same or a new station on relinquishing charges of his old post.

8.12 Transfer at the request of an employee

8.12.1 In case of transfer of an employee at his own request, the benefits admissible on
transfer will be the Journey Fare, Conveyance Charges, Daily Allowance, Transfer
Pay Advance and Journey Time. Provided that if the employee has put in at least 3
years of service at his existing place of posting he shall also be entitled to Baggage
Allowance, Package Charges, Transfer Grant, Setting in Allowance and Preparation
Time in addition to the above transfer benefits.

8.12.2 An employee who has been transferred to another place of posting at his own
request, has availed the facilities as in Rule 8.0, leaves the services of the company
within 6 months of joining at the new place of posting, shall be liable to refund the
entire amount paid to him under these Rules.

8.13 If both husband and wife, employed in the company and working at the same
headquarters, are transferred within six months to the same new headquarters, only
one of them shall be entitled to the benefits of Baggage Allowance, Transfer Grant,
Settling -in Allowance, Package Charges and Transfer Pay Advance. If the transfer
of one of the spouses takes place after six months of the other, the entitlements on
transfer will be regulated in accordance with rule 8.1 or 8.11 depending upon
whether the transfer is at the instance of the Company or at the employee's own
request.

8.14 Where a transfer initially made for a period of one year or more is subsequently
reduced to a period of less than one year, the transfer benefits allowed under the
foregoing provisions will not be changed to the dis-advantage of the employee. In
such a case when the employee is transferred again either to his old Headquarters or
a new Headquarters, his entitlement to transfer benefits will be regulated in
accordance with the foregoing provisions subject to the condition that no Transfer
Pay Advance shall be admissible to him.

8.15 Where the transfer of an employee initially made for a period of less than one year
is subsequently extended to a period of one year or more, he will be entitled to
Transfer Grant, but no Transfer Pay Advance, in addition to the transfer benefits, if
not already availed of by him.

POSOCO TRAVELLING ALLOWANCE RULES

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8.16 “Settling-in-Allowance” : An employee will be entitled to “ Settling-in-Allowance”
to the extent of one month salary (Basic Pay + DA) on fulfilment of following
conditions and subject to rule 8.9:

(i) The transfer is for a period of not less than one year.

(ii) The transfer involves change of residence of the employee, whether alone or with
family members.

(iii) The allowance will not be admissible if transfer of an employee is at own request
and has put in less than 03 years of service at the existing place of posting.

8.17 Utmost care shall be taken to avoid presence of employee at NLDC/RLDC/CC by

deciding his final place of posting well in advance. However, in order to expedite
the posting on transfer and also avoid hardship to employees, it has been decided
that in exceptional cases the transferred employee, if required to stay at
NLDC/RLDC/CC pending finalisation of his posting, may be treated as on tour for
a maximum of upto 5 days and paid TA/DA at the rate admissible while on tour,
with the specific approval of the Head of NLDC/RLDC / HOD at CC.

9.0 Entitlement for joining duty on fresh appointment

9.1 Subject to the provisions contained in rule 9.2 below, a person selected for
appointment in the services of Company including the appointment on deputation
terms will be entitled, for self and members of his family, to the following benefits
with reference to the grade and pay offered in the company for his joining duties on
fresh appointment :-

Category of Entitlement for

Candidates
joining Duty
Journey Fare Conveyance Daily Baggage
Charges Allowance Allowance
Candidates Admissible as in Admissible as Admissible Admissible as in
residing in India rule 5.1 subject to in rule 5.2 as in sub- rule 8.6 except
the condition that rule 5.3.11 8.6.1 (ii) subject
reimbursement of to maximum of
air fare will be full four wheeler
allowed to those wagon or two
joining in the containers
levels of E-8 and wherever
above only available
Candidates Air fare by Not admissible Not Not admissible
residing outside economy tourist admissible
India class upto the
Airport of

POSOCO TRAVELLING ALLOWANCE RULES

Page 256
 disembarkation in
India and Journey
fare from the
Airport to the
place of duty for
self and members
of the family as in
rule 5.1 subject to
the condition
mentioned above.

9.2 An employee who has availed the facility as in rule 9.1 leaves the services of the
Company within one or three years respectively of his joining POSOCO, shall be
liable to refund the entire amount paid to him under these rules.

9.3 The entitlement of Travelling Allowance and Joining Time in respect of a new
appointee, who is required to report at Corporate Centre for briefing etc. or is
temporarily posted for a period of less than six months at Corporate Centre, before
he is finally posted to any of the CC/NLDC/RLDCs of the Company at an out-
station, will be regulated as hereunder:-

9.3.1 Travelling Allowance

a) If family already brought to Journey Fare, Conveyance Charges, Daily
Corporate Centre Allowance and Baggage Allowance as in rule
9.1 from the last duty station/ residence to
Corporate Centre/Delhi and from the latter to
the place of regular posting.
b) If family stay at the last station Journey Fare, Conveyance Charges Daily
or at the some other place Allowance as in rule 9.1 from such place
where HRA for retention of to the place of regular posting
family is being drawn by him

9.3.2 Joining Time

Only bare journey time from Corporate Centre to the place of regular posting shall
be allowed. In case the employee has to undertake subsequent journey for the
purpose of shifting his family from Corporate Centre to the RLDCs on allotment of
family accommodation, he will be allowed actual travel time plus two days
preparation time inclusive of Sunday and Holidays.

9.4 A new appointee, who is required to report at Corporate Centre for briefing etc., or
is temporarily posted for a period of six months or more at Corporate Centre, before
he is finally posted to any of the RLDCs/NLDC of the Company at an out-station,
will be entitled to normal Transfer Travelling Allowance benefits including Joining
Time.

POSOCO TRAVELLING ALLOWANCE RULES

Page 257
9.5 Unless otherwise mentioned in the terms of deputation, a person selected for
appointment on deputation in the services of the Company will be entitled, for self
and members of his family, to the benefits in accordance with rule 9.1 for his joining
duties in the Company. On reversion to his parent department, he will be entitled to
similar benefits with reference to his rank and pay at the time reversion.

9.6 The entitlement of Travelling Allowance and Joining Time in respect of a

deputationist who is required to report at Corporate Centre for briefing etc. or is
temporarily posted for a period of less than six months at Corporate Centre, before
he is finally posted to any of the RLDCs/NLDC/CC the Company at an out-station,
will be regulated as mentioned in rule 9.3 with the exception that he shall be allowed
only one joining time as if he had joined directly from the last duty station while in
parent department to the place of regular posting in the Company via Corporate
Centre.

9.7 The entitlement of Transfer Travelling Allowance benefits including joining time in
respect of a deputationist, who is required to report at Corporate Centre for briefing
etc. or is temporarily posted for a period of six months or more at Corporate Centre,
before he is finally posted to any of the RLDCs/NLDC/CC of the Company at an
out-station, will be regulated as mentioned in rule 9.4.

9.8 If the family of a new appointee/deputationist does not accompany and he has to
undertake a subsequent journey for shifting his family, he will have the option to
claim TA for self either for the first journey or subsequent journey undertaken
subject to the condition that the subsequent journey is performed within six months
of his joining. Provided that aforesaid limitation of six months will not apply in case
of a new appointee/deputationist who is compelled to keep his family away from the
place of posting because of non-availability of family accommodation at such place
or due to his temporary posting at Corporate Centre for a few months before he is
finally posted to one of the RLDCs/NLDC/CC of the Company, where it is
specifically so mentioned in the offer of appointment/deputation.

9.8.1 The above time limit of six months may be extended by the concerned Head of
RLDC/NLDC, HOD at CC in consultation with concerned Human Resources
Department, in individual cases under special circumstances such as of education of
children or illness of family members.

10.0 Entitlement for long duration assignments

10.1 In case of long duration assignments, the entitlements of the employees deputed to
outstations in connection with Company's work will be regulated in terms of the
following provisions.

10.1.1 In case of duration up to 90 (ninety) days, the entitlement will be as on official tour
vide rule 5.0.

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Page 258
10.1.2 In case of duration extending beyond 90 (ninety) days and up to 180 (one hundred
and eighty) days and if the movement is treated as on tour in terms of sub-rule 5.3.1,
the entitlement will be regulated as such, subject to the condition that the Daily
Allowance will be paid at half the rate of the amount admissible under column (ii)
or (iv) as the case may be, of sub rule 5.3.2 (ii) irrespective of the place of stay.

Notwithstanding the above provision, actual accommodation charges limited to the

amount as per col. (iii) of sub rule 5.3.2 (i) ibid will be reimbursed, when composite
daily allowance is not claimed.

10.1.3 In case of duration beyond 180 (One hundred and eighty) days, the Headquarters of
the employee will be deemed to have been changed from his old station/place of
work to the new station/place of work and no Daily Allowance shall be admissible
at the outstation. However, he will have the option either (a) to retain his
establishment at the old station/place of work or (b) to transfer his establishment to
the new station/place of work.

10.1.4 Depending upon the option exercised by the employee he will be entitled to the
following:

a) In case of option under (a) above:

i) House Rent Allowance as would have been admissible to him at his old station/place
of work. In case an employee was provided with leased accommodation or
accommodation at the Company's township, the facility will continue to be extended
to him for the duration of his posting at the outstation;

ii) Reasonably furnished bachelor accommodation free of rent at the outstation; and

iii) For tour(s) undertaken to the old station/place of work, the Daily Allowance
admissible will be at the rate of 1/4th of the amount as in col. (iii) or (iv)of sub-rule
5.3.2 (ii) as applicable in addition to that for the period spent on journeys.

b) In case of option under (b) above:

i) Benefits as per entitlement on transfer as admissible under rule 8.0;

ii) House Rent Allowance or leased accommodation as applicable and as admissible

from time to time at the new station/place of work; and

iii) House Rent Allowance or leased accommodation or accommodation at the

Company's township provided at the old station/place of work shall cease to be
admissible from the date of effect of option exercised.

10.1.5 In case where the assignment initially, made for a period of more than 180 (one
hundred and eighty) days is subsequently reduced to a period of 180 (one hundred
and eighty) days or less, an employee shall not be entitled to any TA/DA etc. for
such reduced period of stay, but at the same time the transfer benefits originally

POSOCO TRAVELLING ALLOWANCE RULES

Page 259
 allowed, if any to him will not be changed to his disadvantage. If an assignment
made initially for a period not exceeding 180 (One hundred and eighty) days is later
extended beyond this period, the Daily Allowance already drawn upto the date of
issue of orders extending the assignment will not be adjusted from the transfer
benefits claim.

10.2 Entitlement on temporary assignments

Where an employee is required to move from his place of posting to another station
to take up an assignment for a period not exceeding two years and is required to
come back to his original place of posting on completion of the assignment
following provision shall be applicable:

i) The employee shall not be transferred, but shall be deputed to handle the designated
assignment temporarily for the specific period of duration of assignment.

ii) Employee shall be allowed the benefit of Company’s Accommodation/Leased

Accommodation/HRA at the existing Headquarter of posting for retention of his
family members.
And, employee will be provided with bachelor accommodation at the station of
assignment.

iii) In addition to above, the employee shall be entitled to the following:

a) For the duration employee remains at the station of temporary assignment, half of
DA (for food and incidentals) at the rate applicable at such station will be payable.

b) Reimbursement of conveyance charges as per clause 5.2 of Travelling Allowance

Rules.

11.0 Entitlement in case of retirement/death

11.1 A retiring employee will be entitled to the benefits except Transfer Pay Advance
under rule 8.10.1 and cost of transportation of his conveyance under sub-rule 8.6.1
(ii) as admissible to a serving employee of his status/pay range on transfer under
rule 8.0 for himself and members of his family for proceeding to home town or any
place in India where he intends to settle after retirement.

Provided, however, the cost of transportation of his conveyance will also be

reimbursed if the maintenance of the same was in Company's interest prior to his
retirement.

Further, transfer benefits consisting of baggage allowance, 1/3rd of transfer grant

and package charges under TA rules shall also be allowed to retiring employee/
family of the deceased employees in situation of settling down in last station of

POSOCO TRAVELLING ALLOWANCE RULES

Page 260
 posting and which involves change of residence i.e from company quarters, lease
accommodation (other than self-lease) or rented accommodation.

11.2.1 In case of death of an employee while in service, his family will be entitled to the
same benefits mutatis-mutandis as stated in rule 11.1

11.3 The amount with regard to the above benefits is, however, required to be drawn
within six months from the date of retirement/death, as the case may be, of an
employee.

12.0 Admissibility of Travelling Allowance for other journeys

12.1 The admissibility of Journey Fare, Conveyance Charges and Daily Allowance for
journeys performed by the employees for the following purpose shall be regulated
as under:

Sl.No Purpose of Journey Admissible of Remarks

Journey Conveyan Daily
Fare(Ref. ce Charges Allowanc
Rule 5.1) (Ref. Rule e (Ref.
5.2 Ref. (Rule
5.2)
1 2 3 4 5 6
I To appear in interview/ Admissibl Admissible Admissibl -
Departmental e e
examination
or selection test
conducted by the
Company.
II To participate in -do- -do- -do- -
sports/ cultural events
representing the
Company.
III To attend training -do- -do- -do- -
programme, seminar or
conference for which
the employee is
sponsored by the
Company
IV To receive National -do- -do- -do- -
Awards or Awards by
the Company
V For obligatory Medical -do- -do- -do- -
Examination

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 Sl.No Purpose of Journey Admissible of Remarks
Journey Conveyan Daily
Fare(Ref. ce Charges Allowanc
Rule 5.1) (Ref. Rule e (Ref.
5.2 Ref. (Rule
5.2)
1 2 3 4 5 6
VI To appear in Court or -do- -do- -do- Subject to
department enquiry as note
jury, assessor or below
witness, only for
Company’s work or
where Company’s
interest is involved
VII Recall from leave -do- -do- -do- -do-
before expiry of leave
VIII To proceed on tour -do -do- -do- -do-
from leave station
IX For medical treatment -do- Between Not -do-
of employee for his railway admissi
family members who station/bus
are entitled to free stand/
medical facilities airport and
residence
at
headquarte
rs as well
as at
outstation
including
journey to
consulting
(room)hos
pital and
back once
only.
X To attend training, Admissibl Between Not Subject to
Seminar or Conference e railway admissibl note
for which the employee station/bus e below
is not sponsored by the stand/
Company airport and
residence
at
headquarte
rs as well

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 Sl.No Purpose of Journey Admissible of Remarks
Journey Conveyan Daily
Fare(Ref. ce Charges Allowanc
Rule 5.1) (Ref. Rule e (Ref.
5.2 Ref. (Rule
5.2)
1 2 3 4 5 6
as at
outstation
XI Outside candidates
called for Interview:
(a) For the post in the level Admissibl Not Not From the
of E-8 and above e as for admissible admissib place of
Company le posting
employees residence
at S.No.1 in India to
of sub- Airport
rules 5.1.2 /rail head
and 5.1.3 nearest to
the place
of
Interview.
(b) For the posts in the Admissibl -do- -do- In case of
level of E3-E7 e as for candidates
Company residing
employees abroad the
at S.NO.3 fare will
(for E5 be
and admissible
above) from the
S.No:4 post of
(for E4 & disembark
E3) of ation in
sub-rule India
5.1.2 and
S.no. 2 of
sub-rule
5.1.3
(c ) For the posts below the Admissibl -do- -do- -do-
level of E3 Company e as for
Trainees Company
employees
at S.No. 6
of Sub-
rule 5.1.2
& S.No.4

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 Sl.No Purpose of Journey Admissible of Remarks
Journey Conveyan Daily
Fare(Ref. ce Charges Allowanc
Rule 5.1) (Ref. Rule e (Ref.
5.2 Ref. (Rule
5.2)
1 2 3 4 5 6
of Sub-
rule 5.1.3
XII SC/ST candidates -do- -do- -do- -do-
called for written
examination tests for
the post of Company
Trainees
Notes:

Sl. No: VI
a. Amount, if any, received from the court for attendance or boarding and lodging etc
is required to be refunded to the Company.
b. If departmental or vigilance enquiry is held at an outstation at the request of an
employee, no travelling allowance shall be admissible to him.

Sl. No: VII & VIII

a. Subject to specific approval of the concerned Head of the NLDC/RLDC, HOD at
CC.
b. From the place of leave station within India. In case of leave station being outside
India, the travelling allowance will be admissible from the rail head/ port of
disembarkation within India nearest to the country visited.

Sl. No: IX
a. Only on the advice of Company’s Authorised Medical Officer.
b. In addition, TA for one escort will also be admissible if so recommended by
Company’s Authorised Medical Officer. TA for two escorts in case dependent
infants/ children (i.e 12 years of age) of the employee concerned are referred to
outside hospital by Authorised Medical Officer for medical treatment subject to
specific recommendations of Authorised Medical Officer to the effect that
considering the age, ailments etc. of the child concerned, presence of two escort is
essential.

Sl. No: X
At the discretion of the concerned Head of NLDC/RLDC, HOD at CC provided the
employee’s participation is considered useful to the Company by him.

12.2 Where prosecution of an employee arises out of acts committed or purported to be

committed in the bonafide execution of duties and the employee is consequently

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 required to appear in the Court as an accused, reimbursement of Journey Fare and
Daily Allowance at composite rate, as admissible on tour may be allowed to him
for the journey performed between his place of posting and the place where Court
proceedings are being held.

For employees posted in Powers to be exercised by

i) NLDC/RLDCs Head of the NLDC/RLDCs
ii) Corporate Centre GM of the Deptt. Concerned

13.0 Advance
13.1 An employee proceeding on official tours and other journeys as stated in rule 12.0
may be granted an advance to meet the expenses towards Travelling Allowance as
per his entitlement to the tune of 100% of the anticipated fares for journey (s) and
90% of anticipated amount towards Daily Allowance and Conveyance Charges for
a duration not exceeding 30 days at one time. The request for advance should be
made on the prescribed form, duly countersigned by the Controlling Officer.

13.2 An employee proceeding on transfer may be granted an advance to meet the

expenses on transfer to the extent of 100% of the anticipated fares for journey of the
employee and his family members, Transfer Grant and Transfer-Pay-Advance and
90% of the amount towards Daily Allowance, Conveyance Charges and Baggage
Allowance. The request for advance should be made on the prescribed form, duly
countersigned by the Controlling Officer.

13.3 In case of advances covered under rules 13.1 & 13.2, the advance towards Journey
Fare, Conveyance Charges and Daily Allowance may be drawn within a period not
exceeding 30 (thirty) and 60 (sixty) days respectively before the proposed date of
the journey but shall have to be refunded forthwith if the employee is not able to
produce documentary evidence to show that the amount of advance has been utilised
for the purchase of tickets within 15 days of the drawal of the advance. For advances
covered under Rule 13.2, the advance towards Transfer Grant, Transfer-Pay-
Advance and Baggage Allowance may be drawn within a period not exceeding 10
(ten) days before the proposed date of journey.

13.4 An account of advance under this rule shall be rendered by the employee
immediately after the completion of the journey and in no case later than 30 (thirty)
days from the date of completion of return journey, wherever applicable.

13.5 An employee shall not be granted an advance towards Travelling Allowance under
these rules, if he has failed to render the account of advance (s) earlier drawn by
him, except with the approval of Head of NLDC/RLDC , HOD at CC in each case.

13.6 In case of failure to produce the documentary evidence/account of advances as

required under rule 13.3/13.4, the advance sanctioned shall be recovered from the
employee's salary and/or otherwise.

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14.0 Claims for Travelling Allowance
14.1 Claims for reimbursement of Travelling Allowance in all cases will be entertained
only on completion of the return journey, wherever applicable.

14.2 Claims for reimbursement of Journey Fare (other than 2nd class rail fare) and
Baggage Allowance wherever applicable, must be supported with adequate proof of
the amount of expenditure incurred such as original rail ticket number/money
receipt/ticket folder (in case of Air journey).In the event of failure to produce
original ticket in case of travel by rail, the journey fare shall be restricted to 2nd
class rail fare.

14.3 All claims for journey undertaken under these rules should be preferred in the
prescribed proforma within the time limit of 30 (thirty) days as prescribed in rule
13.4, duly countersigned by the Controlling Officer.

14.4 Claims for reimbursement of Travelling Allowance not preferred within three
months from the date of completion of return journey, wherever applicable, will
not be entertained normally except with the special approval of Head of
NLDC/RLDC, HOD at CC when he is satisfied that non-submission of the claim
on the part of an employee was due to reasons beyond his control. No claim
submitted after the expiry of the period of six months from the date of return
journey, wherever applicable, will be entertained and the same shall stand forfeited.

POSOCO TRAVELLING ALLOWANCE RULES

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 CHAPTER-II

15.0 Scope
15.1 The provisions of this chapter shall apply to local journeys performed by the
employees in connection with the Company's work as provided hereinafter, but shall
not apply to local journey performed by Company's Trainees in connection with
their training at their Headquarters.
16.0 Definitions
16.1 In this chapter, unless the context otherwise requires;
16.2 "Local Journey" means any journey performed by an employee in connection with
Company's work within a radius of 30 kms from the Headquarters or within
Municipal Limits of the Headquarters, whichever is more.

16.3 "Local Travelling Expenditure" means the expenses incurred by an employee on

local journeys and includes Conveyance Charges and expenditure on lunch, snacks,
tea etc.

16.4 The other terms used in this chapter will have the same meaning as assigned to them
under rule 4.0 of Chapter-I.

17.0 Entitlement
17.1 An employee will be entitled to the reimbursement of Local Travelling Expenditure
as per scales laid down below.

17.2 Conveyance Charges

17.2.1 The reimbursement of Conveyance Charges for journeys performed by the
employees of various pay scales/pay ranges by different means of transport shall be
by the shortest route and as per the following entitlement, subject to actual.

17.2.2 Nature of Entitlement

(i) By Rail
S.No: Level/Pay Range Class of travel
(1) (2) (3)
(A) Employees :
1. Those in the levels of E7 and ACC I Class
above
2. Those in the Level of E6 AC II Tier

3. Those in the level of E4-E5 I Class/AC II Tier

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 S.No: Level/Pay Range Class of travel
(1) (2) (3)
4. Those in the levels of E3 and I Class/AC II Tier
below, All Supervisors and
Workmen in the levels W7 &
above.
5. W6 & below. AC-III Tier
B) Trainees
6. Executive Trainee/ Asst. Eng. I Class/ II Class AC sleeper
Trainee/ Assistant Officer
Trainee
7. Supervisor/ Diploma Trainee II Class
C) Daily rated/ Muster Roll etc
employee
8. All Pay ranges II Class

(ii) By Road
S.No: Level/ Pay Range (Rs.) Entitled Mode & Class of
Travel (Rs.)
(a) Employees
1 Those in the pay scale E7 and Actual Taxi Fare
above
2 Those in the pay scale of E6 Actual Taxi Fare
3 Those in the pay scale of E5-E4 Actual Taxi Fare
4 Those in the pay scale of E3 All Actual charges by three
Supervisors and Workmen in the wheeler or fare of a single
levels W7 & above seat in taxi where availed
limited to Rs.3.60/km in the
latter case.
5. W0 to W6 Actual bus fare where no bus
plies, actual charges by other
means like tonga, rickshaw
etc. restricted to
Rs.3.60/Km.
(b) Trainees
6. Executive Actual Charges by three
wheeler or fare of a single
seat in taxi, where availed
limited to Rs.3.60/Km in the
latter case.
7. Non- Executives Actual Bus fare, where no
bus plies actual charges by
other means like tongas,
rickshaw etc restricted to
Rs3.60/ Km.

POSOCO TRAVELLING ALLOWANCE RULES

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 S.No: Level/ Pay Range (Rs.) Entitled Mode & Class of
Travel (Rs.)
(c) Daily Rated/ Muster Roll
8. All Pay Ranges Actual Bus fare, where no
bus plies actual charges by
other means like tongas,
rickshaw etc restricted to
Rs.3.60/ Km.

17.2.3 For journeys to place within Municipal Limits of the Headquarters, an employee
may choose either of the mode of travel namely rail or road depending upon his
convenience; but for journeys to places outside such Municipal Limits which are
connected by rail, the same should be undertaken by rail only and if the journeys are
performed by road between such places, the reimbursement will be restricted to rail
fare as per entitlement, even though the place of visit falls within a radius of 30 kms
from the Headquarters. However, Self-Controlling Officers may undertake the
journey between such places by road in exceptional circumstances at their discretion
and the reimbursement will be allowed accordingly.

17.2.4 Charges for waiting/halting of taxi/three wheeler, where unavoidable, will also be
reimbursable at the discretion of concerned Head of Department.

17.2.5 When journey is performed by an employee in his own car/scooter/motor cycle,

reimbursement will be allowed @ Rs.6.10/Km for travel by car, if entitled for full
taxi; otherwise Rs.3.60/Km for travel by scooter/motor cycle, subject to the
restrictions as contained in sub-rule 17.2.3.

Provided, however, an employee who is in receipt of monthly reimbursement of

conveyance expenditure or any other assistance/reimbursement under the rules of
the Company, will be entitled for reimbursement of Conveyance Charges only when
the distance covered in such official journeys is in excess of the prescribed mileage
over a specified period, as per the rates indicated above.

17.2.6 When the journey, performed within municipal limits, commences from and/or
terminates at the residence of an employees, he will be reimbursed actual
conveyance charges or the charges which would have been payable from the
office/place of work to the place visited, under sub-rule 17.2.2, whichever is lower.
In case of journeys to outside municipal limits, actual Conveyance Charges as
admissible under sub-rule 17.2.2 will be reimbursed.

Provided, however, if an employee is deputed to a place other than the office/place

of work on holiday, and the journey commences from and ends at the residence of
the employee, he will be allowed Conveyance Charges from his residence to the
place where deputed and back as admissible under sub-rule 17.2.2.

POSOCO TRAVELLING ALLOWANCE RULES

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17.2.7 If an employee is required to attend to his duties on any holiday, he would be
reimbursed, with the approval of the concerned Head of Department, Conveyance
Charges from his residence to the office/place of work and back as admissible under
sub-rule 17.2.2, provided he is not in receipt of assistance/compensation of any
nature whatsoever for working on such holidays and/or coming to and going back
from the office/place of work.

17.2.8 If an employee is detained for official work beyond 9 p.m. he would be reimbursed,
with the approval of the concerned Head of Department, Conveyance Charges from
the office/place of work to residence as admissible under sub-rule 17.2.2 provided
he is not in receipt of assistance/compensation of any nature whatsoever for working
beyond normal duty hours and/or for coming to and going back from the office/place
of work.

17.2.9. The concerned Head of Department may permit travel by mode higher than the
entitlement of an employee as specified in sub-rule 17.2.2 in the following
exceptional cases:

i) In case of journey commencing from the office/place of work; outward journey only,
when an employee is required to perform the same on an urgent basis;

ii) In case where an employee is directed to perform the official work on urgent basis
on his way from residence to office/place of work, for the portion of journey from
the place of visit to office/place of work; and

iii) When the journeys are performed during odd hours and the public transport/entitled
mode of transport is not available during such hours.

17.2.10 The concerned Head of RLDC/NLDC, HOD at CC shall have the powers to permit
an employee to travel by a mode higher than his entitlement in other special
circumstances on merits of individual cases.

17.3 Reimbursement of expenditure on lunch, snacks, tea etc.

17.3.1 An employee who performs local journey in connection with the Company's work
to places beyond a radius of 8 kms. from his office/place of work will be entitled to
reimbursement of expenditure on account of lunch, snacks, tea etc. at the rates
specified hereunder, provided such absence is for more than 5 hours on a day.

POSOCO TRAVELLING ALLOWANCE RULES

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 S.NO LEVEL/PAY RANGE(RS.) RATE OF
REIMBURSEMENT
(RS.)
(A) EMPLOYEES
1. Those in the level of E4 and 20
above
2. Those in the level of E3 and 20
below & All Supervisors and
Workmen in levels W7 &
above.
3. W6 & below. 20
(B) TRAINEES
4. Trainees in Executive 20
Category
5. Trainees in Supervisory & 20
Workmen Categories
(C ) DAILY RATED/MUSTER ROLL ETC
EMPLOYEES
6. All Pay range 20

17.3.2 An employee who performs local journey shall return to the Headquarters on the
same day immediately after work is over. However, in exceptional cases if the
employee is required to stay overnight, due to lack of availability of transport or the
nature of work being such that it could not be completed on the same day, he will
be paid Daily Allowance in accordance with the relevant provisions contained in
rule 5.3, subject to the approval of the concerned Head of NLDC/RLDC, HOD at
CC.

17.4 The rate of reimbursement for road journey as indicated in sub-rules 17.2.2 and
17.2.5 and on account of lunch, snacks and tea etc. as indicated in sub-rule 17.3.1
may be reviewed once in two years by the Chairman & Managing Director, who
shall have the powers to increase/decrease the rates subject to the maximum
variation or 20% of the prevailing rates on one such occasion, keeping in view the
increase/decrease in prices of petroleum products, eatables and other relevant
factors.

17.5 Advance
17.5.1 No advance shall be admissible to meet the likely expenditure in connection with the
local journey.

17.6 Claim
17.6.1 For all the journeys performed in a week, a single claim for reimbursement should be
preferred.

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17.6.2 Every claim should be preferred in the prescribed proforma, duly countersigned by
the Controlling Officer, within a period not exceeding two months from the date of
completion of the journey (s), beyond which it will not be entertained normally.
However, the concerned Head of NLDC/RLDC, HOD at CC may relax the time limit
for a further period of one month at his discretion in deserving cases. No claim shall
be entertained after expiry of the period of three months from the date of completion
of journey and the same shall stand forfeited.

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 CHAPTER - III

18.0 Scope
18.1 The extent of application of the provisions contained in Chapters I and II in relation
to Muster-roll, Daily-Rated, Casual, or Substitute employee shall be as follows:

18.1.1 Muster-roll, Daily-Rated, Casual, Badli or Substitute employees shall not be sent on
official tours covered under rule 5.0, except under special and unavoidable
circumstances and with the approval of concerned Head of NLDC/RLDC, HOD at
CC in each individual cases.

18.1.2 When the employees referred to in rule 18.1 are sent on tour as above, the provision
contained in Rule 5.0 and 7.0 will apply mutatis-mutandis.

18.1.3 If an employee covered in rule 18.1 is selected for appointment/deployed to a post at

another RLDC/NLDC/CC of the Corporation at outstation, he will be entitled to
Journey Fare, Conveyance Charges, Daily Allowance and bare Journey Time for
joining his post at the new station in accordance with the provisions contained in rule
8.0. No Baggage Allowance, Transfer Grant, Transfer Pay Advance and preparation
time shall be admissible to him.

18.1.4 The provisions of rule 12.1 (ii), 13.0, 14.0 of Chapter I and entire chapter II shall also
be applicable to employees covered under rule 18.1.

18.1.5 The Chairman and Managing Director will have the powers to extend the application
of other provisions of those rules to the employees covered in rule 18.1.

POSOCO TRAVELLING ALLOWANCE RULES

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 CHAPTER – IV

RULES RELATING TO DA DURING FOREIGN TOUR

19.0 Release of foreign exchange on business travel abroad

19.1 Consequent to the revision of per diem ceiling of Daily Allowance (DA) for business
visits abroad w.e.f. 16th August, 1994 by RBI vide their circular dated 6th August,
1994, a three tier rate of DA were introduced in November, 1994. The revised
approved rates for business visits upto a duration of 30 days are as follows:
Sl.No: LEVEL Rate (US $ PER DAY)
i) Above ED level 500
ii) For GMs & ED 350
iii) For Sr. DGMs & below 300

For period exceeding 30 days, 75% of the above rates shall be applicable.

19.2 The period of deputation for release of DA will be restricted to actual duration of
the approved visit (excluding journey time but including intervening holidays).
However, stopovers etc. in case of visits to more than one country during the foreign
deputation shall be duly considered based on the information available/furnished
while obtaining approval of the Competent Authority.

20.0 Release of exchange for deputation for International

Conferences/Seminars/Workshops
20.1 The release of DA for attending international conferences/seminars/workshops is to
be regulated on the same rates as indicated at para 19.1 above.
21.0 Release of foreign exchange for specialised training/study tours
Release of foreign exchange shall be regulated as under:

S.No Period Rate (US $ Per Day)

i) For first 15 days 300
ii) For next 15 days 250
iii) For balance period of training 200
duration subject to RBI approval

22.0 Release of foreign exchange during business tours/training where

boarding/lodging is fully borne by the sponsor/agency abroad

Incidentals @ US $ 50 per day for a maximum period of 45 days in case of Business

visits/Conferences/Seminars and for a maximum period of 30 days in case of
Specialised Training/Study Tour.

POSOCO TRAVELLING ALLOWANCE RULES

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23.0 Release of foreign exchange when either lodging or boarding is borne by the
sponsor/agency abroad.

23.1 DA rates for visits when Lodging is borne by Foreign Sponsor

60% of the consolidated entitlement depending upon the nature of visit, viz.
Business/Conference/Seminars/Specialised Training/Study Tour.

23.2 DA Rates for visits when Boarding is borne by Foreign Sponsor.

The consolidated DA rate as applicable depending upon the nature of visit to be
reduced by the amount of DA for food as notified by Government of India, Ministry
of External Affairs for various countries from time to time.

23.3 The permitted period for various deputation shall be governed as per the ceilings
prescribed by RBI guidelines issued from time to time.

24.0 Release of foreign exchange for visit to Nepal/Bhutan

The DA rates for visits to Nepal/Bhutan as assignment other than consultancy
assignment shall be regulated as follows:

Level DA Per Day Transport Hotel

CMD & US $ 50 Actual As per
Director entitlement
in India
ED&GMs US$ 40 Actual -do-
Below GM US$ 30 Limited to US $10 -do-
per day

All payments shall be released in Indian Rupees.

25.0 Procedure for rendering account on return from tour abroad

25.1 The employees will get DA in terms of Para 19, 20, 21, 22, 23 & 24 above.

25.2 The competent of Daily Allowance (for food) would be in accordance with the
Ministry of External Affairs Order, issued from time to time, for various countries.

25.3 Expenses on Hotel Accommodation incurred by the employee abroad will have to
be supported by bill/receipt. However, in case the employee does not submit a hotel
receipt, he may be allowed 20% of the admissible rate of consolidated DA on the
basis of certificate submitted by the employee.

POSOCO TRAVELLING ALLOWANCE RULES

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25.4 The account of the other expenses like Local Conveyance, Communication and
other contingent expenditure will be rendered and settled on the basis of expenditure
incurred by the employee based on certification by the employee concerned subject
to following limits:
i) Local Not to exceed 35% of the consolidated TA/DA
Conveyance as per Entitlement
ii) Communication Not to exceed 10% of the consolidated
Expenditure TA/DA as per entitlement
(Telephone, Fax
etc.)
iii) Other Not to exceed 10% of the consolidated
contingent TA/DA as per entitlement
expenditure

25.5 On return the employee concerned would submit a consolidated TA bill accounting
for various expenses including Daily Allowance as admissible under para 19 to 24
above. Any surplus calculation of expenditure incurred would be refunded to
Company.

25.6 The Officers visiting abroad on consultancy assignment shall be governed by

specific rates as separately approved for each Project/Contract by the Competent
Authority.

26.0 All cases of foreign deputation including those to Nepal/Bhutan shall be approved
by CMD.

27.0 The release of foreign exchange shall be made by Corporate Finance in all cases of
foreign deputation after approval of Competent Authority. These travel formalities
shall be made by Corporate HR Group.

POSOCO TRAVELLING ALLOWANCE RULES

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 CHAPTER-V

28.0 General
28.1 Unless otherwise specified, relaxations any nature as provided under these rules can
be approved by the next higher authority only, in respect of Self Controlling
Officers.

28.2. All claims for Travelling Allowance/Local Travelling Expenditure under these rules
are to be preferred with respect to the material facts as regards pay/rank existing at
the time when the journeys were undertaken.

28.3 In no circumstances, arrear payment/recovery will be made/effected due to

increase/decrease in pay for any reason whatsoever subsequent to the submission of
claims.

28.4 The Chairman & Managing Director shall be empowered to make changes in
procedure and amendments to these rules or any relaxation which is of minor nature.

28.5 In case of any doubt in regard to interpretation of any of the provisions of these
rules, the matter will be referred to the Chairman and Managing Director whose
decision shall be final.

Reference:
(1) Corporate HR IOM dated 05.03.2018 (TA/ DA Rates in respect of Board Level
Executives)
(2) Corporate HR Circular No. 5/2018 dated 21.03.2018 (Revision in Accommodation
Charges under Travelling Allowance -TA Rules)
(3) Corporate HR Circular No. 28/2018 dated 08.10.2018 (Revision in Journey Entitlement
of Executives upto the Level of E5)

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LEAVE TRAVEL
CONCESSION
RULES

Page 286
 POSOCO LEAVE TRAVEL CONCESSION RULES

1.0 Short Title

These rules shall be called "POSOCO Leave Travel Concession Rules".

2.0 Definitions
In these rules, unless the context otherwise requires:-
2.1 "Block/Block Years" means a set of two calendar years commencing from 1986-
87.

2.2 "Company/Corporation" means the Power System Operation Corporation

Limited.

2.3 "Competent Authority" means the authority empowered to sanction LTC as

stated in the Delegation of Powers issued by the Management from time to time.

2.4 "Employee" means a person employed in the regular establishment of the

Company and includes:-

i) A probationer;

ii) A person appointed on contract for a period of two years or more;

iii) A lien holder; and

iv) A deputationist on foreign service terms, unless the terms of deputation provide
otherwise;

But does not include :-

i) a Muster Roll, Daily Rated, Casual, Badli or substitute employee;

ii) a person appointed on contract for a period of less than two years; and

iii) an apprentice/a trainee.

2.5 "Entitled Class" means the class and mode of travel as applicable to employees
as per Travelling Allowance Rules of Company subject to the condition that travel
by air or 1st Class AC by rail will be permissible to employees in the grade of E6
and above.

2.6 “Family” means an employee’s spouse (only one) and only two legitimate
surviving children (including step children and legally adopted children), below
25 years, and parents or Parents-in-Laws in case of female employees, subject to
member being dependent on the employee. The restriction regarding number of

LEAVE TRAVEL CONCESSION RULES

Page 287
 children shall not apply in respect of existing employees (to be reckoned from the
date of respective pay revision order) who are availing the facility of LTC for
existing number of children. However, the restriction of age i.e. 25 years shall
apply to the existing children except in case of unmarried daughter where the age
limit shall be 30 years. Further, the restriction of 25 years for dependent children
will not be applicable for physically handicapped children or mentally retarded
children dependent on the employee.

The Parents of a deceased employee shall continue to be treated as dependant of

widow of the deceased employee who has got employment in POSOCO on
compassionate ground. Consequently, the parents of the widow of the deceased
employee will not be treated as dependant.

The LTC facility will be admissible to childless employee belonging to Muslim or

Christian community in respect of one child only provided the employee has been
give the legal guardianship of the child by Competent Court of Law, subject to
restriction of age as defined above.

2.6.1 However, till such time the Company's special facility of housing/house rent
allowance for retention of family at a place other than the place of posting of the
employee is in existence, the condition of 'residing with the employee' will not be
essential for such employees as are allowed to retain their family under the
provisions of such special facility.

2.6.2 Legitimate children include the children of the spouse from a previous marriage,
where the same was dissolved due to legal divorce or death of the other party to
such marriage.

2.6.3 The criterion for judging the dependency or otherwise of a family member of an
employee will be the monthly income of the concerned family member. A family
member will be deemed to be dependent upon the employee if his/her income
from all sources is not more than Rs. 6000/- per month. In case of parents, the
income of both father and mother jointly will be taken into account for this
purpose. .

2.6.4 Where both husband and wife are employed in the Company, the dependent
parents of either of the spouses may be treated, at their option, as parents for the
purpose of these rules.

2.7 "Headquarters" means the normal place of duty of an employee at the time of
the outward journey. In case of an employee deputed for training within India, or
abroad, the Headquarters will mean the place of duty from where the employee
proceeded on training. However, if his Headquarters during training have been
changed to the place of training in India for the purpose of travelling allowance,
the same will be treated as Headquarters for the purpose of LTC as well.

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2.8 “Home Town” means the place in India declared as such by the employee where
the employee himself was, or his near relations such as parents, brothers, sisters
are resident or where the employee has got immovable property.

2.8.1 Where the employee or the family, of which he is a member, owns residential or
landed property at more than one place, it is left to the employee to make a choice
for Home Town giving reasons for the same provided that the decision of the
Competent Authority whether or not to accept such a place as the Home Town of
the employee shall be final.

2.8.2 If an employee does not have any immovable property anywhere nor does any of
his near relations live anywhere, he can declare any place in India as his home
town.
2.8.3 A declaration of Home Town once made shall ordinarily be treated as final, but
the Competent Authority in consultation with the concerned HR Department may
allow a change in the declaration provided that such a change shall not be allowed
more than once during the entire service of an employee.
2.9 "Management" means the Board of Directors and if authorised by the Board, the
Chairman and Managing Director of the Company for the purpose of these rules.
2.10 "Shortest route" means the route which is shortest in terms of distance.

2.10.1 Keeping in view the locations of various destinations, availability of various

modes of transport and other relevant factors, the Chairman and Managing
Director may declare from time to time specific routes, which though not shortest,
will be deemed to be the shortest routes for the purpose of these rules.

3.0 Nature and Extent of Concession

3.1 The entitlement for first block of an employee on joining the service of the
Company will be reckoned from the block in which he completes one year's
continuous service.

3.2 The services put in by deputationists in the Company and who subsequently get
absorbed will be treated as a continuous one for the purpose of these rules and the
fulfilment of the condition regarding one year's continuous service after
absorption will not be necessary in their case provided that they had not availed of
similar facility for the same/corresponding block years either in their parent
organisation or in the Company, while on deputation. The entitlement for block
years of a deputationist on absorption will be reckoned in the following manner:-

3.2.1 The entitlement for first block of an erstwhile deputationist on absorption in the
service of the Company will be reckoned from the block in which his date of
absorption falls, except in a case where he is getting absorbed in the first calendar
year of his parent department block years against which he has already availed of
LTC facility, either in his parent organisation or in the Company, while on
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 deputation. In such a case, his entitlement for first block will be reckoned from the
block following the calendar year in which he gets absorbed.

3.2.2 In case his parent department block years happen to coincide with POSOCO block
years, the same will remain unchanged after absorption. In case his parent
department block years do not so coincide, the same will be the ones he would
have been entitled to, had he been allowed to avail of LTC facilities, while on
deputation, under POSOCO Rules. In other words such an employee will not be
allowed to continue with his parent department block years as personal to him.

3.2.3 It is not the intention of the provisions under sub-rule 3.3.2 to allow an erstwhile
deputationist to carry forward of the un-availed LTC of parent department.

3.4 Nature of Entitlement

Place of visit Entitlement Remarks

SUB-RULE 'A'
In one block : For self & family
Home Town By the shortest route

Or
Distance upto 1800 kms By any route
Or
Distance upto1400 kms By any route on the
basis of Certification

AND
In another block: By the shortest route
Home Town
Or
Anywhere in India By shortest route
Or
Distance upto 1800 kms By any route
Or
Distance upto 1400 Kms By any route on the
basis of
certification

SUB-RULE 'B'
Every year Home Town For self alone By the shortest route
and provided that
his family is living
at a different station

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 Place of visit Entitlement Remarks
which is away from
his place of work.
*Note
LTC will constitute part of “Cafeteria Approach” and will be within the
35% of revised basic pay of perks & allowance w.e.f 26.11.2008. For the
purpose of LTC, 10% of revised basic pay will be allowed. “ Encashment
for a distance upto 1800 kms” or “monthly monetary value of LTC as per
actuals” whichever is lower shall be adjusted against payments under the
“cafeteria”

With effect from 01.01.2010 for the block year 2010-11 and onwards, LTC
shall form of the “Cafeteria” for other perquisite and allowances. For
claiming Income Tax benefit vouchers pertaining to the journeys
undertaken for the applicable block year may be submitted within the
relevant financial.

Employees may prefer LTC claims in respect of part of the family members on
production of documents proof of travel while in respect of remaining family
members, LTC Claims may be preferred on the basis of certification in the same
block, if so desired. The entitled family members shall be as under respective
rules and there will be no change in that.

Employees may claim LTC as per any of the above options for full or part of the
family members subject to maximum of three groups.

3.4.1B Scheme for reimbursements of LTC expenditure for claiming Tax Benefit on the
basis of certification in the prescribed form, up to a distance of 1400 kms each
way in India.

(i) An eligible employee may be allowed to claim Tax Benefit of LTC expenditure,
on the basis of a certificate in the prescribed form, for himself and his family
members, once in a block of two years for visiting any place in India on LTC from
his Headquarters upto a distance of 1400 kms each way.

(ii) The terms and conditions governing the reimbursement of LTC expenditure under
this 1400 kms. scheme would be as under :

(a) Family, for this purpose, would mean the employee’s spouse residing with him,
legitimate children (including step children and legally adopted children) and
parents only subject to twin conditions of children’s/parent’s residing with and
dependent on the employee, as under the existing rules.

(b) This facility can be availed of by an eligible employee provided his period of
absence from his place of duty is for a minimum duration of 7 days on account of

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 leave, coupled with the intervening holidays and holidays prefixed/suffixed, if
any.

(c) For computation of the amount admissible, it would be limited to AC II Tier for
those entitled to travel by AC II Tier/AC I Class/Air and AC III Tier for others.

(d) The block/block years will continue to be the same as under the existing rules.

(e) Employees will be entitled to reimbursement of LTC expenditure for two block
years, wherever admissible, together at a time. This clubbing will be admissible
only in the second block if no reimbursement of LTC expenditure has been
claimed for the immediate previous block.

(f) All other terms and conditions governing the existing LTC Rules shall apply
mutatis-mutandis.

(iii) Every claim should be preferred in the prescribed form within the time limit of
three months. The three months period would be reckoned from the
commencement of the period of absence of the employee concerned.

3.4.2 Notwithstanding anything contained above, the LTC entitlement of an employee,

who becomes eligible for the concession for the first time and chooses to avail the
same under Sub-Rule A, shall be Home Town/ 1800 kms/ 1400 Kms only.

3.5 For those eligible employees who have been allowed to retain family at places
other than headquarters of the employee in India, employee and their family shall
be allowed LTC facility from the place of their stay or the employee’s
headquarters as per choice of employee.

3.5.1 Employees and their family members claiming LTC under 1800 Kms scheme
either jointly or separately may commence and /or terminate their journey from
anywhere in India subject to total reimbursement being restricted to 1800 Kms
one way.

3.6 An employee availing the concession under sub-rule 'B' may be allowed change
from the same to that of sub-rule 'A' or vice-versa only on completion of a block.
3.7 Except for journeys availed under the 1800 kms. Scheme, the reimbursement for
LTC journeys will be limited to the fare by the shortest route only. In case of
disruption of shortest route owing to accidents or other causes, the Competent
Authority may at his discretion, allow reimbursement by the actual route used.

3.8 Employees may be allowed the facility of reimbursement of split ticket for one
break journey one way only.

3.9 If an employee and/or his family performs the journey or a portion by a class
higher/lower than his entitlement, while travelling by rail/air, the reimbursement
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 of the expenditure upto a maximum of the fare by the entitled class for both
outward and return journeys may be allowed subject to actual journey fare.
However, portion of the journey performed by the road shall be excluded while
calculating fare of the entitled class and the same will be regulated as per
entitlement under TA Rules. (i.e. entitlement for travel by road).

3.10 The concession is admissible for journeys to places connected by rail as well as
between places partly connected/not connected by rail subject to the limits laid
down in sub-rule 3.4.1.

3.10.1 For places connected by rail, the journey may be undertaken by any other mode of
transport or halt anywhere on the way provided prior sanction of the Competent
Authority is obtained; but the reimbursement shall be limited to the fare as
admissible under rules.

3.10.2 For places which are not connected by rail but which are connected with the
railway system by road or by transport or steamer service which is not owned by
the railway, the concession will be admissible for the journey by rail as well as the
portion of the journey by road or steamer. In the latter case, reimbursement will be
made of actual expenses incurred on the journey from the nearest rail head to the
Home Town or place of visit or vice-versa limited to those admissible under the
Travelling Allowance Rules.

3.11 There is no objection to an employee or his family availing of any concessional

journey tickets announced by the Railway authorities e.g. seasonal concession,
students concession, circular trip etc. in conjunction with the leave travel
concession.
3.12 Charges such as sleeper charges, super fast train surcharge, reservation charges,
telegram charges by Railways/Airlines for booking of tickets are also
reimbursable.

3.12.1 In exceptional cases, cancellation charges may be reimbursed at the discretion of

the Competent Authority, where the journey is not undertaken by an employee due
to official reasons or any mishap in the family.
3.13 The LTC journey may be performed by an employee and members of his family
in a private car owned by him subject to prior permission of the Competent
Authority, but travel in a private car not owned by him is not permissible under
these rules.

3.13.1. For journeys undertaken between places connected by rail, the reimbursement will
be made for actual distance at the rates admissible for travel by road under
Travelling Allowance Rules restricted to an amount equal to the train fare for self
and members of his family by the entitled class.

3.13.2 For journeys undertaken between places partly connected/not connected by rail,
the reimbursement for such portion of the journey between places as are not

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 connected by rail will be at the rate admissible for travel by road under Travelling
Allowance Rules.

3.14 The LTC journey may be performed by an employee and members of his family
by hiring chartered bus subject to the following conditions :-

i) Prior approval of the Competent Authority is obtained for undertaking the

journey(s);

ii) The chartered bus belongs to a registered transport agency, running buses on hire;

iii) An adequate proof of the journey is produced in the form of certificate issued by
the concerned transport agency indicating inter alia (a) Registration No. of the Bus
(b) Details of the journey together with dates, places of visit and distances
involved (c) Number of passengers travelled (d) Total charges paid for hiring the
bus and charges for each adult and child member excluding incidentals towards
food, halting charges etc., if otherwise, included in the fare.

iv) Bill(s) of hotel(s), restaurant (s) of the place(s) visited is/are also submitted.
Reimbursement of the claim in such cases will be restricted to the rail fare of the
entitled class between the starting station and the farthest place visited by
permissible route subject to actuals.

3.15 If an employee proceeds, with prior permission of the Competent Authority not
below the rank of General Manager, from a tour station to Home Town or any
other place on LTC and returns to Headquarters direct from the place of visit, the
portion of the journey from Headquarters to tour station will be treated as tour and
the journey from tour station to the place of visit and back to Headquarters will be
treated as LTC journey; and the TA/LTC claims be regulated accordingly. If the
family also accompanies the employee, the reimbursement for the LTC journey of
the family will also be allowed from the touring station to the place of visit and
back to Headquarters, subject to entitlement under these rules.

3.16 If an employee on LTC proceeds from his Home Town or the place of visit to a
tour station, with prior permission of the Competent Authority not below the rank
of General Manager, and returns to Headquarters there from, the journey from
Headquarters to the place of visit and from the latter to the tour station will be
treated as the LTC journey and from the tour station to the Headquarters as tour;
and the LTC/TA claims are regulated accordingly. If the family also accompanies
the employee, the reimbursement for LTC journey of the family will be made
from Headquarters to the place of visit and back to Headquarters, subject to
entitlements under these rules.

3.17 If an employee on LTC proceeds, from the place of visit, on transfer to his new
Headquarters, he may at his option avail himself of the leave travel concession in
conjunction with transfer; and in such a case his entitlement for LTC as well as
transfer travelling allowance will be as indicated below.

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3.17.1 In case of journey to Home Town under Sub-Rule 'A' of rule 3.4, the journey from
his old Headquarters to the place of visit will be treated as leave travel concession
and he will also be allowed transfer travelling allowance as per rules for the
journey from the place of visit to his new Headquarters limited to the distance
from old Headquarters to the place of visit plus the distance from the former place
to the new Headquarters.

3.17.2 In case of other journeys, the journey from his old Headquarters to the place of
visit will be treated as leave travel concession subject to restriction of distance
wherever applicable and he will also be allowed transfer travelling allowance as
per rules, for the journey from the place of visit to his new Headquarters limited to
the distance as admissible for LTC return journey plus the distance from old
Headquarters to the new Headquarters.

4.0 Entitlement of LTC

4.1 An employee may avail of LTC for self during holiday/leave of any duration and
of any kind (except Terminal Leave) including Casual Leave and Special Casual
Leave granted for sports meets. But the concession will not be admissible during
the period of unauthorised absence.
4.2 Where both the husband and wife are employed in the Company, the concession
will be applicable to only one of them and the same will be regulated according to
the entitlement of the spouse drawing higher pay. However, they will have the
option to avail to LTC for Home Town as declared by either the husband or the
wife.
4.3 If an employee’s wife or husband is employed in any other organization providing
Leave Travel Concession or a similar concession, the employee will have option
of receiving the concession for self and family either from the Company or from
the spouse's organisation but not from both. In cases such option is exercised, both
parents and parent-in law(s) shall not be entitled to LTC facility i.e. either parents
or parents in law could be entitled for LTC facility subject to fulfilling other
conditions as per rules. The concession will be allowed to the employee only on
furnishing a declaration by him/her stating that his/her spouse employed in such
an organisation is not and shall not avail of the LTC in that organisation, for self
and the members of his/her family and for the block years for which it is claimed
by him/her in POSOCO.
4.4 LTC cannot be availed of unless prior approval of the Competent Authority has
been obtained, for the block year and the place of visit, whether Home Town or
any other place, before commencement of outward journey. For this purpose the
request should be made on the prescribed application form.
4.5 The following members of family will be entitled to reimbursement in respect of
the return journey only :

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4.5.1 A newly married husband/wife coming from the Home Town or from a place,
where the employee had proceeded on LTC; or a husband/wife who has been
living for a long time at Home Town or at a place where the employee had
proceeded on LTC.
4.5.2 A dependent son/daughter, returning with parents or coming alone from Home
Town or any other place where he/she had been pursuing studies or living with
grand parents etc.
4.5.3 A child legally adopted by the employee while staying at Home Town or any
other place.
4.6 The following members of family will be entitled to reimbursement in respect of
outward journey only:
4.6.1 A dependent son/daughter getting employment or getting married after going to
the Home Town or to a place for which LTC is claimed or remaining there for
pursuing studies.

4.6.2 The family having performed the journey to Home Town or any other place have
no intention of completing the return journey within the stipulated period provided
the employee foregoes in writing the concession in respect of the return journey, if
performed by the family members at a subsequent date.

4.7 In case of an employee under suspension, LTC will be admissible to his family
only.

4.8 The concession is not admissible to an employee who proceeds on LTC and then
resigns his post without returning to duty.

4.9 Grouping of family members.

4.9.1 LTC is permissible for different destination points for an employee and his family
members. Travel to different destination points in same group is, however, not
permissible.

4.9.2 There is no objection to an employee and the members of his family availing of
the LTC in one or more groups at different points of time irrespective of the
constitution of each group; but the reimbursement will be admissible only in
respect of three such groups, out of which one group shall be the group in which
the employee himself has travelled and/or accompanied the family.

4.10 The concession will be counted against the block years for which the outward
journey commenced but the return journey must be completed within six months
from the commencement of outward journey. However, an employee, who
proceeds to Home Town or any other place on LTC, may, if he so desires, perform
return journey in connection with another visit to the same place, subject to the
condition that the outward journey in respect of which concession is claimed is

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 performed within 6 months of the outward journey for the first visit. Whenever the
concession under this rule is proposed to be availed of in respect of self and/or
family, the employee should inform the Competent Authority before undertaking
the journey for which the concession is sought. Where the journey falls in the
succeeding calendar year of the next block, the concession will be counted against
the year for which the outward journey is commenced.

5.0 Provision regarding Departmental Trainees

5.1 The period spent on training by the Departmental Trainees (i.e. serving employees
subsequently selected as Trainees) would be reckoned as period of service and the
whole period of service combined with training would be treated as continuous
one.

6.0 Carry Forward of LTC

6.1 An employee and members of his family who are unable to avail of LTC in the
relevant block may carry forward the entitlement to the end of the next block.
Carry forward will be available only in respect of such family members who were
otherwise entitled for the concession in the relevant block.

However, reimbursement of LTC claim will be allowed for travel in the carry-
forward block in respect of such children who come to an age bracket in which
journey fare is leviable, provided they have actually travelled on LTC in the
relevant carry-forward block.

6.2 Carry forward of LTC admissible under sub-rule ‘A’ of rule 3.4 is not permissible
in respect of part of his family.

6.3 Employees will be entitled to reimbursement of LTC for two block years together
at a time. This clubbing will be admissible only under the 1800 kms scheme if no
LTC is availed for the immediate previous block. Clubbing of LTC for two blocks
under the 1800 Kms scheme will be permitted to be carried forward up to one year
in the next set of block. However, concession of reimbursement of split tickets is
admissible for one block journey and one break journey only even when the two
LTC block years are clubbed.

7.0 Claims for LTC

7.1 Claims for reimbursement in all cases will be entertained only on completion of
the return journey, wherever applicable.

7.2 Claims for reimbursement must be supported with adequate proof of travel i.e.
ticket number, money receipts etc. However, an authority not below the rank of
General Manager, concerned may relax this provision if he is otherwise satisfied
in regard to the genuineness of the claim and the bonafide of the journey having
been preformed in really deserving cases purely on merits but not as a general

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 rule. All the receipts/documents submitted by an employee in connection with his
LTC claims must bear his signature at their back.

7.3 Every claim should be preferred in the prescribed form within the time as
stipulated in rule 8.4, failing which the employee will be liable to action under
Rule 8.5.

8.0 Travel Concession for Employees’ Children studying away from the place of
posting of the employees etc.

8.1 Eligibility

8.1.1 This concession will be admissible to the children of the employees of the
Company who are eligible for LTC under these rules subject to fulfilment of the
following conditions:

i) Such children are wholly dependent on the employee;

ii) They are studying in recognised educational/professional institutions within India

at a place away from the place of posting of the employee or the residence of his
family (spouse and children only, parents of the employee excluded).

iii) They are residing at a place 50 kms away from the place of posting of the
employee or the residence of his family.

8.2 Entitlement

8.2.1 The concession can be availed of only once in a calendar year during approved
vacation to the place of posting of the employee or residence of his family to join
the parents and back.

8.2.2 The approved vacation for this purpose means the vacation declared by the
recognised institutions in which the children are studying.

8.2.3 Where the outward journey is commenced in one calendar year, and the return
journey is completed in the following year, the concession will be reckoned
against the year in which the outward journey commenced.

8.2.4 In cases where the children do not return to the educational institution after the
vacation, the concession will not be admissible.

8.2.5 The reimbursement of the fare will be limited to actual expenses incurred on travel
each way subject to a maximum of second class rail fare at student's concessional
rates from the railway station nearest to the place where the children are studying
to the railway station nearest to the place of posting of the employees or residence
of his family by the shortest route. Where the places are not connected by rail,
actual fare by public transport bus will be admissible.

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8.2.6 (i) In case the child does not avail the travel concession once in the calendar year (as
per clause 10.1 to 10.2.5) or LTC alone/along with his/her parents from parent’s
headquarter, he/she can avail the LTC alone from the place of educational
institution where the study is being pursued.

(ii) Such LTC can be availed under Sub-Rule ‘A’ as per admissibility of the block
year of the parents.

(iii) The child availing the facility of LTC alone from the place of study would be
construed as a group as provided under clause 5.9.2.

8.3 Claim of Concession

8.3.1 Claim for reimbursement in all cases will be entertained only on completion of the
return journey.

8.3.2 Claims for reimbursement must be supported with adequate proof of journey i.e.
Ticket No., Money Receipts etc. together with a prescribed certificate from the
recognised institution for each child separately for whom the concession is
claimed. However, an authority not below the rank of General Manager concerned
may relax this provision except the certificate referred to above if he is otherwise
satisfied in regard to the genuineness of the claim and the bonafide of the journey
having been performed in really deserving cases purely on merits but not as a
general rule.

8.3.3 Every claim should be preferred in the proforma as prescribed within three months
of completion of return journey failing which it shall be forfeited.

9.0 General

9.1 In respect of matters which are not specifically covered in the above rules, the
LTC rules of the Central Government, in so for as they are not inconsistent with
these rules, will generally be followed.

9.2 In the case of any doubt in regard to any provision of these rules and also in
respect of cases not covered by these rules, the matter will be referred to the
Chairman and Managing Director whose decision shall be final.

9.3. The Chairman and Managing Director is empowered to make any amendments to
these rules or any relaxation which are of a minor nature.

Reference:

(1) Corporate HR Circular No. 30/2019 dated 10.10.2019 (Submission of Option of

Perks and Allowances for the FY 2019-20)

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 REQUEST FOR LEAVE TRAVEL Diary No.
CONCESSION
(Vide Rule 5.4) Date:
(To be filled in Triplicate)
Name Employee No. Designation Deptt. & Deptt. Code Rax No.

Block Year for Sub- Scheme Name of the Date of outward journey
which LTC is Rule (Tick whichever is place
being availed applicable)
A Home Town
Anywhere in India
Distance upto 1800
kms
B Home Town
DETAILS OF MEMBERS PROCEEDING ON LTC
Sl.No. Name Relationship DOB/ Whether special permission
Age required
(Yes/ No) (if yes, please tick the
appropriate clause)
1. 3.10.1 3.15
2. 3.14 3.16
3. 3.10.1 For other mode of transport
4. for
5. places connected by rail.
6. 3.14 LTC journey by hiring
7. chartered
8. bus.
3.15 LTC from a tour station.
3.16 Tour from LTC station
Certified that :-
a) My spouse is not employed.
b) My spouse is employed in ______________________(Name of the organization) but
he/she has not and will not avail of LTC for the aforesaid block-year and for the members
of the family as indicated above from the said organization.
c) My parents are wholly dependent upon me and their monthly income from all sources is
not more than Rs.6000/- p.m.
d) My children (below 25 years of age) are wholly dependent upon me and their monthly
income from all sources individually is not more than Rs.6000/-p.m.
e) All the family members for whom LTC is proposed to be availed of are residing with me
or the concession is proposed to be availed of in terms of sub-rule 2.6.1.

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Date:
Signature of the Employee

Sanctioned subject to admissibility Permission accorded as per clause________

Signature of Competent Authority Signature of Competent Authority

Name: Name:
Designation: Designation:
Employee No. Employee No.
Date: Date:

(For use by HR Department)

Ref. No.:…………. Office Order No…………………………..dated……………………….. LTC

for the Block Year……………………….is sanctioned to visit……………………..for family
members as indicated under Sub-rule A/ B. Necessary entries have been made in his/her record.

Date: Signature of Asst. Mgr/ Dy. Mgr /Mgr-(HR)

CC: Personal File / Finance Estt. / Employee Concerned

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 LEAVE TRAVEL CONCESSION ENCASHMENT
(UNDER 1800/2500 Kms SCHEME)
Name…………………………..

Designation……………….

Emp. No.…………….
RLDC/NLDC/CC/Department……………………

Level ……………………………………. Block Year

………………………….

LTC : 1800/2500 Kms Scheme Mode of Travel: Air/Train

Entitled Class………………………………….. Leave

Period……………………………

Details of Family Members (including self, in case he/she is availing)

S. No. Name Relationship Date of Age

Birth

1. Certified that :
(Strike out whichever is not applicable)
i) My husband/wife is not employed.

ii) My husband/wife is employed in…………………………………. (Name of the

Organisation) but he/she has not and will not avail of LTC for the aforesaid block
year and for the members of the family as indicated above, from the said
organisation.

iii) My parents are dependant upon me and their monthly income from all sources is
not more than Rs. 6000/- p.m. .

iv) My children (below 25 years of age) are wholly dependant upon me and their
monthly income from all sources individually is not more than Rs.6000/- p.m.

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 v) All the family members for whom LTC is proposed to be availed of are residing
with me/they are not residing with me but the concession is proposed to be availed
of in terms of Sub-Rule 3.5.

(a) Signature of the Employee………………………………………………….

Name :………………………………….
Designation: ……………………………………………
Date: ……………………………..
(b) Signature of the Controlling Officer
………………………………………………….
Name :………………………………….
Designation: ……………………………………………
Date: ……………………………..
(For use by HR Department)

LTC Order No………………… Date:

LTC for the Block Year………………….. under 1800/2500 Kms encashment
scheme is sanctioned for ……………. Members as mentioned by …………….
(Mode/Class).
Employee is availing. Leave from……………… to……………. Necessary
entries have been made in his/her personal/LTC records

Date : Asst.Mgr/ Dy.Mgr-(HR)

—————————————————————————————————
——

(For use by Accounts Department)

Diary No…………………. Date……………

Passed for payment of Rs. .............................. Received Rs.
......................................(Rupees .....................................) for …….member(s) for
entitled class.
Debit code ..................

Officer(Accts)/Asst.Mgr(Fin)
Manager (F&A)

Received
Rs………………………(Rupees…………………………………………. in
words)

Signature of the employee

Date :

LEAVE TRAVEL CONCESSION RULES

Page 303
 CLAIM FOR LEAVE TRAVEL CONCESSION
(Vide Rule 9.0)
Diary No………………. Date Received …………………

Name Designation Scale of Pay Employee No. Department Code

Hqrs Employee LTC Sanction Basic Pay Block Year LTC Availed under sub rule A
. of Order No or B
Family ………... Calendar Year
Date…….. Rs…………
…
DETAILS OF JOURNEY
Sl. Name Relatio Ag DEPARTURE ARRIVAL Mode Class of Distance in kms. Fare Amt Ticket Nos./
N n e Station Date Statio Date of Travel Money Receipt
o Ship n travel Rs
P.
Outward
Journey

Return
Journey

TOTAL:……………………
Amount payable: ……………………
Less Advance: …………………….

LEAVE TRAVEL CONCESSION

Page 304
 Net payable :……………………..

Certified that:

i) The journey for which the claim is made has actually been performed by the mode and class indicated above.
ii) The members of the family/ children for whom the claim is made are entitled to the concession as per rules and no claim has been
made earlier for these journeys against the block calendar year indicated.
iii) My husband/wife is employed in ……………………………………………….. ………………………(Name of the organization) but
he/ she has not claimed and will not claim the concession / fare against aforesaid Block calendar year and for the members of the
family/ children as indicated above from his/ her organization.

Countersigned

Signature of the employee

Date:
Competent Authority
Name:
Designation:

Certified that the claim has been verified with reference to the Passed for payment of Rs. ………………………………………………
LTC Sanction Order/ eligibility and found to be in order. Entry
has been made in his/ her personal records. (Rupees………………………………………………………………….

Block Year: …………………… Debit Code ………………………………………………………………)

Place of visit:…………………….

Remarks :……………………..
Date:
Dy. Mgr (HR) Sr. Accountant/ Accountant Officer(Accts.)/ Asst.Mgr (Fin)

LEAVE TRAVEL CONCESSION

Page 305
 BENEFITS TO
EMPLOYEES POSTED IN
HARDSHIP STATIONS

Page 306
 BENEFITS TO EMPLOYEES POSTED IN HARDSHIP STATIONS
1.0 Hardship Station
Based on hardship faced by the employees due to remoteness, geo-physical
conditions, lack of facilities like education, medical and transport and disturbed
conditions, various areas/stations of POSOCO are categorised as Hardship Stations
which are as under:

a) Hardship Station
All stations in the North Eastern Region of India.
2.0 General Conditions of Service Applicable to Employees on Transfer to any of
the Hardship Stations.

2.1 Tenure of Posting

2.1.1 An employee posted in hardship station will have a tenure of 3 (three) years only.
Employee posted/transferred in any of the hardship stations who is a resident of that
place or surrounding districts/states and has shown willingness to work there for
any period exceeding 3 years, may continue to remain posted there till his services
are required at such station/region.
2.1.2 The tenure of 03 (three) years will be inclusive of absence from duty on sanctioned
leave of following kind & duration.

a) EL - Maximum 90 days in three years.

b) HPL - Maximum 60 days or 120 days (if commuted on medical grounds)

c) CL, RH, Holidays - Full as per entitlement.

d) Special Disability Leave - As sanctioned by the Competent Authority.

2.1.3 An employee posted in any hardship station, who wants to avail EL, HPL or any
other kind of leave over and above number of days mentioned in para 2.1.2, will be
sanctioned leave on the merits of the case by the Head of the NERLDC subject to
the condition that the concerned employee agrees to extend his tenure in that area
by equivalent number of days. Tenure of an employee shall be extended by
proportionate number of days to the extent of his unauthorized absence from duty.

2.2 Retention of Company Leased Accommodation/HRA

2.2.1 An employee transferred/posted to hardship station who does not desire to take his
family to the place of posting or has not normally kept his family at his place of
posting may be allowed the benefit of Company Leased accommodation/HRA at
any place of his choice in India for retention of his family members, consisting of
spouse, dependent children and dependent parents, in that particular place. The limit

BENEFITS TO EMPLOYEES POSTED IN HARDSHIP STATIONS

Page 307
 for leased accommodation/HRA will be as per entitlement of the employee at the
rates applicable in the place as per extant rules, where the family is being retained.
2.2.2 In addition to the above, the employee will be allowed to draw HRA at the rates
applicable in the station where he is posted. Alternatively, the employee will be
given the option of availing shared bachelor accommodation at the station where he
is posted.

2.3 Special Leave Travel Concession

2.3.1 An employee who is posted at hardship station and living there with family will be
entitled to avail LTC as per provisions of the existing POSOCO LTC Rules.

2.3.2 An employee who leaves his family behind at the old duty station or another
selected place of residence and has not availed of the transfer travelling allowance
for the family will have the option to:

i) avail of the existing Leave Travel Concession as per provisions of POSOCO LTC
Rules.

ii) an employee who leaves his family behind at the previous place of posting or
another selected place of residence and has not availed of the transfer travelling
allowance for the family (for hardship stations) will have the option to avail of the
LTC journey to home town once in a block period of 2 years, or in lieu thereof,
facility of travel for himself once a year from the hardship station to his home town
or place where the family is residing and in addition the facility for the family
(restricted to his/her spouse and two dependent children only) also to travel once a
year to visit the employee at the station of posting in the hardship station. Employees
drawing basic pay of Rs. 6,250/- and above as per 1987 pay structure, and their
families, i.e., spouse and two dependent children (upto 18 years for boys and 24
years for girls) will be allowed air travel between
Imphal/Silchar/Agartala/Aizawl/Lilabari and Calcutta and vice versa, while
performing journeys mentioned in the preceeding paragraph.

2.4 Transfer Benefits for the Employee

2.4.1 An employee transferred to any hardship station will be entitled to avail all normal
transfer benefits, subject to the condition that he has not opted for retention of his
family at previous place of posting.

2.4.2 An employee transferred to any hardship station, who does not desire to take his
family to the place of posting, and retained his family at previous place of posting,
will be allowed the joining time, Transfer Pay Advance, Journey Fare, Conveyance
Charges, Daily Allowance, Settling-in-Allowance and 1/3 of Baggage Allowance
(for carrying his personal effects to the place of posting) as per provisions of the
POSOCO T.A. rules.

BENEFITS TO EMPLOYEES POSTED IN HARDSHIP STATIONS

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2.4.3 In the event the family (leaving in the previous place of posting) desires to join the
employee at the place of posting, he will be allowed the Transfer Grant, Journey
Fare, Conveyance Charges, Daily Allowance for family and full Baggage
Allowance (not 2/3) as per the employee's entitlement provided one year has elapsed
from the date the employee had reported at the place of posting.

2.5 Choice of Next Posting

An employee who completes the 3 (three) years tenure in any of the hardship station
will be given one choice posting for three years in his service tenure. This posting
will be agreed to by the management, subject to availability of vacancies and other
constraints.

2.6 Ex-gratia payment to employee or his dependents in the event of permanent

disablement or death; occurring by terrorist activity

2.6.1 An employee, who during posting in any hardship station sustains any bodily injury
due to terrorist or subversive elements' activities resulting in permanent (total or
partial) disablement or death, employee/his nominee (under EPF Scheme) will be
entitled to an extra ex-gratia payment equivalent to the compensation accruing
under the existing Group Personal Accident Insurance Scheme payable in the event
of death of permanent (total or partial) disablement. Other existing
compensations/benefits admissible to him/next of kin will continue to be paid as it
is irrespective of above ex-gratia payment.

Explanation: No additional ex-gratia will be payable in the event of natural death

and disablement. Also, no such additional ex-gratia payment will be payable if the
injury resulting in death or disablement is inflicted outside the Hardship Station
areas.

2.6.2 Employee on official tour to hardship station will also be extended above benefit of
ex-gratia payment.
2.7 Employment to one dependent of an employee who dies or gets totally disabled by
any act of terrorist
2.7.1 One dependent of employee posted in hardship station, who is totally and
permanently disabled or dead due to injury caused by terrorist/subversive elements'
activities will get suitable employment in the Company.
2.7.2 Employee on official tour to hardship station will also be extended above
dispensation.

2.8 Moderation by Corporate Promotion Committee

An employee who completes his tenure of posting of 3 (three) years in the hardship
station will be given the benefit of maximum of one point by the Corporate

BENEFITS TO EMPLOYEES POSTED IN HARDSHIP STATIONS

Page 309
 Promotion Committee, for consideration for his immediate next promotion falling
due on completion of the 3 years tenure of posting.

3.0 Monetary Benefits to Employees Posted in Hardship Station

Keeping in view the hardship faced by employees in such stations due to higher cost
of living and other incidental expenditures due to remoteness and inhospitable
living conditions, following monetary benefits will be paid.
3.1.1 Location Based Compensatory Allowance
Location Based Compensatory Allowance will be allowed outside the ceiling of
35% of Basic Pay under Cafeteria Approach. Location based Compensatory
allowance will be payable to Employees Serving in North-East States @10% of
revised Basic Pay w.e.f. 10.05.2018.
Consequent to the payment of revised Location Based Compensatory Allowance,
no other allowance shall be paid.
4.0 General
The POSOCO Management reserves the right to modify/amend or withdraw the
scheme at any time without notice. The CMD shall be the final authority to
clarify/interpret any of the provisions of this scheme and extend/withdraw coverage
of any station under this scheme.
****************

Reference:
(1) Corporate HR Circular No.: 14/2018 dated 11.06.2018 (Pay Revision of Board Level
Executives and Below Board Level Executives w.e.f. 01.01.2017)
(2) Corporate HR Circular No. 09/2019 date 29.03.2019 (Revision of Wage and Benefit
Structure for employees in the Workmen Category)
(3) Corporate HR Circular No. 10/2019 dated 29.03.2019 (Revision of Wage and Benefit
Structure for employees in the Supervisory Category)

BENEFITS TO EMPLOYEES POSTED IN HARDSHIP STATIONS

Page 310
POSOCO EMPLOYEES
DEFINED
CONTRIBUTION
SUPERANNUATION
BENEFIT (PENSION)
SCHEME

Page 311
 POSOCO EMPLOYEES DEFINED CONTRIBUTION
SUPERANNUATION BENEFIT (PENSION) SCHEME

POSOCO EMPLOYEES DEFINED CONTRIBUTION

SUPERANNUATION BENEFIT (PENSION) SCHEME shall be in operation
w.e.f 03.01.2017 in continuation of the said scheme Power Grid Corporation
of India Ltd. W.e.f 01.01.2007, the rules of which shall be as under:”

SECTION 1

1.0 SHORT TITLE: The scheme may be called POSOCO Employees Defined
Contribution Superannuation Benefit (Pension) Scheme

2.0 COMMENCEMENT: This Scheme comes into force w.e.f 03.01.2017 in

continuation of the said scheme Power Grid Corporation of India Ltd. W.e.f
01.01.2007.

3.0 APPLICATION: The scheme applies to all regular employees in the pay scale
applicable to Workmen, Supervisors and Executives

4.0 DEFINITIONS, ELIGIBILITY AND REQUIREMENTS FOR

MEMBERSHIP

4.1 DEFINITIONS:

In these Rules, where the context so admits, the masculine shall include the
feminine, the singular shall include the plural and the following words and
expressions shall unless repugnant to the context, have the following meanings:

4.1.1 The ACT means the Income Tax Act 1961

4.1.2 APPROVED FUND shall mean POSOCO EMPLOYEES DEFINED

CONTRIBUTION SUPERANNUATION BENEFIT (PENSION) FUND
(hereinafter referred to as "SUPERANNUATION FUND" OR "PENSION
FUND") for employees of POWER GRID CORPORATION OF INDIA LIMITED
which has been recognized by the Commissioner of Income Tax under Income Tax
Act 1961.

4.1.3 BENEFICIARY shall mean a Member of the Superannuation Fund in respect of

whom the Superannuation benefits are payable under these Rules and shall include
the Member's spouse or children or any other member of the Member's 'Family' as
defined hereinafter or his nominee on his death or upto his widow's death, her
nominee, PROVIDED that where there is any difference of opinion as to who is the
Beneficiary in the event of the death of a Member, the decision of the Trustees shall
be final and binding.

EMPLOYEES’ DEFINED CONTRIBUTION SUPERANNUATION BENEFIT (PENSION) SCHEME

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4.1.4 BOARD OF DIRECTORS shall mean POWER SYSTEM OPERATION
CORPORATION LIMITED Board of Directors
4.1.5 COMMUTATION OF PENSION: Member may commute at his sole discretion
a part of the Pension receivable by him as per provisions of the Income-Tax Rules
which is presently maximum of l/3rd of cost of annuity.
4.1.6 COMMISSIONER means the Commissioner of Income Tax, Delhi having
jurisdiction over the Superannuation Fund.

4.1.7 CONTRIBUTION means any sum contributed by the member out of his salary
and the contribution made by the Corporation within a ceiling of 30% of employee
salary, after discounting for PF, Gratuity, (PRMB Post Retirement Medical Benefit)
and any other retirement benefit, to the Superannuation Fund, but does not include
any sum credited as interest.

4.1.8 EMPLOYER shall mean POWER SYSTEM OPERATION CORPORATION

LIMITED (hereinafter referred to as "POSOCO" OR "CORPORATION") and
every power, authority and discretion vested in the Corporation or by the Chairman
and Managing Director upon which power, authority and discretion being delegated
to him by the Board of Directors of the Corporation or by the Chairman &
Managing Director upon such power, authority and discretion being delegated to
him by the Board of Directors of the Corporation and subject to the prior intimation
to the Commissioner of Income Tax, shall include any firm, concern, agency or
body corporate which may, purchase , amalgamate or otherwise take over the whole
or substantially the business of the Corporation and which shall enter into a Deed
in such a form as the Trustees shall require undertaking to continue the obligations
of the Corporation under these presents and releasing the Corporation from all
further liability thereof.

4.1.9 EMPLOYEE shall mean any person who is in the whole time employment of the
Corporation in the scales of pay applicable to Workmen, Supervisors and
Executives.

4.1.10 EFFECTIVE DATE: The POSOCO EMPLOYEES DEFINED

CONTRIBUTION SUPERANNUATION BENEFIT (PENSION) SCHEME in
operation w.e.f 03.01.2017 in continuation of the scheme in Power Grid
Corporation of India limited w.e.f 01.01.2007

4.1.11 "FAMILY" means :

Definition of family as given in the POSOCO Employees Provident Fund Rules

would be followed which is as follows:

(i) In the case of a male member, the wife, children whether married or unmarried
and dependent parents of the member, and the widow and children of a deceased
son of the member - Provided that if a member proves that his wife has ceased,
under the personal law governing him or the customary law of the Community to
which the spouses belong, to be entitled to maintenance, she shall no longer be

EMPLOYEES’ DEFINED CONTRIBUTION SUPERANNUATION BENEFIT (PENSION) SCHEME

Page 313
 deemed to be a part of the member's family for the purpose of these Rules, unless
the member subsequently intimates by express notice in writing to the Secretary
that she shall continue to be so regarded, and
(ii) In the case of a female member, the husband and children of the member
whether married or unmarried, the dependent parents of the member or of the
husband and the widow and children of a deceased son of the member. Provided
that if a member by notice in writing to the Secretary expresses her desire to exclude
her husband from the family, the husband and his dependent parents shall no longer
be deemed to be a part of the member's family for the purpose of these Rule, unless
the member subsequently cancels in writing any such notice.

Explanation - In either of the above two cases, if the child of member or, as the case
may be, the child of a deceased son of the member has been adopted by another
person and if, under the personal law of the adopter, adoption is legally recognized,
such a child shall be considered as excluded from the family of the member.

4.1.12 FINANCIAL YEAR means a period of twelve months commencing from 1st April
and ending on 31st March of each year.

4.1.13 MEMBER shall mean an employee absorbed/appointed by the Corporation in the

applicable scale of pay including probationer and person on deputation to other
Company and shall include a Director who is a whole time bonafide employee of
the Corporation and who does not beneficially own share in the Corporation,
carrying more than 5% of the total voting power and who has been admitted to the
Membership of the Superannuation Fund.

4.1.14 PENSION: Pension shall be paid to each member as per the rule of the scheme.

4.1.15 PENSIONER: Pensioner means a person in receipt of Pension

4.1.16 RULES shall mean the Rules of the Superannuation Fund as herein set out any
amendments made thereto from time to time.

4.1.17 SALARY: Salary means Basic Pay (including stagnation increments) plus
Dearness Allowance if any payable to an employee but does not include any bonus
(including incentive, production and attendance bonus), any traveling allowance,
Other allowances & Perks, Mouse Rent Allowance, any commission payable to the
employee and any other allowance and payment.

4.1.18 SEPARATION: "Separation" shall mean cessation of service with the Corporation
other than by Superannuation or death or total permanent disablement.

4.1.19 SUPERANNUATION in relation to a Member means the date the Member shall
vacate his employment upon attainment of such age as is fixed in the terms of
appointment or Service Rule of the Corporation and in absence of such contract or
agreement, 60 years.

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4.1.20 TRUSTEES shall mean the Trustees for the time being of the Superannuation
Fund.

4.1.21 TRUST shall mean POSOCO EMPLOYEES DEFINED CONTRIBUTION

SUPERANNUATION BENEFIT PENSION TRUST
4.2. THE TRUSTEES TO ACT FOR MEMBERS AND THE CORPORATION:
The Trustees will act for and on behalf of the Members and the Corporation in any
matter relating to the Superannuation Fund within the framework of the Trust Deed
and the Rules there under

4.3 ELIGIBILITY: All existing employees of the Corporation in the applicable scales
of pay on the effective date shall continue to be member of the Scheme. All
employees appointed after the effective date in the applicable scales of pay shall be
compulsorily admitted to the Superannuation Fund from the month in which they
join the applicable scale of pay

Note: Any question arising as to the eligibility of a person to qualify to become a

member of the fund shall be determined by the Corporation.

4.4. MEMBER NOT TO WITHDRAW

No member shall withdraw from the Superannuation Fund while he is still an
employee of the Corporation.

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 SECTION-II
5.0 ADMINISTRATION

5.1 The number of Trustees shall be 11 (Eleven)) including the Chairman, constitution
of
which shall be as under:
-4 Nominees of the Management
-1 Nominee from the Supervisory Category
-1 Nominee from the Executive Category
5.1.1 A Company as defined in Clause (i) of Sub Section (i) of Section 3 of the Company
Act, 1956, shall not be appointed as a Trustee without the intimation to the
Commissioner

5.1.2 The First Trustee shall be appointed by the Corporation. The Power of appointing
a Trustee or Trustees subsequently shall also be vested in the Chairman/CMD of
Corporation from among the Members of the Superannuation fund, including
Chairman of the Board of Trustees, subject to the provisions of Sub rule 5.1. and
5.1.1. thereof. The Chairman/CMD Corporation shall be entitled to appoint new
Trustees cither in addition to the existing trustees or in place of trustees who have
died, vacated office or retired, for the purpose of facilitating the administration of
the Fund. On every such appointment of a new Trustee or Trustees, the funds of the
Fund shall ipso-facto vest in the continuing and the new Trustee or Trustees.

5.2 At any meeting of the Trustees, six Trustees present in person shall form a
quorum

5.3 A Trustee may retire at any time after giving seven days notice in writing to the
Corporation or to other Trustees of his desire to do so. The office of a Trustee shall
be vacated if he permanently leaves India or by reason of his illness or infirmity, in
the opinion of the other Trustees becomes incompetent or incapable of acting as a
Trustee. The Corporation may also remove a Trustee if it considers that he is not
competent to discharge his duties as a Trustee. A Trustee who is an employee of
the Corporation will cease to be Trustee on the cessation of his services with the
Corporation.

5.4 A person shall not qualify for appointment as Trustee and shall cease to hold such
office ipso-facto, if
i) He has been found to be of unsound mind, permanent or temporary, in the
opinion of Chairman/CMD of the Corporation;
ii) He is an un-discharged insolvent;
iii) He has applied to be adjudicated as an insolvent;
iv) He has been convicted by a court of an offence involving moral turpitude;
v) He is found guilty of misappropriating funds or property of the Corporation and of
the fund in the opinion of Chairman/CMD.

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5.5. If, at any meeting, the Chairman is not present, the Trustee present may choose one
of their members to be the Chairman of the meeting.
5.6. The Trustee may subject to the provisions of the Rules, meet for the dispatch of
business, adjourn and otherwise regulate their meetings and proceedings and make
such other regulations for the transaction of the business of the fund as they think
fit.

5.7. Questions arising at any meeting shall be determined by a majority of votes, each
Trustee present being entitled to one vote and in the case of equality of votes, the
Chairman shall have a second or casting vote.

5.8. A resolution in writing signed by a majority of the Trustees for the time being in
India, being not less than six, shall be as valid and effective as a resolution passed
at a meeting of the Trustees duly convened and held.

5.9. The Trustees may delegate any of their powers to a Committee or Sub Committee
consisting of such members of their body as they shall think fit. The Committee/Sub
Committee as formed shall in the exercise of the power so delegated, conform to
any regulations that may be imposed upon such Committee(s) by the Trustees.

5.10. ABSENCE OF A TRUSTEE AND POWER OF REMAINING TRUSTEES:

If any Trustee or Trustees shall be temporarily absent from India, the Trustee who
shall remain in India shall during such absence have full powers to act under the
Trust as if they were the only Trustee of these presents. If any vacancy of Trustees
has not been filled in, no proceedings or act of trustees shall be invalid by reasons
only of the existence of any vacancy or any defect in their appointment.

5.11 The Trustees shall comply with and carry out all such directions as may be given
to them by the Chairman/CMD of the Corporation from time to time in relation to
any matter in respect of which Chairman/CMD has power under this Deed to
determine and decide and a Certificate of the Chairman/CMD as to the admission
of a member or as to the death of any member of his retirement or dismissal from
the service of the Corporation shall constitute a good and sufficient authority to the
Trustees and shall be conclusive as to all facts stated therein.
5.12 Every such directions or certificate shall be notified to the Trustees in writing and
signed by any Director or the person authorised to sign on behalf of the Corporation
and any such notice purporting to contain any such direction or certificate as
aforesaid, shall be complete protection to the Trustees in respect of any matter
referred to therein.
5.13 Proper minutes of the meetings held shall be kept duly signed by the
Chairman/Secretary
5.14 The Trustees shall decide all differences or disputes which may arise under the
Rules either as to the interpretation thereof or as to the rights and obligation of the
Corporation and of the beneficiaries, and the decision of the Trustees shall, in all

EMPLOYEES’ DEFINED CONTRIBUTION SUPERANNUATION BENEFIT (PENSION) SCHEME

Page 317
 cases, be final and binding on all parties concerned PROVIDED ALWAYS that
where such differences or dispute shall relate to Income-tax matters, it shall be
referred to the Commissioner and his decision be final.
5.15 The Trustees shall have power to appoint any person or persons with requisite
qualifications to act as the Actuary, the Secretary or Secretaries or the Manager or
Managers or Registrar of the Fund at such remuneration and on such terms and
conditions and with such powers as the Trustees may think fit. The Trustees may
also employ any person or persons to do any legal, accounting, actuarial or other
work which they may consider necessary or expedient in connection with the
management of the Fund or of the assets thereof.
5.16 All cheques and other negotiable or transferable instruments and all receipts for
money paid to the Fund shall be signed, drawn, accepted, endorsed or otherwise
executed as the case maybe in such manner as the Trustees shall from time to time
by resolution determine provided that there should be at least two signatories.
5.17 The Trustees may hold the investment of the Fund in the name of the Fund or in
the name of a nominee whether a Bank, a Financial Institution or a
Trust/Corporation as the Trustee may from time to time determine. Application for
purchase of any investment of the Fund may be made by one or more of the Trustees
or by any of their nominees whether a Bank, a Financial Institution or Trust /
Corporation as the trustees may from time to time nominate.
5.18 The Trustee shall not, at any time, be made liable for any more money than what
may actually come into their hands or for the failure of any Bank, any of the
Companies or for the dishonesty of any clerk, servant or Attorney or other persons
with whom any part of the trust property may be deposited or be placed in charge
or for anything other than their own immediate and respective willful acts, deeds
and defaults. Notwithstanding anything contained in these presents, the Trustees
shall be at liberty to utilize any part of the total corpus of the Fund, any part of the
total interest received by the Fund, total contributions received in respect of
members who cease to be the members and the total net appreciation(if any) of the
assets of the Fund in reimbursing themselves for all sums of money, costs, charges
or damages suffered or borne by them in connection with the administration of the
Fund and in meeting their obligations as Trustees regardless of the insufficiency of
the total fund for the purpose of meeting all obligations of the Trustees, and the
Trustees shall be entitled to be indemnified by the Corporation against all
proceedings, cost and expenses occasioned by any claim in connection with willful
negligence or dishonesty or fraud.
5.19 The Trustee shall open with any Nationalized or Scheduled Bank or Banks as they
may from time to time determine, a Current Account or saving Accounts or
Accounts or with a Post Office Savings Bank Account and place to the credit of
such Accounts or Accounts all money from time to time received by the Trustees
for the purpose of the Fund.
5.20 The moneys of the Fund shall be dealt with in the manner prescribed in Rule 85 of
the Income Tax Rules 1962.
5.21 The Trustees shall have power at any time and from time to time to vary or
transpose the investments for the time being of the Fund to others of the nature

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 authorized in Sub Rule (5.20) hereof expressly including the power to surrender
any policy or insurance or annuity on such terms and other conditions as the
Trustees may think fit and to accept the surrender value of such policy which shall
be dealt with in accordance with the Rules.
5.22 The Trustees may, when necessary, raise such sum or sums of money as may be
required for the purpose of the Fund by a sale or obtain advance or advances against
the securities held by them or a sufficient part thereof or otherwise.
5.23 Any expenditure incurred for administering the scheme will be borne out of the
pension fund.

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 SECTION III
CONTRIBUTIONS

6.0. CONTRIBUTION TO THE FUND BY THE CORPORATION

The Corporation shall contribute an amount at a percentage rate of salary as defined

in the rules out of 30% of salary after discounting for Provident Fund, Gratuity and
Post-Retirement Medical Benefit for all employees taken together w.e.f
01.01.2007. Such contribution will be made to the fund on monthly basis. Initially
the contribution will be 9% of salary every month starting from 1st April of the
accounting year and any adjustment (plus or minus) within overall ceiling of 30%
will be made at the end of the year. The Corporation has got the right to decide to
change the percentage of contribution.

6.1 CONTRIBUTION TO THE FUND BY THE MEMBERS

Every member shall mandatorily contribute 3 % of salary actually paid (rounded

off to the nearest rupee) w.e.f. the date of notification of the modified scheme.

Besides the above, a member may also contribute any additional amount as
voluntary contribution to the superannuation fund.

For this purpose, a written consent is required to be made to the finance department
as per Annexure. The deduction shall be made from the salary of the individual
following the month in which the consent is given. Similarly, deduction shall be
stopped from the following month in case the member gives instruction for the
same. However, the above will be a onetime option and once the instruction for
stopping the contribution is given, no contribution can again be made voluntarily
on monthly basis.

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 SECTION-IV
BENEFITS

7.1 In case of superannuation:

A member of the fund will become eligible to draw pension only on completion of
15 years of service in POSOCO with continuity of services for POWERGRID
(including services in other CPSEs). The total accumulated amount to the credit of
the employee will be used for purchase of pension annuity from LIC or any other
approved pension provider. The individual member will have the option to choose
the monthly amount of pension as per various schemes of LIC or any other
approved pension provider available at the time of superannuation.
In case the member superannuated after 01.01.2007 and before implementation of
this scheme the additional annuity will be purchased from the Corporation’s
contribution due to him.

7.2 In case of Death/ Total Permanent Disablement:

The total accumulated amount to the credit of the employee will be used for
purchase of pension annuity irrespective of the eligibility criteria of 15 years and
payment of commutation as per rules. The beneficiary will have the option to
choose the monthly amount of pension as per various schemes of LIC available at
the time of death/total permanent disablement.(LIC)
7.3 In case of Resignation :
(i) Resigns from service and joins another CPSE where similar scheme exists:

If the employee resigns from the company and joins another CPSE where similar
scheme exists, the entire amount of corporation's contribution and member's
contribution along with interest accrued thereon shall be transferred to such CPSE,
provided the CPSE agrees to accept the fund transfer and the request for transfer
through proper channel.

(ii) Resigns from service & joins another CPSE where similar scheme does not
exist or joins any organization which is not a CPSE

If the employee resigns from the company and join another CPSE not having a
similar pension fund or any organization not being a CPSE (irrespective of whether
such fund exist in that organization), he will get the accumulated amount available
in his account under the head Member’s Contribution only along with accrued
interest as on the date of his resignation. Corporation’s contribution from
01.01.2007 on the members account will be transferred to the forfeiture account
which will be adjusted in the subsequent corporation’s contribution.

Forfeiture Account is meant to indicate the heading of the account in which such
amount of Corporation’s contribution from 01.01.2007 on the member’s account
will be transferred to:

(i) If the employee resigns from the company before completion of 15years
and joins another CPSE not having similar pension fund or any

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 organization not being a CPSE (irrespective of whether such fund exists in
that organization)
(ii) In case of Dismissal/removal from service of the corporation amd/or
otherwise lost his lien on his employment.

7.4 Incase of Dismissal/removal from service of the corporation and/or otherwise

list his lien on his appointment:
Member's contribution, if any and interest accrued thereon shall be refunded to
the employee in case of Dismissal / removal from service of the corporation and /
or otherwise lost his lien on his employment.

7.5 Commutation:

Beneficiary can commute upto 1/3rd of the Pension as per applicable provisions of
law. Commutation of Pension can be opted in the prescribed format. (PFF-05)

7.6 In case of Voluntary retirement/ Pre-mature retirement

An employee who retires voluntarily or on premature Retirement under the extant

service rules will be entitled to the benefit of pension as on superannuation provided
he/she has completed the total services of 15 years as on the date of voluntary/pre-
mature retirement.

7.7 Pension benefit in case of employees against whom disciplinary proceedings are
going
on at the time of retirement

Pension benefits to the members against whom disciplinary proceedings are going
on at the time of superannuation shall be regulated as per CDA / Service Rules of
POSOCO.

7.8 Joining from other CPSE

Employees joining POSOCO from other CPSE having similar pension scheme shall
have the option of transferring their corpus to POSOCO's Pension fund as per the
provisions of POSOCO Pension scheme.

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 SECTION-V
ACCOUNTS

8.1 Each member of the Scheme shall have an individual pension account and a unique
pension Account Number.
8.2 The amount contributed by each employee shall be credited to the existing
individual pension account under the head "Member's contribution".
8.3 The manner in which the interest of the fund will be divided amongst member shall
be decided by the Trust.
8.4 The trust shall make available the details of individual account in electronic form
and in a Pension Contribution Account Book indicating money to his/her credit
where complete entries will be made on production at the designated office. In
addition each member shall get account statement at the end of each financial year.
8.5 The accounts of the Fund shall be maintained in India and it shall contain such
particulars as the Trustees may think proper and as are required by Law. As soon
as possible after the Thirty first day of March in each year, the Trustees shall take
a general account of the assets and liabilities of the Fund, and shall prepare a
Balance Sheet and a Revenue Account showing the income and expenditure,
dealing and transactions, during the year ending on such Thirty first day of March
in such form as may be considered suitable by the Trustees. The Trustees will
ascertain and record the market value as on the said date of the total investments or
securities of the Fund. In case of any investment or security not being a dated
security or investment or security or insurance or any annuity policy for which the
market value is not available, the Trustees shall incorporate these in the accounts
in such manner and at such value as they shall, at their absolute discretion, consider
proper and equitable. The total appreciation and depreciation of the securities so
ascertained any profit or loss incurred on the sale of securities including surrender
or encashment of policies or amenities, all interests accrued or received will be
credited or debited as the case may be, in the Revenue Account.

8.6 The Accounts of the Fund shall be audited yearly by a Chartered Accountant or a
firm of Chartered Accountants, who shall have access to all the books, papers,
vouchers and documents connected with the Fund and who shall, in writing report
to the trustees on the annual accounts. A copy of the audited accounts shall be
furnished to the Corporation.

8.7 The contribution made by the Corporation from 1st January 2007 shall be credited
to the existing individual pension account under the head "Corporation's
contribution".

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 SECTION-VI
GENERAL

9.1 Pension Payments

9.1.1 Consequent upon superannuation/Death/Discharge from the service due to total

Permanent Disability etc. cost of Annuity would be paid by the Trust to LIC. LIC
will start paying monthly Pension to the Pensioner as per their norms.

9.1.2 Procedure for claiming the Pension

Concerned HR Deptt. of the Unit (RHQ/CC etc) will coordinate with the retired
member/beneficiaries of a deceased member and get the relevant forms as detailed
below:

The following are the forms to be obtained and forwarded to the pension trust:-

9.1.2.1. Death Cases:

(i) PFF -01 in Original

(ii) PFF-02 in original (to be prepared jointly by HR & Finance Estt. of the
concerned Unit).
(iii) PFF-03 in original (to be Filled by the Beneficiary) (Death Certificate &
Birth Certificate are to be attested by a Gazetted Officer or Head of
Personnel of the Concerned Unit).
(iv) Blank Discharge Receipt duly revenue stamped and signed by the
Beneficiary, in original.
(v) PFF-06(N) to be signed in blank in original by the Beneficiary.
(vi) A copy of Pension Contribution Account Book

9.1.2.2. Superannuation Cases and Permanent Disablement/ Incapacitation/ Resignation/

Voluntary / Pre-mature retirement/Dismissal/Removal from Service:-

(i) PFF-02 in original (to be prepared jointly by HR & Finance Estt. of the
concerned Unit).
(ii) PFF-04 in original (to be filled by the individual member/HRM).
(iii) Two blank Discharge Receipts duly Revenue Stamped and signed by
the member in original.
(iv) PFF-05 in original duly signed by the member in case commutation
option is exercised.
(v) PFF-06(N) to be signed in blank in original by the member.
(vi) A copy of Pension Contribution Account Book

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9.1.2.3. The documents to be attached are detailed below:

(i) Death Certificate in respect of the Member (issued by the Municipal

Corporation/Gram Panchayat/other local authorities only) (photocopy
attested either by gazetted officer or by Head of HR of concerned Unit).

(ii) Date of Birth Certificate in respect of beneficiary of the deceased

member to whom pension is to be paid (issued by the Municipal
Corporation/Gram Panchayat/other local authorities/Board of
Education).

In case proper Birth Certificate is not available from above mentioned authorities,
respective Head of HR may certify the date of Birth/age of the Beneficiary in the
format (page no. —) based on the records available in the Personal File of the
member. In case no data is available regarding the date of birth of the beneficiary
in the personal file of the member, an affidavit for proof of the age, duly issued by
a Notary Public shall be acceptable.

(a) After receipt of these formats, LIC will calculate the cost of Annuity.

(b) Commutation Value of Pension shall be paid by the LIC after verifying the account.

(c) First cheque of Pension Payment shall be released by LIC.

9.2 The aforesaid Pension -Scheme shall be in addition to the Employees Pension
Scheme-95 operated by RPFC.

9.3 In case of any ambiguity or doubt the Rules of POSOCO Employees Defined
Contribution Superannuation Benefit (Pension) Fund may be referred to, which
shall prevail.

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 SECTION VII
MISCELLANEOUS PROVISIONS

10.1 EMPLOYEES SERVICES LENT/ DEPUTED TO GOVERNMENT/

PUBLIC SECTOR UNDERTAKINGS OR ANY OTHER ORGANIZATION

In the event of an employee's services being lent by the Corporation to an

Organization under the management of or associated with the Corporation or to a
Government/Public Sector undertaking or an employee is deputed to any other
organization with which the Corporation has taken up joint assignment and
permitted to continue as Member of the Superannuation Fund, the employee shall
make the contribution as per the notified percentage of his salary laid down from
time to time along with additional amount if any, to the fund and employer's
contribution will be made by the borrowing organization (or alternatively by the
employee himself)- Delay in remittance of such contribution is liable to interest
being charged from the member at 1% higher than the interest earned by the Trust,
apart from the Trustees taking further action as deemed appropriate in case.

10.1.1 EMPLOYEE KEEPING LIEN ON THE SERVICE OF POSOCO

POSOCO Executives and Functional Directors appointed to senior and top level
posts through Govt, order or presidential order in other PSU/Govt.
Deptt./Authority/Board keeping lien on the fund, may also be permitted to continue
as the member of the scheme provided that the laid down contributions in respect
of such Executive/Functional Director is contributed to the fund. Delay in
remittance of such contributions is liable to interest being charged from the member
at 1% higher than the interest earned by the Trust apart from the Trustees taking
further action as deemed appropriate in case.

10.2 MEMBER TO HAVE NO LEGAL RIGHT: A member or his beneficiary shall

have no interest in the Master Policy taken out in respect of the Members or any
investment otherwise made by the Trustees in accordance with the Rules of the
Superannuation Fund but shall be entitled to receive Superannuation Benefits in
accordance with the Rules. PROVIDED ALWAYS that the Trustees shall
administer the Superannuation Fund for the benefit of the Members and their
Beneficiaries in accordance with the provisions of these Rules.

10.3 RESTRAINT ON ANTICIPATION OR ENCUMBERANCE: The benefits

assured under the Superannuation Fund are strictly personal and cannot be
assigned, charged or alienated in any way. If any restraint or prohibitory order is
served on the Trustees in respect of any benefit payable to a Member or his
Beneficiary or if a Member or a Beneficiary shall become bankrupt or attempts to
assign charge or in any way encounter any benefit hereunder, he shall; forfeit all
rights and claims thereto and the same shall lapse to the Trustees but without
prejudice to the powers of the Trustees at their discretion to maintain or continue
the same, if they think fit, either immediately or after an interval or otherwise to
make payments for the support to the Member or his Beneficiary.

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10.4 TRUST DEED TO PREVAIL: Should anything contained in these Rules or in
any alteration or amendment thereof be inconsistent or repugnant with the objects
or provisions of the Trust Deed, the provisions of the Trust Deed shall prevail. On
any such discrepancy coming to the notice of the Trustees, the Trustees shall, take
effective step to amend the said rules or the trust deed and communicate the same
to the commissioner of IT in accordance with the relevant provisions required.

10.5 JURISDICTION: All benefits under the Superannuation Fund shall be payable
only in India. The Court of Delhi shall have the exclusive jurisdiction in all matters
arising out of the Trust Deed and these rules.

10.6 RULES NOT TO BE REPUGNANT TO INCOME TAX ACT: Should

anything contained in these Rules, or in any amendment made thereof be repugnant
to any Provision of the Income Tax Act, 1961 or the Income-tax Rules, 1962 it shall
be ineffective to the extent of such repugnancy. Any such repugnancy shall be
removed by the Trustees if so directed by the Commissioner of Income-tax.

10.7 DEDUCTION OF SUMS DUE TO INCOME-TAX AUTHORITIES

10.7.1 INCOME TAX: The Fund is an exempted fund under the Income Tax Act.
However, due to any amendment in Income Tax Act or due to any other reason, the
Corporation is liable to deduct Tax and submit accounts to the Income-Tax
Authorities for Income-tax on any payment due under the Superannuation Fund,
the Trustees or the Corporation shall deduct a sum equal to the tax from the benefits
hereunder and pass the net amount to beneficiary accounts or individual account,
as the case may be.

10.7.2 If the superannuation Fund for any reason ceases to be approved by the govt, of
India and the Commissioner of Income-tax the Trustees shall nevertheless be liable
to tax for the benefits paid out of the Superannuation Fund and pass the same to
beneficiary accounts.

10.7.3 Every Member shall appoint one or more of his/her Family members as Beneficiary
or Beneficiaries under the superannuation Fund to receive the benefits hereunder in
the event of the death of the Member. If a Member dies while in service or before
he has commenced to draw the Superannuation benefit or after the Member has
commenced to draw the Superannuation Benefit but before he has received all the
guaranteed installments under the Superannuation Benefit option elected by him,
the Trustees shall hold the benefit in respect of the Member UPON TRUST for
payment to the Beneficiary or Beneficiaries as shall have been appointed by the
Member in accordance with the provisions of this Rules.

10.7.4 Every appointment to be made under this Rules shall be in writing signed by the
Member and attested by two witnesses and shall be according t the form as may be
prescribed by the Trustees from time to time, to these Rules and shall remain in full
force and effect until the death of the Beneficiary or until the same is revoked in

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 writing by the Member by whom the same was made and a fresh appointment is
made in the manner aforesaid.
10.7.5 A member may from time to time or at any time without the consent of the
Beneficiary, if any, revoke or change the Beneficiary by filling a written notice of
the change with the Trustees in the prescribed form satisfactory to the trustees
whereupon an acknowledgement of the change and the registration of the name of
the new Beneficiary will be given to the Member by the Trustees. The new
appointment shall take effect on the date the notice was signed whether or not the
Member is living on the date of acknowledgement or the change without prejudice
to the Corporation or the Trustees on account of any payment

10.7.6 If a beneficiary shall at the time of his appointment be a minor or otherwise under
disability to give a legal receipt or discharge to the Trustees, the Member must at
the time of such appointment as aforesaid appoint a person of full age who is
capable of giving a legal receipt or discharge to the Trustees and to whom the
benefits are to be paid for and on behalf of such beneficiary so long as such minority
or disability continues.

10.7.7 If more than one beneficiary is appointed and in such appointments the member has
failed to specify their share and if any designated Beneficiary predeceases the
Member, the interest of such Beneficiary shall terminate and his share shall be
payable to such of the remaining Beneficiaries as survived by the Member unless
the Member has made written request otherwise to the Trustees in the Prescribed
form.

10.8 PAYMENT ON MEMBER'S INFIRMITY

If any member or his beneficiaries under the scheme shall, in the opinion of the
Trustees be unable by reason of mental incapacity or other causes to manage his
affairs, the Trustees may at their discretion arrange that the Superannuation
Benefits payable to such member or Beneficiaries shall be paid to the person in
whose custody or charge such member or beneficiary shall be as long as the
infirmity lasts, and such a payment shall be a good sufficient and complete
discharge to the Trustees.

10.9 INFORMATION TO TRUST

10.9.1 Corporation agrees to furnish to the Trust all such information/particulars regarding
the members and such other as may be in its possession and as the trust may require
for the purpose of calculation of the contribution required to be made by the
member/corporation or for computing the benefits for the members.

10.9.2 Corporation shall have a list prepared every six months, i.e. on the First day of
January and first day of July each year of all employees who are due to retire within
the next twelve months of that date.

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10.10 In case of a member retiring for reasons other than by way of Superannuation, the
Corporation shall promptly inform the Trust, as soon as the fact of such retirement
becomes known.
10.11 CORPORATIONS RIGHT TO TERMINATE MEMBER'S EMPLOYMENT
UNPREJUDICED

Nothing in these Rules shall be deemed to restrict in any way the rights of the
Corporation to terminate the employment of a member nor shall his being a
Member, be used by the member as a ground for or increasing damages in any
action brought by such Member against the Corporation in respect of termination
of his employment and no expression of intention on the part of the Corporation
herein contained shall create for the benefit of the Member any legal obligation or
Impose any legal liability on the Corporation.

10.12 INTERPRETATION OF RULES: It shall be a condition of the Membership of

the Superannuation Fund that on any question arising on any point of interpretation
of these Rules or any point relating to cessation of Membership, the decision of the
trustees shall be final. If the decision has any bearing on the provisions of Part B of
the Fourth Schedule to the Income Tax Act 1961 or the Income-tax Rules 1962, it
shall be forthwith reported to the Commissioner of Income-tax and if the
Commissioner of Income-tax so requires the Trustees shall review the decision.

10.13. The Trustees may at any time with the consent of the Chairman/CMD or on a
recommendation from the Corporation and in consultation with the MOP by a
Supplementary Trust Deed amend or add to the provisions of Trust Deed or the
Rules, provided that such alteration does not adversely affect the benefit being paid
from the fund or the benefits accrued upto the date of such amendment or the object
of the Fund, provided further that no alteration in the Trust Deed, Rules,
Constitution or Conditions of the Fund shall be made with communication to the
Commissioner or Income-tax.

Reference:
(1) Corporate HR Circular No. 56/2018 dated 05.04.2018 (Re-constitution of POSOCO
Employees Defined Contribution Superannuation Benefit (Pension) Fund Trust)
(2) Corporate HR Circular No. 14/2018 dated 11.06.2018 (Pay Revision of Board Level
Executives and Below Board Level Executives w.e.f. 01.01.2017)
(3) Corporate HR Circular No. 9/2019 dated 29.03.2019 (Revision of Pay and Benefits
Structure for Employees in the Workmen Category)
(4) Corporate HR Circular No. 10/2019 dated 29.03.2019 (Revision of Pay and Benefits
Structure for Employees in the Supervisory Category)

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 FORM-PPF-01

Employee No

DECLARATION -CUM-NOMINATION FORM FOR POSOCO Employees Defined

Contribution Superannuation Benefit (Pension) Scheme

(FORM TO BE FILLED IN TRIPLICATE)

I/Sh/Smt/Km .............................................. (name of the office/region) hereby nominate

the person mentioned below to receive "Pension" under the relevant provisions of the scheme in
the event of my premature death in service :-

NAME AND OF ADDRESS OF AGE & DATE OF RELATIONSHIP WITH

THE NOMINEE ( ONLY ONE BIRTH (attach Proof of THE MEMBER
NOMINEE) date of Birth)

Note: Nominee should be as per the definition of family given in clause 4.1.11 of this scheme.

ALTERNATE NOMINEE (IN CASE OF DEATH OF ABOVE NOMINEE)

NAME AND OF ADDRESS OF AGE & DATE OF Percentage RELATIONSHI
THE NOMINEE BIRTH (attach Proof of of share P WITH THE
date of Birth) MEMBER

(Signature of the Member)

Date:
Witness Name of the Member:
Designation :
1. ________________ Department :
2. ________________ Employee No :

(For Use in HR Department)

Nomination Form verified and found to be correct and kept in record.

(Sign of Head of Personnel)

CC : Name of Desgn. Seal
Individual
Secretary Pension Trust.

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 PFF-02
FORMAT FOR CALCULATING THE "PENSIONARY BENEFITS"/ REFUND Employee No.
OF CONTRIBUTION UNDER THE POSOCO Employees Defined Contribution
Superannuation Benefit (Pension) Scheme
NAME OF THE REGION/UNIT :

Sl.No INFORMATION IN R/O MEMBER (To be filled by DETAILS

HR Department)
1. NAME:
2. DESIGNATION:
3 EMPLOYEE NO.:
4. SCALE OF PAY:
5. DATE OF BIRTH (DD/MM/YYYY)
6. DATE OF JOINING/ABSORPTION IN POSOCO
REGULAR SCALE OF PAY (DD/MM/YYYY) :
7 DATE OF CESSATION OF SERVICE
8 REASON OF CESSATION OF SERVICE
(Superannuation/Resignation/Death or Total
Permanent Disablement or Total Incapacity while in
service)
9 RATE OF 'PERCENTAGE SALARY
CONTRIBUTION' DEDUCTED
(B) INFORMATION WITH RESPECT TO THE
BENEFICIARY OF THE MEMBER
ENTITLED TO RECEIVE THE
PENSIONARY BENEFITS (IN DEATH CASES)
1. Name of the Beneficiary Relationship Date of Birth (DD/MM/YYY)
(Attach attested Birth Certificate)

2. Nomination form Attached: Yes / No

(Signature of
Head of HR)
(With seal)

To be filled up by Finance Department

(C) Total Corporation's Contribution from 01.01.2007
(D) Total Member's Contribution ( Mandatory)
(E) Total Member's Contribution ( Voluntary )
(F) Total Interest Credited
(G) Total accumulated contribution on date of cession of service

Signature of Head of
Finance( With Seal)

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 PFF-03
Employee No :

DETAILS FOR AVAILING OF BENEFITS UNDER THE POSOCO Employees Defined

Contribution Superannuation Benefit (Pension) Scheme
IN CASE OF DEATH OF THE MEMBER WHILE IK SEKVGCE

(A) Particulars of the deceased Member :

1. Full Name :

2. Designation :

3. Employee No :
4. Sex : ..................... 5. Nationality : ...................................

6. Name of the Region/Unit where Member : was

working
7. Date of joining/absorption in POSOCO:

8. Date of Death of the employee (Attach Attested : Death

Certificate)

9. Indicate option under which claim is made

(Out of various option available with approved Pension Provider)

10. Whether you want commutation of Pension : Yes/No

(Note : As per prevailing IT Rule, commutation is permissible up to maximum of l/3rd)

11 Address for correspondence ..........................................................................

with Pin code .......................................................................,

12. Address and Bank Particulars (A/C No) Saving Bank A/C No : (Also enclosed
ECS/RTGS form alongwith Blank cancelled cheque)

i) Saving Bank A/C No: ..............................................................

ii) Name of the Bank : ..................................................................
iii) Name of the Branch: ................................................................

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 iv) Branch Code no .......................................................................
v) Full address of the Bank: ........................................................
(B) Particulars of Nominee (s) to whom the PENSION is to be paid:

i) Name of the Nominee in the event of death of the Member

Name Sex Date of birth (attach Relationship Address where Cheque is

attested birth to be sent
certificate)

ii) Particulars of alternate Nominee in the event of death of Nominee mentioned at SI.
No. i) above.

Name Sex Date of birth Relationship Percentage Address where

(attach attested of share Cheque is to be
birth certificate) sent

3. Particulars of Guardian (If Nominee Beneficiary indicated in 1 or 2 above is minor)

Name Sex Age Relationship Address

(Signature of Head of HR) (Signature of the Beneficiary

(With seal)
Name: ..................................................
Date ......................................................
Place .....................................................
Address ..................................................

Encl: Death Certificate 2. Birth Certificate 3. Discharge Receipt

Certificates at 1 and 2 above should be attested either by Gazetted Officer or by Head of

Personnel.
Witness to be Head of HR Department for the purpose of ensuring correct claimant.

Note : Form to be filled by Beneficiary and submit the same to HR Deptt.of the region and
thereafter to be forwarded to Corporate Centre

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 PPF-04

(APPLICABLE FOR PENSION ON LEAVING SERVICES OF EMPLOYER)

Employees Defined Contribution Superannuation Benefit (Pension) Scheme

Ref.: Pension/Fund/LIC Date: ...........................

To,

The Manager(P&GS),
Life Insurance Corporation of India,
Jeevan Prakash Building,
25, Kasturba Gandhi Marg,
NEW DELHI 110 001.
Sub. :-
Master Policy No.: ...............................
Shri/Smt. : ....................................
Employee No. : ...................................
Dear Sir,
We are enclosing herewith claim papers alongwith form PPF-06( Form N), two Discharge
receipts duly signed by Member and one of our existing Trustees. The stamps are duly affixed
on Discharge receipts. The particulars of Member are given hereunder :-

1. Address at which pension payment is to be made :

2. Date of Appointment/absorption in POSOCO :
3. Date of entry into the scheme :
4. Date of exit/leaving:
5. Mode of exit: Superannuation
6. Date of Birth of Member :
7. Option to choose pension :
8. Mode of payment of pension : (Monthly
9. State whether Member wants commutation of
pension through LIC as per prevalent Income Tax
Rules
10 Do you want to transfer your Annuity servicing to
your nearest LIC Division office specify area.
I) Particulars of Nominee (s) to whom the PENSION is to be paid
( In the event of death of the Member)

EMPLOYEES’ DEFINED CONTRIBUTION SUPERANNUATION BENEFIT (PENSION) SCHEME

Page 334
 Name Sex Date of birth (attach Relationship Address where Cheque is
attested birth to be sent
certificate)

II) Particulars of alternate Nominee in the event of death of Nominee mentioned at

SI. No.1) above.

Name Sex Date of birth Relationship Percentage Address where

(attach attested of share Cheque is to be
birth certificate) sent

Yours Faithfully

Date ......................... (Signature of the member)

Name:

Encl: As stated above

Witness: (Head of HR)

Name: ..........................................................

Designation : ...................................................

Address & Seal: ..................................................

(TRUSTEE & SECRETARY TRUST)

Note : This form should be submitted by the employee to

concerned HR Deptt, at the beginning of the month in
which he/she is being superannuated.

* Birth certificate should be attested by Gazetted Officer/ HR executive

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 DISCHARGE RECEIPT

Received from Life Insurance Corporation of India a sum of Rs ...................................

(Rupees ........................................................................................................ ) being the

amount of refund of deposit under Master Policy No.: ...................................................

dated ..................................... at ................................................ on this ...........................

day of ...........................................

SIGN. OF THE AUTHORISED

SIGNATORY

(MEMBER)

Name .............. : ...................................

WITNESS : 1.

(HEAD OF HR)

Signature: ..............................................

Name: .....................................................

Designation : .............................................

Address : .....................................................

2. Secretary, Pension Trust/Trustee

Signature: ........................................................

Name: ................................................................

Designation : ......................................................

Address: .............................................................

Note: To be attached along with Form No. : PFF(04)

EMPLOYEES’ DEFINED CONTRIBUTION SUPERANNUATION BENEFIT (PENSION) SCHEME

Page 336
 PFF-05

Employees Defined Contribution Superannuation Benefit (Pension) Scheme

APPLICATION FOR COMMUTATION

I, Shri/Smt. _________________________________________ -Emp.

No.________________________________________________ of

_____________________________________ (name of the office) hereby agree to commute self

contributory Superannuation Benefit(Pension)Fund.

(Note: Commutation is permissible up to a maximum of 1/3rd)

(SIGNATURE OF MEMBER)

Name of

Member

__________________________________________

Emp. No.

__________________________________________

Deptt.

__________________________________________
Region/unit:

EMPLOYEES’ DEFINED CONTRIBUTION SUPERANNUATION BENEFIT (PENSION) SCHEME

Page 337
Signature & Seal

1. Head of HR

2. Secy. Pension Fund

EMPLOYEES’ DEFINED CONTRIBUTION SUPERANNUATION BENEFIT (PENSION) SCHEME

Page 338
 PFF - 06 (FORM -N)
Employees Defined Contribution Superannuation Benefit (Pension) Scheme
Ref: Pension Trust/LIC/ Date .
Letter of Authority for Payment of Pension
TO,
The Manager(P&GS)
Life Insurance Corporation of India
Jeevan Prakash Building
25, Kasturba Gandhi Marg
New Delhi - 110001.
SUB:- Master Policy No ............
Dear Sir,
We hereby direct, authorize and empower you to pay on our behalf and as our agent to the under
mentioned Members, who have left or retired from service, the respective pension amounts
shown against their names in the list below after deduction of Income Tax and other taxes and
duties, if applicable, particulars of which have also given in the list.
Master Name of the Member and address Due date of Amount of Income Tax Net
PoL/Sr.No. Pension Pension Net amount
Deduction payable
amount, if
payable any

We likewise direct, authorize and empower you to pay on our behalf and as our agent to the
under mentioned beneficiaries of deceased Members, the pension amounts shown against their
names in the list below after deduction of Income Tax and other taxes and duties, if applicable,
particulars of which have also given, in the list.
Master Name of the the Beneficiary and Due date of Amount of Income Tax Net
PoL/Sr.No. address Pension Pension Net Deduction amou
amount, if nt
payable any payab
le

We hereby admit and acknowledge that the above mentioned payments which shall be made
by you shall in full settlement of payment due to us and we hereby declare that the receipt
signed by the payee shall be sufficient, valid and legal discharge to you for the respective
payments made to them and shall be fully binding on us as if the payment had been to us and
the receipt signed by us.
Dated at……….this………….day of………………20…………….. _____

Yours faithfully
(Trustee & Secy. Fund)
Signature of the Annuitant/Employee/Nominee

EMPLOYEES’ DEFINED CONTRIBUTION SUPERANNUATION BENEFIT (PENSION) SCHEME

Page 339
 Dated: ___________
(Witness: (Signature of Head of Personnel & Seal)

LIFE INSURANCE CORPORATION OF INDIA

P&GS DEPTT., JEEVAN PRAKASH, 25, K.G. MARG, NEW DELHI- 110001.
PHONE NO. 011-23350678, 23314970, 23354984, TOLL FREE 1800118899

OPTION FOR ANNUITY PAYMENT BY ECS/NEFT

The following is a confirmation of my bank account details and I here by affirm my choice to opt
for payment of annuity through ECS/NEFT. I understand that LIC OF INDIA also reserves the
right to sent the annuity payable to me by a physical cheque on account of any unforeseen
circumstances beyond the control of LIC OF INDIA, that may affect payment of annuity through
ECS/NEFT.

Annuity No. _________________ Annuity Amount ______________

Annuitant's Name

Bank Name : _____________________________________________

Bank Branch : _____________________________________________
Bank Address : _____________________________________________
Bank Account Type (SB/Current) : ______________________________________________
Bank Account Number : _____________________________________________
9 Digit MICR Number : _____________________________________________
IFSC Code (For NEFT Payment) : ______________________________________________

Please attach a blank cancelled cheque or photocopy of your bank cheque with above particulars.

I hereby declare that the particulars given above are correct and complete. If the transaction is
delayed or not effected at all for reasons of incomplete or incorrect information, I would not hold
LIC responsible. I agree to discharge the responsibility expected of me as a participant under the
scheme.

Land Line of Annuitant (Pensioner) ____________ email-id of Pensioner ________________

Mobile No. of Annuitant (Pensioner) ___________ PAN No. of Pensioner _______________

Date: Signature of Annuitant (Pensioner)

EMPLOYEES’ DEFINED CONTRIBUTION SUPERANNUATION BENEFIT (PENSION) SCHEME

Page 340
Please attach a cancelled blank cheque or photocopy of cheque of your bank.

Certification by the Bank

(This is required only if cancelled cheque/photocopy of cheque is not enclosed)

Certified that the bank details furnished as above are correct as per our records.

Bank Stamp Signature of authorized signatory

Annexure B

Option to contribute voluntarily contribution towards Pension Scheme

I ___________________________, E m p No. _______, ________________

(Designation) wish to intimate that I want to contribute voluntarily an amount of Rs.
______ monthly to m y Pension Account which may be deducted from my Salary.

Name:

Emp No.

Designation

Place of Posting

Date

EMPLOYEES’ DEFINED CONTRIBUTION SUPERANNUATION BENEFIT (PENSION) SCHEME

Page 341
 EMPLOYEES’
GRATUITY FUND
RULES

Page 342
 POSOCO EMPLOYEES GRATUITY FUND RULES
1.0 Definitions
In these Rules and Regulations, unless there is anything repugnant to the subject or
context;

a) "Board of Trustees" means the Board consisting of all Trustees of the Fund.

b) "Beneficiary" means an employee entitled to gratuity in accordance with the

provisions of these Rules.

c) "Commissioner" means Commissioner of Income Tax.

d) "Employee" means any person (other than an apprentice) employed on wages in

the Company irrespective of the rate of his pay and status, but does not include an
employee of State, Central Government or other Government or industrial
concerns working with the company on foreign service terms.

e) "The Board of Directors" means the Board of Directors, for the time-being and
from time to time, of Power System Operation Corporation Limited and shall
include any Committee of the Board of Directors to which the Board of Directors
has delegated or may delegate its powers in this respect.

f) "The Company" means Power System Operation Corporation Limited.

g) "The Fund" means the POSOCO Employees' Gratuity Fund.

h) "Rules" means the Rules and Regulations of POSOCO Employees' Gratuity Fund
as contained herein.

i) "Secretary" means the Secretary of the Board of Trustees.

j) "Trustees" or the Board of Trustees means the Trustees of the Fund for the time-
being and from time to time and "Trust" means the irrevocable Trust under which
the Fund is established.

k) "Wages" means all emoluments which are earned by an employee while on duty
or on leave in accordance with the terms and conditions of his employment and
which are paid or are payable to him in cash and include Dearness Allowance but
does not include any Bonus, Commission, House Rent Allowance, Over-Time
Payment and any other Allowance.

l) Words in the singular number shall include the plural and words in the masculine
gender shall include the feminine.

m) All other words, terms and expressions not defined herein above shall have the
meaning respectively assigned to them in the Payment of Gratuity Act, 1972 and
Rules made thereunder and the Income Tax Act, 1961 and Rules made thereunder.

EMPLOYEES’ GRATUITY FUND RULES

Page 343
2.0 Irrevocability of the Fund and purpose of Fund
The Fund shall be vested in the Board of Trustees under an irrevocable Trust
having for its sole purpose the provision of gratuity to the employees of the
Company as provided in these Rules.

3.0 The object of the Fund is to provide money for payment of gratuity in India to the
employees of the Company in accordance with the provisions of these Rules.

4.0 The Company shall be the contributor to the Fund.

5.0 Trustees
There shall be at least three Trustees on the Board of Trustees of the Fund. The
Trustees of the Fund shall be resident in India and any Trustee who leaves India
permanently shall vacate his office.

6.0 Terms of Office

i) The term of office of the Trustees shall be normally three years commencing from
the date of their nomination as trustee of the Fund.
Provided that any such Trustee shall, notwithstanding the expiry of the said period
of three years, continue to hold office until the nomination of his successor is
made.

ii) An out-going Trustee shall be eligible for re-nomination.

7.0 Vacancy in the Office of Trustees

A Trustee shall cease to hold office with immediate effect:
i) on his death; or

ii) on his resignation duly accepted by the Board of Trustees; or

iii) on his becoming insolvent, insane or incapacitated; or

iv) If he is convicted of an offence involving moral turpitude; or

v) if he permanently leaves India; or

vi) on his ceasing to be a Director if he was nominated while he was a Director of the
Company; or

vii) on his ceasing to be an employee, if he is an employee of the Company.

EMPLOYEES’ GRATUITY FUND RULES

Page 344
8.0 The Director (Finance) of the Company shall nominate an employee as a Trustee in place
of such a Trustee who has ceased to be a Trustee in any manner specified in Rule 7 above.

9.0 Eligibility and Scale of Gratuity

1. Gratuity shall be payable to an employee on the termination of his employment
after he has rendered continuous service for not less than five years:

a) on his superannuation; or

b) on his resignation, retirement or termination of his services; or

c) on his death or disablement due to accident or disease.

Provided that the 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.

Provided further that in the case of death of the employee, gratuity payable to him
shall be paid to his nominee, or if no nomination has been made, to his heirs and
where any such nominee or such heirs is a minor, the share of such minor shall be
deposited with the Controlling Authority who shall invest the same for the benefit
of such minor in such bank or other financial institutions as may be prescribed
until such minor attains majority.

Where the transfer of an employee to another Public Sector Undertaking is

effected with the consent of POSOCO Management, the employee shall be
allowed the benefit of transfer of his gratuity to his new employer.

2.a) The amount of gratuity shall be equal to 15 days wages last drawn by the Employee
concerned for every completed year of service or part thereof in excess of 6
months subject to maximum of 40 times 15 days wages or Rs. 20 Lakhs
whichever is less.

b) However, in case of death of an employee while in service, amount of gratuity will

be admissible on the scale, calculated as under:

Period of continuous service Amount of Gratuity

Upto 1 year 4 times 15 days wages
More than 1 year but upto 5 years 12 times 15 days wages
More than 5 years but upto 20 24 times 15 days wages
years
More than 20 years Half month's wages for completed
half year of service subject to
maximum of 66 times 15 days

EMPLOYEES’ GRATUITY FUND RULES

Page 345
 wages.
Provided, however, the amount of
gratuity shall in no case exceed
Rs.20 Lakhs.

The ceiling limit of gratuity of the Executives stands revised from ₹10 lakhs to
₹20 lakhs as per DPE guidelines. The funding of the entire amount of gratuity
would be met from within the ceiling of 30% of Basic + DA. The ceiling of
Gratuity shall increase by 25% whenever IDA rises by 50%.

The ceiling limit of gratuity of the Supervisors and Workmen will be enhanced
from ₹10 lakhs to ₹20 lakhs w.e.f 01.01.2017. The funding of the entire amount
of gratuity would be met from within 30% of (Basic pay + DA) towards
superannuation benefits. Besides, the ceiling of gratuity shall increase by 25%
whenever IDA rises by 50%. The payments shall be subject to Income Tax rules

Explanation
i) In the case of piece-rated employee, daily wages shall be computed on the average
of total received by him for a period of three months immediately preceding the
termination of his employment and for this purpose, the wages paid for any
overtime work shall not be taken into account.

ii) In the case of monthly rated employee, the fifteen days wages shall be calculated
by dividing the monthly rate of wages last drawn by him by twenty six and
multiplying the quotient by fifteen.

iii) For the purpose this clause 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.

iv) For the purpose of computing the gratuity payable to an employee who is
employed after his disablement on reduced wages, his last drawn wages for the
period preceding his disablement shall be taken to be the wages last drawn by him
for that period and his last drawn wages for the period subsequent to his
disablement shall be taken to be the wages for that period.

(3) Notwithstanding anything contained in the preceding clauses :

a) the gratuity of an employee, whose services have been terminated for any act of
wilful omission or negligence causing any damage or loss to, or destruction of
property belonging to the Company, shall be forfeited to the extent of the damage
or loss so caused;

b) the gratuity payable to an employee shall be wholly or partly forfeited :

EMPLOYEES’ GRATUITY FUND RULES

Page 346
 i) if the services of such employee have been terminated for his riotous or disorderly
conduct or any other act of violence on his part, or
ii) if services of such employee have been terminated for any act which constitutes an
offence involving moral turpitude, provided that such offence is committed by him
in the course of his employment.
Gratuity payable to an employee who does not fall within the purview of the
Payment of Gratuity Act, 1972, as amended from time to time, may be kept in
abeyance upto a maximum period of six months, if disciplinary proceedings for
major penalty have already commenced against him at the time of his
resignation/retirement etc., during which period the Disciplinary Authority is
expected to decide the nature of penalty. If after investigations, the Disciplinary
Authority decides to terminate the services of such an employee, then gratuity
shall be forfeited, fully or partly, to the extent indicated in preceding sub-rule (a)
and (b) of this rule.

10.0 Income tax/ Duty etc. Payable by the Employee

Income tax, Super Tax and any other tax/duty, if any, payable on the amount of
gratuity shall not be borne by the Fund but shall be deducted from out of the
gratuity amount payable to the employee.

11.0 Powers of Trustees

(i) The Rules shall interpreted by the Board of Trustees whose decision shall be final
and binding upon the employees of the Company and their nominees.

(ii) The Board of Trustees shall administer the Fund and income thereof except as
otherwise provided in the Rules and Regulations for the time being in force.

(iii) The Board of Trustees shall invest the money of the Fund which are not required
immediately or in the near future for the purpose of the Trust in accordance with
the provisions of the Income Tax Act, 1961, and the Rules made thereunder
including their amendments.

12.0 Appointment of Secretary

The Board of Trustees may from time to time appoint any officer in the Accounts
Department of the Company to be the Secretary of the Fund to sign all
correspondence on behalf of the Fund and exercise all powers and authorities as
may be conferred on him by the Board of Trustees.

13.0 Power of Board of Trustees for Sale and Hypothecation etc of the Investments
The Board of Trustees may from time to time, as and when necessary, raise such
sum or sums as may be required for the purposes of the fund by sale,
hypothecation or pledge of the investments held by them or of a substantial part
thereof.

EMPLOYEES’ GRATUITY FUND RULES

Page 347
14.0 Receipts for money received by the Board of Trustees
Receipts for money received by the Fund or by Board of Trustees and endorsement
of cheques, drafts and other documents, received by the Board of Trustees shall be
made by the Secretary for and on behalf of the Board of Trustees.

15.0 Meetings
(i) The Board of Trustees shall meet as often as may be necessary and at such places
and times as may be considered appropriate for the despatch of business of the
Fund.

(ii) The Secretary may whenever he thinks fit, and shall, within fifteen days of the
receipt of a requisition in writing from not less than two members of the Board of
Trustees, call a meeting thereof.

16.0 Notice of Meeting and Agenda of Business

For every meeting, notice of not less than 7 days containing the date, time and
place together with the agenda of business to be conducted at the meetings shall be
sent to all Trustees. Provided that when the Secretary, with the approval of the
Chairman calls a meeting for considering any matter which, in his opinion, is
urgent, a notice giving such reasonable notice as he may consider necessary, shall
be deemed sufficient.

17.0 Appointment of Chairman

Director (Finance) of the Company may appoint any officer of the company to be
the Chairman of the Trust.

18.0 Chairman to preside at meeting

The Chairman shall preside at every meeting of the Board of Trustees at which he
is present. If the Chairman is absent at any time, the Trustees present shall elect
one of them to preside over the meeting.

19.0 Quorum
i) Two members including the Chairman of the Board of Trustees shall constitute the
quorum at any meeting of the Board of Trustees.

ii) If at any meeting the number of Trustees present is less than the required quorum,
the meeting will stand adjourned to the same day of the next week at the same time
and place and if at such adjourned meeting the quorum is not present, then those
trustees who are present shall form the quorum and transact the business for which
meeting was called.

20.0 Disposal of Business

EMPLOYEES’ GRATUITY FUND RULES

Page 348
 i) Each Trustee (including the Chairman) shall have one vote.

ii) Every question considered at a meeting of the Board of Trustees shall be decided
by a majority of the votes of the Trustees present and voting. In the event of an
equality of votes cast in favour and against, then the Chairman shall have an
additional casting vote.

iii) Any resolution, except as may be placed before the meeting of the Board of
Trustees, may be adopted by circulation among all the Trustees and any resolution
so circulated and adopted by a majority of the Trustees who have signified their
approval in writing shall be as effective and binding as if such resolution had been
adopted at meeting of the Board of Trustees. However, such circulatory resolution
shall be put up in the next meeting of the Board of Trustees for confirmation.

21.0 Minutes of Meeting

i) The Secretary shall maintain the records of the minutes of all meetings of all the
Board of Trustees in a bound Minutes Book.

ii) The minutes of each meeting shall be signed by the Chairman. Such minutes shall
be placed for confirmation at the next meeting of the Board of Trustees.

iii) The Secretary shall take necessary steps for carrying out the decisions of the Board
of Trustees.

22.0 The Board of Trustees shall function notwithstanding any vacancy therein and
notwithstanding any inadvertent defect in the nomination of any of its Trustees or
constitution of the Board of Trustees. No act or proceedings of the Board of
Trustees shall be called in question merely by reason of existence of any vacancy
therein or any inadvertent defect in the nomination of any Trustee or constitution
of the Board of Trustees.

23.0 Cost of Administering the Fund

It shall be lawful for the Board of Trustees to reimburse themselves or pay and
discharge out of the property of the Trust, all costs, charges and expenses incurred
by them in carrying out these presents or in the execution of the Trust powers
under these presents.

24.0 Delegation of Powers, Duties etc. by the Board of Trustees

The Board of Trustees may delegate any of their duties, powers, rights and
discretions to one or more committees of Trustees, Chairman or Trustees or
Secretary as they may, from time to time, fit and they may vary, alter, withdraw,
modify or cancel such delegation as they may, from time to time, think fit.

25.0 Bank account of the Fund and Investment of Fund money

EMPLOYEES’ GRATUITY FUND RULES

Page 349
 All contributions of the Company shall be deposited by the Board of Trustees into
a Bank account especially created for that purpose and at convenient intervals and
as soon as possible the Board of Trustees shall invest these funds as provided
herein before. All interest accruing on the funds either through the Bank account
or securities or investment, will after meeting any related expenses, be caused to
be credited by the Board of Trustees at convenient intervals not less than once
every year to the account of the Fund. The said bank account shall be operated
upon jointly by two Trustees or by one of the Trustees and the Secretary, if so
authorised by the Board of Trustees.

The money may be utilised for the purpose of making contributions under the
Group Gratuity Scheme entered into with the Life Insurance Corporation of India
and to the extent such money as are not so deposited or utilised shall be invested in
the manner specified in sub-rule (2) of Rules 67 of Income Tax Rules, and for this
purpose, the expression "investible money" in that sub-rule shall mean the money
of the Fund as are not deposited or utilised as aforesaid.

26.0 Liability of the trustees

No Trustee shall be responsible or chargeable save and except for the moneys
actually received by him nor shall he be responsible or chargeable for the acts,
defaults or neglects of the bank with whom the money of the Fund are deposited
nor for any loss, unless the same happens through his own wilful act or omission.
All expenses incurred in respect of, and loss, if any, arising from any investment
shall be charged to the Fund.

27.0 Admission of Directors of the Company to the fund

The Chairman and Managing Director and other Functional Directors of the
Company shall be admitted to the benefits of the Fund only if they are whole-time
Directors of the Company and do not beneficially own shares in the company
carrying more than two percent of the paid up capital i.e. total voting right.

28.0 Assignment of and creating charges

No employee shall be entitled to assign or create a charge upon his beneficial
interest in the Fund.

29.0 Account and Audit

i) The Secretary shall cause the accounts of the Fund to be maintained in such a
manner as the Board of Trustees may, from time to time, decide.

ii) At the end of each financial year an Income and Expenditure Account together
with a Balance Sheet of the Fund's assets and liabilities shall be laid before the
Board of Trustees at a meeting to be held within nine months of the close of the
financial year.

EMPLOYEES’ GRATUITY FUND RULES

Page 350
 iii) Every year the Board of Trustees of the Gratuity Trust shall appoint a Chartered
Accountant or a firm of Chartered Accountants as auditor, for audit of the Fund
accounts, and fix the remuneration which shall be borne by the Company.

iv) A copy of the said audited account shall be furnished to the Company and
statutory authorities or such other authorities as may be necessary.

30.0 Arrangement of winding up of the Company’s Business

Where the Company's business is to be wound up or discontinued, the Board of
trustees shall with the prior approval of and subject to such conditions as may be
imposed by the commissioner make satisfactory arrangements for the payment of
gratuity to the existing beneficiaries.

31.0 Arrangement of winding up of the fund

Any arrangement for the winding up of the Fund or for its amalgamation with
another fund shall be subject to the prior approval of and to such conditions as may
be imposed by the Commissioner.

32.0 Nomination
i) Each employee who has completed one year of service shall make nomination in
Form-B (annexed).

ii) An employee may in his nomination distribute the amount of gratuity payable to
him amongst more than one nominee.

iii) If an employee has a family at the time of making a nomination, the nomination
shall be made in favour of one or more members of his family, and any nomination
made by such employee in favour of a person who is not a member of his family,
shall be void.

iv) If, at the time of making a nomination the employee has no family, the nomination
may be made in favour of any person or persons, but if the employee subsequently
acquires a family, such nomination shall forthwith become invalid and the
employee shall make a fresh nomination in favour of one or more members of his
family in Form-C (annexed).

v) A nomination may, subject to sub-clauses (iii) and (iv), be modified by an

employee at any time, after giving to the Secretary a written notice in Form D
(annexed) of his intention to do so.

vi) If a nominee predeceases the employee, the interest of the nominee shall revert to
the employee who shall make a fresh nomination, in respect of such interest.

EMPLOYEES’ GRATUITY FUND RULES

Page 351
 vii) Every nomination, fresh nomination or modification of nomination, as the case
may be, shall be sent by the employee to the Secretary, who shall keep the same in
his safe custody.

viii) A nomination, fresh nomination or its modification shall take effect to the extent it
is valid on the date on which it is received by the Secretary.

Explanation-I

For the purpose of this clause, "family" in relation to employee shall be deemed to
consist of :

i) In the case of a male employee, himself, his wife, children, whether married or
unmarried, his dependent parents and the dependent parents of his wife and the
widow and children of his predeceased son, step son/daughter, sister and minor
brother, if any.

ii) In the case of a female employee, herself, her husband, her children, whether
married or unmarried, her dependent parents and dependent parents of her husband
and the widow and children of her predeceased son, step son/daughter/sister and
minor brother, if any.

iii) Provided that if a female employee, by a notice in writing to the Secretary,

expresses her desire to exclude her husband from her family, the husband and his
dependent parents shall no longer be deemed to be included in the family of such
female employee unless the said notice is subsequently withdrawn by such female
employee.

Explanation-II

Where the personal law of an employee permits the adoption by him, of a child,
any child lawfully adopted by him shall be deemed to be included in his family
and where a child of an employee has been adopted by another person and such
adoption is lawful under the personal law of the person making such adoption,
such child shall be deemed to be excluded from the family of the employee.

33.0 Payment of gratuity

i) An employee who is eligible for payment of gratuity or any person authorised, in
writing to act on his behalf, shall apply to the Secretary within 30 days from the
date the gratuity becomes payable in Form-E (annexed).

ii) Provided that where the date of superannuation or retirement of an employee is

known, the employee may apply to the Secretary before 30 days of the date of his
superannuation or retirement.

EMPLOYEES’ GRATUITY FUND RULES

Page 352
 iii) A nominee of an employee who is eligible for payment of gratuity under Rule 9 of
the Rules shall apply, to the Secretary within 30 days from the date the gratuity
becomes payable to him in Form-F (annexed).

Provided that an application on a plain paper with relevant particulars shall also be
accepted. The Secretary may call and obtain such other particulars as may be
deemed necessary by him.

iv) A legal heir of an employee who is eligible for payment of gratuity under Rule 9
of the Rules shall apply to the Secretary within one year from the date the gratuity
becomes payable to him in Form-G (annexed).

v) Where gratuity becomes payable before the commencement of this Rule, the
periods for claim as specified hereinabove shall be deemed to be operative from
the date of commencement of the Rules.

34.0 Mode of payment of Gratuity

The gratuity payable shall be paid in cash or if so desired by the payee, by Demand
Draft or cheque to the eligible employee, nominee or legal heir, as the case may
be. Provided that in case the eligible employee, nominee or legal heir, as the case
may be, so desires, and the amount of gratuity payable is less than one thousand
rupees, payment may be made by postal money order after deducting the postal
money order commission thereon from the amount payable to the employee.

35.0 Register of Payments

A register shall be kept by the Secretary in which, shall be entered the names and
addresses of persons who received gratuity out of the Fund together with the
amount paid to each of them.

36.0 Agreement to be Bound of Rules

Every employee when joining the Fund shall subscribe an agreement as in Form A
(annexed).

37.0 Amendments and Repugnancy of Rules

No alteration in the Rules, constitution, objects or conditions of the Fund shall be
made by the Board of Directors of the Company without obtaining prior approval
of the commissioner.

38.0 If there is any repugnancy between these Rules and Regulations of the Fund and
any provision of the Gratuity Act, 1972, Income Tax Act, 1961 or the Rules made
thereunder, or any other law for the time-being in force, these Rules and
regulations herein incorporated to the extent of such repugnancy, shall be
ineffective and the statutory provisions shall prevail to the extent of such
repugnancy.

EMPLOYEES’ GRATUITY FUND RULES

Page 353
39.0 Disputes regarding administration of the fund
Any difference which may arise between employees, their nominees, executors or
successors and Board of Trustees or the Company with regard to any matter or
thing arising out of administrations of Fund and/or Rules and Regulations, shall be
referred to a person appointed by the Board of Directors, as the sole arbitrator who
shall give his award in terms of the Indian Arbitration Act, 1940 as amended from
time to time, which award shall be final and binding on all concerned.
****************

Reference:
(1) Corporate HR Circular No. 57/2018 dated 05.04.2018 (Reconstitution of
POSOCO Employees Gratuity Fund Trust)
(2) Corporate HR Circular No. 14/2018 dated 11.06.2018 (Pay Revision of Board
Level Executives and Below Board Level Executives w.e.f. 01.01.2017)
(3) Corporate HR Circular No. 9/2019 dated 29.03.2019 (Revision of Pay and
Benefits Structure for Employees in the Workmen Category)
(4) Corporate HR Circular No. 10/2019 dated 29.03.2019 (Revision of Pay and
Benefits Structure for Employees in the Supervisory Category)

EMPLOYEES’ GRATUITY FUND RULES

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 POSOCO EMPLOYEES GRATUITY FUND

FORM OF AGREEMENT

(Rule 36)

I hereby declare that I have read the Rules and Regulations of the POSOCO Employees Gratuity
Fund and that I agree to be bound by them and by subsequent additions and/or alterations, if any,
to them from time to time made in pursuance of the Rules and Regulations of the fund.

1. Name (Surname, First Name & Middle Name)

2. Age (Years & Month)
3. Date of Birth
4. Sex
5. Religion
6. Father’s/Guardian’s Name
7. Marital Status
8. Husband's/Wife's name
9. Identification mark
10. Region/office in which working
11. Designation
12. Employee number
13. Date of appointment
14. Permanent address
15. Present address
16. Tel. No.

Place .......................... Signature/Thumb impression of

Date ......................... the employee
Certified that the above declaration has been executed by ............................................
Employer Number ................................. Employed as ............................ at
........................................... before me after he had read the entries.

Place ....................... Signature of the

Date ......................... Controlling officer

EMPLOYEES’ GRATUITY FUND RULES

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 POSOCO EMPLOYEES GRATUITY FUND
FORM "B"
NOMINATION
Para (i) of Rule 32
To
The Secretary
Board of Trustees,
POSOCO Employees Gratuity Fund,
New Delhi-110001

Sir,

1. I Shri/Shrimati/Kumari .................................................. Employee No. ................

of ............................................... (name of the Office) hereby nominate the
person(s) mentioned below to receive the gratuity payable after my death as also
the gratuity standing to my credit in the event of my death before the amount has
become payable, or having become payable has not been paid, and direct that the
said amount of gratuity shall be paid in proportion indicated against the name(s) of
the nominee(s).

2. I hereby certify that the person(s) mentioned is/are a member(s) of my family

within the meaning of Explanation 1 to Rule 32 of the Rules and Regulations.

3. I hereby declare that I have no family within the meaning of Explanation 1 to Rule
32 of the Rules and Regulations.

4. a) My father/mother/parents is/are not dependent on me.

b) My husband's father/mother/parents is/are not dependent on my husband.

5. I have excluded my husband from the family by a notice dated ................... to the
Secretary in terms of proviso to Explanation-I (ii) to Rule 32 of the Rules and
Regulations.

6. Nomination made herein invalidates my previous nomination(s).

Nominee(s)
Sl. Name in full with full Relationship Age of Proportion
No. address of with the nominee by which
Nominee(s) employee gratuity will
be shared
1
2
3
so on

Place ................................ Signature/Thumb Impression

Date ............................... of the employee

EMPLOYEES’ GRATUITY FUND RULES

Page 356
 _________________________________________________________________
Declaration by witnesses

Nomination signed/thumb
impressed before me

Name and address, in full, of witnesses Signature of Witnesses

1. 1.
2. 2.

Date …..........................
Place …..........................

____________________________________________________________________
Certificate by the Controlling Officer

Certified that the particulars of the above nomination have been verified

Date …....................
Place …....................
Signature of the
Controlling Officer

________________________________________________________________

Acknowledgement by the Secretary

The above nomination has been recorded.

Date .......................
Place ....................... Signature of the Secretary
____________________________________________________________________

Note :

i) Strike out the words and paragraphs not applicable.

ii) Secretary will send the duplicate copy of this form duly acknowledged to the
employee.

EMPLOYEES’ GRATUITY FUND RULES

Page 357
 POSOCO EMPLOYEES GRATUITY FUND TRUST
FORM 'C'
FRESH NOMINATION
Para (iv) of Rule 32

To

The Secretary
Board of Trustees
POSOCO Employees' Gratuity Fund
New Delhi

Sir,

1. I Shri/Srimati/Kumari ............................................................Employee No. ..........

of (name of Office) ............................... have acquired a family within the meaning
of Explanation 1 to Rule 32 of the Rules and Regulations of the POSOCO
Employees Gratuity Fund with effect from .......................................................... in
the manner indicated below and therefore nominate a fresh person(s) mentioned
below to receive the gratuity payable after my death as also the gratuity standing to
my credit in the event of my death before that amount has become payable or
having become payable has not been paid, and direct that the said amount of
gratuity shall be paid in proportion indicated against the name(s) of the
nominee(s).

2. I hereby certify that the person(s) nominated is/are member(s) of my family within
the meaning of Rule 32 of the Rules and Regulation.

3. (a) My father/mother/parents is/are not dependent on me.

(b) My husband's father/mother/parents is/are not dependent on my husband.

4. I have excluded my husband from my family by a notice dated ..................... to the

Secretary, Board of Trustees in terms of Explanation-1 to Rule 32 of the Rules and
Regulations.
Nominee(s)

Sl. No. Name in full Relationship Age of Proportion by

with full with the nominee which gratuity
address of employee will be shared
Nominee(s)
1.
2
3
4
So on
Place ................................

EMPLOYEES’ GRATUITY FUND RULES

Page 358
 Signature/Thumb Impression
Date ............................... of the employee

_________________________________________________________________

Declaration by witnesses

Nomination signed/thumb
impressed before me

_________________________________________________________________

Name and address, in full, Signature of Witnesses

of witnesses

1. 1.

2. 2.

Date .............................

Place .............................

______________________________________________________________

Certificate by the Controlling Officer

Certified that the particulars of the above nomination have been verified

Date .......................

Place .......................

Signature of the Controlling Officer

_________________________________________________________________

Acknowledgement by the Secretary

The above nomination has been recorded.

Date .......................

Place ....................... Signature of the Secretary

___________________________________________________________________
Note :

i) Strike out the words and paragraphs not applicable.

ii) Secretary will send the duplicate copy of this form duly acknowledged to the employee.

EMPLOYEES’ GRATUITY FUND RULES

Page 359
 FORM 'D'

POSOCO EMPLOYEES GRATUITY FUND TRUST

Modification of Nomination
Para (v) of Rule 32
To
The Secretary
Board of Trustees
POSOCO Employees' Gratuity Fund
New Delhi

Sir,

1. I Shri/Srimati/Kumari .................................................................... Employee No. .......... of

............................... (Name of Office) hereby give notice that the nomination filed by me
on ...................................... and recorded under your reference ............................... date
............................... shall stand modified in the following manner.

(here give details of the

modifications intended)

Signature/Thumb
impression of the employee
Place ...............................

Date ..................................

Declaration by Witnesses
Modification of nomination signed/thumb impressed before me.

Name in full and address Signature of Witnesses

1. 1.

2. 2.
Date .............................

Place .............................
------------------------------------------------------------------------------------------------------------
Certificate by the Controlling Officer

Certified that the modifications mentioned above have been verified.

Date .......................

EMPLOYEES’ GRATUITY FUND RULES

Page 360
 Place.......................
Signature of the Controlling Officer
________________________________________________________________

Certificate by the Secretary

Certified that the above modifications have been recorded.

Date .......................

Place ....................... Signature of the Secretary

________________________________________________________________

Note :

i) Strike out the words and paragraphs not applicable.

ii) Secretary will send the duplicate copy of this form duly acknowledged to the
employee.

EMPLOYEES’ GRATUITY FUND RULES

Page 361
 POSOCO EMPLOYEES GRATUITY FUND TRUST
FORM - E
APPLICATION FOR GRATUITY BY AN EMPLOYEE
Para (i) of Rule 33
To
The Secretary
Board of Trustees,
POSOCO Employees Gratuity Fund Trust,
New Delhi

Sir,

I hereby apply for payment of gratuity to which I am entitled as per rules. Necessary
particulars relating to my appointment in the Company are given below :

1. Name
2. Designation & Employee No
3. Region/ Department/ Section, where
last employed
4. Address in full

5. Date of Appointment/absorption
6 Date of Superannuation/ Termination
of Service
7. Cause of Termination of Service
8. Total period of Service : Years…………..
Months…………….
9. Salary (Pay + DA + AR + PP) last
drawn by the employee Rs. .......................
10. I was rendered totally disabled as a
result of :
(here give the details of the nature of
disease or accident)
11. The evidence/documents/witnesses in support of my total disablement are as
follows:

12. As the amount of gratuity Payable is less than Rs. 1000/- (Rs. One Thousand only) I
shall request you to arrange for Payment of the sum due to me by Postal Money
Order at the address mentioned above after deducting Postal Money Order
Commission therefrom.

Yours faithfully

Signature/Thumb Impression
of the Employee

EMPLOYEES’ GRATUITY FUND RULES

Page 362
 Place :

Date :

______________________________________________________________________

Advance Stamped Receipt

Received a sum of Rs. .................. (Rupees ................................) from POSOCO

Employees Gratuity Fund Trust towards full and final settlement of my Gratuity.

Signature of the Applicant

Dated ...............................

EMPLOYEES’ GRATUITY FUND RULES

Page 363
 POSOCO EMPLOYEES GRATUITY FUND TRUST
FORM - F
APPLICATION FOR GRATUITY BY A NOMINEE
(Para III of Rule 33)
To
The Secretary
Board of Trustees,
POSOCO Employees Gratuity Fund,
New Delhi.

Sir,

1. I hereby apply for payment of gratuity to which I am entitled under Rule 9 of the Rules
and Regulations of POSOCO Employees Gratuity Fund as nominee of late
Shri/Shrimati/Kumari .............................. who was an employee of Power System
Operation Corporation Limited and died on .......................................... The gratuity is
payable on account of the death of the aforesaid employee while in
service/superannuation of the aforesaid employee on .................................. after
completion of ................... years of service/total disablement of the aforesaid employee
due to accident or disease while in service with effect from ............................ Necessary
particulars relating to my claim are given in the statement below :

1. Name of applicant nominee

2. Address in full of the applicant nominee
3. Marital status of the applicant
nominee(unmarried/married/widow/widower)
4. Reference No. of recorded nomination
available
5. Name in full of the employee
6. Region/Department/Section where last
employed
7. Post last held with Employee No
8. Date of appointment of the employee
9. Date and cause of termination of service of
the employee
10. Date of death and evidence/witness as proof
of death of the employee
11. Total period of service of the employee
12. Amount of wages last drawn by the employee
13. Total gratuity payable to the employee
14. Share of gratuity claimed
2. I declare that the particulars mentioned in the above statement are true and correct to the
best of my knowledge and belief.

3. Payment may please be made in cash/open or crossed bank cheque/Demand Draft.

EMPLOYEES’ GRATUITY FUND RULES

Page 364
4. As the amount payable is less than Rupees 1,000/- (Rupees One Thousand only) I shall
request you to arrange for payment of the sum due to me by postal Money Order at the
address mentioned above after deducting postal money order commission therefrom.

Yours faithfully,

Signature/thumb impression of applicant nominee

Place :
Date :
————————————————————————————————————
—
Note : Strike out the words and/or paragraphs not applicable.

EMPLOYEES’ GRATUITY FUND RULES

Page 365
 POSOCO EMPLOYEES GRATUITY FUND TRUST
FORM - G

APPLICATION FOR GRATUITY BY A LEGAL HEIR

To
The Secretary
Board of Trustees,
POSOCO Employees Gratuity Fund,
New Delhi.

Sir,

1. I hereby apply for payment of gratuity to which I am entitled under Rule 9.0 of the Rules
and Regulations of POSOCO Employees Gratuity Fund as legal heir of late
Shri/Shrimati/Kumari ............................... who was an employee of Power System
Operation Corporation Limited and died on ................................. without making any
nomination. The gratuity is payable on account of the death of the aforesaid employee
while in service/superannuation of the aforesaid employee on ................................
retirement or resignation of the aforesaid employee on ............................. after completion
of ........................ years of service/total disablement of the aforesaid employee due to
accident or disease while in service with effect from .................. Necessary particulars
relating to my claim are given in the statement below:

1. Name of applicant (legal heir)

2. Address in full of applicant (legal heir)
3. Marital status of the applicant (legal
heir)(unmarried/married/widow/widower)
4. Name in full of the employee
5. Relationship of the applicant with the
employee
6. Region/Department /Section where the
employee last worked
7. Post last held by the employee with
Employee No
8. Date of appointment of the employee
9. Date and cause of termination of service
of the employee
10. Date of death of the employee and
evidence/witness in support thereof
11. Total period of service of the employee
12. Amount of wages last drawn by the
employee
13. Total gratuity payable to the employee
14. Percentage of the gratuity claimed
15. Basis of the claim and evidence/ witness
in support thereof

EMPLOYEES’ GRATUITY FUND RULES

Page 366
 2. I declare that the particulars mentioned in the above statement are true and correct
to the best of my knowledge and belief.

3. Payment may please be made in cash/open or crossed bank cheque/Demand Draft.

4. As the amount payable is less than Rupees 1,000/- (Rupees One Thousand only) I
shall request you to arrange for payment of the sum due to me by postal Money
Order at the address mentioned above after deducting postal money order
commission therefrom.

Yours faithfully,

Signature/thumb impression
of applicant legal heir

Place :

Date :

—————————————————————————————————

Note : Strike out the words and/or paragraphs not applicable.

EMPLOYEES’ GRATUITY FUND RULES

Page 367
EMPLOYEES’ FAMILY
ECONOMIC
REHABILITATION
SCHEME

Page 368
 EMPLOYEES FAMILY ECONOMIC REHABILITATION SCHEME
It has been decided to introduce “Employees Family Economic Rehabilitation Scheme” for
providing monetary benefit and support to employees/ family in the event of permanent
total disablement/ death of the employee while in service. The detailed Scheme is as given
under:

1.0 Objective:

To provide monetary assistance and support to an employee in case of his permanent total
disablement and to his family in case of his death, provided the permanent total
disablement/ death as the case may be, takes place while the employee is in service of the
Company.

2.0 Definitions:

(i) “Scheme” means Employees Family Economic Rehabilitation Scheme.

(ii) “Company” means Power System Operation Corporation Ltd.

(iii) “Employee” means any person in the regular scale of pay in whole time
employment of the Company and is admitted in the Scheme.

(iv) “Beneficiary” means either the employee himself (in case of Permanent Total
Disablement) or his nominee (in case of death) as per clause 9.0 of the Scheme
below.

(v) “PF balance” means Provident Fund balance outstanding to the credit of an
employee except VPF on the date of cessation of service on account of death or
Permanent Disability.

(vi) “Gratuity” means Gratuity payable under POSOCO Employees Gratuity Fund
Rules without taking into account any permissible deductions there from.

(vii) “Group Insurance Amount” means amount payable under POSOCO Employees
Group Insurance (EDLI) Scheme.

(viii) “Permanent Total Disablement” means Permanent Total Disablement as defined

under Workmen Compensation Act, 1923.

(ix) “Nominee” means the person who is to receive the benefit as envisaged in the
Scheme in the event of Employee’s death.

(x) “Family” means spouse and dependent children (including legally adopted
children) below 25 years of age.

POSOCO EMPLOYEES FAMILY ECONOMIC REHABILITATION SCHEME

Page 369
3.0 Scope & Coverage:

The Scheme will cover all regular employees in Executives, Supervisors & Workmen
category but excluding Trainees*/ Apprentices. The scheme will also cover full time
Functional Directors of the Company in the regular scale of pay.

(*Note: Departmental candidates who have been recruited under Company’s Training
Scheme as “Trainees” will be included under the scheme.)

4.0 Eligibility:

4.1 The benefits under the Scheme will be admissible in case of Death/ Permanent Total
Disablement excluding cases of Death/ Permanent Total Disablement due to accident while
on duty, provided the employee has completed one year of regular service at the time of
Death/ Permanent Total Disablement.

4.2 The benefits may also be allowed in cases of Death/ Permanent Total Disablement due to
accident while on duty at the discretion of Management if dependents of the deceased
employee do not opt for employment in POSOCO.

5.0 Effective Date:

Death/Permanent Total Disablement which have taken place on or after 1st March 2019.
However, the benefits under the Scheme shall accrue from the 1st day of following month
in which the Permanent Total Disablement/ Death has occurred subject to deposit of
amount to the Company as indicated at para 7.0 below.

(Corporate HR Circular no 7/2019 Dated 01.03.2019)

6.0 Benefit:

6.1 On the separation of an employee from the service of the Company on account of Death/
Permanent Total Disablement, the beneficiary would be entitled to monthly payment
equivalent to the employee’s 50% of one month (Basic Pay + DA + Special Pay/ Stagnation
increment) last drawn provided the beneficiary deposits with the Management the amounts
as indicated in para 7.0 below in one lump sum.

6.2 Such monthly payment would continue till the normal notional date on which the employee
concerned would have attained the age of superannuation had the employee continued in
the service of the Company.

6.3 The interest accrued on balance of PF account (excluding VPF) from the date of cessation
of service of the employee till the date of withdrawal shall not be considered for availing
benefits under the Scheme.

POSOCO EMPLOYEES FAMILY ECONOMIC REHABILITATION SCHEME

Page 370
7.0 Deposit of Amount:

7.1 Cases of Death/ Permanent Total Disablement after the Scheme comes into force:

The beneficiary shall deposit the amount of Gratuity along with an “Undertaking” to the
effect that the PF (including interest) and Group Insurance amount shall be deposited
within 30 days of settlement by EPFO. The beneficiary will have no option to retain any
part of amount equivalent to PF, Gratuity and Group Insurance deposited by the employee
in the Provident Fund Scheme. The interest earned by the beneficiary from the month of
benefit given by POSOCO shall not be payable to the beneficiary and shall be retained by
the Company.

7.2 The recovery of PF from Salary/ final settlement/ pay revision after month of death/ total
permanent disability may be taken into account as PF balance on the date of death/ total
disablement as the approval is for the period the ex-employee has served.

7.3 PF interest for the full month in which death or total permanent disability has occurred may
be taken as PF balance on the date of death/ total disability for simplifying the procedures.

7.4 Amount equivalent to PF balance as on the date of death of employee/ permanent disability
shall be deposited with POSOCO, so no apportionment is allowed.

8.0 Termination of Benefit:

8.1 On the notional date of superannuation of the separated employee, the monthly payment
under the Scheme would cease and the amount deposited with the Company under this
Scheme would be refunded to the beneficiary. Under the Scheme, no interest on the
deposits will be admissible for the period of deposit.

8.2 If the beneficiary desires to permanently withdraw the amount deposited with the Company
under the Scheme at any point prior to notional date of superannuation, he/ she will be
allowed to do so. In such cases, the beneficiary would cease to receive the benefit under
the Scheme from the date of withdrawal.

9.0 Nomination of Beneficiary:

9.1 Only spouse or one of the children of the employee can be nominated as beneficiary. In the
absence of any option, following shall be deemed to be the beneficiary:

(a) Spouse or,

(b) In case spouse is not alive or is unwilling, any one of the dependent unmarried
children.

POSOCO EMPLOYEES FAMILY ECONOMIC REHABILITATION SCHEME

Page 371
9.2 An employee separated on account of Permanent Total Disablement and joining the
Scheme shall himself draw the amount under the Scheme notwithstanding any nomination
made by him. In the event of death prior to the notional date of superannuation, his/ her
nominee shall receive the benefit under the Scheme till the notional date of superannuation
of the deceased employee.

9.3 The nominee of the deceased employee will be required to nominate the person who will
receive the Benefit under the Scheme in the event of his/her death.

9.4 In the event of the nominee predeceasing the employee, the employee will be required to
make a fresh nomination.

10.0 Other Terms & Conditions:

10.1 The Scheme is voluntary.

10.2 The benefits would be admissible only in case no employment has been provided by the
Company to any of the dependents on compassionate grounds in POSOCO.

10.3 The beneficiary shall deposit in one lump sum the various amounts as required under para
7.0 above with the Company after the same are settled in favour of the employee as per
rules.

10.4 The beneficiary will be eligible to get the benefit under this Scheme only after the
loans/advance taken by the employee from the Company and other dues, if any, to the
Company, have been repaid by the nominee/employee in full.

10.5 The employee/ nominee will get the benefit under the Scheme only after vacation of
Company's Quarters/ Company Leased accommodation.

10.5.1 The retention of Company-owned accommodation may be allowed to the beneficiary on

specific request, subject to the condition laid down in POSOCO allotment of Residential
Accommodation rules as under:

a) For a period upto 4 months after the death of the employees in normal course.

b) On expiry of 04 months for a further period till expiry of current academic session
on payment of normal rent/license fees with the approval of Head of
RLDC/Director (HR) in case of CC.

10.5.2 In case the beneficiary is permitted to retain the company owned accommodation, the
benefits under the Economic Rehabilitation Scheme will be provisionally released to the
beneficiary and will cease to be payable automatically if such accommodation is not

POSOCO EMPLOYEES FAMILY ECONOMIC REHABILITATION SCHEME

Page 372
 vacated after the permitted period. The deposit made by the beneficiary under the
Economic Rehabilitation Scheme will continue to remain with POSOCO.

10.5.3 For claiming these benefits the beneficiary shall be required to provide an undertaking that
s/he will vacate the accommodation after the permitted period and that s/he will be willing
to effect recovery of rent from the monthly payment admissible under the scheme, along
with the request letter as specified. Penal rent would be payable by the beneficiary for the
period of unauthorized occupation.

10.5.4 If the Company owned accommodation has been vacated by the beneficiary on a date
beyond the permitted date, the benefits under the scheme may be resumed to the
nominee/beneficiary against a fresh sanction.

11.0 Modalities:

11.1 Each Region/ Corporate Centre shall supervise administration and operation of the scheme
in so far as it relates to their employee through a committee headed by the Head of
RLDC/Dir (HR) in case of CC with a representative each from HR, Finance and Law.

11.1.1 The dependents of the ex-employee/ employee are requested to submit an application in
the Prescribed Performa to the Committee. The committee shall examine the request in
totality and will recommend the case for issuance of Sanction Order by the HR-
Establishment Group.

11.1.2 The Sanction Order should inter alia, indicate the following details:

(1) Date of separation.

(2) (a) Date of settlement of dues.

(b) Date of deposit of money with POSOCO.

(3) Amount deposited by the beneficiary.

(4) Basic pay, Special Pay/ Stagnation increment, if any and DA last drawn.

(5) Amount of monthly payment to the beneficiary.

(6) Effective month of the release of the payment to the beneficiary.

(7) Name and address of the beneficiary.

(8) Notional month of retirement of the ex-employee for release of deposit to the
beneficiary.

POSOCO EMPLOYEES FAMILY ECONOMIC REHABILITATION SCHEME

Page 373
 (9) If the spouse is alive and unwilling as per Clause 9.1 (b) of the scheme, the reference
of the letter of Unwillingness from the spouse.

(10) Bank A/c No. IFSC code for making payment to the beneficiary(s).

11.1.3 The copies of the Sanction Order will be marked to the beneficiary(s), concerned Finance
Department and HR Department (Establishment)-CC.

11.2 The deposits under the Scheme shall be made by the employee/nominee, as the case may
be, by an a/c payee cheque/ bank draft in favour of POSOCO alongwith the application on
the prescribed format (given in Annexure A & Annexure —B). Else, he may give an
‘Undertaking’ for transfer of amount equivalent to PF balance and amount under Group
Insurance (EDLI) under the Scheme to POSOCO within 60 days of their receipt from
EPFO. On the same lines, based on the letter of authority by the concerned beneficiary,
Gratuity amount will be transferred from the Gratuity Trust for deposit under the Scheme.
Region/CC will issue a receipt for the deposit made by the employee or his nominee as the
case may be.

11.3 The committee of the concerned Region/CC as mentioned in 11.1 above will examine the
eligibility of the employee/nominee concerned and will approve and notify the amount of
monthly payment and the period of payment under the scheme. Thereafter, monthly
payment shall be made by the Finance Department of the concerned Region/CC by
NEFT/RTGS, latest by 10th of the following month.

11.4 All payments under the Scheme shall be made by NEFT/RTGS. Separate accounts code
for booking receipts and payment under Economic Rehabilitation Scheme will be intimated
by Corporate Finance.

11.5 ‘If a beneficiary desires that the payment under the scheme may be released to him/her
from a RLDC/ CC different from the last place of posting of the employee then an
application shall be made to the RLDC by the beneficiary concerned which shall be
considered by the Committee. The committee will recommend to HR-Establishment Group
to issue necessary order for transfer after deposit of requisite amount by the beneficiary as
stipulated under the rule. After issuance of the sanction order, the concerned finance
department will transfer the deposited amount to the Region/CC where the beneficiary
desires to receive payment indicating:

(a) Month from which payment is to be released.

(b) Amount of monthly payment.

(c) Total amount of deposit transferred.

(d) Copy of the sanction order.

POSOCO EMPLOYEES FAMILY ECONOMIC REHABILITATION SCHEME
Page 374
 Such option may be exercised only once.

11.6 The request for withdrawal will be considered by the committee and recommended to the
HR Department for issuance of necessary order.

12.0 Miscellaneous:

12.1 Necessary income tax will be deducted as per the provisions of the Income Tax Act 1961.

12.2 Clarifications to these Rules, as and when required, shall be issued by the Corporate HR
Department either suo-moto or on reference received from RLDCs.

13.0 Review:

The CMD will have the right to interpret, amend, add, delete, review or discontinue the
Scheme at any time.

*******************

POSOCO EMPLOYEES FAMILY ECONOMIC REHABILITATION SCHEME

Page 375
 Annexure - A
To,
The Chairman,
POSOCO Employees Family Economic Rehabilitation Committee,
POWER SYSTEM OPERATION CORPORATION LIMITED.
Through: Head of RLDC
Sub: Application for Benefit under POSOCO Employees' Family Economic
Rehabilitation Scheme (in case of Death)
A. Details of the Ex-Employee:
i) Name of the employee

ii) Employee No:

iii) Designation

iv) Department

v) Date of Birth

vi) Place of last posting

vii) Date of joining POSOCO

viii) Date of Death

ix) Last Pay Drawn Basic Pay : Rs.

Dearness Allowance: Rs.

Special pay (if any): Rs.

Total : Rs.

x) Notional Date of Superannuation

B. Details of Beneficiary:
i) Name of Beneficiary
ii) Relationship with the ex-employee. Spouse/ child*
iii) Age and Date of Birth
iv) Occupation
v) Marital Status Married/ Unmarried*
vi) Dependent on Employee (as on date of Yes/ No*
expiry)

POSOCO EMPLOYEES FAMILY ECONOMIC REHABILITATION SCHEME

Page 376
 • Please strike-off whichever is not applicable.

C. Application
1 I wish to apply for benefit under POSOCO Employees' Family Economic
Rehabilitation Scheme.
2. Neither I, nor any of the dependents of the deceased employee, have been provided
employment on compassionate grounds in POSOCO.

3. Neither I, nor any of the dependents of the deceased employee, wish to apply in future
for employment on compassionate grounds either in POSOCO.

4(a)* I hereby deposit (vide Section E) amount equivalent to PF balance, Gratuity and
Group Insurance amount by an account payee cheque/bank draft
No…………….dated……………….. drawn on …………………..bank in favour of
Power System operation Corporation Limited.
OR
(b) * I, hereby, give an “Undertaking” to transfer amount equivalent to PF balance and
Group Insurance (EDLI) amount to the Company under the Scheme within 60 days
of their receipt from EPFO.
AND
I, hereby, authorize POSOCO (Vide section E) to directly transfer the Gratuity to
the credit of the deceased employee to the Company under the scheme

(Name & Signature of the Beneficiary)

Relationship with Employee ----

Place _ Date _

* Strike-off whichever is not applicable. However, the option under (b) can be used by
the beneficiary only if the beneficiary is otherwise a nominee I declared legal heir under
rules of POSOCO PF, Gratuity Trust and Group Insurance.
D. Nominee
I hereby nominate the following person to receive lump sum deposits/benefits under
the Scheme in the event of my death before the notional date of superannuation
of late
Sh./Smt. ---------
Name ----------
Relation --------
Date -------

POSOCO EMPLOYEES FAMILY ECONOMIC REHABILITATION SCHEME

Page 377
 Name & Signature of the Beneficiary
…………… (To be detached and given to the Finance Department)……………

E. Authorization/ Deposit
To,

The Head of HR,

POWER SYSTEM OPERATION CORPORATION LIMITED.
Sub : Authorization/Deposit under POSOCO Employees' Family
Economic Rehabilitation Scheme
Dear Sir,
(a) I hereby authorize POSOCO to directly transfer gratuity standing to the credit of
the deceased employee Late Shri I Smt………………………..,Emp.No:……..,
Design……………………to the company under the aforesaid Scheme.
AND
(b) I, hereby, give an “Undertaking” to transfer amount equivalent to PF balance and
Group Insurance (EDLI) amount to the Company under the Scheme within 60 days
of their receipt from EPFO.
OR
(c) * Please find enclosed an amount of Rs…………………….towards amount
equivalent to PF Balance, Gratuity and Group Insurance in respect of the deceased
employee Late Shri/Smt……………… Emp.No:…………….,
Design.:……………………vide A/C Payee Cheque/ Bank Draft
No………………………dated…………………… drawn on bank in
favour of Power System Operation Corporation Limited. This deposit is being made
under the POSOCO Employees' Family Economic Rehabilitation Scheme.

I would request you to issue a receipt for the amounts deposited by me and
start disbursement of the benefits under the Scheme as per Rules.
Thanking you,
Place: (Name & Signature of the Beneficiary)

Relationship with
Employee………………

Date:

…………………………………………………………………………………………
……………………………………………………

POSOCO EMPLOYEES FAMILY ECONOMIC REHABILITATION SCHEME

Page 378
 Strike-off whichever is not applicable; However, the option under (a) can be used by
the beneficiary only in case the beneficiary is the sole nominee of Ex-employee for PF,
Gratuity and Group Insurance. In case of multiple nominees, consent of other
nominees will also be required

…………………………………………………………………………………………
……………………………………………………

F. Receipt (To be detached and given to the Applicant)

Received an application dated……………….in the prescribed format under

POSOCO Employees' Family Economic Rehabilitation Scheme from
Shri/Smt./Km…………………………containing an authorization to POSOCO
to directly transfer the Gratuity standing to the credit of the beneficiary to the
company under the aforesaid Scheme along with an “Undertaking” to transfer the
amount equivalent tp PF balance & Group Insurance Scheme within 60 days of their
receipt from EPFO and /or an A/C Payee Cheque/Demand Draft
No:……………………..dated…………………………. for
Rs…………………drawn on …………………………………..Bank in favour of
Power System Operation Corporation Limited. towards Lumpsum deposit under the
said Scheme.

The nomination of the beneficiary to receive lumpsum deposits/benefits under the

Scheme in the event of death of beneficiary before the notional date of superannuation
of the deceased employee has been received in favour of
Shri/Smt/Km………………….

This receipt is being issued subject to verification of eligibility of the applicant

under the Scheme and realization of the cheque/draft amount

For and on behalf of Power System Operation Corporation Limited.

Name ----------
Designation --------
Date-------------------

POSOCO EMPLOYEES FAMILY ECONOMIC REHABILITATION SCHEME

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 Annexure-B
To,
The Chairman,
POSOCO Employees Family Economic Rehabilitation Committee,
POWER SYSTEM OPERATION CORPORATION LIMITED.
Through: Head of RLDC

Sub: Application for Benefit under POSOCO Employees' Family Economic

Rehabilitation Scheme (in case of Permanent Total Disablement).
A. Details of the Employee
i) Name of the Employee:
ii) Employee No:
iii) Designation
iv) Department
v) Date of Birth
vi) Place of last Posting
vii) Date of joining POSOCO
viii) Date of termination of service on
account of Permanent Total
Disablement
ix) Last Pay Drawn Basic Pay: Rs.
Dearness Pay : Rs

Special Pay (if any): Rs

Total: Rs.

x) Notional date of superannuation

B. Application:
1. I wish to apply for benefit under POSOCO Employees' Family Economic
Rehabilitation Scheme.
2. None of my dependents has been provided employment on compassionate grounds
in POSOCO.
3. None of my dependents wish to apply in future for employment on compassionate
grounds either in POSOCO.
4.a)* I hereby deposit (vide Section D) amount equivalent to PF balance, Group
Insurance and Gratuity by an account payee cheque/bank draft

POSOCO EMPLOYEES FAMILY ECONOMIC REHABILITATION SCHEME

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 No…………….dated……………….. drawn on …………………..bank in favour of
Power System operation Corporation Limited.
b)* I, hereby, give an “Undertaking” to transfer amount equivalent to PF balance and
Group Insurance (EDLI) amount to the Company under the Scheme within 60 days
of their receipt from EPFO.
AND
I, hereby, authorize POSOCO (vide section D) to directly transfer the Gratuity to
the credit of the deceased employee to the Company under the scheme

(Name & Signature of the

Employee)
Place: _

Date _

* Please strike off whichever is not applicable

_____________________________________________________________________
______
C. Nominee
I hereby nominate the following person to receive lump sum deposits/benefits under
the Scheme in the event of my death before the notional date of superannuation.
Name _

Relation ______________________

Name & Signature of the Employee

(To be detached and kept in the records and a copy to be sent to the Chairman,
POSOCO Employees' Family Economic Rehabilitation Scheme.)

POSOCO EMPLOYEES FAMILY ECONOMIC REHABILITATION SCHEME

Page 381
D. Authorization/Deposit

To,
The Head of HR
Power System Operation Corporation Limited.

Sub: Authorization/Deposit under POSOCO Employees' Family Economic

Rehabilitation Scheme

Dear Sir,
(a) *I, hereby, give an “Undertaking” to transfer amount equivalent to PF balance and
Group Insurance (EDLI) amount to the Company under the Scheme within 60 days
of their receipt from EPFO.
AND
I, hereby, authorize POSOCO (vide section D) to directly transfer the Gratuity to
the credit of the deceased employee to the Company under the scheme

(b) Please find enclosed an amount of Rs…..…………..towards PF Balance, Gratuity

and Group Insurance in respect of me vide A/C Payee Cheque/Bank Draft
No…………………dated…………….. drawn on bank in favour of Power System
Operation Corporation Limited. This deposit is being made under the POSOCO
Employees' Family Economic Rehabilitation Scheme.

(c) I would request you to issue a receipt for the amounts deposited by me and start
disbursement of the benefits under the Scheme as per Rules.

Thanking you,

Yours faithfully,

(……………….……………….)

POSOCO EMPLOYEES FAMILY ECONOMIC REHABILITATION SCHEME

Page 382
SCHEME FOR
PAYMENT OF
FUNERAL
EXPENSES

Page 383
 SCHEME FOR PAYMENT OF FUNERAL EXPENSES

1.0 Objective
The Scheme has been formulated with a view to rendering assistance on an
immediate basis towards funeral expenses of the employees who die for any
reason, while in employment of the Company.

2.0 Applicability
The Scheme shall cover and be applicable to all full-time employees of the
Company including deputationists, lien holders, apprentices/trainees recruited
under Company's own training schemes; but shall not be applicable to Muster-roll,
Daily rated, Casual, Badli or Substitute employees and Apprentices engaged under
the Apprentices Act, 1961.

3.0 Assistance
3.1 In the event of death of an eligible employee while in service of the company, the
following assistance shall be admissible:

3.1.1 An amount of Rs. 20,000/- (Rupees Twenty thousand only) shall be paid towards
the funeral expenses of the deceased employee. This assistance will be admissible
even if an employee dies at a place other than his/her place of posting.

3.1.2 Free transport wherever available or alternatively reimbursement for cost of

transportation for transporting the dead body of the deceased employee to home
town or any where in India where the family wishes to conduct the funeral, will be
provided.

3.2 The aforesaid assistance will be normally made available to the spouse or nominee
of the deceased employee entitled to receive the dues payable by the company in
the event of his/her death. In cases where either the deceased employee was an
unmarried person or has not authorised any person as his/her nominee or the
nominee is not available at the place of death of the employee to take care of
his/her funeral, the assistance may be made available to his/her
friend/neighbour/well-wisher who actually makes the arrangements for the
funeral.

3.3 The aforesaid payment is not over and above, but in lieu of the amount of Rs.
20,000/- admissible to the beneficiary.

4.0 Procedure
4.1 On receipt of the information regarding death of an employee, by the concerned
Human Resources Department, the concerned HR Executive looking after the
welfare function, shall obtain the sanction of the Head of RLDC/NLDC for grant

SCHEME FOR PAYMENT OF FUNERAL EXPENSES

Page 384
 of the payment as well as transport wherever available or alternatively
reimbursement of the cost of transportation (on production of documentary
evidence as regards the expenditure) to the eligible person as mentioned at para
3.2 above and thereafter the concerned officer shall ensure that the aforesaid
assistance is made available to the eligible person at the earliest.

4.2 On receipt of the sanction, the concerned Finance Department would immediately
arrange for the amount for doing the needful. After making payment, the
concerned Finance Department will take action for recoupment of the amount. The
expenses will be borne directly by the Company.

4.3 It is desirable that the Head of Department, or in his absence, the next lower
official in the Department, where the deceased employee was working for the time
being, personally visits, accompanied by the Concerned Executive and hands over
the money to the person referred to at para 3.2 above, apart from rendering all
such help and assistance as are deemed fit in the circumstances.

5.0 General
5.1 The Scheme is framed purely as a welfare measure, and does not confer any right
or benefit on the employees nor imposes any obligation or liability whatsoever on
the Company and shall not be deemed to be any contract or condition of service
between the Company and any such employee.

5.2 The power to interpret and administer the scheme shall vest with the Chairman
and Managing Director whose decision shall be final and binding.

5.3 The Company reserves the right to withdraw, modify, cancel, add or amend any or
all of the provisions of this scheme.

*************

Reference:
(1) Corporate HR Circular No. 09/2019 date 29.03.2019 (Revision of Wage and Benefit
Structure for employees in the Workmen Category)
(2) Corporate HR Circular No. 10/2019 dated 29.03.2019 (Revision of Wage and Benefit
Structure for employees in the Supervisory Category)
(3) Corporate HR Circular No. 23/2019 dated 26.06.2019 (Scheme of Payment of Funeral
Expenses- Modification Thereof)

SCHEME FOR PAYMENT OF FUNERAL EXPENSES

Page 385
 EMPLOYEES’
CONTRIBUTORY
GROUP
INSURANCE
SCHEME

Page 386
 POSOCO EMPLOYEES CONTRIBUTORY GROUP INSURANCE SCHEME
1.0 Objective

1.1 POSOCO Employees Contributory Group Insurance Scheme is a welfare measure aimed at
providing financial assistance to the dependents of the POSOCO employees, who are members
of the said Scheme and die while in service, whether on or off duty, through an insurance
cover.

1.2 The Scheme does not confer any right or benefit on the employees, nor impose any obligation
or liability, what-so-ever on the Company and shall not be deemed to be any contract or
condition of service between the Company and its employees.

2.0 Short Title

This scheme will be called ‘POSOCO EMPLOYEES CONTRIBUTORY GROUP

INSURANCE SCHEME’.

3.0 Scope

The Scheme shall cover all regular employees who have given their consent for the
membership of the Scheme as on the date of its introduction and will also include
deputationists, board appointees and trainees of the Company under its own Training Schemes,
but shall not cover:

Apprentices under Apprentices Act, Muster Roll/ Daily Rated/ Casual/ Badli/ Subsitute
employees or employees appointed on contract basis.

However, the Scheme shall be compulsory for new entrants.

All covered employees are, hereinafter, referred to as ‘members’.

4.0 Cessation of Membership

Once joined, the members shall not have the option to withdraw from the scheme. An
employee shall cease to be the member of the scheme, if he/she ceases to be the employee of
POSOCO for any reason or gets reverted to his/her parent department (in the case of
deputationists).

5.0 Definitions

5.1 Company means Power System Operation Corporation Ltd. including all Control Centres
under its management. .

5.2 Insurer means General Insurance Company from which the Company takes the Insurance
cover for the Scheme.

5.3 Scheme means the POSOCO Employees’ Contributory Group Insurance Scheme.

EMPLOYEES’ CONTRIBUTORY GROUP INSURANCE SCHEME

Page 387
5.4 Nominee means the person(s) nominated by the employee for the purpose of the Scheme. The
nominations, for the purpose of this scheme shall be same as made by the member under the
Provident Fund Rules of the Company; where no valid nomination exists under PF Rules, the
amount will be disbursed according to the relevant PF Rules of the Company.

5.5 Policy means the Group Insurance Policy as defined hereunder:

POSOCO will purchase a Group Term Insurance Policy from the Insurer for a uniform sum of
Rs. 10 lakh for each member. The dependents/nominees of the deceased member shall be
entitled to get the benefits as admissible under the provisions of the said Policy. The entire
amount of premium for the Policy so purchased shall be equally borne by all the members. The
premium may differ from time to time depending upon rates quoted by the Insurer for the said
purpose.

7.0 Management of Scheme

7.1 The Scheme will be administered centrally by Head of HR, Corporate HR Department, who
will be the Secretary of the said Scheme.

7.2 The Head of RLDC/NLDC or the Head of HR Deptt.-RLDC/NLDC shall maintain a register
containing the details of total membership in their respective RLDC/NLDC. A monthly list of
addition/deletion, as per proforma in Annexure shall be sent so as to reach the Secretary by 3rd
of the following month with a copy to the F&A deptt at CC and concerned F&A Department
of the RLDC/NLDC. F&A deptt. at CC will make monthly deductions from the salaries of all
the members and deposit the premium with the Insurer before the due date.

7.3 The Secretary will maintain a record containing details of the total membership in the
Company with RLDC/NLDC/CC wise break-up and the premium paid/ claims settled/ claims
pending.

7.4 In the event of death of a member, notice of death shall be given forthwith by member's legal
heir/nominee to the concerned HR deptt. who in turn shall intimate the Secretary of the
Scheme with all the required documents. Secretary shall forward the claim to the Insurer.

7.5 All certificates, information and evidence required by the Insurer shall be furnished at the
expense of the member or his legal heirs/nominees and shall be in such form and of such
nature as the Insurer may prescribe from time to time.

8.0 Submission of Claim

The member's legal heirs/nominees will submit the following documents for the purpose of
submission of claim:

i) Claim in prescribed form.

il) Attested copy of Death Certificate.

EMPLOYEES’ CONTRIBUTORY GROUP INSURANCE SCHEME

Page 388
9.0 Amount/ time of disbursement of relief

9.1 The Policy will provide a uniform coverage by way of payment of the sum assured i.e. Rs. 10
lakh to the dependents/nominees of the member on his/her death caused by any reason,
whatsoever.

9.2 On death of a member, Rs. 5 lakh shall be released by POSOCO immediately to his/her
dependents/nominees and the balance Rs. 5 lakh shall be remitted to the ‘POSOCO
EMPLOYEES CONTRIBUTORY FAMILY PENSION PLAN’ for purchase of Annuity for
Pension.

9.3 The sum assured shall be remitted by the Insurer to POSOCO and not to the nominee directly.
It shall be adjusted against the money already released to the dependents/nominees of the
member and pooled with the Pension fund.

10.0 General:

10.1 Notwithstanding anything contained in these Rules, where there are reasons to believe that the
death of the member was on account of murder in which any or all the beneficiaries are
directly or indirectly accomplices, the benefit under the Scheme will not be admissible. In the
event of acquittal of the beneficiaries of the charge of murder or involvement therein, a duly
constituted Committee will take the decision on payment to the nominees based on the
findings of the court of competent jurisdiction.

10.2 Chairman & Managing Director of the POSOCO shall be the final authority to modify/ amend
and to give clarification/interpretation to any of the provisions of this Scheme.

EMPLOYEES’ CONTRIBUTORY GROUP INSURANCE SCHEME

Page 389
 RLDC/NLDC/CC

Monthly Return

(To reach Secretary by 3rd of every month)

The Secretary,
POSOCO EMPLOYEES CONTRIBUTORY GROUP INSURANCE SCHEME:
HR Department,
Corporate Centre, :
New Delhi.

Sir,

1. The following employees have become members of the Scheme :

Sl. No. Name of the Employee Father’s Name Emp. No.

2. The following employees have ceased to be members of the Scheme for the reasons given
against each :

Sl. No. Name of the Employee Emp. No. Date of cessation Reasons
of membership

3. With the above changes, the total membership as ............... at RLDC/NLDC is ............................

Yours faithfully,

Head of HR

Copy to :-

F&A Department (RLDC/ NLDC / CC)

EMPLOYEES’ CONTRIBUTORY GROUP INSURANCE SCHEME

Page 390
 GROUP INSURANCE
(ORDINARY) SCHEME

Page 391
 GROUP INSURANCE (ORDINARY) SCHEME
Keeping in view the need to introduce Group Insurance (Ordinary) Scheme in
POSOCO, the following insurance coverage in respect of the eligible employees in
the event of death while in service are made as under -

Category Level of Employees Amount

(Rs)
A. E-7 and above 5,00,000/-
B. E3 to E6 3,50,000/-
C. E2 and below 2,00,000/-

GROUP INSURANCE (ORDINARY) SCHEME

Page 392
GROUP PERSONAL
ACCIDENT
INSURANCE SCHEME

Page 393
 POSOCO GROUP PERSONAL ACCIDENT INSURANCE SCHEME
1.0 Objective
1.1 Group Personal Accident Insurance Scheme (GPAIS) is a welfare measure
formulated to insure employees against the consequences of personal accidents
and to provide appropriate relief to the affected employees or nominees through an
Insurance Cover.

2.0 Policy
2.1 The Scheme is framed entirely as a welfare measure and does not confer any right
or benefit on the employees, nor impose any obligation or liability, what-so-ever
on the Company and shall not be deemed to be any contract or condition of
service between the Company and its employees.

2.2 POSOCO will take an Insurance Policy and the employees shall be entitled to get
the benefits only as admissible under the provisions of the said Insurance Policy.

3.0 Scope
3.1 The Scheme shall cover all regular employees and will also include/cover
deputationists, Board appointees and Trainees of the Company under its own
Training Schemes, but shall not cover:

Apprentices under Apprentices Act, Muster Roll/Daily Rated/Casual/Badli/

Substitute employees or employees appointed on contract basis.

4.0 Definitions

4.1 Company means the POWER SYSTEM OPERATION CORPORATION

LIMITED. including the NLDC/RLDCs/Offices under its management.

4.2 Insurer means a General Insurance Company from whom the Company takes the
insurance cover for the Scheme.

4.3 Scheme means the Group Personal Accident Insurance Scheme.

4.4 Nominee means the person(s) nominated by the covered employee for the purpose
of Group Insurance Scheme. In case of those persons covered under the Scheme
who have not submitted nomination in the Group Insurance of Insurance Agency
or are not covered by the said Group Insurance Scheme, the person(s) to be
nominated by the employee for this Scheme.

4.5 Policy means the Insurance Policy taken by the Company.

GROUP PERSONAL ACCIDENT INSURANCE SCHEME

Page 394
5.0 Benefits
5.1 The Insurance Policy will provide coverage by way of payment of compensation
to the extent specified in this Scheme to the covered employee round the clock,
whether he is on Company's duty or not, on any location in India or abroad,
against a bodily injury resulting solely and directly from accidents caused by
violent, external and visible means which shall solely, and independent of any
cause, result in death or disablement (as per the provision/Schedule in the policy,
which is enclosed at Annexure-I). The benefits under the Policy in brief are as
follows.

5.2 Death
In case of death of a covered employee of POSOCO, caused by accident as at 5.1
the nominee(s), as declared by the employee for the purpose of compensation
payable under Group Insurance Scheme, will be paid a compensation by the
Insurers to the extent of 100% of the Capital Sum Insured; which will be 50 times
the upper limit of his/her pay scale and Dearness Allowance thereon(including
FDA wherever applicable) received with reference to position as on 1st April of
the financial year during which the death takes place.

5.3 Permanent Disablement

In case of permanent disablement (total or partial) of a covered employee of
POSOCO, caused by accident as at 5.1 above, the employee will be paid a
specified percentage of the Capital Sum Insured as at 5.2 as compensation by the
Insurers. Percentages are indicated in the Schedule of the Policy enclosed at
Annexure-I.

5.4 Temporary disablement

In case of temporary disablement of a covered employee caused by an accident as
at 5.1, the employee will be entitled to a sum at the rate of 1% of the Capital Sum
Insured, as at 5.2 per week only during the period the employee is on leave (other
than Special Disability Leave) subject to the condition that this weekly benefit
shall not exceed Rs. 3000/-. The compensation payable under above clauses shall
not be payable for more than 104 weeks in respect of any one injury calculated
from the date of commencement of the disablement and in no case shall exceed
the Capital Sum Insured.

5.5 Where an employee is covered under the Workmen's Compensation Act and
certain compensation becomes payable under the Act, the compensation under this
Scheme will be in lieu of the compensation payable under the provisions of the
Workmen's Compensation Act, 1923. Where in a particular case the amount
payable under this Scheme falls short of the amount payable under the Workmen's
Compensation Act, the difference will be paid by the Company. In other cases,
where the payment is higher under the Scheme, the higher of the two will be
admissible. However, in no case compensation will be paid under both, i.e. this
Scheme and the Workmen's Compensation Act.

GROUP PERSONAL ACCIDENT INSURANCE SCHEME

Page 395
5.6 Where an employee is sanctioned Special Disability Leave under the concerned
rules of the Company, the compensation for temporary disablement under clause
5.4 of this Scheme shall not be payable. However, in case the employee opts for
taking compensation under the Scheme, he will not be sanctioned Special
Disability Leave and he will have to apply for other leave due at his credit
(EL/HPL).

5.7 Expenses on transportation of dead body

In the event of death of the Insured Person due to accident, as defined in Policy,
outside his/her residence, the insurer shall reimburse, in addition to the amount of
compensation of the Capital Sum Insured; the expenses incurred for transportation
of employee's dead body to the place of residence, subject to a maximum of 2% of
Capital Sum Insured or 1,000/- whichever is less.

6.0 Conditions and Procedures of claims under the Scheme

6.1 If a covered employee sustains any bodily injury in respect of which a claim is, or
may be, made under this Scheme, prompt written notice thereof shall be given by
the employee to the HR Deptt. of Corporate Centre, who in turn will inform the
insurer, as soon as possible. If, however, the covered employee dies, notice of
death shall be given forthwith by employee's legal personal
representative/nominee to the Insurance Company/HR Deptt. of the Corporate
Centre.

6.2 All certificates, information and evidence required by the Insurers shall be
furnished at the expense of the insured employee or his legal personal
representative/nominee and shall be in such form and of such nature as the
Insurers may prescribe from time to time.

6.3 Upon the happening of any event which may give rise to a claim under this policy,
written notice with full particulars must be given to the insurer immediately. In
case of death, written notice of death must, unless reasonable cause is shown, be
given before internment/cremation, and in any case, within one calendar month of
the death, as also in the event of loss of sight or amputation.

6.4 The insured employee must, immediately, after the occurrence of an accident,
which may be a subject of a claim under this policy, obtain and follow the advice
of a registered medical practitioner, failing which the Insurers shall not be liable
for any consequence arising from such failure by the covered employee to obtain
and follow such medical advice.

6.5 Claims pertaining to death

The covered employee's legal personal representative/nominee will submit the
claim in the prescribed form for this purpose along with the following:
i) Claim in prescribed form (as enclosed Form-I).

GROUP PERSONAL ACCIDENT INSURANCE SCHEME

Page 396
 ii) Attested copy of Death Certificate.

iii) Attested copy of Post Mortem Report.

6.6 Claims to permanent (Total or Partial) Disablement

The covered employee shall submit the claim in the prescribed form for this
purpose along with the following documents:
i) Claim Form/Attending Doctor’s Report (as enclosed Form-I/ II)

ii) Leave Sanction Certificate of HR Deptt.

iii) Fitness Certificate, except in case of claim for interim payment.

6.7 Claims pertaining to temporary total disablement

The covered employee shall submit the claim in the prescribed form for this
purpose along with the following documents:
i) Claim Form/Attending Doctor's Report (as enclosed Form-I/II).

ii) Leave Sanction Certificate of HR Deptt.

iii) Fitness Certificate, except in case of claim for interim payment.

6.8 The compensation under more than one of the sub-clauses 5.2, 5.3 and 5.4 in
respect of the same period of disablement shall not be payable. In other words, the
covered employee will be entitled to compensation under only one of them in case
of an accident.

6.9 Any payment in case of more than one claim in respect of such insured person
under the policy during any one period of insurance by which the maximum
liability of the Insurers specified in the Schedule, applicable to such Insured
Person, exceeds the total sum assured under this policy, shall not be payable.

6.10 The Insurers shall not be liable for death/disablement, directly or indirectly,
caused by/arising out of or resulting from or traceable to certain contingencies of
which an illustration is given below:

a) Intentional self-injury, whether criminal or not, suicide or attempted suicide;

b) The covered employee being under the influence of or being affected by

intoxicating liquor or drugs;

c) Child birth or pregnancy or other physical causes peculiar to the female sex (in the
case of female insured employee);

d) Hunting, Mountaineering, Aviation (other than as a passenger on a Scheduled

Flight) etc.

GROUP PERSONAL ACCIDENT INSURANCE SCHEME

Page 397
 e) Any physical defect or informity which existed prior to the date of affecting this
insurance.

f) Nuclear radiation or nuclear weapons material.

g) Any consequence of war, invasion, act of foreign enemy, hostilities (whether war
be declared or not), Civil War, Rebellion, Revolution, Insurrection, Mutiny,
Military or Usurped Power, Seizure, Capture, Arrests, Restraint and Detainments
of all kinds, princes and People of whatever nation.

h) Whilst committing any breach of law with criminal intent.

Note : These conditions are subject to change without notice at the instance of the
insurance company.

7.0 General
7.1 A compensation under this Scheme duly covered by an Insurance Policy shall be
paid to the covered employee or his nominee, as the case may be, and to the extent
the compensation in settlement of the claim is received from the Insurance
Company.

7.2 In respect of matters which are not specifically covered in the above scheme/rules,
the provisions of the policy taken for GPAI from the Insurance Company will be
followed. Further, in case of differences, if any, in the provisions of the Scheme
and that of the Insurance Policy, the latter shall prevail.

7.3 The Chairman and Managing Director reserves the right to modify or amend or
withdraw the Scheme, at any time, without notice.

GROUP PERSONAL ACCIDENT INSURANCE SCHEME

Page 398
 ANNEXURE-I

EXTRACT FROM THE SCHEDULE OF THE POLICY

Under the Scheme the insurer shall pay to the covered employee, compensation to
the extent and manner as provided hereunder, in case the covered employee shall:

1.0 Sustain any bodily injury resulting solely and directly from accident caused by
external, violent and visible means, the sum hereinafter set forth in respect of any
of the insured Persons specified in the Schedule:

a) If such injury shall, within twelve calendar months of its occurrence, be the sole
and direct cause of the death of the Insured Person/Persons, the Capital Sum
Insured stated in the Schedule hereto applicable to such Insured Person/Persons.

b) If such injury, within twelve Calendar months of its occurrence, be the sole and/or
direct cause of the total irrecoverable loss of:

i) Sight of both eyes, or of the actual loss by physical separation of the two entire
hands or two entire feet or one entire hand and one entire foot or such loss of
sight of one eye and such loss of one entire hand or one entire foot, the Capital
Sum stated in the Schedule hereto.
ii) Use of two hands or two feet, or of one hand and one foot or of such loss of
sight of one eye and such loss of use of one hand or one foot, the Capital Sum
Insured Stated in the Schedule hereto.
c) If such injury shall, within twelve calendar months of its occurrence, be the sole
and direct cause of the total and irrecoverable loss of:

i) The sight of one eye, or of the actual loss by physical separation of one entire
hand or one entire foot, fifty percent (50%) of the Capital Sum Insured stated
in the Schedule hereto, applicable to such Insured Person.
ii) Total and irrecoverable loss of use of a hand or a foot without physical
separation, forty percent (40%) of the Capital Sum Insured stated in the
Schedule hereto applicable to such Insured person.
For the purpose of clause (b) and (c) above, physical separation of a hand or foot
means separation of hand at or above the wrist and/or of the foot at or above the
ankle.

d) If such injury shall as a direct consequence thereof, immediately permanently,

totally and absolutely, disable the Insured person from engaging in being occupied
with or giving attention to any employment or occupation of any description
whatsoever, then a lump-sum equal to hundred percent (100%) of the Capital Sum
Insured stated in the Schedule hereto applicable to such Insured person.

GROUP PERSONAL ACCIDENT INSURANCE SCHEME

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 e) If such injury shall, within twelve calendar months of its occurrence, be the sole
and direct cause of the total and irrecoverable loss of use of the actual loss by
physical separation of the following, then the percentage of the Capital Sum
Insured applicable to such Insured person in the manner indicated below:

Sl.No: Injury Percentage of

Capital Sum
Insured

1 Loss of toes all 20

- Great both phalanges 5
- Great one phalanx 2
- Other than great, if more than one toe 1
lost each
2 Loss of hearing (both ears) 50
3 Loss of hearing (one ear) 15
4 Loss of four fingers & thumb of one hand 40
5 Loss of four fingers 35
6 Loss of thumb - both phalanges 25
- one phalanx 10
7 Loss of index finger
- three phalanges 10
- two phalanges 8
- one phalanx 4
8. Loss of middle finger
- three phalanges 6
- two phalanges 4
- one phalanx 2
9 Loss of ring finger
- three phalanges 5
- two phalanges 4
- one phalanx 2
10. Loss of little finger
- three phalanges 4
- two phalanges 3
- one phalanx 2
11. Loss of metacarpals
- first or second (additional) 3
- third, fourth or fifth (additional) 2
12. Any other, permanent partial Percentage as
assessed by the
Doctor.

GROUP PERSONAL ACCIDENT INSURANCE SCHEME

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 f) If such injury shall be the sole and direct cause of temporary total disablement,
then so long as the Insured Person shall be totally disabled from engaging in any
employment or occupation of any description whatsoever, a sum at the rate of one
percent (1%) of the Capital Sum Insured stated in the Schedule hereto per week,
but in any case not exceeding Rs. 3,000/- per week in all, under all P.A. policies,
covering such Insured Person.

Provided that the compensation payable under the foregoing sub-clause (f) shall
not be payable for more than 104 weeks in respect of an one injury calculated
from the date of commencement of the disablement and in no case shall exceed
the Capital Sum Insured, applicable to such Insured Person.

g) In the event of the death of the Insured person due to accident as defined in the
policy, outside his/her residence, the company shall reimburse, in addition to the
amounts payable under sub-clauses (a) to (f), the expenses incurred for
transportation of Insured's dead body to the place of residence subject to a
maximum of 2% of Capital Sum Insured or Rs. 1,000/- whichever is less.

GROUP PERSONAL ACCIDENT INSURANCE SCHEME

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 FORM-I

F. NO. AC-4 (C)

PRELIMINARY CLAIM FORM
The Issue of this form is not to be taken as an admission of liability.

To be completed by the insured

1.(a) Name of Insured (in full)
Pl. No
aa) Name of the Injured person (for group
policies only)
(b) Address in full
(c) Profession or occupation
(d) Age or last birthday
2.(a) Date of the Accident
(b) Time of the Accident
(c ) Where it happened
3. How did the accident occur?
4. Nature of injury received(If to limb or eye,
state whether right or left)
5. Name and address of the Doctor/Hospital/
Nursing Home where you are being treated
6. Where and when can a medical officer of
the company visit you, if necessary?

I hereby declare that the foregoing statements are made by myself and are true in all respect and
that I have not attempted to conceal from the Company anything with which it ought to be made
acquainted and I agree that if I have made, or in any further declaration the company may require,
shall make any false or fraudulent statement or any suppression, concealment or untrue
advertisement whatever, the policy shall be void, and my right to compensation forfeited, and I
am willing, if required, to make a Statutory Declaration before a Justice of the peace of the truth
of the whole of the foregoing statement or any other statement I may make in connection with
this claim.

Signature of Insured ..........................

Date ..................................................
Witness

GROUP PERSONAL ACCIDENT INSURANCE SCHEME

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Name : _______________________________
Signature : ________________________________
Date : _______________________________
Address : _______________________________

GROUP PERSONAL ACCIDENT INSURANCE SCHEME

Page 403
 FORM-II
Policy No. ........................
Branch/Unit .....................
Claim No. ........................

The Issue of this form is not to be taken as an admission of liability.

To be completed by the insured
1.(a) Name of Insured (in full)
(b) Address in full
(c) Profession or occupation
(d) Age or last birthday
2. Policy No. Sum Insured Table of Cover Period
(i)
(ii)
(iii)
3.(a) Date of the accident
(b) Time of the accident
(c) Where it happened
(d) Name and address of the witness
4. How did the accident occur?
5. Nature of the injury received(if to limb or eye,
state whether right or left)
6.(a) Nature of disablement
(b) Extent of disablement
Confined to House From . to
Partial disablement From . to
(c) Present State of incapacity
7. Name and address of surgeon in attendance
8.(a) Where and when can a Medical Officer of the
company visit you if necessary
(b) Name of nearest railway station and distance
therefrom
9.(a) Are you insured in any other office or offices
granting compensation for accident?
(b) If so, state name and address of company or
companies and amount of insurance.
I hereby declare that the foregoing statements are made by myself and are true in all respect and that I
have not attempted to conceal from the Company anything with which it ought to be made acquainted,
and also that I have not abstained from any usual occupation longer than absolutely necessary and I agree
that if I have made, or in any further declaration the Company may require, shall make any false or
fraudulent statement or any suppression, concealment or untrue averment whatever, the Policy shall be
void, and my right to compensation forfeited, and I am willing, if required, to make a Statutory
Declaration before a Justice of the Peace of the truth of the whole of he foregoing statement or any other
statement I may make in connection with this claim.
Witness :
Name Signature of Insured
Signature : Date :

GROUP PERSONAL ACCIDENT INSURANCE SCHEME

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 CERTIFICATE TO BE FILLED UP AND SIGNED BY AN
EYE WITNESS OF THE ACCIDENT

I hereby certify that I was present when the Accident occurred to Mr. ........................ on the
................... (date) of ....................... ............. in the manner stated by him overleaf, that it was
caused by which was*/was not his wilful act and that he was/was not under the influence of
intoxicating liquor at that time.

Signature................................
Address..................................
Occupation.............................

*Strike out which is not applicable. Date .................................

GROUP PERSONAL ACCIDENT INSURANCE SCHEME

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 MEDICAL CERTIFICATE

Claims must be supported by Medical Evidence furnished by the Insured and at his expense.

1.(a) Name of Claimant

(b) Age
2.(a) Nature and cause of Accident
(b) If to eye or limb, state left or right
(c) Whether the appearance of the Injuries are
consistent with the account given of the
accident.
3. Date on which you first attended Claimant for
this injury.
4. Has Claimant been totally prevented from
attending to any portion of his business? If so,
how long?
5. Is Claimant suffering from any disease or
illness apart from this injury, and is there any
illness or circumstances which may tend to
retard recovery? If so, give particulars.
6. Present condition.
7. How long from the happening of the Accident
do you consider
(a) Total disablement will last?
(b) Partial disablement will last?
Having personally examined the above named Insured, I Certify that the above statements are
correct and that the injured person is necessarily disabled by the Accident referred to.

Signature _________________ Name & Qualification __________

Date ____________ Address ______________

REMARKS:

GROUP PERSONAL ACCIDENT INSURANCE SCHEME

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 EMPLOYEES
CONVEYANCE ADVANCE
GROUP INSURANCE SCHEME

Page 407
 POSOCO EMPLOYEES CONVEYANCE ADVANCE GROUP INSURANCE
SCHEME

In order to provide insurance cover on the liability of the employees towards their
outstanding Conveyance Advance and interest accrued thereon, in the event of
death while in employment, it has been decided to introduce POSOCO Employees
(Conveyance Advance) Group Insurance Scheme and to obtain insurance cover
from an Insurance Company under their Mortgage Redemption (Insurance)
Scheme as per the terms and conditions outlined below:

1.1. Coverage

Employees who have taken Conveyance Advance from the Company shall be
covered under the scheme. Subsequent to the date of introduction of the scheme,
all employees who are sanctioned Conveyance Advance shall be compulsorily
covered under the scheme.

1.2 Insurance Cover

In terms of the Insurance Policy, Insurance Company shall provide insurance

cover to individual conveyance advance taken by the employees to a maximum of
Rs. 22 lakhs (principal and interest). In other words, in the event of death of an
employee while in service and before repayment of the entire amount of
Conveyance Advance and the interest thereon, Insurance Company shall pay to the
company the outstanding Conveyance Advance and interest of the employee as on
Annual Renewal Date, limited to Rs. 22 lakhs. However, the outstanding
Conveyance Advance and interest thereon shall not include the defaults in
payments, if any, of the concerned employees. Any amount beyond the limit of
Rs. 22 Lakhs shall be adjusted as due from the concerned employees:

1.3 Premium

The premium towards taking the aforesaid insurance policy shall be as per the
rates charged by Insurance Company from time to time and shall be determined on
the basis of the outstanding Conveyance Advance thereon of the employees as on
1st April, every year.

The premium payable under the scheme will be shared by the company and the
concerned employee, in equal proportion of 1:1 and the employees share shall be
recovered from time to time in 12 equal monthly instalments every year.

EMPLOYEES (CONVEYANCE ADVANCE) GROUP INSURANCE SCHEME

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1.4 Procedure

1.4.1 As on the date of implementation of the scheme, the RLDC/NLDC/CC (HR

Estt.Group) will obtain consent from the employees, who have taken Conveyance
Advance from the company for monthly recovery of their share of the premium.

The consent, so obtained will be kept in the Conveyance Advance file of the
employee concerned maintained in HR Deptt. On receipt of the consent, the HR-
Estt Group will prepare a list of such cases (showing employee No. and age, as on
date of consent) and send it to the F&A for calculation and recovery of employees
share of premium. The RLDC/NLDC will also inform corporate HR Deptt. as per
Annexure-A the total number of employees who have taken Conveyance Advance
alongwith proposed total annual recovery towards employees share of premium.

1.4.2 The RLDCs/NLDC/Corporate Centre will intimate action for recovery of monthly
premium from the salary of those employees who have submitted their consent
based on their respective age and amount outstanding (principal + interest).

1.4.3 In all cases of fresh sanction and disbursement of Conveyance Advance recovery
of the premium due shall be effected by F&A. For this purpose, the HR Deptt.
shall inform F&A through a monthly list, the age details of the employees who
have been sanctioned Conveyance Advance in a particular month.

1.4.4 Further, every year as on 1st April an updated list showing all the particulars as per
Performa at Annexure D will be prepared jointly by HR and Finance and sent by
the RLDCs/CC to Corporate HR Establishment Group, incorporating additions and
deletions to enable Insurance Company to calculate the premium payment for the
year.

1.4.5 In case of transfer of an employee covered under the scheme to another

RLDC/NLDC/CC, the particulars of the total Conveyance Advance and interest
outstanding and the rate of recovery of monthly premium shall be shown in the
LPC issued by Finance Department. The HR department will also send details of
date of birth of the transferred employees to the RLDC/NLDC/CC concerned.

1.4.6 In case of resignation from the service of the corporation, the recovery of the
premium would be effected till the month in which the employee is relieved.

1.4.7 In the event of death of a covered employee while in service and in respect of
whom the entire/ part amount of conveyance advance and interest thereon is still to
be repaid, the RLDC/NLDC shall send the necessary intimation alongwith the
details and death certificate of the concerned employee to CC who in turn forward
it to Insurance Company in the prescribed form. On receipt of the said intimation,
Insurance Company will process the case and pay to POSOCO the outstanding

EMPLOYEES (CONVEYANCE ADVANCE) GROUP INSURANCE SCHEME

Page 409
 Conveyance Advance and Interest thereon of the employee as on Annual Renewal
Date.

1.4.9 Notwithstanding the above, Insurance coverage of Vehicle as per provision of

Conveyance Advance Rules of POSOCO shall also be applicable.

2.0 Definitions

In these rules, the following words and expressions shall, unless repugnant to the
context, have the following meanings:
i) “The Employer” shall mean Power System Operation Corporation Limited.
(POSOCO)

ii) “The Corporation” shall mean the Insurance Company

iii) “The Scheme” shall mean the POSOCO Employees (Motor Vehicle Advance)
Group Insurance Scheme.

iv) “The Rules” shall mean the Rules of the Scheme as set out below and as amended
from time to time.

v) “The Borrower” shall mean an employee of POSOCO who has been sanctioned
Motor Vehicle Advance by the employer and for whom a loan either in full or in
part has been disbursed by the employer on or after the effective date, hereinafter
defined.

vi) “The Loan” shall mean the amount of Conveyance Advance raised not exceeding
Rs. 15 Lakhs by the borrower member from POSOCO.

vii) “The Member” shall mean the particular Borrower who has been admitted to the
Membership of the Scheme and on whose life an assurance has been or is to be
effected in accordance with the Rules.

viii) “Effective Date” shall mean the date as from which the Scheme commences.

ix) “Entry Date” shall mean (a) in relation to the members joining the Scheme on the
effective date, the Effective Date and (b) in relation to the new Members admitted
to the Scheme after the effective date, the date on which the loan is disbursed to
them.

x) “Annual Renewal Date” shall mean, in relation to the Scheme, the 1st day of
April in each subsequent year.

EMPLOYEES (CONVEYANCE ADVANCE) GROUP INSURANCE SCHEME

Page 410
 xi) “Terminal Date” shall mean, in relation to the Member, the 1st day of the month
coincident with or next following (a) the expiration of the period of repayment of
loan or (b) the last date of the month in which the Member completes the age of 60
years or (c) the date on which the member leaves the employment of POSOCO
whichever is earlier.

xii) “The Assurance” shall mean the particular assurance effected or to be effected on
the life of the Member.

xiii) “Outstanding Indebtedness” shall mean in relation to the Member, the amounts
representing from time to time the difference between the total amount of loan
disbursed for the Member and the accrued interest and the aggregate of the sum
repaid towards liquidation of the principal and interest on such loan. Provided
however that for the purpose of the Scheme, the aggregate of such sum repaid
which forms a deduction for arriving at the outstanding indebtedness shall be
reckoned on the Annual Renewal Dates (ARD), notwithstanding the fact that the
repayments are made in monthly installments during the relevant year.

xiv) “Normal Date of Retirement” shall mean the last date of month in which the
member attains the age of 60 years.

3.0 Employer to deal with the Corporation

The employer will act for and on behalf of the Member in all the matters relating
to the Scheme and every act done by agreement made with and notice given to the
Corporation by the Employer shall be binding on the members.

4.0 The Employer to Furnish Requirements

The Employer shall furnish to the Corporation the relevant particulars of the
Members as are required in connection with the smooth administration of the
Scheme, such as notifications regarding admission of New Members, amount of
loan disbursed, defaults in repayments, repayment of full loan, death of the
Members, etc. so as to enable the Corporation to take appropriate action.

POSOCO will also have to furnish the particulars of the outstanding loan including
accrued interest for each individual member on the commencement date of the
Scheme and also on every Annual Renewal Date.

5.0 Membership of the Scheme

All employees who have been sanctioned conveyance advance and who are aged
not less than 18 years and who have not attained retirement on superannuation

EMPLOYEES (CONVEYANCE ADVANCE) GROUP INSURANCE SCHEME

Page 411
 shall, subject to the provisions of Rule 6 thereof, be eligible to participate in the
benefits of the Scheme.

6.0 Evidence of Age

Evidence of age satisfactory to the Corporation shall be furnished by every

Member at the time of entry into the Scheme.

7.0 Insurance Condition

The member should not be on leave on sick grounds as on the date of

commencement of risk and for the new members as on the date of joining the
scheme.

8.0 Assurance

Subject to the provisions of Rule 6, an Assurance shall be effected on the life of

each member under One Year Renewal Group Term Assurance Plan for a sum
assured equal to the Outstanding Indebtedness with interest, or Rs. 22 Lakhs
whichever is less.

The sum assured shall be revised on the subsequent Annual Renewal Dates having
regard to the aggregate of the sums since deemed to have been repaid towards part
of the principal and interest thereon in the relevant year.

The Assurance shall be held by the Employer “upon trust” for the benefit of the
Members to be utilized for the purpose of liquidating their Outstanding
Indebtedness. The balance amount, if any, remitting out of the claim amount after
setting the actual indebtedness of the deceased member, shall be paid by the
Employer to the nominee of the member concerned.

9.0 Premiums

The Employer shall pay to the Corporation in respect of each member on the
Effective Date and on every Annual Renewal Date such premiums as are required
to secure and continue the assurance on the life of the Member for the relevant
Sum Assured as specified in Rule 7. The premium payable to the Corporation will
be on the outstanding principal amount of conveyance advance and accrued
interest thereon. Adjustment of excess premium paid/deposit of additional
premium in respect of previous year will, however, be made on the Annual
Renewal Date.

EMPLOYEES (CONVEYANCE ADVANCE) GROUP INSURANCE SCHEME

Page 412
10.0 Benefit on Death prior to normal retirement date

Upon the death of a Member whilst being covered under the Scheme, the Sum
Assured under the Assurance then in force shall become payable to POSOCO. On
production of proof of death of the member, the Corporation shall Pay the Sum
Assured and the same shall be utilized by the POSOCO for the purpose of
liquidating the outstanding Indebtedness of the Borrower by effecting a reduction
in the loan outstanding in respect of him. Provided that, if the Sum Assured under
the Assurance exceeds the Outstanding Indebtedness, the excess sum assured shall
be paid by employer to the nominee of the member concerned.

11.0 Termination of Assurance

The Assurance on the life of Member shall forthwith terminate upon the happening
of any one of the following events and no benefit will become payable thereunder:

i) The member reaching the Terminal Date.

ii) If the premium is not paid by POSOCO within 60 days of the due date.

iii) If the Outstanding Indebtedness is extinguished any time prior to the Terminal
Date.

iv) The member ceasing to be an employee of POSOCO.

12.0 Restrain on assignment of encumbrance

The benefits assured under the Scheme are strictly personal and cannot be
assigned, charged or alienated in any way.

13.0 Discontinuance or amendment of the Scheme

POSOCO reserves the right to discontinue the Scheme at any time or to amend the
Rules thereof on any Annual Renewal Date subject to 3 months notice being given
to the Corporation.

14.0 Jurisdiction

All assurances affected under the Scheme shall be Indian Contracts. They will be
subject to Indian Laws including the India Insurance Act, 1938, The Income Tax
Act, 1961 and the amendments thereto and to any legislation subsequently
introduced. All benefits under the Scheme arising out of death of any Member
shall be payable in Indian Rupees.

EMPLOYEES (CONVEYANCE ADVANCE) GROUP INSURANCE SCHEME

Page 413
15.0 Master Policy

The Corporation will issue to POSOCO the Master Policy incorporating all the
terms and conditions governing the Assurance affected under the Scheme.

16.0 Rates of premium and conditions of Assurance

The rate of premium and conditions of Assurance under which the Corporation is
prepared to arrange the Scheme shall be subject to an agreement between
POSOCO and the Corporation. The conditions and Assurance and the rates of
premium may be varied by the Corporation from time to time on any Annual
Renewal Date subject to 3 months notice being given to POSOCO.

17.0 Experience rating adjustment

The Corporation’s Scheme of Experience Rating Adjustment shall be applicable to

the Life Insurance Benefit in respect of the members provided that the
Membership strength at the beginning of the policy year is at least 200. At
intervals of not more than 3 years, Experience Rating Adjustment will be
determined subject to such conditions as may be applicable in that behalf.

EMPLOYEES (CONVEYANCE ADVANCE) GROUP INSURANCE SCHEME

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 Annexure A

Name of the RLDC/NLDC/CC Date

Total Number of employees who have Proposed total annual recovery towards
been sanctioned Conveyance Advance employees share of premium (Rs.)
(1) (2)

EMPLOYEES (CONVEYANCE ADVANCE) GROUP INSURANCE SCHEME

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 Annexure B

Performa for Submitting employees details to CC every year as on 1st April

Emp. No. Name Designation DOB Amount of

Conveyance Advance
sanctioned
(1) (2) (3) (4) (5)

Date of Total outstanding Monthly Conveyance Date of release (in

Sanction Conveyance Advance Advance recovery case of deletion
and Interest only)
(6) (7) (8) (9)

EMPLOYEES (CONVEYANCE ADVANCE) GROUP INSURANCE SCHEME

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EMPLOYEES (HBA)
GROUP INSURANCE
SCHEME

Page 417
 POSOCO EMPLOYEES (HBA) GROUP INSURANCE SCHEME
1.0 Introduction
In order to provide insurance cover on the liability of the employees towards their
outstanding House Building Advance and interest accrued thereon, in the event of
death while in employment, POSOCO Employees Group House Building
Advance Insurance Scheme is introduced to obtain insurance cover from an
Insurance Company under their Mortgage Redemption (Insurance) Scheme as per
the terms and conditions outlined below.

1.1 Coverage
Employees who have taken House Building Advance from the company shall be
compulsorily covered under the scheme.

1.2 Insurance Cover

In terms of the Insurance policy, the Insurance Company shall provide insurance
cover to individual House Building Advances taken by the employees to the extent
of Rs 81 Lakhs (principal and interest). In other words, in the event of death of an
employee while in service and before repayment of the entire amount of HBA and
the interest thereon, Insurance Company shall pay to the company the outstanding
HBA and interest of the employee, limited to Rs.81 Lakhs. However, the
outstanding HBA and interest thereon shall not include the defaults in payments, if
any, of the concerned employees.
Any amount beyond the limit of Rupees 81 Lakhs shall be adjusted as due from
the concerned employee.

1.3 Premium
The premium towards taking the insurance policy shall be as per the rates charged
by Insurance Company from time to time and shall be determined on the basis of
the outstanding HBA and interest of the employees as on 1st April of every year.

The premium payable under the scheme will be shared by the Company and the
concerned employees in equal proportion of 1:1 and the employees' share shall be
recovered from them in 12 equal monthly instalments.

1.4 Procedure
1.4.1 In all cases of fresh sanction of HBA, immediately on release of first instalment
(or lumpsum as the case may be) recovery of the premium, corresponding to the
amount released and interest thereon, shall be effected by F&A. For this purpose,
the HR Deptt., shall inform F&A through a monthly list, the age details of the
employees sanctioned HBA in a particular month.

POSOCO EMPLOYEES (HBA) GROUP INSURANCE SCHEME

Page 418
1.4.2 As on every 1st April an updated list showing all the particulars as per proforma
at Annexure-A will be prepared jointly by HR & F&A and sent by the
RLDCs/NLDC/C.C. to Corporate HR- Establishment Group, incorporating
additions and deletions to enable Insurance Company to calculate the premium
payment for the year.

1.4.3 In the case of transfer of an employee covered under the scheme to another
RLDCs/NLDC/CC, the particulars of the total HBA and interest outstanding and
the rate of recovery of monthly premium shall be shown in the LPC issued by
Finance Deptt. The HR Deptt. will also send details of date of birth of the
transferred employee to the RLDC/NLDC/CC concerned.

1.4.4 In the case of resignation from the service of the Corporation, the recovery of the
premium would be effected till the month in which the employee is relieved.

1.4.5 In the event of death of a covered employee while in service and in respect of
whom the entire/part amount of HBA and interest thereon is still to be repaid, the
RLDC/NLDC/Corporate Centre shall send the necessary intimation to Insurance
Company, along with the details of the concerned employee in the prescribed
form. On receipt of the said intimation, Insurance Company will process the case
and pay to POSOCO the outstanding HBA and interest thereon of the employee,
as admissible under the scheme.

2.0 Definitions
In these rules, the following words and expressions shall, unless repugnant to the
context, have the following meanings:
i) 'The Employer' shall mean Power System Operation Corporation Ltd.
(POSOCO).

ii) 'The Corporation' shall mean the Insurance Company

iii) 'The Scheme' shall mean the POSOCO Employees (House Building Advance)
Group Insurance Scheme.

iv) "The Rules" shall mean the Rules of the Scheme as set out below and as
amended from time to time.

v) 'The Borrower' shall mean an employee of POSOCO who has been sanctioned
House Building Advance by the employer and for whom a loan either in full or in
part has been disbursed by the employer on or after the effective date, hereinafter
defined.

vi) 'The Loan' shall mean the amount of House Building Advance raised not
exceeding Rs.60 Lakhs by the borrower member from POSOCO.

POSOCO EMPLOYEES (HBA) GROUP INSURANCE SCHEME

Page 419
 vii) 'The Member' shall mean the particular Borrower who has been admitted to the
Membership of the scheme and on whose life an assurance has been, or is to be,
effected in accordance with the Rules.

viii) 'Effective Date' shall mean the date as from which the scheme commences.

ix) 'Entry Date' shall mean (a) in relation to the members joining the scheme on the
Effective Date, the Effective Date and (b) in relation to the new Members
admitted to the scheme after the effective date, the date on which the 1st
instalment of the loan is disbursed for them.

x) 'Annual Renewal Date" shall mean, in relation to the Scheme, the 1st day of
April in each subsequent year.

xi) 'Terminal Date' shall mean, in relation to the Member, the 1st day of the month
coincident with or next following (a) the expiration of the period of repayment of
loan or (b) the last date of the month in which the Member completes the age of
60 years or (c) the date on which the member leaves the employment of POSOCO
whichever is earlier.

xii) 'The Assurance ' shall mean the particular assurance effected or to be effected on
the life of the Member.

xiii) 'Outstanding indebtedness' shall mean in relation to the Member, the amounts
representing from time to time the difference between the total amount of loan
disbursed for the Member and the accrued interest and the aggregate of the sum
repaid towards liquidation of the principal and interest on such loan. PROVIDED
HOWEVER THAT for the purpose of the scheme, the aggregate of such sum
repaid which forms a deduction for arriving at the outstanding indebtedness shall
be reckoned at yearly interests on the Annual Renewal Dates, notwithstanding the
fact that the repayments are made in monthly instalments during the relevant
years.

xiv) 'Normal date of retirement' shall mean the last date of month in which the
member attains the age of 60 years.

3.0 Employer to deal with the Corporation

The employer will act an on behalf of the Member in all the matters relating to the
Scheme and every act done by agreement made with and notice given to the
Corporation by the Employer shall be binding on the Members.

4.0 The employer to furnish Requirements

The Employer shall furnish to the Corporation the relevant particulars of the
Members as are required in connection with the smooth administration of the
scheme, such as notifications regarding admission of new members, amount of

POSOCO EMPLOYEES (HBA) GROUP INSURANCE SCHEME

Page 420
 loan disbursed, defaults in repayments, repayment of full loan, death of the
members, etc. so as to enable the Corporation to take appropriate action.

POSOCO will also have to furnish the particulars of the outstanding loan
including accrued interest for each individual member on the commencement date
of the scheme and also on every Annual Renewal Date.

5.0 Membership of the Scheme

All employees who have been sanctioned conveyance advance and who are aged
not less than 18 years and who have not attained retirement on superannuation
shall, subject to the provisions of Rule 6 thereof, be eligible to participate in the
benefits of the Scheme.

6.0 Evidence of Age

Evidence of age, satisfactory to the Corporation, shall be furnished by every
Member at the time of entry into the Scheme.

7.0 Insurability Condition

The member should not be on leave on sick grounds as on the date of
commencement of risk and for the new members as on the date of joining the
scheme.

8.0 Assurance

Subject to the provisions of the Rule 6, an assurance shall be effected on the life of
each member under one year Renewal Group Team Assurance Plan for a sum
assured equal to the Outstanding Indebtedness with interest, or Rs.81 Lakhs,
whichever is less. The sum assured shall be increased from time to time
consequent upon increase in the Outstanding indebtedness arising from further
disbursement of loan by the employer.

The sum assured shall be revised on the subsequent Annual Renewal Dates having
regard to the aggregate of the sums since deemed to have been repaid towards part
of the principal and interest thereon in the relevant year. The assurance shall be
held by the Employer upon trust for the benefit of the Members to be utilised for
the purpose of liquidating their Outstanding indebtedness. The balance amount, if
any, remitting out of the claim amount after setting the actual indebtedness of the
deceased member, shall be paid by the Employer to the nominee of the member
concerned.

9.0 Premiums
The Employer shall pay to the Corporation, in respect of each member, on the
effective date and on every Annual Renewal Date such premiums as are required

POSOCO EMPLOYEES (HBA) GROUP INSURANCE SCHEME

Page 421
 to secure and continue the assurance on the life of the Member for the relevant
sum assured as specified in Rule 7. Provided that, if the sum assured in respect of
Member is increased subsequently consequent upon increase in the outstanding
indebtedness on any date other than the Annual Renewal Date, an appropriate
premium shall be payable relating to the increase in sum assured. The premium
payable to the Corporation will be on the outstanding principal amount of House
Building Advance and accrued interest thereon. Adjustment of excess premium
paid/deposit of additional premium in respect of previous year will, however, be
made on the Annual Renewal Date.

10.0 Benefit of Death prior to normal Retirement Date

Upon the death of a Member whilst being covered under the Scheme, the sum
assured under the assurance then in force shall become payable to POSOCO. On
production of proof of death of the Member, the Corporation shall pay the sum
assured and the same shall be utilised by the POSOCO for the purpose of
liquidating the outstanding indebtedness of the borrower by effecting a reduction
in the loan outstanding in respect of him. Provided that, if the sum assured under
the assurance exceeds the outstanding indebtedness, excess sum assured shall be
paid by employer to the nominee of the member concerned.

11.0 Termination of Assurance

The assurance on the life of Member shall forthwith terminate upon the happening
of any one of the following events and no benefit will become payable thereunder:
i) The member reaching the Terminate Date.

ii) If the premium is not paid by POSOCO within 60 days of the due date.

iii) If the outstanding indebtedness is extinguished any time prior to the Terminal
date.

iv) The member ceasing to be an employee of POSOCO.

12.0 Restraint on Assignment of Encumbrance

The benefits assured under the Scheme are strictly personal and cannot be
assigned, charged or alienated in anyway.

13.0 Discontinuance or Amendment of the Scheme

POSOCO reserves the right to discontinue the Scheme at any time or to amend the
Rules thereof on any Annual Renewal Date subject to 3 months notice being given
to the Corporation.

POSOCO EMPLOYEES (HBA) GROUP INSURANCE SCHEME

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14.0 Jurisdiction
All assurance effected under the scheme shall be Indian contracts. They will be
subject to Indian Laws including the India Insurance Act, 1938, the Income Tax
Act 1961 and the amendments thereto and to any legislation subsequently
introduced. All benefits under the scheme arising out of death of any Member
shall be payable in Indian Rupees.

15.0 Master Policy

The Corporation will issue to POSOCO the Master Policy incorporating all the
terms and conditions governing the assurance affected under the Scheme.

16.0 Rates of Premium and Conditions of Assurance

The rate of premium and conditions of assurance under which the Corporation is
prepared to arrange the scheme shall be subject to an agreement between
POSOCO and the Corporation. The conditions and assurance and the rates of
premium may be varied by the Corporation from time to time on any Annual
Renewal Date subject to 3 months notice being given to POSOCO.

17.0 Experience Rating Adjustment

The Corporation's scheme of Experience Rating Adjustment shall be applicable to
the Life Insurance Benefit in respect of the members, provided that the
Membership strength at the beginning of the policy year is at least 200. At
intervals of not more than 3 years, Experience Rating Adjustment will be
determined subject to such conditions as may be applicable in that behalf.

POSOCO EMPLOYEES (HBA) GROUP INSURANCE SCHEME

Page 423
 ANNEXURE-A

POWER SYSTEM OPERATION CORPORATION LTD.

PROFORMA FOR SUBMITTING EMPLOYEE
DETAILS TO INSURANCE COMPANY /CORPORATE CENTRE
(Every year as on 1st April)*

EMP. NO. NAME DESIGNATION DATE OF AMOUNT OF

BIRTH HBA
SANCTIONED

1. 2. 3. 4. 5.

DATE OF TOTAL OUTSTANDING HBA MONTHLY DATE OF

RELEASE & INTEREST HBA RELEASE ( IN
RECOVERY CASE OF
DELETION
ONLY)

6. 7. 8. 9.

* Additions/ Deletions lists to be prepared separately.

POSOCO EMPLOYEES (HBA) GROUP INSURANCE SCHEME

Page 424
 ACCELERATED
CAREER GROWTH
SCHEME
(ACGS)

Page 425
 ACCELERATED CAREER GROWTH SCHEME (ACGS)
1.0 To integrate the need for growth of employees and organizational requirement
and to have uniform procedure and criteria for selection, the Accelerated Career
Growth Scheme has been devised.

2.0 Employees with following qualification will be eligible for ACGS

(i) Diploma in Engineering.

(ii) AMIE or Degree in Engineering.
(iii) CA/ ICWA (Inter).
(iv) CA/ICWA (Final).
(v) MBA/ PG Diploma or Degree in Finance/HR/ Personnel Management/IR.
Note: Employees with qualifications acquired through distance education mode shall
only be considered eligible for the scheme if their qualification is recognized. For
recognition following shall be considered:
Technical : AICTE & DEB
Non-Technical: DEB
3.1 Provisions for employees with Diploma in Engineering.
3.1.1 Employees in Workmen category within minimum two years’ service in
POSOCO and with qualification of recognized Diploma in Engineering (3 years
duration) can be considered for selection as Supervisor (Trainee) subject to
qualifying in prescribed written test, group discussion and interview. On
successful completion of one-year training, such employees will be placed in S1
grade as Jr. Engineer Gr-IV.

3.2 Provision for Employees with AMIE/ Degree in Engineering.

3.2.1 Employees in Workmen category having minimum two years service in POSOCO
and with qualification of AMIE or recognized Degree in Engineering can be
considered fro selection in S1 grade as Jr. Engineer, Gr-IV, subject to qualifying
in prescribed written test, group discussion and interview. Those selected in the
above grade will have to undergo training of three months.
3.2.2 Employees in Supervisory category with two years service in POSOCO and with
qualification of AMIE or recognized Degree in Engineering can be considered for
selection as AE (Trainee) subject to qualifying in prescribed written test, group
discussion and interview. On successful completion of one year training, such
employees will be placed in E2 grade as Engineer.

ACCELERATED CAREER GROWTH SCHEME

Page 426
3.3 Provision for employees with CA/ ICWA (Inter).
3.3.1 Employees in workmen category with minimum two years’ service in POSOCO
and with qualification of CA/ ICWA (Inter) can be considered for selection in S1
grade as Jr. Officer (Accounts) subject to qualifying in prescribed written test,
group discussion and interview. Those selected in the above grade will have to
undergo training of three months.

3.4 Provisions for employees with CA/ICWA (Final).

3.4.1 Employees with minimum two years’ service in POSOCO and with qualification
of CA/ ICWA (Final) can be considered for selection in E3 grade as Assistant
Manager (Accounts) subject to qualifying in Group discussion and interview.
Those selected in the above grade will have to undergo training of three months.

3.5 Provisions of employees with MBA/ PG Diploma or Degree (Minimum 2

years duration duly recognized by AICTE or awarded by University
recognized by UGC) with specialization in Finance, HR/ Personnel
Management/ IR.
3.5.1 Employees in Workmen category having minimum two years’ service in
POSOCO and qualification of MBA/ PG Diploma or degree in Finance, HR/
Personnel Management/IR with an average of 60% marks* can be considered for
selection as Jr. Officer (Trainee) subject to qualifying in written test, group
discussion and interview. On successful completion of one year training, such
employees will be placed in S1 grade as Jr. Officer (HR)/ Jr. Officer (Accounts).
3.5.2 Employees in Supervisory category with minimum two years’ service in
POSOCO and qualification of MBA/ PG Diploma or degree in Finance, HR/
Personnel Management/IR with an average of 60% marks* can be considered for
selection as Assistant Officer (Trainee) subject to qualifying in written test, group
discussion and interview. On successful completion of one year training, such
employees will be placed in E2 grade as Officer (Accounts) / Officer (HR)
3.5.3 However, employees belonging to SC/ST categories with MBA/ Graduate
Diploma or Degree course with pass marks in relevant discipline will become
eligible under this Scheme.(* Average marks would be calculated on the basis of
marks of all years and subjects rounded off to the nearest digit. However, CMD is
empowered to relax qualifying marks in case of existing employees who have
completed MBA/ PG Diploma or Degree prior to issue of the circular, based on
merit of the case.)
A diagrammatic presentation of the above is given as Annexure I.

ACCELERATED CAREER GROWTH SCHEME

Page 427
4.0 General Provisions
(i) Promotion under the scheme shall be within the framework of available
vacancies. The vacancies under the scheme would be notified as per requirement
only and not more than once in two years.
(ii) In order to have proper mix of fresh induction, promotees etc. vacancies notified
under ACGS shall not be more than 15% of that year.
(iii) An exercise to determine the need of ACGS shall be carried out to keeping in
view company’s requirement and if required, Corporate HR- Promotion Group
will issue notification for written test/ group discussion / interview for selection of
personnel under the Scheme.
(iv) Written test, Group Discussion as well as Interview shall be centrally
administered by Corporate HR-Promotion group.
(v) Written test wherever applicable would be stringent and shall be on the basis of
ET test associating external agencies/ faculties for selection in Executive grade
under ACGS.
(vi) Written test will consist of two parts namely (a) company information, general
information & aptitude and (b) technical i.e employees related discipline. Each
part will carry 100 marks out of which 40 marks will be for objective type
questions and 60 marks will be for subjective type questions. Duration of the test
will be 3 hours. Employees have to secure minimum 50% marks (40% for SC/ST)
in each part and 55% marks (45% for SC/ST) in aggregate in order to qualify fro
group discussion/ interview. However, the candidates to be called for Group
discussion / interview will be 1:5 ratio.
(vii) Minimum qualifying marks in the prescribed written test, group discussion and
interview separately must not be less than 55% (45% for SC/ST).
(viii) A common written test for technical disciples would be held for employees
acquiring qualification in Electrical, Electronics, Civil, Mechanical disciplines
only. The syllabus, nature of test, duration etc, will be communicated alongwith
the notification as per 4(iii) above.
(ix) Maximum age limit for eligibility for ACGS will be 55 years as on 1st July of the
year in which notification is issued.
(x) Employee selected under the scheme will be liable to be posted any where in
POSOCO.
(xi) Selection of employees under the provisions of the Scheme will be subject to the
conditions that the employees satisfy all other conditions prevalent for selection
of internal candidates for higher position viz. Vigilance clearance, Appraisal
Report etc.

5.0 Pay Fixation of employees covered under the ACGS will be done in accordance
with the pay fixation rules of the company.

ACCELERATED CAREER GROWTH SCHEME

Page 428
6.0 In case of any doubt regarding any of the provisions of the Scheme, the matter
shall be referred to Corporate HR–Policy group for clarification. The right to
interpret, modify or alter and any relaxation in the provisions of the Scheme shall
rest with CMD whose decision will be final and binding.

*************

Reference:
(1) Corporate HR Circular No. 16/2019 dated 07.05.2019 (Accelerated Career
Growth Scheme)

ACCELERATED CAREER GROWTH SCHEME

Page 429
 Annexure-I
(i) Employees with Diploma in Engineering:
Cadre Year of Qualification Mode Post on Selection
Service
Workmen 2 years in Diploma in Written (i) Sup (Trainee)
POSOCO Engineering Test+ (ii) Jr. Engineer
(any Group
Gr.IV (S1) after 1
discipline) Discussion year of successful
+ Interview
completion of
training.

(ii) Employee with AMIE/ Degree in Engineering:

Cadre Year of Qualification Mode Post on Selection
Service
Workmen 2 years in BE/AMIE Written Jr. Engineer Gr.IV
POSOCO (any Test+ (S1). Have to
discipline) Group undergo 3 months
Discussion training.
+ Interview
Supervisor 2 years in BE/AMIE Written (i) A E (Trainee)
POSOCO (any Test+ (ii) Engineer (E2)
discipline) Group after 1 year of
Discussion successful
+ Interview completion of
training.

(iii) Workmen with CA/ ICWA (Inter)

Cadre Year of Qualification Mode Post on Selection
Service
Workmen 2 years in CA/ICWA Written Jr. Officer
POSOCO (Inter) Test+ (Accounts) (S1).
Group Have to undergo 3
Discussion months training.
+ Interview

ACCELERATED CAREER GROWTH SCHEME

Page 430
(v) Employee with CA/ ICWA (Final)
Cadre Year of Qualification Mode Post on Selection
Service
Employee 2 years in CA/ICWA Group Asst. Manager
POSOCO (Final) Discussion (Accounts), E3.
+ Interview Have to undergo 3
months training.

(vi) Employee with MBA/ PG Diploma or Degree (Minimum 2 years duration

duly recognized by AICTE or awarded by university recognized by UGC)
with specialization in Finance, Human Resource/ Personnel Management/ IR
Cadre Year of Qualification Mode Post on Selection
Service
Workmen 2 years in MBA/PG Written (i) Jr.Officer
POSOCO Diploma or Test + (Trainee)
Degree with Group (ii) Jr. officer
60 % marks* discussion (Accounts), (S1)/
+Interview Jr. Officer (HR),
S1 after 1 yr of
successful
completion of
training.
Supervisor 2 years in MBA/PG Written (i) Assistant
POSOCO Diploma or Test + Officer (Trainee)
Degree with Group (ii) Officer (HR)/
60 % marks* discussion Officer
+Interview (Accounts), (E2)
after 1 yr of
successful
completion of
training.

* Average marks would be calculated on the basis of marks of all the years
and subjects, rounded to the nearest full digit

ACCELERATED CAREER GROWTH SCHEME

Page 431
FACILITIES FOR
HIGHER STUDIES

Page 432
 FACILITIES FOR HIGHER STUDIES
The POSOCO Scheme of "Facilities for Higher Studies" covers the following two categories:

i) Corporation Sponsorship for Higher Studies.

ii) Grant of Study Leave for Higher Studies.

The terms and conditions attached to each Scheme are as under:

1.0 Corporation Sponsorship

1.1 Eligibility

This applies to all regular employees of the Corporation but exclude Trainees /Apprentices
/those employed on contract/deputation/temporary/ casual basis. Employees who are under
suspension or against whom any disciplinary proceedings/vigilance cases are pending/
contemplated may not be considered for the sponsorship.

1.2 Entitlements

a) Corporation Sponsorship within India

The period of sponsorship, generally will not exceed one year and will be approved by Director
(HR). In exceptional circumstances sponsorship beyond one year may be approved by CMD.

i) The normal entitlement as on duty will be protected excepting incentive payment and/or any
other ex-gratia payment/reward etc. for the period of the study.

ii) The employee will normally be expected to stay in the accommodation available with the
institution where study is undertaken. However, if any accommodation is not provided by the
institute, payment of HRA, in lieu, may be sanctioned upto the following limits.

(1) 'A' class cities

- 12.5% of the pay (pre-revised) in all 'A' class cities, except Mumbai.

- 15% of the pay (pre-revised) in case of Mumbai.

(2) Other Places

- 75% of normal rates applicable to employees posted in such places. Payment of HRA as
above is subject to production and verification of House Rent Receipts and other normal
rules regarding payment of HRA.

FACILITIES FOR HIGHER STUDIES

Page 433
 iii) The employees will be paid TA as per the Rules of the Corporation laid down from time to
time for journeys between the place of duty and the place where the course is to be attended by
them at the time of joining and on re-joining duties; on its completion.

iv) Examination fees and other charges, if any, of the institute, will be borne by the Corporation.

v) An out-of-pocket Allowance, as considered necessary by CMD, may be given for the duration
of the course.

b) Corporation Sponsorship outside India

The period of sponsorship as well as the entitlement during this period will be determined by
CMD, with reference to the merits of each case.

1.3 Other Conditions (for both in India and outside India)

i) No salary or allowance is admissible for the period during which the employee interrupts his
studies, unless expressly approved by the Competent Authority.

ii) Accepting of part time employment, scholarship, honorarium or any other allowance/payment
from any outside agency without prior sanction of the Competent Authority is prohibited. Any
such authorised payment so received during the period will normally be adjusted against the
employee's entitlements from the Corporation; in addition to any other action, as Company
may deem fit.

iii) The employee is allowed to retain the Corporation accommodation provided to him for the
duration of the course, subject to the conditions his family physically stays in the
accommodation provided. "Family" for this purpose will include only his direct dependents i.e.
spouse and own children. Entitlement of HRA will also remain protected subject to the above
conditions.

1.4 Bond

i) The employee is required to execute a Bond to serve the Company as per the Table below:

Sl. No Length of Service Period of Bond Amount (Rs.)

Immediately after the
Completion of course

A Within India
Less than 3 months Nil Nil
3 months & above but less than 1 Year 10,000/-
6 months
6 months & above but less than 2 Years 15,000/-
1 year
1 year and above 3 Years 20,000/-

FACILITIES FOR HIGHER STUDIES

Page 434
 B Outside India
Upto 2 weeks Nil Nil
More than 2 weeks but upto 6 1 Year 15,000/-
weeks
More than 6 weeks but upto 12 2 Years 20,000/-
weeks
More than 12 weeks but upto 24 3 Years 25,000/-
weeks
More than 24 weeks 4 Years 30,000/-

(ii) In case the employee leaves the service of the Corporation during the period of the course
itself, the entire bond amount will be recoverable from him.

(iii) If, however, he leaves the service of the Company during the bond period after the completion
of the course, the bond amount will be payable by him, as per the Rules of the Corporation, as
in vogue from time to time. If he joins a Public Sector Undertaking/Government service with
Corporation concurrence, the bond may be transferred.

1.5 Procedure

i) All proposals for Corporation sponsorship shall be examined and processed by Corporate
Human Resources Department.

ii) The Competent Authority for sponsoring the employee to a course shall be as notified from
time to time.

1.6 Benefits of Service

The employee will be entitled to normal service benefits including CPF and Gratuity for the
approved period of sponsorship. The period will also count for eligibility for promotion.

2.0 Study Leave

2.1 Eligibility

(a) Study Leave is admissible to any regular employee of the Corporation, excluding a
trainee/apprentice who;

i) Has rendered a minimum of three years’ service inclusive of training/apprenticeship period in

the Corporation. In the case of deputationists who are subsequently absorbed in the
Corporation, the period of deputation will also be taken into account for this purpose.

ii) Is not due to retire within 5 years of the date on which he is expected to return to duty after the
completion of the course.

iii) Is not employed on the contract/deputation/ temporary or casual basis.

FACILITIES FOR HIGHER STUDIES

Page 435
 iv) Is not under suspension and no disciplinary proceedings/vigilance cases are pending against
him.

(b) Study Leave is admissible for a course that;

i) Is conducted in India (Grant of Study Leave for course abroad can also be considered, if the
course is not available in India).

ii) has a direct and close connection with the sphere of duties of the employee.

iii) leads to the award of recognised Post-Graduate Degree/Diploma or Doctorate.

2.2 Period of Study Leave

i) Study Leave is admissible for a maximum period of 3 years and only once during the entire
service of the employee, subject to the exigencies of work.

ii) This leave is not debited to the regular leave account of the employee.

2.3 Entitlements

i) The employee will not be entitled to any pay or allowance during the period of Study Leave.
However, the facility of LTC & medical benefits will be permissible to employees who
proceeds on study leave. In event of study abroad only dependants staying in country will be
allowed medical facility.

ii) The employee is entitled to the benefit of continuity of service for CPF and Gratuity and if the
employee chooses to contribute to his Provident Fund Account during Study Leave period, the
Corporation will make a matching contribution as per rules framed from time to time.

iii) During the Study Leave period, the employee shall not be considered for promotion. However,
the period will count for eligibility for promotion. The employee will be considered for
promotion, as per the Corporation policy, after rejoining duties on expiry of Study Leave. The
duration of Study Leave availed without completing the Study will not be reckoned for the
purpose of eligibility for promotion or for earning increments. The employees will also not be
eligible for grant of Study Leave again.

iv) The Study Leave period will not be considered for the purpose of earning any kind of leave.

2.4 Other Conditions

i) Acceptance of any part time scholarship, honorarium or any other payment during this period
without prior approval of the Competent Authority is prohibited.

ii) The employee is required to vacate the corporation accommodation provided to him, if any,
within 3 months of his proceeding on Study Leave, failing which market rent will be charged.

FACILITIES FOR HIGHER STUDIES

Page 436
2.5 Bond

i) The employee is required to execute a Bond to serve the Company for a period of 3 years
immediately after completing the course. In case of default, he is liable to pay to the Company
a sum of Rs.1,00,000/- as Bond Money.

ii) In case the employee leaves the services of the Company during the period of Study Leave
itself, the entire bond amount is recoverable from him. The entitlement of Gratuity and
Provident Fund in such cases will be dealt with in accordance with the Rules of the
Corporation from time to time.

iii) If, however, the employee leaves the service of the Corporation during the bond period, the
bond amount will be payable by him, as per the Rules of the Corporation, as in vogue from
time to time. If he joins Public Sector Undertaking/Government Service with the Corporation's
concurrence, the bond may be transferred.

2.6 Procedure

i) The employee will apply through Proper Channel to his Head of RLDC/NLDC, HOD in case
of CC for permission to join the course as soon as an advertisement/notification is issued by
the concerned institutions in the prescribed format. This will be examined by the Head of
RLDC/NLDC, HOD in case of CC and forwarded to the concerned Human Resources
Department with recommendations for onward transmission to Corporate Human Resources
Department. Wherever possible, a copy of the application form prescribed by the institution
must also be attached.

ii) The sanctioning authority for study leave shall be notified from time to time.

iii) On completion of the course, the employee shall submit to the sanctioning authority a
certificate/degree/paper in support of his having passed the examination, which should also
indicate the dates of commencement and completion of the course, with the remarks, if any, of
the authority in- charge of the course.

iv) In case the employee fails to complete the course satisfactorily, rejoining the service of the
Corporation will require specific approval of the Director (HR).

3.0 General

3.1 The Chairman and Managing Director shall have powers to make changes in procedure and
amendments/modifications to these Rules.

3.2 In case of any doubt regarding any provisions of these Rules, the matter will be referred to
Corporate Human Resources Department for a decision.

FACILITIES FOR HIGHER STUDIES

Page 437
 POWER SYSTEM OPERATION CORPORATION LIMITED
CORPORATE HUMAN RESOURCES DEPARTMENT

PROPOSAL FOR SANCTION OF STUDY LEAVE

1. Name & Emp. No. : —————————----------------———

2. Designation : —————————----------------———

3. Deptt. & Location : —————————----------------———

4A. Date of joining POSOCO : —————————----------------———

4B. Name of Constituent Organization

and date of joining : —————————----------------———

5. Whether on Bond, if yes, then

Bond valid upto : —————————----------------———

Value of Bond : —————————----------------———

6. Whether probation period closed : Yes/No

7. Whether imparted foreign training : Yes/No

8. Period of study leave applied for : —————————----------------———

ELIGIBILITY FOR STUDY LEAVE

(a) i) Whether regular employee

of the Company, excluding
a trainee/apprentice : Yes/No

ii) Whether rendered 3 years : Yes/No

service, inclusive of training (if No, not eligible for Study Leave)
apprenticeship period in the
Corporation.

iii) Whether availed study leave : Yes/No

earlier (if Yes, not eligible for Study Leave)

iv) Whether the employee is due : Yes/No

to retire within 5 years of the (if Yes, not eligible for Study Leave)
date on which he is expected

FACILITIES FOR HIGHER STUDIES

Page 438
 to return to duty after the
completion of the course

v) Whether the employee is on : Yes/No

contract/ deputation/temporary/ (if Yes, not eligible for Study Leave)
casual basis

vi) Whether the employee is : Yes/No

under suspension. (if Yes, not eligible for Study Leave)

vii) Whether disciplinary : Yes/No

proceedings/vigilance cases (if Yes, not eligible for Study Leave)
are pending against him

(b) i) Whether the course conducted : Yes/No

in India. (It can be considered
for course abroad if the course
is not available in India)

ii) Whether the course has a : Yes/No

direct and close connection
with the sphere of duties of
the employee

iii) Whether recommendations : Yes/No

of ED/Directors/GM available

iv) Whether the course leads to the : Yes/No

award of recognised Post-
Graduate Degree/Diploma or
Doctorate

v) Whether the application was : Yes/No

received through proper
channel

vi) Date of receipt of application :

for Study Leave in Corporate
Human Resources Department

vii) Special observations, if any.

FACILITIES FOR HIGHER STUDIES

Page 439
 RECOMMENDATIONS

(a) The Study Leave applied for by Shri/Smt. ____________________________________ Emp.

No. ______________ Designation ________________________________ Deptt./Location
_______________________________ may please be sanctioned for a period of
______________ years for pursuing ______________ on the usual terms and conditions as
stipulated in POSOCO Scheme of "Facilities of Higher Studies".

(b) The Study Leave applied for by Shri/Smt. ________________________________

Emp. No. ___________________ Designation ___________________ Deptt./Location
___________________________________ cannot be sanctioned as he/she does not fulfil the
eligibility terms and conditions as laid down in POSOCO Scheme of "Facilities for Higher
Studies".

Concerned HR Executive

Manager (HR)

Chief Manager(HR)

Director(HR)

FACILITIES FOR HIGHER STUDIES

Page 440
 WORKERS
EDUCATION
SCHEME

Page 441
 WORKERS EDUCATION SCHEME
1.0 Preamble
A developing economy characterised by rapid industrialisation not only calls for a
high degree of work discipline but also active, intelligent and responsible
participation of workers in the affairs of their Trade Unions and those of the
country so as to contribute to sound labour management relations. The Workers
Education Scheme is designed to supplement the socio-educational awareness of
the present-day workers in order to equip them for meeting the demands of
industrial activity and economic development of the country. The public sector
enterprises occupy a place of eminence in the Indian industrial scene and have a
major responsibility in promoting the workers education scheme conducted under
the auspices of Central Board of Workers Education, a tripartite registered society
sponsored by the Ministry of Labour, Government of India. POSOCO being a
public undertaking believes in the commonality of interest between workers and
management, and has decided to introduce the Workers Education Scheme with a
view to promote stronger, effective and responsible trade unionism: run and
administered on democratic lines with willingness to actively participate in
furtherance of the organisational goals, in particular, and the socio-economic
development of the country, in general.

2.0 Objectives
The objectives of the Workers Education Scheme are as under:
2.1 To equip all sections of workers for their intelligent participation in social and
economic development of the nation in accordance with its declared objective;

2.2 To equip among workers a greater understanding of the problems of their social
and economic environment, their responsibilities towards family members; and
their rights and obligations as citizens; as workers in industry, as members and
officials of their trade union;

2.3 To develop leadership from among the rank and file of workers themselves;

2.4 To develop strong, united and more responsible Trade Unions through more
enlightened members and better trained officials;

2.5 To strengthen democratic process and traditions in the Trade Union movement;
and

2.6 To enable Trade Unions themselves to take over ultimately functions of workers
education.

WORKERS’ EDUCATION SCHEME

Page 442
3.0 Scope & Coverage
The scheme shall cover in its scope all the employees of POSOCO in workman
category. The scheme does not call for any formal educational qualification and
hence no discrimination needs to be made between those formally qualified and
others not so qualified.

4.0 Details of the Scheme

The workers education programme in India is conducted by the Dattopant
Thengadi National Board for Workers Education and Development (erstwhile
Central Board for Workers Education), a tripartite body registered under the
Societies Registration Act and sponsored by Ministry of Labour, Government of
India. The board has its headquarters at Nagpur and functions through a network
of over 50 regional centres spread throughout the country. The scheme is
implemented by the Board at three levels namely National, Corporate and RLDC
levels as detailed below:

4.1 National Level: The Board conducts National Level programmes for Regional
Directors and Education Officers of the Board and for Trade Union Activists
sponsored by Central Trade Union Organisations and Federations at the Indian
Institute of Workers Education, Bombay, generally for four months duration.

4.2 Corporate Level: Selected workers are trained at the Corporate Centre and
NLDC as worker-teachers in full time continuous training courses of three months
duration in batches of about 25 each. This is followed by a study tour of about 14
days.

4.3 RLDC Level: The worker-teachers on completion of training at the CC/NLDC

revert to their respective places of employment and conduct programmes for the
rank and file workers in their enterprises. The syllabus will be as prescribed by
Dattopant Thengadi National Board for Workers Education and Development
(erstwhile Central Board for Workers Education) from time to time. The duration
of the training course at the RLDC level is usually of three months, one hour a
day for 5 days in a week. Where facilities are available, full time RLDC level
classes of three weeks duration are also conducted. However, looking into all
relevant aspects, the RLDC level classes on full time basis is not recommended in
POSOCO. The course shall be followed by an industrial study tour for 7 days or
so.

5.0 Facilities
In order to ensure successful and effective implementation of the scheme, it
would be necessary to provide certain facilities as detailed hereinafter at the
behest of the Human Resources Department concerned and with the approval of
the respective heads of NLDC/RLDCs.

WORKERS’ EDUCATION SCHEME

Page 443
5.1 Accommodation : Suitable accommodation for the conduct of RLDC level
classes for a batch of 20-25 workers with adequate furniture, drinking water,
lighting, black board and other related facilities shall be provided.

5.2 Books and Stationery: The participants at RLDC level shall be provided, free of
cost, necessary books and stationery. The study material, booklets etc. which are
available at nominal cost from the CC/NLDC shall be procured for this purpose.

5.3 Time-off and absence to be treated as "on duty": As an inducement and also to
facilitate their attendance, the persons attending RLDC level classes may be
allowed 30 minutes time-off per day from the working hours.

The trainees sponsored for the worker-teachers programme at NLDC/RLDC shall

be released with full wages and shall be treated as "on duty".

5.4 Travelling Allowance: The participants of RLDC and NLDC level programmes
who are required to undergo industrial study tour for 7 days/14 days, as the case
may be, as part of the programme shall be allowed TA/DA as applicable to them
under the Company's TA Rules for the duration of their study tours.

5.5 Honorarium: For the conduct of RLDC level classes the worker-teachers are
paid honorarium by the Central Board for Workers Education at prescribed rate
and a matching amount shall be paid by POSOCO to the worker-teachers.

6.0 Certificates & Awards

On successful completion of each course at RLDC level, the participants shall be
awarded certificates to that effect; and the participants who are adjudged as first,
second and third best trainees may be given cash award of Rs. 201/-, Rs. 101/-
and Rs. 51/- respectively in each batch.

(May be changed after obtaining approval from the Competent Authority)

7.0 Nomination & Sponsorship

While selecting and nominating or sponsoring the candidates for the programmes,
same should be done in consultation with the Trade Union(s) registered and
operating at the NLDC/RLDC arrangement. This working arrangement is relevant
for programmes at NLDC/RLDC levels only, but for National Level Programmes
the Central Trade Union Organisations are to sponsor the candidates. The
NLDC/RLDC conducts worker-teacher programmes quarterly for batches of 25
and each NLDC/RLDC may sponsor a maximum of 2 candidates in a year. Where
payment of full TA/DA is not involved the number may be suitably increased, not
exceeding 8 in all per year per NLDC/RLDC. For RLDC level programmes, a
batch of 20-25 workers may be selected in consultation with the Trade Unions as
mentioned earlier.

WORKERS’ EDUCATION SCHEME

Page 444
8.0 Responsibility
The responsibility for implementation of the scheme shall rest with the Human
Resources Department of the respective NLDC/RLDC and they are to coordinate
the activities in close cooperation with the nearest RLDC and the various
registered Trade Unions operating. They are also to supervise the functioning of
the RLDC level classes run under the auspices of POSOCO. While selecting and
nominating/sponsoring the candidates for the programme, apart from consultation
with the Trade Unions, the necessary administrative sanction for release of the
workers concerned wherever necessary from the concerned head of the
departments should be ensured having due regard to the fact that no disruption of
work takes place on account of such selection and nomination/sponsorship.

9.0 General
Within the broad parameters set out above, the heads of the respective
NLDC/RLDCs are empowered to sanction the necessary expenditure for the
implementation of the scheme through the respective Human Resources
Department.

9.1 The first phase the programme may be initiated by sponsoring candidates for
worker-teachers programme in such NLDC/RLDC where there are no worker-
teachers and thereafter the RLDC level programmes may be conducted. In such
RLDC where there are already trained worker-teachers, RLDC level programmes
may be conducted. In such RLDC where there are already trained worker-
teachers, RLDC level programmes may be started straight way.

*************

WORKERS’ EDUCATION SCHEME

Page 445
MERIT AWARD
SCHEME

Page 446
 MERIT AWARD SCHEME

1.0 In order to recognise the outstanding contributions made by employees, in various

areas, merit awards may be given once in a Calendar Year, on the Republic Day
i.e. 26th of January.

2.0 Four awards shall be given every year. Each award would be silver Plaque
weighing 500 gms. with suitable engraving highlighting the award as "BEST
EXECUTIVE /SUPERVISOR/ WORKMAN OF THE YEAR".

2.1 The purpose of the award would be for recognising outstanding contributions of
distinguished employees and thereby enthusing others or similar achievements.
The following awards may be given :

i) Best Workman Award: One such award will be given for the best contribution
from employees in the levels of W-0 to W-11/ Workmen Selection Grade.

ii) Best Supervisor Award: One such award will be given for the best contribution
from employees in the levels of S-1 to S-4/Supervisor Selection Grade.

iii) Best Executive Award: One such award for most outstanding executives in the
levels of E-2 to E-8.

iv) Best RLDC Award: One such award will be given to the best managed RLDC.

3.0 The best individual award will be bestowed on the person who, in the opinion of
the Selection Committee, has made substantial contributions in the relevant field
by way of original work. The contributions should be in any field of Engineering,
System Operation, Market Operation, Consultancy, Personnel & Administration,
Finance & Accounts, etc.

3.1 The award for the best RLDC would be on the basis of System Operation, Market
Operations, Safety, Industrial relations, accident free periods etc.

3.2 The decision of the Chairman & Managing Director in all matters pertaining to
these awards shall be final.

4.0 Eligibility
The following eligibility criteria is essential:

(a) No vigilance/disciplinary case is pending against the nominee;

MERIT AWARD SCHEME

Page 447
 (b) The nominee has not been suspended at any time during the preceding three
years;

(c) The nominee should not have an "Unsatisfactory" report in the preceding one
year;

(d) There can be more than one individual for each of the awards;

(e) A nominee who has once been bestowed this award will not be eligible for a
similar award in the next five years;

(f) Recommendations should be made for only innovative work having direct bearing
on greater efficiency, economy and productivity;

(g) The fact that awards are instituted need not compel recommendation for any other
purpose including promotion.

5.0 Nomination
The names of the candidates shall be proposed by the Head of the concerned
Department/ Ch. General Manager at Corporate Centre and by the concerned
ED/CGM at the RLDC level, in the enclosed proforma.

5.1 Nominations for awards of a particular year received up to 31st December of that
year will be considered final. However, the nominations can be sent to the
Selection Committee throughout the year. Each such nomination shall be
accompanied by a detailed statement of work in the concerned field with a critical
assessment report by the forwarding authority.

6.0 Selections
6.1 The Awardee shall be selected from the eligible candidates, by a Two-Tier
Committee :

i) The Selection Committee consisting General Managers of NLDC/RLDCs and two

General Managers from Corporate Centre, will screen the proposals received and
shortlist the likely Awardees to not more than three persons in each field. The
nomination of General Managers from Corporate Centre will be made by the
CMD.

ii) The Apex Committee consisting to the Chairman & Managing Director and full
time Directors, will further scrutinise the shortlisted names and select the
Awardee.

6.2 After the decision of the Apex Committee, the names of the Awardees shall be
made public. Thereafter, the Awardee will be announced on 26th January of the
following year and presented on a date announced for the purpose in a suitably
organised function.
MERIT AWARD SCHEME
Page 448
7.0 General
7.1 The Chairman & Managing Director may withhold the selection of the award
during any year, if in the opinion of the Committees; the nominations received are
not upto the mark.

7.2 The Company reserves the right to amend, modify or discontinue the Scheme, in
part or in full.

7.3 In respect of any matter not covered herein, specific reference will be considered
by Corporate Human Resource Department for decision.

MERIT AWARD SCHEME

Page 449
MERIT AWARD
SCHEME FOR
CHILDREN OF
EMPLOYEES

Page 450
POSOCO MERIT AWARD SCHEME FOR CHILDREN OF EMPLOYEES
1.0 Objective
The POSOCO Merit Award Scheme for the Children of Employees has been
formulated with a view to encourage the children to excel in their respective areas
of education.

2.0 Applicability
The scheme shall be applicable to the children of all employees of the company
drawing pay in the regular pay scales of the company except children of the
following:
i) deputationists
ii) apprentices/trainees
iii) muster roll/daily-rated, casual employees.

3.0 Eligibility
The award shall be admissible to the children of such employees who may have
completed one year service in the regular establishment of the company on the
date of announcement/publication of the result of the examination taken by the
child.

4.0 Award
On passing the prescribed examination from the recognised Board/
University/Institution at the required standards, the children of the employee shall
be eligible for grant of lump-sum cash Award as per details given at Annexure-I
(i) The Award is admissible to students securing position in the merit list (i.e. 1st, 2nd
and 3rd position, irrespective of the marks secured) in any subject at respective
Board level i.e. CBSE, ICSE, State Boards etc.
(ii) A student securing merit position in more than one subject, will be eligible for
award for each of the subject.

5.0 Other conditions

5.1 The request for grant of Award shall be made by the employee concerned in
respect of his/her eligible child/children within a period of 180 days from the date
of announcement/publication of the result of the examination.

MERIT AWARD SCHEME FOR CHILDREN OF EMPLOYEES

Page 451
5.2 The grant of Awards under this scheme shall not debar the child concerned from
receiving any other incentive/scholarship towards his/her achievement from any
other source.

6.0 Procedure
The employee desirous of claiming Award under this scheme for his/her child
shall submit the request in the prescribed form at Annexure-II, through proper
channel, for grant of incentive, to the Head of HR Department of the concerned
CC/NLDC/RLDC alongwith the certified marksheets of the appropriate
examination authority. The application will be processed by the concerned officer
nominated by him for his consideration and sanction of the incentive. Thereafter
the sanction order will be issued by the concerned HR Department.

7.0 General
7.1 In case of any doubt with regard to any provision of the scheme, the same should
be referred to Corporate HR Department for decision/clarification.
7.2 The scheme can be amended, cancelled or withdrawn without any notice and
without assigning any reason thereof, as may be decided by CMD.

MERIT AWARD SCHEME FOR CHILDREN OF EMPLOYEES

Page 452
 ANNEXURE-I

MERIT AWARDS TO CHILDREN OF EMPLOYEES

Sl. Examination Eligibility for Award Award

No.
01. Matriculation/ISCE New SSC Where there is :
etc. (i.e. x level exam) (a) Grading System Rs.4000/-
Cumulative grade point
average (CGPA)=10.0
(b) Marks system
Overall percentage of marks
= 95% & above.

02. Intermediate/HSC/SSC etc. 1st, 2nd & 3rd positions in the Rs.5000/-
(i.e. XII level exam.) subject wise merit list
03. Diplomas organised by state 1st, 2nd & 3rd positions(if total Rs. 1,500/-
level technical Boards (where examinees are more than 30) &
entry is limited to high 1st position only(if total
schools & above) examinees are less than 30)

04. B.A., B.Com., B.Sc 1st, 2nd & 3rd positions in the Rs. 1,500/-
University awarding the degree
05. M.A., M.Com., M.Sc. 1st, 2nd & 3rd positions in the Rs. 2,000/-
University awarding the degree
06. Degree Examinations(Professional)
i) B.E., M.B.B.S., M.B.A 1st, 2nd & 3rd positions in the Rs. 2,500/-
University awarding the degree
ii) C.A., I.C.W.A. 1st, 2nd & 3rd positions in the Rs. 2,500/-
examination
07. National Talent Search To those who qualify for the
Examination scholarship
a) Stage-II Rs. 2,000/-
08. National Science Talent To those who qualify for the
Search Examination scholarship

a) For Jr. Level Rs. 1,000/-

b) For Sr. Level Rs. 2,000/-

MERIT AWARD SCHEME FOR CHILDREN OF EMPLOYEES

Page 453
 ANNEXURE-II
APPLICATION FORM FOR CLAIMING AWARD UNDER
MERIT AWARD SCHEME FOR CHILDREN OF EMPLOYEES

01. Name

02. Employee No

03. Designation

04 Department

05 Scale of Pay

06 Date of appointment in POSOCO

07 Name of the Child

08 Relationship of the child with employee

09 Date of birth of the child

10 Details of the examination passed by the child

i) Name/description of Examination

ii) Duration of the course

iii) Name of the Board/University/ Institution

and details of its recognition

iv) Dates of entry and leaving the Institution

v) Date of announcement/publication of result

vi) Percentage of Marks obtained

vii) Merit position

viii) Details of documents enclosed based on

which the Award is being claimed

ix) Any other information about the

examination passed

11. Amount of the Award claimed

MERIT AWARD SCHEME FOR CHILDREN OF EMPLOYEES

Page 454
 Certified that the above details are correct to the best of my knowledge and belief.

Date : Signature of the employee

Forwarded to HR Department - Estt. Group

Signature of the Head of Deptt.

Name .......................................
Date : Designation ..............................
———————————————————————————————————————
(For use in HR Establishment Group)
1. Whether the examination passed/the qualification acquired Yes/No
entitles the child for claiming the Award as per scheme.
2. Whether the conditions stipulated in the scheme Yes/No
are being satisfied by the employee.
3. Recommended that Award amounting to
Rs. .................... only may be sanctioned
4. It not recommended, reasons therefore :

Date : Concerned HR
Executive

(For use by the approving authority)

(Not below the rank of Manager)

Sanctioned payment of Rs. .............................. to Shri/Smt. .............................................

Employee No. ................................... towards cash award for his/her child as per above details.

Signature ..............................
Name ....................................
Date : Designation ...........................

MERIT AWARD SCHEME FOR CHILDREN OF EMPLOYEES

Page 455
 INCENTIVE
SCHEME FOR
NATIONAL & ALL
INDIA AWARDS

Page 456
 INCENTIVE SCHEME FOR NATIONAL & ALL INDIA AWARDS

1.0 Objective
1.1 The Scheme is introduced with a view to giving recognition to employees of the
Company for their unique accomplishments in innovation, technology, work
performance, sports etc.

2.0 Scope and Coverage

2.1 The scheme will cover all full-time employees of the Company, but shall exclude
lien holders, deputationists, apprentices/trainees, muster roll, daily rated, casual,
badli or substitute employees.

3.0 Eligibility
3.1 The incentive under the scheme shall be admissible to only those employees who
are conferred a National/All India Award as specified here under.

3.2 If an employee receives different awards during his service in POSOCO, each will
be treated as a separate award for the purpose of payment of incentive.

4.0 Financial Incentive

4.1 The employees who are awarded any of the specified National/All India Awards
shall be granted one special increment from the date the Award is actually
conferred.

4.2 The rate of annual increment to be taken into account for the above purpose would
be incremental rate next due at the time of grant of the incentive.

4.3 The above special increment would be treated as personal and would remain fixed
and paid to the employee as a separate element of pay, during his/her entire
service in the Company, irrespective of his/her change in pay/rank for any reason
whatsoever.

4.4 In case of an employee drawing pay at the maximum of/beyond the scale of pay
held by him/her, the annual increment referred to above would be at the rate of last
increment earned by the awardee.

4.5 Employees who are conferred Shram Award shall also be eligible for
following benefits:
4.5.1 Reimbursement of full tuition fees incurred towards education of children
(a) Terms & Conditions:

NATIONAL & ALL INDIA AWARDS-INCENTIVE SCHEME

Page 457
 The reimbursement towards tuition fees shall be admissible for maximum of two
children for study in India for courses conducted by recognised Board/University.

(i) The reimbursement shall be admissible for all classes/standards of education from
KG/Pre nursery (i.e. one year prior to class/std I) upto post graduation courses in
science, humanities and commerce streams including professional, post graduate
degree, diploma, ITI courses etc.

(ii) Employees covered under this scheme will be paid actual amount of tuition fees as
per the conditions prescribed herein. Hostel subsidy shall continue to be paid as
per Children Education Allowance Rules in force.

(iii) The reimbursement shall not be admissible for a child for more than one academic
session in the same class and will cease to be paid if the child does not pass in any
class. Upon cessation of reimbursement of full amount of tuition fees the
employees will receive reimbursement of tuition fees as per the Children
Education Allowance Rules in force.

(iv) Employees entitled and desirous to avail the reimbursement under the scheme
shall submit a request at first instance immediately after conferment of Award for
payment of tuition fee with effect from the month in which the award is officially
conferred and thereafter at the beginning of each academic year along with
documentary evidence of payment made by them towards the monthly tuition fees
in the proforma enclosed at Annexure. Subject to the request being in order, the
concerned HR department shall issue a sanction order for each academic year,
indicating the amount and period of reimbursement to be made to the employees
concerned. Consequently, payment shall be allowed on a monthly basis along
with salary of the employees concerned, for the sanctioned period during the
academic year.

(v) At the end of each academic year, the employees concerned shall be required to
submit an account in respect of payments already received towards tuition fees for
the respective period. The account for a given academic year must be preferred
within two months of completion of the academic year, failing which, the same
shall become time-barred and the reimbursement already made shall be recovered
in lump-sum from the salaries of the employees concerned.

(vi) It shall be incumbent upon the employees to intimate the concerned HR

department the changes in status, change in the fee/school or reason etc., if any,
during the academic session in respect of which the reimbursement is sanctioned.

(vii) It shall be the responsibility of the employee to claim only what is legitimately due
and the concerned HR and Finance department will ensure that payment towards
tuition fees is in accordance with conditions prescribed herein.

(viii) Heads of HR in RLDC/NLDC and CGM(HR) at CC will be the sanctioning

authority.

NATIONAL & ALL INDIA AWARDS-INCENTIVE SCHEME

Page 458
4.5..2 One set of clothes for spouse.
One set of clothes for maximum value of Rs. 5000/- will be provided to the spouse
of Shram Award winners. This is applicable to the Shram Award winners from
the year 2003.

4.5.3 Service Weightage

(i) The service weightage of one year to Shram Shri awardees and two years to
Sharm Vir awardees shall be granted on conferment of award.

(ii) The service weightage will be granted in the existing grade i.e the grade of the
employee on the date the award is officially conferred which in other words
implies the benefits in the eligibility period of the employee to the extent of length
of seniority weightage. Further for reckoning the benefit, the eligibility will be
taken from the date of entry in the grade less the senority weightage.

(iii) The promotion of the employee who has been granted weightage shall however be
from the standards dates on fulfilling all other criteria for promotion.

5.0 Entitlement
5.1 The incentive under the scheme shall be admissible, if any one or more of the
Awards as specified below are conferred on an employee:
1. Invention Promotion Scheme Award
2. Jivan Raksha Award
3. Prime Minister's Shram Awards
4. Arjun Award for Sportsmen
5. S.S. Bhatnagar Award
6. Homi Bhabha Award for excellent scientific work
7. Indian Science Academy (INSA) Award
8. Bharat Ratna.
9. Padma Vibhushan.
10. Padma Bhushan
11. Padma Shri
12. Ashok Chakra
13. Kirti Chakra
14. Shaurya Chakra
15. Sarvottam Jeevan Raksha Padak
16. Uttam Jeevan Raksha Padak
17. Fire Service medal awarded by the President of India
18. Lalit Kala Academy Award
19. Sangeet Natak Academy Award
20. Sahitya Akademi Award

NATIONAL & ALL INDIA AWARDS-INCENTIVE SCHEME

Page 459
 (CMD shall be the authority to decide addition to the above).

6.0 Procedure
6.1 It would not be necessary for an eligible employee to apply for incentives under
the scheme. It shall be the responsibility of the Human Resources Department of
CC/NLDC/RLDC concerned to ensure that an employee who wins any of the
awards specified in the scheme is allowed the incentive as provided.

6.2 Director (HR) shall be the sanctioning authority in respect of all employees.

7.0 General
7.1 In case of a doubt with regard to any provision and also in respect of cases/matters
not covered hereunder, the same should be referred to the Corporate Human
Resources Department for decision/clarification.

7.2 The scheme can be amended, cancelled or withdrawn without any notice and
without assigning any reason thereof, as may be decided by CMD.

NATIONAL & ALL INDIA AWARDS-INCENTIVE SCHEME

Page 460
 Annexure
APPLICATION FOR REIMBURSEMENT OF TUITION FEE TO
SHRAM AWARD WINNERS FOR EDUCATION OF CHILDREN

1. Name of the employee…………………………………………….

2. Emp. No……………………………….
3. Designation……………………………………….
4. Department…………………………………………….
5. Name of Award and month/Year of conferment………………………
6. Reimbursement applied for academic session………………………
7. Details regarding expenditure incurred towards tuition fees in the first
instance/beginning of the academic year.
S.No Name of Class Name and Tuition fees
the Child Address of the
Institution

N.B Documentary evidence to be attached in respect of expenditure incurred by the

employee towards tuition fees for educating his child/children
REQUEST
Based on the details submitted at S.No. (7) above, I may be sanctioned
reimbursement of expenditure incurred by me towards tuition fees as under:
S.No Name of the Child Amount of monthly
reimbursement (Rs.)

CERTIFICATE:
1. If there is any change in the status, as notified above, during the academic year
e.g. change in tuition fees and school or any other reasons. I shall intimate the
same to the concerned Human Resources Department immediately.
2. My child/children in respect of whom the aforesaid reimbursement is applied
for is/are wholly dependant on me.

NATIONAL & ALL INDIA AWARDS-INCENTIVE SCHEME

Page 461
3. My wife husband is not* claiming any reimbursement from the corporation on
account of education of children for whom full reimbursement of tuition fees has
been sanctioned.
4. The reimbursement applied for as above, is only towards expenditure to be
incurred by me for tuition fees for educating my child/children*.
5. The reimbursement applied for, as above, is not in respect of child/children* who
has/have studied in the same class (i.e. the class for which reimbursement has
been applied) for more than one academic sessions.
7. The information submitted by me as above, is correct and in case an of the
information submitted by me is found to be incorrect. I understand that I may be
disqualified for reimbursement of fees in respect of my child/children* without
prejudice to the right of the Management to take appropriate action as per the
Company Rules in vogue.

Signature of the Employee

Name………………………
Designation………………
Department………………
Date……………………..
Place……………………
(*Please strike out the portion not applicable)

Through the Controlling Officer

Head of (HR) of CC/NLDC/RLDC

NATIONAL & ALL INDIA AWARDS-INCENTIVE SCHEME

Page 462
INCENTIVE SCHEME
FOR ACQUIRING
HIGHER/ADDITIONAL
QUALIFICATIONS

Page 463
 POSOCO INCENTIVE SCHEME FOR ACQUIRING HIGHER/ADDITIONAL
QUALIFICATIONS

1.0 Objective
The POSOCO Incentive Scheme for acquiring higher/additional qualifications has
been formulated with a view to encouraging employees to acquire
higher/additional qualifications so as to enable them to improve their knowledge
and professional competence for better and more efficient performance in their
respective functional areas. The scheme is intended to help the employees in
acquiring higher/additional professional qualifications primarily through part-
time or correspondence courses while continuing to perform their duties in the
services of the Company.

2.0 Applicability
The scheme shall be applicable to all employees upto and including the level of
Deputy General Manager (E-7) drawing pay in the regular pay scales of the
Company excluding the following:
i) Deputationists;

ii) Apprentices/trainees engaged under either Company's own training scheme or

Apprentices Act, 1961; and

iii) Muster roll, daily rated, casual, badli or substitute employees.

3.0 Eligibility
The incentive shall be admissible to the employees subject to fulfilment of the
following conditions of eligibility:

3.1 The employee must be on the rolls of the Company on the date of
commencement of final examination.

3.2 The employee must obtain prior permission of the Company before registering
himself with any Institution, College or University, except in cases where the
employee started the course before joining the Company.

3.3 The qualification should be higher/additional to the qualification(s) already

possessed and significantly relevant to functional area of responsibility.
However, for general/academic qualifications, as listed in Group 'E' of Annexure-I
all employees will be eligible.

HIGHER ADDITIONAL QUALIFICATIONS INCENTIVE SCHEME

Page 464
3.4 The expenses incurred by the employee for admission and/or pursuance of the
course of studies must not have been met, either in part or in full, by the
Company.

4.0 Other Conditions

4.1 If an employee, who has received the Incentive under the Scheme, leaves the
services of the Company within a year of the receipt of the incentive, he shall be
liable to refund the same to the Company before his resignation is accepted.

4.2 Request for grant of Incentive shall be made by the employee concerned within
a period of 180 days from the date of announcement of the results of the
examination(s).

4.3 Incentive under the scheme shall not be granted for more than three occasions
during the entire service of the employee with the Company.

5.0 Incentive
5.1 On acquiring the prescribed qualification from a recognised
University/Institution/Body, an employee shall be eligible to the grant of a lump-
sum Cash Award as per the scale indicated at Annexure-I, in addition to the
examination fees.

In case of any doubt regarding the recognition or otherwise of a qualification,

the same shall be determined with reference to the approved practice in the
Government of India.

5.2 Examination fees referred to above, are in respect of final examination as well as
intermediate or part/section examinations. However, the fees shall not be
reimbursable more than once for the same examination.

6.0 Procedure
6.1 An employee desirous of claiming incentive under this scheme shall apply in the
proforma given in Annexure-II through his Head of Department to the Head of
HR of the concerned NLDC/RLDC and HOD at CC for obtaining prior permission of
the Company before registering himself with any Institution, College or
University. The Head of Department, after considering the merits of the case,
should record his satisfaction or otherwise that the qualification fulfils the
requirements laid down in clause 3.3 above and indicate whether or not
successful completion of the course will entitle the employee to claim incentive
under this scheme. The application will, then, be processed in the concerned
Human Resources Department and put up to the Chief General Manager/Head
of the NLDC/RLDC for his consideration and approval. Thereafter a suitable

HIGHER ADDITIONAL QUALIFICATIONS INCENTIVE SCHEME

Page 465
 communication will be issued to the applicant by the concerned Human
Resources Department.

With a view to enabling expeditious processing of the application, the same

should be submitted by the employee concerned, at least 30 days before the last
date of enrolment for the course leading to the qualification to be acquired.

6.2 On successful completion of a prescribed qualification, the employee concerned

shall apply in the Proforma given in Annexure-III, through proper channel, for the
grant of Incentive, to the Head of HR of the concerned RLDC/NLDC along with
Original Mark-sheet from the appropriate Examination Authority. The
Application will be processed in the Human Resources Department and further
put up to the Ch. General Manager/Head of the RLDC/NLDC or any other Officer
nominated by him for his consideration and sanction of the Incentive. Thereafter
the sanction order will be issued by the Human Resources Department.

7.0 General
7.1 In case of any doubt with regard to any provisions of the scheme and also in
respect of cases/matters not covered herein, the same should be referred to
Corporate Human Resources Department for decision/clarification.

7.2 The powers to review list of qualifications, amount of cash awards and other
minor amendments/modifications to the scheme shall vest with the Chairman &
Managing Director.

7.3 Notwithstanding the provisions of this scheme, Management reserves its right to
transfer and/or assign any nature of work to an employee pursuing any course
under the scheme, depending upon exigencies.

HIGHER ADDITIONAL QUALIFICATIONS INCENTIVE SCHEME

Page 466
 ANNEXURE-I
LIST OF PRESCRIBED QUALIFICATIONS AND AMOUNT OF CASH AWARDS

Group Qualifications Cash Awards

(1) (2) (3)
A. i) Degree in Engineering/Technology/Computer
Science/Architecture/Medical Sciences/Business
Management/Administration/Personnel Management/
Labour Welfare/Social Administration
(2 years if full-time and 3 years if part-time) Rs.2000/- plus
ii) A.M.I.E Examination
iii) CA/ICWA Fees
iv) Final Examination of Institute of
Company Secretaries of India or
Chartered Secretaries of UK.
v) Associated Membership of Institute
of Chemists (India)
B. Degree in Journalism/Horticulture/Library & Rs.1500/- plus
Information Science/ International grade from Examination
IIFT/ Marketing and Sales Management/ Materials Fees
Mgmt./ Law (2 years if full-time and 3 years if part-time)
C i) Diploma in Engineering/Technology/Computer Rs.1200/- plus
Science/Architecture/City Planning or Landscape Examination
Architecture/Medical Science/Materials Management/ Fees
Management/Business Administration/Personnel
Management/Labour Welfare/Social Administration/
Advanced Diploma in Management (IGNOU) (1 year if
full-time and 2 years if part-time)
ii) Diploma in Journalism/Horticulture/Library and Rs.1000/- plus
Information Science/International Trade/Marketing Examination
and Sales Management/Law/Training Fees
(1 year if full-time and 2 years if part-time)
iii) Vocational courses from ITI/NCTVT in Technical areas
of a duration of not less than 2 years.
iv) National Certificate Examination in Supervision
conducted by National Productivity Council
D. Vocational course from ITI/NCTVT etc. in technical Rs.750/- plus
areas Examination
i) Of a duration of one year or more but less than two Fees
years
ii) For a duration of 6 months to one year
E. General and Academic Qualifications

HIGHER ADDITIONAL QUALIFICATIONS INCENTIVE SCHEME

Page 467
 i) Matriculation or equivalent Rs.750/-
ii) Bachelor's degree in Science/Arts/Commerce Rs.1000/-
iii) Ph.D. Rs.2000/-

Note : a) All the above qualifications should be obtained from recognised

Universities/Institutions. Recognition of qualification acquired through
distance education mode from Statutory Authority (Viz AICTE & DEC for
technical courses, UGC & DEC for non-technical courses in case the distance
education is conducted by university and DEC in case the course is conducted
by institute) is compulsory in order to be eligible for incentive.

b) All correspondence courses, for whatever duration, will be treated as part-time

courses.

c) The extant Incentive Scheme for Acquiring Higher/Additional Qualifications

provides, inter-alia, that a Degree Course from a recognised
University/Institution/Body would be covered under the Scheme subject to the
condition that it is for a minimum duration of two years if full-time and three
years if part-time. This holds good equally for a Degree Course in Library and
Information Science as for any other Degree Course.

Courses in Library and Information Science offered by recognised

Universities/Institutions which are of one year duration whether full-time or part-
time would be covered under the Incentive Scheme for Higher/Additional
Qualifications subject to the condition that the cash award for the Course would
be Rs. 1,000/- plus examination fees.

HIGHER ADDITIONAL QUALIFICATIONS INCENTIVE SCHEME

Page 468
 ANNEXURE-II

POWER SYSTEM OPERATION CORPORATION LIMITED

Application Form for obtaining permission for acquiring higher/additional qualification

where the employee is desirous of claiming Incentive on acquisition of the Qualification.
1. Name
2. Employee No
3. Designation
4. Department
5. Scale of Pay
6. Date of appointment in the Company
7. Details of higher/additional qualifications
proposed to be acquired
a) Qualification
b) Duration of the course
c) Name of the University/Institution/ College
from which higher/additional qualification is
proposed to be obtained
d) i) Whether course is by
correspondence or by attending
regular/part time classes, or
ii) If by attending part-time classes,
hours of attendance
iii) If the course is full-time, state whether
study leave has been granted.
e) Last date of enrolment to the course
(This application should be submitted at
least 30 days before the last date of
enrolment)
f) Amount of Examination fees payable
8. Details of any Incentive received under the
existing scheme
Certified that pursuit of the above course shall not affect the performance of my official
duties.

Signature of the Applicant

Recommendation of the Head of Department
(Please record your satisfaction or otherwise, considering the merits of the case, that the
qualification fulfills the requirements laid down in clause 3.3 of the Incentive scheme and

HIGHER ADDITIONAL QUALIFICATIONS INCENTIVE SCHEME

Page 469
 also indicates whether or not successful completion of the course will entitle the
employee to claim Incentive under this Scheme).

Signature of the Head of Department

Name :
Date : Designation :
_______________________________________________________________________
(For use in the Human Resources Department)
1. Whether the qualification proposed to be
acquired is additional to/higher than the
qualifications possessed for the post
held by the applicant :

2. Whether conditions stipulated in the

scheme are satisfied by the applicant :

3. a) Recommended/Not recommended :
b) If not recommended reasons thereof :

Date : Concerned HR Executive

_______________________________________________________________________
(For use by the approving Authority)
Approval/Not Approved

Date Signature of the Approving Authority

Name :

Designation :

HIGHER ADDITIONAL QUALIFICATIONS INCENTIVE SCHEME

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 ANNEXURE-III

POWER SYSTEM OPERATION CORPORATION LIMITED

Application for grant of Incentive for acquiring higher/additional qualifications

1. Name
2 Employee No
3. Designation
4. Department
5. Scale of Pay
6. Date of joining POSOCO
7. Date of enrolment to the course
8. i) Whether prior permission for
enrolment to the course leading
to the higher/additional qualification
was obtained under clause 3.2
of the Scheme
ii) Date of application for permission
iii) Reference No. and date vide
which permission was accorded
9. Details of Examination Fees paid Rs. ......... Receipt No. ........
Date ............................
10. Date of announcement of result
11. Details of expenses, if any, incurred
by the Company on the course
Date :

Signature of Applicant
Encl: Original Mark-Sheet

(FOR USE IN HUMAN RESOURCES DEPARTMENT)

Prior permission for enrolment to the course for the above mentioned
qualification/examination has been obtained on………………………………………/ The employee had
started the course prior to joining POSOCO. A Cash Award of Rs.
……………………..(Rupees……………………….) and reimbursement of examination fees of Rs.
…………………………. (Rupees……………………………………….) claimed may be sanctioned.

Date :
Concerned HR Executive
______________________________________________________________________

HIGHER ADDITIONAL QUALIFICATIONS INCENTIVE SCHEME

Page 471
Sanctioned payment of Rs. ………………….to Employee No…………………. towards Cash Award of
Rs……………………………….. and reimbursement of examination fees of Rs.
……………………………………………………..

Date :
Signature of the Sanctioning Authority

HIGHER ADDITIONAL QUALIFICATIONS INCENTIVE SCHEME

Page 472
 SCHEME FOR
GRANT OF
NON-MONETARY
INCENTIVE

Page 473
 SCHEME FOR GRANT OF NON-MONETARY INCENTIVE

1.0 Objective
With a view to encouraging and motivating employees towards productivity
improvement, it has been decided to introduce the Scheme as a means of
recognition of work of exceptional or outstanding nature.

2.0 Coverage
The Scheme shall cover and be applicable to all the regular employees of the
Company including probationers drawing pay in regular pay scales.

3.0 Nature of Incentive

The incentive would be in the form of commendation letters which would be of
two types, as under:

3.1 RLDC/NLDC Certificate of Merit; and

3.2 Corporate Certificate of Merit

4.0 Procedure
4.1 The cases of the employees who prima-facie are adjudged suitable for the
commendation letters shall be considered at the Regional level by a Screening
Committee consisting of all Heads of Departments as members and the Ch.
General Manager/ Head of RLDC/NLDC as Chairman. The Committee shall go
into the details of each case and select those who merit special commendation.
While so selecting the employees, the Committee would exercise due fairness and
objectivity and record the reasons, in writing, in each case. The employees so
selected shall be awarded the commendation letter in the form of a Regional
Certificate of Merit by the Executive Director/Head of the RLDC/NLDC
concerned.

The cases of those employees whose performance is rated as of highly exceptional

nature, may be referred with full facts and details to Corporate HR Department by
the Screening Committee for consideration of award of Corporate Certificate of
Merit. All such cases would be considered at Corporate Centre by a Screening
Committee consisting of Chairman & Managing Director, Functional Directors
and Executive Directors, in the same manner as detailed at para 4.1 above. Those
who are considered suitable by the Committees would be awarded the Corporate
Certificate of Merit by the Chairman & Managing Director. Cases of employees
who are not adjudged as suitable for Corporate Certificate of Merit will be
referred back by the Corporate Screening Committee to the Executive
Director/Head of the NLDC/RLDC concerned with the recommendation for

NON-MONETARY INCENTIVE SCHEME

Page 474
 award of Regional Certificate of Merit or such other recommendation as are
deemed fit by the Corporate Committee.

The commendation letters in the form of Certificates of Merit would be awarded

to the employees at a function to be suitably organised for this purpose at the
Regional level and Corporate level, as the case may be, on occasions like
Republic Day, Independence Day etc.

Photographs of the employee-recipients of Certificates of Merit would be

published in the respective RLDC/NLDC/CC House Journals and Corporate
House Journal, as the case may be, accompanied with appropriate write-ups.
Details of all such cases where Certificates of Merit are awarded at the Regional
level should be sent to Corporate Human Resources Department for information
and record.

NON-MONETARY INCENTIVE SCHEME

Page 475
EMPLOYEES
SUGGESTION
SCHEME

Page 476
 EMPLOYEES SUGGESTION SCHEME
POSOCO subscribes to the belief that its employees, besides being a resources
themselves are also a source of all resources. POSOCO is operating on the leading
edge of the technology on Load Despatch Centres and System Operation. In order
to attain and maintain superior standards of technical excellence and professional
management contents, especially in the light of the emerging challenges both
within and outside the organisation, it has been considered essential that all
employees cultivate the habit of creative thinking and innovative outlook. With a
view to channelising the ideas and innovative suggestions and deriving maximum
benefit out of this, it has been decided to introduce POSOCO Employees
Suggestion Scheme, the salient features of which are given below :-

1.0 Objective of the Scheme

Broad objective of the Scheme is to encourage innovations, creative thinking and
identification of talent.
1.1 The Suggestion Scheme is intended to direct the creative ideas of employees into
useful channels and give them an opportunity for constructive thinking.
1.2 Recognition for individual ingenuity and creativity.
1.3 Providing opportunity to participate in the development and growth of the
Company and also to tap employees' talent for the benefit of the Company.
1.4 Award for worthy suggestions and also to foster better employee management
relations and to improve overall productivity.

2.0 Coverage and Eligibility of the Employee

All employees of the Company can make suggestion under this scheme. However,
all levels of supervisory & workmen categories and executives upto the level of
E-5 only are eligible for the monetary award.

3.0 Nature of Suggestions and Areas for which these can be made
(i) Savings in labour, material, supplies or expenses.
(ii) Prevention or reduction of waste including defective work.
(iii) Improvement in maintenance methods.
(iv) Improvement in grid system availability.
(v) Safety precautions, to eliminate possible accident.
(vi) Eradication of civic problems, better hygiene and cleanliness of work place or
township.

EMPLOYEES SUGGESTION SCHEME

Page 477
 (vii) Improvement in tools, machinery, equipment or facilities and working procedures.
(viii) Economy in use of stationery, consumables etc.
(ix) Suggestions for import substitutions.
(x) Improvement in quality.
(xi) Improvement in systems & procedures.
(xii) Any other suggestions which are likely to bring economy and increase
efficiency/productivity in the working of the organisation.

4.0 Suggestions outside the scope of the Scheme

4.1 All matters which are within the scope of collective bargaining (wages,
allowances, bonus, hours of work, leave etc.) grievance procedure, personal
grievances, complaints and requests for additional benefits in welfare facilities,
public relations, recreational programmes, dealing with legal other policy
decisions of the management will fall outside the scope of the Suggestion
Scheme.

4.2 Decision of the Suggestion committee regarding the admissibility of any items in
the Suggestion Scheme shall be final.

4.3 Non-acceptance of a suggestion shall not constitute a grievance.

5.0 Rights on suggestion

Suggestions, once accepted by the committee will be the possession of the
Company and the employees are precluded from making any claims on such
suggestion what-so-ever, except the award which is to be decided by the
suggestion committee.

6.0 Human Relations

6.1 Suggestion Scheme is not a means of effecting reduction in career prospects or
retrenchment of any employee.

6.2 Suggestions from employees shall not constitute any reflection on the ability or
reputation of the non-executive/executive staff.

7.0 Suggestion Committee

7.1 The Suggestion Committee, constitution of which is given at ANNEXURE-A,
will deal with each Employee's suggestion and dispose it off in the manner laid
down in the Annexure.

EMPLOYEES SUGGESTION SCHEME

Page 478
7.2 An employee who wishes to submit suggestion is required to prepare the proposal
on plain paper with supporting details, requisite statistics and other documents.
The covering letter should be in the format given in Appendix-I to Annexure-A.
Suggestion can be written either in Hindi or in English or in regional language in
which writer can explain his thoughts. The suggestion should be placed in closed
cover and should be dropped in suggestion boxes placed at strategic, convenient
and easily accessible places in various offices of the Company. However, an
employee may also submit the suggestion directly to the Secretary of the
suggestion committee.

7.3 Necessary assistance in the shape of discussions, drafting, drawing or sketching

etc., can be provided by the controlling officer of the suggestor to the suggestor in
case of illiterate and semi-literate employee so that suggestion can be submitted in
a presentable form.

7.4 Suggestion boxes shall be opened by the Secretary of suggestion committee or by

his authorised representative once in a month.

7.5 Suggestions collected from the suggestion boxes or received directly by the
Secretary shall be duly acknowledged by the Secretary, suggestion committee in
the prescribed form (copy at appx-II) within a week, and in his absence by the
authorised representative (who should be a member of the suggestion committee).

7.6 The suggestion will be examined by the Suggestion Committee and suggestions
that can be implemented will be considered for award after proper evaluation and
trials, if necessary.

7.7 Only those suggestions which RLDC/NLDC Suggestion Committee can

implement within the respective RLDC/NLDC will be considered by them.
Suggestions on subject/matter beyond their jurisdiction will be referred to the
Corporate Centre.

8.0 Awards
The award amount would be decided by the committee formed under the scheme
(Annexure-A) as under :

8.1 Suggestions resulting in savings which are of recurring nature and likely to
benefit the Company for time to come, 10% of the first year's annual savings may
be recommended as award subject to a maximum of Rs. 15,000/- (Rupees fifteen
thousand). Duly recommended cases will be sent to G.M. (HR), CC for taking
approval from CMD for grant of the award.

8.2 In case of one time savings, 10% of savings may be recommended as award
subject to a maximum of Rs. 7,500/- (Rupees seven thousand five hundred).

EMPLOYEES SUGGESTION SCHEME

Page 479
8.3 Suggestions where savings/benefits cannot be assessed in monetary terms will be
rewarded subject to a maximum of Rs. 500/- (Rupees Five hundred) per
suggestion.

8.4 In case the suggestion happens to be of exceptional nature the amount of award
may be recommended beyond Rs. 15,000/- by the Suggestion Committee. Such
recommendation, however, will be subject to the approval of the CMD.

8.5 Suggestion Committee may recommend suitable cases to agencies like All India
Invention Promotion Board for National Award where the suggestion pertains to
areas of import substitution, invention and innovation.

8.6 Suggestion Committee may, wherever considered necessary, assess the benefit of
the suggestion only after putting it into practice. Till such time, the suggestion is
tested and found useful, it will not be considered as accepted and no award will be
given to the suggestor.

8.7 In addition to cash awards, commendation or appreciation letter will be issued to

the individual award winner and a copy of the same shall be kept in personal
file/record of the concerned employee.

8.8 If suggestion is made by a group of employees, the reward will be distributed

equally among them.

8.9 A token award of Rs. 25/- (Rupees twenty five only) will be given for each
suggestion worth considering. Head of RLDC/NLDC/GM (HR), CC will nominate
an executive not below the level of Manager for deciding the token award to be
given; payment will be made through the monthly salary.

8.10 The accepted suggestion will be published in Corporate/NLDC/RLDC News

Letter along with particulars of the employee and his photograph.

9.0 Communication of decision

9.1 The decision with regard to acceptance/award or rejection of suggestion will be
taken by the Suggestion Committee and the same will be informed to the
Suggestor within a week in the prescribed form (copy at Appendix-III & IV) by
the Secretary, Suggestion Committee. In case of acceptance, the tentative date of
implementation of the accepted suggestion will also be informed to the Suggestor.

9.2 The decision of the Suggestion Committee shall be final and no appeal shall be
entertained against such decision.

10.0 Presentation of Award

Award will be presented to successful Suggestors in special functions organised at
the Corporate Centre/NLDC/RLDC on occasions such as Independence Day,

EMPLOYEES SUGGESTION SCHEME

Page 480
 Republic Day, or any other suitable occasion in presence of as many employees as
possible including the top management/RLDC/NLDC Head.

11.0 Implementation of accepted suggestions

Director (HR) and Executive Director/CGM of the concerned RLDC/NLDC will
implement the accepted suggestions at Corporate Centre (for the Company if
suggestions is implementable in all RLDCs) and NLDC respectively.
12.0 Publicity of the Scheme
With a view to give a sense of participation to the employees and to make the
suggestion scheme attractive and effective, the following steps may be taken by
the Suggestion Committee.
i) Publicity can be carried out as under :
a) By use of posters, general circulars and the departmental notice board for
displaying "Suggestion of the month".
b) House magazines for publication of good suggestions, related pictures, benefits to
the organisation and awards to the Suggestor.
c) Sign boards with suitable slogans for promoting the Scheme may be displayed in
suitable places in the sub-stations/offices.
ii) Wide circulation of Suggestion Scheme in various languages.
iii) An Honour board at the main entrance of RLDC/NLDC/ Corporate office
displaying the names of the prize winners for a considered period may be placed.
iv) Suggestion week shall be celebrated on Company Raising Day every year and
competition on Slogans, Cartoon, Essays on the theme "Suggestions for Faster
Growth of the Organisation" shall be organised in every establishment of the
Company. Three prizes shall be given for each event. Each establishment shall
spend Rs. 1500/- for distribution of prizes for the competitions.

v) All first time Suggestor (i.e. An employee whose suggestion has been first time
accepted during service with the Company) shall be given additional gift of a Pen
set (Cost not to exceed Rs. 100/-).

13.0 General
13.1 In case of any ambiguity in defining and explaining the provisions of the scheme,
the matter shall be referred to Corporate Human Resource Department (HR
Policies & Rules group).

13.2 The Suggestion Scheme will be reviewed by POSOCO Management at appropriate

intervals at the level of Executive Committee.

EMPLOYEES SUGGESTION SCHEME

Page 481
 ANNEXURE-A

CONSTITUTION OF SUGGESTION COMMITTEES AND

ADMINISTRATION OF EMPLOYEES SUGGESTION SCHEME

1.0 Suggestion Committees

1.1 Suggestion Committee will be formed at Corporate Centre and each
RLDC/NLDC.
1.2 The Committee at Corporate Centre and RLDC/NLDC will be constituted with
following members:
i) Suggestion Committee at Corporate Centre

ED (RLDC/NLDC) Chairman
C.G.M. (HR) Member
C.G.M. (SO) Member
G.M. (Finance) Member
Concerned HR Executive Member Secretary

APPROVING AUTHORITY for acceptance of suggestion and grant of Award as per

provisions of the Scheme will be Director (HR).
ii) Suggestion Committee at RLDC/NLDC:

Head of the RLDC/NLDC Chairman

Head of HR RLDC/NLDC Member
Head of F&A RLDC/NLDC Member
Head of HR, CC Member
Concerned Executive of HR Member

APPROVING AUTHORITY for acceptance of Suggestion and grant of Awards as

per provisions of the Scheme will be Executive Director/CGM of the
RLDC/NLDC.
1.3 Suggestion Committee may co-opt additional members depending upon the need
with regard to examination of suggestions received.
1.4 At the RLDC/NLDC one representative not below the level of E5 will be
nominated by the RLDC/NLDC as Coordinator.
1.5 Coordinator shall render necessary assistance like discussions, drafting, drawing or
sketching etc. to the suggestor in case of illiterate and semi-literate employees, so
that suggestion can be submitted in a presentable style.

EMPLOYEES SUGGESTION SCHEME

Page 482
2.0 Functions of the Suggestion Committee
2.1 The Suggestion Committee shall function under the overall guidance/direction of
the Chairman of the Suggestion Committee.
2.2 The Suggestion Committee will :
i) Evaluate each suggestion and decide whether to admit or reject it.
ii) Recommend for authorising trial of suitable ideas given by the employees, if
necessary.
iii) Determine, recommend and grant and other benefits. Award cases which are to be
approved by the CMD will be referred to CC. I.E. Group will coordinate all such
matters.
iv) Follow-up the implementation of the suggestion.
v) Review the progress
vi) Co-opt any other member(s) as and when necessary and also nominate persons in
absence of Secretary, who will
a) Collect suggestions from the boxes every month or receive suggestions directly in
the office.
b) Issue individual acknowledgement on behalf of the Suggestion Committee.
c) Meet the Section/ Deptt. Heads from where the suggestion originates, the
suggestor himself and any other person when necessary and prepare a preliminary
report.
3.0 Functions of the Secretary
3.1 The Secretary will be responsible for the following :
i) Administering and co-ordinating the Suggestion Scheme.
ii) Arranging for regular collection of suggestions and constant checking of
suggestion boxes.
iii) Registering the suggestion and acknowledging the receipt for further examination
by Suggestion Committee and shall also make a preliminary report of suggestion
received.
iv) Preparing agenda and organising the meeting of Suggestion Committee, co-
ordinating with suggestors for further clarifications etc.
v) Coordinating with various HODs for assisting in proper evaluation of suggestion.

EMPLOYEES SUGGESTION SCHEME

Page 483
 vi) Communication to the suggestor about acceptance, award or rejection of the
suggestion.
vii) Assisting in implementation of suggestion.
viii) Arranging for presentation of award authorised by Competent Authority.
ix) Maintenance and analysis of records relating to the implementation of the
Suggestion Scheme.
x) Assisting in thorough examination of acceptable suggestion by:
a) Making all necessary inquiries to determine the utility benefits of the suggestions.
b) Ascertaining which department or operation will be affected by the suggestion
under consideration and in what manner they will be affected.
c) Ascertaining the estimated savings, if quantifiable, resulting from adoption of the
idea.
xi) Organising celebration of Suggestion Week and other associated activities.
xii) Any other assistance which shall be necessary for the smooth functioning of the
Committee.
4.0 Quorum
The Chairman, the Secretary and at least two other members of the Suggestion
Committee have to be necessarily present for the meeting to take place.
5.0 Frequency of meetings
The Suggestion Committee will meet once in a quarter. If meeting of the
Suggestion Committee does not take place in any quarter then the Secretary will
record the reasons in writing in the minutes book of the Suggestion Committee.
The Frequency of meeting can be increased if the number of suggestions are 25 or
more in a particular quarter.
6.0 Processing of suggestions
Suggestions will be collected once in a month from all the suggestion boxes in
addition to those directly received by the Secretary, for further examination,
evaluation and needful.
7.0 Criterion for assessing the Suggestions received
The Suggestion Committee will assess the usefulness of any suggestion keeping in
view the criteria as given below:
i) Nature of Suggestion

EMPLOYEES SUGGESTION SCHEME

Page 484
 If the suggestion is of technical nature, then whether the suggestion is an
invention, adaptation, an introduction of a known idea not used in the Company or
an extension of idea or method already known to the Company.
Whether the Suggestor is an executive or non-executive for the purpose of award.
ii) Technical value of the Suggestion
Whether the suggestion is technically sound, exhaustive, and viable from cost and
practicability angle.
iii) Utility
The suggestion will be evaluated from the point of view of permanent or
temporary usefulness.
iv) Safety
Whether suggestion results in elimination of accident/hazards to persons and
equipment around; safety to operator, safety to tools and machine; elimination of
obstruction to free movement of products, personnel etc.
v) Impact
Whether the suggested improvement is a major improvement or minor
improvement in the working conditions.
vi) Economy
This has to be considered in terms of materials, labour and time (both man &
machine hours) and special considerations may be given to suggestions resulting in
import substitution.
vii) Overall benefit to the company

viii) Adaptability and the effect of the suggestion on the functioning of other related
departments, if implemented.

ix) Whether the Suggestion is within the aims, objective and policies of the
management.

EMPLOYEES SUGGESTION SCHEME

Page 485
 Appendix-I
POWER SYSTEM OPERATION CORPORATION LIMITED
Employees Suggestion Scheme

NLDC/RLDC/C.C.

Name _________________________
Employee No. ____________________
Designation/Grade __________________
Department _______________________

Dear Sir,
I wish to give following suggestions for consideration of the Suggestion Committee :-
AREA
INVOLVED…………………………………………………………………………………………
……………………………….
………………………………………………………………………………………………………
PRESENT STATUS AND ISSUE (What is faulty or can be
improved)……………………………..……………………………………………………………
………………………………………

I SUGGEST AS
UNDER......................................................................................................................
………………………………………………………………………………………………………
………………………………………….
(Full details of suggestion including estimates of savings are enclosed)
I HONESTLY BELIEVE MY IDEA WILL

Reduce waste : ………………………….

Reduce cost :……….…………Improve House keeping ………………………
Increase output : ……………Promote safety ………………………………..
Improve methods :……. …………Any other (Specify) ……………………………
Please Tick mark ( ) in the space provided which is/are applicable and the remaining should be
cross (x) marked.
Signature
Dated :
(Suggestor)
____________________________________________________________________________
FOR OFFICE USE ONLY

Suggestion No. : Signature :

Date of Receipt : Secretary Suggestion Committee

Dated :

EMPLOYEES SUGGESTION SCHEME

Page 486
 Appendix-II
POWER SYSTEM OPERATION CORPORATION LIMITED
Employees Suggestion Scheme
NLDC/RLDC/C.C.

Name ……………………………………..

Employee No.: ……………………………………..

Designation/Grade……………………………………

Department……………………………………..

Sub. : ACKNOWLEDGEMENT OF SUGGESTION REGISTERED

Dear Sir,

We acknowledge with thanks the receipt of your suggestion dated

_____________________________ regarding _______________________ and wish to inform
you that it is under our examination. We shall advise you on the results of our examination in due
course. Kindly quote the above mentioned Suggestion Number on all future correspondence on
the subject.

Yours faithfully,

( )
SECRETARY
SUGGESTION COMMITTEE

EMPLOYEES SUGGESTION SCHEME

Page 487
 Appendix-III
POWER SYSTEM OPERATION CORPORATION LIMITED
Employees Suggestion Scheme

NLDC/RLDC/C.C.……….
Ref. No. …………….
Date…………………
Shri …………………………………….

Sub. : Suggestion No. …………………………………...

Dear Sir,

Please refer to your suggestion dated ________________________ regarding

__________________ The same has received careful consideration by the Suggestion
Committee.

It gives me great pleasure to inform you that the Suggestion Committee has considered your
Suggestion being suitable for implementation. In recognition of this, the committee has decided to
give you a cash award of Rs. _________________________________ Your suggestion is
proposed to be implemented by (Month/Year) __________________

The Committee is thankful to you for taking keen interest in the Scheme and earnestly hopes that
you will continue to contribute your valuable suggestions in future.

Thanking you,
Yours faithfully

( )
SECRETARY
SUGGESTION COMMITTEE

EMPLOYEES SUGGESTION SCHEME

Page 488
 Appendix-IV
POWER SYSTEM OPERATION CORPORATION LIMITED
Employees Suggestion Scheme

NLDC/RLDC/C.C.
Ref. No………….
Date……………..
Shri ………………………………………

Sub. : Suggestion No…………………………………………….

Dear Sir,

Please refer to your suggestion dated ________________, regarding

__________________________. The same has been thoroughly examined and has received
careful consideration by the Suggestion Committee. After detailed deliberations, the committee
has concluded that it would not be possible to accept your suggestion for implementation.

The Committee is thankful to you for taking keen interest in the Scheme and earnestly hopes that
you will continue to send your ideas for consideration in future for the benefit of the organisation.

Thanking you,
Yours faithfully

( )
SECRETARY
SUGGESTION COMMITTEE

EMPLOYEES SUGGESTION SCHEME

Page 489
 INCENTIVE SCHEME
FOR ACQUIRING
PROFICIENCY IN HINDI

Page 490
 INCENTIVE SCHEME FOR ACQUIRING PROFICIENCY IN HINDI

1.0 Objective
The POSOCO Incentive Scheme for acquiring proficiency in Hindi has been
formulated with a view to encouraging non-Hindi knowing employees to acquire
working knowledge of Hindi and to enable the employees who possess working
knowledge of Hindi, in consonance with State policy.

2.0 Scope and Coverage

The scheme shall be applicable to all full-time employees of the Company other
than lien holders, deputationists, apprentices/trainees, muster roll, daily rated,
casual, badli or substitute employees.

3.0 Eligibility
The incentives shall be admissible to the employees subject to their fulfillment of
the following conditions of eligibility.

3.1 Incentives for learning Hindi and passing the prescribed qualification thereof shall
be admissible to only non-Hindi Knowing employees i.e. whose mother tongue is
not Hindi. In other words, the incentives will be admissible to employees whose
mother tongues are Tamil, Kannada, Telugu, Malayalam, Punjabi Urdu,
Kashmiri, Marathi, Gujarati, Sindhi, Bengali, Oriya, Assamese or any other allied
language; provided they have not passed Matriculation/Intermediate/Degree or
equivalent examination with Hindi as a compulsory/additional/ elective subject or
the Pragya Examination under Hindi Teaching Scheme of Government of India or
an equivalent examination conducted by a voluntary Hindi organisation
recognised for this purpose by the Government of India. However, employees
whose mother tongue is not Hindi, but have passed Matriculation or equivalent
examination with Hindi as a compulsory subject from non-Hindi speaking States
by obtaining less then 50% marks in Hindi will be entitled to grant of incentive.

3.2 The employees shall be eligible for incentives under the Scheme for acquiring
working knowledge of Hindi i.e. passing of the Prabodh, Praveen and Pragya
examinations provided they have not already passed the specified examinations
conducted by any Government authority or a private body or a Board or
University with Hindi as a subject or medium of examination as detailed below.

INCENTIVE SCHEME FOR ACQUIRING PROFICIENCY IN HINDI

Page 491
 S.No Employees eligible for Examination which they should not have
passing the already passed
examination
1. Prabodh Primary (Class V) or an equivalent or a
higher examination
2. Praveen Middle (Class VIII) or an equivalent
irregular examination.
3, Pragya Matriculation or an equivalent or a higher
examination.

3.3 Incentives shall be admissible to the employees for passing the prescribed
examinations by either attending classes in the Training Centres or through their
own efforts i.e. as private candidates.

Provided employees who were appointed against posts for which knowledge of
Hindi of the requisite standard has been prescribed as essential qualification shall
not be entitled to grant of incentives for passing the concerned examination.

3.4 Employees posted at places where Training Centres for imparting training in
Hindi exist may pass the examination by attending the classes organised at such
Training Centres. However, at places where there are no Training Centres or
where arrangements for training in the concerned course do not exist, the
employees posted at such places may pass the examinations through their own
efforts as private candidates.

3.5 Employees should normally obtain prior permission of the Company for pursuing
the course and acquiring the qualification. This will, however, not apply to such
employees who might have started the course even before joining the Company.
Further this condition can be relaxed on the merit of the case for which a
reference to the Corporate HR will be necessary.

4.0 Incentives
An employee who fulfils the eligibility and other conditions mentioned here in
before shall be entitled to grant of following incentives:

4.1 Monthly Payment

On passing the Hindi examinations, an employee shall be entitled to grant of a
monthly payment for a period of 12 months at the rate of one increment in his pay
scale, subject to his acquiring minimum percentage of marks as indicated at
Annexure-I.

INCENTIVE SCHEME FOR ACQUIRING PROFICIENCY IN HINDI

Page 492
4.1.1 The above monthly payments would be made to the employee as a separate
element for the specified duration; and shall not count as pay for any other
purpose.

4.1.2 The payment shall be granted would be made to employee from the 1st of the
month following that in which the result of the examination passed is declared.

4.1.3 The rate of increment to be taken into consideration shall be the one next due at
the time of grant of the incentive. However, in case of an employee drawing pay
at the maximum of his pay scale, the increment shall mean the last incremental
rate of his pay scale.

Provided further that, in case where the normal date of increment or the effective
date of promotion coincides with the effective date of grant of Monthly Payment,
the rate of increment to be taken into account shall be the increment next due after
drawal of increment on the normal date or fixation of pay in the next higher pay
scale, in case of promotion, as the case may be.

4.2 Cash Award

On passing the Hindi examination(s) by securing specified percentage of marks,
an employee shall also be entitled to grant of Cash Award. The amount of Cash
Award shall be as per the scale indicated at Annexure-II.

4.3 Lumpsum Award

An employee who passes the examination(s) through his own efforts i.e. as a
private candidate, shall be granted a lump-sum award at the scale indicated at
Annexure-III, in addition to monthly payment and/or cash award, if otherwise
admissible. This award is admissible merely on passing the Hindi examination(s)
i.e. irrespective of the percentage of marks obtained.

4.4 The above incentives shall be granted only if the employee passes the
examination within a period of 15 months from the date of his first appearance in
that examination.

5.0 Procedure
An eligible employee on successful completion of the Hindi examination(s) shall
apply through proper channel in the prescribed proforma (Annexure-IV) to the
Head of HR Department of the Concerned CC/NLDC/RLDCs along with a photo-
copy of the original mark-sheet from the appropriate examination authority. The
application will be processed by the concerned Human Resource Department and
put up to the General Manager/Head of the CC/NLDC/RLDCs or any other
officer nominated by him, for his consideration and sanction of the incentive (s).

INCENTIVE SCHEME FOR ACQUIRING PROFICIENCY IN HINDI

Page 493
 Thereafter the sanction order will be issued by the concerned Human Resources
Department.

6.0 Other facilities

6.1 The employee pursuing the concerned course for acquiring proficiency in Hindi
shall be provided with text books, prescribed, if any under the prescribed Scheme,
free of cost.

6.2 Examination fee, if any, payable for appearing in the examination shall be
reimbursed to the employees in full, subject to production of documentary
evidence etc. provided that this reimbursement shall not be admissible in case of
the employees who appear in the examination as private candidates.

6.3 The employees shall be granted Special casual leave for the days of actual
appearance in the examination(s) and in case of travel to outstation, for the
minimum period spent on journey to and form the place of examination.

6.4 The employees shall be entitled to TA/DA or Local Travelling Expenditure, as the
case may be, as per their entitlement under Travelling Allowance Rules, for
appearing in the Hindi examination(s). The numbers of days for which Local
Travelling Expenditure in case of examinations involving local journey will be
allowed are the days of actual appearance in the examinations. In case of
examinations involving travel to outstations, TA/DA etc. shall be regulated as per
the relevant provisions to TA Rules subject, however, to the condition that in case
the absence of the employee from his Headquarters is for more than 24 hrs., Daily
Allowance for the intervening days (i.e. other than the day of departure and
arrival) will be admissible for the days of actual appearance in the examination
including Sundays/Holidays, if any, falling between the examination days only.

7.0 General
In case of any doubt with regard to any provisions of the Scheme and for cases
not covered herein the same should be referred to Corporate HR Department for
decision/clarification.

INCENTIVE SCHEME FOR ACQUIRING PROFICIENCY IN HINDI

Page 494
 ANNEXURE-I

LIST INDICATING THE MINIMUM PERCENTAGE OF MARKS FOR

VARIOUS
CATEGORIES OF EMPLOYEES FOR GRANT OF MONTHLY PAYMENT

Sl. Examination Category Minimum

No. Percentage of
Marks
1. Prabodh Executive/ Supervisor/ Workmen 55% or more
2. Praveen -do- -do-
3. Pragya -do- Pass Marks

INCENTIVE SCHEME FOR ACQUIRING PROFICIENCY IN HINDI

Page 495
 ANNEXURE-II

LIST INDICATING THE MINIMUM PERCENTAGE OF MARKS AND

AMOUNT OF CASH AWARD FOR VARIOUS HINDI EXAMINATIONS

S.No Minimum Percentage of Amount of Cash Award(Rs.)

Marks
A For Learning Hindi PRABODH PRAVEEN PRAGYA
70% or more 1600 1800 2400
60% and above, but below 800 1200 1600
70%
55% and above, but below 400 600 800
60%

INCENTIVE SCHEME FOR ACQUIRING PROFICIENCY IN HINDI

Page 496
 ANNEXURE-III

LIST INDICATING AMOUNT OF LUMP-SUM AWARD ON

PASSING DIFFERENT HINDI EXAMINATION

Sl. No. Examination Amount (Rs.)

1. Prabodh 1600
2. Praveen 1500
3. Pragya 2400

टिप्‍पणी –

(i) जो प्रशिक्षार्थी शिजी प्रयत्िोों से श ोंदी शिक्षण योजिा की श ोंदी भाषा की परीक्षाएों उत्तीणण करें गे उिको
एकमुश््त पुरस््कार के अलावा िकद पुरस््कार प्रदाि करते समय शिर्ाणररत शकए गए प्रशतित से 5
प्रशतित अोंक कम प्राप््त करिे पर भी िकद पुरस््कार राशि प्रदाि की जाएगी।

(ii) िकद पुरस्कारोों तर्था एकमुश्त पुरस्कारोों की दे यता के सम्बन्ध में अन्य सभी ितें व ी ोोंगी जो प ले
जारी शकए गए आदे िोों में शिश त ैं।

INCENTIVE SCHEME FOR ACQUIRING PROFICIENCY IN HINDI

Page 497
 ANNEXURE-IV

REQUEST FOR GRANT OF FINANCIAL INCENTIVES ON PASSING THE

HINDI EXAMINATION UNDER
THE HINDI TEACHING SCHEME
(Vide Rule 5.0)

1. Name of the Employees(in block

letters)
2. Employee No.
3. Designation
4. Department
5. Scale of Pay
6. Mother Tongue
7.(a) Name of the examination passed
(b) Date(s) of examination
( c) Date of declaration of the results
(d) Percentage of marks obtained
8. Whether passed the examinations
first attempt ? If not, the date(s) of
first appearance in the examination.
9.(a) Whether the examination passed by :
(i) Private Study
(ii) Attending Classes/under the Hindi
Teaching Scheme :
(b) When did you receive training for
the said course in the classes run by
Hindi Teaching Scheme ? (if you
had received training earlier also,
please give details)

10 Whether Passed

i) Matriculation or an equivalent or a higher exam conducted by a

Board/University/Private Body etc. with Hindi as a subject in an form (like
regular, elective, optional, additional etc.) or part of Higher Secondary
Examination viz. in class IX or X or as a medium of examination; or

ii) Middle (Class VIII) Exam with Hindi as a subject or medium of examination; or

iii) Primary (Class V) Exam with Hindi as a subject or medium or examination; or

iv) any other Exam in Hindi conducted by a Govt. Agency or a private Body etc., if
so, please give details or the examination passed.
11. Whether paid any Examination Fees for appearing in the examination passed? If
so, give details (viz. receipt etc.)

INCENTIVE SCHEME FOR ACQUIRING PROFICIENCY IN HINDI

Page 498
 ___________________________________________________________________

DECLARATION
I declare that the particulars given above are true to the best of my knowledge and belief.
I undertake to refund the Monthly Payment and/or Cash Award and /or Lump sum
Award, if I am not found eligible for the same and/or in case any of the above information
is found to be false or incorrect. I also understand that disciplinary action may be taken
against me for attempting to receive monthly payment and/or Cash Award and/or Lump
Sum Award by making an inaccurate statement of facts.

Date : Signature of the applicant

_________________________________________________________________
Forwarded to the Head of HR Department

Date : Controlling Officer

(Designation and Department)
_________________________________________________________________
FOR USE IN HUMAN RESOURCES DEPARTMENT

1. The application has been scrutinised in terms of the rules and it is certified that:

a) the applicant fulfils all the eligibility conditions and other requirements of the
rule; and

b) the facts stated in the application are correct as per the official records; and

c) the applicant has secured the percentage/marks as prescribed under these rules.

2. It is recommended that :

i) the following financial incentives may be granted to the applicant:

a) Monthly payment : Equal in amount to one increment/two

increment(s) at the rate of
Rs._____________/month for a period of 12
months/24 months.

b) Cash Award : Rs.

c) Lump Sum Award : Rs.

INCENTIVE SCHEME FOR ACQUIRING PROFICIENCY IN HINDI

Page 499
 ii) the Examination Fees of Rs............................ paid by the applicant for appearing
in the said examination may be reimbursed to him.

Date : Signature of the Concerned HR

Executive

The financial incentives (including reimbursement of Examination Fees)* as proposed at

para 2 above is/are hereby sanctioned to the applicant.

Date : Signature of the Sanctioning Authority

_________________________________________________________________
Delete if not applicable

INCENTIVE SCHEME FOR ACQUIRING PROFICIENCY IN HINDI

Page 500
HOUSE RENT
ALLOWANCE

Page 501
 HOUSE RENT ALLOWANCE

1.0 Scope
House Rent Allowance (HRA) is payable to all the eligible employees who are
not provided with residential accommodation by the Company at the places where
the Company has its RLDCs/offices etc.

2.0 Applicability
2.1 For the purpose of HRA, the employees eligible are those borne on the regular
establishment of the Company including probationers, lien holders, deputationist
(unless otherwise specified in their terms of deputation) and persons appointed on
contract basis (unless otherwise specified in the terms of their contract) but
excluding apprentices/trainees whether engaged under Company’s own training
scheme or under the Apprentices Act, 1961 (save to the extent specifically
mentioned in these Rules) and muster roll, daily rated, casual, badli or substitute
employees.

3.0 Definitions
In these rules, unless the context otherwise requires:
3.1 “Company” means the Power System Operation Corporation Limited including
the NLDC/RLDCs/ Offices under its management.

3.2 “Places” means X,Y,Z Class cities notified by the Government of India for the
purpose of payment of HRA to the Central Govt. employees, from time to time.

3.3 “Family” means employee’s spouse, legitimate children and step children
(including legally adopted children) and parents (parents-in-law in case of female
employees).

3.3.1 Only one spouse is included in the term “Family”.

3.3.2 Step children include the children of the spouse from a previous marriage, where
the same was dissolved due to legal divorce or death of the other party to such
marriage.

3.3.3 Where both husband and wife are employed in the Company, the dependent
parents of either of the spouses may be treated, at their option, as parents for the
purpose of these rules.

3.4 “Pay” means Basic Pay, Personal Pay, Special Pay, Deputation (Duty)
Allowance, if any.

3.4.1 In case of a re-employed pensioner, pension and pension equivalent of retirement

benefits will also be considered as pay, provided and to the extent the same has

HOUSE RENT ALLOWANCE RULES

Page 502
 been taken into consideration for fixation of his/her basic pay. In such a case, if
the sum of his pay plus pension exceeds the pay of the post, if it is on a fixed rate
of pay or the maximum pay of the post, if it is on a time scale of pay, such excess
shall be ignored.

3.5 “Normal Rent” means the HRR paid by the employee towards allotment of
quarter.

3.5.1 In case an employee resides in a hostel or a boarding house or resides and boards
as a paying guest, rent will be the amount equal to 40% of the lodging and
boarding charges or 80% of the lodging charges, if boarding is not availed of, as
the case may be.

4.0 Terms & Conditions

4.1 An employee shall be eligible for the grant of HRA only if he/she has not been
provided accommodation by the Company at his place of posting.
Accommodation for this purpose means family accommodation including any
accommodation provided by the Company free or at subsidized /stipulated rate(s)
in the Guest House/Transit Camp/Hostel/Company Quarter etc.

a) Provided, further, where an employee on transfer has been permitted to retain

leased accommodation at his previous place of posting then he shall not be
eligible for HRA. However, the employees who have been allowed to retain
company quarters at previous place of posting on payment of normal rent/ penal
rent only are eligible for guest house/ field hostel accommodation or payment of
HRA in new place of posting when such accommodation is not available.

4.2 Trainees recruited under Company’s own Training Scheme and placed in the
regular pay scales of the Company during their training period shall also be
eligible for grant of HRA provided the Company fails to arrange for them, free
bachelor (hostel) accommodation at the places where they undergo long term
training.

4.3 An employee shall not be eligible to the grant of House Rent Allowance, if:

a) He/She refuses to take possession of the accommodation being provided by the

Company. For this purpose, an employee to whom the accommodation (other than
single room hostel accommodation) is provided by the Company irrespective of
the fact whether accommodation so provided by the Company is as per his
entitlement or not, and he refuses to take possession of the same, shall be deemed
to have been provided accommodation for the purpose of these Rules and
therefore, he/she shall not be eligible to the grant of HRA from the date following
the last date stipulated in the allotment letter for occupying the Company’s
accommodation.

HOUSE RENT ALLOWANCE RULES

Page 503
 b) He/she resides in the accommodation provided by the Company to another
employee;

c) He/she resides in the accommodation provided to his parents/children by the

Government or any other Public Sector Undertaking/Quasi-Government Bodies/
Autonomous Body etc.

d) His/her spouse has been provided accommodation at the same station by the
Government or any other organisation (Public Sector Undertaking/Quasi-
Government Bodies/Autonomous Body etc.) irrespective of the fact whether
he/she resides in the accommodation so provided or separately in another
accommodation;

e) He/she continues to occupy the accommodation provided by the Company save to

the extent otherwise specified in these Rules; and

f) Any Company employee residing in Government/Autonomous and Semi-

Government Organisation run hostels (which charge subsidized rent only).

5.0 Rates
5.1 House Rent Allowance will be admissible as per the rates notified by the
management from time to time, for different places.

5.2 HRA at the applicable rate is payable without any monitory ceiling limit and
without production of Rent receipt, subject to employees making claim and self
certification in a prescribed performa given at Annexure.

5.3 The existing rates are as follows:

(Circular No 14/2018, 09/2019 & 10/2019)

Class of cities/places Rate of HRA(As percentage of
Basic Pay)
X Class Cities 24%
Y Class Cities 16%
Z Class Cities 8%

The classification of cities for payment of HRA will be regularized as per

notification issued vide DoE, MoF Om No. 2/5/2017-E.II(B) dated 07.07.2017

Rate of HRA will be revised to 27%, 18% & 9% for X, Y and Z class cities
respectively when IDA crosses 25% and further revised to 30%, 20% and 10%
when IDA crosses 50%.

HOUSE RENT ALLOWANCE RULES

Page 504
6.0 Other Conditions
An employee who satisfies the terms and conditions laid down in these Rules
shall be entitled to the grant of HRA at the prescribed rates, subject to the
following conditions:

6.1 Where both husband and wife are employed in the Company and residing in the
same rented unfurnished accommodation, HRA shall be admissible to either or
both of them in accordance with any one of the following provisions:

6.1.1 Both husband and wife may draw House Rent Allowance individually at the
prescribed rates as per their entitlement subject to fulfillment of other conditions
for drawl of the allowance.

6.2 Where the spouse of an employee is working in another organisation and is

claiming HRA from her/his organisation, the entitlement of HRA to the employee
shall be governed in accordance with the provisions stipulated at Rule 6.1, as if
the employee’s spouse is also working in the Company.

6.3 Where an employee is sharing accommodation with his/her parents/son/daughter/

another employee of the Company who is claiming HRA for that accommodation
on production of Rent Receipt/municipal valuation of the accommodation from an
organization including the Company, he/she shall be entitled to claim HRA.

6.3.1 Where an employee is sharing Government accommodation allotted to a Central

Government employee, not related to him, he shall be entitled to claim HRA at
the applicable rates.

6.4 Where an employee is residing in Company’s/Government accommodation on

payment of penal/market rent, he/she shall be entitled to claim HRA at the
applicable rate considering the penal/market rent as rent paid for that
accommodation.

6.5 Where an employee is residing as a paying guest in a hostel or a boarding house

on payment of rent, he/she shall be entitled to claim HRA at the applicable rate
considering the rent as rent paid under sub-rule 3.5.1 for that accommodation.

7.0 HRA for accommodation owned by the employee or his/her family

7.1 An employee who is residing in an accommodation owned by him/her or any of
his/ her family members or Hindu Undivided Family (HUF) in which he/she is a
co-partner, shall also be entitled to claim HRA as per the terms and conditions
mentioned at Rule 6.0 except, that for the purpose of production and verification
of Rent Receipt, wherever applicable, the rental value of the house/portion of the
house actually occupied by him/her shall be determined by a Committee
constituted for this purpose by Ch. General Manager (HR) for employees posted

HOUSE RENT ALLOWANCE RULES

Page 505
 at Corporate Centre (including those borne on its rolls) and concerned Head of
NLDC/RLDCs/ Offices etc in case of employees posted at NLDC/RLDC/Offices
etc (including those borne on their respective rolls). Based on the rental value so
assessed by the Committee, the HRA entitlement of the employee shall be
computed considering the said value as rent paid by the employees.

8.0 HRA in different situations

8.1 HRA shall also be admissible to an employee subsequent to the happening of any
of the events specified below for period mentioned against each, at the rates
applicable to the respective place of posting immediately before the happening of
any of the said events, subject to the condition that the employee retains his/her
family at that place. However, in case of joining time and training within India
exceeding 6 months the admissibility of HRA shall be governed by the provisions
of the relevant rules:
Events Permissible Period
Leave of any kind excluding Full period of leave, if an employee does
EOL on medical grounds(s) not join duty after availing himself/ herself
of such leave and resigns, he/ she shall not
be eligible for HRA for the entire period of
leave
EOL on medical ground(s) Upto a maximum of 120 days. If an
employee does not join duty after availing
himself/ herself of such leave and resigns,
he/ she shall not be eligible for HRA for the
entire period of leave.
Joining time Full period of joining time as admissible
under the relevant rules.
Transfer to a place outside Upto a period of 2 months from the date of
headquarters release provided the employee has not been
provided accommodation by the Company
at his new place of posting subject to the
provision 4.1.2. The limit of 02 months may
however be extended upto a period not
beyond the end of academic session by ED
in case of NLDC/RLDCs, Ch. General
Manager (HR) in case of Corporate centre,
if the employee has been transferred in the
midst of academic session and shifting of
family is likely to adversely affect the
education of his children. Any extension
beyond the end of academic session
covering a total period of upto 01 year can
be granted by Director (HR). Under special
circumstances, extension for a period of

HOUSE RENT ALLOWANCE RULES

Page 506
 Events Permissible Period
upto 02 years can be granted with special
approval of CMD.
Suspension Full period of suspension subject to
production of a certificate to the effect that
he/ she continues to incur expenditure for
his/ her residential accommodation during
the period of suspension.
Training
a) Within India Full Period of training

b) Outside India Full Period of training

9.0 Procedure
9.1 Employees claiming HRA shall be required to furnish a declaration to the
concerned HR Department in the prescribed proforma, as applicable, at the time
of joining the place of posting and thereafter on each occasion whenever any
change(s) occurs in the declaration last furnished. The prescribed proforma are
enclosed as Annexures I & II.

9.2 The employees claiming HRA on production and verification of rent receipt shall
be dealt as per provisions of Income tax act. The employee claiming HRA on
production and verification of rent receipt shall submit the same in the prescribed
proforma twice in a calendar year, i.e. by 1st April and 1st October of each
calendar year. In case of those who claim HRA after 1st April/1st October of the
concerned calendar year, the rent receipt shall be required to be submitted by the
first of the month following the month in which HRA is first claimed and
thereafter on 1st October/1st April of the same following calendar year and so
only.

10.0 General
10.1 Relaxation of any other kind not provided hereinbefore may be permitted only by
the Chairman and Managing Director. In case of any doubt regarding the
interpretation/ implementation of the above rules and also in respect of
cases/matters not covered herein, the same shall be referred to Corporate HR
Department for decision/clarification.

HOUSE RENT ALLOWANCE RULES

Page 507
 ANNEXURE-I

DECLARATION FOR CLAIMING HOUSE RENT ALLOWANCE

(To be submitted in duplicate)

1. I certify that my family is neither in possession of any accommodation (including

field hostel/guest house) not sharing the accommodation provided by the
Company or by any State/Central Government/Autonomous body/Public
Undertaking or Semi Government Organization like municipality, port trust etc. to
any of my family members.

2. I certify that I have not refused the company accommodation allotted to me.

3. I certify that I am contributing towards rent for the place of my stay at

_________________________________________________________ (address
of the premises).
Or

I certify that I/my family am/is staying in a house (other than rented house) the
rental value of which is ascertainable and the house is situated at
_________________ (address of the premises).

4. I certify that I am not sharing accommodation provided to another Government

Servant/ Company employee on rent free basis by any State/Central
Government/Autonomous Body/PSU or Semi Government organization like
municipality, port trust etc.

5. I undertake to inform any change in the status of any of the declaration mentioned
above immediately.

This declaration shall be deemed to have made as on _______________

(Note : Please strike out the portion which is not applicable).

Date : Signature ______________________

Name _________________________
Emp. No. ______________________
Designation ____________________
Place of posting __________________

Note : -HR Estt. (For forwarding to F&A for payment)

-Fin. Estt.

HOUSE RENT ALLOWANCE RULES

Page 508
 Annexure-II
LIST OF CITIES/ TOWN CLASSIFIED BASED ON POPULATION FOR PAYMENT OF
HOUSE RENT ALLOWANCE (HRA)

Sl. STATES CITIES CITIES CLASSIFIED AS ‘Y’

No: CLASSIFIED AS ‘X’
1. Andaman & ---- --------
Nicobar Island
2. Andhra Pradesh Hyderabad (UA) Vijayawada (UA), Warrangal (UA),
Greater Vishakapatnam (M. Corpn.),
Guntur (UA), Nellore (UA).
3. Arunachal ---- --------
Pradesh
4. Assam Guwahati (UA)
5. Bihar Patna (UA)
6. Chandigarh Chandigarh (UA)
7. Chhattisgarh Durg- Bhilai Nagar (UA), Raipur (UA)
8. Dadra & Nagar ----- ---------
Haveli
9. Daman & Diu ----- ---------
10. Delhi Delhi (UA)
11. Goa ----- ---------
12. Gujarat Ahmadabad(UA) Rajkot (UA), Jamnagar (UA), Bhavnagar
(UA), Vadodara (UA),Surat (UA)
13. Haryana Faridabad*(M.Corp), Gurgaon*(UA)
14. Himachal Pradesh ------ --------
15. Jammu & Srinagar (UA), Jammu (UA).
Kashmir
16. Jharkhand Jamshedpur (UA), Dhanbad (UA),
Ranchi(UA), Bokaro Steel City (UA).
17. Karnataka Bengalore/Bengaluru Belgaum (UA), Hubli-dharwad(M.Corp),
(UA) Mangolore (UA), Mysore (UA),
Gulbarga(UA).
18. Kerala Kozhikode (UA), Kochi (UA),
Thiruvanathapuram (UA), Thrissur (UA),
Malappuram (UA), Kannur (UA), Kollam
(UA)
19. Lakshadweep ----- ----------
20. Madhya Pradesh Gwalior (UA), Indore(UA), Bhopal(UA),
Jabalpur (UA), Ujjain (M.Corp)
21. Maharashtra Greater Mumbai Amravati(M.Corpn.), Nagpur (UA),
(UA), Pune (UA) Arungabad (UA), Nasik (UA), Bhiwandi
(UA), Solapur (M.Corp), Kolhapur (UA),
Vasai- Virar City (M.Corp), Malegoan
(UA), Nanded- Waghala (M.Corp),

HOUSE RENT ALLOWANCE RULES

Page 509
 Sangli (UA)
22. Manipur ----- -------
23. Meghalaya ----- -------
24. Mizoram ----- -------
25. Nagaland ----- -------
26. Orissa Cuttack (UA), Bhubaneshwar (UA),
Raurkela (UA)
27. Puducherry --------- Punducherry/ Pondicherry (UA)
(Pondicherry)
28. Punjab Amritsar (UA), Jalandhar (UA),
Ludhiana (M.Corp.)
29. Rajasthan Bikaner (M.Corpn.), Jaipur ((M.Corpn.),
Jodhpur (UA), Kota (M.Corpn.), Ajmer
(UA)
30. Sikkim ------- ---------
31. Tamil Nadu Chennai (UA) Salem (UA), Tiruppur (UA), Coimbatore
(UA), Tiruchirappali (UA), Madurai
(UA), Erode (UA)
32. Tripura ------- ---------
33. Uttar Pradesh Moradabad (M.Corpn.), Meerut (UA),
Ghaziabad* (UA), Aligarh (UA), Agra
(UA), Bareilly (UA), Lucknow (UA),
Kanpur (UA), Allahabad (UA),
Gorakhpur (UA), Varanasi (UA),
Saharanpur (M.Corpn.), Noida*(CT),
Firozabad(NPP), Jhansi (UA)
34. Uttarakhand Dehradun (UA)
22. West Bengal Kolkata (UA) Asansol (UA), Siliguri (UA),
Durgapur(UA)
The remaining cities/ town in various states/ UTs which are not covered by classification as ‘ X’
or “Y” are classified ‘Z’ for the purpose of HRA. ‘X’ = cities above 50 Lakhs population, ‘Y’=
cities having population between 5 lakhs to 50 lakhs, ‘Z’ Cities/ towns having population less
than 5 lakhs, UA= Urban Agglomeration.
* Only for the purpose of extending HRA on the basis of dependency.
Note: The remaining cities/ towns in various states/ UTs which are not covered by classification
as “x” or “Y’’ are classified as “z” for the purpose of HRA.

HOUSE RENT ALLOWANCE RULES

Page 510
 SPECIAL
ALLOWANCE

Page 511
 SPECIAL ALLOWANCE
(Special Allowance to employees for Serving in difficult and far-flung areas)
Special Allowance under 2007 pay revision is payable to an employee posted at NERLDC,
Shillong and Guwahati Office @4% pf Pre-revised Basic Pay w.e.f 26.11.2008 for the
period of his/ her posting in these locations, otherwise same is payable from the date of
joining in the said location, whichever is later.

The special allowance under 2007 Pay Revision is payable to Executives up to 9th May,
2018 and to Workmen and Supervisors the Special Allowance will be payable until such
time as specified, in their 2017 wage/ pay revision.

The payment of Special Allowance being paid under 2007 pay revision, may be regulated as
under:

1. In case of serving employees:

For the period 26.11.2008 onwards: the employees posted at any of the locations i.e
Shillong and Guwahati during the said period, who are not paid Special Allowance, is
payable @4% of Pre-revised Basic Pay.

2. In case if Separated employees: The amount of Special Allowance retained on separation,

may be paid @4% of Pre-revised Basic Pay for the period of their tenure at the respective
location(s) i.e Shillong and Guwahati, including arrears for the period 26.11.2008 onwards.

Reference:
(1) Corporate Circular No. 08/2019 dated 22.03.2019

SPECIAL ALLOWANCE
Page 512
 PERQUISITE
AND
ALLOWANCES

Page 513
 PERQUISITE AND ALLOWANCES

1.0 In accordance with DPE guidelines “Cafeteria approach” shall be adopted for
perquisites & allowances for employees excluding deputationist from other
organization for allowing to choose from a given set of cafeteria of perquisite and
allowance subject to the condition that sum total of these perquisite and allowance
shall not exceed 35% of revised Basic Pay (01.01.2017).

2.0 Following Perquisite and Allowance shall form part of “Cafeteria Approach”
limited to 35% of Basic Pay.

Max % of Maximum exemption allowed from Requisite

SN Item(s)
BP salary certificates
Canteen No
1 Allowance/Meal 15 Upto Rs. 2,500/- p.m. documentation
Vouchers required.
Hostel Subsidy -
Rs. 300/- p.m. per child staying in
Children Hostel hostel for study.
Subsidy/ (for maximum of two children) Proof of payment
2 10
Education required.
Allowance Education Allowance –
Rs. 100/- p.m. per child.
(for maximum of two children)
Claim for LTC to
be submitted as
3 LTC 10 As per IT Rules
per prescribed
guidelines
Uniform
Undertaking as
4 Maintenance 10 Maximum of Rs 5,000/-
per Annexure A
Allowance
Expenses incurred on business
Undertaking as
newspapers, magazines, books,
per Annexure A.
technical journals, & membership/
Professional Proofs to be
examination/ training/ seminar fee etc.
5 Updation 10 submitted if
which adds value to professional
Allowance required by
knowledge of the employees.
Finance/ Income
Note: Allowed to professional
Tax Dept.
including Graduates.
Max % of Maximum exemption allowed from Requisite
SN Item(s)
BP salary certificates

PERQUISITE AND ALLOWANCES

Page 514
 Reimbursement
of Expenditure
6 5 Fully Taxable NA
in vehicle repair/
maintenance
Rs 3200/- p.m. only in case of blind or
orthopedically handicapped with
disability of lower extremities No
Transport Note: Exemption not allowed to documentation
7 15
Allowance employees who fall within the above required.
category and are provided car by
the Corporation for discharge of
official duties.
Domestic
8 Assistance 5 Fully Taxable NA
Allowance
Electricity
9 7 Fully Taxable NA
Allowance
Rs 900 per month
Note: Exemption not allowed to
Driver employees who fall within the above
allowance for category and are provided car by Undertaking as
10 10
rendering the Corporation for discharge of per Annexure A.
official duties official duties.

Undertaking as
per Annexure A.
(i) Executives up to E5- Rs 4,000/-
Attendant for Proofs to be
p.m.
11 Residential 10 submitted if
(ii) E6&E7 – Rs 5000/- p.m.
Office required by
(iii) E8 & above – Rs 6,000/- p.m.
Finance/ Income
Tax Dept.
Household
12 Utility Upkeep 5 Fully Taxable NA
Allowance
Reimbursement
13 of Membership 5 Fully Taxable NA
Club

Maximum percentage allowed (35%)

Effective from 01.01.2017

PERQUISITE AND ALLOWANCES

Page 515
3.0 Under the Cafeteria Approach, executives would be allowed to choose from the
existing basket of perks and allowances, at the beginning of the Financial Year
subject to the maximum limit of 35% of the basic pay. In case no fresh option is
exercised at the beginning of each financial year, the option exercised for the
preceding financial year, will continue till the end of the current financial year as
well.
3.1 On transfer, the employees shall be allowed to change the option.

3.2 The cafeteria payment shall be made on basis of certification.

3.3 Executive Trainees (ETs) will be paid perks and allowances @ 12 % of basic pay
during training period. The Perks and Allowances @ 12% of Basic Pay comprises
of Transport Allowance, Washing Allowance and Canteen Allowance. However,
on regularization, they shall be allowed to exercise option under ‘Cafeteria
Approach @ 35% by the end of the month following the month in which they are
regularized.

3.4 Employees placed under suspension shall be allowed only subsistence allowance
and shall not be eligible to opt for perquisite under the cafeteria.

3.5 Employees on long study leave, EOL or any grounds shall not be eligible to opt
for perquisite allowance under the cafeteria.

4.0 Employees should submit options for perks and allowances in the ‘Claims’
section on POSOCO’s Finance portal at the beginning every financial year.

5.0 Format for undertaking in respect of perquisites mentioned above at Sl. No. 4,5,10
& 11 is enclosed as Annexure-A. The same needs to be submitted to respective
Finance Department.

6.0 Any Changes in provisions of the Income Tax Act in respect of perquisites and
allowances shall be deemed to be applicable with effect from the date of their
implementation.

7.0 Employees who do not submit the proofs as required would be ineligible for
income tax exemption.

8.0 Employees shall be solely responsible for their income tax declarations and shall
be required to retain a copy of their declaration(s) along with necessary
documentary proofs for submission to Income Tax Authorities/POSOCO as and
when required.

PERQUISITE AND ALLOWANCES

Page 516
9.0 Payment on account of perquisite and allowance shall be subject to income tax as
per income tax act. Vouchers/documentary evidence if required may be
submitted for claiming exemption under Income Tax Act.

10.0 The responsibility of submitting the correct claim shall vest with the employee
and in case of any notice from the Income Tax Department due to wrong claim,
the same would be payable by the employee along with applicable interest and
penalty.

Reference:
(1) Corporate HR Circular No. 14/2018 dated 11.06.2018 (Pay Revision of Board
Level Executives and Below Board Level Executives w.e.f. 01.01.2017)
(2) Corporate HR Circular No. 9/2019 dated 29.03.2019 (Revision of Pay and
Benefits Structure for Employees in the Workmen Category)
(3) Corporate HR Circular No. 10/2019 dated 29.03.2019 (Revision of Pay and
Benefits Structure for Employees in the Supervisory Category)
(4) Corporate HR Circular No. 30/2019 dated 10.10.2019 (Submission of Option of
Perks and Allowances for the FY 2019-20)

PERQUISITE AND ALLOWANCES

Page 517
 Annexure
OPTION FORM FOR ALLOWANCES/PERKS UNDER “CAFETERIA”
FOR THE FINANCIAL YEAR…………………..

1. Name of the employee :

2. Designation/Department :

3. Employee No. :

Indicate
Max
Maximum exemption allowed Requisite below
SN Item(s) % of
from salary certificates the chosen
BP
option
Canteen
No documentation
1 Allowance/M 15 Upto Rs. 2,500/- p.m.
required.
eal Vouchers
Hostel Subsidy -
Rs. 300/- p.m. per child staying in
Children
hostel for study.
Hostel
(for maximum of two children) Proof of payment
2 Subsidy/ 10
required.
Education
Education Allowance –
Allowance
Rs. 100/- p.m. per child.
(for maximum of two children)
Claim for LTC to
be submitted as per
3 LTC 10 As per IT Rules
prescribed
guidelines
Uniform
Undertaking as per
4 Maintenance 10 Maximum of Rs 5,000/-
Annexure A
Allowance
Expenses incurred on business
newspapers, magazines, books, Undertaking as per
technical journals, & membership/ Annexure A.
Professional examination/ training/ seminar fee Proofs to be
5 Updation 10 etc. which adds value to submitted if
Allowance professional knowledge of the required by
employees. Finance/ Income
Note: Allowed to professional Tax Dept.
including Graduates.
Max
Maximum exemption allowed Requisite
SN Item(s) % of
from salary certificates
BP

PERQUISITE AND ALLOWANCES

Page 518
 Reimburseme
nt of
Expenditure
6 5 Fully Taxable NA
in vehicle
repair/
maintenance
Rs 3200/- p.m. only in case of blind
or orthopedically handicapped with
disability of lower extremities
No documentation
Transport Note: Exemption not allowed to
7 15 required.
Allowance employees who fall within the
above category and are provided
car by the Corporation for
discharge of official duties.
Domestic
8 Assistance 5 Fully Taxable NA
Allowance
Electricity
9 7 Fully Taxable NA
Allowance
Rs 900 per month
Note: Exemption not allowed to
Driver employees who fall within the
allowance for above category and are provided Undertaking as per
10 10
rendering car by the Corporation for Annexure A.
official duties discharge of official duties.

Undertaking as per
Annexure A.
(i) Executives up to E5- Rs 4,000/-
Attendant for Proofs to be
p.m.
11 Residential 10 submitted if
(ii) E6&E7 – Rs 5000/- p.m.
Office required by
(iii) E8 & above – Rs 6,000/- p.m.
Finance/ Income
Tax Dept.
Household
Utility
12 5 Fully Taxable NA
Upkeep
Allowance
Reimburseme
nt of
13 5 Fully Taxable NA
Membership
Club

Maximum percentage allowed (35%)

PERQUISITE AND ALLOWANCES

Page 519
 I hereby opt for the above perquisite and allowance for the financial year………..
restricted to 35% of Basic Pay.

Signature
Date:………….
For use in F&A Deptt.

1. Maximum entitlement of perks & allowances of employee: ……..………

2. Total amount opted by the employee : …………….

Accounts Assistant/Accountant
F&A Executive

PERQUISITE AND ALLOWANCES

Page 520
 Annexure-A
UNDERTAKING FOR AVAILING INCOME TAX EXEMPTION
Name:
Emp. No:
Designation:
Level:
Department:
Region:

A. Profession Updation Allowance

This is to state that I am incurring Rs……………………per month
from…………….2019 towards purchase of Business Newspaper/ Magazine etc. for
effective discharge of official duties.

B. Uniform Maintenance Allowance

This is stated that I am incurring Rs……………………..per month
from…………….2019 towards maintenance of Uniform as prescribed by company and
worn by me for performance of official duties.

C. Attendant for Residential Office

This is to state that I am incurring Rs………………….per month from……………2019
towards attend/ helper allowance at residential office.

D. Driver Allowance for render official duties

This is to state that I am incurring Rs………………….per month ……………2019
towards engagement of driver for running of my Car. The Car is
of……………………make and having registration No……………………………

This is also to state that I will incur expense of same amount for the remaining months of FY
2019-20 in respect of the above allowances. Based on this undertaking, kindly extend tax
benefits to the undersigned. IN case of any change in expense incurred by me, I will inform
Finance Dept. upto………………………….

I kept and I will keep the cash memo/bills for the above in my custody and shall submit the same
as and when required by Income Tax Authorities/ POSOCO. I shall be liable to pay income tax
on the amount not supported by evidence.

Date……………………
Signature…………………………

PERQUISITE AND ALLOWANCES

Page 521
 OVERTIME
ALLOWANCE

Page 522
 OVERTIME ALLOWANCE
1.0 Overtime Allowance is payable to employees in the non-executive category to
compensate for the work performed by them beyond normal working hours.

2.0 Definitions
“Overtime Work” means work done in excess of the prescribed hours of work
on any working day and includes work done on any Sunday/off or any other
Holiday. Holiday includes Saturday at Corporate Centre and NLDC/ RLDCs.

“Emoluments” means Basic Pay, Personal Pay, if any, Dearness Allowance and
City Compensatory Allowance, if any, only.

3.0 Entitlement of Overtime Allowance for Extra Hours Worked

For Supervisors and Workmen Category:

The ordinary rate of salary per hour = Emoluments*/208

*Where emoluments is basic pay, DA & Personnel Pay if any.

4.0 When an employee is recalled from his residence to perform overtime work,
Overtime Allowance may be paid for the entire period of overtime work (actual
hours worked) but excluding half an hour time for lunch/tea break where the total
overtime hours exceeds four.

4.1 For the purpose of compensation, the first half an hour and thereafter every period
upto half an hour are to be reckoned as half an hour. For example, an employee
working for 3 hours and 10 minutes (beyond prescribed hours of work) will be
allowed compensation for 3 1/2 hours.

However, deduction of 1/2 hour overtime in case of shift staff performing

additional shift duty in the absence of reliever shall not be made.

4.2 In case of working for the full prescribed hours of work on a holiday (including
Sunday/ off day), an employee may avail of one day compensatory off in lieu of
the monetary compensation, at his option. In case of working on these holidays
for part of a day’s work (8 hours), no compensatory off will be admissible; but
only monetary compensation for the period actually worked, at the ordinary rate
shall be allowed.

4.3 The compensatory-off accumulated during the calendar year should be availed
within the same calendar year after which it shall lapse.

OVERTIME ALLOWANCE
Page 523
4.4 The total Overtime Allowance payable to an employee shall not exceed 1/3rd of
hi “Monthly Emoluments” payable during the month. This shall be uniformly
applicable to all categories. However, in special cases, “Personal Staff” attached
to the officers of the level of General Manager and above, may be allowed
Overtime Allowance in excess of the ceiling, if the officers to whom they are
attached consider it necessary in the interest of the company’s work and record of
specific certificate to the effect that “the limit of 1/3rd of the monthly emoluments
is relaxed in the interest of company’s work”. But even in such cases, it shall not
exceed 50% of the “Monthly Emoluments”.

Not-withstanding the above, in case of staff car drivers, the ceiling in respect of
the Overtime Allowance payable shall be 100 hours in a month.

For working out the ceilings, the overtime performed on all days, including
Sundays/Off days/Holidays in a month vis-a-vis compensatory off granted in lieu
of overtime allowance will be taken into account.

4.5 A register of overtime work shall be maintained in the form given in Annexure-I
in which entries shall be made as and when overtime work authorised by the
Competent Authority is performed by the employee concerned.

4.6 The claim for overtime allowance shall be preferred by the employee concerned,
in the proforma at Annexure-II, for a full calendar month and after approval of the
Competent Authority, the same should be sent so as to reach the concerned
Finance Department by 10th of the following month, in order that the payment of
overtime allowance for employees in any given month can be made along with
the salary of succeeding month.

4.7 In order to ensure that the overtime working and payment thereof is kept within
reasonable limits, Head of Department/Controlling Officers may organise the
work in their departments/groups in such a way as to complete it during the
normal working hours, so that as far as possible no employee is detained on
overtime work. For this purpose, monthly reports (separate reports for Workmen
and Supervisors) as regards payment of Overtime Allowance made to the
employees in every month shall be prepared by the concerned Finance &
Accounts Department and submitted by 10th of the following month to the
Director (Finance), in case of Corporate Centre and Head of the RLDC/ NLDC, if
otherwise, with a copy to Corporate HR deptt.

5.0 In case of any doubt in regard to interpretation of any of the above provisions and
also in respect of cases not covered herein, the matter should be referred to
Corporate HR deptt. for clarification.

OVERTIME ALLOWANCE
Page 524
 ANNEXURE-I

OVERTIME REGISTER

S.No Name and Designation Hours of Hours of Nature of Why the Initials of
employees of the emp. overtime overtime work work the
no. Required to work work performed could not competent
perform authorised performed during be authority
overtime by the by the overtime performed
work competent employee hours during
authority prescribed
hours of
work
1 2 3 4 5 6 7 8

OVERTIME ALLOWANCE
Page 525
OVERTIME ALLOWANCE
Page 526
OVERTIME ALLOWANCE
Page 527
 MONTHLY
REIMBURSEMENT OF
CONVEYANCE
EXPENDITURE

Page 528
 MONTHLY REIMBURSEMENT OF CONVEYANCE EXPENDITURE
1.0 Objective
1.1 The Scheme of Reimbursement of Conveyance Expenditure is introduced with a
view to encourage employees of the Company to own and maintain their own
conveyance and to use such conveyance on journeys undertaken for official
purposes thereby reducing demands on use of the Company’s vehicles and
promoting speedy and efficient performance of official duties.

2.0 Scope and Coverage

The Scheme will cover all employees of the Company, including the
deputationists.

3.0 Eligibility
Reimbursement shall be admissible to the employee subject to fulfilment of the
following conditions of eligibility:

3.1 Ownership and maintenance of conveyance by the employee is required on

functional basis in the interest of the Company and it will be useful in the efficient
and effective discharge of his official duties.

3.2 The employee is required to perform frequent local journeys on the Company’s
business.

3.3 He is required to attend to official business beyond normal duty hours for which
no Company transport or extra compensation is admissible.

3.4 Reimbursement will be allowed for one vehicle only provided it is owned and
registered in the name of the eligible employee and he holds a regular and valid
driving licence (including learner’s driving licence), to drive the vehicle so
registered.

4.0 Rates

4.1 Expenditure incurred on conveyance and use of own conveyance on journeys

undertaken for official purposes shall be reimbursed monthly in terms of quantum
of litres of petrol for employees posted at RLDC/NLDC/CC as mentioned in
Annexure-A.

4.2 In order to Minimise POSOCO’s Carbon Footprint and encourage the employees
to adopt to greener fuel, the employees who have Electric Vehicles will be
reimbursed for expenditure on Electricity and Home Charging Infrastructure. The

MONTHLY REIMBURSEMENT OF CONVEYANCE EXPENDITURE

Page 529
 reimbursement amount will be commensurate to their respective eligibility as
mentioned in Annexure-A.

5.0 Terms and Conditions

Grant of monthly reimbursement of conveyance expenditure will be governed by
the following terms and conditions:

5.1 An employee who is entitled to reimbursement of conveyance expenditure shall

use his own conveyance for official journeys within the municipal limits of the
Headquarters or within a radius of 30 kms from the Headquarters, whichever is
more, for which he will not be entitled to claim any Local Travelling Allowance.

Provided, however, that when the local distance covered in such official journeys
is in excess of 200 kms in any single month, claim for local conveyance charges
will be admissible at rates prescribed under the rules. For this purpose an
employee will be required to furnish the details of official journeys performed
during the month by him indicating date, place, mileage and purpose of visits.

For the purpose of this rule, journeys from and to residence shall not be treated as
official unless taken on holidays.

5.2 An employee who is in receipt of reimbursement of conveyance expenditure

under this Scheme will not be eligible to avail of the Company’s staff car facilities
or any other subsidised transport facility.

Provided that clause Nos. 5.1 and 5.2 will not be applicable to official journeys
to/from Railway Station/Airport/Bus-Stand at the commencement of and on
return from tours to outstations.

Provided further that keeping in view the fact that some of the work place/sites
may not be accessible by motorable roads owing to the project being located on
virgin land with difficult terrain, in the new Project the Head of the RLDC/NLDC
wherever he is satisfied that it will be unreasonable to expect the employees to
travel to such work places/sites in their own scooters, cars etc., may declare,
depending on the stage of development of the roads etc., from time to time that
the employee in receipt of reimbursement of conveyance expenditure posted for
work to such work places/sites, may be permitted the use of Company transport
for official journeys for travel to the said work places/sites in special relaxation of
provisions of these rules. However such workplace/sites shall not include any
place/site which is approachable by motorable roads up to a point which is within
a reasonable walking distance from the said places/sites. A copy of each of such
orders of the Head of the RLDC/NLDC containing the list of such work
places/sites will be sent by the RLDC/NLDC for information and record of
Corporate HR Department and Corporate Finance.

MONTHLY REIMBURSEMENT OF CONVEYANCE EXPENDITURE

Page 530
 Provided, however, that where, subject to availability and in exceptional
circumstances, staff cars/Company transport are used in the performance of
official duties within the Headquarter limits, in the circumstances other than those
covered in the above provision, such user will be charged at the Company’s
private hire rates in force from time to time.

5.3 Employees who usually travel to and from the places of work in staff vehicles by
reason of such vehicles being parked in their residences or otherwise shall not be
eligible for reimbursement under these Rules.

5.4 Conveyance reimbursement will be admissible only on proportionate basis where

an employee is absent from the Headquarters/place of duty on
leave/tour/temporary transfer or otherwise or where the vehicle is not utilised for
official purposes owing to the same not being maintained in running condition for
a period in excess of 15 days inclusive of holidays in any calendar month.

The period in case of absence from the Headquarters/place of duty on account of

tour on transfer is to be reckoned with reference to the actual dates and time of
departure from and arrival at Headquarters/place of duty. In case of absence on
account of leave of any kind, the holidays pre-fixed and/ or suffixed are to be
ignored for the purpose of computation of total period of absence. The intervening
holidays, if any, occurring during the leave period shall however be taken into
account for this purpose irrespective of the nature of leave.

6.0 Procedure
6.1 An employee who satisfies the conditions of eligibility laid down herein may
apply in the prescribed form (Annexure-B) through proper channel to is Head of
the Department for the grant of monthly reimbursement of conveyance
expenditure under the rules. If the Head of the Department is prima facie satisfied
that it is necessary for the applicant (employee) to maintain and use his own
conveyance in the interest of company’s work, he will recommend for the grant of
the reimbursement and refer the application for the consideration of the
Competent Authority, viz. C.G.M. (HR) for Corporate Centre and Head of
respective RLDC/NLDC. The Chief General Manager/ Head of RLDC/NLDC, or
at his discretion a Committee constituted by him, will examine the application
with reference to the conditions of eligibility as provided herein. If he is satisfied,
or based on the recommendations of the said committee, as the case may be, he
will record his approval to the grant of the monthly reimbursement with effect
from the first day of the month following the date of application or the date of
registration of the vehicle, whichever is later.

However, in cases where the Competent Authority is satisfied that the registration
of the vehicle in the name of the applicant is likely to be delayed because of
reasons beyond his control, reimbursement may be granted provisionally with
effect from the first day of the month following the date of application provided

MONTHLY REIMBURSEMENT OF CONVEYANCE EXPENDITURE

Page 531
 that the applicant produces satisfactory documentary evidence in support of the
purchase and ownership of the vehicle from the date specified in the application.

6.2 In case of transfer, the Conveyance reimbursement shall continue from the date of
joining the new place of posting provided the employee was in receipt of the same
at his/ her previous place of posting. On transfer, the employee concerned shall
submit his request for grant of monthly conveyance reimbursement alongwith his/
her driving license/ driving license of his / her private driver, registration
certificate for the vehicle proposed to be used, a copy of the transfer order and the
declaration related to shifting of vehicle to the new place of Posting.

6.3 In case the vehicle being used to claim conveyance reimbursement ceases to be
registered in the name of the employee or expiration of the employee’s/driver’s
Driving License or change of driver, the employee shall immediately intimate the
same to the HR department.

6.4 The said Committee wherever appointed should meet at least once in a month
preferably in the first week of every month to consider the applications received
during the preceding month.

7.0 The expenditure incurred by an employee on account of conveyance expenditure

will be reimbursed every month along with the monthly salary/wage of the
employee concerned on the basis of the Sanction order.

For the above purpose, the concerned employee will be required to submit the
claim in the enclosed Proforma only on two occasions in a calendar year i.e. April
and October in respect of conveyance expenditure reimbursed to him/her for the
preceding 6 monthly period of October to March and April to September,
respectively. The claim for a given 6 monthly period must be submitted in the
prescribed format within the following two months, failing which the claim shall
become time-barred and the conveyance expenditure reimbursed for the 6
monthly period shall be recovered from the salary/wages of the employee
concerned.

8.0 The claims for reimbursement of journey in excess of 200kms in a month under
rule 5.1 shall be made in the prescribed form (Annexure-D, D-I) incorporating the
details of all official journeys performed by the employee at the end of each
calendar month provided that he certifies to the effect that Company’s vehicles
were not used by him in performance of such journeys for which the claim is
preferred. The claim will be sanctioned by the concerned Head of Department.

9.0 Cancellation
The employee entitled to reimbursement of conveyance expenditure under these
rules will, if he is no longer in possession of the vehicle through loss, sale, theft
etc., immediately report the matter to the HR Department with a copy to the

MONTHLY REIMBURSEMENT OF CONVEYANCE EXPENDITURE

Page 532
 Accounts Department. The HR Department shall thereupon notify cancellation of
the earlier order sanctioning monthly reimbursement of conveyance expenditure
under these rules.

10.0 General

Monthly reimbursement of conveyance expenditure under this scheme being on a

purely functional basis and not expected to be a source of profit and thus taxable
under the Income Tax Act 1961, it shall be expected of each employee in receipt
of the same to maintain full records of their official journeys in their own vehicles
for production before the Income Tax Department if and when required to
establish that what is paid under the scheme is by way of reimbursement of actual
expenses on travel in the performance of official duties in connection with
Company’s business. Such records will also form the basis for payment of
conveyance charges as envisaged in Clause 5.1 above.

*********

Reference:
(1) Corporate HR Circular No. 21/2018 dated 24.08.2018 (Revision in Scheme of
Monthly Reimbursement of Conveyance Expenditure)
(2) Corporate HR Circular No. 9/2019 dated 29.03.2019 (Revision of Pay and
Benefits Structure for Employees in the Workmen Category)
(3) Corporate HR Circular No. 10/2019 dated 29.03.2019 (Revision of Pay and
Benefits Structure for Employees in the Supervisory Category)
(4) Corporate HR Circular No. 7/2020 dated 27.05.2020 (Scheme for Monthly
Conveyance Reimbursement for Employees with Electric Vehicles)

MONTHLY REIMBURSEMENT OF CONVEYANCE EXPENDITURE

Page 533
 Annexure-A
Rates of Conveyance Reimbursement
Grade CC/NLDC/RLDCs
(All executives who are owning and (Litres of Petrol Per Month)
maintaining)
Four Wheeler
Upto E2(50000-160000) 75 Litres
E3(60000-180000) 75 Litres
E4(70000-200000) 95 Litres
E5(80000-220000) 95 Litres
E6(90000-240000) 110 Litres
E7(100000-260000) 110 Litres
E8(120000-280000)& above 120 Litres
Motor Cycle/Scooter
All Executives 45 Litres
Moped
All Executives 20 Litres
*The petrol price notified as on 15th of every month in respective locations of
CC/NLDC/RLDCs shall be taken into consideration for payment of monthly conveyance
reimbursement.
Grade CC /NLDC/RLDCs
(Litres of Petrol Per
Month)
WORKMEN
Two Wheeler
W0 to W11 30 Litres
WSG 45 Litres
Four Wheeler
W0-W6 50 Litres
W7-W10 55 Litres
W11-WSG 60 Litres
Moped
All Workmen 20 Litres

MONTHLY REIMBURSEMENT OF CONVEYANCE EXPENDITURE

Page 534
 Grade CC /NLDC/RLDCs
(Litres of Petrol Per
Month)
SUPERVISORS
Two Wheeler
S1-S4 30 Litres
SSG 45 Litres
Four Wheeler
S1-S3 55 Litres
S4-SSG 60 Litres
Moped
All Supervisors 20 Litres

*The petrol price notified as on 15th of every month in respective locations of

CC/NLDC/RLDCs shall be taken into consideration for payment of monthly conveyance
reimbursement.

ANNEXURE-B

MONTHLY REIMBURSEMENT OF CONVEYANCE EXPENDITURE

Page 535
 SCHEME OF MONTHLY REIMBURSEMENT OF CONVEYANCE EXPENDITURE
APPLICATION FORM

Name :

Employee No :

Department Code No. :

Designation :

Salary Grade :

Department :

Type of vehicle owned :

& used for official work

Whether vehicle :
is registered in your name

Type and Number :

of Driving Licence
in possession

Date of purchase of vehicle

Registration No. :

Date from which vehicle :

is being used for official journeys

Place of posting :

I have gone through and understood the rules and conditions governing admissibility of monthly
reimbursement of conveyance expenditure as detailed in the Scheme. I certify that the maintenance
and use of my own conveyance will be in the interest of Company’s work. I do hereby undertake that,
if the reimbursement of conveyance expenditure is granted under the Scheme, I will abide by the
terms and conditions laid down therein.

I have declared the information regarding purchase of the conveyance to HR/Vigilance Department
and copy of the same is enclosed.

Date : Signature of the employee

(Recommendation of the Controlling Officer)

May/May not be sanctioned.

MONTHLY REIMBURSEMENT OF CONVEYANCE EXPENDITURE

Page 536
 Date :

Signature
————————————————————————————————————
(Recommendation of the Head of Department)

It is certified that the applicant is functionally required to undertake journeys for official
work. As such maintenance and use of his own conveyance will be the interest of
Company’s work.

I, therefore, recommend sanction of reimbursement to Shri ........................................

under the Company rules.

Date :
Signature

(For Official Use only)

The application has been duly examined with reference to the conditions of eligibility
prescribed under the relevant rules. I am satisfied that the applicant is eligible for
reimbursement of conveyance expenditure under the Scheme.

Date :
Head of HR
Not below the rank of DGM

Shri ................................................................ is hereby granted reimbursement of

conveyance expenditure subject to a maximum of Rs. .............................................. per
month with effect from .........................................

Head of HR
_________________________________________________________________

MONTHLY REIMBURSEMENT OF CONVEYANCE EXPENDITURE

Page 537
 Annexure-C

CLAIM FOR
REIMBURSEMENT
OF MONTHLY
CONVEYANCE
EXPENDITURE

CC/NLDC/RL Deptt. Code Name Employee No Claim Month

DC

S. Claim Year Period of Non-utilisation of Type of Vehicle Amount

N Month Vehicle(Tour All types of (Car/Motor Cycle/ Claimed (Rs)
o. Leave, C-off etc) Scootor/Moped) &
Vehicle No)
1.
2.
3
4
5
6

Grand Total _____________

CERTIFICATE
1. I have maintained the above mentioned vehicle in proper running condition and utilised the
same in performance of official journeys except during the period indicated above.

2. The Company’s vehicle has not been used by me in performance of official journeys in
any month in the above period or to any of the places/sites other than those specifically
excluded/allowed by orders under the second provision to Rule 5.2.

Signature of the Claimant

Name
.......................................................
Designation
..............................................
Department
...............................................
Date

MONTHLY REIMBURSEMENT OF CONVEYANCE EXPENDITURE

Page 538
 .........................................................

(For use in Accounts Department)

Passed for payment of Rs. Received

…….................................................... Rs…………………………………………………
………
(in words)
............................................................................ Rs…………………………………………………
.......... ………………. Only

1 4 0 6 0 4

Rs P
Account Code Amount

Jr. Officer (Acct)/Accounts Asstt Signature of

Employee
Concerned Finance Executive

Date:……………………………
Date:

MONTHLY REIMBURSEMENT OF CONVEYANCE EXPENDITURE

Page 539
 ANNEXURE-D

CLAIM FOR REIMBURSEMENT

FOR EXCESS JOURNEYS IN A MONTH
To

Accounts Officer

1. Name :

2. Employee No. :

3. Department Code No. :

4. Designation :

5. Salary Period :

6. *Total Distance Covered in official journeys: ( _____________ kms.)

*Details of official journeys performed during the salary period mentioned above are given in the
prescribed proforma at Annexure D-1.

7. Rate : Rs. _________________/km.

8. Amount Claimed : Rs. _________________

I certify that :

1. The journeys were performed for official purposes.

2. The Company’s vehicles were not used by me in performance of official journeys to any of the
places/sites.

Signature of the Employee Signature of Head of the Department

——————————————————————————————————
(For use in Accounts Department)
Passed for payment of Rs. _____________ (Rupees ____________________only)

Jr. Officer (Acct.) Concerned Finance Executive

ACQUITTANCE
Recovered Rs. __________ (Rupees ____________________________________ only)

Date .................... Signature of the Claimant

MONTHLY REIMBURSEMENT OF CONVEYANCE EXPENDITURE

Page 540
 ANNEXURE D-1

DETAILS OF OFFICIAL JOURNEYS

( _____Month 20 ____ )
1. Name :

2. Employee No. :

3. Department :

4. Designation :

S.No Details of Visit Distance Mode of Purpose Remarks

_________________________________ (Km.) Transport

From To Date

MONTHLY REIMBURSEMENT OF CONVEYANCE EXPENDITURE

Page 541
SCHEME OF MOBILE PHONE
FACILITY FOR EMPLOYEES

Page 542
SCHEME OF MOBILE PHONE AND RESIDENTIAL LANDLINE PHONE
FACILITIES
A. For Executives
1.0 Objective
In order to enhance the executive effectiveness for improvement in the
productivity of the organization, mobile phone connectivity shall be provided to
all executives in addition to reimbursement of expenses incurred on residential
landline phone connection to executives from E6 and above level.

2.0 Eligibility
2.1 All Executives are eligible for mobile phone and Broadband (including rental) on
land line connection and data card service (including rental) at their residence.

3.0 Rate of Reimbursement

3.1 Monetary ceiling for reimbursement of call charges and rentals are as under:

Level Entitlement per month (Call Charges + rentals)

subject to actual and financial year ceiling limit
excluding all taxes. (Mobile & Landline at
residence)
Per month Adjustable within an
(Rs.) annual ceiling limit of
(Rs):
Upto E5 1000.00 12000.00
(Rs.80000-220000)
E6 1500.00 18000.00
(Rs90000-240000)
E7 2000.00 24000.00
(Rs.100000-260000)
E8 3000.00 36000.00
GM/Sr. GM
(Rs.120000-280000)
E8 4000.00 48000.00
CGM
(Rs.120000-280000)
E9 Unlimited. Unlimited.
(Rs.150000-300000)

The use of Broadband (including rental) on land line connection and data card
service (including rental) shall be allowed to all executives within the above
mentioned ceiling limits.

SCHEME FOR MOBILE PHONE FACILITY FOR EMPLOYEES

Page 543
3.2 Monetary ceiling for Purchase of Communication Devices i.e Mobile
instrument, phablet, Tablet, i-pad shall be as under:-

Level Rate (Rs.) (Excluding all taxes)

Executives upto E3 13000.00
(Rs.60000-180000)
E4 (Rs.70000-200000) & 16000.00
E5 (Rs. 80000-220000)
E6 (Rs.90000-240000) 24000.00
E7 (Rs.100000-260000) 30000.00
E8 (Rs.120000-280000) 40000.00
E9 (Rs.150000-300000) 50000.00

3.3 Reimbursement towards cost of mobile battery charges shall not be admissible.

4.0 Other Terms Conditions

4.1 The mobile will have life of two years. The reimbursement of cost of mobile set
will be allowed only after the lapse of two year from the date of purchase. All
eligible employees may procure a mobile set of their choice with the above
ceiling and submit the claim in the Contingent form alongwith bill/cash memo to
HR Department for recording / forwarding to F&A department for
reimbursement.

4.2 In order to derive maximum benefit of discount from the service providers based
on volume of business all the connections of mobile phones as well as landline
connections shall be in name of POSOCO and shall be allotted to executives on
application to Corporate Administration at Corporate Centre and Head of HR in
the NLDC/RLDC.

4.3 Employees who have already availed the reimbursement of communication

devices shall be entitled for revised amount mentioned above only after the lapse
of two years. Mere change in entitlement on account of change in level, before
completion of stipulated life period of communication devices would not entitle
an employee to change the communication device.

4.4 Reimbursement of cost of communication devices within the above ceiling limit
by the executive shall be made on submission of bill/cash memo.

4.5 In case of resignation before the completion of two years recovery of mobile set
shall be made on pro-rata basis. However no recovery shall be made in case of
death/ superannuation of employee.

SCHEME FOR MOBILE PHONE FACILITY FOR EMPLOYEES

Page 544
4.6 The annual financial year ceiling limit of call charges plus rentals in case of
Executives who have joined/ separated during the financial year will be calculated
on pro-rata basis.

4.7 Executives incurring expenditure on official calls more than the entitlement limits
shall required to obtain specific approval of concerned Director at Corporate
Centre and Head of the RLDC/NLDC.

B. For Workmen and Supervisors

5.0 Rate of Reimbursement

5.1 Monetary ceiling for reimbursement communication expenses are as under:

Official call charges (Entitlement per month) ( call charges + rental of

mobile, landline at residence, broadband (including rental) and data card
service (including rental) subject to actual and financial year ceiling limit,
excluding all taxes)
Grade Adjustable within an annual ceiling limit of :
All Workmen Rs. 10000.00
All Rs. 11000.00
Supervisor

5.2 Monetary ceiling of reimbursement for Mobile Instrument

Grade Ceiling (INR)-Once in 2 years

(Excluding all taxes)
W0 to W6 8000.00
W7 & above 10000.00
All Supervisors 11000.00

5.3 On purchase of mobile instrument, the reimbursement will be made on

submission of claim in the contingency form along with Bill/cash memo to HR
department for recording/ forwarding to F& A department.

5.4 The life span of mobile set will be 02 years. The Workmen/ Supervisor will be
eligible for reimbursement of mobile set after lapse of 02 years from the date of
previous purchase.

5.5 The monthly call and rental charges will be paid on submission of claim in
the contingency form alongwith supporting bills in the name of employee.
“Personal call charges” if any has to be intimated by employee for recovery.

SCHEME FOR MOBILE PHONE FACILITY FOR EMPLOYEES

Page 545
5.6 In case of resignation before completion of time span of 02 years, recovery shall
be made on pro-rata basis for instrument charges. However no recovery shall be
made in case of death/ superannuation of the employee.

6.0 Management has decided that all employees shall be eligible for reimbursement
of expenses incurred towards use of a second sim card (from any service provider
of the employee’s choice), within their entitlement of communication expenses as
mentioned above in accordance with Corporate HR Circular No. 08/2020 dated
12th June 2020.

Reference:
(1) Corporate HR Circular No. 18/2018 dated 03.08.2018 (Scheme of Mobile
Phone facility to Executives – Modification thereof)
(2) Corporate HR Circular No. 10/2019 dated 29.03.2019 (Revision of Pay and
Benefits Structure for Employees in the Supervisory Category)
(3) Corporate HR Circular No. 9/2019 dated 29.03.2019 (Revision of Pay and
Benefits Structure for Employees in the Workmen Category)
(4) Corporate HR Circular No. 8/2020 dated 12.06.2020 (Mobile Phone Facility
‘Reimbursement towards use of Second SIM.” – Modification thereof)

SCHEME FOR MOBILE PHONE FACILITY FOR EMPLOYEES

Page 546
 LAPTOP TO
EMPLOYEES
INCLUDING TRAINEES

Page 547
 LAPTOP TO EMPLOYEES INCLUDING TRAINEES

1.0 One laptop computer shall be provided to all employees (i.e Executives, Supervisors and
Workmen), including Trainees, once in Four Years, for official purposes, keeping in view
the nature of operations of POSOCO and also to ensure smooth conduct of the business.

Accordingly, the ceiling limit for purchase of Laptop Computer for all regular employees
including trainees will be as under:

Category of Employees Ceiling limit for purchase of Laptop

(Including Trainees in each Category) Computer (in Rs.)
Executives 60000/-(Rs. Sixty Thousand Only)
Supervisors 55000/-(Rs.Fifty five Thousand Only)
Workmen 45000/-(Rs. Forty Five Thousand Only)

2.0 While purchasing laptop computer, eligible Employee shall strictly adhere the procedure
as mentioned in Annexure-I related to fulfilment of minimum technical specifications.
Employees shall compulsorily purchase the Laptop computer using Credit/ Debit card or
internet banking only through website of OEMs or e-retailers such as Amazon, Flipkart
etc. Laptop Computer can also be purchased through reputed electronic stores such as
Croma etc. but the payment has to be compulsorily done through Credit/ Debit card or
net-banking transfers.

3.0 The concerned employee after purchase of laptop computer should submit the necessary
bill/cash memo on the Prescribed Format (Annexure-II) along with self-attested copy of
original bill to the Finance Department after obtaining Certificate of eligibility from HR
Department and get the details entered in Books of Stores Department by the Concerned
Executive after submission of copy of invoice for records.

4.0 The Employee can also purchase higher end laptop computer as per his/her
choice/requirement over and above the prescribed ceiling limit but the reimbursement in
such case shall be restricted to his/her ceiling limit as prescribed above.

5.0 Invoice should contain a) Company Name i.e “Power System Operation Corporation
Limited“, b)Employee Name, c)Employee Number and d)Address of Delivery.

For Example INVOICE

Name :Mr/Mrs XYZ(Employee N……….)
Company Name :Power System Operation Corporation Limited
Address of Delivery :…………………………………

SCHEME FOR LAPTOPS TO EMPLOYEES

Page 548
6.0 The life span of the laptop computer shall be 4 years period from the date of its claim. At
the end of 4 years, employees have to compulsory buy-back the laptop computer at
residual value of 2% and thereafter shall be eligible for new laptop computer.

7.0 In case of separation of employee on-account of resignation or superannuation, the

employee has to compulsory buy-back the laptop computer as follows:

Time period from date of claim of laptop Buy-back value

Up to 01 year 50% of cost of laptop.
More than 01 year but upto 03 years 25% of cost of laptop.
More than 03 years 2% of cost of laptop.

8.0 In case of death of an employee, residual value of laptop computer shall be treated as
NIL.
9.0 In case the employees have been previously provided laptop computer then they shall be
eligible for new one on completion of 04 years period from date of purchase.

10.0 In case of any return/ replacement issues, the same will be settled by the employee before
submitting his/her claim of reimbursement of laptop.

11.0 General:

11.1 The laptop computer so purchased is meant for official work and will be the property of
the Company until its buy-back by the employee.

11.2 No unauthorised/unlicensed software should be loaded on laptop computer. Any liability

arising out of non-licensed software loaded by an employee in the laptop computer has to
be borne by the employee himself/herself. In case user needs standard Microsoft office,
the same shall be allowed within the overall ceiling limit.

11.3 The company reserves the right to verify the laptop computer as and when deemed fit.

11.4 Employees shall also furnish the prescribed certificate for Company asset in prescribed
format every year on every 31st March to Stores/HR Department for Asset verification
(Annexure-III).

11.5 No insurance/docking stations shall be provided by the company.

11.6 The laptop computer so purchased will remain with the employee in the event of transfer
also.

11.7 The purchased laptop computer should be verifiable branded laptop computer and not any
local assembled laptop computer.

11.8 Since, the employee has been allowed to purchase Laptop computer from open market/ e-
retailers, the sole responsibility and entire onus shall be of respective employees

SCHEME FOR LAPTOPS TO EMPLOYEES

Page 549
 regarding the veracity/ authenticity of the transaction and to the effect, an undertaking
shall also be taken from the employees, while lodging the claim which is attached at
Annexure-IV.

11.9 Employees under suspension or employees who have tendered their resignation and their
resignation case is under process shall not be eligible for laptop computers.

12.0 The company reserves the right to modify, cancel, add or amend any of these rules.

************

Reference:
(1) Corporate HR Circular No. 03/2017 dated 09.06.2017 (Laptops for Executives on
One Time basis)
(2) Corporate HR Circular No. 36/2018 dated 11.12.2018 (Laptop Computer to all
Employees Including Trainees)
(3) Corporate HR Circular dated 13.02.2020 (Provision of Laptops to Regular
Employees – Buy Back Value thereof)

SCHEME FOR LAPTOPS TO EMPLOYEES

Page 550
 Annexure-I

Minimum Technical Specifications for Laptop Computer

S.No Description Minimum Technical Parameters

(Laptop with Windows/Linus OS)
a. Processor Intel Core i5 7th Generation (or equivalent processor)
b. RAM 4 GB
c. Storage 500GB SATA HDD/ 128GB SSD, Optional : DVD
ROM/RM Drive
d. Display Colour Display Antiglare and integrated HD graphics
e. Integrated Port/ Audio with inbuilt Mic & Speaker, Ethernet port (100/1000
Interfaces/ devices MBPS), Keyboard (Backlit/Non-backlit) , Track/touchpad,
Standard Indian Adapter and battery Back-up
f. Operating System Windows/ Linux 64 bit OS and Antivirus (AV), MS
Office/open office as per desired choice
g. Warranty Standard OEM Warranty

S.No Description Minimum Technical Parameters

(Apple make Laptop)
a. Processor Apple make Laptop
b. RAM 4 GB
c. Storage 500GB SATA HDD/ 128GB SSD, Optional : DVD
ROM/RM Drive
d. Display Colour Display Antiglare and integrated HD graphics
e. Integrated Port/ Audio with inbuilt Mic & Speaker, Thunderbolt/ USB to
Interfaces/ devices gigabit Ethernet adapter, Wi-fi & Bluetooth, USB ports, HD
Webcam, Thunderbolt port
f. Operating System Preloaded Mac OS-x and apple office suite, Optional/; MS
Office for Mac.
g. Warranty Standard OEM Warranty

SCHEME FOR LAPTOPS TO EMPLOYEES

Page 551
 Annexure-II
CLAIM FORM FOR REIMBURSEMENT OF LAPTOP
Name: Employee No.:

Designation: Department:

RLDC/NLDC/POSOCO CC:

• As per HR Circular No………………………. dated ………………..for laptop; I hereby

certify my eligibility for the laptop.

• I have procured a laptop as per the provisions of the circular and the minimum specifications
have been adhere to.

• A self-attested copy of Original Bill

No…………………..…………………………………dated……………………..bearing Sl.
No………………………. of of Rs…………………………………………….in the name of
“Power System Operation Corporation Limited, Name of
Employee:………………………………………………………………………………….,
Emp. No…………………………..”is enclosed.

I may be reimbursed the cost of the laptop.

Date:……………………………….. (Signature of Employee)

(Signature of HOD)

The employee is eligible for reimbursement of laptop.

(Signature of Concerned HR Executive)

Entered in the stores Records on dated………………………………

(Signature of Store In-Charge)

SCHEME FOR LAPTOPS TO EMPLOYEES

Page 552
 Annexure-III

CERTIFICATE FOR COMPANY ASSET - LAPTOP COMPUTER TO BE

SUBMITTED TO STORES DEPARTMENT AS ON 31st MARCH
………………EVERY YEAR

Name: Employee No:

Designation: Department:

RLDC/NLDC/CC:

This is to certify that laptop bearing Sl.No :………………………. Issued to me for

official work is in working condition.

Date :…………………………………………….

Signature of employee:……….………….

SCHEME FOR LAPTOPS TO EMPLOYEES

Page 553
 Annexure-IV
DECLARATION TO BE GIVEN BY EMPLOYEE

• I hereby certify my eligibility for the Laptop under the scheme.

• I hereby certify that no departmental laptop/ under the Scheme of facilities/ monetary ceiling of
facilities provided to Key official and senior executives has been provided to me and if the laptop has
been issued to me, the period of 04 years has lapsed.

• I hereby certify that no laptop has been provided under pervious scheme/ the period of 04 years has
lapsed after the issue of previous laptop.

• I have repaid outstanding computer advance along with interest in full.

• I, also hereby give an undertaking that at the end of 04 years from the date of purchase of laptop, I
shall buy back the laptop at the residual value decided by the POSOCO. ( in case of executives and
supervisors)

• In the event of my separation from the services of the Company before 04 years from the date of
claim of the laptop, I shall buy back the laptop at the applicable buy-back value.

• A self-attested scanned copy of the bill for the claimed amount bearing the name and address of the
employee is attached herewith.

• I undertake that the laptop purchased by me meets the prescribed specifications and warranty period,
as mentioned.
• I may be reimbursed the cost of Laptop.

• “The bill is being claimed by me for ……………………………………………………………

(items). The bill (in original) shall be kept/ retained by me for the entire life of the laptop computer i.e
04 years from the date of claim and I shall produce the Original bill as well as Laptop computer
before the concerned authorities for verification, whenever I am asked for it. If I fail to produce the
same, the entire amount claimed shall be recovered/ deducted from ensuing salary without any further
notice. I understand that in case and false/ forge claim is submitted by me, in addition to the recovery
of the entire amount, I shall also be liable for disciplinary action including termination as per CDA
Rules/ Service rules.”

Signature
Name of Employee:
Emp. No:
Designation:

To Finance Department.

SCHEME FOR LAPTOPS TO EMPLOYEES

Page 554
LIVERIES

Page 555
 LIVERIES
1.0 Preamble
In order to project a better image of the company and to ensure proper uniform
for employees, it is imperative to lay down standard of liveries to be issued to
the employees at the Corporate Centre as well as NLDC/RLDCs. These
regulations will be applicable to all the offices of the company.

2.0 Applicability
2.1 The employees borne on the regular establishment of the company including
Trainees on the rolls of POSOCO (except muster roll, daily rated, badli or
substitute employees) will be entitled for liveries to be provided at the cost of
the company irrespective of their date of joining the services of the company.

3.0 Scale of Uniform

3.1 The scale of uniform for the employees for the summer seasons as well as for
certain categories of employees for winter season and their frequency of issue
will be as detailed in Annexure-I.

3.2 No deviation from the approved pattern of uniform as well as scales and
frequency of issue is permitted, in order to have uniformity throughout the
POSOCO establishments.

As a rule, unauthorised emblem, signs or marks shall not be engraved/

displayed on the uniform.

4.0 Mode of Procurement

4.1 The procurement of cloth and other materials for the purpose of summer
uniforms will be done at Corporate Centre following codal formalities. In
order to ensure the issue of uniforms to the employees in time, adequate steps
should be taken sufficiently in advance of the commencement of the season to
procure cloth and other materials. The same should be procured from
manufactures directly or from their authorized agents, after consolidating the
requirements of various establishments.

4.2 The procurement of winter uniform will be done by RLDC/NLDC

Headquarter for respective RLDC/NLDC and at Corporate Centre, the
Administration Department shall arrange procurement through Materials
Department following codal formalities.

5.0 Stitching of Uniforms etc

5.1 The stitching work will be got done by the employees themselves and the
charges on this account shall be reimbursed by the company.

5.1.1 The design of the uniforms will be decided by Admn. Department, Corporate
Centre and notified to all the RLDC/NLDC so that there is no variation in the
design and pattern of different uniforms.

LIVERIES Page 556

5.2 The cost of shoes/sandles and socks will be reimbursed to employees subject
to prescribed ceiling limit.

5.3 The cost of Rain coat/water proof coat will be reimbursed to employees
subject to prescribed ceiling limit.

5.4 The reimbursement in respect of the calendar year in which the employee is
eligible for issue of liveries will be allowed on self-certification basis provided
the same is done before 31st March of subsequent calendar year failing which
the claim shall be time barred.

5.5 The woolen uniforms (woolen coat + woolen full pant) will be got stitched by
the employee themselves and the charges on this account shall be reimbursed
by the company on self certification basis, subject to prescribed ceiling limit.

5.6 Umbrella may be issued to an employee covered under these Rules based on
functional requirement as approved by the Head of Department. The total
requirement in a particular department should not exceed 20% of the total
strength of eligible employees. Umbrellas issued to employees will generally
be kept in office premises so as to make them available for use by other
employees in case of necessity unless otherwise authorised by Head of
Department.

5.6.1 The scale of umbrellas for eligible employees will be one umbrella for 3 years.

6.0 Record of Liveries

6.1 The receipt and issue of each article of livery will be recorded in the
concerned registers of liveries store of the Corporate Centre/ NLDC/ RLDCs.
The following registers will be maintained at the store regarding liveries :

i) Liveries Indent Register;

ii) Stock Register;
ii) Individual liveries Registers; and
iv) Receipt Book

6.2 When bulk material is received, the consignment shall be opened in the
presence of authorised representative(s) of the Management. The articles of
uniform when received will be checked with the indent placed and a
memorandum in triplicate will be prepared on the spot. A note about any
discrepancy will be given in the memorandum which shall be signed by the
authorised representative(s) of the Management. Further action regarding
discrepancies will be taken by the agency entrusted with the responsibility of
procurement etc. of liveries. Separate volume of registers will be maintained
by each office/ NLDC/RLDCs. Every individual to whom the liveries are
issued shall be provided with a kit card showing the dates and the articles and
quantity issued to him together with his signature. The receipt or issue of
every article will be entered in a register.

LIVERIES Page 557

7.0 Proper Use, Care and Maintenance of Uniforms
7.1 All employees who are provided with liveries to turn out in proper, clean and
properly pressed outfit. Failure to do so will constitute breach of discipline.
They will be responsible for care, custody and cleanliness of the uniforms.
Any garment lost, torn out or damaged due to negligence on the part of an
employee shall have to be replaced by the employee at his own cost.

8.0 General
8.1 Pending resignation of employee, no liveries shall be issued.

8.2 In case where any item of livery issued to an employee is lost due to theft or
fire, which is not attributable to his negligence, the issuing authority may, at
his discretion, issue fresh items of livery on receipt of a copy of the first
information report from the police or the fire authorities.

8.3 Breach of any of the conditions mentioned hereinbefore on the part of an

employee would make him liable to appropriate action under the rules of the
company.

Note : Distribution of Liveries/ Reimbursement of cash equivalent will be as

decided and notified by Management from time to time.

LIVERIES Page 558

 ANNEXURE-I
FULL DESCRIPTION, THE SCALE & PATTERNS OF UNIFORMS/LIVERIES

Sl. No. Category of Description & Scale of Summer Uniforms

Employees
Articles Frequency of Issue

1. 2. 3. 4.
1. Male employees a) Pant (worsted Grey) - Full Two per year

b) Shirt (sky blue) Two per year

c) Leather shoe (Black) or safety shoe One pair per year

(depending upon functional requirements
of the categories/ employees concerned)
d) Nylon socks (Black) One pair per year
ADDITIONAL ITEMS

For Sikh Employees : Two per year

Pugree/Voil (sky blue) 8.5
Mtrs.

2. Female Employees a) Saree (06 mtrs.) : having semblance Two per year
to the colour for male employees but of
lighter shade)

b) Blouse (01 mtr.) -do-

Or

a) Suit (05 mtrs.; Salwar Kameez) Two sets per year

b) Dupatta (21/2 mtrs.) Two pcs. Per year

c) Leather Sandle (Black) One pair per year

d) Nylon Socks (Black) One pair per year

3. Trainees recruited As per Sl. No. 1 for Male & Sl. No. 2 for
under Company’s own Female employees.
training schemes
4. All Employees Rain coat/water proof coat One in Four years

LIVERIES Page 559

SCHEME FOR SUPPLY
AND DISTRUBUTION
OF MEAL VOUCHERS
TO EMPLOYEES

Page 560
 SCHEME FOR SUPPLY AND DISTRUBUTION OF MEAL
VOUCHERS TO EMPLOYEES

Meal Vouchers upto a maximum value of Rs.2500/- per month shall be provided
to employees as against the component of Canteen Allowance under the
“Cafeteria Approach” for perquisite and allowances in the following manner:

1.0 M/s Sodexo SVC India Pvt. Ltd. (hereinafter referred to as the Agency) shall
supply Meal Vouchers to POSOCO for issuing to the employees of the
Corporation at the available locations.

2.0 POSOCO nominated Officer-in-charge(s) will place the order to Sodexo on the
scheduled date i.e 15th of each month. A copy of this communication shall also be
marked to respective Nodal Officers.

POSOCO nominated Officer-in-charge(s)/ Nodal Officers shall receive the meal

vouchers at the various identified locations and also arrange for their distribution
to the concerned employees.

i) The order can be sent by email to: Concerned Officer in-charge

ii) Based on the order, Sodexo will send the meal vouchers to the Officer-in-charge/
Nodal Officer at the respective locations; and invoice for the same shall be
forwarded to Officer-in-charge only. On receipt of this invoice Officer-in-charge
shall forward the same to F&A department and payment shall be released by
electronic transfer to Sodexo within 07 days from the date of receipt of Invoice.

3.0 Meal vouchers shall be requisitioned ( and paid for) on a regional basis by
Officer-in-charge nominated for following establishments:

Sl.No Location Address Office-In-

: Charge
1 Corporat Power System Operation Corporation DGM (HR-
th
e Centre Limited, 9 Floor IFCI Tower, Nehru Admn.)
Place, New Delhi-110019
2 NLDC Power System Operation Corporation Head of HR
Limited, B-9, 1st Floor, Qutab
Institutional Area, Katwaria Sarai, New
Delhi-110016
3 NRLDC Power System Operation Corporation Head of HR
Limited, B-9, Qutab Institutional Area,
Katwaria Sarai, New Delhi-110016

MEAL VOUCHERS
Page 561
 Sl.No Location Address Office-In-
: Charge
4 ERLDC Eastern Regional Load Dispatch Centre Head of HR
14, Golf Club Road, Tollygunge,
Kolkotta-700033
5 NERLD Northern Regional Load despatch Head of HR
C centre
Dongtieh, Lower Nongrah, Lapalang
Shillong-793006
6 SRLDC Southern Regional Load Despatch Head of HR
Centre
29, Race course Cross Road,
Bangalore-560009.
7 WRLDC Western Regional Load Despatch Head of HR
Centre
F-3, MIDC Area, Marol, Andheri (east)
Mumbai-400093

4.0 Corporate Coordinator: DGM (HR-Administration) shall be corporate

Coordinator.

5.0 Role of Officer-in-charge.

(i) Each Officer-in-charge shall identify the Nodal Officers, based on place of
posting of the employees, the sub-stations and other suitable locations where the
coupons will be delivered by the agency.

(ii) List of nodal officers alongwith their location address, mobile/ landline tel.no: and
email ID is to be forwarded by Officer-in-charge to central co-ordinator of the
agency.

(iii) Officer-in-charge shall forward copy of electricity bill/ landline telephone bill of
their office, an address proof of POSOCO office for each location where the
coupons will be delivered by the agency.

(iv) Officer-in-charge shall collect data for previous month in Excel File from Finance
department (payroll) regarding each employee drawing cash canteen allowance
under cafeteria approach and amount drawn by the employee during that month.
Data shall be complied, location wise for all identified locations (i.e
CC/NLDC/RLDCs) under the jurisdiction of Officer-in-charge.

(v) Officer-in-charge shall place the order by the 15th day of every month to the
agency in the prescribed format based on complied data received from Finance
Department of previous month.

MEAL VOUCHERS
Page 562
 (vi) Officer-in-charge shall forward copy of Order placed along with employees
details to Finance Department for recovery from their salary.

(vii) Officer-in-charge shall ensure the receipt of meal vouchers from individual
employees through Nodal Officer location wise for submission in Finance
Department of monthly basis.

6.0 Nodal Officer: Nodal Officers shall be nominated with the approval of Head-of –
NLDC/ RLDCs based on recommendation of concerned Head of HR. Nodal
Officer(s) for Corporate centre shall be nominated with the approval of Director
(HR).

6.1 Role of Nodal Officer

(i) A Nodal Officer shall be nominated to receive the coupons from the agency at the
identified locations.
(ii) The nodal Officer shall acknowledge the receipt of the coupons of the Officer-in-
charge by immediately returning one copy of delivery challan duly signed and
stamped.
(iii) Each Nodal Officer shall also arrange to handover/ distribute the coupons to the
employees listed against location based on their respective place of posting,
against proper receipt.
(iv) Nodal Officer shall ensure to forward the receipt of meal vouchers by the
individual employees to Officer-in-charge for onward submission to Finance
department.

7.0 Upon receipt of the orders, the agency shall make the arrangement of the packets
of coupons, location wise, in the name of the respective Nodal Officer and
arrange to deliver the packets to the concerned Nodal Officers. Each packet of
coupons will also contain the delivery challan (duplicate/ triplicate).

8.0 Any coupons which are unable to be distributed by the Nodal Officer shall be
retained by the Nodal Officer. Such coupons, if not distributed within one month
from the date of receipt of coupons shall be forwarded to Officer-in-charge
through security courier, which in turn shall be returned to the agency and credit
note obtained for the same to be adjusted with billing for the subsequent month.

9.0 On being relived upon transfer, an employee who is unable to collect his coupons
for the last month at his previous place of posting may opt for the same at his new
place of posting, which may be requisitioned alongwith his share of coupons for
the subsequent month.

10.0 Employees who have opted Canteen Allowance/Meal Voucher (15% of basic pay)
within 35% of cafeteria approach shall be eligible for canteen allowance/ meal

MEAL VOUCHERS
Page 563
 vouchers during the financial year. The amount of meal vouchers to be issued to
employees shall be as per actual or not exceeding Rs.2500/- per month.

For subsequent year(s), employees who have not opted for canteen allowance and
are desirous to get the meal vouchers may submit their revised option for
perquisite under cafeteria approach by 15th April to Finance Department as per
prescribed format, with a copy to Officer-in-charge.

11.0 Employees who have opted Canteen allowance but are not desirous to avail the
meal vouchers should confirm in writing to the Officer-in-charge/ Nodal Officer
and they shall then be exempted from the Scheme from the following month till
the end of financial year.

12.0 It may be possible that for new joinees or employees relived upon transfer, the
period in transit may result in non-inclusion of their name in the list for meal
vouchers. Such employees may also opt for such missed-out vouchers, which may
be requisitioned alongwith their shares of coupons for the subsequent month.

13.0 The employees shall be responsible for the safe custody of coupons issued to him/
her and company shall be responsible to replace lost or damaged coupons. The
employees shall also ensure to avail the coupons within the validity period and
company shall not entertain any request for revalidation in such cases.

14.0 The agency will deliver the vouchers in sealed packets. Consignments if not
found in sealed cover should be received and intimation of the same to be sent by
concerned nodal officer to agency office immediately.

15.0 Officer-in-charge/ Nodal Officer shall ensure that meal vouchers received for a
particular month are distributed to all the employees by end of that month or latest
by first week of following month.

16.0 Employees should check the total amount of meal vouchers at the time of
collecting the meal vouchers Booklet/ Card (Physical/ Virtual) only. No
complaints regarding receipt of less number of meal vouchers will be entertained
afterwards.

17.0 It is quite possible that an employee may not be present on the day of distribution
of meal vouchers. It is therefore provided that such an employee may be given an
authority letter in the name of another employee to collect the meal voucher
Booklet/ Card (Physical/ Virtual) on his/her behalf. Based upon the authority
letter the meal vouchers Booklet/ Card (Physical/ Virtual) may be handed over to
the authorized employees under the acknowledgement.

18.0 Meal Vouchers shall be valid for minimum period of six months.

MEAL VOUCHERS
Page 564
19.0 Under no circumstances meal vouchers can be exchanged for cash. Likewise, if
value of food items used by the employee is less than the value of meal vouchers
given to the affiliates, the employee will not be given cash for the balance
amount.

20.0 Various food establishments/ General stores/ Hotels etc. (affiliates) where the
meal vouchers can be used, are identified by the sticker displayed outside the
affiliated establishment.

21.0 In case of any complaints as regards non acceptance of meal vouchers by the
affiliates etc. the same should be intimated though email to the agency.

***************

Reference:
(1) Corporate HR Circular No. 30/2019 dated 10.10.2019 (Submission of Option of Perks and
Allowances for the FY 2019-20)

MEAL VOUCHERS
Page 565
 Annexure.

ORDER FORM FOR MEAL VOUCHER/ FOOD COUPONS.

Sl.No: Location Nodal Officer Meal Vouchers

Amount (Rs.)

Signature of the Officer-in-charge.

Name & Designation of Officer-in-charge.

(Location wise compilation of above should be printed on POSOCO Letter head and same
should be emailed to M/s Sodexo along with annexure detailed below)

………………………………………………………………………………………………………
……………………………………………

ANNEXURE FORM FOR MEAL VOUCHER/ FOOD COUPONS

Sl.No: Location Nodal Officer Employee Emp.No: Meal

Name Voucher
amount (Rs)

(Details to be provided in MS- Excel format only)

MEAL VOUCHERS
Page 566
BENEFITS TO EMPLOYEES
POSTED IN FOREIGN
COUNTRIES FOR
CONSULTANCY
ASSIGNMENTS

Page 567
 BENEFITS TO EMPLOYEES POSTED IN FOREIGN COUNTRIES FOR
CONSULTANCY ASSIGNMENTS

A) Allowances and other benefits to the employees posted in SAARC countries

(Bangladesh, Bhutan, Maldives, Nepal, Afghanistan, Sri Lanka) and in
Dubai & Nigeria for Consultancy Assignment

1.0 POSOCO has been providing consultancy services in foreign countries like
Dubai, Bhutan, Afghanistan, Bangladesh etc. In near future, company is expected
to get some more assignments from other SAARC countries. To carry-out the
consultancy assignment, employees are/ and will posted in these countries. This
scheme of Allowances & Benefits applicable to employee posted in all SAARC
countries (excluding Pakistan) and Dubai & Nigeria.

2.0 The Allowances & Benefits applicable to employees posted in SAARC countries
except Pakistan) and in Dubai & Nigeria will be as under:

Bangladesh, Maldives, Sri Lanka, Afghanistan, Dubai & Nigeria

(Allowances subject to condition given in 2.1.)

Level Cash Accommodation Local Conveyance

Allowa charges actual subject actual subject to
nce to maximum (per day) maximum (per
(per US$ day) US$
day) Stay Beyond 30 Stay Beyond
US$ upto 30 days upto 30 30 days
days days
(1) (2) (3) (4) (5)
E8/E9 56.25 108 54 24 12
E7 50 96 48 24 12
E4-E6 43.75 84 42 24 12
E3&below 37.50 72 36 24 12

Note: In case of stay beyond 30 days, accommodation and conveyance charges for
the first 30 days shall be paid as per column 2& 4 and for the rest period as per
column 3 & 5.

BENEFITS TO EMPLOYEES POSTED IN FOREIGN COUNTRIES ON CONSULTANCY ASSIGNMENTS

Page 568
 Nepal & Bhutan
Level Cash Accommodation Local Conveyance
Allowa charges actual subject actual subject to
nce Rs. to maximum of Rs.(per maximum of Rs.
(per day) (per day)
day) Stay Beyond 30 Stay Beyond
upto 30 days upto 30 30 days
days days
(1) (2) (3) (4) (5)
E8/E9 2530 4860 2430 1080 540
E7 2250 4320 2160 1080 540
E4-E6 1970 3780 1890 1080 540
E3&below 1690 3240 1620 1080 540

2.1 Other regulatory provisions related to allowances:

(a) Cash Allowance

To meet expenditure on food and other incidentals, Cash Allowance at rates
mentioned in column (1) above shall be payable. However, in case boarding is
provided by client/ POSOCO while posting in foreign country on consultancy
assignment, 50% (fifty percent) of Cash Allowance will only be payable.

(b) Accommodation
In case accommodation is provided by client/POSOCO, accommodation charges
mentioned in S.No.2.0 (column 2 & 3) above shall not be reimbursed. However, if
accommodation is not provided, employees shall be paid towards this as per rates
mentioned in column 2&3 above. Local taxes as applicable, if any, shall be paid
extra. Payment shall be as per actual against documentary evidence subject to
limit indicated above.

(c) Conveyance
In case local conveyance/vehicle is provided by client/POSOCO, local
conveyance mentioned in S.No. 2.0 above shall not be reimbursed. However, if
conveyance is not provided, employees will be paid for local journeys as per rates
in column (4)&(5) above on self certification basis. In case of SAARC countries
other than Afghanistan, the conveyances charges will be reimbursed on approval
by Project Head.

2.2 Disturbance Allowance (Applicable for Afghanistan & Nigeria)

In case of countries like Afghanistan & Nigeria, where law & order and other
security problems exist employees shall be paid Disturbance Allowance.
Employees posted in Afghanistan shall be paid Disturbance Allowance @ 50%

BENEFITS TO EMPLOYEES POSTED IN FOREIGN COUNTRIES ON CONSULTANCY ASSIGNMENTS

Page 569
 (fifty percent) of Cash Allowance and employees posted in Nigeria shall be paid
Disturbance Allowance @ 1/3rd (one third) of Cash Allowance respectively.

2.3 Special Cash Allowance

Special cash allowance @ 10% (ten percent) of Cash Allowance will be
sanctioned for Project Manager/NLDC/RLDC-Head to facilitate effectively
discharging the responsibilities.

2.4 Daily Allowance-proceeding on tour within the country of posting (Applicable

for Afghanistan & Nigeria)

While proceeding on tour from place of posting to other city within the country
additional Daily Allowance shall be paid @ 50% (fifty percent) of Cash
Allowance provided tour involves night stay.

2.5 Miscellaneous
Employees shall be entitled for visa fees, official communication charges for
functional requirement, insurance fees as per actual on submission of
documentary evidence, expenditure towards conveyance from Airport to
Hotel/residence and back in foreign country shall also be reimbursed as per actual
on certification. In case of SAARC countries other than Afghanistan, the
expenditure will be reimbursed on self certification and approval of Project Head.
Any travel in India will be regulated as per TA rules.

2.6 Tour (within the country of posting in case of SAARC countries except
Afghanistan)

While proceeding on Tour from the place of posting to other cities within the
country, Travelling Allowance will be regulated as per the Clause 2.0 mentioned
above.

2.7 Other Benefits

In addition to allowances mentioned above, employees shall also be entitled to:

(i) Salary and other benefits in India

Employees shall continue to draw salary and other allowances along with annual
increments in India, except the following components:

(a) Conveyance reimbursement/transport subsidy.

(b) Telephone/Mobile reimbursement
(However, the rental charges of telephone connection at residence in India shall
be reimbursed.)

BENEFITS TO EMPLOYEES POSTED IN FOREIGN COUNTRIES ON CONSULTANCY ASSIGNMENTS

Page 570
 (ii) Advances
Employees will continue to be eligible for advances such as HBA, Conveyance
Advance, Children Education Loan etc. as applicable to regular employees of the
Company.

(iii) Insurance coverage and recovery towards Pension Scheme, PF etc.

Employees will continue to be covered under GPAI, Group Insurance (Ordinary
& EDLI), HBA Insurance, Conveyance Insurance and other insurance as
applicable to regular employee of POSOCO as per Rules. Further, recovery of
additional contribution towards POSOCO Self Contributory Superannuation
Benefits (Pension) Fund, PF etc will also continue as per rates notified for
employees of the Company from time to time.

(iv) Medical Facility

Dependant family members of employees in India shall continue to avail medical
facility at the place where they are residing as per rules. Employees posted
outside India shall be allowed to claim reimbursement of expenditure incurred in
OPD and IPD treatment in that country and in case medical facilities/procedure
are not available there, employees on reference of registered attending Doctor and
on approval of CMD may be allowed to visit India for medical facilities.

(iv) Lease /HRA /Company Quarters

Employees shall be allowed to avail facility of company lease/HRA or company
quarter subject to availability at any place in India.

(v) Leave and Air Travel

(a) Afghanistan: Employees who retain their family in India shall be allowed six
days special leave (excluding journey period) for each visit to home town or to
place where their families are residing at Company expenses twice during a year
in addition to normal LTC. In such a case travel from place of assignment to
nearest international airport in India will be by air. Travel in India will be as per
entitlement under TA rules. Special leave of six days can be clubbed with any
other leave in case of absence beyond 6 days. In addition, employees shall be
allowed to visit their family once during the period from Nov. to Feb every year
on rotation basis. However, no additional leave shall be provided.

(b) Dubai: Employees who retain their family in India shall be allowed six days
special leave (excluding journey period) for visit to home town or to place where
their families are residing at Company expenses once in two years in addition to
normal LTC. In such a case travel from place of assignment to nearest
international airport in India will be by air. Travel in India will be as per
entitlement under TA rules. Special leave of six days can be clubbed with any
other leave in case of absence beyond 6 days.

BENEFITS TO EMPLOYEES POSTED IN FOREIGN COUNTRIES ON CONSULTANCY ASSIGNMENTS

Page 571
 (c) Nigeria: Employees who retain their family in India shall be allowed six days
special leave (excluding journey period) for visit to home town or to place where
their families are residing at Company expenses once during a year in addition to
normal LTC. In such a case travel from place of assignment to nearest
international airport in India will be by air. Travel in India will be as per
entitlement under TA rules. Special leave of six days can be clubbed with any
other leave in case of absence beyond 6 days.

In case where employees take their family to the place of posting then they will
not be entitled for above facility except normal LTC.

(d) SAARC Countries (excluding Afghanistan)

Employees who are allowed to retain their family in India will be allowed six
days special leave (excluding journey period) to visit the place where the family is
residing at company expenses once during a year. In such a case travel from place
of assignment to nearest international airport in India will be by air. Travel in
India will be as per entitlement under TA Rules. Special Leave of six days can be
clubbed with any other leave in case of absence beyond six days.

(vi) Permission to employees to take their family (Afghanistan, Dubai & Nigeria)
In case the employees are posted in these countries for more than 06 months, then
they may be allowed to take their family to their place of posting. However,
permission will be granted on case to case basis depending upon the merit of the
case.

(vii) Special Risk Compensation (Afghanistan, Dubai & Nigeria)

Special Risk Compensation at the rate of 100 times of maximum pay scale and
DA in the event of death due to terrorist or subversive elements.

2.0 The above provisions are to regulate rates of allowances and other benefits for
employees posted to SAARC, Dubai and Nigeria. In case of consultancy
assignment in other countries separate approval shall be required on case to case
basis. In case of normal business tour to these countries, existing provision of
daily allowance for business travel abroad will be applicable.

References:
(1) Corporate HR Circular No. 30/2019 dated 10.10.2019 (Submission of Option of Perks
and Allowances for the FY 2019-20)

BENEFITS TO EMPLOYEES POSTED IN FOREIGN COUNTRIES ON CONSULTANCY ASSIGNMENTS

Page 572
 In order to streamline and fasten the process for sanctioning of Foreign Travel
proposals the Following shall be complied.

(i) The Proposal for obtaining Administrative Approval for Foreign Travel must be initiated
invariably in the prescribed Form Part-A. The proposal must Contain all the required
information sought for in Form Part-A

(ii) The Proposal in Form Part A duly approved by Competent Authority should reach HR
department, 7 working days before the Scheduled date of travel, indicated in
Administrative Approval taken in From Part-A, Which will also facilitate in reducing the
cost of Air Travel and time constraint in processing of Foreign Exchange

(iii)While submitting the Administrative Approval in Form Part-A, it may be ensured that all
the points contained therein have been addressed/replied to

BENEFITS TO EMPLOYEES POSTED IN FOREIGN COUNTRIES ON CONSULTANCY ASSIGNMENTS

Page 573
 PROPOSAL FOR FOREIGN DEPUTATION
PART-A (FOR ADMINISTRATIVE APPROVAL)
Ref No.: Date:
1 Proposal-Purpose (to be filled by proposer Deptt.)
a Background*

b Justification for deputation of personnel*

c Place(s) of visit
d Country(s) of visit
e Duration of visit (No. of days) …………..days
f Dates From To
g Nature of Activity
Inspection
System Operation

Market Operation Others, Please specify

……………………………………………….

2 Nominations-Requirement
a No of person to be nominated
b Level of Officia to be nominated
c Eligibility of Official to be nominated (if
any)/i.e field of activity/years of
service/Specific knowledge
d Name of Employees nominated 1
2
3
3 Category of Visit: (Tick appropriate box)
Consultancy
Business/Seminar/Conference

Training/Workshop Training (Contractual)

Inspection

4 Cost of Visit-Information
a Cost of the Visit shall be Borne POSOCO Sponsoring Agency
by POSOCO or sponsor Airfare
agency/partly by sponsoring Lodging
agency (tick appropriate box) Boarding
*To be Borne by sponsoring Incidental
agency in-case of Re-testing
equipment
*attach additional sheet if required
b MHA Clearance Yes/No
Whether FCRA-MHA clearance
required (if programme is

BENEFITS TO EMPLOYEES POSTED IN FOREIGN COUNTRIES ON CONSULTANCY ASSIGNMENTS

Page 574
 completely sponsored by foreign
agency)
c COST OF VISIT- Estimate in a. Airfare(to and fro)……
Rupees b. Per Diem allowance….
c. Visa fees…………
d. Training Fee……..
e. VAT/Service Tax/GST……..
*applicable on Training/Tuition Fees
f. Any other Cost………
Total………………..
5 Expenditure (Budget- Head) Head RLDC/NLDC
(Tick the appropriate box and fill SO
name of RLDC/NLDC against the MO
box) Common
Others
6 Details of cost of recovery (To be filled in case deputation is under Consultancy
Contract/Contractual Training)
A Consultancy Contract-Details Yes/No
i. Whether expenditure is included
in the consultancy fee
ii. Whether expenditure is to be
recovered from Yes/No
Agency/Client
iii. Details of Contract/MOU with
Agency/Client
B Contractual Training-Details Yes/No
i. Whether expenditure to be
recovered from
agency/contractor
ii. Details of Contract LOA. NO.
iii. Ref. Clause of the above Clause No.
(Enclosed copy)

7 Annexures:
i. Details of Nominated Employee
ii. Travel Schedule
Recommendation/ Signature Name Remarks
Approval (if any)
Sr. GM/CGM
Head of
RLDC/NLDC/HOD
Concerned Director
CMD

BENEFITS TO EMPLOYEES POSTED IN FOREIGN COUNTRIES ON CONSULTANCY ASSIGNMENTS

Page 575
 DETAILS OF NOMINATED EMPLOYEE
Sl. Particulars Details
No
1 Name
2 Employee No.
3 Designation and Level
4 Place of Posting
5 RLDC/NLDC/CC
6 Department
7 Total year of Experience
8 Present area of work
9 Whether he/she has obtained a. Passport No…..
Passport, if so give details b. Date of Issue……
c. Place of Issue…..
d. Validity upto……
e.
10 Details of previous Foreign visits
(Please indicate Year,Name of country visited, and the purpose)
Year Countries Purpose of Visit

11 Contact Details:
Mobile:
Rax/VOIP:
Email:

BENEFITS TO EMPLOYEES POSTED IN FOREIGN COUNTRIES ON CONSULTANCY ASSIGNMENTS

Page 576
 TRAVEL SCHEDULE
Sl. No. Particulars Details
1 Start Date
2 End Date
3 No of Days
4 Country of Visit
5 Details of Travel Schedule

6 Cost of to and fro Air Tickets for each

employee

Enclose the Travel Itinerary as given by Balmer & Lawrie in addition to this form

BENEFITS TO EMPLOYEES POSTED IN FOREIGN COUNTRIES ON CONSULTANCY ASSIGNMENTS

Page 577
PERFROMANCE
RELATED PAY
SCHEME

Page 578
 PERFORMANCE RELATED PAY SCHEME

1.0 Objective

The main objective to design the PRP scheme is promoting motivation, morale and team
spirit among the employees to achieve the goals of the organization as well as to augment
self and team performance.

2.0 Scope and Coverage

2.1 Performance is a result of collective contribution therefore Performance Related
Pay/Variable Pay Scheme is designed covering CMD, Directors and all levels of
Executives and non-unionized supervisors who are directly and indirectly
contributing to the performance of the business.
2.2 The Scheme shall be applicable to CMD, Directors, all Executives and non
unionized supervisors who are on regular rolls of the Corporation excluding
Trainees and Apprentice.

3.0 Features of the Scheme

3.1 The PRP has been directly linked to the MoU rating, achievements of the internal
MoU targets and individual performance of the executives. The percentage ceiling
of PRP for different levels of Executives expressed as percentage of Basic pay are
indicated below:-

Pay-Scale PRP Percentage

(w.e.f. 01.01.2017) of Basic Pay (Pp)
200000-370000 150
180000-340000 125
150000-300000 90
120000-280000 80
100000-260000 70
90000-240000 60
80000-222000 & 70000-200000 50
60000-180000 and below executives’ pay scale 40

Basic pay = actual Basic Pay (+ Special pay + Stagnation increment, if any) drawn.

3.2 PRP will be based on

i. Company performance /MoU rating (Mo)

ii. Team Performance (Pt)
iii. Individual performance (Pi)

PERFORMANCE RELATED PAY SCHEME

Page 579
 3.2.1 Company Performance/MoU rating (Mo)

The PRP shall be payable on the eligibility levels depending on the achievement
of Memorandum of Understanding (MoU) rating. Different eligibility of PRP in
percentage against different MoU rating is given hereunder:

MoU Rating Eligibility of PRP Mo

Excellent 100% 1.00
Very Good 75% 0.75
Good 50% 0.50
Fair 25% 0.40
Poor -Nil- 0.00

3.2.2 Team Performance (Pt)

The PRP shall also be based on Team performance. Team Performance of the
Region’s shall be based on internal MoU/KPI achievements, in respect of
parameters like System Operation, Market Operation, System Logistics, Finance,
HR etc. of the RLDCs concerned.

Internal MoU Rating Eligibility of PRP Pt

Excellent 100% 1.0
Very Good 80% 0.8
Good/Average 60% 0.6
Fair 40% 0.4
Poor NIL 0.0

Team performance for eligible employees posted at NLDC and CC shall be the
weighted average performance of the performance of all RLDCs. The weighted
average shall be based on the employee manpower strength of the Regions as on
31st March of concerned financial year.

3.2.3 Individual Performance

Individual performance rating shall come from the Performance Management

System (PMS) and eligibility of PRP against different individual performance
rating is given hereunder:

PERFORMANCE RELATED PAY SCHEME

Page 580
 SN AAR Rating % Eligibility Individual
of PRP Performance
rating (Pi)
1 Excellent/ Outstanding* 100% 1.00
2 Very Good 80% 0.80
3 Good 60% 0.60
4 Average 40% 0.40
5 Not satisfactory NIL 0.00
* Only 15% executives in the grade (at below Board level) shall be given
Excellent/ outstanding rating i.e. 100% PRP

3.3 Methodology of calculation & Quantum of PRP Payment

3.3.1 The PRP shall be worked out based on following formula for all levels of
executives:

Formula for calculating PRP

I = ((0.50xMo+0.30xPt+0.20xPi) x Pp ) X (A/R)
I = Percentage of Basic pay of an Individual (rounded off to two digits)

Mo = MoU rating of the Organization (1.0 for Excellent /

0.75 for Very Good / 0.50 for Good / 0.25 for Fair / 0 for Poor)
Pt = Team performance (as mentioned at S.No. 3.3.4)

Pi = Individual performance (as mentioned at S.No.3.3.5 )

Pp = PRP percentage of the grade of the individual (as mentioned at S.No.

3.3.1)

A= Share of RLDC Fees and Charges available for PRP

R= Full PRP Payout Requirement (Computed for all executives and
Non-unionised supervisors at grade-wise ceiling)
A/R <=1
The Kitty Factor to be restricted at 100% of Basic Pay for Calculating PRP

3.3.2 Performance Related Pay shall be paid on the pay scales revised w.e.f.
01.01.2017.

PERFORMANCE RELATED PAY SCHEME

Page 581
 3.4 Procedure

3.4.1 MoU rating of the organization and internal MoU/KPI rating of each Region shall
be provided by the Corporate Planning Department.

3.4.2 Corporate HR Group shall provide AAR rating/KRA score of the individuals (all
Executives and all non-unionized Supervisors) of corresponding year.

3.4.3 ‘Annual Basic pay’ of individuals (all Executives and all non-unionized
Supervisors), ‘all necessary Financial Data shall be provided by Corporate
Finance department.

3.4.4 Corporate HR shall compile all the aforementioned Data and calculation of the
PRP of individuals and forward to Corporate Finance Department for calculation
of PRP and payment after approval of the Competent Authority.

3.4.5 Total performance related payments in a financial year shall be limited to ceiling
specified by DPE from time to time. Presently limit / ceiling of PRP prescribed by
DPE is defined vide their OM No.W-02/0028/2017-dpe(wc)-GL-XIII/17 dated
3rd August 2017.

3.5 General Conditions for PRP

3.5.1 The PRP shall not be paid for the period of leave without pay (LWP)/ Extra
Ordinary leave (EOL)/ unauthorized absence. In case of unauthorized absence,
PRP shall not be paid for that period even if it is regularized after 30 days of
unauthorized absence.

3.5.2 In case of superannuation, death, resignation or lien, PRP amount of

corresponding year shall be paid proportionately for the period worked in the
organization.

3.5.3 The payment of PRP to the executives who are suspended pending enquiry shall
be withheld till conclusion of enquiry. The period of suspension shall not be
counted for the calculation of PRP unless exonerated after conclusion of
disciplinary proceedings.

3.5.4 The amount of PRP shall neither be termed as pay nor allowance, nor wages.
Accordingly, this amount shall not count for any service benefits i.e. computation

PERFORMANCE RELATED PAY SCHEME

Page 582
 of House Rent Allowance, Compensatory Allowance, cash compensation,
encashment of leave, pay fixation, Provident Fund, Pension or Gratuity etc.

3.5.5 The figures of achievement and other records as maintained by the management
shall be final and binding.

3.5.6 The scheme may be reviewed, if required, and the management reserves the right
to revise formula, eligibility criterion, payment criterion, methodology,
assumptions, etc. appearing in the scheme, as deemed appropriate.

3.5.7 The power to modify procedural aspects of the components of the scheme vests
with the CMD and the decisions given by CMD in this regard will be final and
binding.

3.5.8 In case of any ambiguity in defining and explaining the provisions of the scheme,
the matter shall be referred to Corporate Centre.

3.5.9 The management reserves the right of withdrawing the Scheme of Performance
Related Payments for reasons beyond its control.

Reference:
(1) Corporate HR Circular No. 14/2018 dated 11.06.2018 (Pay Revision of Board
Level Executives and Below Board Level Executives w.e.f. 01.01.2017)

PERFORMANCE RELATED PAY SCHEME

Page 583
 MEDICAL
ATTENDANCE
AND
TREATMENT
RULES

Page 584
 MEDICAL ATTENDANCE AND TREATMENT RULES

1.0 Scope
1.1 The POSOCO Medical Attendance Rules apply to all regular employees,
Trainees, Apprentices (other than Apprentices under the Act), and their families,
Deputationists from Government Departments and other organisations are entitled
to such additional medical attendance and treatment as is provided in their parent
departments and is specified in the terms and conditions of their deputation.
Apprentices (under the act) and casual employees (not their families) are entitled
only to emergency treatment for injuries sustained during and in the course of
their duty or training, as the case may be.

1.2 Temporary/Work-charged/daily-rated employees, with over one year of service,

will be given free indoor and outdoor treatment in the Company’s Hospital for
themselves and their families.

1.3 Diet charges as per rules will be recovered from the employees in case of indoor
treatment of the employees and their families.

2.0 Definitions
2.1 “Authorized Medical Attendant” (AMA) means the Doctor appointed by the
Company who is its own employee or one who is authorised under these Rules to
attend on the employees of the Company.`

Until such time an Authorised Medical Attendant is appointed or where there is

no provision for such an appointment in a place where company’s Sub-
station/establishment may be located, the controlling officer of the employee
concerned will exercise the powers of the Authorised Medical Attendant.

2.2 “Specialist” under the Allopathic system of medicine means the following:
i) MBBS with PG Diploma from a recognised Indian University.
ii) MBBS with PG Degree from a recognised Indian University (i.e. MS/MD etc.);
iii) MBBS with DM/MCH (after MS/MD which are super speciality qualification);
and
iv) MBBS with UK qualifications as per Medical Council of India's list of recognized
qualifications i.e. MRCP/FRCS/MRCOG etc. (appended as Annexure-I).

2.3 “Government Hospital” includes;

- a military hospital
- a hospital maintained by a local authority
- any other Hospital with which Central/State Government has arrangements for
treatment of Government Servants.

MEDICAL ATTENDANCE AND TREATMENT RULES

Page 585
 Note:

Hospitals run by Railway Administration and other Public Undertakings may be

covered under the definition of Government Hospitals. Thus, medical expenses
incurred in connection with treatment taken at such hospitals can be reimbursed to
the employees under these Rules.

2.4 “Employee” means whole-time employee of POSOCO including Deputationists,

Trainees, Apprentices (other than Apprentices under the Act) and casual
employees on daily rates.

2.5 “Family” means self, spouse (only one), two surviving children including legally
adopted children (below 25 years) and parents subject to members being
dependent on the employee. The restriction regarding numbers of children shall
not apply in respect of existing employees (as on respective date of Pay revision
order) who are availing the facility of Medical Attendance & Treatment for
existing numbers of children. However, the restriction of age i.e. 25 years shall
apply to all the children except in case of unmarried daughter where the age limit
shall be 30 years. Further, the restriction of 25 years of age for dependent children
will not be applicable for physically handicapped or mentally retarded children
dependent on the employee.

Note:
1. A parent will be considered as wholly dependent on an employee only if the
monthly income of the parent or the combined monthly income of both parents (if
both parents are alive) does not exceed Rupees six thousand. However, the
amount of pension drawn by the parents shall be ignored while computing the
above limit of Rupees six thousand.

2. The medical facility to the spouse and dependant children of an employee is

admissible irrespective of their place of stay, provided it has been with approval
of the corporation. This dispensation is not admissible for parents of the
employee, who are otherwise dependant on the employee, but are not residing
with the employee. However, the medical facility will be extended to dependent
members of an employee residing with the rest of his/her family members at a
place other than place of posting if the employee has been permitted for the same
on reasons some of which are posting at Hardship station, transfer admist the
academic session, lack of educational facilities, severe health conditions etc.
provided the rest of the family members are also at the same place.

3. The condition of residence of wholly dependent parents may be relaxed

temporarily in respect of such bachelor employees who have been allotted
bachelor accommodation (and not family accommodation) in the company’s

MEDICAL ATTENDANCE AND TREATMENT RULES

Page 586
 township; provided that the parents of the bachelor employee concerned are
wholly dependent on them but have to reside at a place other than the place of
posting of such employees. This relaxation will be applicable only till such time
the employee remains in bachelor accommodation and shall stand withdrawn as
soon as family accommodation is allotted to them in company’s township.

4. For determining the dependency of family members other than parents, the same
criteria shall be adopted as is followed by the Central Government for this
purpose. In other words, sons/unmarried daughters of the employee who are
employed otherwise than on part time/daily rated/casual basis shall be regarded as
gainfully employed and accordingly not entitled to medical facilities. Even in the
case of above family members who are in part time/daily rated/ casual
employment, these facilities shall be admissible only if they are otherwise
dependent on the employee and their monthly income from such employment is
not more than Rupees three thousand.

5. The divorced daughter of an employee may be considered to be dependent upon

the employee concerned and eligible for medical facilities, if her income from
employment and or maintenance allowance granted to her by the Court and
payable to her by her erstwhile husband, if any, does not exceed Rs. 1,000/- per
month. Decree of divorce from a Court of competent jurisdiction shall be
considered as sufficient proof of legal divorce.

6. Female employees shall have the option to declare their parents-in-law as family
members, in lieu of their parents. The condition of dependency, as existing for the
parents shall apply. Option exercised by a female employee in this regard may be
changed only once during the entire service period.

7. The parents of a deceased employee shall continue to be treated as dependant of

widow of the deceased employee who has got employment in POSOCO on
compassionate grounds. Consequently, the parents of the widow of the deceased
employee will not be treated as dependant.

8. The medical facility will be admissible to the childless employees belonging to

Muslims and Christian community in respect of one child only provided the
employee has been given the legal guardianship of the child by the competent
Court of Law subject to restriction of age as defined above.

2.6 “Medical Attendance” means attendance in hospital or at the residence of the

employee including such pathological, bacteriological, radiological or other
methods of examination for the purpose of diagnosis as are available at the
Company’s hospital or failing that, in any Govt./Notified Hospital/Laboratory or
in any private Hospital/ Laboratory and are considered necessary by the A.M.A.
and such consultation with a specialist or other Medical Officer/Sr. Medical

MEDICAL ATTENDANCE AND TREATMENT RULES

Page 587
 Officer in-charge certifies to be necessary to such extent and in such manner,
within India as the specialist or Medical Officer, may in consultation with
CMO/Sr. MO in-charge determine. If the tests are conducted in private
hospitals/laboratories, the reimbursement of such expenditure will be made up to
the limit of what would have been admissible had the tests been carried out in a
Government Hospital/Laboratory. For this purpose, the rates prevalent in the
nearest Govt./Notified Hospital will be taken as the criterion. In all matters of
doubt, the opinion of the Chief Medical Officer or M.O. in-charge of the
Company’s hospital will be final.

2.7 “Pay” for purposes of these Rules will be the amount drawn monthly by an
employee as pay which has been sanctioned for the post held by him. It will also
include special pay, personal pay or such other emoluments e.g. non-practising
allowance for Medical Officers specially classified under the rules as “Pay”. In
the case of Trainees and Apprentices, pay would mean the actual stipend drawn.

Pay/Pay ranges wherever mentioned in these Rules are as per the pre-revised pay
(1987) structure.

2.8 “Patient” means POSOCO employee or a member of his family to whom these
Rules apply and such others as are provided for in these Rules and who requires
medical attention.

2.9 “Treatment” means the use of all medical and surgical facilities essential for the
recovery or for prevention of deterioration in the condition of the patient.

Note : 1 Confinement
In the case of female employee and families of male employees, treatment
includes confinement at the hospital of the Company or notified hospital or at a
Government hospital/Maternity Centre as well as pre-natal and post-natal
treatment or in any private hospital subject to the condition that the
reimbursement of charges for confinement at private hospital is limited to what
would have been admissible had the confinement been carried out at
notified/Govt. hospital.

Note: 2 Dental Treatment

Dental treatment can be obtained from any Dental Surgeon. Charges for supply of
denture, cleaning, polishing of teeth, filling of teeth with gold, Orthodontia
treatment on account of cosmetics will not, however, be admissible. In other
cases, however, for orthodontia treatment, reimbursement will be made on the
merits of each case subject to the approval of General Manager on the advice of
Authorised Medical Attendant. Consultation charges for treatment received from
Dental Surgeons and the charges for various types of dental treatments are as per
Batra hospital rates. The reimbursement for dental treatment charges shall be

MEDICAL ATTENDANCE AND TREATMENT RULES

Page 588
 restricted to the specified percentage of rates depending upon classification of
cities (100%, 80% & 60% for A, B1 & B2 and unclassified cities).

Note: 3 Eye-sight testing

Employees and their families may have their eye-sight tested for glasses once in
every three years on the recommendations of the A.M.A. at a Government
hospital/Notified hospital, if no such arrangements exist at Company’s hospital
and if any fees are incurred for this purpose, the same will be reimbursed. The
condition of three years may be relaxed on the advice of AMA. The above
concession does not include the provision of spectacles at the cost of the
Company.

Note: 4 Treatment for immunizing and prophylactic purposes

Reimbursement of charges incurred on treatment of the employees and their
families for immunizing and prophylactic purposes in a Government/Notified
hospital will be permitted only in the case of communicable diseases viz. (1)
Cholera (2) Typhoid group of fevers (TAB) (3) Plague (4) Diphtheria (5)
Whooping cough (6) Tetanus (7) Polio (8) Haemoplilus lufluenzae b Bacteria
(Hib) subject to ceiling of Rs.500/- or rate of empanel hospital and (9) Hepatitis A
and Typhoid subject to ceiling of rate of empanel hospital in the location subject
to ceiling of Rs. 900/- for Hepatitis A, Rs.250/- for Typhin VI single dose &
Rs.150/- for Tyvax VI single dose or actuals, whichever is less (10) Hepatitis B
subject to ceiling of Rs. 350/- per child per dose and Rs. 580/- per adult per dose
or rate of empanel hospital of the location or actuals, whichever is less.

Note: 5 Vaccinations inoculations etc.

The cost of vaccinations, inoculations and injections taken by the employee, his
family and servants for prophylactic and immunizing purposes to secure health
certificates under international travel regulations before commencement of such
travel will be reimbursed by the Company, provided the journey is undertaken at
the cost of the Company.

Note: 6 Treatment of Diabetes

The cost of Human Insulin and Gluco-strips limited to 30 strips per month shall
be reimbursed on prescription by the treating Doctor. The prescription shall be
valid for one month. In case of further requirement of insulin and gluco-strips,
fresh prescription of the treating doctor shall be required.

Note: 7 Implantation of Pace Maker

Reimbursement of medical expenses incurred by the employee towards
implantation of Pace Maker for self and/or dependent family members shall be

MEDICAL ATTENDANCE AND TREATMENT RULES

Page 589
 regulated in accordance with the rates charged** by All India Institute of Medical
Sciences (AIIMS), New Delhi. A list of various types of Pace Makers, the cost of
which is reimbursable will be arranged to be notified by the Management from
time to time.

Note: 8 Reimbursements of Supply Items/Accessories

Reimbursement of items like Urobag, Ringer Lactate, Venfloan No. 18, B.T. Set,
T.V. Drip set, Disposable Syringes etc. prescribed by the Attending
Doctor/Physician and which are essential for the recovery and prevention of
deterioration in the condition of the patient may be regulated and reimbursed in
consultation with the AMA.

Note: 9 Reimbursement of expenses on purchase of Artificial

limbs/appliances
Expenses incurred by an employee towards
purchase/replacement/repair/adjustment of artificial appliances for Self and/or
dependent family member(s) may be reimbursed on the recommendations of and
in consultation with the AMA, only for such items as included at Annexure-II.
Reimbursement of expenses incurred on items mentioned in the Annexure-II may
be regulated in accordance with the rates charged** by All India Institute of
Medical Sciences or the Local Municipal Hospital at the places where the
employee is undergoing treatment.

Note: 10 Reimbursement of expenses incurred towards removal of Kidney

stones by Lithotripsy

Reimbursement of medical expenses incurred by the employees towards removal

of Kidney stones by Lithotripsy shall be limited to the rates charged by All India
Institute of Medical Sciences, New Delhi. Charges towards accommodation,
investigations, medicines etc. shall be limited to the entitlement of the employee
concerned.

Note : 11 Reimbursement of expenses incurred towards Intra Ocular Lens

(IOL)

Expenses incurred towards Intra Ocular Lens (IOL) required for Cataract
operation of the eye in case of MICS package shall be allowed upto ceiling limit
of Rs.16500/- per lens and in case of Phaco package upto Rs. 11000/- per lens
subject to actuals.

Note: 12 Expenses for Physiotherapy Treatment

Reimbursement of Medical expenses incurred towards Physiotherapy treatment
taken in Government/Notified hospitals on reference by AMA may be allowed.

MEDICAL ATTENDANCE AND TREATMENT RULES

Page 590
 Note: 13 Expenses for treatment of Sterility and Infertility
All employees and their family members will be eligible for reimbursement of
expenditure incurred for treatment of sterlity and infertility subject to the
condition that the treatment is undergone from Government/Notified Hospitals.
Any treatment taken from private hospitals/RMPs will not be reimbursed.

Note : 14 Investigative test

Radiological investigations (like PER/CT/PETMRI), Endoscopy, ERCP,
Lithotripsy, Laser Treatment (Non-cosmetic), Cataract, Thallium Scan, Colour
Doppler, Oxygen Therapy, Radiation, Chemotherapy, Dialysis taken in day care,
shall be treated as indoor treatment and procedure laid down for indoor treatment
shall be applicable.

3.0 Treatment at the Dispensary /Hospital of the Company

All employees and their families are entitled to free medical attendance and
treatment in POSOCO dispensary/hospital. In the case of severe illness,
Company’s ambulance van can be utilised at the discretion of the A.M.A. for
bringing the patient to the dispensary/hospital. Patients will not ordinarily be
treated at their residence except in the case of acute disease or when the A.M.A.
considers movement of the patient is injurious to his recovery. Patients requiring
hospitalisation will be admitted to the Company’s hospital and will be entitled to
the following facilities at Company’s expenses:

a) Use of all medical and surgical facilities available at the hospital;

b) The employment of such pathological, bacteriological, radiological or other
methods as are considered necessary by the A.M.A.;
c) Supply of such medicines, vaccines, sera or other therapeutic substances as are
ordinarily available in the hospital. Cost of medicines etc. prescribed by the
A.M.A. but not available at the hospital will be reimbursed;
d) Such consultations with a specialist as the A.M.A. may consider necessary;
e) Such accommodation and such nursing as are ordinary provided at the hospital to
the patients.

3.1 Rates for the cost of diet to be charged will be published from time to time by the
Company/Head of NLDC/RLDCs.

4.0 Treatment as Indoor Patients at Govt./Notified Hospitals

4.1 Where a Company hospitals does not exist at the station of duty of the employee
or arrangements for the requisite treatment do not exist at the Company’s Hospital

MEDICAL ATTENDANCE AND TREATMENT RULES

Page 591
 and A.M.A. of the Company refers the case for admission to another hospital, or
the employee is residing at a distance of more than 5 kilometers from the
Company’s hospital, the employee and his family members who require
hospitalisation, can be admitted to the nearest Government/Notified hospital,
subject to the availability of accommodation.

4.2 While under treatment in such hospitals, the employee will be entitled at
Company’s expense to the facilities mentioned at Rule-3 above, including
accommodation as suited to his status.

The provisions regarding accommodation and treatment charges in Notified

hospitals shall be as per the notification(s) issued by the company from time to
time. If the medical Superintendent of the hospital certifies that accommodation
suited to the status of the employee was not available and his admission to
hospital could not be delayed without danger, accommodation of a higher class
may be allotted but, if such higher accommodation is allotted only at the request
of the employee he will himself have to pay the additional expense.

4.3 Charges for any special nursing will also have to be paid for by the employee(s)
unless it is especially directed by the A.M.A. or the Medical Superintendent of the
hospital.

4.4 Ambulance charges for admission to the Government/Notified hospital, if

recommended by A.M.A. will be reimbursed. Company’s transport should
normally be utilised.

5.0 Treatment from Private Medical Practitioners

5.1 Where there is no A.M.A of the Company at the station of duty of the employee
or the employee is not residing in the township or is on leave or on tour at another
station, he and his family members may receive medical attendance and treatment
from private registered medical practitioners of their choice at their residence or at
the residence of the Doctor or at the latter’s consulting room.

5.2 Consultation fees charged by the Doctor will be reimbursed subject to the ceilings
mentioned at Annexure-III.

5.3 Rates/Charges reimbursable in respect of stitches/dressing to employees

(including their families) will be as mentioned at Annexure-III.

5.4 The term “Registered Private Medical Practitioner” does not include practitioners
of the Ayurvedic, Unani and Homeopathic system of medicine. It, however,
includes a Government Doctor authorised to engage in private practice.

5.5 The above concession of medical attendance and treatment by private registered
medical practitioners does not include :

MEDICAL ATTENDANCE AND TREATMENT RULES

Page 592
 i) Treatment in connection with the testing of eye-sight for glasses.

ii) Dental treatment, treatment for sterility, mental and veneral diseases.

iii) Cases where hospitalisation was necessary, expenses in respect of the first
consultation/treatment only will be reimbursed.

6.0 Reimbursement of Medical Expenses and the procedure thereof

6.1 The cost of medicines which are required and recommended by A.M.A. or a
Registered Private Medical Practitioner, as the case may be, will be reimbursed on
submission of a claim as hereinafter prescribed.

Medicines can be obtained from any chemist/druggist on the prescribed

prescription by the doctors and reimbursement claimed. Cost of such medicines
listed and inadmissible by the Ministry of Heath and so notified by them from
time to time shall not be reimbursed except with the specific approval of the
AMA. Wherever convenient, medicines should be procured from the Super
Bazaars situated in the various localities, especially in the case of chronic patients.
No medicine will be supplied by the doctors from their clinic to the patients.
However, in emergent cases where administering of any medicine is essential in
the interest of the ailment of the patient, the sample can be supplied by the doctor.

Normally the medicines will not be prescribed for more than three days at a time.
In case the medicines have to be supplied for more than 3 days, the reasons have
to be recorded.

6.2 The cost of the following medicines is not reimbursable:

a) Medicines which are of food value;

b) Medicines in the nature of toiletries; and

c) Medicines, which are of a prophylactic nature, except to the extent specifically

provided for in these rules.

Note:
Where cheaper substitutes of equal therapeutic value are available, the less
expensive one should be used as far as possible. The list of medicines not
reimbursable is available with the Finance & Accounts Department.

6.3 All pathological, bacteriological, radiological and other tests should be conducted
at the Company’s hospital/dispensary or at Government/Notified hospitals or
institutions. Any charges payable will be reimbursed as per Annexure-III.

MEDICAL ATTENDANCE AND TREATMENT RULES

Page 593
6.4 Refund of hospital charges will be made if the patient is admitted to a
Government/ Notified hospital and not otherwise. When there is no
Government/Notified hospital within the reach or a Government/Notified
hospitals certifies that there is no vacancy or in an emergency where it is not
possible to go to a Government/Notified hospital, refund of hospital charges will
be made subject to the Project Administrator/General Manager being satisfied
about the necessity of going to any other hospital.

6.5 All payments of medical expenses should be made by the employee in the first
instance. Claims for refund of medical expenses should subsequently be
submitted on prescribed form accompanied with an essentiality certificate from
the A.M.A. and bills, cash receipt and cash memos (unless issued by Government
hospitals) should be duly stamped, wherever necessary.

The claims on receipt, should be checked with reference to the rules and
countersigned for the admissible amount by the Controlling Officer of the
employee as specified under the Delegation of Powers before being forwarded to
the Accounts Department for final check and payment. Necessary forms shall be
prescribed by the Ch. General Manager /Head of the RLDCs/NLDC.

6.6 Claims for refund of medical expenses incurred on the advice of a Registered
Private Medical Practitioner for treatment at a Government hospital, when
permitted under these rules should also be routed by the employee to the
Controlling Officer through the M.O. In-charge of the Company’s
hospitals/dispensary at place of his duty, unless there is no such Company’s
Medical Officer. The Medical Officer in-charge of the Company’s
hospital/dispensary at the station will examine the claim from the point of view of
it being reasonable or not and will countersign the Essentiality Certificate
attached to the application if he considers the claim to be in order and reasonable.
In the event of it not being so, he will forward the claim to the Controlling Officer
of the employee with his remarks and recommendations and latter will dispose off
the claim himself or obtain orders of superior authority, as may be deemed fit by
him.

6.7 Claims for refund of medical expenses should be submitted within three months
of the date of the completion of the treatment as shown in the Essentiality
Certificate. No refund/claims will be entertained after the said period..

Note:

Time-barred claims may be admitted beyond 3 months but within one year from
the date of completion of the treatment, provided that the Controlling Officer is
satisfied in each case that the delay in submission of the claims is for reasons
beyond the employee’s control.

MEDICAL ATTENDANCE AND TREATMENT RULES

Page 594
7.0 Medical Treatment in respect of families of employees in special
circumstances
7.1 The families of employees who are deputed/posted by the Company abroad for
training or any other purposes will continue to be entitled for free medical
attendance and treatment at the cost of the Company in terms of these Rules, if
they do not accompany the employee abroad, irrespective of the place they may
be residing at, in India.

7.2 Similar concessions in respect of the family of an employee transferred to another

station of the Company in India will be admissible for a period of three months
only from the date of transfer, if the employee is unable to take his family to the
new station for reasons such as want of suitable accommodation, children’s
education, wife’s confinement etc.

7.3 The concession will be admissible for family of the employee normally residing
with the employee when any member falls ill on proceeding to an outstation. Such
reimbursement of medical expenses incurred at outstation will be allowed if the
employee goes on regular and sanctioned leave including casual leave to
outstation and falls sick there.

8.0 Travelling Allowance

Employees and their families will be entitled to payment of travelling allowance
in terms of T.A. Rules of the Company when directed by the A.M.A. for medical
attendance or treatment to another M.O./Specialist or hospital outside the station
at which the employees is posted but within the District. T.A. for one
attendant/escort will also be allowed if it is certified by the A.M.A. that it is
unsafe for the patient to travel unattended. In case of reference made to
M.O./Specialist or hospital outside the District, specific prior sanction of the Ch.
General Manager / Head of NLDC/RLDCs should be obtained by the A.M.A.
before referring the cases to Medical Officers/ Specialists and
hospitals/sanitarium situated outside the district, such as may be Often necessary
in the case of special diseases e.g. T.B., Polio, Cancer, Mental diseases etc.
Failing this, the T.A. claims and claims for reimbursement of medical expenses
will not be accepted.

Note:
Executive Director of the NLDC/RLDCs or Chief General Manager (I/C) of the
NLDC/RLDCs delegated power of an Executive Director can by a notification,
which can be modified, if needed from time to time, allow treatment in
neighbouring district hospital doing away with requirement of case to case
approval, subject to following :

i) Hospital(s) falling in neighbouring district is nearer in distance than hospital(s) in

the same district.

MEDICAL ATTENDANCE AND TREATMENT RULES

Page 595
 ii) Facility of such hospital(s) in neighbouring district is being availed by company's
employees.

iii) On reference being made by the A.M.A. for treatment as already prescribed.

iv) Restricting to specified sub-station/group head quarter/office from where

hospital(s) of neighbouring district is nearer.

9.0 Grant of advances for medical attendance and treatment

9.1 For treatment of employees and their entitled family members as in-patients in
hospitals, medical advance limited to Rs.10,000/- may be granted to the
employees borne on the regular establishment of the company including trainees
recruited under Company’s own training schemes. The advance can be drawn for
one illness/hospitalization and in more than one installment also, subject to the
ceiling of Rs.10,000/- at any one time.

Provided, however, where the expenditure is likely to be more than the ceiling
amount, of Rs.10,000/- second or subsequent advance can be granted to the
employee concerned on submission of a part-bill against the earlier advance
drawn by him subject to the aforesaid ceiling.

9.2 The actual amount of advance to be granted shall be decided keeping in view the
recommendations of the AMA as regards the nature of disease, likely duration of
hospitalisation and anticipated expenditure thereon vis-a-vis the amount
reimbursable for the illness/hospitalisation as per the entitlement of the employee
concerned.

9.3 In the event of emergency, an ad-hoc medical advance limited to one month’s
Basic Pay + D.A. of the employee concerned, or Rs. 10,000/- whichever is less,
may be granted where in-patient hospital treatment is required. This is admissible
without recommendation of Authorised Medical Attendant only in respect of
remote locations where AMA is not available. This is not admissible where
notified hospitals exist.

9.4 The amount of advance granted shall be adjusted against the medical
reimbursement claims submitted by the employee for reimbursement of the
expenditure as admissible under the rules; and the balance, if any, will be
recovered from the pay/other dues of the employee concerned. In case of failure
to present the reimbursement claim/ adjustment bill within the period of three
months from the date of discharge from hospital, the entire amount of advance
will be recovered in one instalment.

9.5 An employee who is desirous of availing this facility of medical advance shall
apply in the prescribed form at Annexure-IV. However, in case an employee’s
condition is such that he is unable to make the application personally and receive
the payment, another employee of the company may present the application for

MEDICAL ATTENDANCE AND TREATMENT RULES

Page 596
 advance on his behalf, depending upon the facts and circumstances of the case
and at the discretion of the Management. The advance will be booked in the name
of the applicant (employee concerned or some other employee on his behalf, as
the case may be) and it shall be the responsibility of the applicant to arrange for
adjustment of the advance within the stipulated period.

The authority for sanctioning the advance shall be the employee’s Head of the
Department.

10.0 Reimbursement of medical incurred in emergencies

Refund of medical expenses in relaxation of these Rules may be allowed as per

the Delegation of Powers.

11.0 Medical treatment to Outsiders at Dispensaries/ Hospitals of the Company.

11.1 Outsider means any person who is not an employee of the Company or a member
of the employee’s family as defined in these rules. This term will include relatives
and servants of the employees, contractors, and their workmen in the premises of
the Company, employees of the bank, police, post office, schools, cooperative
stores, clubs, etc.
For treatment of the above categories of outsiders, the following rules shall apply:

11.2 Contractor’s Workmen

a) According to the Workmen’s Compensation Act, in the case of a workmen who
sustains personal injury by accident arising out of and in the course of
employment whilst engaged by contractors for the purposes of carrying out trade
or business of the Company, the liability of the Company to compensate the
Workman or his dependents, where such liability exists, is the same as in the case
of the Company’s servants, except that the compensation so paid may be
recovered by the Company from the contractor by whom the workman was
directly engaged.

b) It is the responsibility of the contractor, and not of the Company to provide

medical aid for his labour. But where due to non-availability of any other doctor
in the vicinity, medical aid has to be provided by the Company’s Medical Officer,
the contractor should submit through the Company’s Officer for whom he is
working, a written requisition in duplicate stating that he is agreeable to bear the
charges for such aid. The Company’s Officer will forward one copy of the
requisition to the Accounts Officer with a covering letter giving Work order No.
and date. He should also certify in all final bills of contractors whether he has
countersigned any medical requisition or not. If so, he should furnish full details
of such requisitions. The Medical Officer will maintain a record, in duplicate, by
carbon process, of all contractors’ labour who are either treated in the company

MEDICAL ATTENDANCE AND TREATMENT RULES

Page 597
 hospital or given first aid at the Company hospital and sent on to other hospital.
Separate statements should be made out for each contractor and duplicate copies
of statements should be sent every month to the Asst. Manager (F&A) of
concerned RLDC/NLDC so that the latter can effect recoveries from the
Contractors’ bills.

11.3 Employees of Police, Excise, Postal, Banks, Telephone/Telegraph departments

etc., will be entitled to such out-patient treatment on such terms and conditions as
are mutually agreed upon between the department and the head of the
RLDC/NLDC concerned. The facilities to be extended and the charges to be
levied under this agreement shall be clearly spelt out. For indoor treatment,
charges shall be as given in para 11.5.

11.4 Dependents and relatives of the employees; employees of the school, Community
Centers, Canteens, Clubs etc. Charges for out-patients facilities to be extended by
the Company shall be on the basis of the monthly payment to be decided upon by
the Head of the RLDC/NLDC. Charges for indoor treatment will be as indicated
in para 11.5.

11.5 Charges to be recovered for operation on out-siders will be as notified by the

Management from time to time.

12.0 Medical certificates and private practice

The Company’s Medical Officers will not issue any certificate other than what
they are required to do under the company’s rules or in the Company’s interest.
The only exception will be that they may issue certificates for life insurance
policies and accept payment for them subject to the relevant rules, but this should
not interfere with their work under the Company.

The rate of charges for other cases may be fixed by the Company from time to
time, and will be available with the C.M.O.

In the preceding paragraphs, wherever a doctor is permitted to retain a part of the

fees, specific mention about it has been made. In all other cases, the fees will be
entirely credited to the Company.

13.0 Interpretation
If there be any doubt regarding interpretation or application of these Rules, it
should be referred to the Chairman, POSOCO and his decision in the matter will
be final.

14.0 Diet charges

The Diet Charges per day to be levied in the Company’s hospital from the
employees, who get in-patient treatment for self and their families in the
MEDICAL ATTENDANCE AND TREATMENT RULES
Page 598
 Company hospital, will be as notified from time to time. Recovery will be made
through deduction from the salary.

15.0 Checklist for medical refund claim

Before forwarding the medical bills to the Finance & Account Department, it
should be seen that:
a) The claim is submitted within three months, in the prescribed form (at Annexure-
V and Annexure-VI) from the date of completion of treatment.
aa) The number of medical claims to be preferred by an employee may not exceed
two in a calendar month.

b) The bill is signed by the employee and countersigned by an officer as per the
Delegation of Powers.

c) The declaration in the application is signed by the employee, and in case the claim
is in respect of dependent parents, the following certificate is added. “Certified
that the parents are wholly dependent upon me and actually residing with me”.

d) The certificate is signed by the Private Medical Practitioner with his qualification
and Registration Number.

e) The receipt given by the Doctor is stamped wherever necessary.

f) Essentiality certificate given by the Company’s Medical Attendance accompanies

in the case of employees who take treatment in the Company’s hospital in the
Township.

g) In case treatment is undertaken in Government Hospital; allocation sheet,

minimum facility certificate and form ‘B’ accompany.

h) The certificate granted by the Doctor contains name of disease and period of
treatment, date of consultation and dates of administration of injection and the
nature of injection such as intravenous or intramuscular, as also the name of
patient to whom essentiality certificate is issued.

i) If professional charges for administration of injection are claimed, medicine being

supplied from doctor’s dispensary; the name, quantity, cost of medicines are also
to be furnished in the essentiality certificate. If the injection/medicine is supplied
free of cost, the same is specifically certified as such by the private medical
practitioner.

j) The claim for cost of medicines is supported by cash bills from the shops and
prescription of the Private Medical Practitioner.

MEDICAL ATTENDANCE AND TREATMENT RULES

Page 599
 k) Details of laboratory tests and X-rays are furnished along with the receipts for
admitting the corresponding rates in Government/Notified Hospitals.

l) In the case of employees living in the township, if the treatment is undergone in

other than Company’s hospital, the employee should be on leave (other than
casual leave). The nature and period of leave is specified by the employee in
column 7 of the application and the same verified.

16.0 Medical treatment to temporary / work charged / daily rated employees

16.1 Medical identity card to temporary/workcharged/daily rated employees with more

than one year’s service will be issued by the HR Department indicating their rate
of pay and identity/token number in lieu of staff number for the purpose of
maintaining records in the hospital.

16.2 The temporary/work-charged/daily-rated employees will apply to the HR Deptt.

in the prescribed from for identity cards for treatment of their families, including
dependent parents. The applications received through the departmental officers,
will be checked for correctness of service particulars and identity cards issued
directly to the employees.

16.3 As and when they are discharged from service, their identity taken along with the
Medical attendance card will be collected by the concerned officers and sent to
the HR Deptt. The controlling officers will inform the Chief Medical Officer
immediately after their discharge, under intimation to the HR Department.

16.4 With regard to the diet-charges, the daily rate will be converted as monthly salary
by multiplying it by 25. The diet-charges notified for regular employees in
different pay slabs will be made applicable to this category also after ascertaining
the monthly salary of the temporary employee, as indicated above.

17.0 Rules for ambulance service at hospitals

17.1 Ambulance service will be provided free of charge to cases eligible for free
treatment requiring admission as in-patients only.

17.2 Dangerously or seriously ill cases will be given priority for providing ambulance
facilities. Employees are requested to indicate, wherever feasible, the nature of
illness and its seriousness when requests for ambulance are made. Requests for

MEDICAL ATTENDANCE AND TREATMENT RULES

Page 600
 ambulance will be complied with subject to availability and/or prior bookings and
seriousness of cases.

17.3 The ambulance will be used only over motorable roads. The use of the ambulance
will be normally limited to a radius of 20 kilometers from the Company’s
hospital.

17.4 In case of patients eligible for free treatment other than those requiring admission
as in-patients, ambulance service may be provided free of charge if in the opinion
of the attending doctor, it is necessary to transport the patient by an ambulance on
medical grounds, such as inability to walk on account of fracture in the leg or
blindness or very old age or mental illness etc.

17.5 If, after arrival at the hospital, the doctor finds that the use of the ambulance was
not warranted on any of the grounds mentioned in paras 17.1 and 17.4 above, the
ambulance charges will be recovered from the employee.

17.6 Ambulance service will not be made available for dropping patients at their
homes or at other places after out-patient treatment. They will be required to make
their own arrangements for returning from the hospital. However, in exceptional
cases, non ambulant patients will be permitted the use of ambulance under
instructions from the Chief Medical Officer or the Medical Superintendent or one
of the Medical Officers, in the absence of any one of them, this discretion will be
used by the attending doctor.

17.7 Ambulance service will be provided free of charge to drop the discharged in-
patients at their residence within a distance of 20 kilometers, if in the opinion of
the doctor of not less than the rank of Medical Officer, the ambulance service is
necessary in that case. If the residence is beyond these limits but within 30
kilometers, Chief Medical Officer’s permission will be required.

17.8 Requests for ambulance to bring paying cases (ERNE cases) who are residing
within the township will be complied with, subject to availability of the
ambulance. In other cases, the employees will have to make their own
arrangements. The only exception will be cases arising out of accidents for which
the Chief Medical Officer’s approval will be required. After arrival at the
Hospital, if it is found that incorrect or misleading information has been
furnished, in addition to recovering the ambulance charge, disciplinary action may
also be taken against the employee.

17.9 Use of ambulance for medico-legal cases connected with employees or their
dependent eligible for free treatment will be charged for, except when in the
opinion of the attending doctor, it is necessary to transport the patient by
ambulance on medical grounds.

17.10 In cases of accidents while on duty, ambulance will be provided free of charge.

MEDICAL ATTENDANCE AND TREATMENT RULES

Page 601
17.11 The user of the ambulance will ensure that:
a) For in-coming cases, the Doctor or the Nurse of the Maternity Ward or the
Casualty, certifies the use of the ambulance as free or paid, and
b) For out-going cases an ambulance slip issued by the doctor treating the case
should be obtained and presented to the casualty nurse.

17.12 When a patient eligible for free treatment is referred to the Government
Headquarters Hospital, ambulance will be provided only if a doctor of not less
than the rank of a Medical Officer certifies that it is not safe for the patient to
travel by any other transport.

17.13 All cases brought by ambulance should present themselves at the casualty room
and not at the out-patient department (except in cases of confinement where the
patient will be taken directly to the Maternity Ward) and then directed to the
Medical Officer in the out-patient department after registering their names in the
ambulance register.

Likewise, all patients to be dropped should present themselves at the casualty

room with the necessary authorisation of the Medical Officer for registration
before getting into the ambulance. In all paying cases, the Casualty Nurse of the
Receptionist/Nurse will record “TO PAY” in the Ambulance Register and in the
Ambulance Trip Sheet.

17.14 The charges for ambulance trip will be as fixed by the Management from time to
time.

17.15 The ambulance will be used for transporting dead bodies.

17.16 Any matter regarding the use of the ambulance not covered by these Rules will be
referred to the General Manager.

18.0 Employees sent abroad for training / short-term assignment.

Medical facilities appropriate to the status of the employee(s) will be provided

subject to the clearance by Reserve Bank of India/Government for Foreign
Exchange.

MEDICAL ATTENDANCE AND TREATMENT RULES

Page 602
 Reference:
(1) Corporate HR Circular No. 06/2017 dated 20.12.2017 (Amendment in Medical
Attendance and Treatment Rules)
(2) Corporate HR Circular No. 25/2019 dated 06.08.2019 (Modification/ Amendment in the
Ceiling Limit of the Cost of Lens used in Cataract Surgery)

MEDICAL ATTENDANCE AND TREATMENT RULES

Page 603
 ANNEXURE-I

INDIAN MEDICAL COUNCIL ACT, 1956

THE SECOND SCHEDULE

Recognised Medical qualifications granted by Medical Institutions outside India (Sec. 12)

Country Title Nature of Qualifications Abbreviations

UNITED M.B., Ch.B Bachelor of Medicine & U. Birm
KINGDOM Bachelor of Surgery
University of
Birmingham

M.D Doctor of Medicine

Ch.M. Master of Surgery
University of Bristol M.B., Bachelor of Medicine & U. Brist
Ch.B Bachelor of Surgery
M.D Doctor of Medicine
Ch. M. Master of Surgery
University of M.B. Chir Bachelor of Medicine Doctor U. Camb.
Cambridge M.D. of Medicine
M. Chir Master of Surgery
University of Durham M.B.B.S Bachelor of Medicine & U. Durh
Bachelor of Surgery
M.D. Doctor of Medicine
M.S Master of Surgery
University of Leeds M.B., Bachelor of Medicine & U. Leeds
Ch.B. Bachelor of Surgery
M.D. Doctor of Medicine Master of
Ch.M. Surgery
University of M.B., Bachelor of Medicine & U.L. Pool
Liverpool Ch.B Bachelor of Surgery
M.D Doctor of Medicine Master of
Ch.M Surgery
M.Ch. Orth. Master of Orthopaedic
Surgery
University of London M.B.B.S. Bachelor of Medicine & U. Lond.
Bachelor of Surgery
University of London M.D. Doctor of Medicine
M.S. Master of Surgery
University of M.B. Ch.B. Bachelor of Medicine & U. Manc.
Manchester Bachelor of Surgery
M.D Doctor of Medicine U.Manc.
Ch.M. Master of Surgery
University of Oxford M.B., Bachelor of Medicine & U. Oxford

MEDICAL ATTENDANCE AND TREATMENT RULES

Page 604
 Country Title Nature of Qualifications Abbreviations
B.Ch Bachelor of Surgery
D.M. Doctor of Medicine
M.Ch. Master of Surgery
University of M.B., Bachelor of Medicine & U. Shaff.
Sheffield B.Ch. Bachelor of Surgery
M.D. Doctor of Medicine
University of Wales M.B., Bachelor of Medicine & U. Wales
B.Ch Bachelor of Surgery
M.D Doctor of Medicine
M. Ch Master of Surgery
University of M.B., Bachelor of Medicine & U. Aberd.
Aberdeen Ch.B. Bachelor of Surgery
M.D Doctor of Medicine
Ch.M. Master of Surgery
University of M.B., Bachelor of Medicine & U.Edin
Edinburgh Ch.B. Bachelor of Surgery
M.D Doctor of Medicine
Ch.M. Master of Surgery
Dip. Psych. Diploma in Psychology
D.P.M Diploma in Psychological
Medicine
University of M.B., Bachelor of Medicine & U. Glasg.
Glasgow Ch.B. Bachelor of Surgery
M.D. Doctor of Medicine
Ch.M. Master of Surgery
University Andrews St. M.B., Bachelor of Medicine & U.St.
Ch.B Bachelor of Surgery
M.D. Doctor of Medicine
Ch.M. Master of Surgery
Queen’s University of M.B.B.Ch. Bachelor of Medicine & U.Belf.
Belfast Bachelor of Surgery
M.D. Doctor of Medicine
M.Ch. Master of Surgery
M.A.O Master of Obstetrics
Royal College of L.R.C.P. Licentiate R.C.P. Lond.
Physicians of London M.R.C.P. Member
F.R.C.P. Fellow
Royal College of M.R.C.S Member R.C.S. Eng.
Surgeons of England F.R.C.S Fellow
F.F.A.R.C.S.. Fellow
(Faculty of Anaesthesia)
Provided that this
qualification has been
awarded after qualifying at an

MEDICAL ATTENDANCE AND TREATMENT RULES

Page 605
 Country Title Nature of Qualifications Abbreviations
examination.
Society of L.M.S.S.A. Licentiate in Medicine and S.A. Lond.
Apothecaries of London Surgery
L.S.A. Licentiate
Royal College of L.R.C.P. Licentiate R.C.P. Edin.
Physicians M.R.C.P. Member
F.R.C.P Fellow
Royal College of L.R.C.S Licentiate R.C.S. Edin.
Surgeons of F.R.C.S. Fellow
Edinburgh
Royal College of L.R.C.P.S. Licentiate R.C.P.S. Glasg.
Physicians and M.R.C.P. Member
Surgeons of Glasgow F.R.C.P. Fellow
F.R.C.S Fellow
F.R.C.P.S. Fellow
University of New M.B., Bachelor of Medicine & U.Ncle.
Castle-Upon-Tyne Ch.B. Bachelor of Surgery
University of Castel M.D. Doctor of Medicine U.Ncle.
Upon-Tyne Ch.M. Master of Surgery
University of Dundee M.B., Bachelor of Medicine & U. Dundee
Ch.B. Bachelor of Surgery
M.D. Doctor of Medicine
Ch.M. Master of Surgery
Royal College of M.R.C.P. Member R.C.P., U.K.
Physicians of United
Kingdom
Royal College of M.R.C.O.G. Member R.C.D.G. Lond.
Obste- tricians and
Gynaecologists,
London
Royal College of MR.C. Member R.C.P. (Lond.)
Pathologists London F.R.C. Fellow (Lon.)
Royal College of D.O.M.S Diploma in Opthalmology R.C.P. & S.
Physicians and Medicine and Surgery (Lond.)
Surgeons, London
D.O. Diploma in Opthalmology
O.P.M. Diploma in Psychological
Medicine
Royal College of M.R.C Psyon Member R.C. Psych.
Psychratrist London (Lond.)

MEDICAL ATTENDANCE AND TREATMENT RULES

Page 606
 Provided that the qualification has been awarded after qualifying at an
examination.

The above qualifications granted in United Kingdom shall be recognised medicine

qualifications when granted on or before 11th Nov. 1978.

MEDICAL ATTENDANCE AND TREATMENT RULES

Page 607
 ANNEXURE-II
LIST OF ARTIFICIAL APPLIANCES

1. Unilateral long leg brace without hip joint

2. Hip joint with pelvic band
3. Spinal brace
4. Unilateral short leg brace
5. Shoe or Boot - Protective or aiding to paralysed or weak legs.
6. Bilateral hip joint with pelvic band/weak leg.
7. Bilateral long leg brace without hip joint.
8. Bilateral short leg brace
9. Lumbo-sacral or Spinal support or back Support
10. Taylors brace
11. Milwaukee brace
12. Mermaid splint
13. Posterior slab
14. Cervical brace four post
15. Rigid Cervical Collar with head extension
16. Cervical Collar
17. Dynamic splint (Aluminium)
18. Cock-up splint plain (Aluminium)
19. Cock-up splint (plastic) or long opponens
20. Turn Buckle splint
21. Nuckle bender splint
22. Anterior knee Guard splint
23. Densis brown splint
24. Congential Talipus Equino Varus/Valgus splint
25. Short Opponens, P.V.C. (Plastic)
26. Knee Cage
27. Long Opponens with M.P. ft. bar and finger
28. Extension (plastic) Dynamic
*29. Boot with C and E heel and arch support
30. C and E heel

MEDICAL ATTENDANCE AND TREATMENT RULES

Page 608
31. Arch support
32. M.T. Pad
33. M.T.E. Raising 1"
34. T. Strap
35. Sponge heel
36. Wedge 1/8"
37. Universal Raising 1"
38. Foot drop splint
39. Below Knee prosthetics (P.T.S. type Prosthetics)
40. Aluminium adjustable above knee right splint
41. Plastic shoulder abduetion splint
42. Plaster of paris or Gypsona cast
43. Modified shoes
44. Below Elbow Prosthetics
45. Hooks
46. Cosmetic hand
47. Splint for C.D.H.
48. Splint for Elbow
49. Above Elbow and below elbow Prosthetics
50. Above Elbow and below elbow Orthotics
51. Corset
52. Wheel chair
53. Protective shoes with microcellular rubber without nails often with additional
gadgets like adjustable springs and rockets.
54. Crutches
55. Walking iron with plaster casts
56. Calipers
57. Braces
58. Artificial limbs
59. Illestomy kit

MEDICAL ATTENDANCE AND TREATMENT RULES

Page 609
** Reimbursement of the cost of the following implants shall be allowed as per actual cost.
However, the claim for cost of implants shall have to be supported with original bills/ vouchers
from the supplier/ manufacturer along with the hospital bills.
S.No Type of implants
1. Pacemaker (single chamber)
2. Pacemaker (Dual chamber)
3. Other cardiac implant
4. Drug Eluting Stent
5. Bare metal stent (non DES)
6. Total Knee joint
7. Total Hip joint

MEDICAL ATTENDANCE AND TREATMENT RULES

Page 610
 ANNEXURE-III

SCHEDULE OF CHARGES ADMISSIBLE FOR TREATMENT

1. OUTPATIENT TREATMENT

Sl. Item Provision Charges

No.

1. Consultation Holy Family Rates for private As revised/

(Specialist) Consultation, per prescribed from
time to time
Allopathy/Dental consultation
2. Consultation Holy Family Rates for private As revised/
(General) Consultation, per prescribed from
Ayurvedic/Homeo consultation time to time
3. Consultation 50% of Holy Family Rates As revised/
(General) for Private Consultation, per prescribed from
Allopathy/Dental consultation time to time
4. Consultation 50% of Holy Family Rates As revised/
(General) for Private consultation, per prescribed from
Ayurvedic/Homeo consultation time to time
In case medicines are supplied by the Doctor himself under
Ayurvedic or Homeopathic system of medicine, the reimbursement
shall be restricted to Rs.25/- per day for the period of treatment
which will not exceed 30 days at one time.
As revised/
5. Domicialiary visits Two times the normal rates prescribed from
(Specialist) for reimbursement time to time
6. Domicialiary visits Two times the normal rates As revised/
(General) for prescribed from
Reimbursement time to time
7. Injection Fees, As per rate of Holy Family -----
Dressing Charges Hospital, New Delhi.
etc.
8. Dental treatment As per rate of Batra Hospital, -----
New Delhi

Note :

a) For visit between 10 PM & 6 AM, the charges will be 1 & 1/2 times the normal
charges.

b) A certificate from the concerned A.M.P. will also be required to the effect the
domicillary visit was essential in the interest of health of the patient.

MEDICAL ATTENDANCE AND TREATMENT RULES

Page 611
c) For outpatient treatment obtained in Notified hospital (s), the consultation charges
as charged by that hospital(s) concerned shall be reimbursed.

d) Consultation (under ayurveda and homeo systems) with a doctor having

graduation is treated as 'General' whereas with a doctor having post-graduate
qualification is treated as 'Specialist'.

e) The above rates are linked to the location, and will be restricted to 80% and 60%
of the rates in respect of B1 & B2 class, and unclassified cities, respectively.

f) In case medicines are supplied by the doctor himself under Ayurvedic or

Homeo system of medicine, the reimbursement will be restricted to the prescribed
ceiling as revised from time time.

MEDICAL ATTENDANCE AND TREATMENT RULES

Page 612
2. ACCOMMODATION CHARGES FOR IN-PATIENT TREATMENT

a) For Delhi based employees

i) Notified Hospital:

If treatment is taken in a notified hospital, reimbursement of actual

accommodation charges will be limited to the entitlement (linked to Grades) of
employees in that hospital. The categorisation will be as follows :

Category-I W0-W4
Category-II W5-W7
Category-III W8-W11
S1-S4, SG
E2-E3
Category-IV E4-E5
Category-V E6-E7
Category-VI E8 and above

ii) Non-notified Hospital :

If treatment is taken in a non-notified hospital, reimbursement of actual

accommodation charges will be limited to the rates of Holy Family Hospital as
applicable to categories as given below :

Grade Accommodation Type

W0-W4 Non-subsidised Bed
W5-W7 -do-
W8-W11 Semi Pvt. Room
S1-S4 -do-
SG -do-
E2-E3 -do-
E4-E5 Private Room
E6-E7 -do-
E8 & above -do-

b) For employees posted at places other than Delhi

Hospital will be notified by the concerned RLDC/NLDC at various places viz.

places where RLDC/NLDC/CC etc., are located with the approval of ED based on
requirements. On such notification, reimbursement of expenditure shall be
regulated as under:

MEDICAL ATTENDANCE AND TREATMENT RULES

Page 613
 i) For Notified Hospital

Actual accommodation charges limited to entitlement linked to Grades of the

employees in that notified on the category as at Sl. No. 2 (a) (i).

ii) For Non-notified Hospital

If treatment is taken in a non-notified hospital, reimbursement of actual

accommodation charges will be limited to ceiling of any of the notified hospitals
of the concerned places approved as Benchmark hospital of the area or specified
percentage of rates admissible for Delhi based employees for treatment taken in
non-notified hospital, whichever is lower.

iii) Where no hospitals are notified

Reimbursement of actual accommodation charges limited to specified percentage

of rates admissible to Delhi based employees in non-notified hospitals (i.e. as at
Sl. No. 2 (a) (ii) above), as follows :
Classification of Cities* Percentage
'X' Class 100%
'Y' Class 80%
Unclassified/Z-Class 60%
(* Classification of cities will be the same as followed for payment of HRA.)
List of classification of cities enclosed at Annexure-VI)

Note :

Payment for higher type of accommodation may be made to empanel hospital for
indoor treatment, when entitled accommodation is not available subject to the
following

a) Certificate of non-availability of entitled accommodation is obtained from the

hospital.

b) Certificate describing the nature of emergency is obtained from the treating

Doctor/Medical superintendent.

c) The empanel hospitals may be requested to see that entitled accommodation is

available to our employee and necessary certificate regarding emergency and non-
availability may be sent along with bill as and when occasion arises.

MEDICAL ATTENDANCE AND TREATMENT RULES

Page 614
3. MEDICAL TREATMENT CHARGES

a) For Delhi based employees

Notified Hospital

If treatment is taken in a notified hospital, reimbursement of actual treatment

charges limited to the rates charged by notified hospitals for the treatment in
question and will be related to the entitled accommodation charges.

Non-notified Hospital

If treatment is taken in a non-notified hospital, reimbursement of actual treatment

charges limited to the entitlement of the employee in the Holy family Hospital.

b) For employees posted at places other than Delhi

I) For places where hospitals are notified (as at Sl. No. 2 (b) above):

a) If treatment is taken in a notified hospital, reimbursement of actual treatment

charges limited to the rates charged by notified hospitals for the treatment in
question and will be related to the entitled accommodation charges.

b) If treatment is taken in a non-notified hospital, reimbursement of actual treatment

charges limited to the entitlement of the employee in the Holy Family Hospital.

ii) For places where hospitals are not notified

Reimbursement of actual treatment charges limited to specified percentage of

rates admissible to Delhi based employees in the Holy Family Hospital, based on
entitlement, as follows :

Classification of Cities* Percentage**

'X' Class 100%
'Y' Class 80%
Unclassified/Z-Class 60%
* Classification of cities will be the same as followed for payment of HRA.
** Medical Attendance for specialists & operation charges.

Note : In case treatment is not available in Holy Family rate list, the rate list of AIIMS
may be taken. If the rates are not available in AIIMS also, lowest rates of local
empanel hospital may be allowed.

[Applicable in respect of Sl. No. 3(a)(ii), 3(b)(i)(b) & 3 (b)(ii)].

MEDICAL ATTENDANCE AND TREATMENT RULES

Page 615
MEDICAL ATTENDANCE AND TREATMENT RULES
Page 616
MEDICAL ATTENDANCE AND TREATMENT RULES
Page 617
MEDICAL ATTENDANCE AND TREATMENT RULES
Page 618
MEDICAL ATTENDANCE AND TREATMENT RULES
Page 619
MEDICAL ATTENDANCE AND TREATMENT RULES
Page 620
 Annexure-VI
Classification Cities for Payment of House Rent Allowance

MEDICAL ATTENDANCE AND TREATMENT RULES

Page 621
MEDICAL ATTENDANCE AND TREATMENT RULES
Page 622
EMPLOYEES MEDICAL
HEALTH CHECK-UP
SCHEME

Page 623
 EMPLOYEES MEDICAL HEALTH CHECK-UP SCHEME

1.0 Considering the increased pace of heart and diseases like diabetes, blood pressure,
etc. and also considering the fact that employees even in younger age group are
getting affected by various diseases, the Employees Medical Health Check-up
Scheme is introduced.

2.0 Guidelines for Medical Health Check-up Scheme:

i. The Scheme shall cover all employees and their spouses, who are in age group of
30 years and above and covered under POSOCO, Medical Attendance and
Treatment Rules.

ii. Test & Investigation

Employees and their spouses shall be allowed to undergo periodic test &
investigation depending upon the age as mentioned below:

Sl. Grade Age Group Periodicity Test &

No. (Employees Investigations
and their
Spouses)
1 Executives at ----------------- Once in a Plan-A
Chief GM level & year (Annexure-A)
above and their
spouses
2 Workmen, 30 Years & Once in a Plan-B
Supervisors, above year (Annexure-B)
Executives up to
Sr. GM level and
their Spouses

i. For any complications, if detected, additional tests and investigation will be got
done as per requirements.

ii. A computerized database shall be maintained in respect of all the employees

containing family history of diseases along with other details as felt necessary in
this regard. Report of these tests shall be included in the database. For this
purpose, respective hospitals will be required to provide data in proper format.

iii. CC-HR (Admn.-Welfare)/ HR of RLDCs/NLDC shall finalize hospitals,

rates/terms of Employee Health Checkup by inviting quotations from empanelled
hospitals.

EMPLOYEES MEDICAL HEALTH CHECK-UP SCHEME

Page 624
Reference:
(1) Corporate HR Circular No. 34/2018 dated 28.11.2018 (Preventive Health Check-up Scheme
to Eligible Regular Employees)
(2) Corporate HR Circular No. 03/2019 dated 10.01.2019 (Preventive Health Check Scheme
2019)
(3) Corporate HR Circular No. 06/2019 dated 15.02.2019 (Preventive Health Check Scheme
2019)

EMPLOYEES MEDICAL HEALTH CHECK-UP SCHEME

Page 625
 Annexure-A
COMPREHENSIVE HEALTH CHECK-UP
Plan-A

1. Good General Physical Examination by a physician which should include:

a) Height
b) Weight
c) BMI
d) Abdominal girth
e) Hip girth
f) W/H ratio
2. Physical examination by a surgeon
3. Examination by Eye Specialist
4. Dental Examination
5. Psychological Assessment
6. Immunization Status
7. Investigations:
a) Haemogram
b) ESR
c) Stool Examination
- Routine
- Microscopic
- Occult blood
d) Urine Examination
e) Glucose Tolerant Test
f) Extended Lipid Profile
g) Serum Uric Acid
h) Blood Urea
i) Serum Creatinine
j) Liver Function test including GTT
k) Serum Amylase
l) X-ray chest
m) Ultra-sonography of the abdomen
n) PSA
o) TMT
p) Echocardiogram
q) Renal Artery Doppler Studies of whole abdomen
r) TSH
8. Tests to be done once
a) G-6 PD Level
9. Tests for Women
a) Papanicolaou
b) Mammography
c) Pelvic Examination
d) Bone density after 40 years

EMPLOYEES MEDICAL HEALTH CHECK-UP SCHEME

Page 626
 Annexure-B
COMPREHENSIVE HEALTH CHECK-UP
Plan-B
1. Good General Physical Examination by a physician which should include:
a) Height
b) Weight
c) BMI
d) Abdominal girth
e) Hip girth
f) W/H ratio
2. Examination by Eye Specialist
3. Examination by a surgeon for genital/rectal
4. Gynae Check-up for female for genital/rectal
5. Routine Stool examination
6. Routine Urine examination
7. X-ray (Chest)
8. Resting Echocardiogram
9. Haemogram
10. TSH
11. Blood Sugar-fasting and PP
12. Lipid Profile
13. Uric Acid
14. Urea
15. Creatinine
16. Gama GT, SGOT, SGPT
17. Ultra-sonography of the abdomen
18. Pap smear of women

EMPLOYEES MEDICAL HEALTH CHECK-UP SCHEME

Page 627
CONTRIBUTORY SCHEME
FOR POST-RETIREMENT
MEDICAL FACILITIES

Page 628
 CONTRIBUTORY SCHEME FOR POST-RETIREMENT MEDICAL FACILITIES

1.0 Coverage
The Scheme is framed with a view to provide medical benefits to the employees
of POSOCO and their spouses subsequent to their retirement, on contributory
basis, subject to the provisions as detailed hereunder.

2.0 Eligibility
2.1 The Scheme will apply to the following categories of POSOCO employees:

(i) Employees who separate from the Company on account of retirement on attaining
the age of superannuation or are separated by the Company on medical grounds,
provided that the concerned employees have completed a minimum qualifying
period of 15 years of continuous service in Central/State Government/Public
Sector Undertakings (including Central Govt. Undertakings in Co-operative
Sector), out of which a minimum of 3 years shall be in POSOCO, which is
inclusive of service in any of the constituent organisation (POWERGRID), in case
employees have been or will be transferred from any of these Constituent
Organisations and absorbed in POSOCO with the benefit of continuity of service.

(ii) Board level appointees, on completion of their tenure or on separation on medical

grounds.

(iii) POSOCO Executives and Functional Directors who are appointed to senior or top
level posts through Government Order or Presidential Order in other PSU/Govt.
Department/Authority/Board etc., on retirement, on attainment of age of
superannuation or on completion of the tenure of appointment or on separation on
medical grounds from such other organisations, provided concerned
Executives/Functional Directors exercise their option for coverage under
POSOCO Contributory scheme for Post-retirement Medical facilities, whether or
not Post-retirement Medical Facility in any form exists in such organisations and
provided concerned employees fulfill eligibility criteria as at 2.1 (I) above.
Further, benefit can be availed either under POSOCO scheme or any scheme of
post-retirement medical facility of such other organisations.

2.2 In case of death of the retired/separated employee who has been availing of the
benefits under the Scheme, his/her spouse will continue to avail the benefits under
the Scheme subject to his/her continuing to meet the terms and conditions of the
scheme.

2.3 The benefits under the Scheme would be available to the concerned employee
only if the employee concerned and his/her spouse is not availing any medical
facilities from or through the Central/State Government/Public Sector
Undertaking/Quasi-Government Body.

CONTRIBUTORY SCHEME FOR POST-RETIREMENT MEDICAL FACILITIES

Page 629
3.0 Benefits
The medical benefits to the retired/separated employees and their spouses under
the scheme will be admissible for the treatment taken only in India and would be
as under:

3.1 The retired/separated employees residing at places where the Company has its
empanelled hospital/full-fledged dispensaries would be allowed medical treatment
facilities, including medicines as available in such hospitals only.

3.2 In respect of such retired/separated employees who reside at places where the
Company does not have its own empanelled hospitals/full-fledged dispensaries,
reimbursement of medical expenses incurred shall be regulated as under :

3.2.1 Indoor Treatment

Reimbursement of medical expenses incurred for indoor treatment will be
allowed, subject to the condition that the treatment is obtained in Government
hospitals or other hospitals notified by the Company.

3.2.2 Radiological investigations (like PER/CT/PETMRI), Endoscopy, ERCP,

Lithotripsy, Laser Treatment (Non-cosmetic), Cataract, Thallium Scan, Colour
Doppler, Oxygen Therapy, Radiation, Chemotherapy, Dialysis taken in day care,
shall be treated as indoor treatment and procedure laid down for indoor treatment
shall be applicable.

3.2.3 Out patient/Domiciliary Treatment

a) For outpatient/domiciliary treatment taken in empanelled hospitals wherever

available, reimbursement may be allowed as in case of regular employees.
However, this will be subject to annual ceiling for reimbursement of expenditure
which is equivalent to the maximum of the Pay Scale of a serving employee of
equivalent status/rank, on the last day of the relevant financial year.

b) In case of outpatient/ domiciliary treatment taken in other than empanelled

hospitals, the reimbursement may be allowed as applicable to regular employees
of equivalent status subject to the ceilings as mentioned at (a) above.

c) The expenditure on medicines purchased against the prescriptions of Company

visiting doctors may be reimbursed subject to the annual ceilings stipulated at (a)
above.

d) Parents who are Financially Dependent on, and residing with the superannuated/
retired employee shall be covered for Out Patient Treatment as per the rules of
above mentioned Scheme.

CONTRIBUTORY SCHEME FOR POST-RETIREMENT MEDICAL FACILITIES

Page 630
 e) In addition to Parents, Children, who are Permanently Disabled, Financially
Dependent on, and residing with the superannuated/ retired employee, shall also
be covered for Out Patient Treatment as per the rules of Contributory Scheme for
Post-Retirement Medical Facilities.

f) The Outpatient Treatment for Dependent Parents and Dependent Children as

defined in Clause (d) and (e) above will be subject to the following conditions.

I. Out-Patient Treatment of dependent parents and dependent children (as

defined in Clause (d) and ( e) above shall be within the annual ceiling limit
of a superannuated/ retired employee. No relaxation in annual ceiling of
Out-Patient treatment shall be permitted in such cases.

II. Reimbursement of Out-Patient treatment shall be permitted subject to the

condition that the same is permissible under the medical rules of the
company or any changes in such rules, as notified by the Management
from time to time.

III. Dependence of Parents shall be governed by Clause 2.5 of Medical

Attendance & Treatment Rules.

IV. Dependence of Children shall be applicable only if they are Permanently

Disabled, Financially Dependent on, and residing with the superannuated/
retired employee.

V. The Contributory Scheme for Post-Retirement Medical Facilities is

applicable to superannuated/ retired employees and their spouses only;
Dependent Parents and Dependent Children as detailed above are being
covered by extension of the scheme. They will be covered under the
scheme only during the Lifetime of either the superannuated/ retired
employee or his/ her spouse.

g) Superannuated and retired employees covered under Contributory Scheme for

Post-Retirement Medical Facilities are allowed reimbursement of Rs.15,000 (all
inclusive) per employee towards purchase of pulse oximeter, BP monitor
machine, forehead thermometer, weighing machine, steamer and nebulizer and
glucometer (blood glucose monitor). This will be subject to and within their
respective annual OPD ceiling limits. The same will also be admissible without
prescription, once, subject to a combined ceiling limit of Rs. 15,000/- (all
inclusive), upto 31st March 2022. Beyond 31st March 2022, the reimbursement
for above equipment will be allowed on need basis, with a Doctor’s prescription,
once in two years. This will subject to a combined ceiling limit of Rs. 15,000 (all
inclusive) and also subject to and within the annual OPD ceiling limit of

CONTRIBUTORY SCHEME FOR POST-RETIREMENT MEDICAL FACILITIES

Page 631
 respective Superannuated/ Retired employees. In all cases, the reimbursement will
be admissible only on production of proper GST bills in the name of
superannuated/ retired employee and will be taxable as per the extant Income tax
laws.

3.3 Preventive Health Check-up Scheme.

Retired employee, his/her spouse shall be covered under Company’s Preventive

Health Check-up Scheme subject to following conditions:

(i) Reimbursement of expenditure incurred towards preventive health check-up shall

be allowed once in a year, if desired.

(ii) The list of tests shall be same as the one applicable for existing employees of
equivalent level (level of concerned ex-employee prior to retirement). List of tests
for spouse shall be the same as applicable for spouses of existing employees of
equivalent level.

(iii) Expenditure incurred towards preventive health check-up shall be booked/

reduced from the annual OPD ceiling limit of retired employee as indicated at
3.2.2(a) above.

(iv) The rate of reimbursement shall be restricted to the amount finalized for
preventive health check-up for existing employees.

(v) Chairman and Managing Director shall have powers to make minor
modifications/changes if required, such as inclusion of a new vaccine/ medicine/
diagnostic tests and empanelment of hospital.

4.0 Contribution
4.1 Eligible retired/separated employees who intend to avail of benefits under the
Scheme shall be required to pay a onetime contribution under the Rules of
POSOCO Post-Retirement Benefit Scheme as follows:

Category of Employees Amount (Rs.)*

Executives 30,000/-
Supervisors 25,000/-
Workmen 21000/-
*The above amount shall be deposited in favour of POSOCO for the purpose of
availing benefit in Employees Post-Retirement Benefit Scheme.

CONTRIBUTORY SCHEME FOR POST-RETIREMENT MEDICAL FACILITIES

Page 632
 The revised One-time Contribution shall be applicable for employees who retire
on or after 30.06.2019. For the employees in Workmen Category, the revised
One-time Contribution shall be recovered on 7(seven) equal monthly instalments
prior to their date of superannuation. Those workmen who are left with less than
07 months service, the amount shall be recovered proportionately.

4.2 The contribution once paid shall not be refundable even if the benefits under the
scheme are not availed by the beneficiary or in the event of death of
beneficiary/beneficiaries.

4.3 Where a retired/separated employee joins scheme at later date and pays his
contribution, he/she can seek advantage under the scheme from date of his joining
scheme by payment of one time contribution.

5.0 Procedure
5.1 An eligible retired/separated employee who intends to avail of medical benefits
under the scheme shall apply for this purpose to the Head of the
RLDC/NLDC/Office from where he/she has retired/separated, indicating inter-
alia, the POSOCO RLDC/NLDC/Office where he wants to register himself for
availing the facilities, giving his residential address. In the event, the employee
wants to change the place from where he/she wants to avail the benefits, he will
have to approach the RLDC/NLDC/Office from where he/she is availing the
facilities for the change.

5.2 The HR Department of the NLDC/RLDCs will, after scrutiny of the application
and verification of the eligibility conditions as mentioned in para 2.0 above, issue
an office order permitting the beneficiary/beneficiaries to avail the benefits with
copies to the HR Department and Finance Department of the concerned
NLDC/RLDCs where the retired/separated employee is to be registered.

5.3 The NLDC/RLDCs where the retired/separated employee is to be registered shall

duly register the retired/separated employee concerned and issue a Medical Card
to him in the form prescribed at Annexure-I, after receipt of the prescribed
amount of contribution from the retired/separated employee. The amount will be
payable to the NLDC/RLDCs by cash or Demand Draft in favour of POSOCO
drawn on any branch at that place. A copy of the medical card shall also be sent to
the concerned Finance and Accounts Department.

5.4 The Medical Card will be valid for life time of eligible retired/separated employee
and/or his/her spouse.

6.0 Claim
6.1 For claiming reimbursement of medical expenditure incurred by the beneficiaries
covered under Para 3.2 above, the retired/separated employee shall prefer claim

CONTRIBUTORY SCHEME FOR POST-RETIREMENT MEDICAL FACILITIES

Page 633
 not more than once in a month to the Accounts Department of the Region/Office
concerned in the form prescribed at Annexure-II.

6.2 The claim will be processed and reimbursed to the retired/separated employee by
the concerned Accounts Department after verifying the Medical Card and the
benefits admissible to the retired/separated employee concerned under the
scheme.

7.0 General
7.1 In case any doubt arises regarding the genuineness or otherwise of the claims
preferred by the retired/separated employee, the Company reserves the right to
direct the beneficiary to present himself before a Medical Board and that no
reimbursement will be made till the recommendations of the Medical Board are
received in this regard.

7.2 If, on reasonable belief or on the basis of recommendations of the Medical Board,
it is found that there is misuse of the benefits under the Scheme by any
beneficiary, he may be summarily debarred from the benefits under the Scheme.

7.3 The Company reserves the right to amend, modify or discontinue the Scheme, in
part or full.

7.4 In respect of any matter not covered herein, specific reference will be considered
by Corporate HR department for decision.

Reference:
(1) Corporate HR Circular No. 5/2017 dated 20.12.2017 (Contributory Scheme of Post-
Retirement Medical Facilities – Modifications thereof)
(2) Corporate HR Circular No. 14/2018 dated 11.06.2018 (Pay Revision of Board
Level Executives and Below Board Level Executives w.e.f. 01.01.2017)
(3) Corporate HR Circular No. 33/2018 dated 28.11.2018 (Post-Retirement Medical
Benefits – Extension of Preventive Health Check-up)
(4) Corporate HR Circular No. 9/2019 dated 29.03.2019 (Revision of Pay and Benefits
Structure for Employees in the Workmen Category)
(5) Corporate HR Circular No. 10/2019 dated 29.03.2019 (Revision of Pay and
Benefits Structure for Employees in the Supervisory Category)
(6) Corporate HR Circular No. 21/2019 dated 24.06.2019 (Revision in One Time
Contribution under POSOCO Post-Retirement Medical Benefit Scheme)
(7) Corporate HR Circular No. 6/2020 dated 21.05.2020 (Contributory Scheme of Post-
Retirement Medical Facilities – Modifications in Out Patient Treatment)
(8) Corporate HR Circular No. 09/2020 dated 15.06.2020 (Self Diagnosis/ Treatment/
Medical Equipment)
(9) Corporate HR Circular No. 10/2020 dated 22.06.2020 (Medical Equipment “Self –
Diagnosis/ Treatment – Inclusion of Glucometer”)

CONTRIBUTORY SCHEME FOR POST-RETIREMENT MEDICAL FACILITIES

Page 634
 Annexure-I
MEDICAL CARD
(Under Contributory scheme for Post-retirement Medical Facilities)
Registration No. _____________________
(To be filled in by the registering office)
1. Name of the retired/separated
employee and employee number: ………………………………………
2. Date of retirement: ………………………………………
3. Designation at the time of retirement: …………………………………….
4. Scale of pay and basic pay as on
the date of retirement: ……………………………………..
5. Region/Office from which retired/
separated: …………………………………….
6. Region/Office where registered for
medical benefits under the scheme: ……………………………………
7. Permanent address: ……………………………………
8. Present address: ……………………………………
9. Validity period of the card: ……………………………………
________________________________________________________________
Name of the beneficiaries :
(i) ………………………… (Retired/Separated employee) …………………... (age)
(ii) ………………………. (Spouse) ……………………………………………. (age)

_________________________ __________________________
Specimen signature of the Signature of the issuing officer
Retired/separated employee
Specimen signature of the
Retired/separated employee

CONTRIBUTORY SCHEME FOR POST-RETIREMENT MEDICAL FACILITIES

Page 635
 Annexure-II
Claim form for Reimbursement of Medical Expenses Incurred
by the Retired Employee
(Under Contributory scheme for post retirement medical facilities)
Medical Card Number

Name & grade of the Employee No. Last Pay Drawn Medical Card valid
retired employee upto

Present address at which the cheque is to be sent. __________________________

1. Name of the patient ________________ Note :

2. Relationship with the retired 1. Doctor’s prescription and

employee ________________________ cash memos in original
should be attached

3. Place at which patient fell ill __________ 2. Receipts for amounts claimed
should be enclosed

4. If treatments taken at place other 3. Separate claim should be

than the place of residence, give prepared for each patient and
reasons _________________________ each spell of treatment

5. Name of the doctor or hospital from

where treatment taken _____________

6. Qualification of the doctor __________

………………………………………………………………………………………………………
……
(To be certified by the retired/separated employee)
I hereby declare that:
i) The statements made in the claim are true to the best of my knowledge and belief.

CONTRIBUTORY SCHEME FOR POST-RETIREMENT MEDICAL FACILITIES

Page 636
ii) I am a member of Contributory Scheme for Post-retirement Medical Facilities
_____________

iii) I continue to fulfill the conditions of eligibility for availing the benefits under the scheme.

iv) The medical expenses were incurred for self/spouse.

v) I fully understand that the Company may refuse/terminate my membership of the Scheme
at any time without assigning any reasons.

Date _____________ Signature of the retired/

Separated Employee

………………………………………………………………………………………………….
(To be filled in by the Accounts Department)
Claim passed for payment Rupees (in words) ______________________________
(in figures) ______________________________

Accountant Concerned Finance Executive Dated :

…………………………………………………………………………………………………
Received rupees (in figures) ___________________________________________
(in words) ___________________________________________

Dated : _______________________
Signature of the retired/
separated Employee.

CONTRIBUTORY SCHEME FOR POST-RETIREMENT MEDICAL FACILITIES

Page 637
 DETAILS OF THE AMOUNT CLAIMED

NON-HOSPITALISATION AMOUNT HOSPITALISATION AMOUNT

CASE Rs. P. CASE Rs. P.

1. Consultation Fees 5. Accommodation charged

Date Amount for the period
a) ………………………. From ………………….
b) ……………………… To …………………….
c) …………………………. @ Rs. ……… per day
Total 1 ……………………

2. Injection Administration 6. Surgical Operation or

Fees confinement charges
Date Amount
7. Cost of Medicines
a) ……………………….
b) ………………………
c) ………………………….
Total 2 ……………………

3. Medicines Purchased from C. Total (5+6+7)

Market
Total amount claimed
C.M. No. Amount
(A+B+C)
a) ……………………….
b) ……………………… Less : Amount of
c) …………………………. Advance ___________
Net Amount claimed
d) ………………………..
e) ………………………..
Total 3 …………………

A. Total (1+2+3) Details of amount

disallowed
Reasons Amount

4. Pathological/Other Tests 1.
Name of the test Amt.
2.
A) ………………………
b) …………………….. 3.
c) ……………………..
d) …………………….. 4.

B. Total 4

Concerned Finance Executive

Date : Signature of the retired/separated employee

CONTRIBUTORY SCHEME FOR POST-RETIREMENT MEDICAL FACILITIES

Page 638
CONTRIBUTORY SCHEME FOR MEDICAL
FACILITIES TO SPOUSE AND MINOR
CHILDREN OF DECEASED EMPLOYEE

Page 639
 CONTRIBUTORY SCHEME FOR MEDICAL FACILITIES TO SPOUSE
AND MINOR CHILDREN OF DECEASED EMPLOYEE

1.0 Spouse and dependent minor children of employee including POSOCO

executives and functional Directors appointed to senior and top level posts
through Govt. order or presidential order in other PSU/Govt.
Deptt./Authority/Board keeping lien in POSOCO, who die while in service will
be eligible for medical facilities as per the terms and conditions as contained in
the contributory scheme for post retirement medical facilities, subject to following
additional conditions.

(i) Spouse and dependent minor children of a deceased employee shall qualify for
medical facilities only if the deceased employee had rendered 10 years of
continuous service in Central Govt./State Govt./PSUs including at least 3 years of
service in POSOCO.

(ii) Minor children of such deceased employee shall continue to avail medical facility
till the date of deemed retirement of the deceased employee had he/ she been alive
and not having attained majority till that date.

Note :
Minor children mean children below 25 years of age. However, the restriction of
25 years of age would not be admissible for mentally retarded or physically
handicapped children dependent on the employee. The benefits would be
admissible to all the dependant children availing the medical benefits under the
medical attendance and treatment rules at the time of death of the employee.

(iii) Medical facility will not admissible when spouse is employed in central/state
Govt./Public Sector Undertaking or in receipt of medical facility elsewhere.

(iv) Spouse of deceased employee will not be eligible for medical facility on
remarriage or becoming dependent of son/daughter.

2.0 The benefits, contribution, procedure and claim etc. shall be regulated as per the
provision contained under the contributory scheme for post retirement medical
facility.

3.0 The Chairman and Managing Director is empowered to make minor relaxation in
the provisions keeping in view the principles of Equity, Fairness and Interest of
the Company.

4.0 The Company reserves the right to modify/amend or delete any provision or
withdraw the scheme providing coverage to spouse and dependant minor children
of an employee dying in harness either partially or in Toto any time at sole
discretion.

MEDICAL FACILITIES TO SPOUSE AND MINOR CHILDREN OF DECEASED EMPLOYEES

Page 640
5.0 In case of inconsistency, if any, with the terms and conditions laid down in the
contribution scheme for post – retirement medical facilities, the provisions as laid
down here before shall prevail so far coverage of spouse and minor children of
deceased employee is concerned.

MEDICAL FACILITIES TO SPOUSE AND MINOR CHILDREN OF DECEASED EMPLOYEES

Page 641
HOUSE BUILDING
ADVANCE (HBA)
RULES

Page 642
 POSOCO HOUSE BUILDING ADVANCE (HBA) RULES

1.0 Objective

1.1 The objective of POSOCO House Building Advance Rules is to establish uniform
policy and rules relating to the grant of House Building Advance to the employees of
the Company.

2.0 Policy

2.1 These rules are framed entirely as a welfare measure and do not confer any right or
benefit on the employees nor impose any obligation or liability, whatsoever, on the
Company and shall not be deemed to be any contract or condition of service between
the Company and any such employee

2.2 The House Building Advance will be admissible for constructing a house including
purchase of land for that purpose, purchase of house, enlarging an existing
accommodation, preferably in the areas falling within a radius of 40 kms of the
Company’s project and/ or its permanent offices; or anywhere in India, where an
employee of the Company intends to settle down after retirement.

3.0 Definitions

In these rules, unless the context otherwise requires:

3.1 “Company” means the Power System Operation Corporation Limited POSOCO
including the NLDC/ RLDCs/ Regions under its management.

3.2 “Competent Authority” means the authority empowered to sanction House Building
Advance in accordance with these Rules.

3.3 “Committee” means a Committee as constituted under these rules.

3.4 Employee” means a person employed in the regular establishment of the Company
but does not include:

(i) a lien holder;

(ii) a deputationist on foreign service terms;

(iii) a person appointed on contract;

(iv) a muster roll, daily rated, casual, badli or substitute employee;

(v) an apprentice/a trainee; and

(vi) Work-charged employees.

POSOCO HOUSE BUILDING ADVANCE RULES

Page 643
3.5 “Family” means an employee’s spouse and minor children including legally adopted
children.

3.6 “House” means a house, flat or a tenement.

3.7 “Salary/Wages” means basic pay, special pay and personal pay plus dearness
allowance and will include pension and pension equivalent of retirement benefits, in
respect of a re-employed pensioner provided and to the extent the same has been taken
into consideration for fixation of his basic pay.

4.0 Eligibility
4.1 Subject to rule 4.4, all employees who, on the date of making application for advance
have rendered not less than three years continuous service in the regular establishment
(excluding service as work charged, muster roll or trainee) shall be eligible for grant of
the advance.

4.2 Employees of the Company who have left the service of Government/Public Sector
Undertaking/Statutory Corporation/ Quasi Government bodies in order to join services
in the company or who initially join POSOCO on deputation /lien and subsequently get
absorbed in the services of the Company, will be given the benefit of their earlier
“continuous service” rendered in the parent organization immediately prior to joining
the company for the purpose of computation of the continuous service.

4.3 Where both husband and wife are employees of the Company and are otherwise eligible
for the grant of advance, the advance shall be admissible to both of them separately or
jointly, at their option.

4.4 An employee of the Company shall not be eligible for House Building Advance if:-

4.4.1 He has not satisfactorily completed the period of probation on initial appointment/
joining or has not put in at least one year’s continuous service in the Company,
whichever is later.

Provided that the above stipulation shall not be applicable in respect of such employees
of Govt./Public Sector Undertaking/Statutory corporation/ Quasi-Govt. Bodies who in
Continuation of their deputation/lien get absorbed in the services of the company and
apply for an advance for the purpose of repayment of the balance amount of House
Building Advance drawn from their parent organisation/ department and interest
accrued thereon.

4.5 He is to leave the service of the Company within 36 months of the grant of advance
either on superannuation or otherwise.

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4.6 Eligibility of an employee under suspension for HBA.
(i) Where an employee, subsequent to his being placed under suspension, makes a request
for the first time for grant of House Building Advance, the same may not be sanctioned
till such time his suspension order is revoked and he resumes his duties.
However, in case of an employee under suspension having been already sanctioned the
advance previously and also drawn the same in part, make a request for release of
balance advance/ subsequent installments during the period of his suspension, the same
may be allowed in terms of the provision of the extant Rules.

(ii) Where an employee having been sanctioned the advance is subsequently placed under
suspension and has not drawn any amount/installment of the advance, earlier
sanctioned, HBA should not be released till such time his suspension order is revoked
and he resumes his duties.

5.0 Purpose
5.1 The House Building Advance may be granted to the eligible employees for the
following purposes:

5.1.1 Acquisition and purchase of land (free hold or leasehold) and construction of house
thereon.

5.1.2 Construction of house on land already owned/purchased/ acquired by an employee in

his own name or held jointly with his spouse.

5.1.3 Purchase of a ready built house or ownership flat (which has not been lived in since its
construction) in the name of the employee or jointly in his name and name of his/her
spouse if the agency offering it for sale is a Government, Semi Government or an
Autonomous Institution like DDA/ GDA/ LDA etc, City Improvement Trust, State
Housing Board/ Authority, Registered Cooperative House Construction Building/
Housing Society etc, Limited Company/ Registered Private Builder/Promoter including
a house or flat under self-financing scheme.

5.1.4 Purchase of a ready built house other than those at sub-rule 5.1.3 at the discretion of the
Competent Authority and on proper evaluation of the property by a Civil Engineer.

5.1.5 Enlargement of living accommodation in an existing house owned by the employee

either in his own name or jointly with his spouse.

5.1.6 Repayment of the balance amount of House Building Advance together with accrued
interest thereon, directly by the Company to his parent organization, in the case of an
employee covered under the provision to sub-Rule 4.4.1.

Note :

1. For sanction of HBA under sub-rule 5.1.6, the transfer of liability of HBA for newly
recruited employees from public sector undertakings, those who join the company on
immediate absorption basis from other PSU and employees who are initially inducted
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 on deputation/lien can be sanctioned HBA for repayment to previous organization, on
the terms and conditions at which the loans are initially sanctioned by the previous
organization.

2. The procedure regarding evaluation of property shall be as under:

(i) The value of the ready built house shall be first evaluated by a Civil Engineer
of the Company posted nearer to the place where the house is located. The Head
of Region/Head of HRM-CC shall nominate the Civil Engineer in Executive
Cadre for the concerned Region/Corporate centre, as the case may be.
(ii) The evaluation report submitted by the nominated Civil Engineer shall be
assessed by a committee consisting of Head of Personnel, Head of Finance and
a Manager from Civil Engineering Discipline in the Regions. At Corporate
Centre, the committee shall consist of Manager (HR)-Estt., Manager (Fin.)-
Estt. and Manager from Civil Engineering Discipline.
(iii)The estimate agreed to by the committee will constitute 100% cost as envisaged
in sub-rule 6.1.1 (ii) of HBA rules.

5.1.7 Repayment of loan earlier obtained by the employee from financial institution(s)
towards construction/purchase of house/flat only if the employee is otherwise eligible
for grant of advance under these rules. HBA under this sub-rule will be available to the
employees even where the construction of house/flat has commenced.

5.2 The advance will be admissible only for outright purchase and not for hire-purchase of
a house.

5.3 The advance for all purposes shall be granted only if the employee and his spouse
jointly owning the land/house/flat are willing to execute a mortgage deed for the same
in favour of the Company and shall submit an undertaking to this effect on non-judicial
stamp paper.

5.4 No advance will be sanctioned to an employee for the purpose of registering himself
for allotment of a plot of land and/ or a house. However, on the allotment being made
in his favour, advance may be sanctioned to him towards the registration deposit made
by him to the extent the same is in excess of Rs.15,000/- and subject to other conditions
in these rules.

5.5 Employee is entitled to take loan from financial institution on second charge if the
construction/purchase/possession of the house has not been completed and the property
has not been ceded to POSOCO on equitable mortgage basis. Further, the employee is
also entitled to obtain loan from LIC Home Finance Ltd., if the employee after having
acquiring the property on Company House Building Advance and on execution of
equitable mortgage with POSOCO, desires to obtain loan from LIC Home Finance Ltd.
Provided no second charge has been created on the property with any other agency/
Financial Institution.

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5.6 Additional HBA:

5.6.1 This will be allowed provided the employee pays back the entire outstanding amount
of HBA including the principal and the interest to the company before sanction of
additional HBA.

5.6.2 The ceiling for additional HBA will be equal to the ceiling applicable in case of HBA
for enlargement as per existing rules. Further, it will be ensured that the sum of first
and additional HBA does not exceed the maximum amount of HBA permissible under
the existing rules as on the date of application for additional HBA.

5.7 HBA for purchase of property from parents:

5.7.1 Property acquired by the parents: if the property acquired by parents is purchased by
employee then the parents shall not be treated as dependent for the purpose of medical,
TA, etc.

5.7.2 The property inherited by the parents: In such as situation, parents do not have absolute
right to dispose it off, or execute will, as per their choice. All the legal heirs at parents
have right on the property as per Law of inheritance. In such a situation, the HBA
granted to the employee will be restricted to the cost of property excluding the share of
the employee. HBA in such cases will be sanctioned only if a clear partition deed exists
in favour of the employee.

6.0 Amount
6.1 Subject to rule 6.2, the maximum amount of advance admissible to an employee would
be the least of the following:
6.1.1 For new construction, purchase of ready built house:
(i) 90 months’ salary/wages of the employee, or
(ii) 100% cost of construction including that for acquisition of land /100% cost of
the property, as the case may be, or
(iii) Rs. 60 lakhs whichever is lower

6.1.2 For enlargement/ Renovation & Modernization (Additional HBA- Rule 5.5) of living
accommodation in an existing house:
(i) 30 months’ salary/wages of the employee, or
(ii) 100% cost of enlargement, or
(iii) Rs. 15 Lakhs whichever is lower

6.1.3 The limits as at sub-rule 6.1.1/6.1.2 as appropriate, shall also apply to a case covered
under sub- rule 5.1.6 and 5.1.7.

6.1.4 The amount of HBA to be sanctioned under sub-rule 5.1.7 shall be limited to the
entitlement of the employee or the outstanding amount or loan due to be repaid by the
employee to the Financial Institution, whichever is less.

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6.2 The actual amount of advance to be sanctioned to an employee will be determined by
the Company on the basis of the plans, detailed specifications and estimates to be
furnished by the employee, within the ceiling limit of advance as prescribed above and
monthly paying capacity of the employee which may be taken as follows:

Length of remaining Service Repaying Capacity

Employees retiring/superannuating after 50% of wages / salary

20 years
Employees retiring/superannuating 60% of wages/salary
between 10 to 20 years
Employees retiring / superannuating 66.66% of wages/salary
within 10 years.

The provisions of Payment of Wages Act shall also be kept in view while sanctioning
the advance to employees coming within the purview of the said Act.

6.3 Second HBA

An employee can be granted a maximum two House Building advances under these
rules during his/ her entire service. Second HBA shall be allowed to be drawn by an
employee subject to the repayment of entire outstanding amount including interest, of
first HBA/Supplementary HBA/ Additional HBA /HBA for Enlargement. It will further
be ensured that all terms & conditions of first HBA were complied by the employee.
All other terms & conditions for sanction of second HBA including the amount ceiling
as given at 6.1.1 above, shall be the same as that of first HBA.

6.4 Supplementary HBA can be granted to such employees, who purchase a ready built
house or
ownership flat by taking advance under the Company’s HBA rules limited to 20% of
the estimated cost of flat/ house or 20% of the maximum ceiling of the HBA existing
at the time of original sanction of HBA, whichever is less. This will be further subject
to the total amount of HBA not exceeding the entitlement of the employee or the
maximum ceiling of HBA stipulated under the rules, whichever is less.
6.4.1 Supplementary HBA as above may be granted only towards making the flat/house
habitable and not for the purpose of improvement in the already existing fixtures/
furnishings provided in the flat/ house. Further, Supplementary HBA may be granted
for the purpose of woodwork, installation of grills, locks and wire meshes.
Supplementary HBA may not be granted for installation of electrical fittings, except for
exhaust fan, where installation of the same is absolutely essential.
6.4.2 Grant of Supplementary HBA shall be subject to all other terms and conditions of the
HBA rules.

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7.0 Procedure

7.1 Applications for grant of the advance shall be submitted in the prescribed form
(Annexure-‘A’) through proper channel. The following documents should accompany
the application.

7.1.1 In case of construction of a new house or enlargement of the living accommodation in

an existing house, a copy each of the building plan and the site plan as well as
specifications, detailed estimate and abstract estimate in the prescribed form (Annexure
A-I and A-II). The site plan and the building plan must be duly approved by the
Municipality or other local bodies concerned before submission of the same to the
Company.

7.1.2 In case of construction of a new house, the original sale deed or other proof of the
applicant having clear title to the land on which the house is proposed to be built except
in the case of purchase of land.

7.1.3 In case of enlargement of a living accommodation in an existing house, the original sale
deed, if any, as well as other documents establishing that the applicant possesses
indisputable title to the property in question.

7.1.4 Grant of HBA to the employees for purchasing houses/ flats under self. Financing
Schemes of Registered Cooperative Group Housing Societies, the procedure outlined
below shall be followed. While applying for grant of HBA in the form prescribed in the
existing rules, the employee shall submit the following documents:

a) Photocopy of the letter issued by the Registrar of the Cooperative Society that
the Society is registered with the Registrar of concerned State;
b) Photocopy of the share certificate, if any, issued by the Society to the employee
concerned.
c) Letter of Allotment cum demand issued by the Society.
d) Original and copy of the receipts of payments made by the employee to the
Society;
e) Proof of allotment or allocation of land to the society by Govt. or institutions
like DDA etc., and
f) Certified copy of upto date bye laws of the Society.

7.1.5.

(i) For sanction of HBA under sub-rule 5.1.7, the employee concerned shall along with the
application for grant of HBA produce a certificate from the financial institution from
where the employee has earlier obtained the loan, certifying therein the outstanding
loan amount and interest thereon as on the date of issue of the certificate by the
Financial Institution together with another certificate by the Financial Institution
indicating the per day rate of interest on the said loan, so as to enable POSOCO to
determine the quantum of HBA to be sanctioned to the employee concerned.

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(ii) The employee concerned shall along with the application for grant of HBA also produce
certified photocopies of the original title deeds/documents submitted to the Financial
Institution along with an undertaking from the Financial Institution to the effect that
after the repayment of the principal loan amount, together with interest thereon, in full
by the employee, the Financial Institution shall promptly discharge the mortgage
deed/security documents and the original title deeds of the immovable property and
promptly send them directly to POSOCO within a period of 15 days from the date of
receipt of full and final payment from the employee. The Financial Institution shall also
issue “No Dues Certificate” against the employee (Borrower) for obtaining the
aforesaid “undertaking” from the Financial Institution, the employee may authorize the
Financial Institution for sending the original title deeds and mortgage deed/security
documents directly to POSOCO on receipt of full and final payment from the employee
(Borrower).

7.1.6 While making an application for grant of HBA for purchase of an old ready built house/
flat, having a clear marketable title, the employee, concerned shall be required to submit
the following documents:

(i) Consent of seller alongwith details of house and price agreed to.
(ii) Attested copy of title deed of the owner.
(iii)Attested copy of documents showing mutation of house supported by current
rent and taxes paid by the owner (receipt to be enclosed).
(iv) Document showing original cost, municipal valuation or authorized valuation
of the house.
(v) 12 years non-encumbrance certificate from the competent authority.
(vi) Certificate from authorized engineer indicating condition of house and the
Approximate age thereof; and
(vii) Sale permission from the competent authority, if required.

7.2 On receipt of an application, duly forwarded by the Head of Department, HR

Department will take necessary action for processing the application. The HR
Department or a Committee, if specifically constituted by the Competent Authority,
will scrutinize the application with reference to the conditions of eligibility as provided
under these Rules as well as priorities etc. if any, laid down for dealing with such cases
so as to satisfy themselves that all the conditions have been fulfilled. They will also
satisfy themselves of the correctness of the facts stated in the application as well as
examine the title deeds and other documents furnished in compliance with sub-rules
7.1.2, 7.1.3 and 7.1.4 above and other rules and orders made under sub-rule 10.8 (in
consultation with the legal department and the Revenue and Registration Authorities,
if necessary) to make sure that the applicant does in fact, possess a clear marketable
title, free from encumbrances and attachments to the property in question. After
examining all the plans, specifications and estimates submitted along with the
application and all other relevant details, the application will be forwarded along with

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 the recommendations, as to the amount of advance that could be granted to the
concerned applicant and its repayment terms, to the competent authority for his
consideration.

7.2.1 For advance under sub-rule 5.1.7, on receipt of the documents mentioned in sub-rule
7.1.5 from the employee, the HR Department concerned shall process the application
for sanction of HBA as per the Rules, ensuring that while determining the quantum of
HBA to be sanctioned, the instalment of principal and interest if any, paid by the
employee to the Financial Institution during the period of processing the application is
deducted from the total amount of outstanding loan payable to the Financial Institution.
In the event the outstanding principal and interest thereon is found to be in excess of
the entitlement of the employee under the HBA Rules, the employee shall be first
required to deposit to POSOCO such difference i.e. excess amount of outstanding dues
against him and payable by him to the Financial Institution.

7.3 The Competent Authority after satisfying himself that all the conditions have been
fulfilled and keeping in view the recommendation made, will accord sanction to the
grant of advance specifying the amount of advance so sanctioned as well as the
repayment period subject to the terms and conditions of grant of advance as under rule
10.0.

7.4 While according sanction of advance under sub-rule 7.1.4, the Competent Authority
shall satisfy itself about the genuineness of the society concerned as well as the
employee’s membership with the said society.

7.5 Before grant of H.B.A. under sub-rule 5.1.7, the sanctioning authority should satisfy
himself that the loan obtained by the employee from the Financial Institution was
entirely for the purpose of construction/purchase of house/flat.

7.6 Eligible employees, possessing state subject certificate, may submit application for
grant of HBA for purchase of land/house/flat situated in the State of J&K and other
purposes as laid down in these rules. HBA will be sanctioned to them as per the
provision of existing rules subject to rule 8.7 and sub-rule 8.7.1 mentioned hereinafter.

7.6.1 The eligible employees, possessing state subject certificate, may submit application for
grant of HBA for construction of house in the state of J&K. HBA will be sanctioned to
them as per the provision of existing rules subject to sub-rule 8.7.2 mentioned
hereinafter.

7.7 In case of purchase of House/ Flat from the Registered Private Builder/ Promoter
Limited / Company.

7.7.1 While making an application for the grant of HBA for the purpose of purchase of
house/ flat from registered private builder/ promoters/ limited company, the following
documents should accompany the application form:

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 i. The Company / firm should be registered as approved builder/ architect with
Urban Development Authority/Housing Board of State Government/ Municipal
Authorities etc. An attested copy of such registration to be submitted.
ii. Documents of title/ conveyance deed exhibiting the clear title of the land issued
to the builder by the agency concerned.
iii. Flat-Buyer agreement (Sale agreement) in original executed between employee
and the builder.
iv. Allotment-cum-demand letter issued by the builder to the employee.
v. Original money receipt against the initial payment made to the builder.
vi. Approved building plan by the government agency.
vii. Last 12 years Non-Encumbrance certificate / search report from the Sub-
Registrar.
viii. Approximate cost of construction including payment plan.
ix. Undertaking by the builder/ promoter/ limited Company (in whose favour the
title of the land exists) to execute tripartite agreement with the Company (as per
enclosed Format).
x. Permission under the Urban land (Ceiling & Regulations) Act in favour of
Builder.
xi. In case land owner is other than builder a copy of development agreement of
the builder with the landowner.
xii. Irrevocable Power of Attorney by the land owner in favour of builder if flats are
being constructed / developed by the builder on the land owned by the land
owner.
xiii. Copy of floor plan approved by the Competent Authority.
xiv. The profile and chain of ownership document in respect of the land to be
obtained by the employee from the builder.
xv. A declaration from the builder/ promoter/ Limited Company ( in whose favour
the title of the Land exists) to the effect that no charge or mortgage over and in
respect of the project land on which said unit/ flat are to be constructed in favour
of Financial Institution/ Bank of Banks*
xvi. In case of charge or mortgage over and in respect of the project land on which
said unit/ flat are to be constructed has been created with any financial
institution / bank, an irrevocable undertaking to the effect that Financial
Institution/ Bank or Banks have no objection if the flat no…... together with
undivided, impartible, un-demarcated variable share and interest in the land at
unit/ flat no: ... which being proportionate to the total built up area of the said
Unit together with proportionate share and interest in the area comprised in
common parts, common amenities, in the holdings is mortgaged with
POSOCO.*

*(Delete whichever is not applicable)

Note: In case the property is mortgaged with more than one bank, such
undertaking shall be obtained from all such banks individually.

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7.7.2 On receipt of application along with documents duly forwarded by Head of Department,
the HR department will take necessary action for processing the case with reference to
eligibility and other terms & conditions under the HBA Rules for obtaining sanction of
Competent Authority.

i. The Competent Authority may constitute a Committee comprising of

representative from HR, Finance, Law and Engineering (Civil) department to
visit the site of private builder from whom the flat is going to be purchased. The
committee shall satisfy themselves regarding the extent of construction done by
the builder, may also check the profile of the builder and ensure that the title
deeds other documents are in order.
ii. The Competent Authority may accord sanction based on the recommendations
of the Committee and fulfilment of all terms and conditions for grant of HBA
in these cases.
iii. In case of purchase of house from registered private builder/ promoters/ limited
company, if the employee wants to withdraw from the scheme for any reason
whatsoever, the money advanced by the company shall be refunded forthwith
to the Company by the agency concerned.

8.0 Disbursement

8.1 While according sanction to the grant of advance, the Competent Authority will also
authorise disbursement of the first installment of the advance in accordance with the
basic guidelines set out in Annexure-B subject to the observance of prescribed
formalities by the borrowing employee. These include execution of Agreement to
Mortgage (Annexure-C) Mortgage Deed (Annexure D, or D l or D ll or D lll, as the
case may be) and Surety Bond (Annexure E) in prescribed forms.

Alternatively, the Competent Authority may allow to secure the advance through
equitable mortgage of property by deposit of original title deeds in place of registered
mortgage deed subject to the submission of following documents:

i. Agreement to mortgage in form Annexure C

ii. Original Title Deeds of the property as soon as the same are received by the
employee.
iii. Letter evidencing deposit of the Title Deeds of the Property in form Annexure
D-IV.
iv. Affidavit regarding deposit of Title Deeds and declaration etc. as per proforma
Annexure DV.
v. Mutation certificate from Revenue or Municipal Records after it is mutated.
vi. Latest Search Certificate through Sub-Registrar/Advocate to show that there is
no encumbrance on the property.
vii. Special Power of Attorney authorizing POSOCO to execute English Mortgage
of the property in favour of POSOCO, at its discretion, as per proforma
Annexure D VI.

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8.1.1 Where a ready built house is intended to be purchased, the employee shall be required
to produce proof of negotiations for the purchase of house together with a copy of the
building plan and the site plan and also a certificate that the purchase price is not less
than the amount of advance sanctioned and that he has satisfied himself that the
transaction will enable him to acquire indisputable title of the house.

8.1.2 In case of purchase of house/flat in the joint names of the employee and his/her spouse,
they will be required to execute a Tripartite Agreement (Annexure C).

8.1.3 The following legal formalities must be ensured while creating Equitable Mortgage by
deposit of Title Deeds:

After sanction of House Building Advance by the Competent Authority in favour of the
employee and issuance of sanction order the Borrower shall submit document at Sl. No.
(i) as stipulated in rule 8.1 above viz. Agreement to Mortgage together with Surety
Bond for claiming HBA sanctioned to the employee. Thereafter, the actual Equitable
Mortgage will be created when the borrower acquires the property in question in the
manner provided herein.

The documents of the title at Sl. No. (ii), (v) & (vi) viz. Original Title Deeds, Mutation
Certificate, if available and Non-encumbrance Certificate as stipulated in Rule 8.1
above must be physically deposited by the borrower and handed over to the officer of
POSOCO who is duly authorised by the Competent Authority to receive the original
documents of the title for creation of Equitable Mortgage as Security for HBA
sanctioned and advanced/to be advanced.

Documents mentioned at Sl. No. (iii) & (vii) as stipulated in Rule 8.1 above shall also
be executed by the borrower in favour of POSOCO immediately after creation of
Equitable Mortgage as at (ii) above (preferably the very next day).

All the original title deeds and other security documents referred to in para (a), (b) and
(c) except surety bond mentioned in para (a) must be kept in safe custody in fire proof
almirah/safe the keys of which should be kept with two authorised officers of the
company not below the level of E4, one from the HR Department and the other from
the Finance Department so that neither of the officers can have access to these
unilaterally.

Under no circumstances, the original title deeds should be returned to the borrower
employee till the HBA loan together with interest thereon has been fully repaid by the
borrower to POSOCO. After full and final settlement of account in respect of HBA, the
original title deeds shall be released and returned to the borrower employee and the
Equitable Mortgage shall stand discharged. POSOCO shall issue a ‘No Due Certificate’
and ‘Discharge of Equitable Mortgage Letter’ in favour of the borrower.

8.2 While applying for subsequent installments of advance, the borrowing employee shall
certify that the construction is being carried out strictly in accordance with the plans
and estimates submitted by him at the time of making the application that the
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Page 654
 construction has actually reached the prescribed stages of construction and that the
amount already drawn has actually been used on the construction of the house. Such
certificates are to be furnished by the borrowing employee in the prescribed proforma
(Annexure F). The Competent Authority may, if necessary, arrange to have inspection
carried out by an official to be nominated by him to verify the correctness of the
certificates. After being fully satisfied, the Competent Authority will authorise
disbursement of the remaining installments of the advance as per the provision of these
rules.

8.3 In case of employee covered under the provision to sub-rule 4.4.1, the repayment of
outstanding advance along with accrued interest to the parent organization, will be
subject to the following conditions:

8.3.1 He shall obtain the consent of his parent organization to release the title deeds of the
property and reconvey the deeds to the Company on receipt of the total outstanding
amount direct from the Company.

8.3.2 He shall execute an agreement to mortgage the property in favour of the Company in
the prescribed proforma.

8.3.3 He shall also furnish surety as prescribed under these Rules.

8.3.4 The Competent Authority may ask for satisfactory evidence that the advance already
taken is duly secured on the basis of mortgage of the property and its cost value.

8.4 In case of purchase of house under Self Financing Housing Scheme, or from Housing
Cooperative Societies, the disbursement of advance will be further subject to the
following conditions :

8.4.1 The employee concerned will be required to produce two sureties from amongst the
eligible employees of the Company.

8.4.2 If the employee wants to withdraw from the scheme for any reason whatsoever, the
money advanced by the Company shall be refundable forthwith to the Company by the
agency concerned for which a tripartite agreement shall be entered into wherever
possible.

8.4.3 The employee shall produce either a mortgage permission or an assurance from the
agency concerned that the latter shall grant the mortgage permission after completion
of house in favour of the Company.

8.4.4 In case the agency concerned deducts any part or the whole of the amount deposited
with them due to non-compliance by the employee, with any of their requirements or
for any other reasons, the same will be on the individual employee’s account and
Company will not undertake any liability for the same.

8.4.5 The interest, if any, paid by the agency concerned on the money advanced by the
Company will accrue to the Company only and not to the individual.

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8.5 Subsequent to the sanction of advance under sub-rule 7.1.4, the employee concerned
shall be allowed to draw the first installment of advance provided he executes a
Personal Bond (Annexure G) and in case of advance for House/Flat/Land owned jointly
by the employee a Personal Bond would be obtained of appropriate value (Annexure
G) and also furnishes a Surety Bond (Annexure E) on non-judicial stamp paper of
appropriate value. The surety Bond, as prescribed, is to be executed jointly by two
Sureties (other than husband/wife of the employee) who are regular employees of the
Company and fulfil all other terms and conditions as provided at Rule 9.0 of these
Rules. Besides these, the employee shall also furnish the following documents:

a) Attested copy of the Title Deed of the Society to the land on which the house/flat
is to be constructed; (where, however, the land has not been allotted to the
society, the Title Deed is to be furnished before disbursement of second
installment);
b) No objection from the Society to the effect that the society has no objection to
mortgage the house/flat in favour of POSOCO;
c) Certificate that the land on which the house/flat is to be constructed is free from
all encumbrances; and
d) Agreement to mortgage the property to POSOCO.

8.5.1 While applying for subsequent installments of advance the employee concerned shall
furnish a demand letter from the society indicating, interalia, the progress of
construction; the correctness of which shall be verified by the Competent Authority by
arranging inspection of the premises concerned. Further, the employee shall also furnish
a proforma of the sale deed proposed to be executed by the Society in favour of the
employee. After being fully satisfied the Competent Authority shall authorize
disbursement of the remaining installments of the advance.

8.5.2 Immediately on taking the possession of the house/flat, and in no case later than three
months thereof, the employee concerned shall execute and submit the Mortgage deed
as prescribed under these Rules.

8.5.3 The amount of advance sanctioned to the employee shall be disbursed in suitable
installments as per demands raised by the society, from time to time. Further, the
payment shall be made directly by the Company to the society after collecting
employee’ share, if any, for each installment.

8.5.4 Notwithstanding anything mentioned above, the employee shall execute such
supplementary documents/deeds as may be required by the Company from time to time.

8.5.5 The terms and conditions envisaged in sub-rule 8.4.1 to 8.4.5 shall also be applicable
for advance under these rules.

Note:

In case of difficulties on the part of employee concerned in procuring the aforesaid

mortgage permission from the Society concerned, as some of the Societies may not be
POSOCO HOUSE BUILDING ADVANCE RULES
Page 656
 in a position to issue the mortgage permission due to reasons that certain legal
formalities have to be completed between the Society and the original owner of the land
who allotted the land to the Society, the condition of submitting the mortgage
permission from the Registered Cooperative Group Housing Society before drawal of
the first installment of advance may not be insisted upon. The employees concerned
shall have to furnish the said mortgage permission at the time of mortgaging the flat/
house in favour of POSOCO. At the time of drawal of the first installment of HBA, the
employee concerned will, however, have to furnish an undertaking in the prescribed
format enclosed at Annexure I.

8.6. In the case of grant of advance for repayment as in sub-rule 5.1.6 and under Rule 8.4,
the amount of advance will be sanctioned by the Competent Authority to the applicant
but amount/cheque/demand draft will actually be given to the agency or the parent
organization, as applicable, by the Company’s representative, after completion of
necessary formalities.

8.7 HBA will be sanctioned to employee under sub-rule 7.6 as per provisions of the existing
rules and amount will be disbursed to them on submission of following documents.

a) An agreement by the employee concerned to mortgage the property in favour of

J&K State in the proforma enclosed as Annexure C.
b) A surety bond in favour of the Company executed by confirmed employee of
the Company in the proforma enclosed as Annexure E.
c) A certificate of no objection from the State of J&K that on mortgaging the
property in favour of the J&K State the Guarantee deed will be executed by
them in favour of the Company.

8.7.1 The concerned employee shall submit following documents within three months from
the date of disbursement of HBA.

a) Mortgage deed executed by the concerned employee in favour of the J&K State
in the proforma enclosed as Annexure J) which is subject to necessary
modification by the Govt. of J&K from time to time.
b) Guarantee Agreement executed by the J&K State in favour of the company in
the proforma enclosed as Annexure K) which is subject to necessary
modification (not prejudicing the interest of the Company) by the Govt. of J&K
from time to time.

8.7.2

a) In case of construction of house on land already owned/purchased/acquired by

employee in his own name or held jointly with his spouse, first installment will
be released on submission of documents mentioned in 8.7 (a), (b) & (c). Second
installment and Third installment of HBA will be released on submission of
Mortgage Deed as envisaged in 8.7.1 (a) and Guarantee Agreement as
mentioned in 8.7.1(b) respectively.

POSOCO HOUSE BUILDING ADVANCE RULES

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 b) In case of acquisition/purchase of land and construction of house thereon, the
first installment will be released on execution of Agreement (Annexure C and
Surety Bond (Annexure E) as mentioned in 8.7 (a) and (b) respectively. Second
installment will be released on submission of No Objection Certificate from
State of J&K as mentioned in Clause 8.7 (c). Third installment shall be released
on submission of the Mortgage Deed (Clause 8.7.1 (a)) and Fourth installment
on submission of Guarantee Agreement (Clause 8.7.1 (b)).

8.8 In case of grant of advance for repayment as in subrules 5.1.7, on fulfilment of the
conditions specified in sub-rule 7.1.5 (i) & (ii) and 7.2.1 as also other terms and
conditions of these Rules, the HBA applied for by the employee may be sanctioned and
on receipt of sanction order of HBA from POSOCO, the employee concerned shall
execute the following security documents on stamp paper of appropriate value :

a) Personal Bond equivalent to the loan sanctioned and to be advanced.

b) Surety Bond from an employee of the company specified under these Rules.
c) Agreement to mortgage.

8.8.1 On obtaining the above security documents from employee concerned, the sanctioned
amount of HBA and the amount deposited by the employee, if any, may be released
directly to the Financial Institution towards full and final payment of the outstanding
dues of the financial institution.

8.8.2 On receipt of the original mortgage deed/security documents duly discharged and the
original deed title from the financial institution, POSOCO shall promptly notify to the
employee concerned to create Equitable or English Mortgage, as the case may be, in
favour of POSOCO within a period of 30 days from the date of notification. In
exceptional cases, where property conveyance deed (sale deed/lease deed /transfer
deed) has not been executed in favour of the employee concerned by the agency/
authority from where the immovable property in question has been purchased by the
employee, the employee shall create mortgage in favour of POSOCO within 30 days of
the receipt of proper conveyance deed duly registered from the said agency/ authority.

8.8.3 The employee shall also be required to produce “No Dues Certificate” from the
Financial institution.

8.9 The employees shall not encumber, create, lien, alienate or otherwise make any second
charge or dispose off the property already mortgaged in favour of the Company for loan
already taken from the company unless all the following conditions are satisfied:

8.9.1 The first charge is registered in favour of the Company and in no case second charge
will be permitted where the employee has opted for Equitable Mortgage for the first
charge with POSOCO.

8.9.2 The second mortgage proposed to be created shall be in favour of Financial Institutions,
such as banking institutions, cooperative banks, financial corporations set up by the
State Government for House Construction Loans, Apex Cooperative Housing Finance
POSOCO HOUSE BUILDING ADVANCE RULES
Page 658
 Society and Public Companies formed and registered in India with main object of
carrying on the business of providing loan for construction of house or flat.

8.9.3 The competent authority has consented to create the second mortgage in writing.

8.9.4 The draft of the second mortgage has been approved by the competent authority.

8.9.5 The total amount of advance sanctioned by the company and the loan proposed to be
taken under second mortgage does not exceed the prescribed cost ceiling of the value
of the property as indicated below:

200 times the salary/wages of the employees, subject to a maximum of Rs.1.35 crores
(One crore thirty five lakhs). However on merits of each individual case, CMD may
relax the cost ceiling upto a maximum of 25% of the aforesaid cost ceiling in individual
cases.

8.9.6 The employees are allowed to take a second loan from LIC Housing Finance Ltd on
Pari Passu Charge in addition to HBA from POSOCO subject to the following:

Inter-se Agreement regarding Pari Passu Charge to be executed among the borrower
employee, POSOCO and LIC Housing Finance Ltd. In the prescribed form as at
Annexure L.

Memorandum of Pari Passu Arrangement to be executed between POSOCO and LIC

Housing Finance Ltd. in the prescribed form as at Annexure M.

8.9.7 These documents shall be executed on Non-judicial stamp paper of appropriate value
in addition to the documents which are required to be executed for creation of equitable
mortgage.

8.9.8 The terms and conditions applicable for creation of second mortgage shall be applied,
mutatis mutandis to creation of charge on pari passu basis with the terms “Pari Passu”
replacing “Second Mortgage” wherever applicable.

8.10 In case of purchase of House/ Flat from the Registered Private Builder/ Promoters /
Limited Company.

8.10.1 Subsequent to the sanction of advance the employee shall be allowed to draw the 1st
installment of advance provided he executes a Personal Bond, Tripartite Agreement
and Surety Bond on judicial stamp paper of appropriate value from two sureties from
amongst the eligible employees of the Company.

8.10.2 While applying for subsequent installment of advance, the employee concerned shall
furnish the demand letter from the builder indicating inter-alia the progress of
construction. The amount of advance shall be disbursed in suitable installments as per
the demand raised by Private builder from time to time.

POSOCO HOUSE BUILDING ADVANCE RULES

Page 659
8.10.3 The employee shall be required to execute equitable mortgage by deposit of title deeds
of the house/ flat purchased by drawing HBA from POSOCO in favour of POSOCO.

9.0 Surety

9.1 The applicant shall get executed the surety bond a referred to in rule 8.1 from an
employee of the Company. An employee of the Company shall be eligible to stand as
a surety if :

9.1.1 He has satisfactorily completed the period of probation stipulated, if any.

9.1.2 His salary/wages is not less than two-third of that of the applicant.

9.1.3 He is not likely to superannuate within 3 years of the date of executing the surety bond.

9.1.4 He has not stood as surety in more than two cases of House Building Advance.

9.1.5 The employee applying for House Building Advance has not already stood as a surety
for him when he applied for House Building Advance.

9.1.6 He is working, to the extent possible, in the same Region/office, where the applicant is
working for the time being.

9.2 Where a surety employee is likely to leave the employment of the Company or ceases
to be in the employment of the Company on account of resignation, retirement, death
or for any other reason before the borrowing employee has executed the deed
mortgaging the property to the Company or has repaid the advance in full (including
interest thereon), the latter shall arrange to get executed a surety bond from another
substitute Surety within one month of the communication to this effect from the HR
Department.

9.3 The liability of the Surety will extend till the house built/purchased is mortgaged to the
Company or till the advance in full (including interest thereon) is repaid to the
Company, whichever happens earlier.

10.0 Terms and Conditions

10.1 The construction of the house or additions to living accommodation in an existing

house, as the case may be, shall be:

10.1.1 Carried out exactly in accordance with the approved plan and specifications on the basis
of which the amount of advance has been computed and sanctioned. The plan and
specifications must not be departed from without the prior approval of the Competent
Authority.

10.1.2 Completed within 18 months/24 months, as applicable, of the date on which the first
installment of the advance is paid to the employee concerned. Failure to do so will
render the employee liable to refund the entire amount advanced to him (together with
interest thereon calculated as in rule 11.0 below) in one lumpsum. An extension of the

POSOCO HOUSE BUILDING ADVANCE RULES

Page 660
 time limit may be allowed up to one year by the competent authority in the cases where
the work is delayed due to circumstances beyond the control of the employee. The date
of completion must be reported to the competent authority without delay.

10.2 Immediately, on completion or purchase of the house as the case may be, the employee
concerned shall insure the house at his own cost for a sum not less than the amount of
the advance and shall keep it so insured, against damage by fire, flood, lightning, earth
quake and not till the advance along with interest is fully repaid to the Company. The
policy obtained should be deposited with the Company. A letter should also be written
to the insurer by the employee that the company is interested in the insurance Policy
(Annexure N). The premium must be paid regularly and the premium receipt produced
for inspection by an officer of the HR Department as nominated by the Competent
Authority. In the event of failure on the part of the employee to effect insurance against
fire, flood, lightning, earthquake and riot, it shall be lawful but not obligatory for the
Company to insure the said house at the cost of the employee concerned and recover
the amount from him including interest thereon at bank lending interest rate, in the same
manner as the amounts are recoverable under these rules. The employee will in addition
be liable to disciplinary action.

10.3 The house must be maintained in good repair by the employee concerned at his own
cost. He shall also keep it free from all encumbrances and shall continue to pay all the
Municipal and other local rates and taxes regularly until the advance along with interest
has been repaid to the Company in full. The employee shall furnish an annual certificate
to this effect to the Company.

10.4 After the completion of construction of the house annual inspection may be carried out
by an authorized official of the Company under instruction from the Competent
Authority to ensure that it is maintained in good condition until the advance along with
interest has been repaid in full.

10.5 The employee concerned shall afford full facilities for all inspections as required under
these Rules.

10.6 In case where the house is not used for residential purpose of the employee and for his
family, permission of the competent authority should be obtained by him before renting
the same.

10.7 The terms and conditions enumerated under rule 10.0 are in addition to those contained
elsewhere in these Rules.

10.8 Notwithstanding anything contained therein, the employee shall be bound to comply
with any supplementary rules/orders which may be made subsequently in this regard
from time to time with a view to safeguarding the Company’s interest as well as proper
and faithful observance of the provisions of these Rules.

10.9 Furnishing of false certificates or breach of any of the terms and conditions stipulated
in these Rules and/or any other supplementary rule/order will render the employee
POSOCO HOUSE BUILDING ADVANCE RULES
Page 661
 concerned liable to appropriate disciplinary action apart from his being called upon to
refund to the Company forthwith the entire advance drawn by him together with
accrued interest.

11.0 Interest

11.1 An advance granted under these Rules shall carry simple interest from the date of
payment of the advance, the amount of interest being calculated on the balance
outstanding on the last date of each month.

11.2 The rate of interest will be the rate, as in force on the date of original sanction of
advance applicable to the Central Govt. employees under House Building Advance
Rules of Central Government. The rate of interest for the portion of the advance in
excess of the maximum amount of advance admissible under the corresponding rules
of Central Government, will be at the highest rate as charged by the Central
Government for its employees.

11.2.1 The prevailing rate of interest on HBA is as under:

For Executives, Supervisors, Workmen

Amount of Advance Rate of Interest ( per annum) ( as per
slab)
Upto Rs. 10,00,000/- 7.5%
Rs. 10,00,001/- to Rs. 40,00,000/- 8.5%
Rs. 40,00,001/- to Rs. 60,00,000/- 9.5%

11.3 Where differential rates of interest are prescribed for varying amounts of advance, the
portion of the advance carrying highest rate of interest will be treated as having been
refunded first in the process of recovery.

11.4 Notwithstanding anything contained above, failure of an employee to faithful

observance of all the terms and conditions attached to the advance sanctioned, will
make him liable to pay the interest at bank lending interest rate.

12.0 Repayment

12.1 The advance granted to an employee under these Rules, together with the interest
thereon shall be repaid in full before superannuation/separation from service of the
employee by monthly instalments within a period not exceeding 25 years, repayment
of principal in 15 years (180 installments) and interest in 10 years (120 installments).

Provided that where an advance has been sanctioned under sub rule 5.1.6, the amount
of monthly installment shall not be less than the instalment amount at which the
advance was being repaid by the employee while in service in parent

POSOCO HOUSE BUILDING ADVANCE RULES

Page 662
 organization/department. Provided further that it will be open to an employee to repay
the amount in a shorter period, if he so desires.

12.2 The amount of advance and interest thereon, to be recovered from the employee, shall
be fixed in whole rupees except in the case of last installment when the remaining
balance including any fraction of rupee shall be recovered.

12.3 Commencement of Recovery

12.3.1 Recovery of advance granted for repayment under sub rule 5.1.6 shall commence from
the pay of the month following that in which the advance is drawn.

12.3.2 Recovery of advance granted for purchase of a ready built house shall commence from
the month following the month in which the possession is taken or immediately on the
expiry of two months from the date on which the advance is paid to the employee,
whichever is earlier.

12.3.3 Recovery of advance granted for constructing a new house or enlarging living
accommodation in an existing house shall commence from the month following the
completion of the house or immediately on the expiry of 18 months from the date on
which the first installment of the advance is paid to the employee, whichever is earlier.
The Competent Authority may relax this time limit keeping in view the merits of the
case.

12.3.4 Recovery of advance granted for constructing a new house including purchase of land
therefore shall commence from the month following the completion of the house or
immediately on the expiry of 24 months from the date on which the first installment of
the advance is paid to the employee, whichever is earlier. The competent authority may
relax this time limit keeping in view the merits of the case.

12.3.5 Recovery of advance granted for purchase of a ready built house under the Self
Financing Scheme shall commence from the pay of the month following that in which
the possession of the house is taken by the employee or immediately on the expiry of
36 months from the date on which the first installment of the advance is paid to the
employee, whichever is earlier. The Competent Authority may relax this time limit
keeping in view the merits of the case.

12.4 Recovery of the advance shall be effected through the monthly pay/leave salary,
subsistence allowance bills or any other dues (except Provident Fund and Gratuity
amount) of the employee concerned by the Company. The recovery may also be
effected from the gratuity amount due to the concerned employee provided a written
undertaking is given to that effect by him and he agrees to the incorporation of a suitable
clause in the prescribed Agreement and Mortgage Deed to the effect that the company
shall be entitled to recover the balance of the said advance with interest remaining
unpaid at the time of his termination or death preceding termination from the whole or
any specified part of the gratuity that may be due to him.

POSOCO HOUSE BUILDING ADVANCE RULES

Page 663
12.4.1 For computing the maximum amount of gratuity due to an employee, the total period
of service likely to be put in by an employee till his superannuation/separation and the
salary/wages as presently drawn by him are to be taken into consideration.

12.5 If an employee resigns from the services of the Company or his services are terminated
for any reason whatsoever before repayment of the advance together with accrued
interest thereon in full, the entire outstanding amount shall become payable to the
Company forthwith. When the termination of service is due to involuntary act on the
part of the employee concerned the Company may, in deserving case, permit him or his
successors in interest, as the case may be, to repay the outstanding amount together
with interest thereon in suitable instalments after safeguarding Company’s interest.
Failure on the part of the employee concerned or his successors, as the case may be, to
repay the advance for any reason whatsoever, will entitle the Company to enforce the
mortgage without intervention of the Court and take such other action to effect recovery
of the outstanding amount as may be permissible under the law.

12.6 The recovery of advance granted for the purchase of flat from the registered private
builder/ promoter/ limited company shall commence from the pay of the month
following that in which possession of the house is taken by employee or immediately
on expiry of 36 months from the date of release of 1st installments, whichever is earlier.

13.0 Reconveyance

13.1 The Property mortgaged to the Company shall be reconveyed in the prescribed form at
Annexure O tothe employee concerned (or his successors in interest, as the case may
be) after the advance together with the interest thereon has been repaid to the company
in full.

14.0 General

14.1 The Competent Authority shall ensure that the purchase/construction/enlargement of

the hous is completed within the period prescribed in the rules and that:

14.1.1 The prescribed mortgage deed is executed immediately on purchase of the house/ land
and the document kept in safe custody after registration.

14.1.2 The house is insured in the manner indicated in rule 10.2 immediately on its purchase/
completion and that the premium receipts are regularly produced for inspection.

14.1.3 The house is maintained in good condition and that the necessary insurance premium
and municipal taxes and rates are paid regularly and the requisite certificate(s) furnished
annually until the advance has been repaid in full.

14.1.4 Monthly recovery of installments of repayment of the advance commence from the due
date and is made regularly from the pay/leave salary etc. bill of the employee concerned
thereafter.

POSOCO HOUSE BUILDING ADVANCE RULES

Page 664
14.1.5 Any amount drawn in excess of the said expenditure incurred is refunded by the
employee concerned to the Company forthwith together with the interest, if any, due
thereon.

14.2 Even in the case of employee’s transfer from NLDC/RLDC/ office /establishment etc.
to another, the documents such as title deed, mortgage deed etc. submitted by an
employee should continue to be kept in the safe custody of the authority which
sanctioned the advance. This is with a view to safeguarding against loss or
misplacement of precious documents in transit. However, a copy of all the papers
relating to sanctions of HBA etc. may be provided to the NLDC/RLDC/
office/establishment to which the employee concerned has been transferred.

14.2.1 In the event of transfer of an employee from NLDC/RLDC/ office /establishment to

another RLDC/ office /establishment, the responsibility of processing the House
Building Advance shall be of the NLDC/RLDC/ office /establishment to which the
employee concerned has been transferred.

14.3 Subject to the superintendence and instructions of the Director (HR) the respective
Head of NLDC/RLDC/ CC will exercise all powers prescribed under these rules in
respect of employees working under their administrative control; and for employees in
the rank of Dy. General Manager and below working at Corporate Centre, the same will
be exercised by General Manager (HR). The General Managers may sub delegate these
powers to the authorities working under them to the extent considered necessary, except
the following:

14.3.1 Grant of advance for purchase of ready built house if the agency offering it for sale is
other than a Govt., Semi-Government or an institution like City Improvement Trust,
Housing Unit, Registered Cooperative House Construction/Building Society.

14.3.2 Extension of time limit for construction of house beyond 18/24/36 months, as the case
may be, of the payment of the first installment of advance and recovery of the advance
granted thereto.

14.3.3 Grant of permission to an employee who ceases to be in service for any reason other
than resignation or if he dies, grant of permission to the legal successor, to repay the
outstanding amount together with interest thereon in suitable installments.

14.3.4 All documents pertaining to cases of grant of HBA from private builder/ promoter/
limited company shall be vetted by POSOCO Law department.

14.4 Stamp duty chargeable on all documents and Registration fee to be incurred for the
completion of legal formalities required in connection with the grant of HBA may be
granted as advance to the concerned employees, subject, however, to the condition that
the total amount of House Building Advance shall not exceed their entitlement as per
Rules. The employees concerned will complete all formalities within a period of three
months from the date of drawal of the advance granted for stamp duty charges etc.

POSOCO HOUSE BUILDING ADVANCE RULES

Page 665
 failing which the amount of advance drawn for the said purpose will be refunded by the
employees together with interest thereon.

14.5 The grant of advance under these Rules shall always be subject to availability of funds.

14.6 The power to interpret and administer the rules shall rest with the Director (HR) of the
Company whose decision shall be final and binding. The Chairman and Managing
Director is also empowered to make any supplementary rules/ orders as envisaged
under rule 10.8.

14.7 The Company reserves the right to modify, cancel, add or amend of these Rules.

***********************

Reference:
(1) Corporate HR Circular No. 15/2018 dated 10.07.2018 (Amendment in House Building
Advance, Conveyance Advance and Children Higher Education Advance Rules for
Employees in Executive Category)
(2) Corporate HR Circular No. 31/2018 dated 26.10.2018 (Simplification/ Rationalization in
House Building Advance Rules and Grant of 2nd HBA for the Employees in Executive
Category)
(3) Corporate HR Circular No. 10A/2019 dated 29.03.2019 (Amendment in House Building
Advance, Conveyance Advance and Children Higher Education Advance Rules for
Employees in Workmen and Supervisory Category)

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Page 666
 LIST OF ANNEXURES

Annexure Purpose
Annexure-A Application Format
Annexure-A-I Abstract of Cost of Original Estimates and Detailed
Specifications For grant of House Building Advance to Company
employees
Annexure-A-II Detailed Estimates for House Building Advance to Company
Employees
Annexure-B Disbursement of Advance – for various purposes
Annexure- C Form of Agreement to be executed at the time of drawing the
House Building Advance
Annexure-D Form of Mortgage deed to be executed when the property is
freehold
Annexure-D-I Form of Mortgage deed to be executed when the property is
freehold and is held in the joint names of husband and wife
Annexure-D-II Form of Mortgage deed to be executed when the property is
leasehold
Annexure-D-III Form of Mortgage deed to be executed when the property is
leasehold and is held in the joint names of husband and wife
Annexure-D-IV Letter Evidencing Deposit of Original Documents
Annexure-D-V Affidavit
Annexure-D-VI Power of Attorney
Annexure-E Surety Bond
Annexure-F Certificate to be furnished i.r.o. construction stage
Annexure-G Personal Bond
Annexure-G-I Personal Bond to be executed by spouse
Annexure-H TPA
Annexure-I Undertaking
Annexure-J Mortgage Deed under - J&K
Annexure-K Guarantee Deed
Annexure-L Interse agreement regarding pari passu charge
Annexure-M Memorandum of confirmation of pari passu agreement
Annexure-N Form of letter for intimating to the Insurance Company about
company’s interest in insurance policies of houses
constructed/purchased with house building advance admissible
under the rules
Annexure-O Form of reconveyance for house building

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 ANNEXURE-A

POWER SYSTEM OPERATION CORPORATION LIMITED

Application for Grant of House Building Advance

1. (a) Name (in block letters):

(b) Employee No.:

(c) Designation:

(d) Department:

(e) Scale of pay:

(f) Present Salary/Wages:

(Basic Pay + Personal Pay + Dearness Allowance)
(g) Station where posted:

(h) Place where the house/flat etc. is:

proposed to be built/purchased/enlarged

2. Please State :

Whether you are a Date of Date of Is your wife/husband an

confirmed employee? If Birth superannuation/ employee in POSOCO if
so, state the period of expiry of contract so, give her/his name,
your continuous service employee no., designation,
(Refer rule 4.2) Department, etc. and check
one of the following
options?
(1) (2) (3) (4)
1. Loan in Single Name
Property in Single
Name
2. Loan in Single name
property in jt. Name
with spouse.
3. Loan in Jt. Name
Property in Jt. Name
with Spouse

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3. Indicate the number of HBA taking from the Company earlier:

a) 1st time

b) I have taken HBA from the Company earlier and the details are hereunder:

- Sanctioning Region

- Sanction Order Number

- Sanction Date

-Sanction Amount

- Sanction for Property Located at Address

- Whether Mortgaged to the Company

- If yes Region where Original Documents Deposited

- Repaid the amount (P + I) in full- Yes/No

4. Purpose of HBA (Tick whichever applicable)

(i) Additional HBA: Only if paid back earlier loan

(ii) Enhancement of HBA

(iii) Additional enhancement HBA

(iv) Supplementary HBA

(v) Purchase of Land (Freehold or lease hold) and construction of house thereon

(vi) Construction of house on land already owned/purchased/acquired by the

employee in his own name or held jointly with the spouse.

(vii) Purchase of a ready build house or ownership flat (which has not been lived in
since its construction) from Government/Semi-Government Autonomous
bodies like DDA/GDA etc. Cash Down Scheme

(viii) Purchase of a ready build house or ownership flat (which has not been lived in
since its construction) from Government/Semi-Government Autonomous
bodies like DDA/GDA etc. under SELF FINANCING SCHEME

(ix) Purchase of a ready build house/flat from Private Seller-Cash Down Scheme.

(x) Enlargement or renovation and modernization or both of living accommodation

in an existing house owned by the employee either in his own name or jointly
with the spouse.

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Page 669
 (xi) Purchase of flat/ready built house from a registered Co-operative Group
Housing Society under Self Financing Scheme.

(xii) Employees can be granted HBA for the purpose of repayment of loan earlier
obtained by them from the financial institutions like LIC, HDFC, Scheduled
banks etc towards construction/purchase of houses/flats.

(xiii) Repayment of the balance amount of House Advance together with accrued
interest thereon, directly by the Company to his parent (Previous) organization.

(xiv) Grant of HBA from registered private builders/ Promoter/Limited Company

under Self Financing Scheme.

5. If repayment to previous organization/bank kindly mention the name and address of

previous organization/bank

6. Address of the House for Which HBA is being availed:

7. If purpose of house is additional HBA _______________________________

8. If Enhancement of HBA indicate the following:

i) a) due to revision in pay

b) due to escalation in cost

c) revision of ceiling limit

ii) A period of 3 years has elapsed after the date of original sanction: (Not be be insisted
upon if ceiling limit of salary revision takes place with retrospective effect or if house
is being purchased from Govt. bodies/agencies/cooperative societies/or other reputed
agencies.

iii) The construction has not been completed/possession of house/flat has not been taken

iv) There is no deviation from the approved plan of construction

9. If Additional enhancement of HBA

i) is the house semi-finished? Yes/No

ii) the estimate for the same is enclosed? Yes/No

iii) Possession of semi-finished house has been taken.

iv) not more than 6 months have elapsed after taking possession

v) Drawing of the agency enclosed.

POSOCO HOUSE BUILDING ADVANCE RULES

Page 670
10. Supplementary HBA

i) The house is a ready built house/ ownership flat

ii) I have taken HBA for the same from the company – Yes/No

iii) Cost of Original Flat is _________

iv) Not more than 5 years have elapsed from date of sanction of Original HBA / Not
more than one year from the date of possession of flat

11. Purchase of land (Freehold or lease hold) and construction of house thereon

i) Details of land to be purchased

Name of Name of the Area of Agreed purchase Name of the

Seller place where it the plot (in price municipal or other
with is located sq.m.) local authority (if
Identity any) in whose
Proof jurisdiction it is
located
(1) (2) (3) (4) (5)

ii) (Note: Entries have to be supported by specification estimates in enclosed form and
plan at the appropriate stage).

Approx. floor area of Estimated Cost Amount of Advance

the house proposed to
be constructed (in
sq.m.)
(1) (2) (3) (4) (5)

POSOCO HOUSE BUILDING ADVANCE RULES

Page 671
12. Construction of house on land already owned/purchased/acquired by the employee in
his own name or held jointly with the spouse

Name of the place Area of the plot Name of the municipal or other local
where it is located (in sq.m.) authority (if any) in whose jurisdiction it
is located
(1) (2) (3)

(Note: Entries have to be supported by specification estimates in enclosed form and

plan at the appropriate stage).

Approx. floor area of Estimated Cost Amount of Advance

the house proposed to
be constructed (in
sq.m.)
(1) (2) (3) (4) (5)

13. Purchase of a ready build house or ownership flat (which has not been lived in since its
construction) from Government/Semi-Government Autonomous bodies like
DDA/GDA etc. ) cash down scheme

Address of the No. of rooms Total floor area Cost of the flat Amount of
House to be in the house of the house (in Advance
purchased (excluding sq. m.) required
lavatory,
bathroom
and kitchen)
(1) (2) (3) (4) (5)

POSOCO HOUSE BUILDING ADVANCE RULES

Page 672
14. Purchase of a ready build house or ownership flat (which has not been lived in since its
construction) from Government/Semi-Government Autonomous bodies like
DDA/GDA etc. ) Under Self Financing scheme
Address of No. of Total floor Cost of the Payment Amount of
the House to rooms in area of the flat Schedule Advance
be purchased the house house (in & required
(excluding sq. m.) Expected
lavatory, time for
bathroom completion
and
kitchen)
(1) (2) (3) (4) (5) (6)

15. Purchase of ready build house/flat from Private Seller-Cash Down Scheme
Exact Floor Plinth Approx Municipa Name Approx. Amoun
locatio area of area of . age of l and price t of
n of the the the the valuation addres expecte advanc
house house(i house(i house of the s of the d e
n sq.m.) n sq.m.) house owner to be require
paid d

(1) (2) (3) (4) (5) (6) (7) (8)

POSOCO HOUSE BUILDING ADVANCE RULES

Page 673
16. Do you require an advance for enlarging living accommodation in your existing house?
If so, please state (Note: A plan of the house should accompany the application).
No. of Total If an Particulars of additions Amount of
rooms in floor additional desired advanced
the house area of storey is No. of Floor Estimated required
(excluding the proposed to rooms area (in cost
lavatory, rooms be added, is sq.m.)
bathroom (in sq. the
and m.) foundation
kitchen) strong
enough?
(1) (2) (3) (4) (5) (6) (7)

(i) Have you satisfied yourself that the transaction would result in your acquiring
an indisputable title to the house?

17. Do you require an advance for Purchase of flat/ready built house from a registered Co-
operative Group Housing Society under Self Financing Scheme
Exact Floor Plinth Approx. Municipal Approx. Amount of
location area of area of age of valuation price advance
of the the the the of the expected required
house house(in house(in house house to be
sq.m.) sq.m.) paid
(1) (2) (3) (4) (5) (6) (7)

POSOCO HOUSE BUILDING ADVANCE RULES

Page 674
18. Do you require an advance for purpose of repayment of loan earlier obtained from the
financial institution like LIC, HDFC, Schedules banks etc.

Exact Name of the Cost of the Total Amount of advance

location of Financial House Outstanding required
the house Institution amount (P+I)
(1) (2) (3) (4) (5)

19. Do you require an advance for purchase of flat from registered private
builders/promoter/limited company under Self Financing Scheme.

Address of Floor Plinth area Municipal Name Amount of

Flat to be area of of the Valuation/cost of the advance required
purchased the house (in of the house builder
house sq.m.)
(in
sq.m.)
(1) (2) (3) (4) (5) (6)

20. Repayment of HBA details:

(a) No. of years in which the advance with interest is proposed to be repaid.

- No. for Principal

- No. for Interest

21. (a) Is your title to the land/house undisputed and free from encumbrances?

POSOCO HOUSE BUILDING ADVANCE RULES

Page 675
 (b) Can you produce, if required, original documents (sale or lease deed) in support of
your title? If not, state the reason(s) therefor indicating what other documentary proof,
if any, you can furnish in support of your claim.

22. Details of Surety (s)

(a) Name, Employee No. and Designation

(b) Present Salary/Wages (Basic Pay +

Personal Pay + Dearness Allowance)

(c) Date of superannuation

23. Any other information:

DECLARATIONS

1. I have read the rules regulating the grant of House Building Advance and agree to abide
by the terms and conditions stipulated therein.

2. I solemnly declare that the information furnished by me in reply to the various items
indicated above is true to the best of my knowledge and belief.

3. I solemnly declare that the no. of occasions for which I have obtained an HBA from
POSOCO for construction of house/ purchase of ready-built house/ repayment of loan
home obtained from previous organization/ financial institution does not exceed 01.

4. The property proposed to be purchased /built by availing HBA shall be solely owned
by me/ jointly owned by me & my spouse. (Tick whichever is appropriate)

Place : (Signature of the Employee)

Date : Name:

Forwarded to the Manager (HR)

Controlling Officer
(Designation and Department)

POSOCO HOUSE BUILDING ADVANCE RULES

Page 676
 ANNEXURE-A-I

ABSTRACT OF COST OF ORIGINAL ESTIMATES AND DETAILED

SPECIFICATIONS FOR GRANT OF HOUSE BUILDING ADVANCE.

Amount Rs.:

Name: Employee No:

Designation: Department :

Locality and address in which the house :

Is proposed to be constructed/enlarged:

Ite Sub-heads and items of work Quantity Rate Per Amount Total
m or No.
No.
1 2 3 4 5 6 7
(i) EARTH WORK
(Earth work excavation for
foundations and disposing of the
surplus earth etc.)

(ii) CONCRETE WORK

(Foundation concrete with cement
or lime using stone or brick ballast
either sq.m. below floors or for
footings)

(iii) DAMP PROOF COURSE

(Concrete on rich cement mortar
or bituministic compounds)

(iv) ROOFING WORK

(R.C.C. asbestos or any other type
of suitable roof)

(v) REINFORCED CEMENT

CONCRETE
(vi)
MASONRY
(Brick, stone, concrete roofs etc.)
(vii)
WOOD WORK
(For doors and windows, wooden
scantling for roofs etc.)
(viii
) STEEL WORK
(For reinforcements, hold-fast,
window bars etc.)

POSOCO HOUSE BUILDING ADVANCE RULES

Page 677
 Ite Sub-heads and items of work Quantity Rate Per Amount Total
m or No.
No.
1 2 3 4 5 6 7
(ix) FLOORING
(Concrete, stone or marble chips
etc.)

(x) FINISHING
(Plastering, pointing, colour or
white-washing, painting etc.)

(xi) MISCELLANEOUS
(Like rain water pipes, shelves,
jalis, chulas, pegs, hooks for fans
etc.)

(xii) SANITARY INSTALLATIONS

(Closets, connections, pipes,
manholes, drains etc.)

(xiii WATER SUPPLY

) (Taps, water meters, water tanks,
G.I. pipes etc.)

ELECTRICITY
(xiv) (Electric points, meters,
connections, lines etc.)
TOTAL COST

Place : Signature :

Date : Name :
Employee No. :
Designation :
Department :

Note : The abstract is to be typed on a separate sheet (indicating the actual detailed items of
works, rates etc. proposed to be adopted) and attached to the application at the
appropriate stage.

POSOCO HOUSE BUILDING ADVANCE RULES

Page 678
 ANNEXURE-A-II

Detailed estimates for House Building Advance

(Detailed estimate sheet to support the quantities given in Annexure A-I)

Name : Employee No:

Designation: Department:

Region:

Locality and address in which the house

is proposed to be built/enlarged :

SNo Details of work No Measurements Quantity

Length Breadth Height
1 2 3 4 5 6 7
EARTH WORK
Earth work in excavation in all soils
for foundation and other trenches
and depositing the same within 50
meters lead and up to 1.5 meters lift.

Front wall ..............................

Rear Verandah area retaining Wall

......................................

Outside Wall ..........................

Common Walls between

rooms ...................................

W.C. front and rear ................

W.C. side ..............................
Steps in front and rear ..........
Total earth work ....................

Refilling the excavated earth

etc. ............................................

Continue details for all items as

given in sample ANNEXURE A-1

Place : Signature :
Date : Name :
Employee No.
Designation :
Department :

ANNEXURE-B
Disbursement of Advance

POSOCO HOUSE BUILDING ADVANCE RULES

Page 679
 S.No Purpose 1st stage 2nd stage 3rd 4th stage 5th stage
stage

1. Purchase of land 20% of 25% of 25% of Balance —

plus construction of advance advance advance 30% of
single storey house amount amount amount advance
sanctione payable on payable amount
d for land mortgagin on payable on
purchase g the land reaching reaching the
on and the plinth roof level
executing house to level and and
the be built productio production
agreemen thereon in n of of
t to favour of certificat certificate to
mortgage the e to that that effect
. Sale company effect by by the
deed to and the applicant.
be submissio applicant.
produced n of
within building
l d l
2. Purchase of land 15% of 20% of 20% of 15% of Balance
plus construction of advance advance advance advance 30% of
double storey house amount amount amount amount advance
sanctione payable on payable payable on payable
d for land mortgagin on reaching the on
purchase g the land reaching roof level of reaching
on and the the ground and roof level
executing house to plinth production of first
the be built level and of roof &
agreemen thereon to product- certificate productio
t to the ion of to that n of
mortgage company certificat effect by certificate
. Sale and e to that the to that
deed to submissio effect by applicant. effect by
be n of the the
produced building applican applicant
within plan duly t.
two approved
months by the
local
authorities
30% of 40% of Balance
3. Construction of advance advance 30% - -
single storey house amount amount advanc
sanctioned payable on e
on reaching amount
mortgaging plinth level payable
the land and on

POSOCO HOUSE BUILDING ADVANCE RULES

Page 680
 S.No Purpose 1st stage 2nd stage 3rd 4th stage 5th stage
stage

and the productio the roof

house to n of level and
be built certificat productio
thereon e to that n of
and effect by certificat
submissio the e to that
n of applicant effect by
building the
plan duly applicant
approved
by the
local
authorities
Construction of 25% of 30% of 15% of Balance 30%
4. double storey advance advance advance of advance —
house(or amount amount on amount or, amount on
enlargement) sanctioned reaching reaching reaching the
on the plinth the roof roof level of
mortgaging level and level of the first floor
the land production the ground and
and the of floor and production
house to be certificate production of certificate
built to that of to that effect
thereon the effect by certificate by the
submission the to that applicant
of building applicant effect by
plan duly the
approved applicant
by the local
authorities
Enlargement of living 30% 40% of Balance
5. accommodation on advance advance 30% of — —
the ground floor amount amount on advance
on reaching amount on
mortgagin plinth reaching
g the level and roof level
property production and
and of production
submissio certificate of
n of to that certificate
building effect by that effect
plan duly the by the
approved applicant applicant.
by local
authoritie
s

POSOCO HOUSE BUILDING ADVANCE RULES

Page 681
 6. Enlargement of 20% of 40% of Balance Note : If .—
living advance advance 40% of en-
accommodation on amount amount advance largement
the first floor on on amount comprises
mortgagin reaching on
g the window reaching Both 1st
property still level roof level
and in first and and 2nd
submissio floor and productio floor,
n of productio n of construct
building n of certificat ions but
plan floor certificate e to that un-
duly to that effect by Connecte
approved effect by the d with
by local the applicant each
authoritie applicant other.
s Sl.no.5 or 6
shall apply
if they are
connected
constructio
ns, S.No.4
will apply.

S.No Purpose 1st stage 2nd stage 3rd 4th stage 5th stage
stage

7. Purchase of The entire admissible advance in one lump-sum on furnishing

ready built proof on negotiations and the applicant’s executing an
house/flat (other agreement to mortgage the property with POSOCO and
than under Self observance of other prescribed formalities.
Financing
Housing
Scheme)

POSOCO HOUSE BUILDING ADVANCE RULES

Page 682
 8. Purchase of ready The amount of advance sanctioned in suitable installments
built house/flat under equivalent to the quantum as per demands raised by the
Self-Financing concerned agency from time to time subject to the applicant’s
House Scheme executing an agreement to mortgage the property with
POSOCO prior to the release of the first installment and
observance of other prescribed formalities

POSOCO HOUSE BUILDING ADVANCE RULES

Page 683
 ANNEXURE-C

(On Non-Judicial Stamp Paper)

FORM OF AGREEMENT TO BE EXECUTED AT THE TIME
OF DRAWING THE HOUSE BUILDING ADVANCE

AN AGREEMENT MADE THIS ................................................................... day of

………….......... two thousand and .................. between ....................................
Son/daughter/wife of ................................ at present serving as ..........................................
(hereinafter called the ‘Borrower(s)’**, which expression shall unless excluded by or repugnant
to the subject or context include his/her/(their)** heirs, executors, administrators and legal
representatives of the one part and POWER SYSTEM OPERATION CORPORATION
LIMITED., a Company incorporated under the Indian Companies Act, 1956 and having its
registered office at B-9, 1st Floor, Qutab Institutional Area, Katwaria Sarai, New Delhi-110016
(hereinafter called the ‘Company’ which expression shall unless excluded by or repugnant to
the subject or context include their successors in office and assigns) of the other part.

WHEREAS the Borrower(s)** desire(s) to purchase and/or construct a house thereon/enlarge

living accommodation in his/her(their)** house at ........................, purchase a ready built house
at ................................ described in the schedule hereto annexed and.

WHEREAS the Borrower(s)** has/(have)** under the provisions of the Rules framed by the
Company to regulate the grant of advance to Company employees for building etc. of house
(hereinafter referred to as the “said Rules” which expression shall where the context so admits,
include any amendment thereof or addition for the time-being in force) applied to the company
for an advance of Rupees ................... to purchase the said land and/or construct a house
thereon/ enlarge living accommodation in his/her/(their)** house/purchase a ready built house
as aforesaid and the company has sanctioned an advance of Rupees
................................................................................... to the Borrower(s)** vide letter No.
............... dated ........................... a copy of which is annexed to these presents for the purpose
aforesaid on the terms and conditions set forth therein.

NOW IT IS HEREBY AGREED BY and between the parties hereto as follows :

1. In consideration of the sum of Rupees .................................................... (inset full amount to be

paid) to be paid by the Company to the Borrower(s)** as provided in the said Rules,
Borrower(s)** hereby agree(s) with the Company.

(a) i) to repay the Company the said amount of Rupees ........................... (insert full amount
sanctioned) with interest calculated in accordance with the said Rules for the time-being in
force by ................................... (number to be filled in) monthly installments of Rupees
............................................. as principal and number of ................................... installments of
Rupees ......................... as interest from his/her pay commencing from the month of .............
two thousand and ....................... till ................... and the borrower hereby authorise(s) the
company to make such deductions from his/her monthly pay, leave salary, subsistence
allowance bills or any other dues payable to him/her by the Company.

ii) to repay the Company the said amount of Rupees ........................... (insert full amount
sanctioned) with interest calculated in accordance with the said Rules for the time-being in

POSOCO HOUSE BUILDING ADVANCE RULES

Page 684
 force by ....................... (number to be filled in) monthly installments of Rupees .....................
as principal and no. of .................................. Installments of Rs............... as interest from the
pay of the Borrower employee commencing from the month of ....................... two thousand
and .................................. or from the month following the completion of the house, whichever
is earlier, till ........................................... And the Borrower employee hereby authorizes, the
Company to make such deductions from his/her monthly pay, leave salary, subsistence
allowance bills or any other dues payable to him/ her by the Company.

iii) to repay the company the said amount of Rupees .......................... (insert full amount
sanctioned) with interest calculated in accordance with the said Rules for the time-being in
force by .................................. (number as principal and no. of................... installments of Rs.
.................... as interest from the pay of the Borrower employee commencing from the month
of ............................... two thousand and ............... or from the month following that in which
the possession of the house/flat is taken by the Borrower(s)**, whichever is earlier, till
............................... And the Borrower employee, hereby authorizes the Company to make such
deductions from his/her monthly pay, leave salary, subsistence allowance bills or any other
dues payable to him/her by the Company.

b) i) within three months from the date of the receipt of the aforesaid advance of Rs........................
(Rupees ..................................................) to expend the aforesaid amount in the purchase of the
said ready built house and mortgage it to the Company/[the State of Jammu & Kashmir]***
failing which the Borrower(s) shall refund forthwith to the company the entire amount of
advance received by him/her/(them)** together with interest thereon unless an extension of
time is granted in writing by the company.

ii) to complete the construction/enlargement of the said house within eighteen months of the
receipt of the aforesaid advance of Rs. .......... (Rupees .............................................) strictly in
accordance with the plan and specifications to be approved by the Company and on the basis
of which the amount of advance is to be computed and sanctioned finally or within such
extended period as may be laid down by the Company.

iii) Within two months from the date of receipt of the amount of Rs. ............... ....... (insert amount
of installments to be paid) out of the said sanctioned advance or within such further time as the
company may allow in this behalf, to expend the aforesaid amount in the purchase of land and
to produce for inspection of the Company the sale deed in respect thereof, failing which the
Borrower(s)** shall refund to the Company the entire amount of the advance received by
him/her/(them)** together with interest thereon.

To complete the construction of the said house within twenty four months of the receipt of the
aforesaid advance of Rs. ....................... (Rupees .............
....................................................................) strictly in accordance with the plan and
specifications to be approved by the Company and on the basis of which the amount of advance
is to be computed and sanctioned finally or within such extended period as may be laid down
by the Company.

iv) within three months from the date of possession of the said house or flat, to mortgage the said
house or flat to the Company/[the State of Jammu and Kashmir]*** failing which the
Borrower(s)** shall refund forthwith to the Company the entire amount of advance received

POSOCO HOUSE BUILDING ADVANCE RULES

Page 685
 by him/her/(them)** together with interest thereon unless an extension of time is granted by
the Company.

2. If the actual amount paid by the Borrower(s)** for the purchase of land and building a house
thereon/enlarging the house/the purchase of the ready built house is less than the amount
received under these presents by the Borrower(s)**, to repay the difference to the Company
forthwith, within the time limit prescribed in the said rules.

3. To execute document/(Equitable/Registered English Mortgage)**** mortgaging the said

house/land along with the house to be built thereon to the Company/[the State of Jammu &
Kashmir who in turn will furnish a Guarantee Deed duly executed by the State of Jammu &
Kashmir in favour of the Company within three months from the date of receipt of the aforesaid
advance or the extended period which the Company may allow in this behalf]*** as security
for the amount advanced to the Borrower(s)** under these presents as also for the interest
payable for the said amount in the form provided by the said Rules. [To submit an Affidavit
and execute in irrevocable Power of Attorney in favour of Manager (HR) of the Company,
authorising him to execute on behalf of Borrower(s)*, a Registered English Mortgage Deed at
the cost of the Borrower(s)****.

4. If the land/house/flat is not purchased and the sale deed/lease deed thereof not produced for
inspection of the Company within two months of the drawal of the advance for that purpose or
within such further time as the Company may allow in this behalf/ if the house/flat is not
purchased and mortgaged within further time as the Company may allow in writing in this
behalf/if the Borrower(s)** fail(s), to complete the construction/enlargement of the said house,
as hereinbefore agreed, or if the Borrower(s)**become(s) insolvent or quit(s) the service of the
Company or die(s), the entire amount advanced together with interest accruing thereon shall
immediately become due and payable to the Company.

5. In case the purchase of house/flat is from Registered Private builder/promoters/ limited

company and if the borrower(s)** withdraws from the scheme of Private builder/promoters/
limited company for any reason whatsoever, the advance paid by the company shall be
immediately refunded by the agency for which a tripartite agreement is entered into. However,
not-withstanding anything contained in the tripartite agreement, the ultimate liability of refund
the advance amount/outstanding amount together with interest shall be on the borrower(s)**.

6. Without prejudice to any other right of the Company in that behalf, if any amount becomes
refundable or payable by the Borrower(s)** to the Company, the Company will be entitled to
recover the same as arrears of land revenue through other legal measures, including adjustment
against Borrower(s)’** statutory or contractual dues.

7. The stamp duty payable on these presents shall be borne and paid by the Borrower(s)**.

SCHEDULE ABOVE REFERRED TO*

IN WITNESS WHEREOF THE BORROWER(S)** has/(have)** hereunto set

his/her/(their)** hand and Shri/ Smt. ................................................... for and on behalf of
POWER SYSTEM OPERATION CORPORATION LIMITED has hereunto set his hand.

POSOCO HOUSE BUILDING ADVANCE RULES

Page 686
 Signature of the Borrower(s)** Signature of the Borrower(s)**
Signed by the said Borrower Signed by the said Borrower(s)**
In the Presence of : in the Presence of :

1st Witness : 1st Witness :

Address : Address :
Occupation : Occupation :

2nd Witness : 2nd Witness :

Address : Address :
Occupation : Occupation :

In the presence of :

1st Witness : Signature of Shri .........................

Address : (For and on behalf on Power System
Occupation : Operation Corporation Limited).

2nd Witness :
Address :
Occupation :

…………………………………………………………………………………………………
………………………………………….

NOTE :
i) a(ii), (iii), and b (ii), (iii), (iv) to be deleted in case of purchase of ready built house/flat.
ii) a (i), (iii) and b (I), (iii), (iv) to be deleted in case of construction/enlargement of a house.
iii) a(i), (iii), and b (I), (ii), (iv) to be deleted in case of purchase of land and construction of house.
iv) a(i), (ii) and b (I), (ii), (iii) to be deleted in case of acquisition of purchase of house/flat under
the self-financing housing scheme and purchase of flat by the registered private builder/
promoter/ limited company.
** v) applicable only if the property is held jointly by the employee and his/her spouse.
*** vi) applicable only in case of purchase of land/house/flat situated in the State of Jammu & Kashmir.
**** vii) applicable in case the advance is secured through execution of Equitable Mortgage of Property
by deposit of Original Title Deeds in place of Registered Mortgage Deed.
viii) S.No:5 will be applicable in case of purchase of registered private builder/ promoter/ limited
company.

(*to be filled in by the Borrower)

POSOCO HOUSE BUILDING ADVANCE RULES

Page 687
 ANNEXURE-D

(on Non-judicial Stamp paper)

FORM OF MORTGAGE DEED TO BE EXECUTED

WHEN THE PROPERTY IS FREEHOLD

This indenture made this ..................................... Day of ........................... Two thousand

and.............................. between …................... Son/ Daughter/ Wife of ....................................... At
present employed as ............................... In POWER SYSTEM OPERATION CORPORATION
LIMITED at ................................... (Hereinafter called “THE MORTGAGOR” which expression shall
unless excluded by or repugnant to the subject or context, include his/her heirs, executors,
administrators or assignees) on the ONE PART and POWER SYSTEM OPERATION
CORPORATION LIMITED, a company incorporated under the Indian Companies Act, 1956 and
having its registered office at B-9, 1st Floor, Qutab Institutional Area, Katwaria Sarai, New Delhi-
110016 (hereinafter called “THE MORTGAGEE” which expression shall unless excluded by or
repugnant to the subject or context include their successors in office and assigns) on the OTHER PART.

WHEREAS the MORTGAGOR is the absolute and sole beneficial owner and is seized and possessed
of or otherwise well and sufficiently entitled to the land and or house hereditaments and premises
hereinafter described in the Schedule hereunder written and for greater clarity delineated on the plan
annexed here to and thereon shown with the boundaries there of coloured ............................................
and expressed to be hereby conveyed, transferred and assured (hereinafter referred to as the “said
Mortgaged property”.)

AND WHEREAS the MORTGAGOR applied to the MORTGAGEE for an advance of Rs.
........................................... (Rupees .......................................... only) for the purpose of enabling the
MORTGAGOR.

* (1) to purchase land and to construct a house thereon *or (to enlarge living accommodation in the
existing house on the said hereditament).

*(2) to construct a house on the said hereditaments, *(to enlarge living accommodation in the house
on the said hereditaments).

*(3) to purchase a ready built aforesaid house/flat.

AND WHEREAS the MORTGAGEE agreed to advance to the MORTGAGOR the said sum of Rupees
................................................. on certain terms and conditions.

AND WHEREAS one of the conditions for the aforesaid advance is that the MORTGAGOR should
secure the repayment of the said advance and due observance of all the terms and conditions contained
in the Rules to regulate the grant of advances to employees of the Company for building, purchase etc.
of house/flats issued by the Company vide No. ....................... dated ....................(hereinafter referred
to as the “said Rules” which expression shall where the context so admits include any amendment
thereof or addition thereto for the time-being in force) by a Mortgage of the property described in the
schedule hereunder Written AND WHEREAS THE MORTGAGEE.

*(has sanctioned to the MORTGAGOR an advance of Rs. .........................................(Rupees

......................................................................................... only) payable by such installments and in the
manner as hereinafter appearing).

POSOCO HOUSE BUILDING ADVANCE RULES

Page 688
*(has paid to the MORTGAGOR an advance of Rs. ...................................(Rupees
.................................................. only) on .......................................... and in the manner provided in the
said rules upon having the repayment of the loan with interest and the observance of all the terms and
conditions contained in the Rules as hereinafter mentioned secured in the manner hereinafter
appearing).

AND WHEREAS THE MORTGAGOR is to receive from the Mortgagee the aforesaid advance in the
following installments :

* Rs. ......................... Already received on ............................................................

* Rs. ....................... on the execution of this indenture by the Mortgagor in favour of the
Mortgagee.
* Rs. .......................... when the construction of the house reaches plinth level.
* Rs. ........................ when the construction of the house reaches roof level.

NOW THIS INDENTURE WITNESSETH as follows :

(i) (a) in pursuance of the said Rules and in consideration of the said advance sanctioned/paid by the
MORTGAGEE to the MORTGAGOR pursuant to the provision contained in the said Rules the
MORTGAGOR DOTH hereby covenant with the MORTGAGEE that the MORTGAGOR
shall always duly observe and perform all the terms and conditions of the said Rules and shall
repay to the MORTGAGEE the said advance of Rs. .......................... (Rupees
........................................... only) by *** ...............................monthly installments of
Rs....................................................... (Rupees ...................................... only) from the pay of
the MORTGAGOR commencing from the month of .......................... two thousand and
................... or from the month following the completion of the house, whichever is earlier and
the MORTGAGOR hereby authorizes the MORTGAGEE to make deductions from his
monthly pay/leave salary/subsistence allowance or any other dues payable to him by the
Company of the amount of such installments and the MORTGAGOR shall after paying the full
amount of the advance also pay interest due thereon.

* mention whatever is applicable.

** The language will be modified if the mode of payment of advance is different from what is
prescribed.
*** This will be as per sanction of advance.
*** ............................ monthly installments in the manner and on the terms specified in the said
Rules provided that the MORTGAGOR shall repay the entire advance with interest in full
before the date on which he/she is due to retire from the service, failing which the
MORTGAGEE shall be entitled to enforce this security of the Mortgage at any time thereafter
and recover the balance of the advance then due together with interest and costs of recovery by
sale of the mortgaged property without the intervention of the Court or in such other manner as
may be permissible under the law. It will however, be open to the MORTGAGOR to repay the
amount in a shorter period.

(i) (b) in pursuance of the said Rules and in consideration of the said advance sanctioned/paid by the
MORTGAGEE to the MORTGAGOR pursuant to the provisions contained in the said Rules
the MORTGAGOR DOTH hereby covenant with the MORTGAGEE that the Mortgagor shall
always duly observe and perform all terms and conditions of the said Rules and shall repay to
the MORTGAGEE the said advance of Rs. ......................................................(Rupees

POSOCO HOUSE BUILDING ADVANCE RULES

Page 689
 ................................................ only) by .......................... monthly installments of Rs.
.............................. from the pay of the MORTGAGOR commencing from the month of
..................... two thousand and ............................ or from the month following the completion
of the house, whichever is earlier, till the date of his superannuation and for recovery of the
balance, if any, remaining/outstanding on his superannuation together with the interest on the
amount advanced from the date of the advance to the date of retirement from his monthly
pay/leave salary of the amount of installments of such of the balances remaining unpaid at the
date of his death/retirement/ superannuation as here-in-before mentioned, failing which the
MORTGAGEE shall be entitled to enforce this security of the MORTGAGOR at any time
thereafter and recover the balance of the advance then due together with interest and costs
recovery by sale of the mortgaged property without intervention of the Court or in such other
manner as may be permissible under the law. It will however, be open to the MORTGAGOR
to repay the amount in a shorter period by increasing the quantum of installment and/or making
lump-sum payments.

Note : Delete clauses (i) (a) or (i) (b) whichever is inapplicable.

(ii) If the MORTGAGOR shall utilise the advance for a purpose other than that for which the
advance is sanctioned or if the MORTGAGOR shall become insolvent or shall cease to be in
service for any reason other than normal retirement/superannuation/ death before payment of
the advance in full, or if the MORTGAGOR shall fail to observe or perform any of the terms,
conditions and stipulations specified in the said Rules and on his/her part to be observed and
performed then and in any such cases the whole of the principal amount of the advance or so
much thereof as shall then remain due and unpaid shall become payable forthwith to the
MORTGAGEE with interest thereon at* .......... Percent per annum calculated from the date of
the payment by the MORTGAGEE of the first installment of the said advance.

* Normal rate of interest.

*** This will be as per sanction of advance.

Notwithstanding anything contained herein, if the MORTGAGOR utilizes the advance for a
purpose other than that for which the advance is sanctioned, it shall be open to the Mortgagee
to take such disciplinary action against the mortgagor as may be considered appropriate by the
Mortgagee.

(iii) In further pursuance of the said Rules and for the consideration aforesaid and to secure
repayment of the aforesaid advance and interest as shall at any time or times hereinafter be due
to the MORTGAGEE under the terms of these presents the MORTGAGOR both hereby grant,
convey, transfer, assign, and assure unto the MORTGAGEE ALL AND SINGULAR the said
Mortgaged property fully described in the Schedule hereunder written together with buildings
erected or to be erected by MORTGAGOR the said Mortgaged property or materials for the
time-being thereon with all rights, easements and appurtenances to the said Mortgaged property
or any of them belonging to HOLD the said Mortgaged property with their appurtenances
including all erections and building erected and built or to be erected and built hereafter on the
said Mortgaged property or materials for the time being thereon unto and to the use of the
Mortgagee absolutely forever free from all encumbrances. SUBJECT NEVERTHELESS to the
provision for redemption hereinafter contained PROVIDED ALWAYS AND it is hereby
agreed and declared by and between the parties hereto that if the MORTGAGOR shall duly pay
to the MORTGAGEE the said principal sum and interest hereby secured in the manner thereon

POSOCO HOUSE BUILDING ADVANCE RULES

Page 690
 provided and also the other moneys (if any) determined to be payable by the MORTGAGOR
to the MORTGAGEE under the terms and conditions of the said Rules, then the MORTGAGEE
will at any time thereafter upon the request and at the cost of the MORTGAGOR recovery,
retransfer and reassure the said Mortgaged property unto and to the use of the MORTGAGOR
or as he may direct.

(i) AND IT IS HEREBY EXPRESSLY AGREED AND DECLARED that if there shall be any
breach by the MORTGAGOR of the covenants on his/her part herein contained or if the
MORTGAGOR shall become insolvent or shall cease to be in service for any reason other than
normal retirement/superannuation/ death before all the dues payable to the MORTGAGEE
under these presents together with interest thereon shall have been fully paid off or if the said
advance or any part thereof becomes payable forthwith under these presents or otherwise then
and in any of such cases it shall be lawful for the MORTGAGEE without intervention of the
Court, to sell said Mortgaged property or any part there of either together or in parcels and
either by public auction or by private contract with power to buy in or rescind any contract for
sale and to resell without being responsible for any loss which may be occasioned there by and
to do and execute all such acts and assurances for effectuating any such sale as the
MORTGAGEE shall think fit AND IT IS HEREBY declared that the receipts of the
MORTGAGEE for the purchase money of the premises sold or any part thereof shall effectually
discharge the purchaser or purchaser there from AND IT IS HEREBY declared that the
MORTGAGEE shall hold the moneys to arise from any sale in pursuance of the aforesaid power
upon TRUST in the first place thereout to pay all the expenses incurred on such sale and then
to pay moneys in or towards the satisfaction of the moneys for the time being owing on the
security of these presents and the balance if any to be paid to the Mortgagor.

(v) The MORTGAGOR hereby covenants with the MORTGAGEE as follows :

(a) That the MORTGAGOR now hath in himself/ herself good right and lawful authority to grant,
convey, transfer, assign and assure the MORTGAGED property unto and to the use of the
MORTGAGEE in the manner aforesaid.

(b) That the MORTGAGOR shall carry out the construction of the house-additions to living
accommodation in the aforesaid house exactly in accordance with the approved plan and
specifications on the basis of which the above advance has been computed and sanctioned
unless a departure therefrom is permitted by the MORTGAGEE. The MORTGAGOR shall
certify, when applying for installments of advance admissible at the plinth/roof level, that the
construction is being carried out in accordance with the plan and estimates furnished by him to
the MORTGAGEE, that the construction has reached plinth, roof level and that the amount
already drawn out of the sanctioned advance has actually been used on the construction of the
house. He/She will allow the MORTGAGEE to carry out either by himself or through his
representative an inspection to verify the correctness of the aforesaid certificates. If a false
certificate is furnished by the MORTGAGOR, he/she will be liable to pay the MORTGAGEE
forthwith the entire advance received by him/her together with interest thereon at ....................
percent per annum and further will also be liable to disciplinary action as may be considered
appropriate by the MORTGAGEE.

(c) That the MORTGAGOR shall complete the construction of the House/additions to living
accommodation in the aforesaid house within eighteen/twenty four months of receipt of the
advance of Rs. ....................... (Rupees ..................................... The first installment already
received on ...................................) unless an extension of time is allowed in writing by the
MORTGAGEE. In case of default the MORTGAGOR shall be liable to repay forthwith the

POSOCO HOUSE BUILDING ADVANCE RULES

Page 691
 entire amount advanced to him/her together with interest calculated under the said Rules, in
one lump-sum. The MORTGAGOR shall report to the MORTGAGEE the date of completion
of the house and furnish a certificate to the MORTGAGEE that the full amount of the advance
has been utilized for the purpose for which it was sanctioned.

NOTE :
Clauses (b) and (c) are not applicable when the advance is for the purchase of ready built houses
or for repayment of loans taken by an applicant for the construction or purchase of a house.

(d) That the MORTGAGOR shall immediately insure the house at his own cost, with the Life
Insurance Corporation of India, for a sum of not less than the amount of the aforesaid advance
and shall keep it so insured against loss or damage by fire, flood, lightning, earthquake and riot
as provided in the said Rules till the advance is fully repaid to the MORTGAGEE and deposit,
the policy of insurance with the MORTGAGEE the MORTGAGEE shall pay regularly the
premium in respect of the said insurance from time to time and will when required produce to
the MORTGAGEE the premium receipts for inspections. Failure on the part of the
MORTGAGOR to insure the house will render him liable to disciplinary action by the
MORTGAGEE. In the event of failure on the part of the MORTGAGOR to effect the insurance
against fire, flood, lightning, earthquake and riot it shall be lawful but not obligatory for the
MORTGAGEE to insure the said house at the cost of the MORTGAGOR and add the amount
of the premium to the outstanding amount of the advance and the MORTGAGOR shall
thereupon be liable to pay interest thereon as if the amount of premium had been advanced to
him as part of the aforesaid advance at .........................................till the amount is repaid to the
MORTGAGEE OR is recovered as if it were an amount covered by the security of these
presents. THE MORTGAGOR shall give a letter to the Mortgagee as often as required
addressed to the Insurer, with which the house is insured with a view to enable the
MORTGAGEE to notify to the insurer the fact that the MORTGAGEE is interested in the
Insurance policy secured.

(e) The MORTGAGOR shall maintain the aforesaid house in good repair at his own cost and shall
pay all the Municipal and other local rates, taxes and all other outgoings in respect of the
Mortgaged property regularly until the advance has been repaid to the MORTGAGEE in full.
The MORTGAGOR shall also furnish to the MORTGAGEE an annual certificate to the above
effect.

(f) The MORTGAGOR shall afford full facility to the Mortgagee for carrying out inspections after
completion of the house to ensure that it is maintained in good repair until advance has been
repaid in full.

(g) The MORTGAGOR shall refund to the MORTGAGEE an amount together with interest, if any
due thereon drawn on account of the advance in excess of the expenditure, incurred, for which
the advance was sanctioned.

(h) That the MORTGAGOR shall not during the continuance of these presents charge, encumber,
alienate or otherwise dispose off the Mortgaged property.

(i) Notwithstanding anything contained herein, the MORTGAGEE shall be entitled to recover the
balance of the advance with interest remaining unpaid at the time of his retirement or death
preceding retirement to enforce the security of the mortgage at any time thereafter and recover
the balance of the advance due together with interest and cost of recovery by sale of the

POSOCO HOUSE BUILDING ADVANCE RULES

Page 692
 house/ownership flat etc. without the intervention of the Court or in such other manner as may
be permissible under law.

SCHEDULE ABOVE REFERRED TO*

IN WITNESS WHEREOF THE MORTGAGOR has hereunto set his hand on the day, month
and year written above.

Signed by the said (Mortgagor) ......................................................................... in the presence

of

1st Witness : 2nd Witness :

Address : Address :
Occupation : Occupation :

IN WITNESS THEREOF Shri ..................................................... for and on behalf of an by

order and direction of POWER SYSTEM OPERATION CORPORATION LIMITED has
signed this present.

Signed by Shri ..........................................

In the presence of :

1st Witness : 2nd Witness :

Address : Address :
Occupation: Occupation :

NOTE :
Before paying stamp duty on this document the applicants are advised to contact the respective
State Government Administration for ascertaining the value of Non-judicial Stamp Paper to be
used and whether exemption from payment of stamp duty is available.

* To be filled in by Mortgagor.

POSOCO HOUSE BUILDING ADVANCE RULES

Page 693
 ANNEXURE – D (I)

(On Non-Judicial Stamp Paper)

FROM OF MORTGAGE DEED TO BE EXECUTED WHEN THE PROPERTY IS

FREEHOLD
AND IS HELD IN THE JOINT NAMES OF HUSBAND AND WIFE

This indenture made this ................................. day of ............................ Two thousand and......................
Between .................... son/daughter of ................................. of ........................... at present employed as
............................... In POWER SYSTEM OPERATION CORPORATION LIMITED at
.........................., his/her wife/husband (hereinafter jointly referred to as ‘The Mortgagors’, which
expression shall unless excluded by or repugnant to the subject or context, include their respective heirs,
executors, administrators and assigns) of the ONE PART and Shri/Smt .............................................
(the employee being hereinafter called as Principal or Applicant Mortgagor) and The POWER
SYSTEM OPERATION CORPORATION LIMITED, a Company incorporated under the Indian
Companies Act, 1956 and having its registered office at B-9,1st Floor, Qutab Institutional Area,
Katwaria Sarai, New Delhi-110016 (hereinafter called “The Mortgagee” which expression shall unless
excluded by or repugnant to the subject or context include their successors - in office and assigns) of
the OTHER PART:
WHEREAS THE MORTGAGORS are the absolute and sole beneficial owners and are seized and
possessed of or otherwise well and sufficiently entitled to the land and/or house hereditaments and
premises hereinafter described in the Schedule hereunder written and for greater clarity delineated on
the plan annexed hereto and thereon shown with the boundaries thereof coloured ...................... To be
hereby conveyed, transferred and assured (hereinafter referred to as “the said Mortgaged Property”).

AND WHEREAS ................................ one of the Mortgagors hereby referred to as Applicant

Mortgagor applied to the MORTGAGEE for an advance of Rs. ........................... (Rupees
............................................ only) for the purpose of enabling the SAID APPLICANT MORTGAGOR.

*(1) to purchase land and to construct a house thereon or *(to enlarge living accommodation in the
existing house on the said hereitaments).

*(2) to construct a house on the said hereditaments * (to enlarge living accommodation in the
house on the said hereitaments).

AND WHEREAS as Mortgagee agreed to the Principal Mortgagor the said sum of Rs. ........................
on certain terms and conditions.

AND WHEREAS one of the conditions for the aforesaid advance is that the Mortagagor should secure
the payment of the said advance and due observance of all the terms and conditions contained in the
Rule to regulate the grant of advance to company employees for purchase, building etc., of houses/flats
issued by the Company vide letter No. ............................... Dated

(hereinafter referred to as the “said Rules” which expression shall whereas the context so admits include
any amendment thereof or addition thereto for the time-being in force) by a Mortgagee of the property
described in the Schedule hereunder written.

POSOCO HOUSE BUILDING ADVANCE RULES

Page 694
AND WHEREAS THE MORTGAGEE

*has sanctioned to the APPLICANT MORTGAGOR an advance of Rs. ..........................

(Rupees................................ only) on ............................... and in the manner provided in the said Rules
upon having the repayment of the loan with interest and the observance of all the terms and conditions
contained in the said Rules as hereinafter mentioned secured in the manner hereinafter appearing.

AND WHEREAS THE APPLICANT MORTGAGOR is to receive from the Mortgagee the aforesaid
advance in the following installments :

* Rs. ....................................... Already received on .....................................

* Rs. ...................... On the execution of this indenture by the Mortgagors in favour of the
Mortgagee.

** Rs.............................. when the construction of the house reaches plinth level.

** Rs. .......................... when the construction of the house reaches roof level.

NOW THIS INDENTURE WITNESSETH as follows :

1. (a) in pursuance of the said Rules and in consideration of the said advance sanctioned/ paid by the
Mortgagee to the APPLICANT MORTGAGOR pursuant to the provisions contained in the said
Rules the MORTGAGORS DOTH hereby covenant with the MORTGAGEE that the
MORTGAGORS shall always duly observe and perform all the terms and conditions of the
said rules and shall repay to the MORTGAGEE the said advance of Rs. ............................
(Rupees..................................... Only) by *** .............................. monthly installments of Rs.
............................... (Rupees .......................... only) from the pay of the APPLICANT
commencing from the month of ................................ two thousand and .............................. or
from the month following the completion of the house, whichever is earlier, and the
APPLICANT MORTGAGOR hereby authorizes the Mortgagee to make deductions from
his/her monthly pay/leave salary/subsistence allowance or any of the dues payable to him by
the Company of the amount of such installments and the APPLICANT MORTGAGOR shall
after paying the full amount of the advance also pay interest due thereon in
......................Monthly installments.

* Mention whichever is applicable

** The language will be modified if the mode of payment of Advance is different from what is
prescribed.

*** As per sanction of Advance in the manner and on the terms specified in the said Rules, provided
that the APPLICANT MORTGAGOR shall repay the entire advance with interest in full before
the date on which he/she is due to retire from service failing which the MORTGAGEE shall be
entitled to enforce this security of the Mortgage at any time thereafter and recover the balance
of the advance then due together with interest and costs and recovery by sale of the Mortgaged
property without the intervention of the Court or in such other manner as may be permissible
under the law. It will however, be open to the APPLICANT MORTAGAGOR to repay the
amount in a shorter period.

POSOCO HOUSE BUILDING ADVANCE RULES

Page 695
1. (b) in pursuance of the said Rules and in consideration of the said advance sanctioned/paid by the
MORTGAGEE to the MORTGAGOR pursuant to the provisions contained in the said Rules
the MORTGAGOR DOTH hereby covenant with the MORTGAGEE that the Mortgagor shall
always duly observe and perform all terms and conditions of the said Rules and shall repay to
the MORTGAGEE the said advance of Rs. ....................................................... (Rupees
................................................. only) by ................................... monthly installments of Rs.
....................................... from the pay of the MORTGAGOR commencing from the month of
..........................................two thousand and ................... or from the month following the
completion of the house, whichever is earlier, till the date of his superannuation and for
recovery of the balance, if any, remaining/outstanding on his superannuation together with the
interest on the amount advanced from the date of the advance to the date of retirement from his
monthly pay/leave salary of the amount of installments of such of the balances remaining
unpaid at the date of his death/retirement/superannuation as here-in-above mentioned, failing
which the MORTGAGEE shall be entitled to enforce this security of the MORTGAGOR at any
time thereafter and recover the balance of the advance then due together with interest and costs
recovery by sale of the mortgaged property without intervention of the Court or in such other
manner as may be permissible under the law. It will however, be open to the MORTGAGOR
to repay the amount in a shorter period by increasing the quantum of installment and/or making
lump-sum payments.

NOTE : Delete Clause 1. (a) or (b) whichever is inapplicable.

2. If the APPLICANT MORTGAGOR shall utilize the advance for a purpose other than that for
which the advance is sanctioned or if the APPLICANT MORTGAGOR shall become insolvent
or shall cease to be in service for any reason other than normal retirement/ superannuation/
death before repayment of the advance in full, or if the APPLICANT MORTGAGOR shall fail
to observe or perform any of the terms, conditions and stipulations specified in the said Rules
and on his/her part to be observed and performed then and in any such cases the whole of the
principal amount of the advance or so such thereof as shall then remain due and unpaid shall
become payable forthwith to the MORTGAGEE with interest thereon at ....................... per cent
per annum calculated from the date of the payment by the MORTGAGEE of the first
installment of the said advance. Notwithstanding anything contained herein, if the
APPLICANT MORTGAGOR utilizes the advance for a purpose other than that for which the
advance is sanctioned, it shall be open to the MORTGAGEE to take such disciplinary action
against the APPLICANT MORTGAGOR as may be considered appropriate by the
MORTGAGEE.

3. In further pursuance of the said Rules and for the consideration aforesaid and to secure
repayment of the aforesaid advance and interest as shall at any time or time hereinafter be due
to the MORTGAGEE under the terms of these presents the MORTGAGORS do hereby grant,
convey, transfer, assign and assure unto the MORTGAGEE ALL AND SINGULAR the said
Mortgaged property fully described in the schedule hereunder written together with building
erected or to be erected by the MORTGAGORS on the said Mortgaged property or materials
for the time being there with all rights, easements and appurtenances to the said Mortgaged
property or any of them belonging TO HOLD the said Mortgaged property with their
appurtenances including all erections and building erected and built or to be erected and built
hereafter on the said Mortgaged property or materials for the time being thereon upto and to the
use of the MORTGAGEE absolutely forever free from all encumbrances. SUBJECT
NEVERTHELESS to the provisions for redemption hereinafter contained NAMELY that if the

POSOCO HOUSE BUILDING ADVANCE RULES

Page 696
 MORTGAGORS shall duly pay to the MORTGAGEE the said principal sum and interest
hereby secured in the manner herein provided and also the other moneys, if any, determined to
be payable by the MORTGAGORS to the MORTGAGEE under the terms and conditions of
the said Rules, then the MORTGAGEE will at any time thereafter upon the request and at the
cost of the MORTGAGORS reconvey, retransfer and reassure the said Mortgaged property
unto and to the use of the MORTGAGORS or as they may direct.

a) AND IT IS HEREBY EXPRESSLY AGREED AND DECLARED that if there shall be any
breach by the MORTGAGORS of the covenants on their part therein contained or if the
APPLICANT MORTGAGOR shall become insolvent or shall cease to be in service for any
reason other than normal retirement/superannuation/ death before all the dues payable to the
MORTGAGEE under these presents together with interest thereon shall have been fully paid
off or if the said advance or any part thereof becomes payable forthwith under these presents
or otherwise then and in any of such case it shall be lawful, for the MORTGAGEE without
intervention of the Court to sell the said Mortgaged property or any part thereof either together
or in parcels and either by public auction or by private contracts with power to buy in or rescind
any contracts for sale and to resell without being responsible for any loss which may be
occasioned thereby and to do and execute all such acts and assurances for effectuating any such
sale as the MORTGAGEE shall think fit AND IT IS HEREBY declared that the receipt of the
MORTGAGEE for the purchase money of the premises sold or any part thereof shall effectually
discharge the for the purchase money of the premises sold or any part thereof shall effectually
discharge the for the purchase money of the premises sold or any part thereof shall effectually
discharge the purchaser or purchasers therefrom AND IT IS HEREBY declared that the
MORTGAGEE shall hold the money to arise from any sale in pursuance of the aforesaid power
upon TRUST in the first place there out to pay all the expenses incurred on such sale and then
to pay money in or towards the satisfaction of the moneys for the time being owing on the
Security of these presents and the balance if any to be paid to the MORTGAGORS.

5. The MORTGAGORS hereby convenant with MORTGAGEE as follows :

(a) That the MORTGAGORS now have in themselves good right and lawful authority to grant,
convey, transfer, assign and assure the MORTGAGED property unto and to the use of the
MORTGAGEE in the manner aforesaid.

(b) That the APPLICANT MORTGAGOR shall carry out the construction of the house/additions
to living accommodation in the aforesaid house exactly in accordance with approved plan and
specifications on the basis of which the above advance has been computed and sanctioned
unless a departure there from is permitted by the MORTGAGEE.

The APPLICANT MORTGAGOR shall certify, when applying for installments of advance
admissible at the plinth/roof level that the construction is being carried out in accordance with
the plan and estimates furnished by him to the MORTGAGEE, that the construction has reached
plinth/roof level and that the amount already drawn out of the sanctioned advance has actually
been used on the construction of the house. He/she will allow the MORTGAGEE to carry out
either by himself or through this representative an inspection to verify the correctness of the
aforesaid certificates. If a false certificate is furnished by the APPLICANT MORTGAGOR,
he/she will be liable to pay to the MORTGAGEE forthwith the entire advance received by
him/her together with interest thereon at* ........................ per cent per annum and further will
also be liable to disciplinary action as may be considered appropriate by the MORTGAGEE.

* Normal Rate of interest as per sanction of advance.

POSOCO HOUSE BUILDING ADVANCE RULES

Page 697
(c) That the APPLICANT MORTGAGOR shall complete construction of the house/additions to
living accommodation in the aforesaid house within; eighteen months of the receipt of the
advance of Rs. ...................... (i.e. first installment received on .....................) unless an
extension of the time is allowed in writing by the MORTGAGEE. In case of default, the
Principal MORTGAGOR shall be liable to repay forthwith the entire amount advanced to him
together with interest calculated under the said Rules, in one lump advanced to him together
with interest calculated under the said Rules, in one lump sum. The APPLICANT
MORTGAGOR shall report to the MORTGAGEE the date of completion of the house and
furnish a certificate to the MORTGAGEE that the full amount of the advance has been utilized
for the purpose for which it was sanctioned.

Note : Clauses (b) and (c) are not applicable when the advance is for the purchase of ready built
houses/flats or for repayment of loans taken by an applicant for the construction of purchase of
house/flat.

(d) That the MORTGAGORS shall immediately insure the house at their own cost, for a sum not
less than the amount of the aforesaid advance and shall keep it so insured against loss or damage
to fire, flood, lightning, earthquake and riot as provided in the said Rules till the advance is
fully repaid to the MORTGAGEE and deposit, the policy of insurance with the MORTGAGEE.
The MORTGAGORS shall pay regularly the premium in respect of the said insurance from
time to time and will be then required to produce to the MORTGAGEE the premium receipts
for inspection. Failure on the part of MORTGAGORS to insure the house will render the
principal MORTGAGOR liable to disciplinary action by the MORTGAGEE, in the event of
failure on the part of the MORTGAGORS to effect the insurance against fire flood, lighting,
earthquake and riot it shall be lawful but not obligatory for the MORTGAGEE to insure the
said house at the cost of the MORTGAGORS and add the amount of the premium to the
outstanding amount of the advance and the APPLICANT MORTGAGOR shall thereupon be
liable to pay interest there as if the amount of the premium had been advanced to him as part of
the aforesaid advance at .................................. till the amount is repaid to the MORTGAGEE
OR is recovered as if it were an amount covered by the security of these presents. The
MORTGAGORS shall give a letter to the MORTGAGEE as often as required, addressed to the
Insurer with which the house is insured with a view to enable the MORTGAGEE to notify to
the insurer the fact that the MORTGAGEE is interested in the Insurance policy secured.

(e) MORTGAGORS shall maintain the aforesaid house in good repair at their own co stand shall
pay all the Municipal and other local rates, taxes and all other outgoings in respect of the
Mortgaged property regularly until the advance has been repaid to the MORTGAGEE in full.
The MORTGAGORS shall also finish to the MORTGAGEE an annual certificate to the
above effect.

(f) The APPLICANT MORTGAGOR shall refund to the MORTGAGEE any amount with
interest, if any due thereon drawn on account of the advance in excess of the expenditure
incurred, for which the advance was sanctioned.

(g) That the MORTGAGORS shall not during the continuance of these presents charge. Encumber,
alienate or otherwise dispose off the Mortgaged property.

(h) Notwithstanding anything contained herein, the MORTGAGEE shall be entitled to recover the
balance of the advance with interest remaining unpaid at the time of the retirement or death

POSOCO HOUSE BUILDING ADVANCE RULES

Page 698
 preceding retirement to enforce the security of the MORTGAGE at any time thereafter and
recover the balance of the advance together with interest and cost of recovery by sale of the
house, ownership flat etc. without the intervention of the Court or in such other manner as may
be permissible under law.

SCHEDULE ABOVE REFERRED TO*

IN WITNESS WHEREOF THE MORTGAGORS have hereunto set their hands on the day,
month and year written above.

Signed by the MORTGAGORS ........................................................................ in the presence

of:

1st Witness : 1st Witness :

Address : Address :
Occupation : Occupation :

IN WITNESS THEREOF Shri ..................................................... for and on behalf of an by

order and direction of POWER SYSTEM OPERATION CORPORATION LIMITED has
signed this present.

Signed by Shri ................................................................................................in the presence of

:

1st Witness : 1st Witness :

Address : Address :
Occupation : Occupation :

NOTE :
Before paying stamp duty on this document, the applicants are advised to contact the respective
State Government/Administration for ascertaining the value of Non-judicial Stamp Paper to be
used and whether exemption from payment of stamp duty is available.

(* To be filled in by Mortgagor)

POSOCO HOUSE BUILDING ADVANCE RULES

Page 699
 ANNEXURE-D(II)

(On Non-Judicial Stamp Paper)

FORM OF MORTGAGE DEED TO BE EXECUTED WHEN THE PROPERTY IS

LEASEHOLD

This indenture made this .................................... day of ............................ two thousand and
......................... Between .......................... son/daughter of ............................. at present
employed as ............................. in POWER SYSTEM OPERATION CORPORATION
LIMITED at …………………………………………………(hereinafter called “THE
MORTGAGOR”, which expression shall unless excluded by or repugnant to the subject or
context include his her heirs, executors, administrators and assigns) of the ONE PART and
POWER SYSTEM OPERATION CORPORATION LIMITED, a Company incorporated
under the Indian Companies Act, 1956 and having its registered office at B-9, Qutab
Institutional Area, Katwaria Sarai, New Delhi-110016 (hereinafter called “THE
MORTGAGEE”, which expression shall unless excluded by or repugnant to the subject or
context include his successors-in-office and assigns) of the OTHER PART.

WHEREAS by a lease dated .............................. and made between ................. the lessor
demised to the MORTGAGOR the property situated at ..................... and more particularly
described in the Schedule hereunder written for a term of ........................ years commencing
from .............................. at the yearly/monthly rent of Rs. ....................................... and
subject to the performance and observance of the covenants and conditions therein
mentioned.

AND WHEREAS the MORTGAGOR applied to the MORTGAGEE for an advance of Rs.
.......................... (Rupees ....................................... only) for the purpose of enabling the
MORTGAGOR:

* (1) to purchase land and to construct a house thereon or (to enlarge living accommodation in the
existing house on the said hereditaments).

*(2) to construct a house on the said hereditaments, or (to enlarge living accommodation in the house
on the said hereditaments).

* (3) to purchase a ready built aforesaid house.

* Strike out whichever is not applicable.

AND WHEREAS the MORTGAGEE agreed to advance to the MORTGAGOR the said sum
of Rs. ............................... On certain terms and conditions.

AND WHEREAS one of the conditions for the aforesaid advance is that the MORTGAGOR
should secure the repayment of the said Advance and due observance of all the terms and
conditions contained in the Rules to regulate the grant of advance to Company’s employees for
building etc. of houses issued by the Management (hereinafter referred to as the “said Rules”
which expression shall, where the context so admits, include any amendment thereof or addition

POSOCO HOUSE BUILDING ADVANCE RULES

Page 700
 thereto for the time-being in force) by a mortgage of the property described in the Schedule
hereunder written.

AND WHEREAS THE MORTGAGEE

@ (1) has sanctioned to the MORTGAGOR an advance of Rs. .................................. (Rupees

...................................... only) payable in such installments and in the manner as hereinafter
appearing.

@(2) has paid to the MORTGAGOR an advance of Rs. ......................

(Rupees ......................................... only) on ............................. and in the manner provided in

the said Rules upon having the repayment of the loan with interest and observance of all the
terms and conditions contained in the said Rules as hereinafter mentioned secured in the manner
hereinafter appearing :

AND WHEREAS THE MORTGAGOR is to receive from the MORTGAGEE the aforesaid
advance in the following installments :

** Rs. ................................... already received on ..................................

** Rs. ...................................... on the execution of the indenture by the MORTGAGOR in favour

of the MORTGAGEE.

** Rs. ................................... when the construction of the house reaches plinth level.

** Rs. ................................... when the construction of the house reaches roof level.

*** AND WHEREAS the lessor of the said premises has given his approval for the Mortgage on
the conditions that if the property to be sold under the Power therein contained or otherwise he
will be paid first after the cost of such sale, his share of the unearned increase as provided in
the said lease.

@ Mention whatever is applicable.

** Language may be modified if the mode of payment of advance is different from what is
indicated above.

*** This applies to Nazul lands (normally) to be inserted wherever applicable.

NOW THIS INDENTURE WITNESSETH as follows :-

(i) (a) in pursuance of the said Rules and in consideration of the said advance sanctioned/paid by the
MORTGAGEE to MORTGAGOR pursuant to the provisions contained in the said Rules the
MORTGAGOR DOTH hereby covenant with the MORTGAGEE that the MORTGAGOR
shall always duly observe and perform all the terms and conditions of the said Rules and shall
repay to the MORTGAGEE the said advance of Rs. ........................... (Rupees ..................
..................................... only) by ............................... ****monthly installments of Rs.
................................... (Rupees...................................... only) from the pay of the
MORTGAGOR commencing from the month of ................ two thousand and ............. or from
the month following completion of the house, whichever is earlier and the MORTGAGOR
hereby authorizes the MORTGAGEE to make deductions from his monthly pay/leave

POSOCO HOUSE BUILDING ADVANCE RULES

Page 701
 salary/subsistence allowance or any other dues payable to him by the company of the amount
of such installments and the MORTGAGOR shall after paying the full amount of the advance
also pay interest due thereon in **** ................................... monthly installments in the manner
and on the terms specified in the said Rules. Provided that the MORTGAGOR shall repay the
entire advance with interest in full before the date on which he/she is due to retire from service,
failing which the MORTGAGEE shall be entitled to enforce this security of the Mortgage at
any time thereafter and recover the balance of the advance then due together with interest and
costs of recovery by sale of the mortgaged property without the intervention of the Court or in
such other manner as may be permissible under the law. It will however be open to the
MORTGAGOR to repay the amount in a shorter period by increasing the quantum of
installment or in lump-sum.

(b) In pursuance of the said Rules and in consideration of the said advance sanctioned/paid by the
MORTGAGEE to the MORTGAGOR pursuant to provisions contained in the said Rules the
MORTGAGOR DOTH hereby covenant with the MORTGAGEE that the MORTGAGOR
shall always duly observe and perform all the terms and conditions of the said Rules and shall
repay to the MORTGAGEE the said advance of Rs. .................. (Rupees
................................................................................ only) by............................. monthly
installments of Rs. ...................................... from the pay of the MORTGAGOR commencing
from the month of .............. two thousand ................................... or from the month following
the completion of the house whichever is earlier, till the date of his superannuation and the
balance then remaining outstanding on his superannuation together with the interest on the
amount of advance from the date of the advance to the date of retirement from his monthly
pay/leave salary/subsistence allowance or any other dues payable to him by the Company of
the amount of such installments and of hereinbefore mentioned, failing which the
MORTAGAGEE shall be entitled to enforce this security of the Mortgage at any time thereafter
and recover the balance of the advance then due together with interest and costs of recovery by
sale of the Mortgaged property without the intervention of the Court or in such other manner
as may be permissible under the law. It will, however, be open to the MORTGAGOR to repay
the amount in a shorter period by increasing the quantum of installment and/or making lump-
sum payment.

**** As per sanction order of the advance under the Rules.

Note : (Delete clause (I) (a) or (I) (b) whichever is inapplicable.

(ii) If the MORTGAGOR shall utilize the advance for a purpose other than that for which the
advance is sanctioned or if the MORTGAGOR shall become insolvent or shall cease to be in
service for any reason other than normal retirement/superannuation/ death before payment of
the advance in full, or if the MORTGAGOR shall fail to observe or perform any of the terms,
conditions and stipulations specified in the said Rules and on his/her part to be observed and
performed then and in any such cases the whole of the principal amount of the advance or so
much thereof as shall then remain due and unpaid shall become payable forthwith to the
Mortgagee with interest thereof at * ................................ percent per annum calculated from the
date of the payment by the MORTGAGEE of the first installment of the said advance.

Notwithstanding anything contained herein if the MORTGAGOR utilizes the advance for a
purpose other than that for which the advance is sanctioned, it shall be open to the

POSOCO HOUSE BUILDING ADVANCE RULES

Page 702
 MORTGAGEE to take such disciplinary action against the MORTGAGOR as may be
considered appropriate by the MORTGAGEE.

(iii) In further pursuance of the said Rules and for the consideration aforesaid and to secure
repayment of the aforesaid advance and interest as shall at any time or times hereinafter be due
to the MORTGAGEE under the terms of these presents the MORTGAGOR both hereby grant,
convey, transfer or assure unto the MORTGAGEE ALL AND SINGULAR the said property
comprised in the said lease dated ..........................and more particularly described in the
schedule hereunder written together with buildings erected or to be erected by the
MORTGAGOR on the said property (hereinafter referred to as the Mortgaged property) or
materials for the time-being thereon with all right, easements and appurtenances to the said
mortgaged property or any of them belonging subject to covenants by the lessee and to the
conditions therein contained to HOLD the same unto the MORTGAGEE absolutely but subject
to the terms and covenants of the said lease and subject nevertheless to the proviso for
redemption hereinafter contained PROVIDED ALWAYS AND it is hereby agreed and
declared by and between the parties hereto that if the MORTGAGOR shall duly pay to the
MORTGAGEE the said principal sum and interest hereby secured in the manner herein
provided and also the other moneys (if any) determined to be payable by the MORTGAGOR
to the MORTGAGEE under the terms and conditions of the said Rules then the MORTGAGEE
will at any time thereafter upon the request and at the cost of the MORTGAGOR reconvey,
retransfer and reassure the said Mortgaged property unto and to the use of the Mortgagor or as
he may direct.

(iv) AND IT IS HEREBY EXPRESSLY AGREED AND DECLARED that if there shall be any
breach by the MORTGAGOR of the covenants on his/her part herein contained if the
MORTGAGOR shall become insolvent or shall cease to be in service for any reason other than
normal retirement/superannuation/death before all the dues payable to the Mortgagee under
these presents together with interest thereon shall have been fully paid or if the said advance or
any part thereof becomes payable forthwith under these presents or otherwise than and in any
of such cases it shall be lawful for the MORTGAGEE TO SELL without the intervention of
the court, the said Mortgaged property or any part thereof either together or in parcels and either
by public auction or by private contract with power to buy in or rescind any contract for sale
and to resell without being responsible for any loss which may be occasioned thereby and to do
and execute all such acts and assurances for effectuating any such sale as the MORTGAGEE
shall think fit AND IT IS HEREBY declared that the receipt of the MORTGAGEE for the
purchase money of the premises sold or any part thereof shall effectually discharge the
purchaser or purchasers therefrom AND IT IS HEREBY declared that the MORTGAGEE shall
hold the moneys to arise from any sale in pursuance of the aforesaid power UPON TRUST in
the first place thereout to pay all the expenses incurred on such sale *(and in the next place to
pay to ............................... .............. the lessor of the mortgaged property ......................... fifty
percent of the unearned increase pursuant to clause ...................................... of the said lease)
and then to pay moneys in or towards the satisfaction of the moneys for the time being owing
on the security of these presents and balance if any to be paid to the Mortgagor.

* Normal Rate of interest to be charged under the said rules:

(v) The MORTGAGOR hereby covenants with the MORTGAGEE as follows:

POSOCO HOUSE BUILDING ADVANCE RULES

Page 703
(a) That the MORTGAGOR now have in himself/herself good right and lawful authority to grant,
convey, transfer, assign and assure the MORTGAGED property unto and to the use of the
MORTGAGEE in the manner aforesaid.

**(b) That the MORTGAGOR shall carry out the construction of the house/additions to living
accommodation in the aforesaid house exactly in accordance with the approved plan and
specifications on the basis of which the above advance has been computed and sanctioned
unless a departure therefrom is permitted by the MORTGAGEE. The MORTGAGOR shall
certify, when applying for installments of advance with the plan and estimates furnished by him
to the MORTGAGEE, that construction has reached plinth/roof level and that the amount
already drawn out of the sanctioned advance has actually been used on the construction of the
house. He/she will allow the MORTGAGEE to carry out either by himself or through the
representative an inspection to verify the correctness of the aforesaid certificates. If a false
certificate is furnished by the MORTGAGOR he/she will be liable to pay to the MORTGAGEE
forthwith the entire advance received by her/him together with interest thereon at
................................. *per cent annum and further will also be liable to disciplinary action as
considered appropriate by the MORTGAGEE.

@ (c) That the MORTGAGOR shall complete the construction of the house/additions to living
accommodation in the aforesaid house within eighteen/twenty four months of the receipt of the
advance of Rs. ........................* unless an extension of time is allowed in writing by the
MORTGAGEE. In case of default the MORTGAGOR shall be liable to repay forth with the
entire amount advanced to him together with interest calculated under the said Rules, in one
lump-sum. The MORTGAGOR shall report to the MORTGAGEE the date of completion of
the house and furnish a certificate to the MORTGAGEE that the full amount of the advance
has been utilized for the purpose for which it was sanctioned.

In case of Nazul land in Delhi and in similar cases wherever applicable.

** Not applicable when advance is for purchase of ready built house.

@ Not applicable when advance is for purchase of ready built house.

(d) That the Mortgagor shall immediately insure the house at his own cost, with the Life Insurance
Corporation of India for a sum of not less than the amount of aforesaid advance and shall keep
it so insured against loss or damage by fire, flood, lightning, earthquake and riot as provided in
the said Rules till the advance is fully repaid to the MORTGAGEE and deposit the policy of
insurance with the MORTGAGEE. The MORTGAGOR shall pay regularly the premium in
respect of the said insurance from time to time and will when required produce to the
MORTGAGEE the premium receipts for inspection, failure to do so will render the
MORTGAGEE liable to disciplinary action.

In the event of failure on the part of the MORTGAGOR to effect the insurance against fire,
flood, lightning, earthquake and riot it shall be lawful but not obligatory for the MORTGAGEE
to insure the said house at the cost of the MORTGAGORS and add the amount of premium to
the outstanding amount of the advance and the MORTGAGOR shall thereupon be liable to pay
interest thereon as if the amount of the premium had been advanced to him as part of the
aforesaid advance at ......................... Till the amount is repaid to the MORTGAGEE or is
recovered as if it were an amount covered by the Security of these presents. The
MORTGAGOR shall give a letter to the Mortgagee as often as required addressed to the insurer,

POSOCO HOUSE BUILDING ADVANCE RULES

Page 704
 with which the house is insured with a view to enable the MORTGAGEE to notify to the insurer
the fact that the MORTGAGEE is interested in the Insurance policy secured.

(e) That the MORTGAGOR shall maintain the aforesaid house in good repair at his own cost and
shall pay all the Municipal and other local rates, taxes and all other outgoings in respect of the
mortgaged property regularly until the advance has been repaid to the MORTGAGEE in full.
The MORTGAGOR shall also furnish to the MORTGAGEE an annual certificate to the above
effect.

(f) The MORTGAGOR shall afford full facility to the Mortgagee for carrying out inspection after
completion of the house to ensure that it is maintained in good repair until the advance has been
repaid in full.

(g) The MORTGAGOR shall refund to the MORTGAGEE any amount together with interest, if
any, due thereon drawn on account of the advance in excess of the expenditure incurred for
which the advance was sanctioned.

(h) That the said lease dated ............................................. as valid and subsisting lease of the
Mortgaged property and are in no way void or voidable and the rents and the covenants and
conditions in and by the indenture of lease reserved have been paid, performed and observed
up to the date of these presents and that the same is assignable in the manner hereinbefore
stated.

(i) That the MORTGAGOR will so long as any money shall remain owing on security of the said
Mortgaged property, hereinbefore expressed to be hereby assigned and in any case for the
period of the said agreement duly observe all the covenants by the lease and conditions
contained in the said indenture of lease referred in the Schedule hereunder written and keep the
MORTGAGEE indemnified against all actions, suits, proceedings, costs, charges, claims and
demands which will be incurred or sustained by reasons of the non-payment of the said rent or
the breach, non-performance or non-observance of the said covenants and conditions or any of
them.

(j) That the MORTGAGOR shall not during the continuance of these present charge, encumber,
alien or otherwise dispose of the Mortgaged property.

(k) Notwithstanding anything contained herein the Mortgagee shall be entitled to recover the
balance of the advance with interest remaining unpaid at the time of his retirement or death
preceding retirement to enforce the security of the MORTGAGEE at any time thereafter and
recover the balance of the advance due together with interest and cost of recovery by sale of
the house/ownership flat etc., without the intervention of the court or in such other manner as
may be permissible under law.

SCHEDULE ABOVE REFERRED TO*

IN WITNESS WHEREOF THE MORTGAGOR has hereunto set his hand on the day, month
and year above written.

POSOCO HOUSE BUILDING ADVANCE RULES

Page 705
 Signed by the said MORTGAGOR ................................................. IN THE PRESENCE OF:

1st witness : 2nd witness :

Address : Address :
Occupation : Occupation :

Signed by Shri ..................................................................... for and on behalf of and by order

and direction of POWER SYSTEM OPERATION CORPORATION LIMITED in the
presence of :

1st witness : 2nd witness :

Address : Address :
Occupation : Occupation :

To be filled by the MORTGAGOR

NOTE :

Before paying Stamp Duty on this Document, the applicants are advised to contact the
respective State Government/Administration for ascertaining the value of Non-judicial Stamp
Paper and whether exemption from payment of stamp duty is available.

POSOCO HOUSE BUILDING ADVANCE RULES

Page 706
 ANNEXURE-D(III)

FORM OF MORTGAGE DEED TO BE EXECUTED WHEN THE PROPERTYIS

LEASEHOLD AND IS HELD IN THE JOINT NAMES OF HUSBAND AND WIFE

This indenture made this .......................................... day of ........................ two thousand and
............................. between ........................... son/daughter of ....................................... at
present employed as .................. in POWER SYSTEM OPERATION CORPORATION
LIMITED at ........................ and ..................... his/her wife/husband (hereinafter jointly
referred to as THE MORTGAGORS which expression shall unless excluded by or repugnant
to the subject or context include their respective heirs, executors, administrators and assigns)
of the ONE PART and the POWER SYSTEM OPERATION CORPORATION LIMITED, a
Company incorporated under the Companies Act, 1956 and having its registered office at B-9,
Qutab Institutional Area, Katwaria Sarai, New Delhi-110016 hereinafter called “THE
MORTGAGEE” which expression shall unless excluded by or repugnant to the subject or
context include their successors-in-office and assigns) of the OTHER PART.

WHEREAS by a lease dated .................... and made between ....................... the lessor demised
to the MORTGAGORS the property situated at ....................... and more particularly described
in the Schedule hereunder written for a term of ................................... years commencing from
............................. at the yearly/monthly rent of Rs. .................................... and subject to the
performance and observance of the covenants and conditions therein mentioned.

AND WHEREAS one of the MORTGAGORS ...................... (hereinafter referred to as the

APPLICANT MORTGAGOR) applied to the MORTGAGEE for an advance of Rs.
......................... (Rupees .......................................... only) for the purpose of enabling the said
applicant MORTGAGOR.

*(1) to purchase land and to construct a house thereon or (to enlarge living accommodation in the
existing house on the said hereditaments.

* (2) to construct a house on the said hereditaments or (to enlarge living accommodation in the house
on the said hereditaments).

AND WHEREAS the MORTGAGEE agreed to advance to the applicant MORTGAGOR the
said sum of Rs. .............................. on certain terms and conditions.

AND WHEREAS one of the conditions for the said advance is that the MORTGAGORS secure
the repayment of the advance and due observance of all the terms and conditions contained in
the Rules to regulate the grant of advance for Company employees for building etc. of houses
issued by the Company vide letter No. ........................................... Dated ................................
(hereinafter referred to as the “said Rules” which expression shall where the context so admits
include any amendment thereof or addition thereto for the time being in force) by a
MORTGAGE of the property described in the schedule hereunder written AND WHEREAS
THE MORTGAGEE.

@(1) has sanctioned to the APPLICANT MORTGAGOR and advance of Rs. ..........................
(Rupees ........................................................... only) payable in such installments and in the
manner as hereinafter appearing.

POSOCO HOUSE BUILDING ADVANCE RULES

Page 707
@(2) has paid to the applicant MORTGAGOR advance of Rs. ............................. (Rupees
......................................................... only) on ....................... and in the manner provided in the
said Rules upon having the repayment of the loan with interest and observance of all the terms
and conditions contained in the said Rules as hereinafter mentioned secured in the manner
hereinafter appearing.

* Strike out whichever is not applicable.

@ Mention whatever is applicable.

AND WHEREAS THE APPLICANT MORTGAGOR is to receive from the MORTGAGEE

the aforesaid advance in the following installments.

* Rs. ............................ Already received on .................. Rs. ................. on the execution of

this indenture by the MORTGAGORS in favour of the MORTGAGEE.

** Rs. .......................... when the construction of the house reaches plinth level.

* Rs. ........................ when the construction of the house reached roof level.

** AND WHEREAS the lessor of the said premises has given his approval for the mortgage on
the condition that if the property be sold under the Power herein contained, or otherwise, he
will be paid first, after the cost of such sale, his share of the unearned increase as provide in the
said lease.

@ Mention whatever is applicable.

* Language may be modified if the mode of payment of advance is different from what is
indicated above.

** This applies to Nazul land (normally to be inserted whenever applicable.

NOW THIS INDENTURE WITNESSETH AS FOLLOWS:

(i)(a) In pursuance of the said Rules and the consideration of the said advance sanctioned/ paid by
the MORTGAGEE to the APPLICANT MORTGAGOR pursuant to the provisions contained
in the said Rules the MORTGAGOR DOTH HEREBY COVENANT with the MORTGAGEE
that the MORTGAGORS shall always duly observe and perform all the terms and conditions
of the said Rules and shall repay to the MORTGAGEE the said advance of Rs.
.......................................................................(Rupees ......................................... only) by @
.......................... monthly installments of Rs. ................................. from the pay of the
APPLICANT MORTGAGOR commencing from the month of ....................... two thousand
and ............................. or from the month following completion of the house, whichever is
earlier and the APPLICANT MORTGAGOR hereby authorizes the MORTGAGEE to make
deduction from his/her monthly pay/leave salary/subsistence allowance or any other dues
payable to him by the Company of the amount of such installments and the Applicant
MORTGAGOR shall after paying the full amount of the advance also pay interest due thereon
in @ ........ monthly installments in the manner and on the terms specified in the said Rules.
Provided that the Applicant MORTGAGOR shall repay the entire advance with interest in full
before the date on which he/she is due to retire from service, failing which the MORTGAGEE

POSOCO HOUSE BUILDING ADVANCE RULES

Page 708
 shall be entitled to enforce this security of the Mortgage at any time thereafter and recover the
balance or the advance then due together with interest and costs of recovery by sale of the
MORTGAGED PROPERTY without the intervention of the court or in such other manner as
may be permissible under law. It will however, be open to the Applicant MORTGAGOR to
repay the amount in a shorter period.

@ As per sanction order of the advance under the Rules.

(i)(b) In pursuance of the said Rules and in consideration of the said advance sanctioned/ paid by the
MORTGAGEE to the Applicant MORTGAGOR pursuant to the provisions contained in the
said Rules the MORTGAGORS do hereby covenant with the MORTGAGEE that the
MORTGAGORS shall always duly observe and perform all the terms and conditions of the
said Rules and shall repay to the MORTGAGEE the said advance of Rs. .............................
(Rupees .............................................. only) by ........................... monthly installments of Rs.
................................... from the month of ........................... two thousand and
...................................... or from the month following the completion of the house, whichever
is earlier, till the date of his superannuation and the balance then remaining outstanding on his
superannuation together with interest on the amount advanced from the date of advance to the
date of retirement from his/her monthly pay/leave salary/subsistence allowance or any other
dues payable to him by the Company of the amount of such installments and of such of the
balances remaining unpaid at the date of his/her death/retirement/superannuation as
hereinbefore mentioned, failing which the MORTGAGEE shall be entitled to enforce this
security of the Mortgage at any time thereafter and recover balance of the advance then due
together with interest and costs of recovery by sale of the Mortgaged property without the
intervention of the Court or in such other manner as may be permissible under the law. It will
however, be open to the Applicant MORTGAGOR to repay the amount in a shorter period by
increasing the quantum of installment and/or making lump-sum payments.

(ii) If the APPLICANT MORTGAGOR shall utilize the advance for a purpose other than that for
which the advance is sanctioned, or if the APPLICANT MORTGAGOR shall become insolvent
or shall cease to be in service for any reason other than normal retirement/superannuation/death
before payment of the advance in full, or if the MORTGAGOR shall fail to observe or perform
any of terms, conditions and stipulations specified in the said Rules and on their part to be
observed and performed then and in any such cases the whole of the principal amount of the
advance or so much thereof as shall then remain due and unpaid shall become payable forthwith
to the MORTGAGEE with interest thereof at .......................... percent per annum calculated
from the date of payment by the MORTGAGEE of the first installment of the said advance.

Notwithstanding anything contained thereon, if the APPLICANT MORTGAGOR utilizes the

advance for a purpose other than that for which the advance is sanctioned it shall be open to the
MORTGAGEE to take such disciplinary action against the Applicant MORTGAGOR as may
be considered appropriate by the MORTGAGEE.

(iii) In further pursuance of the said Rules and for the consideration aforesaid and to secure
repayment of the aforesaid advance and interest as shall at any time or times hereinafter be due
to the MORTGAGEE under the terms of these presents the MORTGAGORS do hereby grant,
convey, transfer or assure unto the MORTGAGEE ALL AND SINGULAR the said property

POSOCO HOUSE BUILDING ADVANCE RULES

Page 709
 comprised in the said lease dated ....................... and more particularly described in the Schedule
hereunder written together with buildings erected or to be erected by the MORTGAGORS on
the said property (hereinafter referred to as the Mortgaged property), or materials for the time
being thereon with all rights, easements, and appurtenances to the said Mortgaged property or
any of them belonging subject to covenants by the lessee and to the conditions therein contained
to hold the same unto the MORTGAGEE absolutely but subject to the terms and covenants of
the said lease and subject nevertheless to the proviso for redemption hereinafter contained,
namely, that if the MORTGAGORS shall duly pay to the MORTGAGEE the said principal
sum and interest hereby secured in the manner herein provided and also the other moneys (if
any) determined to be payable by the MORTGAGORS to the MORTGAGEE will at any time
thereafter upon the request and at the cost of the MORTGAGORS reconvey, retransfer and
reassure the said Mortgaged property unto and to the use of the MORTGAGORS or as they
may direct.

(iv) AND IT IS HEREBY EXPRESSLY AGREED AND DECLARED that if there shall be breach
by the APPLICANT MORTGAGOR of the covenants on his/her part herein contained or if the
Applicant MORTGAGOR shall become insolvent or cease to be in service for any reason, other
than normal retirement/superannuation/death before all the dues payable to the MORTGAGEE
under these presents together with interest thereon shall have been fully paid off or if the said
advance or any part thereof becomes payable forthwith under these presents or otherwise then
and in any of such cases it shall be lawful for the MORTGAGEE to sell without the intervention
of the Court, the said Mortgaged property or any part thereof either together or in parcels and
either by public auction or by the private contract with power to buy in or rescind any contract
for sale and to resell without being responsible for any loss which may be occasioned thereby
and to do and execute all such and assurances for effectuating any such sale as the
MORTGAGEE shall think fit and IT IS HEREBY DECLARED that the receipt of the
MORTGAGEE for the purchase money of the premises sold or any part thereof shall effectually
discharge the purchaser or purchaser therefrom AND IT IS HEREBY DECLARED THAT the
MORTGAGEE shall hold the moneys to arise from any sale in pursuance of the aforesaid power
UPON TRUST in the first place there out to pay all the expenses incurred on such sale (and in
the next place to pay to ....................... the lesser of the Mortgaged property ...........................
fifty per cent, of the unearned increase pursuant to clause .......... of the said lease) and then to
pay moneys in or towards the satisfaction of the moneys for the time being owning on the
security of these presents and the balance if any to be paid to the Mortgagor.

(v) The Mortgagors hereby covenant with the MORTGAGEE as follows :

(a) That the Mortgagors now have in themselves good right and lawful authority, to grant convey,
transfer, assign and assure the MORTGAGED property unto and to the use of the
MORTGAGEE in the manner aforesaid.

**(b) That the Applicant MORTGAGOR shall carry out the construction of the house/additions to
living accommodation in the aforesaid house exactly in accordance with the approved plan and
specifications on the basis of which the above advance has been computed and sanctioned
unless a departure therefrom is permitted by the MORTGAGEE.

The Applicant MORTGAGOR shall certify, when applying for installments of advance
admissible at the plinth/roof level, that the construction is being carried out in accordance with
the plan and the estimates furnished by him to the MORTGAGEE, that the construction has

POSOCO HOUSE BUILDING ADVANCE RULES

Page 710
 reached plinth/roof level and the amount already drawn out of the sanctioned advance has
actually been used on the construction of House. He/ She will allow the MORTGAGEE to carry
out either by himself, or through his representative an inspection to verify the correctness of the
aforesaid certificates. If a false certificate is furnished by MORTGAGOR, he/she will be liable
to pay to the MORTGAGEE forthwith the entire advance received by him/her together with the
interest thereon at ............ per cent per annum and further will also be liable to disciplinary
action as considered appropriate by the MORTGAGEE.

**(c) That the Applicant MORTGAGOR shall complete the construction of the house/addition to
living accommodation in the aforesaid house within eighteen/twenty four months of receipt of
the advance of Rs. ................. (i.e. first installment of advance received on .......................)
unless an extension of time is allowed in writing by MORTGAGEE in case of default the
Applicant MORTGAGOR shall be liable to reply forthwith the entire amount advanced to him
together with interest calculated under the said Rules, in one lump-sum. The Applicant
MORTGAGOR shall report to the MORTGAGEE the date of completion of the house and
furnish a certificate to the MORTGAGEE that the full amount of the advance has been utilised
for the purpose for which it was sanctioned.

* In case of Nazul lands in Delhi and in similar case wherever applicable.

** Not applicable when advance is for purchase of ready-built house.

(d) That the MORTGAGORS shall immediately insure the house at their own cost, with the Life
Insurance Corporation of India for a sum of not less than the amount of the aforesaid advance
and shall keep it so insured against loss or damage by fire, flood, lightning, earthquake and riot
as provided in the said Rules till the advance is fully repaid to the MORTGAGEE and deposit
the policy of insurance with the MORTGAGEE.

The MORTGAGORS shall pay regularly the premium in respect of the said insurance from
time to time and will when required produce to the MORTGAGEE the premium receipts for
inspection. Failure to insure will render the Applicant MORTGAGOR to disciplinary action.
In the event of failure on the part of the MORTGAGORS to effect the insurance against fire,
flood, lightning earthquake and riot, it shall be lawful but not obligatory for the MORTGAGEE
to insure the said house at the cost of the MORTGAGORS and add the amount of premium to
the outstanding amount of the advance and the APPLICANT MORTGAGOR shall thereupon
be liable to pay interest thereon as if the amount of the premium had been advanced to him/her
as part of the aforesaid advance at .................. till the amount is repaid to the MORTGAGEE
or is recovered as if it were an amount covered by the security of these presents. The
MORTGAGORS shall give a letter to the MORTGAGEE as often required addressed to the
Insurer, with which the house is insured with a view to enable the MORTGAGEE to notify to
the insurer the fact that the MORTGAGEE is interested in the insurance Policy secured.

(e) That the MORTGAGORS shall maintain the aforesaid house in good repair at their own cost
and shall pay all the Municipal and other local rates, taxes and all other outgoings in respect of
the Mortgaged property regularly until the advance has been repaid to the MORTGAGEE in
full. The MORTGAGORS shall also furnish to the MORTGAGEE an annual certificate to the
above effect.

POSOCO HOUSE BUILDING ADVANCE RULES

Page 711
(f) The MORTGAGORS shall afford full facility to the MORTGAGEE for carrying out inspection
after completion of the house to ensure that it is maintained in good repair until the advance has
been repaid in full.

(g) The Applicant MORTGAGOR shall refund to the MORTGAGEE any amount together with
interest, if any, due thereon drawn on account of the advance in excess of the expenditure
incurred, for which the advance was sanctioned.

(h) That the said lease dated ...................... is now valid and subsisting lease of the said Mortgaged
property and are in no way void or voidable and the rents and the covenants and conditions in
and by the indenture of lease reserved have been paid, performed and observed up to the date
of these presents and that the same is assignable in the manner hereinbefore stated.

(i) That the MORTGAGORS will as long as any money shall remain owing on security of the said
Mortgaged property hereinbefore expressed to be hereby assigned and in any case for the period
of the said agreement, duly observe all the covenants by the lease and conditions contained of
the said indenture of lease referred to in the schedule hereunder written and keep the
MORTGAGE indemnified against all actions, suits, proceedings, costs, charge, claims and
demands which will be incurred or sustained by reason of the non-payment of the said rent or
the breach, non-performance or nonobservance of the said covenants and conditions or any of
them.

(j) That the Mortgagors shall not during the continuance of these presents charge, encumber,
alienate or otherwise dispose off the mortgaged property.

(k) Notwithstanding anything contained herein the MORTGAGEE shall be entitled to recover the
balance of the advance with interest remaining unpaid at the time of the retirement or death
preceding retirement to enforce the security of the mortgage at any time thereafter and recover
the balance of the advance due together with interest and cost of recovery by sale of the
house/ownership flat without the intervention of the Court etc. or in such other manner as may
be permissible under law.

SCHEDULE ABOVE REFERRED TO*

(to be filled in by the Borrower)

IN WITNESS WHEREOF THE MORTGAGORS have hereunto set their hands this day,
month and year first above referred.

Signed by the MORTGAGORS ................................................................... In the presence of

1st witness : 2nd witness :

Address : Address :
Occupation : Occupation :

In witness whereof Shri ............................................. for and on behalf of and by order and
direction of POWER SYSTEM OPERATION CORPORATION LIMITED has signed this
presents.

POSOCO HOUSE BUILDING ADVANCE RULES

Page 712
 Signed by Shri .............................................

In the presence of :

1st witness : 2nd witness :

Address : Address :
Occupation : Occupation :

NOTE :

Before paying stamp duty on the document the applicants are advised to contact the respective
State Governments/Administration for ascertaining the value of Non-Judicial Stamp and
whether exemption from payment of stamp duty is available.

POSOCO HOUSE BUILDING ADVANCE RULES

Page 713
 ANNEXURE-D (IV)

LETTER EVIDENCING DEPOSIT OF TITLE DEEDS OF PROPERTY

To

POWER SYSTEM OPERATION CORPORATION LIMITED. Dated :

B-9, Qutab Institutional Area,
Katwaria Sarai, New Delhi-110016

Sub. : Deposit of Title Deeds of Property.

Dear Sir,

1. Pursuant to POWER SYSTEM OPERATION CORPORATION LIMITED. (POSOCO) having

sanctioned House Building Advance of Rs.
..................(Rupees..........................................................) to me/us** vide its office order No.
...................... Dated ......................... Under POSOCO House Building Advance Rules and
my/our** agreement dated .......................... with you whereby I/we** have undertaken to repay
the amount of advance with interest, costs, charges and expenses and have agreed to secure
POSOCO by way of an equitable mortgage by deposit of title deeds of my/our** property at
................................... and any accretion thereto.

2. This is to record and confirm that with a view to secure the due repayment of the aforesaid
House Building Advance of Rs. ......................... together with interest and other charges
thereon payable by me/**us to you, I/We** have today deposited with POWER SYSTEM
OPERATION CORPORATION LIMITED. in its office at New Delhi*, the original title deeds
and documents relating to my/our** property situated at ............................................... As more
specifically described in the schedule appended hereto, with intent to create a security thereon
by means of mortgage by deposit of title deeds of the said property together with
buildings/erected and/or to be erected thereon, in terms of the Agreement dated ....................
entered into between POSOCO and myself/ourselves**.

Yours
faithfully,

Full Signature of Employee....................

Name ............... S/W .............................
Address..................................................
Designation ...........................................
Department ..........................................
Employee No. .......................................
Place of posting in POSOCO ...........
** Full Signature of Spouse ..................
* Name ..................... S/W of ................
**Address .............................................
** Designation (if any) ….......................
**Department ......................................
**Employee No. ....................................
Place of posting ....................................

POSOCO HOUSE BUILDING ADVANCE RULES

Page 714
* It may be any other town, such as Kolkata, Chennai, Mumbai or any other town, as notified by the
State Government concerned under sec. 58 of the TP Act, 1882.

** Applicable if the property is held jointly by the employee and his/her Spouse.

SCHEDULE OF PROPERTY

1. All that piece or parcel of land/flat/block Tenement No. ..................... constructed/to be

constructed, admeasuring about ............................... Sq. mts. Situated at ........................... and
registered at Sl. No. ............... on ................................... in Book No. .................... vol.
..................... on pages .................... to ....................... with the Sub-Registrar of Assurance in
the District of .................................. And Sub-District ................................... The aforesaid
plot/flat/block/tenement No. .................................. is bounded as follows :

On or towards East by .......................................

On or towards West by .......................................

On or towards North by ......................................

On or towards South by .....................................

2. Description of Deeds & Documents deposited

1. Title Deed of the Property No. .............................. Dt. .....................

2. Mutation Certificate or extracts of Khasra/Khatuni/Mutation Record.

3. Permission to Mortgage the property from .......................................

4. Allotment letter and Original share certificate (in case of membership of Regd. Co-op.
Societies).

5. ............................................................................................

Full Signature of Employee ......................

Name ........................ S/W of ...................
Address ....................................................
Designation ..............................................
Department/Project...................................
Employee No. ............................................
** Full Signature of Spouse .......................
** Name ...................... S/W of .................
**Address .................................................
** Designation
.........................................
**Department/Project...........................
....
**Employee No.
........................................
**Place of posting
....................................

** Applicable if the property is jointly held by the employee and his/her Spouse.

POSOCO HOUSE BUILDING ADVANCE RULES

Page 715
 ANNEXURE-D (V)

(To be executed on non-judicial stamp paper of requisite value)

AFFIDAVIT

Affidavit of Shri/Smt. ................................ s/d/w of Shri ............................ Aged

................................. Years, resident of ............................. and (Shri/Smt.
...................................... Husband/wife of Smt./Shri .......................) do hereby solemnly affirm
and state as under :

(1) That I am (Shri/Smt. ..................................... is) at present working as .........................................

in CC/ .......................region of POWER SYSTEM OPERATION CORPORATION LIMITED.
having its registered office at B-9, Qutab Institutional Area, Katwaria Sarai, New Delhi-110016
(hereinafter called POSOCO).

(2) That POSOCO has sanctioned me (to Shri/Smt. ..........................) House Building Advance of
Rs. .............................. on the terms and conditions contained in its office order No. ...................
Dated .............. and accordingly an Agreement dated ...................... Was executed by me (and
my wife/husband)* with POSOCO.

(3) That with the intent to secure due repayment of the said House Building Advance together with
interest and other charges thereon, I .................... (and my wife/husband Smt./ Shri
............................... Jointly as borrowers)* have deposited on ......................... With POSOCO
the original title deed of my/our* property situated at ........................ more fully described in
the schedule attached hereto in pursuance of the aforesaid agreement dated .......................

(4) That I am/(we, the Borrowers, are)* fully competent to deal with and dispose off, create,
charge/mortgage the said property in the manner I/we* like.

(5) That the title deeds deposited by me/us* are complete in all respects and are the only documents
of title in my/our* possession, power and control, and that I/we* do not have any other
documents of title relating to the said property.

(6) I/we* confirm and declare that save and except the aforesaid Equitable Mortgage in favour of
POSOCO my/our* aforesaid property is free from all encumbrances, claims and demands. I am
(my wife/husband and myself are jointly)* the full and absolute owner thereof and no other
person has any right, title, interest, claim or demand whatsoever in respect thereof.

(7) I/we* further confirm and declare that my/our* aforesaid property is not affected by or subject
matter of any litigation, attachment, process of court, lis pendens or otherwise and there is no
impediment in my/our* creating the aforesaid Equitable Mortgage in favour of POSOCO.

(8) I/we* further confirm and declare that I/we* shall not create any charge, encumbrance or lien
the aforesaid property in favour of any other person till such time the entire amount in respect
of the aforesaid advance has been repaid together with interest and other charges by me/us* to
POSOCO, except with the approval of the Competent Authority.

(9) I/we* further confirm and declare that the creation of Equitable Mortgage deposit of title deeds
of the property with intent to create security of the said property shall include any further

POSOCO HOUSE BUILDING ADVANCE RULES

Page 716
 additions/accretions thereto and I/we* shall not obtain any loan or advance from any other
source by creating further charge/lien on the property or any addition/accretion thereto.

1.

2.*

DEPONENT(S)*

VERIFICATION
I/we* the above named Deponent(s) do hereby verify that the facts stated in the paras 1 to 9 above are
true to my/our* knowledge and no part of it is false and nothing material has been concealed there from.

Signed and verified at ...................................... this ....................................... Day of

20............................

1.

2.*

DEPONENT(S)

NOTE :
* Applicable if the property is jointly held by the employee and his/her spouse.

POSOCO HOUSE BUILDING ADVANCE RULES

Page 717
 SCHEDULE OF PROPERTY
All that piece of parcel of land/flat/Block /Tenement No. .......................... constructed/to be constructed,
admeasuring about .......................................... sq. mts., situated at ..................................and registered
as Sl. No. ................. on ............................... in Book No. .......................... vol. .......................... on
pages ..................................... To ............................... With the Sub-Registrar of Assurances in the
District of .................................... and Sub-District ....................................The aforesaid
plot/flat/block/tenement No. ................. is bounded as follows :
On or towards East by .........................................
On or towards West by .......................................
On or towards North by ......................................
On or towards South by ......................................
Full Signature of Employee ......................
Name .......................................................
Designation ..............................................
Region/Project...........................................
Employee No. ............................................
* Full Signature of Employee’s Spouse ......
* Name ......................................................
*Working as ................................................
*Region/Project...........................................
*Employee No. ..........................................
……………………………………………………………………………………………………………
…………………………………………………….
NOTE :
* Applicable if the property is jointly held by the employee and his/her spouse.

POSOCO HOUSE BUILDING ADVANCE RULES

Page 718
 ANNEXURE-D(VI)

(On non-judicial stamp paper of appropriate value as per applicable law)

POWER OF ATTORNEY

AND ALL MEN BY THIS POWER OF ATTORNEY THAT I/WE*,

Shri/Smt. ................................... son/daughter/wife of ........................... resident of

................................ presently working in the capacity of .................. with POWER SYSTEM
OPERATION CORPORATION LIMITED., a company incorporated under the Companies
Act, 1956 and having its registered office at B-9, Qutab Institutional Area, Katwaria Sarai, New
Delhi-110016 (hereinafter referred to as “POSOCO”) [and Smt./Shri .......................................
resident of ............................. wife/ husband of ..................................... (hereinafter jointly
referred as ‘Borrowers’) and both the Borrowers]* having executed an Agreement dated ...........
for obtaining House Building Advance of Rs. ........................... from POSOCO against
mortgage of my/our* immovable property to execute an Irrevocable Power of Attorney in
favour of POSOCO empowering it to execute an English Mortgage Deed and get the same
registered, I/we* do hereby irrevocably appoint Manager (HR) of POSOCO to be my/our*
lawful attorney to act in my/our* name and on my/our* behalf for the purposes hereinafter
mentioned:

(i) To execute the mortgage deed in the form known as English Mortgage of the whole of my/our*
aforesaid property including future accretion thereto in favour of POSOCO as security towards
repayment of the sum of Rs. ........................ borrowed by me/us* from POSOCO alongwith
interest secured, costs and charges thereon in accordance with the agreement dated
............................... executed by me/ us* in favour of POSOCO and present it for registration
before Registration Authority and get it registered under the Registration Act, 1908.
(ii) And to do all such other acts or things as my/our* said attorney shall deem fit for the purpose
of securing the repayment of House Building Advance together with interest accrued, costs and
charges.

AND I/WE* HEREBY AGREE to ratify and confirm all and whatever my/our* said Attorney
shall do under and by virtue of these present.

IN WITNESS HEREOF I/WE* _____________________ (and _________________)* have

hereunto set my/our* hand(s) this day ....... of ............. two thousand and ....... in the presence
of witnesses.

Signed by the Borrower(s) in the presence of :

SIGNATURE OF THE BORROWER(S)*

Smt./Shri ........................................

SIGNATURE OF WITNESSES :

POSOCO HOUSE BUILDING ADVANCE RULES

Page 719
 Witness:1 Witness:2

Address : Address :
Occupation : Occupation :

Smt./Shri .......................................

Witness:1 Witness:2

Address : Address :
Occupation : Occupation :

…………………………………………………………………………………………………
…………………………………………………

NOTE :

1) To be typed on stamp paper of requisite value and signed on each page.

2) This is to be registered, by the Borrower(s) with Registrar of Assurance concerned.

3)* Applicable if the property is jointly held by the employee and his/her spouse.

POSOCO HOUSE BUILDING ADVANCE RULES

Page 720
 ANNEXURE-E

SURETY BOND

(On Non-Judicial Stamp Paper)

KNOW ALL MEN BY THESE PRESENTS that .............................. Son/daughter of

........................... a resident of ............................. in the district of ............. at present employed
as a confirmed ............................ in the (name and address of office) ..............................
(hereinafter called the Surety) am held and finally bound unto the POWER SYSTEM
OPERATION CORPORATION LIMITED, a Company incorporated under the Indian
Companies Act, 1956 having its registered office at B-9, Qutab Institutional Area, Katwaria
Sarai, New Delhi-110016 (hereinafter called “the Company” which expression shall unless
excluded by or repugnant to the subject or context include its successors-in-office and assigns)
in the sum of Rs. .................. (Rupees .................................... only) to be paid to the Company
FOR WHICH PAYMENT TO be well and truly made I hereby bind myself, my heirs,
executors, administrators, and representatives firmly by these presents. As witness I set my
hand this ................................. day of ...................... two thousand and ....................................

WHEREAS ...................................... son/daughter of ............................. a resident

of............................... In the district of ............................. at present employed as a confirmed
.......................... in the POWER SYSTEM OPERATION CORPORATION LIMITED
(hereinafter called “the Borrower”) (but is due to retire on ............................) applied to the
Company for an advance of Rs. ................ For the purpose of purchasing land and/or
constructing a new house enlarging living accommodation in an existing house/purchasing
ready built house.

AND WHEREAS the Company sanctioned the payment of Rs. ........................... (Rupees
.......................................... only) under the Rules framed by the Company to regulate the grant
of advance to Company employees vide sanction letter No. ............................. dated
...................... (hereinafter referred to as the “said Rules”).

AND WHEREAS the Borrower has undertaken to repay the said amount in
……………............. Monthly installments. AND WHEREAS the Borrower has further under
taken to mortgage the house built/ purchased with the help of the said amount and to observe
the provisions of the said Rules. AND WHEREAS in consideration of the Company having
agreed to grant the aforesaid advance to Borrower the Surety has agreed to execute the above
bond with such conditions as hereunder is written.

NOW THE CONDITION OF THE OBLIGATION is such that if the said Borrower shall while
employed in the said or any other office/Company duly and regularly pay or cause to be paid
to the Company amount of the aforesaid advance owing to the Company by installments until
the said sum of Rs. .................... (Rupees ........................................... only) shall be duly paid
or mortgages to the Company the house built/purchased referred to above whichever event
happens earlier, then this bond shall be void, otherwise the same shall be and remain in full
force and virtue. BUT SO NEVERTHELESS, that if the Borrower shall die or become insolvent
or at any time ceases to be in service of the corporation, the whole or so much of the said
principal sum of Rs. ..................... (Rupees ............................................. only) together with
interest thereon as shall then remain unpaid shall immediately become due and payable to the
company and recoverable from the Surety in lump-sum by virtue of this bond. It shall not be

POSOCO HOUSE BUILDING ADVANCE RULES

Page 721
 necessary for the Company to proceed against the Borrower before proceeding against the
Surety to recover the amount due under this bond.

The obligation undertaken by the Surety shall not be discharged or in any way affected by an
extension of time or any other indulgence granted by the Company to the said Borrower.

Signed and delivered by the said ................................. on the day, month and year written
above.

Designation ................................................ (Signature of Surety)

Office to which Attached ....................................................

In the presence of :

Witness:1 Witness:2

Address : Address :
Occupation : Occupation :

Signed by Shri ................................... for and on behalf of POWER SYSTEM OPERATION

CORPORATION LIMITED.

In the presence of :

Witness:1 Witness:2

Address : Address :
Occupation : Occupation :

The stamp duty payable in respect of these presents shall be borne and paid by the Surety.

POSOCO HOUSE BUILDING ADVANCE RULES

Page 722
 ANNEXURE-F

CERTIFICATE

Certified that the construction has reached plinth/ roof level and the amount of advance already
drawn has been entirely spent. Further certified that construction has been/is being carried out
strictly in accordance with the plan and estimates furnished.

Signature of the Applicant

Place :

Date :

*Strike out whichever is not applicable.

POSOCO HOUSE BUILDING ADVANCE RULES

Page 723
 ANNEXURE-G

(On Non-Judicial Stamp Paper)

PERSONAL BOND

KNOW ALL MEN BY PRESENTS THAT

I, son of ..................................................... (hereinafter referred to as the ‘Bounden’) am held

and firmly bound unto the POWER SYSTEM OPERATION CORPORATION LIMITED (A
Government of India Enterprise) a company incorporated under Companies Act, 1956 having
its registered office at B-9,Qutab Institutional Area, Katwaria Sarai, New Delhi-110016
(hereinafter referred to as ‘Company’)in the sum of Rs. ............. to be paid to the company for
which payment well and truly to be made I bind myself, my heirs, executors, administrators
and legal representatives by these presents.

SIGNED the ........................................... Day of .................... 20 ............ WHEREAS THE

BOUNDEN has applied to the company for an advance of Rs. .............................. (hereinafter
referred to as “the said advance”) for the purpose of purchase/construction of a residential flat
in the building known as and situated at ....................................................... and more
particularly described in the Schedule hereunder written*.

*And which building is to be transferred shortly to the ..................................... Society Ltd., a

cooperative society having its registered office at ....................... (hereinafter referred to as the
‘Society’) which has been duly sanctioned by the Company on the terms and conditions inter-
alia that the Bounden to execute in favour of the Company a bond in the manner hereinafter
contained.

NOW THIS BOND IS CONDITIONED TO BE VOID

(a) If the Bounden duly repays to the company the said advance of Rs. .......................... (Rupees
............................................ only) (insert full amount sanctioned) in ............................
Installment from his pay commencing from the month of ............................. two thousand and
...................... or from the month following that in which the possession of flat is taken over,
whichever is earlier, and he shall after paying the full amount of advance also pay interest
thereon ............................ monthly installments in the manner and on the terms specified in the
said rules and the Bounden hereby authorizes the company to make deductions from his
monthly pay, leave salary and subsistence allowance of the amount of such installments. It will,
however be open to the Bounden to repay the amount in a shorter period.

OR

(i) NOW THIS BOND IS CONDITIONED TO BE VOID if the bounden duly repays to the
company the advance of Rs. ....................... hereinafter referred to as the principal amount and
interest thereon calculated in accordance with the said rules of the company in .........................
monthly installments from the month of .................................... two thousand and
....................... or the date of taking over possession of the ready built flat whichever is earlier,
in such a way that the principal amount and/or interest outstanding at the time of his/her
retirement will be less than or equivalent to the amount if anticipated gratuity of Rs. .................
payable to him/her under POWER SYSTEM OPERATION CORPORATION LIMITED
Gratuity Trust Deed and the Bounden hereby authorizes the company to make deductions from
his/her monthly salary and subsistence allowance bills of such installments and to adjust the

POSOCO HOUSE BUILDING ADVANCE RULES

Page 724
 outstanding balance of principal and/or interest at the time of retirement against the aforesaid
anticipated amount of gratuity for which the Bounden hereby covenants with the company to
give necessary acquitance to the Trustee of POWER SYSTEM OPERATION
CORPORATION LIMITED Gratuity Trust in such form and at such time as may be required.

Note : Clause (a) (I) will be applicable where the employee seeks gratuity adjustment against
H.B.A. and clause (a) will be applicable in all other cases.

(b) Within one month from the date of these presents utilize the amount of such Installment the
said advance in the purchase/construction of residential flat in the Building known as and
situated at ............................. and more particularly described in the schedule hereunder written.

(c) On transfer being executed in favour of the Bounden of the house/flat or plot, he would
mortgage it to the Company as security for the advance obtained from the company.

(d) Does not transfer, assign, underlet the said flat or any interest therein or part with possession
thereof/or transfer or otherwise alienate the said shares/debentures/ without the previous
consent in writing of the company.

(e)* So long as the said advance and interest or any part thereof is outstanding and if so required by
the company handover the shares/debentures of the society of the company along with properly
signed blank transfer forms as further security for the said advance.

(f) Executes or furnishes such agreement(s) deed(s) and other document(s) with the company as
may be required by the company from time to time.

IT IS HEREBY AGREED by the Bounden as under :

(1) The said advance/or the balance thereof for the time being due by the Bounden to the company
and all other moneys due under these presents shall become immediately payable in each and
every of the following events:

(a) If the Bounden fails to pay any installment of repayment of principal on its due date as and
when it may become due and payable.

(b) If the Bounden makes default in payment of any installment of interest on its due date as herein
above.

(c) If any distress or execution shall be levied upon any property of the Bounden or a receiver
thereof be appointed.

(d) If the Bounden commits a breach of any one of the said covenants or provisions and on his part
to be observed and performed or the House Building Advance Rules of the company as in force
from time to time or commits any breach of the agreement(s) deed(s) or other instrument(s)
entered into between the Company and the Bounden.

(e) If the Bounden dies or retires from or ceases to be in the service of the company.

(f) If the Bounden presents a petition for being adjudicated insolvent or is adjudicated insolvent.

(2) The company shall have the absolute right and full liberty to deduct every month from the
Bounden’s salary the amount of monthly installment and appropriate the same towards the said

POSOCO HOUSE BUILDING ADVANCE RULES

Page 725
 monthly installments in repayment of principal and interest and for purpose aforesaid the
Bounden here by irrevocably authorizes the Company to make such deductions without the
necessity of any further consent or concurrence of the Bounden.

(3) In the event of the retirement or death before retirement of the Bounden, company will be
entitled to recover the entire unpaid balance of the said advance remaining unpaid at the time
of such retirement or death and all unpaid interest thereon from any amount due to him.

(4) Whenever any installment of the principal or interest or any other sum due and payable by the
Bounden under these presents shall be in arrears, company shall be entitled to recover the same
as an arrear of land revenue PROVIDED ALWAYS THAT this clause shall not affect any other
rights, power and remedies of the Company.

IN WITNESS WHEREOF THE bounden above mentioned has hereto set his hand the day
and year first hereinabove written.

THE SCHEDULE ABOVE REFERRED TO

SIGNED AND DELIVERED BY THE SAID BOUNDEN ...................................

In the presence of :

Witness:1 Witness:2

Name: Name:
Address : Address :
Occupation : Occupation :

Signed by Shri _______________(For and on behalf of POWER SYSTEM OPERATION

CORPORATION LIMITED)

In the presence of :

Witness:1 Witness:2

Name: Name:
Address : Address :
Occupation : Occupation :

___________________________________________________________________________
___

* Applicable only to the flats purchased in a building owned by Cooperative Housing Society.

POSOCO HOUSE BUILDING ADVANCE RULES

Page 726
POSOCO HOUSE BUILDING ADVANCE RULES
Page 727
 ANNEXURE-G(I)

PERSONAL BOND TO BE EXECUTED BY SPOUSE

(On Non-Judicial Stamp Paper)

I, .................................................... Wife/Husband of ........................................... am held and

firmly bound by the Personal Bond executed by my Husband/Wife Sh./Smt. .......................... .
and bind myself unto the POWER SYSTEM OPERATION CORPORATION LIMITED. (A
Government of India Enterprise) a company incorporated under Companies Act, 1956 having
its registered office at B-9, Qutab Institutional Area, Katwaria Sarai, New Delhi-110016 in the
sum of Rs. .......................... sanctioned towards House Building Advance to be paid to the
company for which payment well and truly to be made, I bind myself, my heirs, executors,
administrators and legal representatives.

SIGNED the .......................................... Day of .................................. 20 .............

Witness:1 Witness:2

Name: Name:
Address : Address :
Occupation : Occupation :

POSOCO HOUSE BUILDING ADVANCE RULES

Page 728
 ANNEXURE-H

(On Non-judicial Stamp Paper)

TRIPARTITE AGREEMENT

(Between Borrower, Promoter/Builder/Limited Company and POSOCO under POSOCO HBA

Scheme.)

This agreement is made this ….............. day of …...............................

200... between Sri/Smt. .......................................….......................s/o w/o d/o
…........................................................... aged about ….................................... years, residing
at............. ………..……..……………………… … …………… and presently serving as
…………………….. hereinafter referred to as “allottee borrower” (which expression shall unless
repugnant to the subject or context or meaning thereof be deemed to include his/ her/ their respective
heirs, executors, administrator, legal representatives and assignees) on the FIRST PART and M/s.
……...................................................................................a partnership firm
……………….…...................................... having its office at
………................................................. hereinafter referred as “Builder/Promoter/Limited
Company” (which expression shall include unless repugnant to the subject or context or meaning
thereof be deemed to include its successors and assignees) of the SECOND PART, and The
POSOCO Corporation of India Ltd, a Company incorporated under the Indian Company Act, 1956
and having the registered office at B-9, Qutab Institutional Area , Katwaria Sarai, New Delhi and
office at …......................................... …............... hereinafter referred to as “the Company” (which
expression shall unless repugnant to the subject or context or meaning thereof be deemed to include
its successors in business and assignees) of the THIRD PART.

WHEREAS the Builder/Promoter/Limited Company started/ starting construction of a ground plus

….......... storied building comprising of several flats, units, car parking spaces and other spaces
at………………………………………………….

AND WHEREAS the Builder/Promoter/ Limited Company has agreed to sale/ allot and the
borrower has agreed to purchase all that flat/unit no….......... on the …........ floor measuring more
or less the total built up area of …........... sq. ft/ sq. mtr. In the said building together with undivided,
impartible, undermarcated variable share and interest in the land at unit/ flat no………. which being
proportionate to the total built up area of the said unit/ flat together with the proportionate share and
interest in the area comprised in the common parts, common amenities, conveniences more fully
described in the schedule hereunder written for a total consideration of
Rs….......................(Rupees……………………........................... only) free from all
encumbrances, charges, lispendences, attachments, trusts or whatsoever and howsoever.

AND WHEREAS in terms of the said agreement, borrower/ allottee has already paid a sum of
Rs…………………....... (Rupees………………………………………………..…....only) in part
payment of the consideration amount and the Builder/Promoter/ Limited Company has

POSOCO HOUSE BUILDING ADVANCE RULES

Page 729
 provisionally allotted the flat/ unit being no…...... at ….................floor, more particularly described
in the schedule hereunder.

AND WHEREAS the Builder/ Promoter/ Limited Company has agreed to complete the
construction within the period of …....... months from the date of provisional allotment dated
….......................... and handover the possession of the said allotted flat to the allottee borrower in
terms of allotment letter against the balance payment.

AND WHEREAS for the purpose of making payment of the purchase price and acquiring the
ownership of the said flat/ unit the allottee borrower has applied for HBA under Company HBA
Scheme for providing advance and POSOCO has agreed to sanction HBA of
Rs….........................(Rupees …............................................. only) to the allottee borrower subject
to terms and conditions of POSOCO HBA Rules.

AND WHEREAS at or before the execution of this agreement the Builder/Promoter/ Limited
Company has represented and assured POSOCO in terms of their letter and other documents at
annexure as follows :

a. The unit/ flat proposed to be sold is free from all encumbrances.

b. That the Builder/Promoter/ Limited Company has full power and authority to sell and transfer the
said Unit/ flat unto and in favour of the allottee borrower.
c. That the said sale agreement entered into between the Builder/Promoter/Limited Company and the
allottee borrower is valid and subsisting and there is no breach of any of the terms and conditions
of the said unit/flat purchase agreement on the part of the borrowers.
d. That the said plan has been lawfully and validly sanctioned.
e. That the Builder/ Promoter/ Limited Company ( in whose favour the title to the land exists) has
declared vide their letter dated ………….. that no charge or mortgage has been created against the
project land by them in favour of any Financial institution or Bank.
f. * That financial institution/ bank with whom the project land has been mortgaged by the Builder/
Promoter/ Limited Company has submitted an irrevocable undertaking to the effect that they have
no objection if the said unit/ flat together with the proportionate share and interest in the area
comprised in the common parts, common amenities, in the holding is mortgaged with POSOCO
against the HBA to be sanctioned to the borrower.**
(* whichever is applicable)

(** Note :- In case of property is mortgaged with more than one bank, such undertaking shall be
obtained from all such banks individually.)

AND WHEREAS the Builder/ Promoter/ Limited Company is empowered under

the....................................................... deed executed between the original owner of the land and
builder developer to develop land and construct the multi-storied building, book flats, accept the
advance payment and other subsequent payment and also final payment and execute the conveyance
deed under their signature on behalf of the original owner.

AND WHEREAS relying on the aforesaid representation and at the request of the allottee borrower,
POSOCO has agreed to sanction loan of Rs…........................... (Rupees
….........…................................................................only) payable with interest @ ….…..% p.a.

POSOCO HOUSE BUILDING ADVANCE RULES

Page 730
 subject to change from time to time and/ on specific undertaking by the allottee borrower to execute
by way of security an equitable mortgage in favour of POSOCO with all the borrower’s right title
interest in the said unit/ flat.

AND WHEREAS the Builder/ Promoter/ Limited Company has undertaken to the POSOCO that
they would obtain completion certificate and the certificate of occupation of unit/ flat issued by the
Municipal Corporation and also undertake that on execution of conveyance deed in respect of unit/
flat the conveyance deed will be deposited with the POSOCO.

AND WHEREAS the allottee borrower has deposited the letter of allotment dated …..................
and the money receipt dated …................ with the POSOCO for the part payment made to the
Builder/ Promoter/ Limited Company.

NOW THIS AGREEMENT WITNESSETH and it is hereby agreed by and between the parties
hereto as follows:

1. That the Builder/ Promoter/ Limited Company has agreed and confirmed to sell the said unit/ flat
no: …………. at ……….floor in the ……………………………………… more described fully in
the schedule hereunder against advance payment of Rs………………… (Rupees
…………………………………………….. only) as part payment towards the purchase price of
the aforesaid unit/ flat and at the request of the borrower , the POSOCO has agreed to sanction loan
of Rs.…………………….. (Rupees ……………………………………….. only) repayable with
interest @ …….. % p.a subject to change from time to time and on terms and conditions separately
agreed between POSOCO and the allottee borrower.

2. M/s …........................................................................... Builder/ Promoter/ Limited Company shall

maintain a separate account for the Allottee Borrower and adjust the amount advanced by POSOCO
against the provisional/ final price as the case may be of the unit/ flat provisionally allotted to the
Allottee Borrower.

3. That in consideration of POSOCO agreeing to sanction the housing loan under its HBA Scheme to
the Allottee Borrower, M/s................................... (Builder/ Promoter/ Limited Company) has
agreed to accept the payment in terms of allotment letter and in case of default by the Allottee
Borrower in any of the terms and conditions and the allotment is cancelled and or the borrower
desires to withdraw from the scheme the Builder/ Promoter/ Limited Company shall refund the
entire amount to the POSOCO together with interest at the rate applicable to the POSOCO towards
protanto satisfaction of the housing loan and interest thereon.

4. That on completion of the construction of the housing property the possession thereof shall be
handed over by M/s…...................................(Builder/ Promoter/ Limited Company) to the Allottee
Borrower in terms of allotment letter dated …............................. and the borrower shall hold the
said unit/ flat in trust for POSOCO when the possession is delivered. However, the sale deed as the
case may be in favour of the Allottee Borrower by M/s…................................................. Builder/
Promoter/ Limited Company shall be executed immediately after the completion of the flat and
immediate after the date of the delivery of such possession.

5. After registration of the deed of conveyance original receipt granted by the Registration Authority
shall be deposited and or delivered by the Builder/ Promoter/ limited Company to POSOCO
Corporation of India Ltd.

POSOCO HOUSE BUILDING ADVANCE RULES

Page 731
6. That the no objection for creation of mortgage is concerned this Tripartite Agreement constituted
as the consent of M/s….....................................................................Builder/ Promoter/ Limited
Company in favour of POWER SYSTEM OPERATION CORPORATION LIMITED. As soon as
the sale deed is executed by M/s……………………………………… (Builder/ Promoter/ Limited
Company), received from the Registration Authority, the Allottee Borrower shall deposit the
original sale deed/ lease deed of the housing property immediately to POWER SYSTEM
OPERATION CORPORATION LIMITED as the said house is already mortgaged with the
POWER SYSTEM OPERATION CORPORATION LIMITED to secure the housing loan.

7. That all stamp duty and charge payable for registration of the deed of conveyance or transfer and
also on deed of mortgage or charge shall be paid by the borrower.

8. That if the Allottee Borrower desired to withdraw from the agreement or in the event of cancellation
of allotment of the house property before delivery of possession of the Flat/ Unit for whatsoever
reasons or if he/ she/ they fail(s) to pay the balance amount being the difference between the loan
sanctioned by POWER SYSTEM OPERATION CORPORATION LIMITED. and the provisional/
final price of the house property or the contract between M/s….................................. (Builder/
Promoter/ Limited Company) and Allottee Borrower is terminated or rescinded for whatever
reasons, M/s ….................................................... (Builder/ Promoter/ Limited Company) shall
refund the entire amount received by them along with interest to POWER SYSTEM OPERATION
CORPORATION LIMITED. After receipt of the aforesaid amount from the Builder/ Promoter/
Limited company if any balances remain outstanding in the loan account of the borrower/ allottee,
the same will be recovered from the borrower together with interest.

9. The Builder/ Promoter/ Limited Company have agreed with the POWER SYSTEM OPERATION
CORPORATION LIMITED not to rescind or cancel the said unit / flat purchase agreement except
with the prior consent of the POWER SYSTEM OPERATION CORPORATION LIMITED in
writing and on such cancellation the Builder/ Developer shall be bound to act as per instructions of
POWER SYSTEM OPERATION CORPORATION LIMITED.

10. The Builder/ Promoter/ Limited Company undertake that in case of failure for any reason
whatsoever to hand over the possession of the unit/ flat to the allottee borrower as per terms, the
Builder/ Promoter/ Limited Company shall immediately refund total money so received from the
allottee borrower and/ or from the with interest to the Company to the extent of its dues.

11. That in case of default in executing mortgage in favour of the POSOCO Corporation of India Ltd.
to secure the housing loan or in default or repayment of instalment and/ or interest thereof, the
Company may exercise its power under the …………………………………………….. executed
by Allottee Borrower in favour of the Company and to take all action under the said Power of
Attorney including completion of conveyance deed, taking delivery of the title deeds and/ or
possession of the said flat.

12. The Builder/ Developer have further agreed:

a. Not to permit any other person to occupy the said unit/ flat without prior written permission to the
POWER SYSTEM OPERATION CORPORATION LIMITED.
b. The Builder/ Developer shall complete the said unit/ flat strictly in accordance with the said unit
purchase agreement and also within the time as agreed.

POSOCO HOUSE BUILDING ADVANCE RULES

Page 732
c. To regularly keep POWER SYSTEM OPERATION CORPORATION LIMITED informed as to
the progress of the work of construction of the said unit/ flat.

SCHEDULE

That all the Flat/ House in Block No…................. on the Floor ….................... being Flat …..............
as proposed to be constructed/ under construction at premises No…................... Survey
No…............................... P.S…....................................... in Ward No….............. of the
…........................................................ Municipal Corporation according to sanctioned plan.

IN WITNESS WHEREOF the parties herein below have executed these presents on the day, month
and year first above written.

Signed and delivered by Mr. ………………………………………………

Allottee Borrower

Signed and delivered for and On behalf of ….......................................

(Builder/ Developer Promoter)
(Name & designation with common seal in case of Limited company)

Signed and delivered for and on behalf of POWER SYSTEM OPERATION CORPORATION
LIMITED.
…....................................................
(Name & Designation)

Signature of the original owner as consenting party

(wherever applicable)

Witness:1 Witness:2

Name: Name:
Address : Address :
Occupation : Occupation :

POSOCO HOUSE BUILDING ADVANCE RULES

Page 733
 ANNEXURE-I

UNDERTAKING

Whereas, I __________________________ S/o/W/o/D/o _____________________ resident

of _______________ confirmed employee of POWER SYSTEM OPERATION
CORPORATION LIMITED. (Employee No. _______________) have applied for grant of
HBA, which request has since been accepted by POSOCO, and a sum of Rs.
_________________ has been sanctioned vide sanction Order No. __________ dated
______________ consequent upon the aforesaid sanction, I have further requested POSOCO,
vide letter dated _______________ to release the sanctioned amount pending obtainment of
Mortgage Permission from the lessor, subject to furnishing of an additional undertaking by the
undersigned to this effect that the said permission will be submitted at the time of mortgaging
the property in favour of POWER SYSTEM OPERATION CORPORATION LIMITED, being
these presents. I do hereby undertake as under :

(i) That I shall ensure that all necessary legal formalities pertaining to mortgage of my flat/house,
allotted to me by ______________ Cooperative Group Housing Society Ltd. Including
production of Mortgage permission from the said Cooperative Group Housing Society will be
completed within one month of obtaining its possession from the said Cooperative Group
Housing Society.
(ii) That in the event of my not being able to produce the Mortgage permission for the said
flat/house in favour of POSOCO from the society concerned, as mentioned in para (I) above or
fail to mortgage the said property in favour of POSOCO, for whatsoever reason, I propose to
repay to POSOCO, on demand, the entire amount of Housing Building Advance, together with
interest accrued thereon in lump-sum amount forthwith.

In witness where of I _______________________ sign and execute these presents at

___________________ on _______________ day of ____________20 _______.

(Revenue Stamp)

WITNESS 1: WITNESS 2:

Signature Signature
Name Name
Employee No Employee No
Designation Designation
Department Department

POSOCO HOUSE BUILDING ADVANCE RULES

Page 734
 ANNEXURE-J

MORTGAGE DEED

(To be executed on Non-judicial Stamp Paper of Appropriate Value)

This deed of mortgage is made at ________________ on this _____________ day of

__________________ 20 _____ between the Governor of Jammu and Kashmir (hereinafter
referred to as the “State Government”) of the one part and Shri ________________________
S/o ___________________ R/o ________________________ (hereinafter referred to as the
“Borrower” which expression shall include his/her heirs, executives, administrators and
assigns) of the Second part and Shri ____________________________________ S/o
___________________ R/o _____________ (hereinafter referred to as “the Surety” which
expression shall include his/her heirs, legal representatives, successors and assigns) of the third
part.

Whereas the Borrower is a permanent resident of the State of Jammu & Kashmir and is working
as ______________ in the POWER SYSTEM OPERATION CORPORATION LIMITED (A
Govt. of India Enterprise), Region/Group ________________ and whereas the POWER
SYSTEM OPERATION CORPORATION LIMITED (A Govt. of India Enterprise), has at the
request of the Borrower agreed to sanction in his favour a loan of Rs. _________ (Rupees
___________________________) on account of Housing Building Advance (hereinafter
referred to as “the Loan”) for purpose of enabling the Borrower.

*1. To purchase land and to construct a house thereon or *(to enlarge living accommodation in the
existing house on the said hereditament).

*2. To construct a house on the said hereditaments or *(to enlarge living accommodation in the
house on the said hereditaments).

*3. To purchase a ready-built house.

*4. _________________________________

* mention whatever is applicable as per POSOCO Rules.

On the land measuring _______________________ situated at ______________ Tehsil

_________________________ more particularly described and delineated in the plan annexed
hereto purchased by the Borrower subject to his furnishing a guarantee of the State Government

POSOCO HOUSE BUILDING ADVANCE RULES

Page 735
 for repayment of the said amount of Rs. _______ and interest accruing thereon; and whereas at
the request of the Borrower and the Surety the State Government has agreed to stand guarantor
to the POWER SYSTEM OPERATION CORPORATION LIMITED (A Govt. of India
Enterprise), a company incorporated under the Companies Act, 1956 having its registered office
at B-9, Qutab Institutional Area, Katwaria Sarai, New Delhi-110016 for the repayment of the
loan and the interest accruing thereon by the Borrower.

Now, therefore, this deed witnesseth and the parties hereto, hereby, mutually agree as follows:

1. The Borrower and the Surety hereby jointly and severally undertake that the Borrower shall
repay in full to the POWER SYSTEM OPERATION CORPORATION LIMITED (A Govt. of
India Enterprise) the said amount of loan of Rs. ________________ and the interest thereon at
the rate of _________________ per month strictly in accordance with the terms and conditions
embodied in the loan agreement dated ______________ entered into between the Borrower and
the POWER SYSTEM OPERATION CORPORATION LIMITED (A Govt. of India
Enterprise) including any amendments made therein and the House Building Advance Rules
prescribed from time to time by the POWER SYSTEM OPERATION CORPORATION
LIMITED (A Govt. of India Enterprise) to regulate the grant and recovery of House Building
Advance (herein referred to as “the terms and conditions of the loan”).

2. In consideration of the State Government standing guarantor to the POWER SYSTEM

OPERATION CORPORATION LIMITED (A Govt. of India Enterprise) for the due repayment
of loan and the interest thereon by the Borrower and as a security for the State Government, the
Borrower doth hereby transfers to the State Government the said land together with the building
standing thereon or hereafter to be erected thereon situated at
______________________________ more particularly described in the schedule hereunder
within and delineated in the plan annexed hereto (hereinafter referred to as the mortgaged
premises) to the intent that the same shall remain and be charged by way of simple mortgage
till the whole amount of the said loan and the interests accruing thereon is fully repaid by the
Borrower to the POWER SYSTEM OPERATION CORPORATION LIMITED (A Govt. of
India Enterprise).

3. The Borrower undertakes to utilise the full amount of the loan of Rs. ______ in accordance
with the terms and conditions of the said loan agreement and the said Rules.

4. The Borrower undertake not to part with the possession, or transfer by way of sale, gift,
mortgage or otherwise the mortgaged premises or any interest therein without the written
permission of the State Government till such time as the full amount of the loan and the interest
accruing thereon has been liquidated by him.

5. That any neglect or forbearance of the POWER SYSTEM OPERATION CORPORATION

LIMITED (A Govt. of India Enterprise) in enforcing the repayment to it of any loans and
advances or any installment or installments thereof under the loan agreement, payment or
repayment whereof if intended to be hereby secured or giving of time by the POWER SYSTEM
OPERATION CORPORATION LIMITED (A Govt. of India Enterprise) for the payment or
repayment thereof shall not in any way release the Borrower or the Surety of his liability under
this deed.

6. In the event of any default or failure on the part of the Borrower to repay the said amount of
loan and/or the interest due thereon or any installment or part thereof to the POWER SYSTEM

POSOCO HOUSE BUILDING ADVANCE RULES

Page 736
 OPERATION CORPORATION LIMITED (A Govt. of India Enterprise) in accordance with
the terms and conditions of the loan agreement or the said rules; or In the event of any default
or failure of the Borrower and/or surety to comply with the provisions of this deeds or the terms
and conditions of the loan agreement or the said rules or in the event of the State Government
incurring any loss, damage, expenditure or other liability as a result of or in consequence of any
act or omission of the Borrower and/or of the surety either towards the POWER SYSTEM
OPERATION CORPORATION LIMITED (A Govt. of India Enterprise) or otherwise, the
State Govt. shall, on intimation from the POWER SYSTEM OPERATION CORPORATION
LIMITED (A Govt. of India Enterprise) or on its own motion and without prejudice to any
other remedy available to the POWER SYSTEM OPERATION CORPORATION LIMITED
(A Govt. of India Enterprise) or the State Govt. under any law for the time being in force, shall
have the right to recover from the Borrower and the surety the whole amount of the then
outstanding principal and interest as may be due to the POWER SYSTEM OPERATION
CORPORATION LIMITED (A Govt. of India Enterprise) or to the State Govt. under the terms
and conditions of the loan agreement under this deed; and For effecting the recovery of any
such amount, the State Government may, (besides other action or proceedings against the
Borrower/surety) cause mortgaged property to be sold and the proceeds of the sale applied for
payment of the amount due in accordance with the law in force.

Notwithstanding anything contained in this clause, the State Govt. shall have the right to invoke
the provisions of Jammu & Kashmir Land Revenue Act in respect of such amount as it may
have to pay to the POWER SYSTEM OPERATION CORPORATION LIMITED (A Govt. of
India Enterprise) on account of default of the borrower/surety.

7. It is hereby agreed by the Borrower and the surety that intimation or demand made by the
POWER SYSTEM OPERATION CORPORATION LIMITED (A Govt. of India Enterprise)
or to the State Government demanding the payment of any amount or regarding failure/default
by the Borrower in the repayment of the loan or interests to or in the performance of his
obligations in accordance with the terms and conditions of the loan agreement or the said Rules
shall be final, conclusive and binding upon them and the Borrower and/ or the surety have no
right or competence to question or dispute the same.

In witness whereof the parties hereto, have put into this deed their signatures in token of the
acceptance, on the date shown respect against each.

Signed for and on behalf of the Government of State of J&K.

Witness:1 Witness:2

Name: Name:
Address : Address :
Occupation : Occupation :

Signed by the Borrower

Witness:1 Witness:2

Name: Name:
Address : Address :
Occupation : Occupation :

POSOCO HOUSE BUILDING ADVANCE RULES

Page 737
 Signed by the Surety

Witness:1 Witness:2

Name: Name:
Address : Address :
Occupation : Occupation :

Certified that the surety is of sufficient substance to fulfil the engagement entered into by
him.

Signature _____________________
(Deputy Commissioner)

____________________ District

Dated :
Name :
Seal :

Certified that the land/building offered in mortgage belongs to __________________ and is

free from encumbrances.

Signature _____________________
(Deputy Commissioner)

____________________ District

Dated :
Name :
Seal :

POSOCO HOUSE BUILDING ADVANCE RULES

Page 738
 ANNEXURE-K

GUARANTEE DEED

(To be executed on Non-Judicial Stamp Paper of Appropriate Value)

This deed of guarantee made on the ________________ day of ____________ two thousand
and _________________ between the Government of Jammu and Kashmir (hereinafter called
the “Guarantor” which expression shall include his successors-in-office) of the one part and the
POWER SYSTEM OPERATION CORPORATION LIMITED (A Govt. of India Enterprise),
a company incorporated under the Companies Act, 1956 having its registered office at B-9,
Qutab Institutional Area, Katwaria Sarai, New Delhi-110016 (hereinafter called the
“Company” which expression shall unless excluded by or repugnant to the subject or context
include his successors-in-office and assigns) of the other part.

Whereas ___________________ S/o ________________ R/o _________________ at present

employed as _________________ in the POWER SYSTEM OPERATION CORPORATION
LIMITED (hereinafter called the “Borrower”) has on the ______________ day
of____________________ given in favour of the Guarantor a mortgage over the plot of land
situated at ________________ purchased by him to secure the Guarantor guaranteeing the
repayment agreed to grant of loans and advances to Borrower as hereinafter mentioned.

Now this deed witnesseth as follows :

1. In consideration of the company at the request of the Borrower granting loan and advance to
him to the extent of Rs. ______________ on the terms and conditions as set out in the House
Building Advance Rules and in the loan agreement dated __________________ a copy of
which is hereto annexed as part (hereinafter referred to as the Loan Agreement) entered into
between the Company and the Borrower for the purpose of enabling the Borrower to :-

*(i) To purchase land and to construct a house thereon or *(to enlarge living accommodation in
the house on the said hereditaments).

*(ii) To construct a house on the said hereditaments, or *(enlarge living accommodation in the
house on the said hereditaments).

*(iii) To purchase ready-built house.

(*Mention whatever is applicable as per POSOCO Rules).

The Guarantor hereby at the request of the Borrower fully, unconditionally and irrevocably
guarantees the due repayment in terms of the said loan agreement, by the Borrower to the
Company of principal amount of the loans and advances and interests on each of the
loan/advances or any installment or installments thereof granted by the Company which shall
be or become due and partable under the Land Agreement or the said Rules and in the event of
failure by the Borrower to repay as aforesaid on demand the Guarantor guarantees and
undertakes to pay to the Company on demand without demur, the principal and interest on each
of the aforesaid loans and the advances and any payments/charges which shall be or become
due and payable under the loan agreement or the said Rules.

POSOCO HOUSE BUILDING ADVANCE RULES

Page 739
2. The Guarantor and the Company mutually agree as follows :

(i) That the liability of the guarantor in respect of loans/advances or installment or installments
thereof shall not any time exceed the sum of Rs. _________________ and interest thereon and
any other payments/charges which shall be or become due and payable under the Loan
Agreement of the said Rules.

(ii) That the guarantee hereby given shall be a continuing guarantee and shall subject to the
aforesaid limit, exceed to cover any installment or installments of the loans and advances
sanctioned or disbursed under the Loan Agreement.

(iii) That the Guarantor doth hereby consent to the Company making any advance that it may think
fit in the terms of the said Loan Agreement with or without the consent or knowledge of the
Guarantor and agrees that such variance shall not affect his liability under the Guarantee.

(iv) That any neglect or forbearance of the Company in enforcing the payment or repayment to it
or any loan and advance of any installment or installments thereof under the Loan Agreement
payment or repayments whereof is intended to be hereby secured or giving of time by the
company for the payment or repayment thereof shall not in any way release the Borrower or
Guarantor of his liability under this deed.

(v) The Guarantor hereby agrees and declares that the company will not be bound or compelled to
take any proceedings whatsoever against the Borrower for recovery, endorsement or realisation
of any of the due of the Company from or against the Borrower under or in pursuance of the
Loan Agreement before calling upon the Guarantor to pay any such dues to the Company under
and in pursuance of the Guarantee hereby given so that the guarantor shall be liable and bound
to pay all such dues to the company as shall be/become due and payable by the Borrower
notwithstanding that no proceeding whatsoever shall have been taken by the Company against
the Borrower for recovery, endorsement or realisation of any such dues.

vi) That any amount demanded by the Company’s outstanding against the Borrower under the
Loan Agreement shall be conclusive and binding against the Guarantor and shall not be
questioned by him. The amount so demanded shall be paid by the Guarantor to the Company,
notwithstanding any dispute raised by the Borrower or any suit or proceeding pending in any
court or tribunal.

(vii) That in the event of breach by the Borrower of any of the terms and conditions on which Loans
and Advances have been given by the Company (including those contained in the Loan
Agreement), the company may without prejudice to its other rights, recall the entire loans and
advances or any portion thereof, and in the event of failure on the part of the Borrower to make
repayment as required by the Company the Guarantor shall pay forthwith the said amounts as
and when so demand by the Company.

3. The guarantor doth hereby declare that the guarantee hereby given by him is within the limits
fixed by the legislature of state of _______________ under Article 292 (I) of the Constitution
of India.

In witness whereof the parties have set their hands hereunto through their respective subscribing
officials and guarantor has hereunto affixed his official seal on this deed on the day, month and
year first above written.

POSOCO HOUSE BUILDING ADVANCE RULES

Page 740
 Signed by Shri ___________________________________________ in the Department of
_________________ on behalf and under the authority of the Governor in the presence of :

1. __________________________ 2. ____________________________

Signed by Shri ________________________ Designation _______________ for and on behalf

of the POWER SYSTEM OPERATION CORPORATION LIMITED (A Govt. of India
Enterprise) in the presence of :-

1. __________________________ 2. ____________________________

POSOCO HOUSE BUILDING ADVANCE RULES

Page 741
 ANNEXURE-L

INTERSE AGREEMENT REGARDING PARI PASSU CHARGE

THIS AGREEMENT MADE THIS _________________ DAY OF _____________ Two

thousand and ________________ BETWEEN__________ resident of____(hereinafter called
‘THE BORROWER’ which expression shall unless repugnantto the context so admits) includes
the First Part, The LIC HOUSING FINANCELTD. A company registered under the Companies
Act, 1956 and having its Registered Office at Bombay Life Building, 45/ 47, Veer Nariman
Road, Bombay-400 001 hereinafter called “LIC HFL” (which expression shall unless repugnant
tothe context or meaning hereof includes its successors and assigns) of the Second part and the
Power System Operation Corporation Limited., a company registered under the Companies
Act, 1956 having its registered office at B-9,1st Floor, Qutab Institutional Area, Katwaria Sarai,
New Delhi-110016 (hereinafter called “the POSOCO”) of the Third part.

WHEREAS by an agreement dated ___________ between the Borrower of the First Part and
POSOCO of the Third Part, the Borrower has agreed to create mortgage of the House/Flat
situated in ___________________________________The Borrower has created an equitable
mortgage in favour of _____________ by deposit of title deeds of the property specified in para
one above.

The Borrower has requested LIC HFL of the Second part for an additional loan for the
construction of above mentioned house described in para 1 above. The POSOCO has given its
permission to the creation of pari passu charge with LIC-HFL on the aforesaid property.

It is hereby agreed to by and between the parties hereto that interest agreement being these
presents be entered into by and between the parties for the said purpose in the manner
hereinafter appearing.

NOW THESE PRESENTS WITNESS AND IS HEREBY AGREED between the parties hereto
as follows :

1) Notwithstanding anything to be contrary contained in the mortgage created with the said
POSOCO the right of LIC-HFL in respect of the securities created by the Borrower in
favour of POSOCO by deposit of title deeds shall rank pari passu at the charge created by
the POSOCO.
2) All the title deeds in respect of the House shall remain and continue to remain in the custody
of POSOCO till all the loans have been properly repaid in full by the Borrower.
3) Prior to taking any action for enforcement of the securities POSOCO shall duly inform
LIC-HFL of the same and each of them shall consult the other in respect of all matters
pertaining to the security aforesaid so far as the same is practicable without affecting its
own rights and each of them at all times keep the other informed of all serious and important
matters coming to its knowledge relating to the House or any part or portion thereof or
otherwise relating to the Borrower.
4) If the any time during the currency of the respective loans of the POSOCO and LIC-HFL,
the Borrower commits any default for payment or the respective mortgage debts or in
observance or performance of any covenant or condition contained in the said POSOCO or
LIC-HFL as the case may be and either LIC-HFL or POSOCO in pursuance of the powers
reserved to them decide to enforce the right and in such case, the LIC-HFL and POSOCO
shall consult each other before such rights.

POSOCO HOUSE BUILDING ADVANCE RULES

Page 742
 5) The Borrower do hereby confirm these presents and undertake that during the subsistence
of the securities created by the Borrower in favour of the LIC-HFL and POSOCO, the
Borrower shall not do or suffer to be done or be party or privy to any act, deed, matter or
thing which may in anywise prejudicially affect the securities and rights of LIC-HFL and
POSOCO.
6) Subject to the pari passu arrangement between LIC-HFL and POSOCO as aforesaid the
rights and powers reserved to the LICHFL and POSOCO under the said arrangement shall
not be prejudiced or affected by the rights and powers available to LIC-HFL and POSOCO
under their respective mortgage.
7) LIC-HFL will not give loan for more than Rs. ____________________ and if for any
reason the said limit be increased then the same will not prejudice the rights of joint
mortgagees concerned and the said enhanced loan shall not be fully secured by the Joint
Security shared on pari passu basis as therein.

IN WITNESS WHEREOF THE parties hereto have signed on the day, month and year above
written.

SIGNED AND DELIVERED BY THE within

Name ____________________________
In the presence of __________________

SIGNED AND DELIVERED BY THE within

Named LIC Housing Finance Ltd. By the
hands of Sh. ______________________
Its ______________________________

SIGNED AND DELIVERED BY THE

On behalf of the ___________________

POSOCO HOUSE BUILDING ADVANCE RULES

Page 743
 ANNEXURE-M

MEMORANDUM OF CONFIRMATION OF PARI PASSU AGREEMENT

We, Power System Operation Corporation Ltd. (POSOCO), a company registered under the
Companies Act, 1956 and having its Registered Office at B-9, 1st Floor, Qutab Institutional
Area, Katwaria Sarai, New Delhi-110016 (hereinafter called “POSOCO”, which expression
shall unless the context otherwise required, includes its successors and assigns) and LIC
Housing Finance Ltd., a company registered under the Companies Act, 1956 and having its
Registered Office at Bombay Life Building, 45/47, Veer Nariman Road, Bombay 400 001
(hereinafter called “LIC-HFL”, which expression shall unless the context otherwise required,
include its successors and assigns), hereby agree and confirm the general conditions of the pari
passu Arrangement which forms part of this Memorandum, a copy of which is annexed hereto.

We also hereby agree and confirm that notwithstanding anything to the contrary contained in
or arising from or by virtue of or implied by the securities created and/or to be created by
_________________ (hereinafter referred to as the “Borrower”) in our respective favour of
his/ her immovable properties present and future for securing :

a) Loan of Rs. ____________________ lent and advanced/agreed to be lent and advanced by

the POSOCO to the Borrower.

b) Loan of Rs. ____________ lent and advanced/agreed to be lent and advanced by LIC-HFL
to the Borrower.

Our respective rights thereunder shall rank pari passu without any preference or priority of
one over the other for all purposes and to all intents.

For Power System Operation Corporation Ltd. For LIC Housing Finance Ltd.

“POSOCO” (which expression shall unless the context otherwise required, includes its
successors and assigns).

POSOCO HOUSE BUILDING ADVANCE RULES

Page 744
 GENERAL CONDITIONS OF PARI PASSU ARRANGEMENT

FORMING OF THE MEMORANDUM

1. Notwithstanding anything to the contrary contained in or arising from or

by____________________________ implied by the securities created and/or to be created by
Sh. _________________________ (the Borrower) in favour of Power System Operation
Corporation Ltd. (POSOCO) and LIC Housing Finance Ltd. (which securities or such of them
as per for the time-being subsisting are hereinafter collectively referred to as the Joint Security)
all money resulting from the enforcement or of the properties mortgaged and charged jointly
(hereinafter referred to as the “Mortgaged Premises”) to the POSOCO and LIC Housing
Finance Ltd. (hereinafter jointly referred to as the “Joint Mortgagees”) and/or any
compensation moneys received from requisition or acquisition of the mortgaged premises or
any part thereof and/or any moneys or amounts received and/or any other realisation from or
out of the mortgaged premises or any part thereof by enforcement or by taking recourse to any
special legislation for recovery of dues and may be applicable or otherwise howsoever shall be
available for distribution between the Joint Mortgagees on pari passu basis without any
preference or priority of one over the other for all purposes and to all intents.

2. a) Unless otherwise agreed to in writing between the Joint Mortgagees, the Borrower shall
not be allowed to prepay any part of liabilities of the Borrower inclusive of principal, interest,
additional interest, further interest, liquidated damages commitment charges, commitment
charges, pre-payment charges, guarantee commission, costs, charges, expenses and other
moneys for the time being outstanding and secured under the Joint Securities and due to each
of the Joint Mortgagees (hereinafter collectively referred to as the “Principal debts”) without
offering to prepay and prepaying a proportionate amount of the principal debts due to the other
of the Joint mortgagees to whom prepayment is acceptable nor shall any of the Joint
Mortgagees accept such prepayment is not acceptable to one of the Joint Mortgagees, the share
of such Joint Mortgagees to whom prepayment is not acceptable shall be offered and paid to
the other Joint Mortgagee to whom prepayment is acceptable. Notwithstanding anything to the
contrary contained in this clause, the Borrower may be allowed to prepay (either wholly or
partly) any of her/his liabilities to either of the Joint Mortgagees out of or from the proceeds of
any of the respective Joint Securities (other than the mortgaged premises) that may have been
available to that Joint Mortgagee as security or otherwise. In such an event no concurrence
shall be required from the other of the Joint Mortgagees.

b) Notwithstanding anything contained in clause (a) hereof, the Joint Mortgagees shall be
under no obligation to accept any prepayment of the Principal Debts due to them.

3. The Joint Mortgagees or either of them shall be entitled to bring a suit or other legal proceeding
or to take any steps for enforcement of the security created in its or their respective favour or
otherwise for realisation of its or their respective principal debts from the Borrower and in the
event of the institution of any such suit or other legal proceedings the party so instituting shall
join the other as is not willing to join as partly plaintiff as party defendant in such suit or other
legal proceedings.

4. Prior to taking any action for enforcement of its right over the mortgaged premises, each of the
Joint Mortgagees concerned shall duly inform the other of the same and each of them shall also
consult and cooperate with the other in respect of all matters pertaining to the mortgaged

POSOCO HOUSE BUILDING ADVANCE RULES

Page 745
 premises so far as the same is practicable without effecting its own rights and each of them
shall at all times keep the other informed of all serious and important matters coming to its
knowledge relating to the mortgaged premises under the Joint Securities or any part or portion
thereof or otherwise relating to the Borrower.

5. All moneys, available for distribution, on pari passu basis, as mentioned in Clause I thereof
shall be applied with all reasonable despatch in the matter hereinafter provided.

a) Firstly, there shall be paid out of such moneys or provisions made thereout for the cost, charges
expenses incurred by the Joint Mortgagees or any of them for and incidental to the enforcement
of the mortgage and/or realisation or receipt of such moneys.

b) Secondly, the balance of such moneys shall :

i) In the event of the moneys so available for distribution being sufficient to pay to each
of them the full amount of the principal and other debts due to each of the Joint
Mortgagees, be applied simultaneously in the payment to each of them of their
respective principal and other debts in full.

ii) In the event of the moneys available for distribution being insufficient to pay to each
of the joint Mortgagees the full amount of the Principal Debts and others due to each
of the Joint Mortgagees, be applied Pari Passu as nearly as may be practicable towards
payment in each of shall bear to the total distributable amount of the same proportion
which the outstanding amounts of the principal debts due to each of such Joint
Mortgagees bears to the aggregate of the outstanding amounts of the Principal Debts
due to Joint Mortgagees. Any payment made to each of the Joint Mortgagees in
accordance with the provisions of this clause shall be in protanto satisfaction of its
respective principal debts out as between such Joint Mortgagees and the Borrower such
Joint Mortgagees shall be entitled to enforce their rights under their relative Joint
Securities against the Borrower.

C) Thirdly, the surplus, if any, out of such money shall be paid to the person or persons entitled
thereto.

6. If any of the Joint Mortgagees shall receive any such money in respect of the mortgaged
premises in any other manners indicated in clause I hereof the same shall be held in trust until
required for appropriation hereunder. Such Joint Mortgagees shall also submit to the other Joint
Mortgagee at the end of every month a statement of account with respect to the amount realised
by it from the enforcement of the mortgaged premises or in connection with the mortgaged
premises. Such Joint Mortgagee shall also submit to the other Joint Mortgagee every month a
report dealing with other important matters, connected with or affecting the mortgaged
premises and the enforcement thereof affecting the interest of the Joint Mortgagee.

The aforesaid provisions shall take effect between the Joint Mortgagees and the persons
claiming through them and without prejudice to any rights they may have against the Borrower.

Signature of the authorised persons

on behalf of the Power System Operation
Corporation Limited and LIC-HFL.

POSOCO HOUSE BUILDING ADVANCE RULES

Page 746
1) Power System Operation Corporation Ltd.

_____________________________

2) LIC HOUSING FINANCE LIMITED

_________________________________

POSOCO HOUSE BUILDING ADVANCE RULES

Page 747
 ANNEXURE-N

FORM OF LETTER FOR INTIMATING TO THE LIFE INSURANCE

CORPORATION OF INDIA ABOUT COMPANY’S INTEREST IN
INSURANCEPOLICIES OF HOUSESCONSTRUCTED/ PURCHASED WITH HOUSE
BUILDING ADVANCE ADMISSIBLE UNDER THE RULES

From :

To :

(Through Chief General Manager)

Dear Sir,

I am to inform you that the Power System operation Corporation Limited is interested in House
Insurance Policy No. ....................... secured in your Life Insurance Corporation and to request
that you will kindly insert a clause to the following effect in the Policy :

Form of clauses to be inserted in the insurance Policy :

1. It is hereby declared and agreed that Shri ............................. (the owner of building
bearing Municipal No. ................... (hereinafter referred to as “The insured” in the schedule to
this policy) has mortgaged the house to Power System operation Corporation Limited
(hereinafter called “The Company”) as security for an advance for the construction of the house
and it is further declared and agreed that the Company is interested in any moneys which but
for their endorsement is payable to the said Shri ............................ (the insured under this
policy) in respect of loss or damage to the said house (which loss or damage is not made good
by repairs, reinstatement or replacement) and such moneys shall be paid to the Company s long
as it is the MORTGAGEE of the house and its receipt shall be full and final discharge to the
corporation in respect of such loss or damage.

2. Save as by this endorsement expressly agree, nothing herein shall modify or affect the
rights or liabilities of the insured or the Life Insurance Corporation respectively, under or in
connection with this policy or any terms, provision or condition or conditions thereof.

Place : Yours faithfully

Date :

Forwarded : The receipt of the letter may kindly be acknowledged. It is also requested that
the undersigned may kindly be informed wherever any claim is paid under
the policy and also if the premium is not paid periodically for renewal of the
policy.

Place :

Date :

Designation ..................................

POSOCO HOUSE BUILDING ADVANCE RULES

Page 748
 ANNEXURE-O

FORM OF RECONVEYANCE FOR HOUSE BUILDING

On the RECONVEYANCE MAP the ..................... day .................... two thousand and
........................... between Power System Operation Corporation Limited, a company
incorporated under the Indian Companies Act, 1956 and having its registered office at B-9, 1st
Floor, Qutab Institutional Area, Katwaria Sarai, New Delhi- 110016 (hereinafter called the
MORTGAGEE which expression shall unless excluded by or repugnant to the subject or
context include its administrators/successors- in-office and assigns) of the one part and
................ Son/daughter of ...................... (hereinafter called the MORTGAGOR which
expression shall unless excluded by or repugnant to the subject or context include his/her heirs,
executors, administrators and assigns) of the other part.

WHEREAS by an indenture of mortgage dated the ...................... Day ............. of

............................... two thousand and ................. and made BETWEEN the MORTGAGOR of
the one part and the Mortgagee of the other part and registered at .............................. in Book
volume ................... Pages .......................... as No. ....................... (hereinafter called the
PRINCIPAL INDENTURE).

The MORTGAGOR by the said principal indenture mortgaged the property at ........................
and more particularly described in the Schedule hereunder written to the MORTGAGEE to
secure an advance of Rs. .................. made by the MORTGAGEE to the MORTGAGOR.

AND WHEREAS ALL MONEY due and owing on the security of the PRINCIPAL
INDENTURE have been fully paid and satisfied and the MORTGAGE has accordingly at the
request of MORTGAGOR agreed to execute reconveyance of the Mortgaged premises as is
hereinafter contained.

NOW THIS INDENTURE WITNESSETH that in pursuance of the said agreement and in
consideration of the premises the MORTGAGEE both hereby grant, assign and reconvey unto
the MORTGAGOR. ALL THAT THE place of land situated at ......................... and comprised
in the said Principal indenture and more particularly described in the Schedule hereunder
written with their rights, easements and appurtenances as in the PRINCIPAL INDENTURE
expressed and all he estates right title, interest, property claim and demand whatsoever of the
MORTGAGEE into out of or upon the said premises by virtue of the PRINCIPAL
INDENTURE to have and to hold the premises herebefore expressed to be hereby granted,
assigned and reconveyed unto and to the use of the MORTGAGOR forever freed and
discharged from all moneys intended to be secured by the said PRINCIPAL INDENTURE and
from deduction suits, accounts, claims and demand for, or in respect of the said moneys or any
part thereof, for or in respect of a PRINCIPAL INDENTURE OR of anything relating to the
premises AND THE MORTGAGEE hereby covenant with the MORTGAGOR that the
MORTGAGEE has not done knowingly suffered or been party or privy to anything whereby
the said premises or any part thereof, are/is or can be impeached, encumbered or effected in
title estate or otherwise howsoever. IN WITNESS whereof the MORTGAGEE has caused
...................... on his behalf to set his hand the day, month and year first above written.

SCHEDULE ABOVE REFERRED TO

POSOCO HOUSE BUILDING ADVANCE RULES

Page 749
 Signed by ........................................ for and on behalf of the MORTGAGEE
.................................. in the presence of

(Signature)

for and on behalf of

Power System Operation Corporation Ltd.

1st Witness :
Address :
Occupation:

2nd Witness :
Address :
Occupation:

POSOCO HOUSE BUILDING ADVANCE RULES

Page 750
CONVEYANCE ADVANCE RULES

Page 751
 CONVEYANCE ADVANCE RULES

1.0 Short Title

These rules may be called “POSOCO Conveyance Advance Rules”.

2.0 Applicability

These rules shall be applicable to all full-time employees of the Company except:
i) Lien holders
ii) Deputationists
iii) Apprentices/trainees, whether engaged under Company’s own training scheme or
under the Apprentices Act, 1961
iv) Muster roll, daily rated, casual, badli or substitute employees.
v) Work charged employees.
CHAPTER-1
3.0 Scope

3.1 The provisions of this chapter shall regulate the cases relating to the grant of conveyance
advance for purchase of motor cars including Electric/ Hybrid(Four-Wheelers), Scooters,
Motorcycles and Moped (Two-wheelers) to the eligible employees of the Company.

3.1.1 The provisions of this chapter shall also regulate mutatis-mutandis the cases relating to the
grant of conveyance advance for repayment of the balance amount of conveyance advance
together with accrued interest thereon, directly by the Company to the parent organisation
of the such employees who join/get absorbed in the Company from other Government
Departments/Public Sector Undertaking/Statutory Corporations/Quasi-Government
Bodies.
Note:
For sanction of advance under sub-rule 3.1.1 the transfer of liability of conveyance advance
for newly recruited employees from PSUs, those who join the company on immediate
absorption basis from other PSUs and employees who are initially inducted on
deputation/lien basis and subsequently absorbed in the company, can be sanctioned
conveyance advance for repayment to pervious organisation, on the terms and conditions
at which the loan was sanctioned by the previous organisation.

4.0 Eligibility
4.1 The advance will be granted only to such employees who have completed at least one
year’s service in the regular establishment of the company and who have been subscribing
for at least one year either to the POSOCO Provident Fund Account or any other recognised
Provident Fund Account.

Provided that for the purpose of computation of one year’s service in respect of employees
joining from Government Department/Public Sector Undertakings/Statutory

POSOCO CONVEYANCE ADVANCE RULES

Page 752
 Corporations/Quasi Government Bodies, the earlier service rendered by them in the regular
establishment of immediate prior organisation, before joining POSOCO, shall be taken into
consideration subject to the condition that the earlier service of an employee concerned in
a grade which would have made him eligible for grant of advance for the type of
conveyance admissible under POSOCO Rules.

Provided further that the above stipulation regarding minimum one year’s service shall not
be applicable in respect of such employees of Government Departments/Public Sector
Undertakings/Statutory Corporations/Quasi-Government Bodies who join the services of
the Company and apply for an advance for the purpose of re-payment of the balance
amount of conveyance advance earlier taken from their parent organisations/ departments
and interest accrued thereon.

4.2 An advance towards the purchase of a car, including repayment of an advance taken from
an earlier organisation from which an employee has joined the company, shall be granted
only to such employees who are in the level of E-2 and above.

4.3 An advance towards the purchase of a scooter/motorcycle and moped( two-wheeler)

including repayment of an advance taken from an earlier organization from which an
employee has joined the Company shall be granted only to all employees.

4.4 An employee who is otherwise eligible for grant of advance for the purchase of a
scooter/motor-cycle and moped ( two-wheeler) shall not be eligible for the advance if a
vehicle of the same/higher type is already owned and registered in his name, unless he
desires to sell off the same and utilize the sale proceeds for the purchase of another similar/
higher type of vehicle.

4.5 An employees who is otherwise eligible for grant of advance for the purchase of a car shall
not be eligible for the advance if a vehicle of the same type is already owned and registered
in his name, unless he desires to sell off the same and utilise the sale proceeds for the
purchase of another similar vehicle.

4.5.1 For the purpose of rules 4.4 and 4.5, a motorcycle/scooter /moped (two-wheeler) of any
make/brand will be deemed to belong to the same type. Similarly a car including Electric/
Hybrid(Four-wheeler) of any make/brand will be deemed to belong to the same type.

4.6 An employees will be eligible for the advance only if an earlier conveyance advance
sanctioned to him, if any, has been recovered in full and a minimum period of 4 years
reckoned from the date of drawal of the last advance has elapsed.

Provided that the above restriction of 4 years shall not apply in case of purchase of a
motorcar and where in earlier advance was drawn for the purchase of a
scooter/motorcycle/moped( two-wheeler) and in case of purchase of a scooter/motorcycle
where the earlier advance was drawn for purchase of a moped.

POSOCO CONVEYANCE ADVANCE RULES

Page 753
4.7 An employee who has transferred the ownership (other than by way of sale) of his vehicle,
owned and registered in his name within the last one year of the date of making an
application shall not be eligible for grant of the advance.

4.8 The advance will not be sanctioned to an employee who is to leave the services of the
Company within 60 months of the grant of advance either on superannuation or otherwise.

4.8.1 Executives at the level of E-6 and above having service of at least 12 months before their
superannuation may be sanctioned the advance for purchase of a car subject to the approval
by Chairman and Managing Director.

i) In case of employees joining the company from Government Departments/Public

Sector Undertakings/Statutory Corporations/Quasi-Government Bodies, with the
consent of the two organisations and the amount of gratuity accruing to them on
account of service rendered in such organization and the accumulated balance in
Provident Fund account should have been transferred to the respective EPFO of the
Company. The amount on account of above should not be less than the amount of
above should not be less than the amount to be sanctioned for purchase of Car.

ii) In case of those employees already on the rolls of the company, the amount of
Gratuity accruing to them on account of past service rendered based on the salary
as on the date of sanction and the accumulated balance in PF account taken together
is not less than the amount to be sanctioned for purchase of Car.

iii) Concerned employee will have to give an authorization in favour of the company,
addressed to Respective Authorities of Provident Fund and Gratuity Trust that the
advance amount and the interest accrued thereon may be paid to the company by
the Trust in case he/she fails to clear the dues on account of this advance at the time
of his/her superannuation.

iii) The provisions contained in 4.8.1 above is only to facilitate sanction of advance to
the employee at his option while ensuring that the balance amount of advance is
paid back.

iv) The sanction of the advance under the provision will be based on merit of each case
with concurrence of Finance and approval of CMD.

4.9 An employee during his suspension period shall not be eligible for the advance.

4.10 Employees may be permitted to purchase higher type of vehicle than the vehicle
for which advance has been granted, subject to the following conditions:

i) Permission will be granted only on specific request by the employee explaining the
reasons necessitating purchase of higher type of vehicle than his/her entitlement
under the rules.

POSOCO CONVEYANCE ADVANCE RULES

Page 754
 ii) The vehicle proposed to be purchased by the employee will be only one step higher
than his/her eligibility i.e. if an employee is eligible for grant of conveyance
advance for the purchase of a moped, he/she can be allowed to purchase only
scooter/motorcycle and not car.

iii) When the employee submits necessary papers such as money receipt,
hypothecation deed etc. it must be ensured that the cost paid by the employee for
purchase of higher type of vehicle is not less than the amount of advance granted.

iv) The conveyance reimbursement shall be allowed only for the vehicle for which the
employee may otherwise be eligible and not for the higher type of vehicle
purchased.

5.0 Amount

5.1 The maximum amount of advance for the purchase of a Vehicle (Four-wheeler including
Electric/Hybrid) to an employee shall be the following:

5.1.1 For advance granted for the first time

Category of Employees Advance

Executives upto the Level of E5 in the Actual cost of Motor Car or Rs.8 lakhs
revised pay scale of Rs.80000-220000/- (Rupees Eight lakhs) whichever is lower.

Executives in the revised pay scale of Actual cost of Motor Car or Rs.12 lakhs
Rs.90000-240000/- (E6) – Rs.100000- (Rupees Twelve lakhs ) whichever is
260000/- (E7) lower.

Executives in the revised pay scale of Actual cost of Motor Car or Rs.15 lakhs
Rs.120000-280000/- (E8) and above (Rupees Fifteen lakhs ) whichever is
lower.
Supervisors The maximum amount of advance for the
purchase of a vehicle (four wheeler
including electrical/Hybrid vehicles) for
the first time and subsequent occasions
shall be limited to the following:
• Equivalent to 12 months Basic Pay
for Electric Vehicle (Maximum
ceiling Rs. 6 lakhs) or,
• 10 months Basic Pay for other
vehicles (Maximun ceiling Rs.6
lakhs) or,

POSOCO CONVEYANCE ADVANCE RULES

Page 755
 • Actual cost of vehicle whichever is
lower.
However conveyance reimbursement for
the Supervisors shall be as per Circular
No. 10/2019 dated 29.03.2019.

Workmen (W6 & above) The maximum amount of advance for the
purchase of a vehicle (four wheeler
including electrical vehicles) for the first
time and subsequent occasions shall be
limited to the following:
• Equivalent to 12 months Basic Pay
for Electric Vehicle (Maximum
ceiling Rs. 6 lakhs) or,
• 10 months Basic Pay for other
vehicles (Maximun ceiling Rs.6
lakhs) or,
• Actual cost of vehicle whichever is
lower.
However conveyance reimbursement for
the Supervisors shall be as per Circular
No. 09/2019 dated 29.03.2019.

5.1.2 For advance granted for the subsequent occasions

Amount of advance as admissible under sub-rule 5.1.1 reduced by the sale proceeds of the
previous vehicle, after repayment of previous advance.

5.2 The maximum amount of advance for the purchase of a two wheeler (including insurance,
taxes and registration charges) to Supervisors and workmen shall be the following:

5.2.1 (As per Corporate HR Circular No. 10A/2019 dated 29.03.2019)

Category of Employees Advance

For Supervisors Actual cost of Two wheeler or Rs.1,00,000/-

(Rupees one lakh) whichever is lower
For Workmen Actual cost of Two Wheeler or Rs.1,00,000/-
(Rupees one lakh) whichever is lower

5.2.2 For advance granted for subsequent occasions

Amount of advance admissible under sub-rule 5.2.1 reduced by the sale proceeds of the
previous vehicle, after repayment of the previous advance.

POSOCO CONVEYANCE ADVANCE RULES

Page 756
5.3 The maximum amount of advance for the purchase of a moped to an employee shall be the
following:

5.3.1 For advance granted for the first time

Category of Employees Advance

For all Supervisors Actual cost of Two wheeler or Rs.1,00,000/-
(Rupees one lakh) whichever is lower
For all Workmen Actual cost of Two wheeler or Rs.1,00,000/-
(Rupees one lakh) whichever is lower

5.4 If a vehicle owned and registered in the name of an employee has been sold off by him
within the last one year of the date of making an application, the amount of advance will
be restricted to the difference between the cost of the vehicle to be purchased and the sale
proceeds of the vehicle (provided the sale proceeds are lesser than the cost of the vehicle
to be purchased) subject to the ceiling of the maximum permissible amount of advance if
the sale proceeds have been utilised for repayment of an earlier conveyance advance, only
such portion of the sale proceeds as is left over with the employee will be take into account
for calculating the aforesaid difference.

5.5 The number of occasions on which advance can be granted to an employee shall not exceed
four each for scooter/motorcycle /moped (Two-wheeler) and car (Four-wheeler) during
his entire service, subject to fulfilment of other conditions of these rules.

5.6 The anticipated price of the vehicle will include expenditure on items like spare wheel
together with a tyre and tube or pillion seat of a scooter, which have to be necessarily
purchased along with the scooter/motorcycle (two wheeler )and motor car (Four-wheeler)
. It shall not however, include the cost of accessories like radio in a car, plastic cover etc.
which are not essential items and are purchased by the customer of his own volition and
the insurance charges, road tax etc. payable for the vehicle purchased.

5.7 The advance shall be granted to those employees in whose case total deduction from salary
do not exceeds 75% of the gross pay.

6.0 Procedure

6.1 An employee, who satisfies the conditions of eligibility laid down herein, may apply in the
prescribed proforma through proper channel to the head of his department. If the head of
department is prima-facie satisfied that it is necessary for the applicant to maintain and use
his own conveyance in the interest of Company’s work, he will recommend for the grant
of advance and refer the application to the concerned HR Department.

6.2 On receipt of the application in the HR Department, the concerned dealing officer will
scrutinise the application with reference to the eligibility conditions as provided herein and

POSOCO CONVEYANCE ADVANCE RULES

Page 757
 budget availability as well as the repaying capacity of the concerned individual; and will
thereafter put up the case along with his observations for the consideration of the
Sanctioning Authority as per Delegation of Powers. If he is satisfied, he will accord his
approval for the grant of conveyance advance. Thereupon, the sanction order will be issued
by the concerned dealing officer of the HR Department.

7.0 Disbursement

7.1 On receipt of the sanction order by the employee concerned, he will be required to execute
an Agreement in the prescribed proforma, to hypothecate the vehicle in favour of the
Company on a non-judicial stamp paper of the requisite value as also a Surety Bond, in the
prescribed proforma, from a confirmed employee of the Company, who fulfils the
following requirements:

7.1.1 His salary/wages is not less than two -third of that of the applicant.

7.1.2 He is not likely to superannuate within 12 months of the date of executing the Surety Bond.

7.1.3 He has not stood surety in more than two cases of conveyance advance.

7.1.4 The employee applying for conveyance advance has not already stood as a surety for him
when he applied for conveyance advance.

7.1.5 He is working, to the extent possible, in the same office where the applicant is working for
the time being.

7.2 The applicant shall be required to get a Surety Bond executed from another substitute
surety in the event of the surety employee’s leaving the services of the Company before
the applicant has hypothecated the vehicle in favour of the Company.

7.3 The liability of the surety will continue so long as the vehicle is not Hypothecated to the
company or till the advance, in full (including interest thereon), is repaid to the Company,
whichever event happens earlier.

7.4 On receipt of the Agreement and Surety Bond in the concerned HR Department, the dealing
officer will get it vetted by the Legal Department. After the documents are found to be in
order, the same will be returned to the concerned HR Department and a communication
advising the concerned Accounts Department to release the amount to the concerned
individual will be issued, whereupon the amount will released by the Accounts
Department.

8.0 Terms and Conditions

8.1 The sanction order for the advance shall remain valid for a period of four months from the
date of issue of the sanction order or the close of financial year whichever is earlier.

POSOCO CONVEYANCE ADVANCE RULES

Page 758
8.2 The employee should purchase the vehicle within a period not exceeding 30 days from the
date of drawal of the advance, failing which the entire amount of advance along with the
interest accrued thereon, shall be refunded forthwith by him to the Company. Provided,
however, he may apply to the sanctioning authority for extension of the aforesaid time limit
by a period not exceeding 30 days and the authority, in deserving cases, may grant such
extension of time. The employee must complete the purchase of the vehicle within the
extended period so allowed to him.

8.3 If the price paid for the vehicle is less than the amount of advance drawn, the excess amount
shall be refunded to the Company within seven days of the purchase.

8.4 Immediately on purchase of the vehicle and in no case later than 30 days from the date of
purchase of the vehicle, the employee shall submit the Deed to the concerned HR
Department, in the prescribed proforma on a non-judicial stamp paper of the requisite value
hypothecating the vehicle in favour of the Company. In addition, he shall be required to
submit to the concerned HR Department a stamped receipt from the vendor/seller for the
amount paid for the vehicle and registration book as a token of evidence of the actual
transfer of the ownership of the vehicle to the employee and a comprehensive insurance
policy insuring the vehicle for an amount not less than the amount due to the Company, for
verification and acceptance by the concerned HR Department.

8.5 The employee should keep the vehicle comprehensively insured and renew it from time to
time for an amount not less than the amount due to the Company and till such time the
advance with interest is repaid; he should produce the receipts thereof annually or
whenever called for; to the concerned HR Department for verification. If at any time, the
amount insured is less than the amount of outstanding advance plus interest, the employees
shall be liable to refund the difference to the Company in not more than 3 monthly
installments.

8.5.1 At the time of taking the above policy, the employee shall write a letter, in the prescribed
proforma, to the insurance Company notifying that the vehicle is hypothecated to the
Company.

8.6 An employee desiring to sell or transfer ownership of the vehicle to another person during
the period the vehicle is hypothecated to the Company, shall be required to obtain prior
permission of the sanctioning authority.

8.6.1 If the employee does not wish to purchase another vehicle after sale of the existing one
with prior permission, the balance amount due to the Company shall be refunded within
seven days of the sale/transfer.

8.6.2 If the employee wishes to purchase another vehicle with the sale proceeds of the pervious
vehicle, subject to the approval of the sanctioning authority, he may do so provided that

POSOCO CONVEYANCE ADVANCE RULES

Page 759
 the purchase is effected within 30 days of sale/transfer of the previous vehicle subject to
the following conditions:

i) the price of the vehicle is not less than the amount outstanding and in the event of
the price of the newly purchased vehicle being less than the sale proceeds of the
previous vehicle, the balance amount shall be refunded to the Company within
seven days;

ii) The second vehicle is comprehensively insured and hypothecated infavour of the
company;

iii) The employee continues to repay the advance at the same rate as was being done
earlier by him.

8.7 Notwithstanding anything contained here-in-before, the employee shall be bound to

comply with any supplementary rules/orders which may be made subsequently in this
regard from time to time with a view to safeguarding the Company’s interest as well as
proper and faithful observance of the provision of these rules.

8.8 Furnishing of false documents or breach of any of the terms and conditions stipulated in
these rules and/or any other supplementary rules/orders will render the employee
concerned liable to appropriate disciplinary action apart from his being called upon to
refund to the Company forthwith the entire advance drawn by him together with the
accrued interest.

9.0 Interest

9.1 An advance granted under these rules shall carry simple interest from the date of payment
of the advance, the amount of interest being calculated on the balance outstanding on the
last date of each month.

9.2 The rate of interest will be rate, as in force on the date of sanction of advance, as per the
notification issued from time to time with the approval of Chairman & Managing Director.

9.2.1
Type of Vehicle Rate of interest (per annum)

Motor car 7.5%

Motor car (Electric/ Hybrid) 4.5%
Two Wheeler 6.5%

9.3 Notwithstanding anything contained above, failure of an employee to faithful observance

of any of the terms and conditions attached to the advance sanctioned will make him liable
to pay the interest at the bank lending interest rate.

POSOCO CONVEYANCE ADVANCE RULES

Page 760
10.0 Repayment

10.1 The advance granted to an employee under these rules shall be repaid in full before
superannuation/separation from service of the employee, by equal monthly installments, as
indicated below:

a) In case of advance granted for the purchase of a motor car, within a period not
exceeding 12 years.
b) In case of advance granted for the purchase of a scooter/motorcycle( two wheeler),
within a period not exceeding 6 years.
c) In case of advance granted for the purchase of a moped, within a period not
exceeding 4 years.

10.2 The amount of advance to be recovered from the employee shall be fixed in whole rupees,
except in the case of last installment when the remaining balance, including any fraction
of a rupee shall be recovered.
10.3 Recoveries on account of interest will be effected only after the recovery of the principal
amount.

10.4 The total amount of interest due shall be recovered minimum number of monthly
instalments, the amount of each such installment being not more than the amount of
installment by which the principal amount was repaid.

10.5 Recovery of the advance granted under these rules shall commence from the salary/ wages
of the month following that in which the advance is drawn.

10.6 The deed of Hypothecation shall stand cancelled after the advance with interest is fully
repaid to the Company and the same shall be returned to the employee duly endorsed to
this effect on the Deed within a period not exceeding 30 days thereof.

POSOCO CONVEYANCE ADVANCE RULES

Page 761
 Chapter 2

11.0 General

11.1 These rules are framed entirely as a welfare measure and do not confer any right or benefit
on the employees nor impose any obligation or liability, whatsoever, on the Company and
shall not be deemed to be any contract or condition of service between the Company and
any such employees.

11.2 The grant of advance under these rules shall always be subject to availability of funds.

11.3 The power to interpret and administer the rules shall rest with the Chairman and Managing
Director of the company whose decision shall be final and binding. The Chairman and
Managing Director is also empowered to make any supplementary rules/ orders to regulate
the frequency/periodicity of the grant of advance to an individual employee, in case so
necessitated due to receipt of a comparatively larger number of applications.

11.4 The Company reserves the right to modify, cancel, add or amend any of these rules.

*****************************************

Reference:

(1) Corporate HR Circular No. 15/2018 dated 10.07.2018 (Amendment in House Building
Advance, Conveyance Advance and Children Higher Education Advance Rules for
Employees in Executive Category)
(2) Corporate HR Circular No. 9/2019 dated 29.03.2019 (Revision of Pay and Benefits
Structure for Employees in the Workmen Category)
(3) Corporate HR Circular No. 10/2019 dated 29.03.2019 (Revision of Pay and Benefits
Structure for Employees in the Supervisory Category)
(4) Corporate HR Circular No. 10A/2019 dated 29.03.2019 (Amendment in House Building
Advance, Conveyance Advance and Children Higher Education Advance Rules for
Employees in Workmen and Supervisory Category)

POSOCO CONVEYANCE ADVANCE RULES

Page 762
 Form 1
APPLICATION FOR ADVANCE FOR THE PURCHASE OF MOTOR CAR/ TWO WHEELER
(Under Rule 6.1)

1 Name :
2 Employee no. :
3 Designation :
4 Department :
5 Headquarters :
6 Basic Pay and Scale of pay as on the date of application
7 Type of vehicle to be purchased Motor Car /Two Wheeler/Moped
(tick the appropriate one)
8 Brand name of the vehicle :
9 Whether old or new : Old/New
10 Is advance required or repayment of advance taken from Yes/No
earlier employer under Rule 3.1.1 (if yes, enclose letter from
concerned authorities)
11 Date of Joining
Date of Retirement/D.O.B.
12 Amount of advance (see Note 1 below)

13 Anticipated cost of the vehicle

(enclose quotation from the dealer/ seller)
14 No. of installments in which Repayment is proposed
(see note 2 below)
15 Details of employee giving surety
Name/Emp. No.
Designation/Deptt
Place of posting
Gross pay P.M. (Basic Pay + DA only)
Date of confirmation
Year of retirement
No. of cases in which the has already given surety

POSOCO CONVEYANCE ADVANCE RULES

Page 763
Note : 1.For maximum limit of amount of advance admissible on various occasions see details over leaf.
2.The maximum number of installments in which repayment of advance could be made are given.
DECLARATION TO BE FURNISHED BY THE APPLICANT

1. I have read and understood the Rules under which the advance will be sanctioned and agree to
abide by the conditions of the grant of advance.

2. The details furnished in the application form are true to the best of my knowledge and belief.

3. I undertake to furnish a fresh surety bond from another employee in the event of surety as
mentioned above leaves the services of the company before hypothecating the vehicle.

4. I do not own a Motor Car(Four Wheeler) / Motor-Cycle, Scooter, Moped(Two-Wheeler).

Dated:
Signature_____________

Tel.No.
RAX/P&T_______

Certified that it is necessary for the applicant to maintain and use his own conveyance in the interest
of company’s work.

Head of the Department

Designation

(Seal)

Dated:

Certified that the individual is member of EPF since ___________________________

For Asst. Manager (Fin)

Certified that the funds to the extent of Rs._________________ are available for disbursement during the
financial year _____________________

Officer in-charge of Budget Section

POSOCO CONVEYANCE ADVANCE RULES

Page 764
 QUESTIONNAIRE TO BE FILLED BY THE APPLICANT
(Annexure to the Application for Motor Car/Scooter/Moped advance)
Sl. No. Question Reply
1 Are you a lien holder or Deputationist, apprentice or trainee or
daily rated or muster roll employee or an
Employee under suspension ?
2 Have you completed one year service in the regular
Establishment of POSOCO ?
3 Are you due to retire or to leave service of the corporation within
6 months from the date of application?
4 Are you a member of EPF or any other recognized fund for a
period of at least one year immediately preceding the date of
application?
5 Whether you have yourself stood as surety for your surety when
the latter applied for a similar advance?
6 Are you already a registered owner of a similar/higher
type of vehicle?
if yes, indicate the reasons for which advance required ?

7 If vehicle already in possession is being sold please indicate the

amount of sale proceeds and its utilization (enclose support of the
sale proceeds)
8 Have you sold off a vehicle owned by you and registered in your
name during the last one year of the date of making application?
If so, indicate the type of vehicle owned, date of sale and amount
of sale proceeds.
9 Have you transferred the ownership (otherwise than by way of
sale) of any vehicle during the last one Year?
10 Have you taken any advance before for purchase of any vehicle?

if so, on how many occasions ? furnish particular thereof.

11 Whether advance taken earlier, if any has been repaid in full with
interest.

(Signature of the applicant)

POSOCO CONVEYANCE ADVANCE RULES

Page 765
 MAXIMUM LIMITS OF ADVANCE

MOTOR CAR (FOUR-WHEELER) SCOOTER/MOTORCYCLE/MOPED (TWO-

WHEELER)
First Advance First Advance
Executives upto the Level of E5: Actual cost of For Supervisors & Workmen : The maximum
Motor Car or Rs. 8 lakhs (Rupees advance for the purchase of a two wheeler
Eight lakhs ) whichever is (including insurance, taxes, and registration
lower. charges ) to Supervisors and Workmen shall be
the following:
Executives in the Level of For Supervisors:
E6- E7: Actual cost of Motor Actual Cost of Two Wheeler or Rs. 1,00,000/-
Car or Rs. 12 lakhs (Rupees (Rupees One Lakh) whichever is lower.
Twelve lakhs) whichever is For Workmen:
lower. Actual Cost of Two Wheeler or Rs. 1,00,000/-
(Rupees One Lakh) whichever is lower.
Executives in the Level of E8 & Above: Actual
cost of Subsequent Advance
Motor Car or Rs.15 lakhs Amount of advance as admissible in column
(Rupees Fifteen Lakhs only) whichever is lower. reduced by sale proceeds of previous vehicle after
repayment of
Supervisors & Workmen (W6 & above): previous advance

• Equivalent to 12 months Basic Pay for

Electric Vehicles (Max Ceiling Rs. 6
Lakhs), or

• 10 months Basic Pay for other vehicles(Max

Ceiling Rs. 6 Lakhs), or

• Actual cost of vehicle whichever is lower.

Subsequent Advance
Amount of advance as admissible in column
reduced by sale proceeds of previous
vehicle after repayment of
previous advance

Maximum Limits of Installments

(for payment of principal, refer Note - II)
Conveyance First Advance Subsequent Advance
Motor Car(Four Wheeler) 144 144
Motor Cycle/ Scooter 72 72
(Two Wheeler)
Moped(Two Wheeler) 48 48

POSOCO CONVEYANCE ADVANCE RULES

Page 766
 UNDERTAKING

I hereby undertake to repay the entire amount of House Building Advance /Conveyance Advance
and other Advance taken for meeting personal expenditure (as available under the POSOCO Rules)
together with accrued interest (where applicable) in lump-sum in the event of my relinquishing the
service of POWER SYSTEM OPERATION CORPORATION LTD. It is also clearly understood
that I will not be relieved from the service of the POWER SYSTEM OPERATION
CORPORATION LTD till I refund all outstanding advances together with interest, where
applicable, and other dues, to the POWER SYSTEM OPERATION CORPORATION LTD.

Signature of the applicant...........................

Name (in capital letters).............................

Designation ...............................................

Empl. No.....................................................

WITNESS:

1. Signature Name (in capital letters) Address

2. Signature Name (in capital letters) Address

———————————————————————————————————————
POWER SYSTEM OPERATION CORPORATION LTD., NEW DELHI

I hereby certify that I have not drawn any conveyance advance from the earlier organization ( )
and this is my first application for conveyance advance.

Counter Signature Name :

Designation
Emp. No.
H.O.D. Deptt.

POSOCO CONVEYANCE ADVANCE RULES

Page 767
 PROPOSAL FOR SANCTION OF CONVEYANCE ADVANCE FOR REPAYMENT
(To be filled in duplicate)

———————————————————————————————————————
Name of the Employee Type and brand of vehicle
for which advance is required:
Designation Amount of Advance
Department Rs.
———————————————————————————————————————
POINTS TO BE EXAMINED AND REPLIED BY THE DEALING OFFICER IN HR DEPARTMENT
FOR THE INFORMATION OF SANCTIONING AUTHORITY
———————————————————————————————————————
Sl.No. Points Reply (To be furnished Yes/No)
———————————————————————————————————————
1. Is advance applied for repayment of advance taken from earlier
employer ? If yes, whether documentary evidence has been submitted
in support, from the previous employer about the outstanding amount
of Advance & interest accrued thereon?

2. Whether the organisation to which the advance is to be repaid is to

Govt. Deptt. /Public Sector Undertaking/ Statutory Corporation
/Quasi-Govt. Body?

3. Whether payment is required to be made directly to the Organisation

?

4. The amount of advance and no. of installments in which it is to be

repaid is within our Rules.

5. The employee has agreed to hypothecate the vehicle within 30 days

from the date of payment.

Certified that the details contained in the application from and questionnaire* furnished by the applicant
have been verified and found to be in order. Based on these details the applicant is eligible for sanction of
advance.

Sanctioned Concerned HR
Executive

Sanctioning Authority

Date :
——————————————————————————————————————
* To the extent available in Personal file

POSOCO CONVEYANCE ADVANCE RULES

Page 768
 FORM 3
PROPOSAL FOR SANCTION OF ADVANCE FOR PURCHASE OF VEHICLE
(Under Rule 6.2)
(To be completed in duplicate)
———————————————————————————————————————
Name of Employee Type and Brand of Vehicle for which advance is required

Designation Amount of Advance

Department Rs.
———————————————————————————————————————
POINTS TO BE EXAMINED AND REPLIED BY THE DEALING OFFICER IN HR DEPARTMENT
FOR THE INFORMATION OF SANCTIONING AUTHORITY
———————————————————————————————————————
Sl. No. Points Reply (To be furnished Yes/No)
——————————————————————————————————————---
1. Is employee eligible for grant of advance under rule 2.0 & 4.9
with reference to his status.

2. Whether the type of vehicle proposed to be purchased by the

applicant is permissible to him considering his pay and grade
(Rule 3.0, 4.2 & 4.3).

3. Has the applicant completed one year service in POSOCO and

subscribing to CPF or any other Fund for the last one year ?
(Rule 4.1).

4. The applicant does not have any vehicle registered and owned
in his name.

5. The applicant has not transferred ownership of any vehicle

during last one year otherwise than by way of sale.

6. Whether applicant selling off a vehicle already owned and

registered in his name. If Yes, whether he proposed to utilise
the sale proceeds for the purchase of another vehicle.

7. There is no Conveyance Advance outstanding against the

applicant.

8. Whether period of 4 years elapsed from the drawal of the last

advance, if any.

——————————————————————————————————————————
Sl. No. Points Reply (To be furnished in Yes/No)
——————————————————————————————————————————
—

POSOCO CONVEYANCE ADVANCE RULES

Page 769
9. The employee is not due to retire/or leave the Services of
the company within 60 months from the date of application.

10. The amount of advance applied for is within the limit

prescribed under clause 5 of the Rules.

11. In case an old vehicle has been sold off during

the last one year, the amount of advance proposed does not
exceed the difference between anticipated price and sale
proceeds of the old vehicle.

12. The number of occasions on which advance has been

sanctioned does not exceed three as indicated under rule 5.5.

13. Whether the availability of funds certified by Budget

section?

14. Whether the applicant has the capacity to repay the Advance

15. The anticipated cost price does not include the cost of
accessories, insurance and Road Tax. etc.

16. Whether surety as mentioned by the applicant is eligible to

stand surety for him in terms of rule 7.1.

Certified that the details contained in the application from the questionnaires furnished by the
applicant have been certified and found to be in order. Based on these details, the applicant is
eligible for sanction of advance.

SANCTIONED: (Concerned HR Executive)

DGM (HR)
Sanctioning Authority
Date:
* To the extent available in Personal File.

POSOCO CONVEYANCE ADVANCE RULES

Page 770
 FORM 4
SANCTION ORDER

Ref. No. ........................ Date :....................

OFFICE ORDER NO.

(Under Rule 6.2)

Sanction to the grant of an advance of Rs. ____________Rupees________________ (in words)

is hereby accorded as per rules of the purchase of Car/Van/Scooter/Motor-cycle to Sh./Ms.
__________________
Emp.no.________________Designation________________Department____________

The above advance will be recovered in ________equal monthly installments plus additional instalments
for interest subject to the condition that number of installments shall be regularised such that the payment
of advance together with interest is completed before the retirement of the employee.

Interest recoverable on the entire amount of advance granted will be at the rates prescribed by the
Management from time to time.

The sanction is subject to the signing of an agreement on a non-judicial stamp paper of Rs. 100/- and Surety
Bond from Shri ________________________on a non-judicial stamp paper of Rs. 100/- before drawal of
the advance. It is further subject to the execution/production of the following documents to the Corporate
HR Deptt. within 30 days from the date of drawal of advance and other rules and regulations in this regard
laid down by the management from time to time.

a) Hypothecation agreement on a non-judicial stamp paper of the value of Rs. 100/-

b) Stamped receipt from the vendor for the amount paid for the vehicle.

c) Registration book in evidence of the actual transfer of the vehicle in the name of the employee.

d) Comprehensive Insurance policy together with a Clause in the policy that the POWERSYSTEM
OPERATION CORPORATION LIMITED has interest in the vehicle.

In addition, the employee will also be required to produce for verification the receipt of annual renewal of
Insurance Policy till the advance is liquidated.

The sanction of this advance is further subject to the following conditions:

1. Non-compliance of the instructions mentioned above within the stipulated period will necessitate
recovery of the entire amount of advance together with penal interest as may be prescribed by the
Management from time to time from the salary every month.

2. The employee will be responsible for keeping the vehicle purchased from the conveyance advance
granted by the Company comprehensively insured till the advance together with due interest is fully
recovered form him.

POSOCO CONVEYANCE ADVANCE RULES

Page 771
3. In case the amount of advance sanctioned is not drawn by the employee with a period of 4 months
from the date of sanction or close of financial year, whichever is earlier, the amount so sanctioned
would automatically lapse at the end of such period.

4. The employee is advised to submit within a maximum period of one month from the date of drawal
of advance, a photocopy of the receipt indicating the amount for which vehicle already in
possession had been sold off. Depending on the amount of sale proceeds, amount of advance shall
be restricted in terms of Rule 4.4 of Conveyance Advance Rules.

5. The sanction will be further subject to the terms and conditions contained in POSOCO Conveyance
Advance Rules as applicable from time to time.

This has approval of the Competent Authority.

Concerned HR Executive

DISTRIBUTION :

1. Sh./Ms. Through:

2. Ch. Manager (F&A) - Estt.

3. O.O. File/Personal File/MCA File.

POSOCO CONVEYANCE ADVANCE RULES

Page 772
 FROM 5

FROM OF AGREEMENT FOR PURCHASE OF A MOTOR VEHICLE

(Under Rule 7.1)

An agreement made on this ….day of………..20…. between Sh.___________________ S/o Sh.

_____________present employed as ___________at (hereinafter called the “Borrower” which
expression shall include his legal representatives, executors, heirs and administrators) of the one part and
the Powersystem Operation Corporation Ltd., 1st Floor, B-9, Qutab Institutional Area, Katwaria Sarai, New
Delhi-110016 (hereinafter called the “Corporation” which expression shall include it successors and
assigns) of the other part.

Whereas the Borrower has under the provisions of the rules framed for the purpose by the Corporation
(hereinafter called the “Rules” and which expression shall include any amendments thereof and additions
for the time-being in force) applied to the Corporation for a loan of Rs.____________ (Rupees
_________________________only) for the purpose of purchase of a motor vehicle and the Corporation
has agreed to lend the said amount to the Borrower vide Office Order No. MCA ___________
dated_________on the terms and condition hereinafter contained.

Now it is hereby agreed between the parties hereto that in consideration of the sum of Rs.____________
(Rupees ________________) paid by the Corporation to the

Borrower (the receipt of which Borrower hereby acknowledges), the Borrower hereby agrees with the
Corporation;

i) To pay the Corporation the said amount with interest, calculated according to the Rules, by monthly
deductions from his salary, or any other dues as provided for by the said Rules and hereby authorises the
Corporation to make such deductions; and

ii) Within one month from the date of these presents, to expend the full amount of the said loan in the
purchase of a Motor vehicle, or if the actual price paid is less than the loan, to reply the difference to the
Corporation forthwith; and

iii) To execute a document hypothecating the said Motor vehicle, to the Corporation as security for the
amount lent to the Borrower as aforesaid with interest in the form provided by the said rule and it is hereby
lastly agreed and declared that if the Motor vehicle has not been purchased and hypothecated as aforesaid
within one month from the date of this presents or if the Borrower within that period becomes insolvent or
quits the service of the Corporation, or dies, the whole amount of the loan and interest accrued thereon shall
immediately become due and payable.

In witness whereof the parties have hereunto set their hands this day and year first before written.

Signature of the Borrower

Name : ....................................
Designation :.............................
Emp No. : .................................
Department : ...........................

POSOCO CONVEYANCE ADVANCE RULES

Page 773
Signed by the said Borrower in the presence of

(1) Signature : ............................. (2) Signature : ............................

Name : ............................. Name : ............................
Address : ............................. Address : ............................
Occupation : ............................. Occupation :..........................

Signed by Sh. __________________ For and Behalf of Power System Operation Corporation Ltd

Manager (HR)

(Signature and designation of the officer for and on behalf of Power System Operation Corporation Ltd.)

In the presence of

(1) Signature : ............................... (2) Signature :..............................

Name : .............................. Name : ..............................
Address :............................... Address : ..............................
Occupation :............................ Occupation :..........................

POSOCO CONVEYANCE ADVANCE RULES

Page 774
 FORM 6
SURETY BOND
(Under Rule 7.1)
Know all men by these presents that I,
__________________S/o________________________R/O____________ and employed as
regular/permanent employee as_____________________in POSOCO, New Delhi (hereinafter called the
“Surety” which expression shall include my legal heirs, representatives, executors) am held and firmly
bound unto the Power System Operation Corporation Ltd.,1st Floor, B-9, Qutab Institutional Area,
Katwaria Sarai, New Delhi- 110016 (hereinafter called the “Corporation” which expression shall
include its successors and assigns) in the sum of Rs. _______________ (Rupees__________________ )
together with accrued interest to be paid to the Corporation for which payment to be well and truly made
as set in below. I hereby bind myself, my heirs, executors, administrators and representatives firmly by
these presents and witness my hand this ____ day of________ two thousand and _____________.

Whereas Sh.________________ S/o _____________ , resident of_________________at present

employed as permanent employee in th Corporation (hereinafter called “the Borrower” and due to
retire on (______________ ) has applied to the Corporation for advance
of Rs.________ (Rupees_________________) for purchase of Car/Motorcycle/Scooter.

And whereas the corporation has sanctioned an advance of

Rs.___________(Rupees ___________________) vide its sanction order No. MCA
__________dated__________ under the Rules framed by the Corporation to regulate the grant of
advance to Corporation’s employees for the Purchase of Car/Motor Cycle/Scooter (hereinafter referred
to as the “said Rules”)

And whereas the Borrower has undertaken to repay the said amount in _________monthly installments
of Rs._______ (Rupees_____________) whereas the Borrower has further undertaken to
hypothecate the Car/Motor Cycle/Scooter purchased with the said advance in favour of the Corporation and
to observe the provision of the said Rules.

And whereas in consideration of the Corporation having agreed to grant the aforesaid advance to the
Borrower, the Surety has agreed to execute the above bond with such conditions as are hereunder written.

Now the condition of the obligation is that if the said Borrower shall while employed in the said Corporation
or any other Company/Office regularly pay or cause to be paid to the Corporation the amount of the
aforesaid advance owing to the Corporation by installments until the said sum of
Rs._______________ (Rupees_____________) shall be duly paid with interest or hypothecates
to the Company the Car/Motor Cycle/Scooter purchased, whichever event happens earlier, then this bond
shall be void, otherwise the same shall remain in full force and virtue. But so nevertheless, that if the
Borrower shall die or become insolvent or at any time ceases to be in service of the Corporation, the whole
or so much of the said principal sum of Rs. _____________

(Rupees___________________) together with interest thereon as shall then remain unpaid shall
immediately become due and payable to the Corporation and recoverable from the Surety in lump-sum by
virtue of this bond. It shall not be necessary for the Corporation to proceed against the Borrower before
proceeding against the Surety to recover the amount due under this Bond.

The obligation undertaken by the Surety under this Bond shall not be discharged or in any way affected by
any extension of time being granted to the borrower or by reason of any other act or forbearance or other

POSOCO CONVEYANCE ADVANCE RULES

Page 775
acts of omission or commission on the part of the Corporation or any other indulgence shown by the
Corporation or by any other matter or thing, whatsoever which, under the law, would, but for he provisions,
have the effect of relieving the Surety.

Signed and delivered by the said Shri____________________ and on day, month

year above written.

Signature of the Surety : ......................

Name : .............................................
Designation : .....................................
Emp. No. : .........................................

WITNESS:
(1) Signature : ............................... (2) Signature : ...........................
Name : ............................... Name : ............................
Address : ............................... Address : ............................
Occupation : ............................... Occupation : ............................

Signed by Shri _________________in the Power System Operation Corporation Limited for and on behalf
of POSOCO.

Signature & designation of the Officer for and on behalf of Power System Operation Corporation Limited

Manager (HR)

WITNESS :

(1) Signature : .............................. (2) Signature : .............................

Name : .............................. Name : ............................
Address : .............................. Address : ............................
Occupation : .............................. Occupation :............................

POSOCO CONVEYANCE ADVANCE RULES

Page 776
 Form-7
ADVICE FOR PAYMENT OF CONVEYANCE ADVANCE
(Under Rule 7.4)

No. 01 : Pers : Dated :...............

Subject : Sanction of Conveyance Advance

To

S/Sh
Employee No.
Sanction order No. Date :.................

Please find enclosed following documents for further necessary action:

1. Agreement Bond
2. Surety Bond

These documents have been verified and got vetted from the Legal Department and found to be in order.
Payment may now be released to the concerned employee.

Encl : As above Concerned HR Executive

Establishment Accounts

POSOCO CONVEYANCE ADVANCE RULES

Page 777
 Form-8
DEED OF HYPOTHECATION
(Under Rule 8.4)

This indenture made this ………day of ……………two thousand and………………..between

Shri………………………..son of Shri……………………………….(hereinafter called
“the Borrower” which expression shall include his heirs, legal representatives, executors and
administrators) of the one part and the Power System Operation Corporation Limited (hereinafter called
“the Corporation” which expression shall include its successors and assigns) of the other part.

Whereas the Borrower has applied for and has been granted an advance of Rupees________________to
purchase a Motor Vehicle on the terms of the Rules framed by the Corporation (hereinafter referred to as
"the Rules" which expression shall include any amendment thereof or additions thereto for the time-being
in force).

And whereas one of the conditions upon which the said advance has been/was granted to the Borrower
is/was that the Borrower will/would hypothecate the said Motor Vehicle to the Corporation as security for
the amount lent to the Borrower with interest.

And whereas the Borrower has purchased with or partly with the amount so advanced as aforesaid the motor
vehicle particulars whereof are set out in the schedule hereunder written.

Now this indenture witnessed that in pursuance of the said agreement and for the consideration aforesaid
the Borrower death hereby covenant to pay the Corporation the sum of Rupees ___________aforesaid or
the balance thereof remaining unpaid at the date of these presents by equal payment of Rs.
____________each on the last day of every month and will pay interest on the sum for the time-being
remaining due and owing calculated according to the said Rules and the borrower doth agree that such
payment may be recovered by monthly deductions from his salary in the manner provided by the said rules,
and in further pursuance of the said agreement the Borrower doth hereby assign and transfer upto the
Corporation the Motor Vehicle the particulars whereof are set out in the Schedule hereunder written by way
of security for the said advance and the interest thereon as required by the said Rules.

And the Borrower doth hereby agree and declare that he has paid in full the purchase price of the said motor
vehicle and the same is his absolute property and that he has not pledged and so long as any money remain
payable to the Corporation in respect of the said advance, will not sell, pledge or part with the property in
or possession of the said Motor Vehicle. Provided always and it is hereby agreed and declared that if any
of the said installments of principal or interest shall not be paid or recovered in manner aforesaid within ten
days after the same are due or if the Borrower shall die or at any time cease to be in the service of the
Corporation or if the Borrower shall sell or pledge or part with the property in or possession of the said
motor vehicle or becomes insolvent or makes any composition or arrangement with his creditors or if any
person shall take proceedings in execution of any decree or judgment against the borrower the whole of the
said principal sum which shall then be remaining due and unpaid together with interest thereon calculated
as aforesaid shall forthwith become payable and it is hereby agreed and declared that the Corporation may
on the happening of any of the events herein before mentioned seize and take possession of the said Motor
vehicle and either remain in occasion thereof without removing the same or else may remove and sell the
said Motor Vehicle either by public action or private contract and may out of the sale moneys retain the

POSOCO CONVEYANCE ADVANCE RULES

Page 778
balance of the said advance then remaining unpaid and any interest due thereon calculated as aforesaid and
all costs, charges, expenses and payments properly incurred or made in maintaining, defending or realising
his rights hereunder and shall pay over the surplus, if any, to the Borrower, his executors, administrators,
legal representatives or heirs provided further that the aforesaid power of taking possession or selling of the
said Motor Vehicle shall not prejudice the right of the Corporation to due the borrower or his legal
representatives for the said balance remaining due and interest or in the case of the Motor vehicle being
sold the amount by which the net sale proceeds fall short of the amount owing and the borrower hereby
further agrees that so long as any moneys are remaining due and owing to the Corporation, he, the Borrower,
will insure and keep insured the said Motor Vehicle against loss or damage by fire, theft or accident with
an insurance Company to be approved by the Corporation and will produce evidence to the satisfaction of
the Corporation that the Motor insurance Company with whom the said Motor Vehicle in insured have
received notice that the Corporation is interested in the Policy and the borrower hereby further agrees that
he will not permit or suffer the said Motor Vehicle to be destroyed or injured or to deteriorate in a greater
degree than it would deteriorate by reasonable wear and tear thereof and further that in the event of any
damage or accident happening to the said motor vehicle, the borrower will forthwith have the same replaced
and made good.

THE SCHEDULE

Description of Motor Vehicle : Maker’s Name :

Description :

No. of Cylinders :

Engine No. :

Chassis No. :

Cost Price :

In witness whereof the parties have hereunto set their hands this day and year first before written.

Signature & Designation of the Borrower

Signed by the said Borrower in the Presence of :

1. i) Signature...........................................

ii) Full name..........................................

iii) Occupation........................................

POSOCO CONVEYANCE ADVANCE RULES

Page 779
 iv) Address............................................

2. i) Signature...........................................

ii) Full name..........................................

iii) Occupation........................................

i) Address............................................

Signed by
Signature and designation of the Officer

For and on behalf of for and on behalf of Power System Operation Corporation Ltd in the presence of

1.

Signature...........................................

Full name..........................................

Occupation........................................

Address............................................

2.

Signature...........................................

Full name..........................................

Occupation........................................

Address............................................

POSOCO CONVEYANCE ADVANCE RULES

Page 780
 CHILDREN HIGHER
EDUCATION ADVANCE
RULES

Page 781
 POSOCO CHILDREN HIGHER EDUCATION ADVANCE RULES

These Rules shall be called POSOCO Children Higher Education Advance Rules for
employees.

1.0 Objective

1.1 The objective of the POSOCO Children Higher Education Advance Rules is to establish
uniform policy and rules relating to the grant of education advance to the employees of the
Corporation with a view to enable them to defray expenditure on account of higher
education of their children studying in India or abroad.

2.0 Policy

2.1 These rules are framed entirely as a welfare measure and do not confer any right or benefit
on the employees nor impose any obligation or liability whatsoever, on the Corporation
and shall not be deemed to be any contract or condition of service between the Corporation
on any such employee.

2.2 The Education Advance will be admissible for the purpose of pursuing higher education in
India or Abroad.

3.0 Definition

In these rules unless the context otherwise requires:

3.1 "Company/Corporation" means the Power System Operation Corporation Ltd. including
all establishments under its management.

3.2 "Competent Authority" means the authority empowered to sanction Education Advance
i.e., Chief Manager in charge of HR establishment

3.3 "Employee" means an employee employed in the regular establishment of the Corporation
but does not include:
a) Lien holder
b) Deputationist on Foreign Service terms
c) Person appointed on contract
d) Daily wage employee
e) Trainee
f) FTB

3.4 "Dependant Children" means an employee's children including legally adopted children
and who have not completed 25 years of age as on the date of application.

POSOCO CHILDREN HIGHER EDUCATION ADVANCE RULES

Page 782
3.5 "Salary/Wages" means basic pay including DA and will include pension in respect of a
re-employed pensioner provided and to the extent the same has been taken into
consideration for fixation of his pay.

3.6 "Higher Education" means Education after +2 leading to Bachelor's Degree in the field
of Science/ Humanities/ Engineering/ Medicine/Law/ Management or any other full time/
part time professional course or Post Graduation in Science/ Humanities/ Engineering./
Medicine/ Law/ Management or Ph.D. or Research work or such other courses as may be
notified by the Management from time to time

3.7 “Course Fee” means the amount paid towards registration, admission, tuition,
examination, laboratory, library, semester, computer, medical/dispensary, stationary,
building development, communication charges, placement charge, validation charges,
other charges paid to institute and hostel/living expenses
4.0 Eligibility

4.1 All employees who on the date of making application have been confirmed in the regular
establishment (i.e. excluding service as trainee) and have put in 3 years service shall be
eligible for grant of the advance and whose children have secured admission or currently
pursuing graduation/post graduation/ professional courses in India or abroad.

4.2 Employees of Govt./ Public Sector Undertakings/Statutory Corporations/Quasi-Govt. who

join the services of the Corporation/and get absorbed in the services of the Corporation,
will be given the benefit of their earlier 'continuous service' rendered in the earlier
organization immediately prior to joining the POSOCO for the purpose of computation of
continuous service.

4.3 Where both the husband and wife are employees of the Corporation and are otherwise
eligible for the grant of advance, the advance shall be admissible to one of them at their
option.

4.4 An employee of the Corporation having less than 36 months for superannuation, shall be
eligible for loan with the approval of CMD

5.0 Purpose

5.1 The Education Advance may be granted to the eligible employees for the purpose of higher
education of their children.

5.2 Repayment of outstanding loan in full/part, earlier obtained by the employee from
banks./financial institutions for higher education of their children

POSOCO CHILDREN HIGHER EDUCATION ADVANCE RULES

Page 783
6.0 Amount

6.1 The total amount of advance admissible to an employee for higher studies of their children
would be as detailed below :

6.1.1 For studies in India

i) 80% of the total course fees
or,
ii) Rs.20.00 Lakh,
whichever is lower

6.1.2 For studies abroad

i) 80% of the total course fees
or,
ii) Rs.50.00Lakh,
whichever is lower

6.2 The advance shall be granted to those employees in whose case the total deduction from
their monthly salary does not exceed more than 75% of the gross pay after taking all
deductions into consideration including proposed EMI of the advance

6.3 An employee shall be eligible for another loan for the purpose contained under clause 5.0
for the same son/ daughter or for the second son/daughter subject to clause 6.1.1 & 6.1.2.
However this will be restricted to 2 children only.

6.4 Where an employee has twins at the second delivery the employee shall be eligible for
educational loan for all the 3 children, subject to clause 6.1.1 and 6.1.2 above.

6.5 In case an employee has drawn an advance in respect of one ward and the second ward also
becomes eligible for higher education, he shall be entitled to draw the advance subject to
clause 6.1.1 and 6.1.2.

7.0 Procedure

7.1 Applications for grant of the advance shall be submitted in the prescribed form- Annexure
'A' through proper channel along with the documents as mentioned in Annexure 'B'.

7.2 On receipt of an application duly forwarded by the Controlling Officer, HR Department

will take necessary action for processing the application. The HR Department will
scrutinize the application with reference to the conditions of eligibility as provided under
these rules as well as priorities, etc. if any, laid down for dealing with such cases so as to
satisfy themselves that all the conditions have been fulfilled. They will also satisfy
themselves of the correctness of the facts stated in the application.

POSOCO CHILDREN HIGHER EDUCATION ADVANCE RULES

Page 784
7.3 The Competent Authority after satisfying himself that all the conditions have been fulfilled,
will accord sanction to the grant of advance specifying the amount of advance so
sanctioned as well as the repayment period, subject to the terms and conditions of grant of
advance as per Rule 10.0.

8.0 Disbursement

8.1 While according sanction to the grant of advance, the Competent Authority will also
authorize disbursement of the first installment of advance in accordance with the
requirement of the educational institution/university in favour of the Institution subject to
execution of Agreement and Surety Bond in the prescribed form -Annexure 'C'& 'D'.

Note: In case of Foreign Institute/ University where remittance has to be done in foreign
currency, the installment shall be released in favour of employee on submission of relevant
documents. He shall submit proof of remittance within 15 days of disbursement of the loan
amount.

8.2 When applying for subsequent installments of advance, the borrowing employee will
certify that the previous installment have been fully utilized and shall produce necessary
receipts/ documents in support of the same. After being fully satisfied, the Competent
Authority will authorize disbursement of the remaining installments of the advance as per
the provisions of these Rules.
8.3 In case of employees covered under the sub-rule 4.2 the repayment of outstanding
Education Advance along with accrued interest in the parent organization, will be subject
to execution of an agreement in favour of the Corporation in the prescribed Performa and
within the admissible limits under clause 6.0. He shall also furnish two sureties as
prescribed under these Rules.

8.4 The Corporation shall not be responsible for any payment of late fee/ penalty by the
employee.

9.0 Surety

9.1 The applicant shall get the Surety Bond executed as detailed below from an employee of
the Corporation. An employee shall be eligible to stand as surety if:

a) His salary/wages is not less than two-third of that of the applicant.

b) He is not likely to superannuate within 3 years of the date of executing the Surety
Bond.
c) He has not stood as Surety in more than two cases of Education Advance.
d) The employee applying for Education Advance has not already stood as Surety for
him when he applied for Education Advance.

9.2 Where a Surety employee is likely to leave the employment of the Corporation or ceases
to be in the employment of the Corporation on account of resignation, retirement,

POSOCO CHILDREN HIGHER EDUCATION ADVANCE RULES

Page 785
 termination, death or for any other reason before the borrowing employee has repaid the
advance in full (including interest thereon) the employee shall arrange to get executed a
Surety Bond from another substitute surety immediately on the occurrence of the event,
except in case of death where surety shall be provided within one month of such event.

9.3 The liability of the surety will be in force till the advance is repaid to the Corporation in
full (including interest thereon).

10.0 Terms and Conditions

10.1 The total no. of advances during the entire service shall not exceed four i.e. two per
dependent child subject to limits mentioned under clause 6.1.1 and 6.1.2.

10.2 Notwithstanding anything contained herein, the employee shall be bound to comply with
any supplementary rules/orders which may be made subsequently in this regard from time
to time with a view to safeguarding the Corporation's interest as well as proper and faithful
observance of then provisions of these Rules.

10.3 Furnishing of false certificates or breach of any of the terms and conditions stipulated in
these Rules and/or any other supplementary rules/orders will render the employee
concerned liable to appropriate disciplinary action as per CDA Rules apart from his being
called upon to refund to the Corporation forthwith the entire outstanding advance
alongwith with interest.

11.0 Interest
11.1 An advance granted under these Rules shall carry simple interest @ 7.5% from the date of
payment of the advance, the amount of interest being calculated on the balance outstanding
on the last date of each month. Recovery of interest shall commence on full repayment of
principal.

12.0 Repayment

12.1 The advance granted to an employee under these Rules together with the interest thereon
shall be repaid in full before superannuation/separation from service of the employee by
monthly installments within a period not exceeding 15 years (120 installments for principal
and 60 installments for interest). Provided further that it will be open to an employee to
repay the amount in a shorter period if he so desires.

12.2 The amount of advance and interest thereon to be recovered from the employee shall be
fixed in whole rupees, except in the case of last installment where the remaining balance
including any portion of rupee shall be recovered.

12.3 Commencement of Recovery: Recovery of advance granted for repayment under shall
commence from the pay of the month following that in which the first installment advance
is drawn.

POSOCO CHILDREN HIGHER EDUCATION ADVANCE RULES

Page 786
12.4 If an employee resigns from the service of the Corporation or his services are terminated
for any reason whatsoever or if he/ she dies before repayment of the advance together with
accrued interest thereon, the entire outstanding amount shall become payable to the
Corporation forthwith. Failure on the part of the employee concerned or his successors, as
the case may be, to repay the advance for any reason whatsoever will entitle the
Corporation to invoke surety bond and recover the outstanding amount from other dues
payable to employee.

13.0 General

13.1 Monthly recovery of installments of repayment of the advance commences from the due
date and is made regularly from pay of the employee concerned thereafter.

13.2 The grant of advance under these rules shall always be subject to the availability of funds.

13.3 The CMD reserves the right to modify, cancel, add, delete or amend any of these rules.

Reference:
(1) Corporate HR Circular No. 15/2018 dated 10.07.2018 (Amendment in House Building
Advance, Conveyance Advance and Children Higher Education Advance Rules for
Employees in Executive Category)
(2) Corporate HR Circular No. 10A/2019 dated 29.03.2019 (Amendment in House Building
Advance, Conveyance Advance and Children Higher Education Advance Rules for
Employees in Workmen and Supervisory Category)

POSOCO CHILDREN HIGHER EDUCATION ADVANCE RULES

Page 787
 Annexure - A
POWER SYSTEM OPERATION CORPORATION LIMITED
Application for Grant of Education Advance

1. Details of Employee
(a) Name (in block letters) :

(b) Employee No. :

(c) Department :

(d) Designation :

(e) Date of joining in the regular post :

(f) Date of Birth :

(g) Date of superannuation :

(h) No. of years of service left as on date

of application :

2. Amount of Loan applied for:

3. Particulars of the dependent child :
(a) Name
(b) Date of Birth
(c) Academic Qualification:

Examination Institution/ Year of Passing Percentage of Division/

University from Marks obtained Distinction
which passed

4. Particulars of the course of studies:

(a) Name & Address of College/Institution/ University :

(b) Course of Studies

(c) Duration of Course

POSOCO CHILDREN HIGHER EDUCATION ADVANCE RULES

Page 788
 (d) Whether admission for the course has already been granted?

(e) Details expenses of studies

Year Tuition Books, Examination Hostel Others Total

Fee Stationary, Fees Expenditure
Equipment
1st Year

2nd Year

3rd Year

4th Year

Total

o Copy of mark sheet of the last examination cleared.

o A confirmation from the Institution that the dependent is admitted for the course
for which loan is sought.
o Copy of the prospectus/ fees schedule/Certificate from the principal or Head of the
Institution detailing the amount of expenses.

5. Other sources of Finance:

1st Year 2nd Year 3rd Year 4th Year Total

i)
Scholarship/
Stipend

ii) Part-time
employment

iii) Any other

assistance/
loan

iv) Family
sources

POSOCO CHILDREN HIGHER EDUCATION ADVANCE RULES

Page 789
6. Details on how the remaining expenses will be met?

7. Details of Surety (s)

S.No. Description Surety No. (i) Surety No. (ii)

1 Name, Employee No. &

Designation
2 Present Salary/Wages (Basic Pay +
Personal Pay + Dearness Allowance)
3 Date of Superannuation
4 No. of cases in which he has already
given surety with details of surety
(Total No. of sureties given should not
exceed two including this one)
5 Signature of Surety

Declarations
1. I have read the rules regulating the grant of Education Advance and agree to abide by the
terms and conditions stipulated therein.
2. I Certify that
(i) My wife/husband is not a company employee. My wife/husband who is a company
employee has not applied for and/or obtained any advance under these rules :
(ii) Certified that I am eligible for Education Advance under EDUCATION
ADVANCE rule 4.0.
3. I undertake to furnish a fresh Surety bond from another employee in the event of surety as
mentioned above leaving the services of the Corporation or even if found that he has given
surety for more than 2 employees.

4. I solemnly declare that the information furnished by me in reply to the various items
indicated above is true to the best of my knowledge and belief.

Place : Signature of the applicant :

Date : Name :
Employee No. :
Designation :

Controlling Officer
(Designation and Department)

POSOCO CHILDREN HIGHER EDUCATION ADVANCE RULES

Page 790
Forwarded to HR Establishment
Dealing Officer

POSOCO CHILDREN HIGHER EDUCATION ADVANCE RULES

Page 791
 Annexure B
Checklist of documents to be submitted along with the application
1. Copy of statement of marks/ certificates of last examination passed.
2. A confirmation from the Institution that the dependent is admitted for the course for which
loan is sought.
3. Copy of prospectus/ Certificate from the principal or Head of the Institution for
ascertaining the amount of expenses.
4. Latest salary slip of the Applicant & Sureties

POSOCO CHILDREN HIGHER EDUCATION ADVANCE RULES

Page 792
 Annexure 'C'
AGREEMENT BOND
AN AGREEMENT MADE THIS _____ Day of ___________ 20___ between Mr./ Mrs./ Ms.
________________________ S/o/ W/o/ D/o/ Sh._____________________________ presently
serving as ____________ (hereinafter called the 'Borrower' which expression shall unless
excluded by or repugnant to the subject or context include his heirs, executors, administrators and
legal representatives) of the one part and the Power System Operation Corporation Limited, a
Company incorporated under the Indian Companies Act, 1956 and having its registered office at
1st Floor, B-9,Qutub Institutional Area, Katwaria Sarai, New Delhi 110 016 (hereinafter called the
'Corporation' which expression shall unless excluded by or repugnant to the subject or context
include their successors in office and assigns) of the other part.

WHEREAS the Borrower has under the provisions of the Rules framed by the Corporation to
regulate the grant of education advance to Company employees for financing studies of dependent
children studying in India or abroad (hereinafter referred to as the 'said Rules', which expression
shall where the context so admits, include any amendment thereof or addition for the time being
in force) applied to the Corporation for an advance of Rs._________/- (Rupees _______________
only) for financing the studies of his/ her ward (Name of the Dependent Child) from (Name of the
Institution/ University) as aforesaid, the Corporation has sanctioned an advance
Rs.____________/- (Rupees _____________ only) to the Borrower vide Sanction Order
No._______ dated ____________ copy of which is annexed to these presents for the purpose
aforesaid on the terms and conditions set forth therein.

NOW IT IS HEREBY AGREED BY and between the parties hereto as follows:-

1. In consideration of the sum of Rs.______________/- (Rupees _______________ only)

paid by the company to the borrower as provided in the said rules, Borrower hereby agrees
with the Corporation to repay the Corporation the said amount of Rs._____________/-
(Rupees __________ only) with interest calculated in accordance with the said Rules for
the time being in force in monthly installments from his pay following that in which the
first installment advance is drawn by the Borrower and the Borrower hereby authorises the
Corporation to make such deductions from his monthly pay, leave salary, subsistence
allowance bills or any other dues payable to him by the Corporation.

2. If (Name of the dependent) withdraws from the Institute without completing the course for
any reason or if the Borrower becomes insolvent or quits from the service of the Company
or dies, the entire amount advanced together with interest accruing thereon shall
immediately become due and payable to the Company.

3. Without prejudice to any other right of the Corporation in that behalf, if any amount
becomes refundable or payable by the Borrower to the Corporation, the Corporation will
be entitled to recover the same through other legal measures, including adjustment against
Borrower's statutory or contractual dues.

POSOCO CHILDREN HIGHER EDUCATION ADVANCE RULES

Page 793
 4. The Stamp duty payable on these presents shall be borne and paid by the Borrower.

SCHEDULE ABOVE REFERRED TO

IN WITNESS WHEREOF THE BORROWER has hereunto set his/her hands and Shri
__________________________ for and on behalf of Power System Operation Corporation
Limited has hereunto set his hand.

(Name of the applicant)

Signed by the said Borrower in the presence of:

1st Witness
NAME :
ADDRESS :
OCCUPATION :

2nd Witness
NAME :
ADDRESS :
OCCUPATION :

Signed by ............................
(For and on behalf of Power System Operation Corporation Ltd.)

in the presence of

1st Witness
NAME : .....................
ADDRESS : .....................
OCCUPATION : ......................
2nd Witness

NAME : ......................
ADDRESS : ......................
OCCUPATION : ......................

POSOCO CHILDREN HIGHER EDUCATION ADVANCE RULES

Page 794
 Annexure D
SURETY BOND
KNOW ALL MEN BY THESE PRESENT that I ________________________ (Name of
the Surety) D/O/ S/o/ W/o ___________________________(Name) residing at
____________________________________ (Address), presently employed as
_______________________ (Designation) in the Power System Operation Corporation Ltd. and
due to retire on ____________________(date of superannuation) (hereinafter called `The Surety'),
am held and finally bound unto the Power System Operation Corporation Ltd., a company
incorporated under the Companies Act,1956 having its registered office at 1st Floor, B-9, Qutab
Institutional Area, Katwaria Sarai, New Delhi-110016 (hereinafter called the "Corporation" which
expression shall unless repugnant to the subject or context include its successors in office and
assigns) in the sum of Rs.___________/- (in words) to be paid to the Corporation FOR WHICH
PAYMENT to be well and truly made, I , hereby bind myself, my heirs, executors, administrators
and representatives firmly by these presents. As witness whereof I put my hands this (date).

2. WHEREAS Mr./ Ms./ Mrs. ____________________(Name of the applicant) S/o/ D/o/ W/o
Mr._____________________ resident of _________________________(Address) presently
employed as ______________________(Designation of the applicant) in Power System
Operation Corporation Ltd., (hereinafter called the Borrower), applied to the Company for an
advance of Rs.___________/- (Rupees ___________________________________________) (in
words).

3. AND WHEREAS the Corporation sanctioned the payment of Rs.________________/- (Rupees

_______________________________________(in words) under the Rules framed by the
Company to regulate the grant of Education Advance to company employees vide Sanction Order
No. ____________ dated _________________(date of Sanction).

4. AND WHEREAS the Borrower has undertaken to repay the said amount alongwith interest
thereon in monthly installments. AND WHEREAS the Borrower has also further undertaken to
observe the provisions of the Corporation's rules and other instructions from time to time. AND
WHEREAS in consideration of the Corporation having agreed to grant the aforesaid advance to
the Borrower, the Surety has agreed to execute the above bond with such conditions as written
hereunder.

5. NOW THE CONDITION OF THE OBLIGATION is such that if the said Borrower shall while
employed in the said or any other office/ company duly and regularly pay or cause to be paid to
the Corporation amount of the aforesaid advance owing to the company by installment until the
said sum of Rs.__________/- (Rupees ____________________________________) (in words)
together with interest accrued thereon shall be duly paid than this bond shall be void, otherwise
the same shall be and remain in full force and virtue. It shall not be necessary for the company to
proceed against the Borrower before proceeding against the Surety to recover the amount due
under this bond.

6. The obligation undertaken by the Surety shall not be discharged or in any way affected by an
extension of time or any other indulgence granted by the Corporation to the Borrower.

POSOCO CHILDREN HIGHER EDUCATION ADVANCE RULES

Page 795
Signed and delivered by the said (Name of the surety) on the day, month and year written
above.

(Name of the Surety)

In the presence of

1st Witness
NAME :
ADDRESS :
OCCUPATION : Service

2nd Witness
NAME :
ADDRESS :
OCCUPATION : Service

Signed by ........................

For and on behalf of POWER SYSTEM OPERATION CORPORATION LTD.

in the presence of

1st Witness
NAME : .................
ADDRESS : .................
OCCUPATION : .................

2nd Witness
NAME : .................
ADDRESS : .................
OCCUPATION : .................

POSOCO CHILDREN HIGHER EDUCATION ADVANCE RULES

Page 796
CONTINGENCY ADVANCE
RULES

Page 797
 CONTINGENCY ADVANCE RULES

1.0 Short Title

The rules may be called “POSOCO Contingency Advance Rules”.

2.0 Eligibility
These rules shall be applicable to the employees of the Company who have completed at
least one year’s service in the regular establishment of the company and who have been
subscribing for at least one year to Provident Fund Account. The Rules cover lien holders
and deputationists but exclude:
i) Persons appointed on contract basis
ii) Apprentices and trainees, whether engaged under Company’s own training
scheme or under the Apprentices Act, 1961.
3.0 The advance will be admissible to the employees on duty as well as during any kind of
leave on full pay.
4.0 Following employees will not be eligible for this advance:
(i) Employee during suspension period.
(ii) Employees who are due for retirement or superannuation within 12 months from
the date of application.
(iii) Employees who are on probation on joining the Corporation. However,
employees who have completed one year of service on initial joining the
Corporation shall be eligible for Contingency Advance awaiting probation
clearance, if the delay is due to verification of documents/ certificate etc. and no
adverse report exists against them.

5.0 Purpose
The purpose of the scheme is to grant recoverable advance to employees to meet
contingency requirements in the following circumstances:
(i) To meet the expenses the employee has to incur in connection with the marriage,
or other ceremonies of himself or of his children or of his dependent parents,
sisters and brothers. The condition of actual dependence shall not apply in the
case of the children of the employee.
(ii) To pay obligatory expenses which by customary usage the employee has to incur
in connection with marriages of his relatives like sisters, brothers, nephews,
nieces etc. The nephew, niece means son/daughter of employee's brother/sister or
employee's spouse's brother/sister.
(iii) To pay for the cost of passage to a place out of India, of the employee or any
employee of his family* for education/medical treatment.

POSOCO CONTINGENCY ADVANCE RULES

Page 798
 (iv) In any other case wherein the Chairman and Managing Director is satisfied that
considering the peculiar circumstances advance may be permitted.

*Family: In the case of a male employee, the wife and children whether married
or unmarried and dependent parents of the employee, and the widow and children
of a deceased son of the employee:

Provided that if an employee proves that his wife has ceased, under the personal
law governing him or the customary law of the community to which the spouse
belong, to be entitled to maintenance, she shall no longer be deemed to be a part
to of the employee's family for the purpose of these rules, unless the employee
subsequently intimates by express notice in writing that she shall continue to be
so regarded, and

In the case of a female employee, the husband and children of the employee
whether married or unmarried, the dependent parents of the employee or of the
husband and the widow and children of a deceased son of the employee.

Provided that if an employee by notice in writing expresses her desire to exclude

her husband from the family, the husband and his dependent parents shall no
longer be deemed to be a part of the employee's family for the purpose of these
Rules, unless the employee subsequently cancels in writing any such notice.

6.0 Amount
6.1 The amount of advance admissible shall be six months Basic Wage and Dearness
Allowance as on the date of application in connection with the expenses specified
in clause 5.0(i). The advance in connection with the expenses specified in Clause
5.0 (ii), (iii) & (iv) shall be permissible for an amount equal to 3 months Basic
wage and Dearness Allowance.

(As amended vide Corporate HR Circular No. 2/2020 dated 20.01.2020)

6.2 An advance granted under these Rules shall carry simple interest @ 7.5% from
the date of payment of the advance, the amount of interest being calculated on the
balance outstanding on the last date of each month. Recovery of interest shall
commence on full repayment of principal.
6.3 The subsequent advance shall not be payable before complete repayment of the
first withdrawal together with interest and until 12 months have elapsed from the
release of the previous advance.
6.4 The advance shall be granted to those employees in whose case total deductions
from salary do not exceed 75% of the Gross Pay.

POSOCO CONTINGENCY ADVANCE RULES

Page 799
7.0 Procedure
The employee desirous of availing the Contingency Advance shall make a request
through his/her Head of Deptt. to HR Deptt. in the prescribed proforma. After obtaining
the budget availability and checking the eligibility, HR Deptt. shall issue the sanction
order with the approval of the Competent Authority.

8.0 Disbursement
8.1 On receipt of the sanction order by the employee concerned, he will be required to
execute an Agreement Bond in the prescribed proforma, to repay the advance and
to expend it for the purpose it is sanctioned on a non-judicial stamp paper of the
requisite value and a Surety Bond, in the prescribed proforma, from a confirmed
employee of the Company, who fulfils the following requirements:
(i) His salary/wages is not less than two-third of that of the applicant.
(ii) He is not likely to superannuate within 12 months of the date of executing the
Surety Bond.
(iii) He has not stood surety in more than two cases of Contingency Advance.
(iv) The employee applying for Contingency Advance has not already stood as a
surety for him when he applied for Contingency Advance.
(v) He is working, to the extent possible, in the same RLDC/office where the
applicant is working for the time being.
8.2 The employee shall be required to get a Surety Bond executed from another
substitute surety in the event of the surety leaving the services of the Company.
8.3 The liability of the surety will continue till the advance, in full (including interest
thereon), is repaid to the Company.
8.4 The employee shall also be required to give an ‘Undertaking’ to repay the entire
amount of Contingency Advance together with accrued interest in lump-sum in
the event of his relinquishing the services of Power System Operation
Corporation Limited.
8.5 On receipt of the Agreement, Surety Bond and ‘Undertaking’, concerned HR
Department will check the correctness of the documents. After the documents are
found to be in order, Accounts Department will be advised to release the amount
to the concerned individual, whereupon the amount will be released by the
Accounts Department.

9.0 Recovery
9.1 The amount withdrawn shall be repaid as per the following schedule:

POSOCO CONTINGENCY ADVANCE RULES

Page 800
 Amount of Advance No. of Installments for No. of installments for
recovery of principal recovery of interest
3 months Basic wage and 24 6
DA
6 months Basic wage and 48 12
DA

9.2 The first recovery will commence from the salary bill of the employee from the
month following that in which the advance is drawn.
9.3 Recoveries on account of interest will be effected only after the recovery of the
principal amount.
9.4 Employee will give a declaration for having spent the amount of advance for the
purpose it is sanctioned for.
9.5 Notwithstanding anything contained above, failure of an employee to faithful
observance of any of the terms and conditions attached to the advance sanctioned
will make him liable to pay the interest at the bank lending interest rate.

10.0 General
10.1 These rules are framed entirely as a welfare measure and do not confer any right
or benefit on the employees nor impose any obligation or liability, whatsoever, on
the Company and shall not be deemed to be any contract or condition of service
between the Company and any such employee.
10.2 The grant of advance under these Rules shall always be subject to availability of
funds.
10.3 The power to interpret and administer the rules shall vest with the Chairman and
Managing Director of the company whose decision shall be final and binding. The
Chairman and Managing Director is also empowered to make any supplementary
rules/orders to regulate the frequency/periodicity of the grant of advance to an
individual employee, in case so necessitated for any reason whatsoever.
10.4 The Company reserves the right to modify, cancel, add or amend any of these
Rules.

(Note: The above Scheme was introduced in POSOCO vide Corporate HR Circular
No. 09/2018 dated 10.05.2018)

POSOCO CONTINGENCY ADVANCE RULES

Page 801
 APPLICATION FOR CONTINGENCY ADVANCE
(Under Rule 7.0)
1. Name
2 Employee No.
3 Designation
4 Department
5 Headquarters
6 Basic Pay and Scale of pay as on
the date of application
7 Date of Joining:
8 Date of birth:
9 Date of retirement:
10 No. of installments in which
repayment is proposed
(see Note below)
11 Details of employee giving
Surety
Name/ Employee No
Gross Pay P.M (Basic Pay +DA)
Date of Confirmation
Year of Retirement
No. of cases in which /he has
already given surety:
Whether you have yourself stood
as surety for your surety when the
latter applied for a similar
advance?
Whether advance taken earlier, if
any has been repaid in full with
interest.
Note: For maximum limit of amount of advance admissible for various purposes and repayment
schedule see details over leaf.

POSOCO CONTINGENCY ADVANCE RULES

Page 802
 DECLARATION TO BE FURNISHED BY THE APPLICANT

1. I have read and understood the Rules under which the advance will be sanctioned and
agree to abide by the conditions of the grant of advance.
2. The details furnished in the application form are true to the best of my knowledge and
belief.
3. I undertake to furnish a fresh surety bond from another employee in the event of surety as
mentioned above leaves the services of the company for any reason whatsoever.

Dated:

Signature:___________ Tel No.__________

Counter signed by Head of the Department

Designation:

………………………………………………………………………………………………
……………………….

For use in Finance Deptt.

Verified budget. Officer in-charge of Budget Section

POSOCO CONTINGENCY ADVANCE RULES

Page 803
 PURPOSES FOR WHICH CONTINGENCY ADVANCE CAN BE SANCTIONED

Sl. Purpose Amount

No.
1. To meet the expenses the employee has to incur in 6 mths basic Wage + DA
connection with the marriage, or other ceremonies of
himself or of his children or of his dependent parents,
sisters and brothers. The condition of actual
dependence shall not apply in the case of the children
of the employee.
2. To pay obligatory expenses which by customary usage 3 mths basic wage + DA
the
employee has to incur in connection with marriages of
his
relatives like sisters, brothers, nephews, nieces etc. The
nephew, niece means son/daughter of employee's
brother/sister or employee's spouse's brother/sister.
employee or any employee of his family* for
education/medical treatment.
3. To pay the cost of passage to a place out of India, of 3 mths basic wage + DA
the employee or any employee of his family* for
education/medical treatment
4. In any other case wherein the Chairman and Managing 3 mths basic wage + DA
Director is satisfied that considering the peculiar
circumstances withdrawals may be permitted

Recovery Schedule:

Amount of Advance No. of Instalments for No of Instalments for

recovery of Principal recovery of Interest
3 mths basic wage + DA 24 6
6 mths basic wage + DA 48 12

POSOCO CONTINGENCY ADVANCE RULES

Page 804
 UNDERTAKING

I, hereby, undertake to repay the entire amount of Contingency Advance together with accrued
interest in lump-sum in the event of my relinquishing the services of Power System Operation
Corporation Limited. It is also clearly understood that I will not be relieved from the services of
POSOCO till | refund the entire advance together with interest to POSOCO.

Signature of the applicant...............................................

Name (in capital

letters)………………………………………………..

Designation.....................................................................

Emp.No……………………………………………………
……….…………..

WITNESS:

1. Signature_______________________________

Name (in capital letters)____________________

Address_________________________________

2. Signature______________________________

Name (in capital letters)____________________

Address__________________________________

POSOCO CONTINGENCY ADVANCE RULES

Page 805
 PROPOSAL FOR SANCTION OF CONTINGENCY ADVANCE

____________________________________________________________________________
Name of Employee: Purpose for which advance is required
Designation: ____________________________
Department Amount of Advance
Rs.____________________
POINTS TO BE EXAMINED AND REPLIED BY THE DEALING OFFICER IN
HR DEPARTMENT FOR THE INFORMATION OF SANCTIONING AUTHORITY
Sl.No Points Reply (To be furnished in
Yes/No)
1 Is employee eligible for grant of advance under Rule 2.0 &
4.0 with reference to his status.
2 Has the applicant completed one year service in POSOCO
and subscribing to CPF for last one year? (Rule 2.0).
3 There is no Contingency Advance outstanding
against the applicant.
4 Whether period of 12 months has elapsed from the drawal
of the last advance, if any.
5 The employees is not due to retire/or leave the services of
the company within 12 months from the date of application.
6 The amount of advance applied for is within the limit
prescribed under clause 6 of the Rules.
7 Whether the availability of funds certified by Budget
section?
8 Whether the total deduction from salary exceed 75% of
gross pay.
9 Whether surety as mentioned by the applicant is eligible to
stand surety for him in terms of rule 8.1.

Certified that the details contained in the application from the information furnished by the applicant have been
certified and found to be in order. Based on these details, the applicant is eligible for sanction of advance.
Concerned HR Executive
SANCTIONED:

Chief Manager (HR)

Sanctioning Authority

Date:

POSOCO CONTINGENCY ADVANCE RULES

Page 806
 CONTINGENCY ADVANCE SANCTION ORDER
Ref. No. ........... Date :..........

OFFICE ORDER NO.

(Under Rule 7.0)

Sanction to the grant of an advance of Rs. ______________Rupees (in words)____________________ is

hereby accorded as per rules of the Contingency Advance to Sh./Ms.________________ Emp. No.
________________Designation________________Department_____________________

The above advance will be recovered in __________equal monthly installments for principal plus
_________________installments for interest subject to the condition that number of installments shall be
regularized such that the payment of advance together with interest is completed before the retirement of
the employee.

Interest recoverable on the entire amount of advance granted will be at the rates prescribed by the
Management from time to time.

The sanction is subject to the signing of an agreement on a non-judicial stamp paper of Rs. 50/- and
Surety Bond from Ms. /Sh. _______________________on a non-judicial stamp paper of Rs. 100/- before
drawal of the advance.

In addition, the employee will also be required to give ‘Declaration’ for having spent the advance for the
purpose it is sanctioned and ‘Undertaking’ to repay the entire amount of Contingency Advance together
with accrued interest in lump-sum in the event of his relinquishing the services of Power System
Operation Corporation Limited.

The sanction of this advance is further subject to the following conditions:

1. Non-compliance of the instructions mentioned above within the stipulated period will necessitate
recovery of the entire amount of advance together with penal interest as may be prescribed by the
Management from time to time from the salary every month.

2. In case the amount of advance sanctioned is not drawn by the employee within a period of 4
months from the date of sanction or close of financial year, whichever is earlier, the amount so
sanctioned would automatically lapse at the end of such period.

POSOCO CONTINGENCY ADVANCE RULES

Page 807
 3. The sanction will be further subject to the terms and conditions contained in POSOCO
Contingency Advance Rules as applicable from time to time.

This has the approval of the Competent Authority.

Asst.Mgr. (HR) /Dy. Mgr. (HR)
DISTRIBUTION:
1. Ms./Sh.__________________________ through___________
2. O.O. File/Personal File/Contingency Advance File

POSOCO CONTINGENCY ADVANCE RULES

Page 808
 FROM OF AGREEMENT FOR UTILISATION OF CONTINGENCY ADVANCE
(Under Rule 8.0)
An Agreement made on this______day of_______20___ between
Ms./Sh.___________________S/o/D/o Sh.____________, at present employed
as_________ (hereinafter called the “Borrower” which expression shall include his legal
representatives, executors heirs and administrators) of the one part and the Power System
Operation Corporation Limited, Corporate Centre, 61, IFCI Tower, 9" floor, Nehru Place
- 110019 having its registered office at B-9, 1 Floor, Qutab Institutional Area, Katwaria
Sarai, New Delhi-110016 (hereinafter called the “Corporation” which expression shall
include its successors and assigns) of the other part.

Whereas the Borrower has under the provisions of the rules framed for the purpose by the
Corporation (hereinafter called the “Rules” and which expression shall include any
amendments thereof and additions for the time-being in force) applied to the Corporation
for an advance Rs.____________(Rupees__________________________ only) for the
purpose of______________________________________________has agreed to lend the
said amount to the Borrower vide Office Order No. dated on the terms and condition
hereinafter contained.

Now it is, hereby, agreed between the parties hereto that in consideration of the sum of
Rs._________(Rupees ___________________________) paid by the Corporation to the
Borrower (the receipt of which Borrower hereby acknowledges), the Borrower hereby
agrees with the Corporation;

i) To pay the Corporation the said amount with interest, calculated according to the
Rules, by monthly deductions from his salary, or any other dues as provided for
by the said Rules and hereby authorize the Corporation to make such deductions;
and

ii) Within one month from the date of these presents, to expend the full amount of
the said advance for the purpose it is granted for, or if the actual amount spent is
less than the advance, to repay the difference to the Corporation forthwith.

In witness whereof the parties have hereunto set their hands this day year first before
written.

Signature of the Borrower

NAME:______________________
Designation:_________________

POSOCO CONTINGENCY ADVANCE RULES

Page 809
 Emp. No.;___________________
Department:_________________

Signed by the said borrower in the presence of

1. Signature: 2. Signature:
Name: Name:
Address: Address:
Occupation: Occupation:

Signed by Ms./Sh._________________________________for and on belalf of Power

System Operation Corporation Limited.

Manager (HR)

(Signature and designation of the officer for and on behalf of POSOCO)

In the presence of

1. Signature: 2. Signature:
Name: Name:
Address: Address:
Occupation: Occupation:

POSOCO CONTINGENCY ADVANCE RULES

Page 810
 SURETY BOND
(Under Rule 8.0)
Know all men by these presents that I,____________________S/o/D/o_______________________
R/o___________________and employed as regular/permanent employee as_____________________ in
Power System Operation Corporation Limited (POSOCO), New Delhi (hereinafter called the “Surety”
which expression shall include my legal heirs, representative, executors) am held and firmly bound unto
the Power System Operation Corporation Limited, Corporate Centre, 61, IFCI Tower,9" floor, Nehru
Place — 110019 having its registered office at B-9, 1 Floor, Qutab Institutional Area, Katwaria Sarai,
New Delhi-110016 (hereinafter called the “Corporation” which expression shall include its successors
and assigns) in the sum of Rs. __________(Rupees ________________________________) together
with accrued interest to be paid to the Corporation for which payment to be well and truly made as set in
below. | hereby bind myself, my heirs, executors, administrators and representatives firmly by these
presents and witness my hand this__________day of __________two thousand and______________ .

Whereas Ms. /Sh._________________________________ S/o/D/o ______________________ resident

of ______________________________at present employed as permanent employee in the Corporation
(hereinafter called “the Borrower” and due to retire on (__/__/____) has applied to the Corporation for an
advance of Rs.____________ (Rupees ___________________ ) for the purpose
of_______________________________________________________________

And whereas the Corporation has sanctioned as advance of Rs.________________

(Rupees________________) vide its sanction order No.__________________dated
_______________under the Rules framed by the Corporation to regulate the grant of advance to
Corporation’s employees for specific purposes (hereinafter referred to as the “Said Rules”)

And whereas the Borrower has undertaken to repay the principal amount in___________ monthly
instalments of Rs.________(Rupees______________) and interest in monthly instalments of Rs.
________________(Rupees_______________________________ ) whereas the Borrower has made a
declaration to spend the amount for the purpose it is sanctioned for and to observe the provision of the
said Rules.

And whereas in consideration of the Corporation having agreed to grant the aforesaid advance to the
Borrower, the Surety has agreed to execute the above bond with such conditions as are hereunder written.

Now the condition of the obligation is that if the said Borrower shall while employed in the said
Corporation or any other Company/Office regularly pay or cause to be paid to the Corporation the amount
of the aforesaid advance owing to the Corporation by installments until the said sum of
Rs.______________(Rupees________________________) shall be duly paid with interest then this bond
shall be void, otherwise the same shall remain in full force and virtue. But so nevertheless, that if the
Borrower shall die or become insolvent or at any ceases to be in service of the Corporation, the whole or
so much of the said principal sum of Rs._________________
(Rupees_______________________________ ) together with interest thereon as shall then remain
unpaid shall immediately become due and payable to the Corporation and recoverable from the Surety in

POSOCO CONTINGENCY ADVANCE RULES

Page 811
lump-sum by virtue of this bond. It shall not be necessary for the Corporation to proceed against the
Borrower before proceeding against the Surety to recover the amount due under this Bond.

The obligation undertaken by the Surety under this Bond shall not be discharged or in any way affected
by any extension of time being granted to the borrower or by reason of any other act or forbearance or
other acts of omission or commission on the part of the Corporation or any other indulgence shown by the
Corporation or by any other matter or thing, whatsoever which, under the law, would, but for the
provisions, have the effect of relieving the Surety.

Signed and delivered by the said Ms. /Sh.____________________on day, month and year above
written.

Signature of the Surety: ………………………………………………………….

Name…………………………………………………………
Designation…………………………………..
Emp. No……………………………………………………….
WITNESS
1. Signature: 2. Signature:
Name: Name:
Address: Address:
Occupation: Occupation:

Signed by Ms./Sh._________________________________in Power System Operation

Corporation Limited(POSOCO) for and on behalf of POSOCO.

(Signature and designation of the officer for and on behalf of POSOCO)

Manager (HR)

2. Signature: 2. Signature:
Name: Name:
Address: Address:
Occupation: Occupation:

POSOCO CONTINGENCY ADVANCE RULES

Page 812
 ADVICE FOR PAYMENT OF CONTINGENCY ADVANCE
Ref. No. : HR/ Estt./Cont. Adv./: Dated:
........

Subject: Sanction of Contingency Advance

To
Manager (Fin) ESTT.
Sanction Order No.__________________
Date…………...

Vide Sanction Order No.__________ dtd.__________ Ms./Sh.________________ , Emp.

No.__________Desig.________________ has been sanctioned Contingency Advance of
Rs._____________ (Rs. ________________________________only). She/He has submitted the
following documents which have been verified and found to be in order:

1. Agreement Bond
2. Surety Bond
3. Undertaking

Payment may please be released to the concerned employee.

Concerned (HR) Executive

Encl : As above

POSOCO CONTINGENCY ADVANCE RULES

Page 813
MULTI-PURPOSE ADVANCE
RULES

Page 814
 MULTI-PURPOSE ADVANCE RULES
1.0 Short Title

The rules may be called “POSOCO Multi-Purpose advance Rules”.

2.0 Eligibility

These rules shall be applicable to employees on regular rolls of the Company including
lien holders and deputationists, but excluding:

(i) Persons appointed on contract basis

(ii) Apprentices and trainees, whether engaged under Company’s own training
scheme or under the Apprentices Act, 1961.
(iii) Muster roll, daily rated casual, badli or substitute employees.

2.1 The advance will be admissible to employees on duty as well as during any kind of leave
on full pay.

3.1 Following employees will not be eligible for this advance:

(i) Employee during suspension period.

(ii) Employee who are due for retirement or superannuation within 12 months from the
date of application

(iii) Employee who is on probation period on initial joining the Corporation. However,
employees who have completed one year of service on initial joining the
Corporation shall be eligible for Multi-Purpose Advance not awaiting probation
clearance, if the delay is due to verification of documents/ certificate etc. and no
adverse report exists against them. However, such employees have to submit
undertaking to the effect that in case the probation period is extended they shall
return the Multi-Purpose advance together with interest to Corporate/ Regional
Finance department forthwith.

4.0 Purpose

The Purpose of the scheme is to grant an interest free recoverable advance to employees to
meet contingency requirement.

5.0 Amount

5.1 The amount of advance admissible shall be three months Basic Pay and prevailing
Dearness Allowance as on the date of application.

5.2 The advance shall be interest free.

POSOCO MULTI-PURPOSE ADVANCE RULES

Page 815
5.3 The subsequent advance shall only be sanctioned 12 months after the date of sanction of
previous advance and upon repayment of existing advance. If the repayment of advance
(in whole or part) is made then the same shall be done through salary.

5.4 The advance shall be granted to those employees in whose case total deduction from salary
does not exceed 75% of the Gross Pay.

6.0 Procedure

The Employee desirous of availing multipurpose advance shall apply in the prescribed
format to HR Department for budget and after checking the eligibility HR deptt. shall
forward the same to F&A Department for release of payment. (Format enclosed in
Annexure.)

7.0 Recovery

7.1 Recovery of the advance shall be made from the salary of the employee in maximum 48
(forty- eight) equal monthly installments (excluding the month of drawl of advance or
period of remaining service whichever is earlier).

7.2 The first recovery will commence from the salary bill of the employee for the month
following that in which the advance is drawn.

8.0 General

8.1 These rules are framed entirely as a welfare measure and do not confer any right or benefit
on the employees nor impose any obligation or liability, whatsoever, on the Company and
shall not be deemed to be any contract or condition of service between the Company and
any such employee.

8.2 The grant of advance under these Rules shall always be subject to availability of funds.

8.3 The power to interpret and administer the rules shall vest with the Chairman and Managing
Director of the company whose decision shall be final and binding. The Chairman and
Managing Director is also empowered to make any supplementary rules/orders to regulate
the frequency/periodicity of the grant of advance to an individual employee, in case so
necessitated due to receipt of a comparatively larger number of applications.

8.4 The Company reserves the right to modify, cancel, add or amend any of these Rules.

Reference:

(1) Corporate HR Circular No. 01/2018 dated 29.01.2018 (Multipurpose Advance –

Modification thereof)

POSOCO MULTI-PURPOSE ADVANCE RULES

Page 816
 POWER SYSTEM OPERATION CORPORATION LIMITED
APPLICATION FORM FOR MULTI-PURPOSE ADVANCE

1. Name of the Applicant:

2. Employee No. :

3. Designation/Grade:

4, Place of Posting:

5. Basic Pay of the Applicant:

6. Amount of Advance required:

7. No. of installments in which the Advance is desired to be repaid (max. 48 month):

8. Date of Retirement :

9, DECLARATION:

9.1 I have read and understood the Rules under which the advance will be sanctioned by the Company
and agree to repay the advance in maximum of 48 equal monthly installments. | agree to abide by
the conditions of grant of advance prescribed by the Company.

9.2 The details furnished in the application are correct to the best of my knowledge and belief.

9.3 I undertake to refund the entire balance amount of advance in the event of leaving the service of
the company either before superannuation or otherwise.

9.4 No Multipurpose /Furniture Advance/ Vishesh Sansadhan Advance is outstanding against me.

Date: Signature of the employee

-------------------------------------------------------------------------------------------------------------------------------
-----------

For use in HR Department

Verified the Eligibility/Budget

Manager (Fin.)

POSOCO MULTI-PURPOSE ADVANCE RULES

Page 817
 UNDERTAKING

I……………………………………………………………………………………………… give an
undertaking that I have completed one year of service on initial joining the company but probation clearance
is awaited due to verification of documents/ certificate etc. In case the probation period is extended beyond
one year then I shall return the Multi-Purpose advance with interest to Corporate / Regional Finance
Department forthwith.

(Signature)

Name:

Emp. No.:

Designation:

Department:

POSOCO MULTI-PURPOSE ADVANCE RULES

Page 818
 ALLOTMENT OF
RESIDENTIAL
ACCOMMODATION
RULES

Page 819
 ALLOTMENT OF RESIDENTIAL ACCOMMODATION RULES

1.0 Short Title

These rules may be called POSOCO Allotment of Residential Accommodation
Rules. These Rules shall come into force with immediate effect and shall remain
in force until further orders.

2.0 Definitions
In these rules, unless the context otherwise requires:

a) ‘Allotment’ means the grant of permission to occupy a residence in accordance

with the provisions of these Rules as may be in force from time to time.

b) ‘Company’ means the Power System Operation Corporation Limited, including

RLDCs/NLDC and Corporate Centre under its management.

c) ‘Employee’ means a person appointed against a regular post and includes

probationers and deputationists but excludes trainees, apprentices, temporary
employees and casual employees.

d) ‘Family’ means the wife or husband, as the case may be, parents, children, step
children, legally adopted children, brothers or sisters as ordinarily may reside with
and dependent on the employee.

e) ‘Local employee’ means an employee who has got his residence within a radius
of 8 kms from the concerned project or the station of posting, which is owned
either by himself and/or by his dependent family member. If any employee and/or
his family member has been given plot/plots of land by the Company, then he will
also be deemed as a local employee for the purpose of these Rules.

f) ‘Management’ means the Head of the concerned RLDC/NLDC of POSOCO or

such other person or persons authorised by him for purpose of these Rules.

g) ‘Pay’ includes basic pay, personal pay, special pay, and such other pay on which
house rent is recoverable.

h) ‘Standard Rent’ means rent of any accommodation fixed as such under the
orders of the Management from time to time separately for the employees and
other agencies/individuals.

i) ‘Penal Rent’ means twice the amount of standard rent.

ALLOTMENT OF RESIDENTIAL ACCOMMODATION

Page 820
 j) ‘Subletting’ means allowing the use of an allotted accommodation in full or in
part by another person, with or without payment of rent by such other person.

3.0 Eligibility
3.1 All employees will be eligible for allotment of residential accommodation in the
township provided that local employees shall be considered for allotment after
allotment to other eligible employees and subject to availability.

Provided further that if an employee under suspension pending enquiry, he will

not be eligible for the allotment of accommodation during the period of
suspension. However, if an employee is already in possession of company owned
residential accommodation, he shall not be asked to vacate the accommodation
during the period of suspension.

3.2 If husband and wife are both employees of the Company and working at the same
station only one of them will be eligible for allotment.

3.3 If one of the spouses is employed by another Government/Semi-Government

Organisation/Autonomous Bodies or Public Sector Undertaking and has been
allotted residential accommodation from his/her employer in the same station,
he/she shall not be eligible for allotment of accommodation by the Company.

3.4 If father or mother and unmarried son and/or daughter are both employed by the
Company and are working at the same station, then only one of them will be
eligible for allotment.

3.5 Normally bachelors will be allotted shared accommodation.

3.6 An employee who draws house rent allowance for retention of his family in a
place other than the place of posting under provisions of the relevant Corporate
HR Circular will be allotted shared bachelor accommodation only subject to the
terms and conditions in force from time to time.

4.0 Classification
Residential accommodation will be classified into the following four types, on the
basis of the plinth area, as per DPE guidelines :
Type Approx. Plinth Area (Sq. Mts.)
(Permanent Accommodation)
A 36
B 56
C 84
D 139

ALLOTMENT OF RESIDENTIAL ACCOMMODATION

Page 821
4.1 Fittings will be provided in quarters as per the following guidelines.

Fittings Type of quarters

A B C D
Fans 2 4 5 7
Tube lights’ points/fittings 2 3 5 10
No. of power points 2 4 5 8
No. of mirrors 1 1 1 2
No. of wash basins 1 1 1 2
No. of call bells 1 1 1 1
Peep hole on front door 1 1 1 1

Bulbs/tube lights etc. will be provided only once at the time of first allotment of
the new quarter and no replacement will be made. When the occupant leaves the
accommodation, all bulbs, tubes shall be taken over by the estate in working
condition like all other fittings in the quarter.

4.2 White/Colour washing : The DPE guidelines for white/colour washing for the
dwelling Sub-stations of the townships are as follows :

i) Internal white washing/Colour washing (bed rooms and living rooms) including
painting with synthetic enamel paints of doors, windows, ventilators, grills,
cupboards etc. once after 2 years only.

ii) External finishing of walls with water-proofing cement paint, once after 2 years
only.

4.3 In A and B type quarters an exhaust fan of 9 inches sweep and in C and D type
quarters an exhaust fan of 12 inches sweep will be provided.

5.0 Entitlement
5.1 Entitlement for Company Accommodation
Type of Workmen Supervisors Executives
Accommodation
Type-A All All All
Type-B W8 and above All All
Type-C NA NA E3 and above
Type-D NA NA E5 and above

Workmen in the grade of W1-W7 who are on the rolls as on 15.05.2001, the
entitlement for different types of accommodation shall be as under:

ALLOTMENT OF RESIDENTIAL ACCOMMODATION

Page 822
 Basic Pay (1997 Entitled type of Accommodation
Structure)

Upto Rs. 6149/- Type-A

Rs. 6150 and above Type-B

Note:

1. If an employee who under the pre-revised structure was entitled to a particular

category of residential accommodation but consequent upon linkage of
entitlements with revised pay become entitled to lower type of quarter, the
employee concern shall continue to be entitled to the same type of
accommodation as he was entitled to before the revision.

2. In case 'A' type quarters are not constructed in new projects, 'B' type quarters may
be allotted to Workmen entitled for 'A' type.

3. The status of employees in the seniority list for quarter allotment drawn up under
the pre-revised structure shall be maintained and shall not be disturbed merely
because of linkage of entitlements with grades.

5.2 Entitlement level in respect of multi-storey modular township:

Type Entitlement
B-1 Workmen
B-2 Supervisor
B-3 E2-E4
C E5-E6
D E7 & above

6.0 Reservation
6.1 Ten (10) per cent of the total number of quarters in each type available for
allotment will constitute Head of the concerned RLDC/NLDC quota, who will
have the discretion to allot the same on out-of-turn basis. Whenever the number of
quarters under the CGM’s quota works out to be less than one, he will have at`
least one quarter in each type for allotment, provided that CGM’s quota will be
adjusted at the end of each calendar year, on the basis of total number of
allotments made.

Provided that during the initial period of the projects especially in the matter of
allotment of quarters in temporary township, reservation of quarters in CGM’s
quota in C and D types may be exceeded beyond ten per cent up to fifty per cent
where the Head of the concerned RLDC/ NLDC is satisfied that such a relaxation

ALLOTMENT OF RESIDENTIAL ACCOMMODATION

Page 823
 is essential keeping in view the manpower position vis-a-vis availability of
quarters at the appropriate time.

6.2 Reservation in the accommodation for the Scheduled Caste and Scheduled Tribe
employees will be made as per the directives of the Government applicable from
time to time

As per Government directives the percentage reservation for SC/ST employees

are 10% for types A and B and 5% for type C and D quarters , and the allocation
of these percentages to SC vis-a-vis ST employees is to be in the proportion of
SC : ST : : 2 : 1.

7.0 Procedure
7.1 The Administration/Estate Department will maintain lists of eligible employees as
per the pay slabs mentioned Rule 5.0 above, in order of seniority. The seniority of
an employee for allotment of accommodation will count from the date of his entry
into the respective pay slabs. In case of transfers from other RLDC/ NLDC /
Corporate Centre, the seniority will count from the date of his entry into the pay
slabs in the Company. When the date of entry into any pay slab is the same, in
case of more than one employee, the employee having longer length of service in
POSOCO. However, if there is still a ‘tie’, the employee older in age will rank
senior in that slab. The seniority lists so prepared will be published in January and
July every year. For allotment of Type C & D quarters, the seniority of an
Executive as on allotment shall be considered instead of seniority list published in
month of January/ July every year.

7.2 Subject to provisions of Rules 6.1 and 6.2, the accommodation of the entitled type
as per the pay slab will be allotted to employees in order of seniority.

7.3 If an employee crosses over to the next higher pay slab without any allotment
being made to him, he will also be considered for allotment of accommodation of
lower type on the basis of his seniority in the lower pay slab.

7.4 Eligible employees may signify their preferences for floors, blocks, location etc.
and subject to availability of accommodation of the preferred kind, the allotment
will be made on the basis of principle of seniority-cum-choice.

7.5 Bachelors will be given shared accommodation. However, if the Head of the
RLDC/ NLDC is satisfied that the employee needs to be allotted full
accommodation on merits, the same can be allowed.

7.6 The Head of the RLDC/ NLDC will constitute at his discretion a House Allotment
Committee consisting of not more than 5 members in addition to the Estate
Officer who will act as Secretary of the Committee. As and when quarters are
available for allotment the House Allotment Committee will consider the cases of

ALLOTMENT OF RESIDENTIAL ACCOMMODATION

Page 824
 eligible employees and, subject to policies and rules laid down herein, will
recommend allotments for approval of the Head of the concerned RLDC/ NLDC
whose decision thereon will be final. On approval of the Head of the RLDC/
NLDC, the Estate Officer will notify the allotment in the prescribed form as at
Annexure to the individuals. This procedure, however, will not be applicable to
the quarters within the Head of the RLDC/ NLDC quota for which he will order
the allotments directly at his sole discretion.

Union/Association representatives may be allowed to be represented as members

of the House Allotment Committee. The exact modus-operandi of the
representations will be decided locally in consultation with the unions and
association. The number of management nominees should not be less than the
combined number of representatives of Unions and Associations. If needed the
number of members of the Committee may be suitably increased beyond the
prescribed 5 members. This Committee shall make its recommendation in respect
of type A and B quarters only, and the CGM’s quota shall be outside the purview
of this Committee.

8.0 General
8.1 If an employee fails to take possession of the quarters allotted to him within 10
days from the receipt of the letter of allotment, he shall not be eligible for another
allotment for a period of one year from the date of allotment order. Provided that
this will not be applicable to cases of employees covered under rule 3.6.

8.2 If an employee occupying a lower type accommodation is allotted a quarter of the

type for which he is entitled but refuses to take possession of the same within the
stipulated time, the allotment will be cancelled and he may be permitted to
continue in the earlier allotted accommodation subject to the condition that he
shall not be eligible for another allotment for a period of six months from the date
of cancellation of allotment.

8.3 An allotment shall be effective from the date on which it is occupied by the
employee and shall continue until:

a) the expiry of the permissible period under Rule 8.4.

b) it is cancelled by the Management or is deemed to have been cancelled under any
provisions in these Rules;
c) it is surrendered by the employee; and
d) the employee ceases to occupy the quarters.

8.4 An accommodation allotted to an employee may be retained on the happening of

any of the events specified and for the period indicated against each provided that

ALLOTMENT OF RESIDENTIAL ACCOMMODATION

Page 825
 the accommodation is required for bonafide use of the employee or members of
his family:

Events Permissible Period for

Retention of Quarters
1. Resignation, dismissal or 1 Month
termination of service
2. Retirement 4 Months
3. Death of the allottee 6 Months
4. Transfer to a place outside station 2 Months
5. Leave (other than study leave) Full period of leave
6. Study Leave, if any Not exceeding six months
7. Leave on medical grounds Full period of leave
8. Leave on proceeding on training Full period

Provided, however, where an employee is transferred to a place outside station, in

the midst of an academic session, the period of 2 months as mentioned at (4)
above may be extended not beyond the end of academic session by the concerned
Head of the RLDC/NLDC ,in exceptional case, if the shifting of his family is
likely to adversely affect the education of his children Retention beyond the above
permissible period will be taken as unauthorised occupation and the resident may
be charged the penal rent besides other action for eviction.

8.5 Change of residence:

i) Eligible employees who have been in occupation of company quarters may be

permitted, on specific application to this effect, a change of quarters within the
same type subject to the condition that such change shall not be allowed more
than once.

ii) If an employee fails to accept a change of accommodation offered to him within a

week of the receipt of such offer of allotment, he may not be considered again for
a change of allotment of that type for a period of one year.

iii) Employees to whom accommodation of the same category has been allotted under
these rules may apply for permission to mutually exchange their accommodation.

8.6 The occupant shall not allow any person who in the opinion of the Management is
considered objectionable and/or undesirable to stay with the allottee even as
temporary guest in the quarters and failure to comply with this condition will
entail cancellation of allotment and eviction there from besides rendering him
liable to disciplinary action.

ALLOTMENT OF RESIDENTIAL ACCOMMODATION

Page 826
8.7 Any allottee keeping domestic servants on whole-time basis in the quarters shall
send particulars of such servants to the Estate/Administration within 7 (seven)
days of their employment.

8.8 If persons other than the family members have to stay in the quarters for a period
exceeding one month, the employee shall take permission of the Management.

8.9 No foreign national will be allowed to stay in the quarters with the allottee
without prior permission from the Management to be obtained within 24 hours of
the arrival of such foreign national.

8.10 No employee who has been allotted a residential accommodation shall in any
circumstances sublet the allotted quarters or any portion thereof or any of the
attached outhouse or garages to any employee or any outsider whatsoever.

8.11 Normally married employees will be given full accommodation according to their
entitlement as may be in force, except in case of shortage of accommodation
when the married employees may also be given single sharing accommodation.

8.12 The accommodation allotted under these rules are for residential purposes of the
allottee and members of their families as defined above. The accommodation
premises or part thereof shall not be used for any purpose other than residence.

8.13 No allottee of a quarter shall be allowed to keep any cow, buffalo, goat or any
other cattle in the premises of the quarters allotted to him. Any employee desiring
to keep a pet animal will be required to take permission of the
Estate/Administration Department.

8.14 The allottee shall not effect any addition or alteration to the quarters allotted to
him or put up any temporary or permanent structure of any kind within the
premises of the allotted quarters without prior permission of the Management.

8.15 The allottee shall conduct himself in a manner which is not prejudicial to the
maintenance of harmonious relations with his neighbours.

8.16 No loud-speakers should be installed inside or outside the quarters without the
specific permission of the Management.

8.17 In case of an allottee’s/his family’s failure to vacate the accommodation before

the expiry of permissible period of retention of such accommodation on the
happening of any of the events as specified in Rule 8.4, the Management will be
entitled to take possession of the accommodation as per the provisions of the
Public Premises (Eviction of unauthorised Occupants) Act, 1971.

ALLOTMENT OF RESIDENTIAL ACCOMMODATION

Page 827
8.18 An allottee under these Rules shall only be an occupant of the quarters allotted to
him and will not acquire any right of a tenant under any circumstances. The
allotment ceases automatically on the severance of employer-employee
relationship or cancellation of the allotment of quarters.

8.19 In case of any infection or any contagious disease such a small-pox etc. which is
likely to spread into an epidemic to any inhabitants in the allotted quarters, the
employee would immediately report to the Company’s Medical Officer and have
the patient segregated by removing him to the hospital.

9.0 Rent
9.1 Except as otherwise provided, house rent to be realised from the employees for
residential accommodation allotted to them will be as declared from time to time.
In case the standard rent is lower than the usual rent or vice-versa, the lower
amount will be charged. In case of sharing accommodation, the rent charged will
be half of the chargeable rent. In case sharing is between more than two
employee, the rent will be charged on pro-rata basis.

Recovery of flat rate of licence fee applicable as on date is enclosed as Annexure-

I.

9.2 All employees to whom quarters have been allotted shall be personally liable for
payment of rent and other allied charges thereof which will be deducted from
their monthly salary bill/dues payable to them and also for any damage beyond
normal wear and tear caused thereto or to the furniture, fixtures, fittings of
services provided therein by the Company during the period for which the
quarters remain allotted to them or where the allotment has been cancelled under
any of the provisions in these Rules until, the quarters along with the out-houses
appurtenant thereto, if any, have been vacated and full vacant possession thereof
has been restored to the Estate/Administration Department.

9.3 The assessment of damage or loss caused to the quarters except the normal wear
and tear shall be made by the Estate/Administration Department or such other
department as the Management may decide whose decision in this regard shall be
final and the Company will have the right to realise the amount involved by way
of deduction from the salary/dues payable to the persons concerned, provided that
cost of the loss or damage caused to the quarters or to the fittings may not be
realised from the allottee if there are good and sufficient reasons to establish that
the same has occurred due to circumstances beyond the control of the allottee.

9.4 Charges for water, electricity and special amenities such as for electrical
appliances, furniture and conservancy etc., if any, shall be recovered in addition to
house rent at such rates as may be prescribed by the Management in this regard
from time to time.

ALLOTMENT OF RESIDENTIAL ACCOMMODATION

Page 828
10.0 Surrender and Cancellation
10.1 Where two employees in occupation of separate accommodation allotted under
these Rules marry each other, they shall, within one month of their marriage,
surrender one of the accommodations.

10.2 Violation of any of the allotment rules shall entail cancellation of the allotment
order from the date of detection of the violation and the allottee concerned shall
be bound to hand over the vacant possession of the quarters to the
Estate/Administration Department within a period of one month from the date of
receipt of the cancellation and shall, in addition, be liable to payment of penal rent
for the period of his continued occupation of the accommodation till the date on
which he hands over vacant possession.

10.3 The Head of the concerned RLDC/ NLDC will have the right to cancel any
allotment made in favour of any employee whenever a particular accommodation
is required for any kind of use by the Project.

10.4 Subject to provision of rule 8.4, if an employee who has been allotted an
accommodation becomes ineligible for allotment of accommodation under these
Rules, he will surrender the quarters within a month.

10A. Guidelines relating to fixation of Rent to be recovered from Contractors at

Projects sites for Residential use in Terms of FR45-B.
1.0 i) The capital cost of the residential building may be arrived at by taking into
account the average capital expenditure incurred for each type of quarters as on
1.1.1987. The average capital cost so arrived at may be reviewed every 3 years
based on the revised cost.

ii) Standard licence fee, to be recovered from the contractors at project sites for
residential use shall be calculated in terms of FR-45-A-III and will be at the rate
of 6% per annum of the capital cost of the building.

2.0 The standard licence fee shall be expressed as standard for a calendar month and
shall be equal to 1/12th of the annual licence fee, as calculated above.

ALLOTMENT OF RESIDENTIAL ACCOMMODATION

Page 829
10B. Recovery of Electricity Charges
1.0
a) Type of Quarter Monthly flat rates

D Rs.31/-

C Rs.23/-

B Rs.12/-

A Rs.6/-

b) Employees using air-conditioners will be charged an additional amount of

Rs. 85/- per month during the period 15th March to 15th July.

c) Employees using geysers will be charged an additional amount of Rs. 10/- per
month during the period of 15th November to 15th February.

d) The above flat rates will be subject to review.

2.0 Those employees who fix air conditioners and/or geysers in there quarters will
make a declaration to this effect and failure to so declare will constitute a
misconduct.

11.0 Interpretation
In case of any doubt or dispute regarding the interpretation of these Rules, the
decision of the Management will be final. An appeal may, however, be made to
the Head of the concerned RLDC/ NLDC.

12.0 Amendment of Rules

The Management reserves the right to amend, add, alter, vary, delete or modify all
or any provisions of these Rules at any time without giving any notice or
assigning any reason thereof.

ALLOTMENT OF RESIDENTIAL ACCOMMODATION

Page 830
 ANNEXURE
POWER SYSTEM OPERATION CORPORATION LTD
CC/NLDC/RLDC………………………….

To

Shri _____________________________
Designation _______________________
Department _______________________
Employee No. _____________________

Subject : Allotment of Residential Accommodation

Dear Sir,

You are hereby allotted Quarters No. .............. in .................................... colony. It is requested
that you may take possession of the quarters within 10 days of the receipt of this letter failing
which the allotment will stand cancelled.

The allotment is subject to the Company’s Allotment of Residential Accommodation Rules, a

copy of which is enclosed herewith. At the time of taking possession of the quarters, you are
advised to fill up the proforma as supplied by ......................... of the Estate/Administration
Department.

Yours faithfully

( )

ALLOTMENT OF RESIDENTIAL ACCOMMODATION

Page 831
 ANNEXURE-I
RECOVERY OF FLAT RATE OF LICENCE FEES/ HOUSE RENT RECOVERY
(HRR)

The House Rent Recovery (HRR) shall be 7.5% of Basic Pay (for X-class
cities)/5% of Basic Pay (for Y-class cities)/ 2.5% of Basic Pay (for Z-class cities)
or Standard Rent fixed by POSOCO, whichever is lower w.e.f. 10.05.2018.
However, pending revision of Standard Rent the existing Standard Rent will
continue.

(Corporate HR Circular no. 14/2018 dated 11.06.2018, Corporate HR

Circular no. 09/2019 &10/2019 dated 29.03.2019)

ALLOTMENT OF RESIDENTIAL ACCOMMODATION

Page 832
RULES FOR COMPANY
LEASED RESIDENTIAL
ACCOMMODATION
FOR
EXECUTIVES

Page 833
 RULES FOR COMPANY LEASED RESIDENTIAL ACCOMMODATION FOR
EXECUTIVES

1.0 Objective
To provide subsidised residential accommodation to employees in executive
category in cities where the company does not have its own residential township.

2.0 Scope
The scheme covers executives including executives on deputation in POSOCO
taken against posts in executive grades. The scheme will also cover such other
employees in whose cases the terms of appointment stipulated provisions of
company leased accommodation but shall exclude trainees/apprentices.

3.0 Rental Limits

3.1 Subject to the provision in Rule 3.3, the monthly rental ceiling for residential
accommodation to be taken on lease by the Company in different classes of cities
shall be as Annexure-A

3.1.1 The above monthly rental ceiling for residential accommodation to be taken on
lease by the Company is different classes of cities is subject to revision for which
separate instruction will be issued from time to time by the Management.

3.1.2 If both husband and wife are employees of the Company and are posted at the
same station, company leased accommodation will be admissible to only one of
them.

3.2 The employee has to bear House Rent Recovery (HRR) per month as per the rates
mentioned below:

CLASSIFICATION OF CITIES RATE OF HRR

X-Class (Population of 50 Lakh and above) 7.5 % of Basic Pay
Y-Class (Population of 5 Lakh to 50 Lakh) 5% of Basic Pay
Z-Class (Population below 5 Lakh ) 2.5% of Basic Pay

3.3 If an executive is staying in his / her own house and if the said house is taken as
lease accommodation for self-occupation purpose, the lease rental ceiling (after
adjusting the HRR amount) should not exceed the net applicable HRA amount
w.e.f. 11.06.2018.

RULES FOR COMPANY LEASED ACCOMMODATION

Page 834
3.4 Residential accommodation with monthly rental beyond the rental ceiling as
provided in Rule 3.0 can, as per the option of the concerned employee, be
arranged at the sole discretion of the Management subject to a maximum of 150%
of the entitlement provided the employee himself has to bear the amount in excess
of the ceiling, over and above the HRR as mentioned in 3.2, which has to be
borne by him.

4.0 Other Financial Assistance

4.1 If accommodation is arranged through a broker, the Company will reimburse
brokerage charges directly to the broker equal to an amount not exceeding 50% of
the rental ceiling as provided in Rule 3.1 or 50% of the actual rent, whichever is
lower. However, in cities where the normal practice of payment of brokerage
charges (payable by the lessee i.e. the Company) is higher than the above rate, the
Corporate HR Department will issue, in consultation with Corporate Finance
Department, guidelines for reimbursement of such higher amount as deemed
necessary from time to time. Normally the brokerage charges will be reimbursed
by the company only once at the same place of posting. However, if the employee
has to vacate the house on expiry of the lease period or extended lease period or
within two months before such expiry and another residential accommodation has
to be taken on lease for him by the Company the foregoing condition will not
apply. In other cases calling for relaxation of this condition, approval of the
Competent Authority will be necessary.

5.0 General Conditions

5.1 The lease deed will be in the format as enclosed at Annexure-B. Conditions
incorporated in the said format deed which will be deemed to form a part of these
rules, may be relaxed in exceptional cases by the competent authority wherever it
is felt that strict compliance may create hardship to the concerned employee.

5.1.1 During the currency of a lease deed, no revision of rent would be permitted except
where the order provides some additional facilities or accommodation.

5.2 The Company leased accommodation is basically intended for the use of the
employee, his/her spouse and dependent children. In addition to these, dependent
parents and dependent brothers/sisters could also be accommodated in the
company leased accommodation. Accordingly, the employee shall furnish to the
concerned Administration Department details of the family members who will be
using the accommodation at the time of the commencement of the lease or at any
subsequent time when there is a significant change in the composition of the
family members using the accommodation.

5.3 The Management would have the right to inspect the premises to ensure the
appropriate use of such accommodations and may terminate the lease without any
notice to the concerned employee if it is satisfied that the accommodation in

RULES FOR COMPANY LEASED ACCOMMODATION

Page 835
 question has been put to unauthorised or inappropriate use, apart from the
employee himself being liable for disciplinary action.

5.4 The leased accommodation allotted to an employee may be allowed to be retained

by him subsequent to the happening of any of the events specified below for the
period mentioned against each on payment of License fee/ HRR provided that the
accommodation is required for bonafide use of the employee or members of his
family:

Events Permissible period for retention of

accommodation
1) Retirement 4 months
2) Death 4 months
3) Transfer to a place outside 2 months
Headquarters
4) On being deputed by the Full period of Training
Company for training
5) Any kind of leave which Full period of leave
qualifies for payment of
House Rent Allowance
in full
6) Study leave, if any, 6 months, inclusive of various kinds of
(including EOL leave which may be due to the employee
at the time of proceeding
on study leave.
7) Leave on medical grounds 6 months, inclusive of various kinds of
(including EOL) leave which may be due to the employee
at the time of proceeding on medical
leave

8) Reversion of a i) Two months (if served POSOCO for a

deputationist to his parent minimum period of one year)
department
ii) One month (if served POSOCO for a
period of less than one year)

Provided, however, where an employee is transferred to a place outside station in

the midst of an academic session, the period of two months as mentioned at (3)
above may be extended not beyond the end of academic session by Head of
RLDC/NLDC in case of RLDC/NLDC, ED-HR in case of Corporate Centre, in
exceptional cases if the shifting of his family is likely to adversely affect the
education of his children. Any extension beyond the end of academic session

RULES FOR COMPANY LEASED ACCOMMODATION

Page 836
 covering a total period of upto one year can be granted by Director (HR). Under
special circumstances, extension for a total period of upto two years can be
granted with specific approval of CMD.

5.5 In case there is over-payment of rent to the landlord for reasons directly
attributable to an employee, he will be liable to make good the loss to the
company for such overpayment.

6.0 Special Conditions

The accommodation owned by an employee or his/her near relation(s) may also
be taken on lease by the Company for the residential use of the employee subject
to the following special conditions :

6.1 For the purpose of this rule, the near relations of an employee will mean his/her
spouse, children, step children, legally adopted children, parents, brothers, sisters
and parents of his/her spouse.

6.2 If the house belongs to a near relation, normally House Rent Allowance will be
payable to the employee as admissible under the Rules. Such a house or a portion
thereof may, however, be taken on lease by the Company for the residential use of
the employee provided the management is fully satisfied before execution of the
lease deed that the total accommodation to be leased is a distinctly demarcated
dwelling Unit not amenable to unauthorised or mixed use by reason of the
remaining house being in occupation of near relations and to this end the
Management may call for all such information, as is considered necessary, from
the employee concerned.

6.3 In case of a house owned by an employee or his near relations, the assessment of
rental value of the house or a portion of the house which is intended to be leased
will be carried out by a Committee consisting of representatives of
Administration, Finance and Civil Construction as may be constituted from time
to time for this purpose by the Competent Authority. The committee will keep in
view all the relevant aspects including the type of accommodation, plinth area,
other facilities, the locality in which the accommodation is situated and prevailing
rent of similar houses in the area, etc. The Committee shall include all such data
in its report, while making its recommendation as regards the fair market rent of
the house or portion of the house in question. The recommendation will be put up
for approval of the Competent Authority. Where the assessment of the rental
value of a house or any portion thereof belonging to one of the members of the
Committee or his near relations, has to be carried out, another member will be
temporarily nominated by the Competent Authority for this purpose in his place.

6.4 In such cases of lease, no brokerage charge would be admissible.

RULES FOR COMPANY LEASED ACCOMMODATION

Page 837
7.0 Competent Authority

For the purpose of these rules, the Competent Authority would be as follows:

a) For employees posted at, Corporate Centre including those borne on its rolls, ED
(HR) shall be the Competent Authority.

b) For employees posted at RLDC/NLDC including those borne on their respective

rolls, Concerned Head of RLDC/NLDC shall be the competent Authority.

8.0 General
8.1 Relaxation of any other kind not provided hereinbefore may be permitted only by
the Chairman and Managing Director.

8.2 In case of any doubt or dispute regarding the interpretation/implementation of the

above rules and also in respect of cases/matters not covered herein, the same
should be referred to Corporate HR Department for decision/clarification.

8.3 The Management reserves the right to modify, Cancel, add or amend any of the
above rules at any time without giving any notice or assigning any reason
therefore.

***********

Reference:

(1) Corporate HR Circular No.: 14/2018 dated 11.06.2018 (Pay Revision of Board Level
Executives and Below Board Level Executives w.e.f. 01.01.2017)
(2) Corporate HR Circular No. 29/2018 dated 08.10.2018 (Revision in Monthly rental
ceilings for Company Leased Residential Accommodation in respect of Below Board
level executives)

RULES FOR COMPANY LEASED ACCOMMODATION

Page 838
 Annexure-A

LEASE ENTITLEMENT

Grade X Class* Cities Y Class* Cities Z Class* Cities

(Amount in INR) (Amount in INR) (Amount in INR)
E2 33080 22050 11030
E3 37800 25200 12600
E4 42530 28350 14180
E5 47250 31500 15750
E6 51980 34650 17330
E7 56700 37800 18900
E8 63000 42000 21000
E9 70880 47250 23630
*As per MoF Dept. of Expenditure O.M. NO.2 (5)/2017- E.II (B) dated 07th
July,2017

RULES FOR COMPANY LEASED ACCOMMODATION

Page 839
 ANNEXURE-B

LEASE DEED

THIS DEED OF LEASE made on this ........................ day of .................... two thousand
......................... between Shri/Smt ................. residing at .............................. and owner of the
premises at ....................... (hereinafter called “the Lessor” with respect to the latter premises
which expression shall wherever the context permits, be deemed to include his/her heirs,
successors, legal representatives and assigns) of the one part and M/s Power System Operation
Corporation Ltd. (a Government of India Enterprise), a Company incorporated under the
Companies Act, 1956 having its registered office at 1st Floor, B-9, Qutab Institutional Area,
Katwaria Sarai, New Delhi-110016, through its ................... (hereinafter called “the Lessee”
which expression shall wherever the context permits be deemed to include their successors and
assigns) of the other part, witnesses as follows :

In consideration of the rent hereinafter reserved and all the covenants and conditions hereinafter
contained to be observed and performed on the part of the Lessee, the Lessor does hereby grant
transfer, demise by way of lease the premises consisting of .......................... situated at
............................. of which the Lessor is entitled in Law to execute this Deed, together with the
appurtenant land/space, the rights to make use of entrances, passage, stair cases, landings and
other easements belonging and pertaining to the said premises unto and to the use of the Lessee
for a period of ................................ @ ......................... commencing from ............................. by
paying unto the Lessor during the said period a rent of Rs ................................ (Rupees
................................................) per month, inclusive of hire charges of the fittings, equipments
and fixtures in the premises* (as per Schedule attached to this Deed)* and subject to the
following conditions:

* Delete wherever the schedule is not attached.

@ The period shall not be less than two/three years.

I. The Lessee hereby covenants with the Lessor as follows :

i) That the Lessee shall pay to the Lessor the said monthly rent by cheque/direct
credit to the bank account of the lessor on or before the 15th day of each English
calendar month.
ii) That the Lessee shall use the demised premises for the residential use of any of its
officers who shall pay the charges for consumption of electricity and water direct
to the lessor or the concerned authorities, as per bills received by him.

iii) That the Lessee shall permit the Lessor his/her authorised representatives to enter
upon the demised premises at all reasonable times for the purpose either for
inspection or repair of the demised premises, as and when necessary.

RULES FOR COMPANY LEASED ACCOMMODATION

Page 840
 iv) That subject to the Lessor’s covenants, the Lessee shall keep the interior of the
demised premises in good order and condition (reasonable wear and tear and
damages by the fire, earthquake, flood, tempest, lightening, violence of any army
or of a mob or other irresistible or inevitable force or accident excepted) and
attend to minor repairs such as fuses, leakages of water taps etc.

v) That the Lessee shall not erect on the demised premises any permanent structure
without the written consent of the Lessor, provided that the Lessee may without
the Lessor’s consent erect temporary partitions at its own cost.

vi) That the Lessee shall not sublet, assign or otherwise part with possession of the
demised premises without the consent of the Lessor.

vii) That the Lessee shall be entitled to terminate the lease at any time during the
initial or renewed term of the lease upon serving one month’s previous notice in
writing of its intention to do so.

viii) That the Lessee shall deliver the demised premises to the Lessor on the expiration
or earlier termination of the lease together with the Lessor’s fittings and fixtures,
if in such condition as is consistent with the covenants and conditions herein
contained.

II. The Lessor hereby covenants with the Lessee as follows:

i) That the Lessor shall pay all taxes, rates, licence fees, ground rent and charges of
whatever character assessed, levied, charged and imposed by or payable to any
lawful authority in respect of the demised premises and if the Lessor fails or
neglects to pay the same the Lessee may make such payment and deduct the same
with interest at the rate of 12% per annum from the rent or otherwise recover it
from the Lessor.

ii) That the Lessor shall effect all major repairs such as leakages in electricity,
sanitary fittings, water pipes or cracks etc. at his/her own cost immediately upon
such defects are notified to him/her by the Lessee and if the Lessor fails or
neglects to make such repairs the Lessee may cause the same done and deduct the
expenses of such repairs with interest at the rate of 12% per annum from the rent
or otherwise recover it from the Lessor.

iii) That the lessor shall arrange the distemper, paint, polish the demised premises
before occupation by the Lessee

iv) That the Lessee shall peacefully and quietly hold and enjoy the demised premises
during the lease period(s) without any interruption or disturbance by the Lessor or
any person rightfully claiming under or in trust for him/her.

RULES FOR COMPANY LEASED ACCOMMODATION

Page 841
 v) That the Lessor represents and warrants that he/she is fully entitled to execute this
lease deed and that he/she will hold the Lessee free and harmless of any demand
claims, actions or proceedings by others in respect of quiet possession of the
demised premises.

III. It is hereby mutually agreed as follows :

i) That the Lessee shall be entitled to renew the lease for a further period of
...................... Years/..................... Months on the same/mutually agreed terms and
conditions for which the Lessee shall give to the Lessor a notice in writing not
less than one month before the expiration of the term hereby granted and the
Lessor shall grant fresh lease for a further period of ................................
years/................ Months from the date of expiration of the term hereby granted.

ii) The Lessor, his/her authorised agents shall acknowledge and give valid and duly
stamped receipt for each and every payments made by the Lessee, and such
receipt shall be conclusive proof of such payment.

IN WITNESS WHEREOF the parties hereto have executed these presents at

........................................... on the day, month and year first above written in the presence
of :

(Lessor) (Lessee)
Signature of Lessor Signature of Lessee

Full Name: Full Name :

(For & on Behalf of POSOCO)

Witnesses Witnesses

1. 1.

2. 2.

RULES FOR COMPANY LEASED ACCOMMODATION

Page 842
 GUIDELINES FOR
PROVIDING GUEST
HOUSE/TRANSIT CAMP
ACCOMMODATION

Page 843
GUIDELINES FOR PROVIDING GUEST HOUSE/TRANSIT CAMP ACCOMMODATION

The following guidelines are to be followed for providing accommodation in the

Guest House/ Transit Camps of the corporation:

1.0 The Guest House/Transit Camp accommodation will be allotted on prior

intimation, subject to availability of accommodation.

2.0 The allotment of accommodation will be made on ‘First Come First Served’ basis.

3.0 Normally accommodation will be allotted to employees on official tour. In

exceptional cases, however, subject to availability of accommodation, the
employees may be allowed to stay in the Guest House/Transit Camp while on
private work, with the prior approval of the Head of the HR Department.

4.0 Employees who come to join organization on their first appointment or on

transfer from one RLDC/NLDC/CC, to another will be allowed Guest
House/Transit camp accommodation. As soon as the alternate accommodation
is allotted to the employees in the township or company leased accommodation
is provided, he will have to vacate the Guest House/Transit Camp.

4.1 Normally the period of stay in the Guest House/Transit Camp in such cases
should not exceed 15 (fifteen) days.

However, due to genuine reasons, if an employee requests to stay beyond (15)

fifteen days he may be allowed to stay for a further period of 45 (forty five) days
with the specific approval ED (HR) in case of CC/ Director (System Operation) in
case of NLDC/RLDCs. Under special circumstances, stay of the employee may be
permitted upto a total of one year with the approval of Director (HR) and upto a
total of two years with the approval of CMD.

4.2 In case of transfer of employee, the period of stay will be regulated as under :

i) In normal cases - 15 days.

ii) Upto one month with the approval of ED (HR) at CC or Head of NLDC/RLDC at
NLDC/RLDC.
iii) Upto 3 months with the approval of CMD.

4.3 Employee who request for guest house transit camp accommodation for
personal use or medical treatment may be provided accommodation for a period

GUIDELINES FOR PROVIDING GUEST HOUSE/ TRANSIT CAMP ACCOMMODATION

Page 844
 not exceeding 15 (fifteen) days. However, due to genuine reason, if an employee
request to stay beyond 15 days, he may be allowed to stay for a further period of
one month with the specific approval of Head of NLDC/RLDC in case of
NLDC/RLDCs, ED (HR) in case of CC.

4.4 In case the employees are allowed Leased accommodation/HRA at previous

place of posting due to transfer being in the mid-session, transit camp
accommodation may be allowed till the end of academic session, subject to
availability with the approval of CMD.

5.0 The Guest House/Transit Camp accommodation may be allotted to the

employees of Central Govt./State Govt./Public Sector Undertakings also.

6.0 The Guest House/Transit Camp accommodation is primarily meant for

employees of POSOCO and those employees of Central Government/State
Government/Public Sector Undertakings, who visit the place in connection with
POSOCO work. Subject to availability, however, it can be allotted to the
employees of Central Govt./ State Govt./Public Sector Undertakings and outside
agencies, even if they visit the place in connection with their own work.

7.0 The entitlements and charges for different types of accommodation shall be as
notified by the Management from time to time.

8.0 In case of employees of such Public Sector Undertakings which do not allow our
employees the facilities of Guest House accommodation at the same rate at
which they allow for their own employees, the charge of accommodation will be
at the rate prescribed for Public Sector Undertakings on non-official duties.

9.0 Family members accompanying the employees on tour will be charged at the
rates prescribed for POSOCO employees on un-official visits.

10.0 The following will be the rates for fractional halts:

a) For halt less than twelve Half of the prescribed
hours(Excluding night halt) rate

b) For halt more than twelve Full rate

hours
c) For halt during night Full rate

11.0 The charges for meals, breakfast, tea, etc. will be calculated on the basis of ‘No
Profit-No Loss’ principle and each NLDC/RLDC/CC will calculate the charges

GUIDELINES FOR PROVIDING GUEST HOUSE/ TRANSIT CAMP ACCOMMODATION

Page 845
 taking into account the cost of raw-materials. These rates will be notified from
time to time.

12.0 At the time of checking out from the Guest House/Transit Camp, the visitors
shall make payment to the Supervisor on account of accommodation charges
and charges for meals, snacks etc. in cash. The Guest House Supervisor will issue
a receipt, the duplicate copy of which will be prepared for boarding and lodging.
The receipts on account of lodging will be deposited with the Accounts
Department once in a week and the amounts received in this account will not be
spent for any other purpose.

13.0 No charges in respect of boarding and/or lodging will be levied from Company’s
Guests. The accommodation provided to them will be free of charge and the
expenses on account of breakfast, tea, meals etc., will be borne by the Company.

14.0 The new recruits who have been provided accommodation at Field
Hostel/Transit Camp/Guest House, on their initial appointment, shall be
reimbursed expenditure incurred by them towards such accommodation upto a
maximum stay of one month, limited to their HRA entitlement for that period.

14.1 Such reimbursement shall be claimed in Contingent Form enclosing therewith

the bills in original and duly countersigned by the Controlling Officer not below
the rank of Chief Manager.

14.2 The above provision shall also be applicable to employees transferred to

Corporate Centre subject to availability of accommodation.

GUIDELINES FOR PROVIDING GUEST HOUSE/ TRANSIT CAMP ACCOMMODATION

Page 846
GUIDELINES ON
WELFARE
FACILITIES

Page 847
 GUIDELINES ON WELFARE FACILITIES IN POSOCO

1.0 Title
These guidelines will be called as “Guidelines on Welfare Facilities for POSOCO
Employees”.

2.0 Objectives
Provide welfare measures and to develop recreational facilities to enrich social
life of employees and their families, also to encourage them to act as agents for
Community development and maintain uniformity in implementation of welfare
facilities, etc.

3.0 Coverage
The guidelines will be applicable to all employees borne on the regular & work
charged establishment of the Company, but will exclude the following
(i) Casual, daily rated, temporary or muster roll employees and
(ii) Persons in employment of the company on contract basis.

4.0 Eligibility
An employee and his/her family members will be eligible to avail facilities and
benefits as per provisions of the guidelines.

5.0 Welfare Measures

5.1 Medical
5.1.1 Visiting Medical Consultant

Visiting of Medical Consultant/General Physician on part-time/visit basis will be

arranged at RLDC/NLDC/CC.

5.1.2 Empanelment of Hospitals

a) Head of the RLDC/NLDC will identify reputed Govt. Hospitals/private nursing

homes for empanelment at different stations for treatment of employees and their
dependents in consultation with local eminent Physicians, Surgeons and Local
Medical Authority. Hospitals/nursing homes, which are registered with concerned
Health Department of the District, will only be considered for empanelment.
Preference for empanelment will be given to those hospitals/nursing homes which
have been approved, for exemption of medical benefits from perquisite value in
respect of medical treatment of prescribed diseases or ailments, by the competent
income tax authority under section 17 (2) (ii) (b) of the Income Tax Act, 1961.

GUIDELINES ON WELFARE FACILITIES

Page 848
 b) Number of empanelled hospitals for RLDC/ NLDC/ CC will depend on posted
strength of employees in that particular Office.

c) Arrangement will be made with the empanelled hospital/nursing home for

admission of the employee and his/her eligible dependents on production of
authorization letter, and in the event of emergency or holidays etc. on production
of identity card subject to submission of authorisation letter before discharge or
within 48 hours from admission whichever is earlier. The empanelled
hospital/nursing home will raise indoor treatment bill on the Company and F&A
Deptt. of concerned office will make payment to the hospital directly.

d) Head of the concerned RLDC/NLDC will approve proposal for empanelment.

List of empanelled hospitals/nursing homes will be sent to Corporate Centre for
record.

5.1.3 Provision for First-aid room & First aid box etc.

i) A room at a centrally located place in township will be earmarked as First-Aid

room. Essential furniture’s and equipments will be provided in the said room.
Visiting Physician/Consultant will sit in this room and attend the patients.

ii) As per requirement, few employees will be identified and trained in first-aid work
to man the first-aid rooms.

iii) Inspection office and sub-station control room will be provided with first-aid box.

5.1.4 For Medical emergency and referral cases

Transport facility for attending medical emergency and referral cases will be
provided to employee and his/her family members free of charge.

5.1.5 For Miscellaneous purposes

For Educational trips, picnic and other welfare purposes, which are not
specifically mentioned in these guidelines, transport may be provided as per
norms depending upon availability and subject to the permission of the concerned
Head of RLDC/NLDC or any other Officer who is delegated this power.
Educational trips of school children (once in a year) will be free of charge.
Vehicle for picnic will be provided to employee and their families on realisation
of notified standard running cost for private use of Company’s vehicles.

NOTE : Computation of Standard Running Cost

GUIDELINES ON WELFARE FACILITIES

Page 849
 Standard Running Cost of vehicle shall be computed by taking into a) Fuel Cost,
b) Wages/Salaries of Driver and Attendant/Conductor and c) Capacity Utilisation.
Capacity Utilisation shall be taken as 50% where the utilisation is less than 50%
where the utilisation is less than 50% and actual utilisation where it exceeds 50%.
The standard running cost so fixed shall normally be reviewed, if necessary, by
taking into account the average utilisation in the preceding six (6) months when
the vehicle was in operation.

6.0 National Festivals

6.1.0 National Festivals

6.1.1 HR Department will organise flag hoisting ceremony on the Independence Day &
Republic Day. Suitable functions like sports events for the children & sweets
distribution etc. may be organised. To celebrate national festivals, an office will
be allowed to incur expenditure of Rs. 725/- per employee for each occasion
which will be inclusive of expenditure for arranging public address system,
shamiyanas, stereo system and other such acoustic equipments and tentage etc.
The above amount of Rs. 725/- shall also be admissible for Raising Day and
POSOCO Day Celebration.

7.0 Sports, Games, Recreation & Cultural Activities

7.1.0 POSOCO Sports Promotion Council (PSPC)

PSPC will be constituted and registered in pursuance of emphasis being laid by

the Govt. on the need for taking various measures for building up sports,
infrastructural facilities and development of sports culture within the public sector
organisations. PSPC is primarily an advisory apex body.

7.1.1 Constitution of PSPC

POSOCO Sports Promotion Council will be headed by Director/Executive

Director (HR). The RLDC/NLDC Heads and C.G.M. (HR), Corporate Centre will
be members of the council. Concerned DGM (HR)/Chief Manager (HR) will be
the Member - Secretary.

7.1.2 PSPC Objectives

a) To inculcate sports consciousness and awareness amongst employees/family

members.

b) To suggest necessary sports infrastructural facilities to encourage participation on

a large scale.

GUIDELINES ON WELFARE FACILITIES

Page 850
 c) To identify talented children of POSOCO employees as well as others and to train
and nurture them so as to help realise their full potential.
d) To advise POSOCO on recruitment of Sports Persons of repute and engagement
of coaches to ensure that proper training/coaching is imparted to all.

e) To suggest incentives in terms of leave/financial benefits.

f) To build and develop POSOCO teams for various events and field them in
National/State/Local events.

7.1.3 Role of PSPC in Organising Sports Events

i) To organise Inter-RLDC/NLDC Sports Meet.

ii) To deliberate on the issue of organising sports events and fixing norms for
expenditure/procurement and entitlement of different Sports-kits.

7.2.0 POSOCO Cultural & Social Council (PCSC)

PCSC will be constituted as an apex committee to advise regarding RLDC/NLDC

annual cultural meet.

7.2.1 Constitution of PCSC

The Council will be headed by CGM (HR) and other members will be nominated
by the Corporate Management.

7.2.2 PCSC objectives

i) To advice PEWA for organisation of cultural/social meet.

ii) To organise Inter-RLDC/NLDC Cultural/Social meet, through which employees

and their family members of different RLDC/NLDCs to come closer, familiarise
with one another and strengthen national integration and to develop understanding
of people/culture of distant areas and development of local/folk cultures.

7.3. POSOCO Employees Welfare Association (PEWA)

PEWA will be formed at Corporate Centre and RLDC/NLDC .

GUIDELINES ON WELFARE FACILITIES

Page 851
7.3.1 Constitution of PEWA

Membership of the association will be open to the employees of POSOCO. It will

be managed by an Executive Committee with equal number of representatives
from the employees and the POSOCO Management.

The employees representatives may be elected from amongst its members for the
tenure of 3 (three) years. Management representatives will be nominated by the
Head of the RLDC/NLDC. Management representatives in Corporate Centre
PEWA will be nominated by Head of HR Deptt./C.C.

The head of the RLDC/NLDC and head of the Corporate HR will nominate
President for PEWA at RLDC/NLDC and Corporate Centre level respectively.

7.3.2 PEWA Objectives

i) Endeavor to Unit the members inculcating spirit of friendship and fraternity and
ensure equal status to all its members based on mutual respect and understanding.

ii) Promote and maintain high standards of welfare measures as per welfare policy of
the Company.

iii) Promote and organise sports and games. Execute directions of PSPC.

iv) Promote and organise recreational and cultural activities, educational and creative
activities for children, excursions, etc.

v) Running libraries.

vi) Advise and assist Mahila/ Agrini Samiti in its activities as required.

vii) Management of TV Dish Antennae & Video Show.

7.3.3 Functioning of Mahila/ Agrini Samiti under PEWA

Mahila/ Agrini Samiti will be formed at RLDC/NLDC level and wherever

Company has township to provide forum for interaction for the lady employees
and female members of the families of employees with a view to enriching the
social life.

i) Constitution of Mahila/ Agrini Samiti

Membership of the Club will be open to all the female employees and the female
members of the families of the employees (including female members of family

GUIDELINES ON WELFARE FACILITIES

Page 852
 of employees of other associated undertakings). The Samiti will be run by a duly
constituted body, preferably through election.

Membership of the Club will be open to all the female employees and the female
members of the families of the employees (including female members of family
of employees of other associated undertakings) and retired female employees and
spouse of the retired male employees. The Samiti will be run by a duly constituted
body, preferably through election.

In case of retired female employees and spouse of retired male employees the
subscription for the membership of Mahila/ Agrini Samiti shall be borne by the
concerned individual and the Company shall contribute a matching sum towards
such members.

ii) Objectives of Mahila/ Agrini Samiti

Mahila/ Agrini Samiti will encourage activities like vocational training and
education for ladies and children along with programs and aid to physically
handicapped children of employees and the Community, other Community
Development Programs, and to this end, they may run training centres for
tailoring, embroidery, knitting, cooking, dance, interior decoration, music classes
and other fine arts. They may organise and run nursery schools, wherever possible
and may hold baby shows and fete etc.

7.3.4 Recreational activity organised by PEWA

i) CTV System may be used as means of entertainment in Company Township,

which will be provided by the Company.

ii) For making the system viable each employee desirous of availing this facility will
be required to have membership of PEWA (CTV facility) and its guidelines by
depositing an amount of Rs. 500/-, which will be refundable on leaving/transfer.

7.3.5 Infrastructural facilities to be provided by Company for facilitating activities of

PEWA

i) Suitable accommodation will be arranged by the Company for various activities

of PEWA in existing offices & townships.

ii) LDCs to come in future will take in to consideration requirement of various

provisions for different activities of PEWA, which are as under :-

a) In the initial stage, Community Centre may be constructed with a stage and two
adjoining rooms (greenrooms) only to be covered. Open air seating arrangements
with open space in between sitting gallery and the stage may be planned.

GUIDELINES ON WELFARE FACILITIES

Page 853
 Provision should be kept in design & construction for covering the open space
also in future.

b) Accommodation for First Aid room.

c) Accommodation for Nursery School.

d) Proper playground for outdoor games.

e) Children playground and park.

7.3.6 Financing PEWA for activities

i) The Company will provide grants for incurring capital expenditure up to the limit
of Rs. 1.0 lakh, spread over the initial period of three years, towards the cost of
acquisition of equipment and accessories for out-door sports/games.

a) An employee member of PEWA will pay membership fee of Rs. 100/- per month.

b) The Company will also give annual recurring grant to the PEWA equal to the
amount worked out at the rate of Rs. 100/- per employee member per month (i.e.
matching contribution) to meet the recurring expenditure on out-door games on an
annual basis.-

ii) For indoor games and other activities, the facilities will be provided by the
Company Welfare Association which are as under :-

a) A grant of Rs. 15,000/- for purchasing books for the Library. In order to provide
readers variety of books, after every two years the library books may be
exchanged with books of library of any other township of the RLDC/NLDC. Such
exchange of books can be effected between two RLDC/NLDC when exchange
cycle within RLDC/NLDC is over, or not beneficial to the readers.

b) A grant of Rs. 15,000/- for buying musical instruments etc., for encouraging those
interested in music and dance in each branch.

c) Grants up to the limit of Rs. 3,00,000/- for initial period spread over two years
towards the cost of acquisition of equipments and accessories for indoor games
including gymnastics in each branch.-

d) For picnics and get-together etc., provide to each branch once in a year transport
facility for such occasion for a distance not exceeding 300 kms. to and fro.

GUIDELINES ON WELFARE FACILITIES

Page 854
 iii) The head of the RLDC/NLDC will also be delegated power to sanction for his
RLDC/NLDC expenditure on engaging services of experts/coaches involving
total expenditure not exceeding Rs. 20,000/- per annum.

iv) a) The PCSC will sanction financial assistance to each RLDC/NLDC PEWA amount
not exceeding Rs. 50,000/- per annum for meeting all expenditure for
participation in annual cultural & sports meet. Expenditure for Intra-
RLDC/NLDC Meets is to be met out of the sanctioned amount only.

b) In order to facilitate proper organisation of such annual meets; Company will

provide/arrange hall/auditorium, transportation, hiring of instruments, chairs,
public address system, boarding/lodging facilities for the participants,
souvenirs/shields, preparation of stage etc.

v) An initial grant of Rs. 10,000/- for facilitating the aforesaid activities of each
Mahila/ Agrini Samiti. Besides this, the Company will also grant to the Mahila/
Agrini Samiti, recurring matching grant equal to the amount raised through
subscription of its members on an annual basis.

vi) The Company will provide CTV or Dish Antenna Modular Mixer VCR facility in
each Company Township.

8.0 Community Development Activities

8.1 To meet the Social/Community commitments, each RLDC/NLDC may plan and
formulate programmes such as installation of hand-pump for drinking water,
construction of School, Panchayat & Dispensary Building, Vaccination for
children etc. for development of the surrounding Communities in that area. For
this, each RLDC/NLDC may submit their plan and finance/funds requirements in
their annual budget for necessary approval by Corporate Centre.

9.0 General

9.1 Annual receipts and expenditure account of PEWA, Mahila/ Agrini Samiti will be
audited by POSOCO Finance Department.

9.2 The Chairman and Managing Director of POSOCO will be the final authority to
give clarifications/interpretation to any of the provisions of these guidelines and
he also reserves the right to modify or amend withdraw the guidelines, at any
time, without notice.

Reference:
(1) Corporate HR Circular No. 23/2018 dated 21.09.2018 (Celebration of POSOCO Day)
(2) Corporate HR Circular No. 24/2018 dated 27.09.2018 (Revision of Amount Admissible for
Raising Day, Republic Day and POSOCO Day Celebrations)

GUIDELINES ON WELFARE FACILITIES

Page 855
 (3) Corporate HR Circular No. 03/2020 dated 02.03.2020 (Revision in Contribution towards
Financing of Employee Welfare Association – PEWA and Agrini Samiti Activities)
(4) Corporate HR Circular No. 07/2020 dated 01.06.2020 (Guidelines on Welfare Facilities -
Revision in Grant of Activities related to Indoor Games)

GUIDELINES ON WELFARE FACILITIES

Page 856
GUIDELINES
FOR SPORTS

Page 857
 GUIDELINES FOR SPORTS IN POSOCO

1.0 Objective
With a view to inculcate sports consciousness and awareness amongst employees
and their family members and in pursuance of emphasis laid by the Government
on the need for taking various measures for building up sports & infrastructural
facilities and development of sports culture within public sector organizations,
following sports guidelines have been formulated.

2.0 Holding of Inter-NLDC/RLDC Sport Meet

(i) POSOCO shall conduct Inter-NLDC/RLDC Sports tournaments for its employees
or children of employees for following sports/ games:
Athletics Badminton Carom-Bridge
Chess Cricket Football
Kabaddi Lawn Tennis Table Tennis
Volleyball

(ii) Keeping in view other circumstances, addition/ deletion to above list may be
made.

(iii) To ensure that the sports meet are conducted in organized manner and are spread
over the entire year, Corporate Centre in consultation with NLDC/RLDCs shall
finalise the yearly schedule for different sport meet in the beginning of the year
and circulate the same to all concerned for implementation.

(iv) Each NLDC/RLDC will be assigned one or two sports event for conducting Inter-
NLDC/RLDC Meet by rotation.

(v) POSOCO will provide all sports infrastructural facilities and other assistance like
fields/play ground with relevant equipments for organizing the inter-
NLDC/RLDC sports meet.

2.1 Composition of Team

Composition of teams consisting of the NLDC/RLDCs along with POSOCO will
be as under:
- NLDC - CC
- NRLDC - ERLDC
- WRLDC - SRLDC
- NERLDC

GUIDELINES FOR SPORTS

Page 858
 Within the above composition, the concerned CC/NLDC/RLDCs will coordinate
various activities like selection of team within the NLDC/RLDC for participation
in Intra NLDC/RLDC & Inter NLDC/RLDC Sports Meet procurement of kits and
other necessary arrangements.

3.0 Guidelines for Selection and Conditioning Camp of the team for Inter-
NLDC/RLDC Tournaments
(i) As per the schedule, the concerned NLDC/RLDC shall notify the dates and venue
of Inter-NLDC/RLDC tournament at least 45 days in advance to all
NLDC/RLDCs.

(ii) On receipt of communication, all NLDC/RLDCs shall conduct selection trail to

select the team for participation in Inter-NLDC/RLDC tournaments.

(iii) Selection of the NLDC/RLDC team including reserve shall be done by a

committee consisting of one executive of POSOCO and one reputed coach in the
concerned sports.

(iv) For selection of the team, the selectors shall assess performance of the players
against standard parameter like physical fitness, performance in the game, age,
team spirit etc.

(v) The committee will submit its recommendation to HR department who will notify
the team preferably on the day of selection of next working day.

(vi) Conditioning camp for selected papers including reserves shall be conducted for
which service of coach may be taken.

(vii) Player(s) who will be irregular in participation in conditioning camp will be liable
for disciplinary action including loosing place in the team and will be replaced by
reserve(s). Similarly, Players(s) who is unavailable for tournament for nay reason
shall be replaced by reserve (s).

(viii) On completion of conditioning camp, final list of papers shall be notified by

Corporate HR.

4.0 Entitlement and Other Conditions of Sports Kits

4.1 Individual Players Kit

(i) POSOCO shall provide sports kits to the team members representing the
NLDC/RLDC/CC in each game as per the details given at Annexure –I.

(ii) The kits will be procured with the approval of Head of the NLDC/RLDC,
ED(HR) at CC as per the normal procedure.

GUIDELINES FOR SPORTS

Page 859
 (iii) The kits will be handed over to the Captain of the team, preferably two or three
days prior to departure of the team, who will be responsible for handling over the
kits to the team members. In case of non-participation of a team member in the
tournaments, the kit shall be handed back to HR department by the Captain.

(iv) An employee participating in second tournament in a year shall be entitled to all

kits as admissible to other players except shoes.

4.2 Playing Kits

(i) POSOCO shall provide playing kits to the team representing the NLDC/RLDC/
CC in each game as the details given at Annexure 2.

(ii) The kits will be procured with the approval of Head of the NLDC/RLDC/
Director (HR) at CC as per the normal procedure.

(iii) The kits will be handed over to the Captain of the team before start of
conditioning camp. The captain will be responsible for use and safe custody of the
items and shall return the same after completion of the tournament to HR
Department.

5.0 Cost Sharing

(i) Expenditure related to conduct of inter-NLDC/RLDC tournament including local
transport, printing of brochure and invitation cards, grounds charges, fees of
umpire/ referee etc. and expenditure on playing kits for the tournaments shall be
borne by the host NLDC/RLDC.

(ii) Expenditure on boarding and lodging shall be borne by the host NLDC/RLDC
and will be debited inter-unit to concerned NLDC/RLDC.

(iii) Expenditure on Selection trail, Individual players kits & playing kits as per norms
and to and fro journey of players from place of posting to place of tournament
shall be borne by the respective NLDC/RLDC.

6.0 General Conditions

i) An employee shall not be allowed to participate in more than two sports events in
one year.

ii) All participants shall travel by AC-II tier irrespective of their individual
entitlements while participating in any sports meets.

iii) Boarding & loading of players during conditioning camp and tournaments shall
be limited to entitlement of E2.

GUIDELINES FOR SPORTS

Page 860
7.0 For Inter-CPSU Sports Meet
POSOCO shall participate in the Inter-CPSU sports tournaments conducted by
PSCB or any other body. For such participation, POSOCO team shall be selected
on the basis of inter-NLDC/RLDC tournaments. Guidelines for selection
procedure, conditioning camp, playing kits, players kit, cost sharing on traveling,
boarding & lodging and incentive to winners shall be as under:

7.1 Selection Procedure

(i) To ensure fair selection, the team shall be selected by a committee comprising of:
(a) One expert/ professional from a recognised Sports Federation Association
preferably from the location where the tournament is being held.

(b) Representative from Corporate Centre.

(ii) The committee will submit its recommendations of selected players and reserves
to Corporate Centre. Final list of selected players only will be notified by the
Corporate Centre.

(iii) For selection of the team the selectors shall assess performance of the players
against standard parameter like physical fitness, performance in the game, age,
team spirit etc.

7.2 Conditioning Camp

(i) Conditioning camp for selected players shall be conducted for which service of
coach may be taken. Reserves shall not participate in conditioning camp unless
they are selected as replacements of players who are unavailable for the
conditioning camp/ tournament. Such replacement will be done by Corporate HR.

(ii) The venue of conditioning camp will be decided by corporate centre depending
upon the venue of Inter-CPSU tournaments.

(iii) Player(s) who will be irregular in participating in conditioning camp will be liable
for disciplinary action including loosing place in the team and will be replaced by
reserve(s), which will be notified by Corporate HR based on feedback from
Captain of the team.

7.3 Kits
(i) Entitlement for Players Kits and Playing Kits shall be same as given for Inter-
NLDC/RLDC sports meet expect shoes.

(ii) The kits shall be purchased by NLDC/RLDC hosting conditioning camp.

GUIDELINES FOR SPORTS

Page 861
 (iii) Playing kits shall be handed over before start of conditioning camp and individual
players kits shall be handed over one-two days prior to departure of team.

7.4 Cost Sharing and Other Conditions

(i) All expenditure on conditioning camp such as practice/ coaching, boarding &
loading of players, local transport and individual players kit shall be arranged and
borne by the host NLDC/RLDC and shall be debited to Corporate Centre.

(ii) Players kits shall be arranged by host NLDC/RLDC from their welfare budget and
will be handed over to captain of the team and further shall be taken back by the
host NLDC/RLDC on completion of tournament.

(iii) Expenditure on journey of players from place of posting to place of conditioning

camp and from place of tournaments to place of posting shall be borne by
respective NLDC/RLDCs of the players.

(iv) Expenditure of journey of players from place of conditioning camp to the place of
tournament shall be borne by NLDC/RLDC hosting the conditioning camp of the
players and shall be debited to Corporate Centre

(v) In case arrangement of boarding and lodging is not done by the host organization,
arrangements for boarding & lodging of players and local transport at the place of
tournament shall be borne by the NLDC/RLDC. in whose jurisdiction the venue
of the tournament is located and shall be debited at Corporate Centre.

(vi) Boarding & Lodging of players during conditioning camp and tournament shall
be limited to entitlement of E2.

(vii) All participants shall travel by AC II tier irrespective of their individual

entitlement while participating in any sports meets.

(viii) In case POSOCO is hosting any tournament on behalf of PSCB, all expenditure
on conduct of tournament shall be borne by the host NLDC/RLDC out of their
welfare budget. However, expenditure on boarding and lodging of POSOCO
team and special invitees of POSOCO will be debited inter unit to respective
NLDC/RLDC.

7.5 Special Incentive for winners

(i) Special incentive for winning in Inter-CPSU tournament shall be as under:-

Team Event
1st Position : Rs.2000/- to all members
2nd Position : Rs.1000/- to all members

GUIDELINES FOR SPORTS

Page 862
 Individual/Double Event:
1st Position : Rs. 5000/- (to both players in case of doubles)
nd
2 Position : Rs.3000/- (to both players in case of doubles)

(ii) For granting above incentive, order will be issued by Corporate HR Department.

7.6 The competent authority for clarification/modification/addition or deletion of

above guideline shall be Director (HR).

GUIDELINES FOR SPORTS

Page 863
 Annexure-I
Entitlement of Players Kit
Cricket
S.No. Description Rate (Rs)
1. Cricket Trousers 300
2. Supporters 60
3. Cricket Half Sweaters 175
4. Full Sleeves Shirt 300
5. Track Suit 750
6. Wrist Band 50
7. Caps 45
8. Shoes 1500
9 Socks 125

Table Tennis, Lawn Tennis and Badminton

S.No. Description Rate (Rs)
1. T-Shirt 300
2. Shorts 350
3. Socks 125
4. Shoes 1500
5. Wrist Band 50
6. Track Suit 750
7. Hand Towel 100

Volley Ball
S.No. Description Rate (Rs)
1. T-Shirt 300
2. Shorts 350
3. Socks 125
4. Shoes 1500
5. Wrist Band 50
6. Track Suit 750
7. Knee Cap 150

GUIDELINES FOR SPORTS

Page 864
Football
S.No. Description Rate (Rs)
1. Jersey 300
2. Shorts 350
3. Socks 125
4. Football Boot 1500
5. Anklets 125
6. Track Suits 750
7. Knee Caps 150
8. Goal Keeping Gloves (for Goal keepers only) 300

Athletes and Kabbadi

S.No. Description Rate (Rs)
1. T-Shirt/Vest 300
2. Shorts 350
3. Socks 125
4. Shoes 1500
5. Track Suit 750

Chess, Carrom & Bridge

S.No. Description Rate (Rs)
1. Blazer 2000

GUIDELINES FOR SPORTS

Page 865
 Annexure-II

Entitlement of Playing Kits

Cricket

Items Numbers Rate (Rs per unit)

Bat 4 3000
Ball 6 90
Wicket 2 sets 500
Pad 4 sets 500
Gloves 4 sets 400
Wicket Keepers Gloves 2 sets 500
Abdomen Guard 2 sets 150
Helmet 4 500
Ankle guard 4 sets 250
Chess Guard 4 250
Thigh Guard 4 250

Football

Items Numbers Rate (Rs per unit)

Football 6 500

Badminton

Items Numbers Rate (Rs per unit)

Racquet 4 1500
Shuttle 4 dozen 600 per dozen

Table Tennis

Items Numbers Rate (Rs per unit)

T.T. Bat(Ply+ Rubber) 4 2500
TT Ball 1 dozen 300 per dozen

Lawn tennis

Items Numbers Rate (Rs per unit)

Racquet 4 3000
Ball 1 dozen 1000 per dozen

Guidelines on Welfare Facilities Keeping in view specific requirements, addition/deletion to above

list may be made with the approval of Head of the NLDC/RLDC/ Director(HR) at CC.

GUIDELINES FOR SPORTS

Page 866
ACKNOWLEDGEMENT OF
SERVICE OF RETIRED
EMPLOYEES

Page 867
 ACKNOWLEDGEMENT OF SERVICE OF RETIRED EMPLOYEES

1.0 As a token of acknowledgement of services rendered by the employee in the

Company, a letter of appreciation signed by Chairman & Managing Director shall
be handed over to employees on the day of his/her retirement (normal retirement
on attaining the age of superannuation or early retirement after 55 years of age).
The letter of appreciation shall be as per specified format at Annexure ‘A’ . The
Appreciation Letter will be in a Scroll Form(Annexure-A) for Executives in the
Rank of ED/CGM.

2.0 In addition to the above, a silver plague of 500 grams shall be presented to retiring
employees. The plague will be embossed with Company Logo and a statement
“Thanks for your contribution” in English and “आपके योगदान के िलये ध�वाद” in
Hindi.

2.1 The eligibility criteria for Silver plaque shall be as under :

(i) Applicable to all regular employees of the Company.

(ii) Presented to employees on superannuation.
(iii) Employees must have served the Company for at least 10 years. However this
condition shall not be applicable in case of Directors and Chairman & Managing
Director.

2.2 The employees retiring early after attaining the age of 55 years or who have not
completed 10 years of service in the Company shall be eligible for memento
costing upto Rs.1500/- and not for the Silver Plague.

3.0 The respective CC/NLDC/RLDC shall ensure advance action for obtaining the
letter duly signed by CMD and Silver plague, so as to handover the same to the
retirees on the day of retirement.

ACKNOWLEDGEMENT OF SERVICE OF RETIRED EMPLOYEES

Page 868
 Annexure-A
पावर िस�म ऑपरे शन कॉप�रे शन िलिमटे ड
(भारत सरकार का उ�म)
Power System Operation Corporation Limited
(A Govt. of India Enterprise)

प्रसं सा पत्र
LETTER OF APPRECIATION

श्री/ श्रीमती/ Shri/

Smt…………………………………………………………………………………………………
………
आपके सेवाकाल की सफल समा�� के अवसर पर िनगम से आपके दीघ� कालीन सं बंधों एवं आपके �रा
िकये गए िनपु णतापू ण� काय� के प्रित आभार �� करता �ँ । पोसोको टीम के मह�पू ण� सद� के �प म�
आपके �ारा लगन एवं प�रश्रम से दािय�ों के िनव� हन का भी म� उ�े ख करना चा�ँ गा।

म� कामना करता �ँ िक आपका एवं आपके प�रवार का भिव� सु खमय एवं शां ितमय हो।

On successful completion of your service tenure in the Corporation, I take this opportunity to
acknowledge your long team association and the yeoman services rendered by you. I would also
like to keep on record your sincere and hard work while discharging your responsibilities as an
important member of the POSOCO team.

I wish you and your family members a very happy prosperous and peaceful life in future.

(…………………………….)
अ�� एवं प्रबंध िनदे शक
Chairman and Managing Director
िदनां क /Date:

ACKNOWLEDGEMENT OF SERVICE OF RETIRED EMPLOYEES

Page 869
CSR and Sustainability
Policy of POSOCO

Corporate Centre
New Delhi
(March 2020)

Page 870
 Corporate Social Responsibility (CSR) and Sustainability Policy
1.0 Back Ground

Ministry of Corporate Affairs vide notification dated 27.02.2014 has notified the Provisions
regarding Corporate Social Responsibility (CSR) in the Companies Act, 2013 and the companies
(CSR Policy) Rules, 2014. These provisions and Rules require formulation of a Corporate Social
Responsibility Policy which shall indicate the activities to be taken up by the Company under
CSR. The provisions of the Companies Act, 2013 are effective from 1st April, 2014. In addition
to the CSR Provisions of the Act and the CSR Rules, the Department of Public Enterprises (DPE)
has formulated Guidelines on CSR and Sustainability which are applicable to the Central Public
Sector Enterprises (CPSEs) w.e.f. 1st April 2014. In the DPE Guidelines, the need for taking
sustainability initiatives is emphasized in addition to the requirement of mandatory compliance
with the CSR Rules.

1.1 Vision and Mission of CSR and Sustainability Policy of POSOCO

Vision:

Be a model corporate organization that strives hard towards fulfilling its social responsibility
through initiatives in the education, skill development, health and other areas of national
importance through sustainable development practices.

Mission:

POSOCO commits towards creating a community of responsible and educated citizens who are
environmentally conscious, practice social responsibility in their daily lives and inspire others to
do the same. POSOCO will endeavor for upliftment of the underprivileged and marginalized
sections of the society through promoting preventive health care, education including special
education, employment enhancing vocational skills, promoting gender equality and empowering
women. POSOCO will also promote innovation, research and excellence in the area of power
systems through collaborations with technology incubators located within academic institutions.
2.0 Concept

Corporate Social Responsibility (CSR), in the context of Public Sector Enterprises, is a way of
conducting business, which enables the creation and distribution of wealth for the betterment of
its stakeholders, through the implementation and integration of ethical systems and sustainable
management practices.

CORPORATE SOCIAL RESPONSIBILITY (CSR) AND SUSTAINABILITY POLICY

Page 871
Corporate Social Responsibility is a company’s commitment to its stakeholders to conduct
business in an economically, socially and environmentally sustainable manner that is transparent
and ethical.

Stakeholders of Power System Operation Corporation Limited (POSOCO) include persons/

organizations directly impacted by the activities of POSOCO, employees, investors,
shareholders, civil society groups, Government and non-Government organizations, local
communities and their public representatives and society at large.

3.0 Scope of CSR Program

POSOCO is a knowledge based control centre organization in Power Sector having statutory
responsibilities to operate National Grid with no other business activities that involves pan India
presence. POSOCO operates five Regional Load Despatch Centres (RLDCs) and One National
Load Despatch Centre which are having statutory responsibilities of operating Regional and
National Power System respectively.

The criteria of choosing activities under CSR are mentioned in Schedule VII of the Companies
Act 2013. Based on which, the activities shall be chosen for undertaking CSR activities.

4.1 Approval of CSR budget and formation of Board level and Management Level committee

4.2 CSR Budget

The Companies Act 2013 states that it shall be ensured that the company spends, in every
financial year, at least two percent of the average net profits of the Company made during the
three immediately preceding financial years, in pursuance of its Corporate Social Responsibility
and Sustainability Policy. Average net profit shall be calculated in accordance with the
provisions of section 198 of the Companies Act 2013.

Accordingly, two percent of the average net profits of the Company made during the three
immediately preceding financial years shall be earmarked every financial year for
implementation of CSR activities.

The surplus arising out of the CSR projects or programs or activities shall not form part of the
business profit of a company. The CSR Committee may recommend for approval of the Board
Schemes for utilizing such funds for CSR activities.

All expenditure incurred on the activities involved in the need assessment/ baseline study,
planning, implementation, monitoring and impact assessment of the project will be included in the
CSR expenditure. However, sincere efforts should be made to keep such expenditure at
optimum levels.

CORPORATE SOCIAL RESPONSIBILITY (CSR) AND SUSTAINABILITY POLICY

Page 872
CSR expenditure shall include all expenditure including contribution to corpus for projects or
programs relating to CSR activities approved by the Board on the recommendations of its CSR
Committee, but does not include any expenditure on an item not in conformity or not in line
with activities which fall within the purview of Schedule VII of the Companies Act, 2013.

An annual report on CSR shall form part of the Board’s report of the company. The report shall
be in accordance with the format prescribed under the CSR rules notified under the Companies
Act, 2014. In case the amount allocated towards CSR is not fully spent, the reasons for not
spending the amount shall be given in the Board Report. The unspent CSR amount in a particular
year would not lapse. It would instead be carried forward to the next year for utilization for
the purpose for which it was allocated.

4.3 Administrative Setup Role of the Board of Directors

i) The Board shall constitute a CSR Committee consisting of three or more Directors, out of
which at least one Director shall be an Independent Director.
ii) Approve the CSR and Sustainability Policy for the Corporation.
iii) Disclose the contents of the Corporation CSR and Sustainability Policy in the Report of the
Board of Directors.
iv) Ensure placing of the contents of the Corporation CSR and Sustainability Policy on the
website of the Corporation.
v) Ensure that the CSR and Sustainability Policy is implemented [Reference: Section 135(4
(b))]. For this purpose it may approve the modalities and administrative arrangements
required by the Management within the Corporation.
vi) Approve the methodology proposed by the CSR Committee for transparent monitoring of
the progress of implementation of the CSR activities. The Board will decide the periodicity
of Reporting to it the progress in implementation of the CSR activities.
vii) Ensure that the Corporation spends annually at least two percent of the average net
profit made during the three immediately preceding financial years on CSR and
Sustainability Policy [Reference: Section 135(5)]. [Average Net Profit must be calculated
as provided for in Section 198 of the Act 2013.]
viii) Disclose the composition of the CSR Committee in its Report of the Board of Directors.
ix) Make a mention in detail about the CSR and Sustainability policy and its implementation
during the year in its Report of the Board of Directors.
x) When the Corporation fails to spend the specified amount for CSR activities the Board
must specify the reasons for inability to spend the said sum, in the above mentioned
Report of the Board of Directors.

CORPORATE SOCIAL RESPONSIBILITY (CSR) AND SUSTAINABILITY POLICY

Page 873
xi) The Board may delegate powers for ensuring implementation of the CSR
and Sustainability Policy as it deems necessary.

Role of Board Level CSR Committee

As per the section 135 of the Companies Act, 2013, a CSR Committee shall be constituted
consisting of three or more directors, out of which at least one director shall be an independent
director. Role scope of the CSR Committee shall be as per the provisions of the Companies Act,
2013 read with the Companies (Corporate Social Responsibility Policy) Rules, 2014 and shall
include:

i) Formulate and recommend to the Board, a CSR and Sustainability Policy,

ii) Indicate the activities to be undertaken by the Corporation as specified in Schedule VII of
the Companies Act, 2013.
iii) The CSR Committee may get a need assessment done for CSR project/program/activity
through survey/ study by in-house experts or by external agency. Further, recommendations
of State/district administration / Panchayati Raj Institutions, Ministries of Government of
India and other stakeholders may be considered for undertaking activities/projects under
CSR. On identifying the requirement of the community, a project will be prepared indicating
the need for community development activity, time-frame of implementation, action plan,
budget requirement etc. Long-term projects shall be broken into medium and short-term plans
and annual plans.
iv) Recommend the amount of expenditure to be incurred on the CSR activities as per provisions
of the Act.
v) Approve the projects and programs to be undertaken by the Corporation in pursuance of the
approved CSR and Sustainability Policy.
vi) Institute, with the approval of the Board, a transparent monitoring system for the CSR and
Sustainability Policy.

Management Level Committee

A Management Level Committee responsible for servicing the Board through the CSR
Committee in all matters relating to the CSR Policy of the POSOCO, monitoring and effective
implementation of the CSR activities shall be constituted with the details as below:

i) Head of Corporate Planning Dept. as a Chairperson of the Committee

ii) Head of any one RLDC
iii) Head of HR department of POSOCO Corporate Office
iv) Head of Finance department of POSOCO Corporate Office

CORPORATE SOCIAL RESPONSIBILITY (CSR) AND SUSTAINABILITY POLICY

Page 874
 CMD is authorized to nominate members in the Management Level Committee from
time to time.

Functions of Management Level Committee

i) Identification of area of implementation of the CSR projects/ activities. Preference will be

given to the ‘Local Area’ in selecting the location of the activities. ‘Local Area’ in case of
POSOCO implies area in the vicinity of NLDC/ RLDCs.
ii) Identification of the additional activities, if advised by the CSR Committee
iii) Selection of agency for implementation of CSR activities
iv) Co-ordination among RLDCs/NLDC/departments in reporting their CSR activities
v) Providing adequate training and re-orientation to the employees engaged in the
implementation of CSR activities
vi) Any other work required for successful implementation of the activities
vii) Assisting Board level CSR committee in monitoring and successful implementation of
CSR and Sustainability policy
viii) Identification of the CSR activities for next financial year

4.4 Allocation of funds

The allocation of funds for the activities may vary depending upon the number of projects/
activities allocated with the approval of CSR committee.

Further, all efforts shall be made for providing maximum benefits of the fund to the targeted
community. Every effort should be made in optimizing the expenditure towards fees of
specialized agency, CSR training etc. which forms part of the fund allocated to a specific project
for its implementation.

5.0 Identification of Projects/ Activities

The Company may select their CSR projects from vast range of available options under the
Schedule VII of the Companies Act, CSR Rules and the Guidelines and the policy directions
issued by the Government from time to time. The priority should be accorded to activities
which are of foremost concern in the national development agenda, like safe drinking water for all,
provision of toilets especially for girls, health and sanitation, education etc. The main focus should
be on sustainable development and inclusive growth, and to address the basic needs of the
deprived, under privileged, neglected and weaker sections of the society which comprise of SC,ST,
OBCs, minorities, BPL families, old and aged, women/girl child, physically challenged etc.

CORPORATE SOCIAL RESPONSIBILITY (CSR) AND SUSTAINABILITY POLICY

Page 875
5.1 However, the following activities will not be considered as CSR activities:

i) Activities undertaken in pursuance of normal course of business of the Company

ii) Activities that benefit only the employees of the Corporation

iii) Activities taken up under R&R

iv) Contribution of any amount directly or indirectly to any political party.

v) Activities which the Board considers ad hoc and philanthropic in nature.

vi) Any activity not approved by the Board or Competent Authority as decided by the Board.

5.2: Endeavor shall be made to promote sustainable development through initiatives by

conducting business in a manner that is beneficial to both business and society. Sustainability
initiatives would also include welfare activities of employees consistent with the HR Policy of
POSOCO.

6.0 Mode of Execution of CSR Activities

6.1 The CSR activities shall preferably be implemented in project mode. The implementation of
activities will be done through placement of award by the Corporation as per Works &
Procurement Policy of the POWERGRID. Services of various departments of Central/State Govt.
Panchayati Raj Institutions etc. may also be availed for implementation of CSR activities as
deposit works.

6.2 CSR activities/projects/programs shall also be taken up in association with a registered

trust or a registered society or a company established by the Corporation or its holding or
subsidiary or associate company under section 8 of the Act 2013 or otherwise provided that:

a) If such trust, society or company is not established by the company or its holding or subsidiary
or associate company, it shall have an established track record of at least three years in undertaking
similar programs or projects or activity;
b) The CSR Committee/Competent Authority has specified the project or program to be
undertaken through these entities, the modalities of utilization of funds on such projects and
programs and the monitoring and reporting mechanism [Reference: Rule 4 (2)]

6.3 The Corporation may collaborate with other Corporations/Companies/PSUs for

undertaking projects or programs or CSR activities. However, CSR Committees of respective
CPSEs/companies should be in a position to report separately on such projects or programs in
accordance with the Companies (CSR) Rules. [Reference: Rule 4 (3)]

CORPORATE SOCIAL RESPONSIBILITY (CSR) AND SUSTAINABILITY POLICY

Page 876
 6.4 An Annual Plan of CSR activities and Budget for the next financial year shall be prepared
and put it up for approval of the CSR Committee by March of each year. The CSR Committee
should send its recommendations on the Annual Plan to the Board by April of each year for final
approval.

6.5 CSR activities may also be a part of Key Result Areas (KRA) of the executives directly
executing CSR projects.

6.6 While proposing and approving the activities of CSR the priorities laid down in the Policy
shall be kept in mind

6.7 The communities intended to be benefitted by the CSR schemes may be consulted and
closely involved in the process of indentifying, planning and implementation of the CSR
activities. Wherever possible, the local authorities and specialised agencies may also be similarly
consulted and involved.

6.8 Specialized agencies shall be engaged for implementation of the schemes. The activities of
designated specialized agency shall include Base line survey, Impact assessment, and
implementation, Documentation and Dissemination.

6.9 The Specialized Agency appointed shall enter into an Agreement with Power System
Operation Corporation Limited (POSOCO) before starting project activities.

6.10 The disbursement of Funds to the Specialized Agency appointed shall be released
according to the agreement.

7. Periodic Monitoring:

Monitoring of CSR activities is very crucial and shall be a periodic activity. The management
level committee shall periodically review (at least one meeting in each quarter) the progress of
the CSR schemes undertaken for implementation.

8. Documentation & Dissemination:

The agency shall provide POSOCO detailed documentation related to the CSR project,
expenditures, procurement etc./ publicity material/ dissemination material with respect to the
project.

9. Evaluation and Reporting

CSR projects above Rs. 50 lakh may be evaluated by an independent external agency. The
projects below Rs 50 lakhs shall be evaluated through internal mechanism. This evaluation is
both concurrent and final. The agency appointed for evaluation shall submit the reports of the

CORPORATE SOCIAL RESPONSIBILITY (CSR) AND SUSTAINABILITY POLICY

Page 877
CSR projects/ activities undertaken by POSOCO for providing required feedback & inputs to
improve the CSR activities in future. Evaluation exercise shall be completed by December month
of next financial year.

10. General

10.1 This policy shall stand modified by the provisions of the Companies Act/ Companies (CSR)
Rules as amended from time to time and government guidelines as and when these are in place and
made enforceable.

10.2 This policy would serve as the referral document for planning and selection of CSR
activities, though, whenever in doubt, cross reference to Companies Act & Companies (CSR)
Rules is advised to avoid any inconsistency with the latter.

10.3 The power to modify / amend the CSR and Sustainability Policy will rest with the Board of
Directors.

CORPORATE SOCIAL RESPONSIBILITY (CSR) AND SUSTAINABILITY POLICY

Page 878
GRIEVANCE
PROCEDURE
FOR
EMPLOYEES

Page 879
 GRIEVANCE PROCEDURE FOR EMPLOYEES

1.0 Policy
Power System Operation Corporation Limited aims to be a dynamic, vibrant and
cohesive organization with its well-knit team of human resources. In pursuit of
excellence, POSOCO believes in an open door Policy which reflects in minimal
occurrence of employees' grievance. Yet, to further promote fair and equitable
employment relations in the organisation, it is necessary to systematise and
strengthen the Grievance Communication and redressal process to provide time
bound mechanism for redressal of Grievances.

2.0 Objectives
The objectives of the Grievance Procedure are:
2.1 To attempt and resolve grievances in an amicable manner through oral
presentation and discussion at first instance.

2.2 To settle grievances of employees at the earliest and at lowest appropriate level.

2.3 To provide various stages of grievance redressal so that aggrieved employees can
seek remedy, if required, even from the highest level of the authority.

3.0 Applicability
The Grievance Procedure will be applicable to all the employees upto the level of
DGM, including those in work charged category.

4.0 Scope
A Grievance for the purpose of this procedure would only mean a grievance
relating to any individual employee arising out of implementation of company
policies/rules and decisions of the Management.

4.1 Grievance for the purpose of this procedure shall be relating to the following:

— Salary payment
— Recovery of dues, etc.
— Increment
— Working conditions
— Leave
— Allotment of residential quarters
— Medical facilities

GRIEVANCE PROCEDURE
Page 880
 — Non-extension of benefits under rules
— Transfer
— Seniority (for only those areas where relevant)
— Promotion
— Pay fixation
— Like issues

4.2 Grievance arising out of the following shall not come within the ambit of the
grievance procedure:

— Terms of Appointment/Absorption.
— Annual performance appraisals/confidential reports.
— Matters relating to disciplinary action/enquiry and vigilance cases.
— Matters relating to collective dispute/bargaining such as wages and allowance,
Bonus, hours of work and other benefits/perquisites/facilities, etc.

5.0 Constitution of various Committees

5.1 For Executives

5.1.1 Staff Council

a) At RLDC/ NLDC

The Head of the RLDCs/NLDC will constitute staff council for each RLDC/
NLDC consisting of following members:
Head of the RLDC/ NLDC Chairman
The HOD (Not below the rank of GM) of Member
the aggrieved executives
Head of the Finance Member
Head of the HR Member Secy.

b) At Corporate Centre

The Director (HR) will constitute staff council for Corporate Centre consisting of
the following members:
Executive Director located at the Chairman
Corporate Centre
Head of Deptt. Concerned (Not below the Member
rank of GM)
A representative (Not below the rank of Member

GRIEVANCE PROCEDURE
Page 881
 GM) from Finance Deptt.
GM (HR) Member Secy

5.1.2 Appeals Committee

The Chairman and Managing Director will constitute Appeals Committee at

Corporate Centre consisting of following members:
Director (HR) Chairman
Director (F)/ED (F) Member
The concerned Executive Director of the Member
RLDC/ NLDC/CC of the aggrieved
executive
ED (HR)/CGM (HR) CC Member Secretary

5.2 For Non Executives

5.2.1 Grievance Committee
The Grievance Committee will be constituted by the General Manager consisting
of following members:

An executive not below the rank of DGM Chairman

An executive of Finance Deptt. not below Member
the rank of Asst. Manager(Finance).
An executive of HR Deptt. Not below the Member Secy.
rank of Manager.

Note :-
(i) The Committees will be constituted by the designation of the members.

(ii) For grievance of executives at the level of DGM, Head of the RLDC/ NLDC will
have a dual role to perform i.e. the Head of the Department of the concerned
employee and the Chairman of the Committee.

(iii) An aggrieved employee shall not be a member of any committee which is seized
with his/her own grievance. Suitable substitution of such a member shall be done
by the authority having power to constitute the committee.

(iv) The committee constituted under this para shall continue to function so long as
not reconstituted by Competent Authority.

(v) The word 'Chief General Manager' under this procedure shall mean Head of
RLDC/NLDC and Chief General Manager(HR) at Corporate Centre, who will act
as per the authority given under this procedure, unless specified otherwise, in
respect of employees posted at RLDC/NLDC and Corporate Centre respectively.

GRIEVANCE PROCEDURE
Page 882
6.0 Procedure
Various stages for redressal of grievance with further provision of appeal are as
detailed below:

6.1 For Executives

6.1.1 Stage-I

a) An aggrieved executive shall take up his grievance orally with his immediate
superior (not below the rank of Chief Manager) who will give a personal hearing
and try to resolve the grievance at his level within seven days. Wherever
necessary, the immediate superior will consult the Head of the Deptt. before
communicating back with the aggrieved executive.

b) In case the executive is not satisfied with oral communication/disposal, he/she can
submit his/her grievance in writing in the prescribed form (Form-I) to the Head of
the Deptt. concerned within 15 days from the date on which the cause of
grievance arose, or came to his notice.

c) The Head of Department concerned will record his comments on Form-I within
'15' days after making necessary enquiries/obtaining comments from other
departments, if required.

6.1.2 Stage-II

a) In case the executive is not satisfied with the decision communicated to him at
Stage-I or if he fails to receive reply within stipulated period, he may submit his
grievance in the prescribed form (Form-II) within a period of 15 days to the
STAFF COUNCIL in the NLDC/RLDC/CC.

b) The Staff Council will examine the details of the grievance. It may also discuss
with the aggrieved executive, if felt necessary.

c) The Staff Council shall give its reply to the aggrieved executive within 30 days
from the date of the receipt of the grievance. However, wherever felt necessary by
the Staff Council, it may make a recommendation for a final decision of Director
(HR), who will convey his decision within 30 days from the receipt of grievance
from the Staff Council.

6.1.3 Stage-III

a) In case the Executive remains dissatisfied even after this stage, he may appeal to
the "Appeals Committee" in the prescribed form (Form-III) within a period of 15
days from the date of receipt of the decision from the Staff Council.

GRIEVANCE PROCEDURE
Page 883
 b) The Appeals Committee will examine and review the case including the decision
of the Staff Council.

c) The decision of the Appeals Committee will be communicated to the aggrieved

Executive within a month of the receipt of the appeal.

6.1.4 In case, the aggrieved executive is not satisfied with the decision of the Appeals
Committee, he/she will have an option to appeal to CMD. The CMD will take a
decision and communicate the same within 30 days from the receipt of the appeal
and his decision will be final and binding.

6.2 For Non-Executives

6.2.1 Stage-I

a) An aggrieved employee may at the first instance meet his immediate superior
officer and present the grievance orally to him. The immediate superior officer
will give a personal hearing and try to resolve his grievance within seven days.

b) In case the aggrieved employee is not satisfied with the oral communication/
disposal, he/she can present his/her grievance in the prescribed form (Form-I) to
the Concerned HR Executive looking after the establishment functions within 15
days from the date on which the cause of grievance or complaint arose or came to
his/her notice.

c) The Concerned HR Executive after making necessary enquiries will give reply in
writing to the aggrieved employee within a period of 15 days from the date of
receipt of Form-I.

6.2.2 Stage-II

a) In case the employee is not satisfied with the decision communicated to him at
Stage-I or fails to receive reply within stipulated period, he/she may submit
his/her grievance to the Head of the Department in the prescribed form (Form-II)
within a period of 15 days from the date on which the period stipulated in 6.2.1
(c) expires.

b) The aggrieved employee who has filed a Stage-II grievance may be allowed to
present his case in person, if he/she so desires at this stage.

c) The aggrieved employee will be replied to in writing within three weeks of the
receipt of his grievance at Stage-II.

GRIEVANCE PROCEDURE
Page 884
6.2.3 Stage-III

a) If the employee is not satisfied or fails to receive a reply within stipulated period
at Stage-II, he/she may present his/her grievance for consideration at Stage-III in
the prescribed form (Form-III) within a period of one month from the date on
which the period stipulated in 6.2.2 (c) expires.

b) The employee concerned may be heard in person by the Grievance Committee, if

he/she so desires. The employee may be allowed to be assisted by co-employee
(workman or supervisor as the case may be) before the committee, on their
request.

c) The grievance committee will examine the details of grievance. The decision of
the Grievance Committee will be communicated to the aggrieved employee
within 30 days from the date of receipt of the grievance at Stage-III.

d) In the event of difference of opinion among the members of the Grievance

Committee, the views of the members along with relevant papers will be placed
before the Chief General Manager by the Secretary, Grievance Committee for
final decision.

Note :- In case of grievances arising out of issues related to non-allotment of quarters and
non-promotion, the aggrieved employee will be allowed to take up the matter at
Stage-III directly within one month from the date of occurrence of the cause of
grievance.

6.2.4 Appeal

a) In case the employee remains dissatisfied even after Stage-III, he may appeal to
the Chief General Manager within a period of 15 days from the date of receipt of
the decision from the Grievance Committee.

b) After the examination and consideration, the decision of the Chief General
Manager will be communicated to the aggrieved employee within a month of the
receipt of his appeal.

7.0 General Conditions

7.1 If a grievance arises out of an order given by the Management, the said order shall
be complied with before the employee concerned invokes the procedure laid
down for redressal of his grievance.

7.2 Seeking redressal under this procedure will not stop the implementation of any
order or decision of Management.

GRIEVANCE PROCEDURE
Page 885
7.3 It would be the endeavour of the Management to ensure speedy implementation of
the decision of the Grievance Committee/Staff Council/Appeals Committee and
the Head of the RLDC/NLDC, CMD, as the case may be.

7.4 The Chairman and Managing Director shall have the power to make any
amendment of these rules which is of a minor nature.

GRIEVANCE PROCEDURE
Page 886
 ANNEXURE-I
POWER SYSTEM OPERATION CORPORATION LIMITED
FORM-I
(Sub Rule 6.1.1)
STAGE-I GRIEVANCE (EXECUTIVES)
(To be submitted to Head of the Department in duplicate)

Name :

Employee No. :

Designation :

Pay Scale :

Department :

Section :

Grievance & Reason in brief :

Dated : Signature of Employee

(For the use of the Head of the Department)

Grievance No. :
and date of receipt

Whether the employee

was interviewed :

Source & Results of enquiry :

Replied on :
Dated : Signature of Head of the
Department

GRIEVANCE PROCEDURE
Page 887
 ANNEXURE-II
POWER SYSTEM OPERATION CORPORATION LIMITED
FORM-II
(Sub Rule 6.1.2)
STAGE-II GRIEVANCE (EXECUTIVES)
(To be submitted to Secretary Staff Council in Duplicate)

Name :

Employee No. :

Designation :

Pay Scale :

Department :

Section :

Grievance :

Ref. No. of Reply to :

Grievance Stage-I

Reason for preference :

Dated : Signature of Employee

______________________________________________________________________
(For use of Secretary Staff Council)

Grievance No. :
and date of receipt

Whether the employee

was interviewed :

Source & Results of enquiry :

Replied on :

Dated : Signature of Secretary

Staff Council

GRIEVANCE PROCEDURE
Page 888
 ANNEXURE-III
POWER SYSTEM OPERATION CORPORATION LIMITED
FORM-III
(Sub Rule 6.1.3)
STAGE-III GRIEVANCE (EXECUTIVES)
(To be submitted to Secretary, Appeals Committee in duplicate)

Name :

Employee No. :

Designation :

Pay Scale :

Department :

Grievance :

Ref. No. of Reply to :

Grievance Stage-II

Reason for preference to :

Appeals Committee

Dated : Signature of Employee

______________________________________________________________________
(For use of Secretary, Appeals Committee)

Grievance No. :
and date of receipt

Result of Stage-I Grievance :

Result of Stage-II Grievance :

Grievance put up in Appeals

Committee on :
Decision of the Appeals
Committee :

Dated : Signature of
Secretary
Appeals Committee

GRIEVANCE PROCEDURE
Page 889
Replied on :

ANNEXURE-IV
POWER SYSTEM OPERATION CORPORATION LIMITED
FORM-I
(Sub Rule 6.2.1)
STAGE-I GRIEVANCE (NON-EXECUTIVES)
(To be submitted to Concerned HR Executive in duplicate)

Name :

Employee No. :

Designation :

Pay Scale :

Department :

Section :

Grievance & Reason in brief :

Dated : Signature of Employee

______________________________________________________________________
(For use of Concerned HR Executive)

Grievance No. :
and date of receipt

Whether the employee has been

Interviewed :

Source & Results of enquiry :

Replied on :

Dated : Signature of Concerned HR Executive

GRIEVANCE PROCEDURE
Page 890
 ANNEXURE-V
POWER SYSTEM OPERATION CORPORATION LIMITED
VFORM-II
(Sub Rule 6.2.2)
STAGE-II GRIEVANCE (NON-EXECUTIVES)
(To be submitted to the Head of the Department in duplicate)

Name :

Employee No. :

Designation :

Pay Scale :

Department :

Section :

Grievance :

Ref. No. of reply to

Grievance Stage-I :

Dated : Signature of Employee

______________________________________________________________________
(For use of Head of the Department)

Grievance No. :
and date of receipt

Whether the employee has been

Interviewed :

Source & Results of enquiry :

Replied on :

Dated : Signature of Head of the Department

GRIEVANCE PROCEDURE
Page 891
 ANNEXURE-VI
POWER SYSTEM OPERATION CORPORATION LIMITED
FORM-III
(Sub Rule 6.2.3)
STAGE-III GRIEVANCE (NON-EXECUTIVES)
(To be submitted to Secretary, Grievance Committee in duplicate)

Name :

Employee No. :

Designation :

Pay Scale :

Department :

Grievance :

Ref. No. of reply to

Grievance Stage-II :

Reason for Appeal :

Dated : Signature of Employee

______________________________________________________________________
(For use of Secretary, Grievance Committee)

Grievance No. :
and date of receipt

Result of Stage-I :
Grievance

Result of Stage-II :
Grievance

Grievance put up in :
Grievance Committee on

Decision of the Grievance :

Committee

Dated : Signature of Secretary

Grievance Committee

GRIEVANCE PROCEDURE
Page 892
SAFETY
POLICY

Page 893
 SAFETY POLICY

1.0 POSOCO recognizes and accepts its responsibility for establishing and
maintaining a safe working environment for all its employees. This responsibility
arises from :-

a) Company’s moral responsibility to its employees, to provide the best practicable

conditions of work from the point of view of health and safety.
b) The obligation to consult with its staff and their representatives to implement
policies and procedures developed as a result of discussion.
c) Statutory responsibility in respect of health, safety and welfare of employees
emanating from relevant legislations such as the Factories Act, The Indian
Electricity Act etc.

Company’s Responsibility

2.0 The Company shall take all such steps which are reasonably practicable to ensure
best possible conditions of work and with this end in view, the Company shall do
the following :-

2.1 To allocate sufficient resources to provide and maintain safe and healthy
conditions of work.

2.2 To take steps to ensure that all known safety factors are taken into account in the
design, construction, operation and Equipment of RLDCs/NLDC/CC.

2.3 To ensure that adequate safety instructions are given to all employees.

2.4 To provide, wherever necessary, protective equipment, safety appliances and

clothing and ensure their proper use.

2.5 To inform employees about material, equipment or processes used in their work
which are known to be potentially hazardous to health or safety.

2.6 To keep all operations and methods of work under regular review for making
necessary changes from the point of view of safety in the light of experience and
up to date knowledge.

2.7 To provide appropriate facilities for first-aid and prompt treatment of injuries and
illness at work.

SAFETY POLICY
Page 894
2.8 To provide appropriate instructions, training, retraining and supervision in health
and safety and first-aid and ensure that adequate publicity is given to these
matters.

2.9 To ensure proper implementation of fire prevention and appropriate fire fighting
service, together with training facilities for personnel involved in this service.

2.10 To ensure that professional advise is made available wherever potentially

hazardous situations exist or might arise.

2.11 To organize collection, analysis and presentation of data on accidents, sickness

and incidents involving personal injury or injury to health with a view to taking
corrective, remedial and preventive action.

2.12 To promote, through the established machinery, joint consultation in health and
safety matters to ensure effective participation by all employees.

2.13 To publish/notify regulations, instructions and notices in the common language of

employees.

2.14 To prepare separate safety rules for each type of occupation/process involved in a
project.

2.15 To ensure regular safety inspection by a competent person at suitable intervals, of

all RLDCs/NLDC/CC equipments, workplaces and system operations.

2.16 To co-ordinate the activities of the Company and of its contractors working on the
Company’s premises for the implementation and maintenance of safety systems
of work, to comply with their legal obligations with regard to the health, safety
and welfare of their employees.

Responsibility of the Employee

3.0 The establishment and maintenance of best possible condition of work is, no
doubt, the responsibility of Management, yet it is also necessary that each
employee follows prescribed safe methods of work. He should take reasonable
care for the health and safety of himself, of his fellow employees and of other
persons who may be affected by his actions at work. With this in mind, employees
should be healthy and safety conscious, and :

- REPORT potential hazards

- OBSERVE Safety Rules, procedures and codes of practice

SAFETY POLICY
Page 895
 - USE with all reasonable care the tools, equipment, safety equipment and
protective clothing provided by the Company; these items should be kept
in good condition
- PARTICIPATE in safety training courses when called upon to do so.
- MAKE USE of Safety Suggestion Schemes.
- TAKE an active and personal interest in promoting health and safety at
work.

Responsibility for implementation

4.1 The ultimate responsibility for ensuring the implementation of the policy on
health and safety at work rests on the POSOCO Management, the Corporate HR
Deptt. at the Corporate level and the concerned Head at RLDC/NLDC Level. The
officers in-charge of safety will be functionally responsible to the Corporate
Centre for ensuring that the policy is promulgated, interpreted and carried out in
the manner expected.

4.2 Immediate responsibility for safety at work is that of the managers/executives of

each department/section who are primarily responsible to prevent accidents
involving members of their staff and other persons. It is their responsibility to
issue clear and explicit working instructions, compliance with which will ensure
safe working and to require the effective use of approved equipments.

4.3 Accepted rules, procedures and codes of practice which are formulated with
proper regard to health and safety considerations must be strictly observed by all
concerned contracting agencies executing works. They should be made
responsible, through various measures including appropriate provisions in the
contract, for discharging their safety obligations.

4.4 In designated areas of particular hazard, the appropriate executives are required to
authorise, in writing, the commencement of any work, and before doing so,
personally to ensure themselves that all necessary safety precautions have been
carried out. Such executives must themselves be authorised, in writing, as
competent persons to perform these duties.

4.5 Safety Officers are appointed to advise Management on questions of safety at

work including advice on the application in particular local situations of the
system of work, company Safety Rules and relevant codes of practice in
consultation with the respective Safety Officers. They will be consulted as and
when systems, rules and codes are being formulated and shall advise Management
in the investigation and analysis of accidents and the circulation of appropriate
statistics.

SAFETY POLICY
Page 896
 Major Site Incidents
4.6 The Head of RLDC/NLDC is required to ensure that plans are devised for action
in the event of fire, major site incident and necessary evacuation procedure. These
plans must be communicated to all staff and rehearsed from time to time.

4.7 Fire-fighting training and the formation of fire-fighting team on a voluntary basis
will be encouraged by the RLDC/NLDC Management.

4.8 All accidents and dangerous occurrences will be reported immediately to the
Head of RLDC/NLDC, who will implement an established procedure to ensure
that an investigation takes place and recommendations are made to prevent
recurrence.

SAFETY POLICY
Page 897
 GUIDELINES ON (i)
REPORTING OF ACCIDENT,
(ii) CONSTITUTION OF
ENQUIRY COMMITTEE AND
(iii) CONDUCTING OF
ENQUIRIES IN CASE OF
ACCIDENTS

Page 898
 GUIDELINES ON (i) REPORTING OF ACCIDENT, (ii) CONSTITUTION OF
ENQUIRY COMMITTEE AND (iii) CONDUCTING OF ENQUIRIES IN CASE
OF ACCIDENTS.

1.0 OBJECTIVES
To facilitate, a) Prompt reporting of accident, b) Investigation of an accident so as to
examine each accident in depth & details to find out the cause, c) Assessment of the
extent of damages suffered and loss caused, d) Fixation of responsibility on the
circumstances/ individuals and e) Prevention of recurrences in similar or related
circumstances.
2.0 APPLICABILITY
These guidelines will be applicable in case of all accidents occurred in POSOCO
involving employees of POSOCO or its contractors/sub-contractors and associates; and/
or the equipment of POSOCO .
3.0 DEFINITIONS:
In these guidelines, unless repugnant to the context, the following expression would have
the meaning indicated against them:
a) Non-reportable injury: means an injury by reason of which the person injured is
prevented from working for a period less than 48 hours (including non-prevention)
immediately following the day of accident.
b) Reportable accident causing minor injuries: accident causing minor injuries:
means an injury which involves, or in all probability will involve, the injuries of
minor nature that enforces the absence of the injured person from work for a period
more than 48 hours.
c) Reportable accident causing major/ serious Injuries: means an injury that involves
or in all probability will involve, the permanent loss of the use of or permanent injury
to any limb or the permanent loss of or injury to the sight or hearing or the fracture of
any limb or the enforced absence of the injured person from work for a period
exceeding twenty days.
d) Reportable Fatal Accident: means an accident that involves death of a person and is
a reportable accident.
e) Disablement of permanent/ temporary nature: means disablement of
permanent/temporary nature as provided under the Employees Compensation Act,
1923.
f) Dangerous Occurrence: means a dangerous occurrence as prescribed under the
relevant rules made by the State Government with reference to the provisions of
Section 88-A of the Factories Act.

4.0 PROCEDURE FOR REPORTING OF ACCIDENTS

4.1 Reporting of Accident to Statutory Authorities

GUIDELINES ON REPORTING ACCIDENTS, CONSTITUTION OF ENQUIRY COMMITTEE

Page 899
 Accidents are to be reported to Statutory Authorities by RLDC/NLDC as per
requirements.
4.2 Reporting of Accident within POSOCO ( all reportable accidents)
i) RLDC/NLDC Safety Officer / RLDC/NLDC Safety Co-ordinator will intimate the
following officials of Corporate-HR over telephone immediately on receipt of intimation
from site.
a) Head of HR-Corporate Centre
b) GM (SO)- Corporate Centre
c) Safety Co-ordinator (SO)-Corporate Centre
The above intimation will be given by RLDC/NLDC Safety Officer/ RLDC/NLDC
Safety Co-ordinator positively on the same day if the accident has occurred during office
hours or by next day morning in case the accident has occurred after office hours.
ii) In addition, the RLDC/NLDC Safety Officer/ RLDC/NLDC Safety Co-ordinator will
send “FLASH REPORT” as per Annexure-I over fax/email on the same day/ next day as
indicated above. This should be followed by post confirmation copy. The report will be
sent to the following officials.
a) Director (SO)
b) Director (HR)
iii) Over and above, in case of fatal accident, ED/CGM-(In-charge) of the RLDC/NLDC will
simultaneously intimate to the following officials over telephone.
a) Chairman and Managing Director
b) Director(SO)
c) Director (HR)
d) Director (MO) – If accident is in Field Area.
iv) In case of fatal accident, the accident should be reported to Corporate Centre as soon as
possible. If accident is not reported within three days, the RLDC/NLDC (In-charge) shall
be held responsible and advisory-memo shall be issued by Director(SO)/Director (MO).
A copy shall be forwarded to Corporate Centre-HR for keeping in their Personal File.
5.0 CONSTITUTION OF ENQUIRY COMMITTEE
5.1 An Enquiry Committee to enquire into the accident shall be set-up immediately on
occurrence of an accident with following terms of reference:
a) Determination of circumstances that led to and reason for the accident.
b) Estimation of extent of loss.
c) Estimation of the extent of damages to manpower / man-hour/ RLDC/NLDC Grid
equipment etc.
d) Fixation of responsibility.
e) Suggestions for prevention of reoccurrence of similar or related nature of
accidents in the future.

GUIDELINES ON REPORTING ACCIDENTS, CONSTITUTION OF ENQUIRY COMMITTEE

Page 900
 f) Estimation of the extent of liability under the “Scheme for additional financial
assistance to persons affected by accidents” and the “Guidelines for settlement of
claims for compensation on accidents” within the period prescribed in the said
rules/ Contractual Penalties as applicable.
g) Any other relevant aspect.

5.2 Composition of Committee and Authority to Appoint.

Composition of the Enquiry Committee, depending on the type of accident and the
authority competent to appoint such Committee is detailed in Annexure-II.
6.0 INITIATION PROCEDURE FOR INVESTIGATION OF ACCIDENT
6.1 As soon as the accident occurs, the Safety Officer/ Designated Safety Coordinator
concerned will immediately initiate actions to get the investigation started. In cases where
he is to act as Enquiry Officer, he would start the investigation immediately. In all other
cases he shall initiate necessary actions to get the Enquiry Committee constituted and
facilitate its functioning.
6.2 Wherever Competent Authority to constitute an Enquiry Committee is ED and above,
CGM of the RLDC/NLDC shall make active efforts to get the Enquiry Committee
constituted.
6.3 Wherever an officer of other RLDC/NLDC / Corporate Centre is required to be in the
Enquiry Committee, the RLDC/NLDC Head shall make all efforts to get the nomination
by immediately contacting the Head of that RLDC/NLDC / ED at CC through the
quickest means of communication. However, if obtaining such names is likely to take
time, investigation of Enquiry Committee can commence in right earnest and not wait for
such member.
7.0 Commencement of investigation
7.1 The Enquiry Committee shall start investigation immediately, but in any case in a period
not exceeding seven days. If investigation could not get started within seven days due to
unavoidable circumstances, such circumstances must be brought to the notice of Head of
the RLDC/NLDC / Department in writing and approval taken to commence the inquiry
late by the committee.

7.2 In case of fatal accident, the RLDC/NLDC (In-charge) in whose jurisdiction accident has
occurred will make all out effort to immediately get the FIR lodged in the concerned
police station. A copy of the FIR and initial / final post-mortem report indicating the
cause of accident shall form part of investigation procedure. The copies of the same will
also be placed before Enquiry Committee.
8.0 Submission of Report
The enquiry report must be submitted to the authority prescribed with copies to
concerned authorities, as mentioned in Annexure-II within three weeks from the date of
GUIDELINES ON REPORTING ACCIDENTS, CONSTITUTION OF ENQUIRY COMMITTEE
Page 901
 notification of the Committee. However, whenever the competent authority feels it to
expedient under certain circumstances, he may order the report to be submitted even
earlier.
9.0 Action on the Report
9.1 Appropriate action as recommended by the Enquiry Committee and deemed fit will be
taken by the Authority to whom the report has been submitted. In case accident report is
sent to Directors, the Head of RLDC/NLDC and Head of System Operation, HR & Safety
Coordinator at Corporate Centre shall analyze the reports covering serious injury and
fatal accidents for remedial actions.
9.2 In addition to the above, it has to be ensured that in case the Contractor is held
responsible for the accident, a strong letter will be sent to them and where employee (s)
is/are held responsible, information to that effect would be placed before moderation
committee while finalizing the AARs.
10.0 Issue of Merit Certificate in case of Nil Accident report where RLDC/NLDC are under
construction.
10.1 The Project Manager and his team will be awarded merit certificates by Head of the
RLDC/NLDC with a copy to Director (HR) in case of nil accident is reported during the
calendar year and have complied with all safety norms.
10.2 The RLDC/NLDC Safety Officer/ RLDC/NLDC Safety Co-ordinator shall also be
awarded with merit certificate which will be placed in their personal file in case nil
accident is reported during the calendar year.
11.0 Punitive measures in case of fatal accident
11.1 In case of fatal accident (construction/ System Operation/Grid /RLDC/NLDC),
RLDC/NLDC In-charge and all executives who are directly associated with the relevant
project/ work shall be issued an advisory memo by Head of RLDC/NLDC to be more
careful in future. A copy of the memo shall also be placed in their respective personal
file.
11.2 In case of three or more fatal accident in a Region during any calendar year, the Head of
RLDC/NLDC, , all executives who are directly associated with the relevant project/ work
and the RLDC/NLDC Safety Officer shall be issued advisory memo by the Head of the
RLDC/NLDC. A copy of the memo shall also be placed in their respective personal file.
11.3 In case the contractor/ contracting agency is involved in three cumulative fatal accidents
during any financial year then his/its next immediate bid (one after the last accident) shall
not be opened.
12.0 Conduct of Safety Audit
(i) The Safety Audit Team from Corporate Centre shall conduct frequent safety audit.
(ii) During audit if any violation/ lapses are observed then all the concerned POSOCO
officials’ upto the level of DGM/GM and also Project Manager/ In-charge shall be issued
advisory memo. The advisory memo will be on similar lines provided under Clause 11.0.

GUIDELINES ON REPORTING ACCIDENTS, CONSTITUTION OF ENQUIRY COMMITTEE

Page 902
(iii) The violation/ lapses observed during audit shall also be treated as misconduct for which
disciplinary action shall be initiated by the appropriate disciplinary authority (considering
as minor penalty initially) against the officials directly associated including Project
Manager/ In-charge as per CDA Rules.
(iv) The list of directly associated personnel(s) shall be identified by Safety Audit Team. The
report of Safety Audit Team shall be considered incomplete without identifying
personnel (s) associated with project/ activity.
12.1 Fatal Accident and Non-Reporting of Fatal accident within the stipulated time
(i) In case of any fatal accident and non-reporting of fatal accidents within stipulated time,
the disciplinary proceedings shall be initiated by disciplinary authority (considering as
minor initially) against officials directly associated including Project Manager/ In-charge
as per CDA Rules.
(ii) The list of directly associated personnel (s) shall be identified by Accident Enquiry
Committee. The report of Committee shall be considered incomplete without identifying
personnel (s) associated with project/ activity.
12.2 Key Responsibility Area (KRA)
(i) Safety issues shall be made part of KRA.
(ii) A minimum of 10 marks out of 100 marks in Annual Appraisal Report (AAR) shall be
assigned for safety.
(iii) With every fatal accident in their jurisdiction there will be deduction of 100 marks
allocated to safety for officials upto the levels of GM and 50% mark allocated to safety in
the level of CGM/ED.
(iv) The same shall be effective from year-2017 onwards.
(v) The effectiveness shall be reviewed after 1 year if required.
13.0 Responsibility for payment of Compensation
The Head of HR in the RLDC/NLDC shall be the Nodal officer responsible for
compensation, follow-up and disbursement. The status of the same shall be appraised in
every RLDC/NLDC Review Meeting. RLDC/NLDC HR will send monthly report o
status of disbursement of compensation to CC-HR with copy to CC-SO.
13.0 Special Circumstances
The Chairman & Managing Director may himself appoint Enquiry Committee in the
interest of an early and/ or thorough investigation. In such cases the Enquiry Committee
constituted by any other authority shall become inoperative. While passing such orders,
CMD may also include additional members in the Committee or alter the level of
Committee as deemed necessary.

*******************

GUIDELINES ON REPORTING ACCIDENTS, CONSTITUTION OF ENQUIRY COMMITTEE

Page 903
 Annexure-I
POWER SYSTEM OPERATION CORPORATION LIMITED
RLDC/NLDC/CC:
…………….

ACCIDENT FLASH REPORT

Ref. No: Date:

E-Mail/Fax Message

Sub: First Information Report on Fatal/Non-fatal Accident

Date and Time of Accident :

Nature of Accident (Fatal/Non-Fatal) :

Accident Place
(Name of Location/Office, District/ State)
:

Nature of work :

Name of Agency (POSOCO/ Contractor) :

Name of injured person / persons :

(i) Father’s Name :
(ii) Address :
(iii) Designation :
(iv) Age :
(v) Martial Status (Married or Unmarried) :

First aid given to the injured after accident

(If Yes, Name of person or hospital/dispensary)
:

Name of hospital (Admitted for treatment)

:
Brief report about accident:
:

GUIDELINES ON REPORTING ACCIDENTS, CONSTITUTION OF ENQUIRY COMMITTEE

Page 904
Status of deployment of POSOCO manpower at the time of accident upto Group Head/
Construction In-charge, In-charge - RLDC/NLDC/CC, where accident have occurred:

Sl. No. Name Designation

1
2
3

Name & Designation

Of Reporting Officer

To:
a) Director (System Operation).
b) Director (HR)
c) Head of safety cell- Corporate Centre

GUIDELINES ON REPORTING ACCIDENTS, CONSTITUTION OF ENQUIRY COMMITTEE

Page 905
 ANNEXURE – II
Sl. Nature / Type of Enquiry Enquiry Committee to Other Members in the Enquiry Enquiry Report to Enquiry Report
No. Accident Committee to be be headed by Committee be submitted to copies to be sent
Appointed by to
A. Injuries Involving
People
i) Non – reportable injury Safety Officer / Designated Concerned Group Head of the
up to 2 persons Safety Officer Head RLDC/NL
DC
ii) Non – reportable injury Concerned Group Executive not below the i) Safety Officer / Designated Safety Concerned Group Head of the
up to 5 persons Head where rank of Chief Manager Officer of the RLDC/NLDC. Head RLDC/NL
accident occurred DC

iii) Non – reportable Concerned Group Executive not below the i) Safety Officer / Designated Safety Concerned Group Head of the
accident causing Head where rank of DGM of Officer of the RLDC/NLDC. Head RLDC/NL
injuries to more than 5 accident occurred RLDC/NLDC DC.
persons

iv) Reportable accident CGM Executive not below the CGM a) Head of the
causing injuries of /GM(SO) rank of DGM i) Ch. Mgr (HR) - RLDC/NLDC. /GM(SO) RLDC/NL
minor/temporary nature or ii) Ch. Mgr (SO) / (MO)- or DC..
where absence from RLDC/NLDC.
duty of injured person CGM / GM (SO.) CGM / GM b) Head of SO-
iii) RLDC/NLDC Safety Officer.
from work for period at RLDC/NLDC (SO) at CC
more than 48 hours. RLDC/NL

GUIDELINES ON REPORTING ACCIDENTS, CONSTITUTION OF ENQUIRY COMMITTEE

Page 906
 v) Reportable accident CGM
causing major injuries /GM(SO) Executive not below the i) DGM (HR) - RLDC/NLDC. Head of the a) Dir (HR)
like amputation of limbs or rank of Gen. ii) DGM (SO) / (MO.)- RLDC/NLDC
/ other parts of body Manager. RLDC/NLDC. concerned. b) Dir (SO)
and /or injuries CGM / GM (SO)
expected to result into iii) RLDC/NLDC Safety Officer.
at RLDC/NLDC
disablement of Permanent
nature (partial or total)
Absence of injured is
more than twenty days.

GUIDELINES ON REPORTING ACCIDENTS, CONSTITUTION OF ENQUIRY COMMITTEE

Page 907
 Sl. Nature / Type of Enquiry Committee to Other Members in the Enquiry Committee Enquiry Enquiry Report
No. Accident be Appointed by Report to be copies to be sent
submitted to to

vi) –a) Fatal accident of one Standing Committee. i) CGM (SO) - RLDC/NLDC. Head of the a). Dir (HR.) b).
person ii) Head of HR. – RLDC/NLDC. RLDC/NL
( One Death ) DC Dir (SO)
iii)Head of MO. - RLDC/NLDC.
iv) SO Safety Officer- CC. concerned
v) RLDC/NLDC Safety Officer.
( In case of any special requirement, MO.
/HR could be associated from CC as decided by
RLDC/NLDC Head.

Accident causing fatal Standing Committee i) CGM (SO) - RLDC/NLDC. Head of the
b) injury to one person but ii) Head of HR. – RLDC/NLDC. RLDC/NLDC a). Dir (HR.) b).
involving a number of concerned Dir (SO)
iii)Head of MO. - RLDC/NLDC.
persons
iv) SO Safety Officer- CC.
v) RLDC/NLDC Safety Officer.
( In case of any special requirement, MO.
/HR could be associated from CC as decided by
RLDC/NLDC Head.

GUIDELINES ON REPORTING ACCIDENTS, CONSTITUTION OF ENQUIRY COMMITTEE

Page 908
 viii) Accident causing fatal Standing Committee i) RLDC/NLDC Head. Dir. (HR) a) Dir (SO). b).
injuries to more than ii) Ch.Gen. Mgr (SO) - RLDC/NLDC
one person Head of SO
iii) Head of HR – RLDC/NLDC.
-NLDC.
iv) Head of MO - RLDC/NLDC.
v) SO Safety Officer-CC. c) Head of the
vi) RLDC/NLDC Safety Officer. RLDC/NLD
( In case of any special requirement, MO. C.
/HR could be associated from CC as decided by
RLDC/NLDC Head.

GUIDELINES ON REPORTING ACCIDENTS, CONSTITUTION OF ENQUIRY COMMITTEE

Page 909
 Accident causing Enquiry Enquiry Other Members in the Enquiry Committee Enquiry Enquiry Report
B. damage/loss to Committee to Committee to Report to copies to be sent to
machinery Equipment be Appointed be headed by be
property etc. by submitted
Executive not i) Safety Officer / Designated Safety
i) Estimated loss upto Group Head below the rank Officer from site. Concerne
Rs.10,001/- of Ch.Mgr. ii) Dy. Mgr. (SO) const. site d Group
from site. Head

ii) Estimated loss from Group Head Executive not i) Ch.Mgr. from Site
Rs.10,001/- to Rs. below the rank ii) Mgr (SO) from RLDC/NLDC Concerne Head of
1,00,000/- of DGM iii) Safety Officer – RLDC/NLDC d Group RLDC/NLDC.
Head

i) DGM concerned from Site.

iii) Estimated loss from CGM ( SO ) GM (SO) ii) DGM from MO- from RLDC/NLDC Head a) Dir. ( SO )
Rs.1,00,001/- to Rs. / CGM (Proj.) from iii) Representative from the Concerned of b) Dir. ( Fin. )
10,00,000/- RLDC/NLDC Provider (if considered necessary) RLD c) DIR(MO)
C/NL d) Head of SO-
DC. NLDC
GM (SO) i) DGM. concerned from Site / DGM. from
iv) Estimated loss from CGM ( SO ) from RLDC/NLDC Head a) Dir. (SO. )
Rs.10,00,001/- to / CGM (Proj.) RLDC/NLDC ii) DGM from SO-NLDC of b) Dir. ( Fin. )
Rs.20,00,000/- iii) DGM from MO-CC RLD c) Dir. ( HR.)
iv) Representative from the Provider (if C/NL d) DIR(MO)
considered necessary) DC. e) Head of SO-
v) RLDC/NLDC Safety Officer – NLDC
RLDC/NLDC (if considered
necessary)

GUIDELINES ON REPORTING ACCIDENTS, CONSTITUTION OF ENQUIRY COMMITTEE

Page 910
 i) GM-SO of RLDC/NLDC
v) Estimated loss from Head of the CGM / GM of ii)DGM from SO-NLDC Head a) Dir. (SO. )
Rs.20,00,001/- to Rs. 1 RLDC/NLD the iii)DGM from MO-NLDC of b) Dir. ( Fin. )
crore C RLDC/NLDC iv) Representative from the Provider(if RLD c) Dir. ( HR.)
considered necessary) C/NL d) DIR(MO)
v) RLDC/NLDC Safety Officer – DC. e) Head of SO-NLDC
RLDC/NLDC (if considered
necessary)

GUIDELINES ON REPORTING ACCIDENTS, CONSTITUTION OF ENQUIRY COMMITTEE

Page 911
 Sl. Nature / Type of Enquiry Enquiry Other Members in the Enquiry Enquiry Enquiry Report
No. Accident Committee to be Committee to Committee Report to be copies to be sent
Appointed by be headed by submitted to to
i) CGM / GM of the RLDC/NLDC
vi) Beyond Rs. 1 crore Director (SO.) Head of the ii) GM (SO)-NLDC Dir. (SO) a) Dir. ( HR )
RLDC/NLD iii) GM (MO)-NLDC b) Dir. ( Fin. )
C iv) Representative from the c) Dir (So)
Provider(if considered d) Dir (MO)
necessary) e) Head of
v) Outside technical expert (if RLDC/NLDC
necessary)
vi) Safety Officer- RLDC/NLDC (if
necessary)
C. Any dangerous
occurrence including CGM(Projects)/ Executive not i) An executive of the level of DGM. / ED/CGM of a) Dir. ( HR )
leakage of chemicals, CGM ( SO ) of the below the rank of Ch.Mgr. of RLDC/NLDC ( SO ) the b) Dir. ( Fin. )
gases, explosion, fire, RLDC/NLDC GM- SO / GM – ii) An executive of the level of DGM / RLDC/NLDC c) Dir (So)
etc., which may have MO Ch. Mgr. of RLDC/NLDC ( MO) d) Dir (MO)
hazardous impact on iii) Safety Officer- RLDC/NLDC. e) Head of
the environment, iv) Out side technical expert (if RLDC/NLDC
property and people necessary)

Note:

i. The authority empowered to appoint the Enquiry committee may co-opt additional specialists in the Enquiry committee based upon the nature of the
accident / occurrence, keeping the expediency of completing the enquiry in view etc.

GUIDELINES ON REPORTING ACCIDENTS, CONSTITUTION OF ENQUIRY COMMITTEE

Page 912
HONORARIUM
POLICY

Page 913
 HONORARIUM POLICY

1.0 External and Internal Faculty/Resources Persons whose services are enlisted for
the management development activities of the Company are entitled for
honorarium, as detailed below.

1.1 EXTERNAL FACULTY HONORARIUM FOR TRAINING SESSIONS

Level of Faculty Honorarium Conveyance Rate

Rate per session
of duration 1 to
1½ hrs. This
include course
material
Level –I Journey Fare, Local Travel,
Professor of reputedRs. 4000/- Accommodation will be
institutes/universities and their provided/ reimbursed by
equivalents; Senior consultants POSOCO comparable to the
from research based entitlement of General Manager
organizations and institutes; as per prevailing TA Rules.
Present and former Directors
on PSE Boards; ED and GM
level in PSUs and large private
sector organizations; Above
Joint Secretary level or
equivalent positions in the
Govt.
Level II Journey fare, local travel,
Associate Prof./ Readers of Rs.3000/- accommodation will be
Universities; DGMs/ AGMs or provided / reimbursed by
their equivalents of PSUs and POSOCO comparable to the
private organizations; officials entitlement of Deputy General
from government up to the Manager as per TA rules.
level of Director.
Level III Journey fare, local travel,
Lecturer/Assistant professor in accommodation will be
Universities and reputed Rs.2000/- provided / reimbursed by
institutes ; Executives up to POSOCO comparable to the
the level of Chief Mgrs. Or entitlement of Chief Manager
their equivalents from all Manager as per TA rules.
organizations;

Note :
i) The above mentioned rates are for faculties in their individual capacity.

HONORARIUM POLICY
Page 914
 ii) In case of External faculties of exceptional reputation and expert subject
matters experts from premier institutes of national/ international repute,
honorarium maybe paid up to Rs.15000/- per person, Director (HR) shall
have full full powers to approve.
iii) For any reason, if an external faculty declines to take honorarium at the
rates stated above, then books or mementos within the above ceiling can
be given to him/her in lieu of honorarium.
iv) At various offices CC/NLDC/RLDCs, honorarium of Rs. 1500/- per day
inclusive of transport may be given to external faculty for yoga classes
upto 1 ½ hrs duration each day with the approval of GM and above.

1.2 HONORARIUM RATES FOR INTERNAL FACULTY MEMBERS

Level of Faculty Honorarium rate per Conveyance Charges

session of duration 1 to
1½
Directors/CMD Rs. 2500/- As per POSOCO norms.
Level IV Rs.2000/-
Executives at the -do-
Level of E8-E9
Level III Rs.1500/-
Executives at the -do-
Level of E6 & E7
Level II Rs.1000/-
Executives at the -do-
Level of E2-E5
Level I Rs.600/- -do-
Non-Executives

Note : Honorarium for above internal faculties is up to 15 sessions only. If a

person takes more than 15 sessions the honorarium will be paid up to 50% of the
above from 16th session onwards.

Additionally :

- As an encouragement for continued learning and quality in delivery, faculties

designing and delivering a participant workbook for each distinct program
(excepting for repeat programs) as per the standard to be prescribed by program
director/ HRD coordinator, books limited to applicable honorarium for one session
can be reimbursed/given with the certification of concerned training coordinator.

HONORARIUM POLICY
Page 915
1.3 Payment of Honorarium for special packaged/ modular/ outbound
programme

At Corporate Centre for Special package/modular/outbound programs, conducted

through individual faculty or through an agency, held in company premises or
anywhere outside, honorarium up to Rs.1,50,000/- per day will be paid with the
approval of Head of HRD.

At the regional level, for special package/modular/outbound programme,

conducted through individual faculty or through an agency, held in company
premises or anywhere outside, honorarium up to Rs.1,50,000/- per day will be
paid with the approval of Head of Region.

The above figures only include per day training fee excluding taxes. Further, for
release of honorarium for a special modular /outbound programme, Director (HR)
will have full powers.

Note: Packaged/Outbound/Modular programme is arranged from an outside

agency where delivering, facilitating, and arranging faculty, participant manual,
module etc., are part of the package and are the responsibility of that agency.

1.4 Honorarium towards Program Director & Program Coordinator:

Honorarium rates per program to internal Course Directors and Course

Coordinators other than those looking after the jobs related to HRD & EDC will
be paid at the following rate –

Rs.4,000/- for course Director

Rs.3,000/- for Course Coordinator

For a single program, an employee will be paid honorarium either as a Program

Director or Course Coordinator, not both.

1.5 Other Provisions:

Under special circumstances the HRD coordinators if required will arrange

memento, book for participants and faculty with the approval of Head of HRD /
Head of NLDC/RLDC.

The approving authority for payment of honorarium as per Clause 1.1, and 1.2, to
and fro travel (air/rail/road), and boarding and lodging charges of faculty for all
calendar and non- calendar programmes that are non-modular in nature will be
Head of HRD at corporate centre and Head of personnel in case of Regions.
However, approval will be obtained for the payment towards packaged
programme as given under Clause 1.3

HONORARIUM POLICY
Page 916
 Note: Non-Modular programmes are arranged session wise where different
faculty is invited to different sessions. In other words, programmes are arranged
by POSOCO for session wise delivery from different faculty sources.

To enrich the training sessions including hands-on training on equipment, if the

nature and type of session and the training objectives warrant more than one
faculty / facilitator for delivering sessions, each faculty associated will be paid
full honorarium for session(s) separately as per admissible rate.

1.6 PAYMENT OF HONORARIUM RATES FOR PAPER SETTING,

EVALUATION, VIVA-VOICE, PROJECT REPORT ETC.
Sl Description External (Rs.) Internal (Rs. )
No
.
1 Evaluation of Project Reports of Trainees Rs. 500/- (Per Report) Rs. 400/- (Per
in the rolls of POSOCO Report)
2 Viva-Voce related to recruitment, Rs.1900/- Rs.1150/-
training evaluation, promotion for half
day (3hrs) duration
3 Preparation of standardized training • Rs.1500/- • Rs.1150/-(
manual (Executives) Executives)

• Rs.1100/- (Non- • Rs.600/-

Executives) (Non-
Executives)
4 Setting of any type of question paper
(Per Question Paper)
• For test upto 1½ hours duration • Rs.1500/- • Rs.1350/-
• For test above 1½ hours duration • Rs.1900/- • RS.1750/-
5 Evaluation od answer sheets (per answer
sheet)

For objective type paper

1. Upto 1½ hours duration 1. Rs.50/- 1. Rs.40/-

(Minimum of
2. Beyond 1½ hours duration 2. Rs.75/- Rs.600/-)
2. Rs.60/-
(Minimum of Rs.1000/- (Minimum of
for 1&2) Rs.800/-)

HONORARIUM POLICY
Page 917
 For Objective-cum-descriptive type 1. Rs.60/- 1. Rs.55/-
paper 2. Rs.80/- (Minimum of
1. Upto 1½ hours duration Rs.750/-)
2. Beyond 1½ hours duration (Minimum of Rs.1300/- 2. Rs.70/-
for 1&2) (Minimum of
Rs.1000/-)

1.7 HONORARIUM TO PART-TIME INQUIRY OFFICERS/ PRESENTING

OFFICERS
Employees who are appointed as Part-Time Inquiry Officer and Part-Time
Presenting Officer in disciplinary cases shall be paid Honorarium.
1.7.1 Rates
The honorarium rates of Part-Time Inquiry Officers and Part-Time Presenting
Officers shall be as follows:

Officers Honorarium rates

Part-Time Inquiry Officers Rs.2000/- per inquiry
Part- Time Presenting Officers Rs.1000/- per inquiry

1.7.2 Terms and conditions

(i) While approving payment of honorarium, utmost care should be taken to ensure
that grant of honorarium is made only in absolutely deserving cases.
(ii) The number of disciplinary cases shall be restricted to 10 cases in a year, with not
more than 2 cases at a time.
(iii) The full amount of honorarium shall be paid only when the inquiry is completed
within a period of 6 months. If there is a delay in completion of the inquiry which
is not due to non-corporation of the charged employee or due to the stay orders
etc. then the honorarium shall be reduced by 50%.
(iv) Before the honorarium payment is made to Inquiry Officer/Presenting Officer, all
case records and inquiry report shall be handed over to the Disciplinary Authority
by the Inquiry Officer/Presenting Officer.
(v) The Competent Authority to approve honorarium to Inquiry Officer/Presenting
Officer shall be the Disciplinary Authority as per schedule of DOP in respect of
Disciplinary matters provided under CDA Rules.

************

HONORARIUM POLICY
Page 918
 PAY
FIXATION
RULES

Page 919
 PAY FIXATION RULES

1.0 Short Title

These rules may be called “POSOCO Pay Fixation Rules”.

2.0 Applicability
These rules shall be applicable to all employees appointed to posts in the regular
establishment of the Company including:
i) Probationers;
ii) Lien Holders;
iii) Deputationists on foreign service terms; and
iv) Temporary employees appointed for special period,

2.1 These Rules shall not be applicable to:

i) Apprentices engaged under the Apprentices Act, 1961;
ii) Muster roll, Daily rated, Casual, Badli or Substitute employees;
iii) Apprentices/Trainees engaged under Company’s own Training schemes save and
except to the extent specifically mentioned in these Rules; and
iv) Those appointed on consolidated salary.

3.0 Fixation of Pay on Initial Appointment

3.1 The pay on initial appointment other than an appointment on deputation (foreign
service) terms shall be fixed keeping in view all the relevant aspects including
existing emoluments, performance in the interview, abundance/scarcity in a
discipline vis-a-vis the requirements of the Company etc. of suitable personnel.
Initial pay may be fixed at any stage of the pay scale at the discretion of the
appointing authority or an authority empowered in this regard by the appointing
authority. This will be subject to guidelines as may be issued from time to time.

3.1.1 Personal Adjustment: A candidate, drawing higher amount of dearness

allowance in his previous organisation compared to that admissible to him in
POSOCO, will be allowed, in addition to basic pay and dearness allowance, a
separate component to be termed as “Personal Adjustment” as indicated in the
offer of appointment. This provision is to be followed in respect of deputationists
opting for company’s scale of pay.

This is with a view to ensuring that merely on account of D.A. differential, the
basic pay of an individual is not unnecessarily fixed at a higher stage. Subject to
this, the actual basic pay to be allowed will be the one as may be fixed keeping in
view the factors as mentioned in rule 3.1 above. The amount of personal

PAY FIXATION RULES

Page 920
 adjustment and mode of its adjustment in future, shall be done in the manner
notified by the management from time to time.

3.1.2 In respect of an employee of Central Government retaining lien on his previous

post in the parent department, actual basic pay to be allowed to them shall be
determined by applying the principle of FR 22 (c) subject to the condition that (i)
the basic pay of the employee concerned is restricted as provided in Central
Government Rules and (ii) the sum total of basic pay, dearness allowance and
personal adjustment is equal to or less than the Basic Pay and Dearness
Allowance mentioned in their offers of appointment. Subsequent revision(s) of
pay and dearness allowance in his parent organization shall not be taken into
consideration. The personal adjustment so allowed will be treated in the same
manner as mentioned at rule 3.1.1 before.

3.1.3 In respect of an employee of Central Government on deputation opting for

Company’s scale of pay, the excess, if any, of basic pay plus dearness allowance
as admissible to him in his parent organisation over that in POSOCO on
protection basis [to be arrived at in the manner as mentioned in rule 3.1.1 (ii)]
shall be allowed as “Personal Adjustment”. The Personal Adjustment to be so
allowed will be determined with reference to his date of joining on deputation.
Subsequent revision(s) of dearness allowance in his parent organisation shall not
be taken into consideration. The Personal Adjustment so allowed will be treated
in the same manner as mentioned at rule 3.1.1 before.

3.1.4 The pay of a re-employed pensioner of the Central Government on his initial re-
employment shall be fixed as per the Central Government Rules prevalent from
time to time. The working formulae based on the existing Central Government
Rules are given at “Annexure-I” for reference. If the appointment is not the first
re-employment after retirement, the pay of the re-employed pensioner will be
fixed by the appointing authority or an authority empowered in this regard by the
appointing authority, on the basis of principal enunciated at rule 3.1 above subject
to the condition that the actual pay to be drawn by him shall be the pay so fixed
minus the pension and pensionary equivalent of other retirement benefits as under
the Central Government Rules.

3.1.5 In case of a departmental candidate appointed through selection against open

advertisement or internal circular, the pay will be fixed at the minimum of the
scale of pay of the post to which he is appointed or according to the principle as
followed in fixation of pay on promotion, whichever is more favourable to him.
However, in exceptional cases the appointing authority or an authority
empowered in this regard by the appointing authority may allow pay higher than
that admissible according to above fixation, on specific recommendation to that
effect for reasons to be recorded in writing by the Selection Board/Committee.

PAY FIXATION RULES

Page 921
4.0 Fixation of Pay of Deputationists
4.1 The pay of an employee from Central Government on deputation to the Company
shall be fixed in accordance with the deputation (foreign service) rules of the
Central Government, as modified from time to time. An extract from the existing
Central Government Rules, together with explanatory notes are given in
“Annexure-II”.
4.2 The pay of an employee on deputation to the Company from an organisation other
than Central Government will be governed by the terms and conditions of his
deputation as mutually agreed upon between the Company and the lending
organisation. For this purpose, standard terms of deputation will be worked out in
consultation with Corporate Finance and approval of Chairman and Managing
Director obtained. Cases requiring departure from such standard terms will be
dealt with on their merits in consultation with Corporate Finance with the
approval of Chairman and Managing Director.

5.0 Fixation of Pay of Deputationists on Absorption

5.1 Subject to the provision in Rule 5.1.1 below, the pay of an employee who has
opted for his parent office pay scale, while on deputation shall at the time of his
absorption, be fixed as per the following formula :

i) Basic pay in parent office pay scale as on (Rs.)

the date of absorption

ii) Add Dearness pay, if any as on the date of absorption (Rs.)

iii) Add increase in emoluments so as to allow a net benefit

in basic pay and D.A. of up to 20% of Basic Pay,
not exceeding Rs. 250/- (Rs.)
(subject to guidelines issued from time to time). ————
X
————

The basic pay will be fixed at X if it coincides with a stage in POSOCO scale of
pay and at next higher stage, if it does not so coincide.

Provided, however, that where an employee (deputationist) is promoted in his

parent department/superseded for promotion in his parent office merely because
of his being on foreign service, the parent office basic pay, as mentioned at (i)
above, to be reckoned for the above purpose will be presumptive pay to which he
would have been entitled in his parent office on the effective date of absorption
had he not been on foreign service to the Company.

PAY FIXATION RULES

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5.1.1 The guidelines relating to increase in emoluments to be allowed, as mentioned at
(iii) above, will be determined with the approval of the appointing authority or the
authority authorised by him in this behalf from time to time, taking into account
the nature of post/cadre, availability of personnel from open market, the pay,
allowances and other payments admissible to him in his parent organisation as
well as in POSOCO, etc.

5.1.2 In case the dearness allowance actually drawn by the employee is more than that
admissible to him in the Company as on the effective date of absorption, the
difference in basic pay plus dearness allowance (which would have been drawn
by him in his parent department as on the date of absorption) and POSOCO basic
pay plus dearness allowance (to be arrived at in the manner as mentioned in rule
3.1.1) to be treated as “Personal Adjustment” will also be payable to him in
addition to POSOCO dearness allowance. The Personal Adjustment so allowed
will be treated in the same manner as mentioned in rule 3.1.1.

5.2 In case of an employee who had opted for the Company’s pay scale, while on
deputation, shall, at the time of his absorption, in the same scale of pay in which
he was working before his absorption, the amount of Personal Adjustment, if any,
allowed shall be added to his basic pay and if the amount so arrived at coincides
with an exact stage in the pay scale held by him immediately prior to absorption,
the pay will be fixed at that stage and in case it does not so coincide, the pay will
be fixed at next higher stage of pay scale.

In case he is being absorbed in a scale higher than that in which he was working
just before his absorption, his pay on absorption in the higher scale will be fixed
according to the principle as followed in fixation of pay on promotion. Similarly,
while fixing the pay of a deputationist who had opted for parent office pay scale
while on deputation, at the time of absorption, the dearness allowance (including
ADA) and interim relief shall be taken into account in the same manner as basic
pay and dearness pay, if any, etc. are taken into account.

Provided, however, that where the pay of an employee (deputationist) had been
restricted while on deputation owing to operation of certain rules of his parent
department, the pay drawn for the above purpose would be the presumptive pay
which he would have drawn but for such restriction.

6.0 Fixation of Pay of Lien Holders on Absorption

The pay of an employee who retains lien on the services of the parent department
shall, at the time of his absorption, be fixed at the same stage of pay which he
would have drawn in terms of his offer of appointment had he not retained such
lien.

PAY FIXATION RULES

Page 923
7.0 Fixation of Pay on Promotion
7.1 When an employee is promoted to the next higher post/scale of pay, his basic pay
in the grade to which he is promoted shall be fixed at a stage next above the pay
notionally arrived at by increasing his pay in the lower scale of pay by one
increment. Provided, however, that if at any point of time during first year of
promotion the pay benefit arising out of promotion becomes less than one
increment due to entitlement of increment in the pre-promotion scale of pay had
he continued in the same scale, the pay will be stepped up by one increment with
effect from the date on which the employee was due for his increment in the pre-
promotion scale of pay.

7.1.1 If the date of annual increment in the pre-promotion scale of an employee

happens to coincide with his date of promotion, his pay in the pre-promotion pay
scale, to be reckoned for the purpose of pay fixation referred to in rule 7.1 above,
will be the pay which would have been his pay after drawal of increment,
provided the increment was otherwise due to him under the Rules.

7.1.2 If an employee is drawing pay at the maximum or higher than the maximum of
the pre-promotion scale, his pay will also be fixed in the manner indicated above
by adding one notional increment at the rate of last increment in the pre-
promotion scale.

7.2 Provision Regarding Departmental Trainees

7.2.1 A departmental trainee i.e. serving employee of the company subsequently
selected as Trainee/Apprentice under the Company’s own Training Scheme will
be allowed the same stipend as admissible to other trainees of his category.

Provided, however, that where the stipend is less than the sum total of his pay and
dearness allowance which he would have drawn but for his
training/apprenticeship, the same will be protected.

7.2.2 The pay of a departmental trainee, on successful completion of his training, will
be fixed at the minimum of the pay scale of the post in which he is regularised.

Provided, however, that where the basic pay which he would have drawn but for
his training/apprenticeship, in the lower post scale is more than the minimum of
the pay scale, the pay will be fixed at the corresponding stage, if it coincides with
a stage in the higher pay scale and at the next higher stage, if it does not so
coincides. Also, if the pay so fixed becomes, during the first year of his
appointment after training/apprenticeship, lower than the pay which he would
have drawn but for his such appointment, the pay will be stepped up by one
increment with effect from the date on which the employee was due for his
increment in the previous scale of pay.

PAY FIXATION RULES

Page 924
7.3 Treatment of Personal Pay, Special Pay, Special Allowance etc. on Promotion
7.3.1 Subject to the provision contained in Rule 7.3.2, special pay/special allowance
granted in lieu of a higher scale, stagnation increment(s) and personal pay shall be
reckoned as basic pay for the purpose of fixation of pay on promotion to a higher
scale.

7.3.2 The following types of personal pay, special pay and special allowance shall not
be taken into account for the purpose of pay fixation on promotion :

i) personal pay, special pay and special allowance granted for arduous nature of
duties or for services in a particular locality;

ii) special pay/special allowance for shouldering additional duties/responsibilities;

iii) deputation duty allowance or special pay/allowance drawn in lieu thereof by an

employee while on deputation from POSOCO to any other organisation;
and

iv) non-practicing pay or allowance.

7.3.3 However, if additional duties/responsibilities are continued to be shouldered even

after promotion, the special pay/allowance granted for such duties/responsibilities
may continue to be payable unless otherwise decided by the appointing authority.

8.0 Fixation of Pay on Reduction to Lower Post/ Scale of Pay

In case of reduction to a lower post/scale of pay as a measure of penalty, transfer
to a lower post/scale of pay on written request of the employee, re-employment in
a lower post/scale of pay as a measure of rehabilitation on account of being
declared medically unfit for holding/discharging the duties of the previous post or
otherwise, the pay of an employee will be fixed in the lower scale of pay in such a
manner that the pay drawn in the previous post is protected subject to the
condition that it would not exceed the maximum of the pay scale of the lower
post. If there is no appropriate stage in the lower scale of pay, the pay will be
fixed at next lower stage and the difference will be paid as personal pay, not to be
absorbed in future increments. In case there is a drop in dearness allowance, the
same will be protected by granting Personal Adjustment which will be absorbed
in future increases of dearness allowance.

The Personal Adjustment so allowed will be treated in the same manner as

mentioned in Rule 3.1.1.

PAY FIXATION RULES

Page 925
9.0 Drawal of Increment
9.1 The following will count for increment :
i) service rendered in a post in equivalent or higher grade;

ii) all kinds of leave other than Extra Ordinary Leave save and except to the extent
indicated below :
EOL on account of illness or for pursuing of higher scientific and
technical/professional studies duly supported by a medical certificate from an
authorized medical officer of the Company in case of illness and by a certificate
from the Head of Region that the higher scientific and technical/professional
studies are in the interest of the Company’s work in case of leave for pursuing of
such higher studies;

iii) joining time in continuation of duty;

iv) joining time in continuation of leave if the last day of the leave immediately
before the commencement of joining time counts for increment in the post; and

v) foreign service.

9.2 The following shall not count for increment:

i) EOL on account of illness or for pursuing of higher scientific and technical/

professional studies not supported by appropriate certificate as mentioned at
9.1(ii) above;
ii) Period of suspension unless ordered otherwise by the disciplinary/appellate/
reviewing authority;
iii) Period of over-stayal of sanctioned leave unless regularised by grant of leave;
and
iv) Period of over-stayal of joining time unless regularised by grant of leave.

9.3 The first increment in a scale of pay shall be drawn from the first date of the
quarter (referred to as ‘Standard Dates’ hereinafter) falling in the next calendar
year as detailed below :
————————————————————————————————
Sl. No. Employee appointed or promoted between Standard
Dates
————————————————————————————————
i) 1st January & 31st March 1st January
ii) 1st April & 30th June 1st April
iii) 1st July & 30th September 1st July
iv) 1st October & 31st December 1st October
————————————————————————————————

PAY FIXATION RULES

Page 926
 Provided that where the appointment/promotion is subject to probation for a
specified period, the increment shall be granted only after satisfactory completion
of probation, but from the dates as applicable and as indicated above.

Provided further that, where completion of probation period is held up due to

want of satisfactory report about character and antecedents and/or medical
examination reports, an employee may be granted annual increment at the
discretion of the management if the delay in getting medical/character and
antecedents reports is not directly attributable to the employee concerned.

9.3.1 In case of extension of the period of probation, no increment shall be granted till
probation is satisfactorily completed. In such cases the employee concerned shall
be granted his first increment from the first date of the quarter in which he
satisfactorily completes his probation; and thereafter, he shall draw his second and
subsequent increment on completion of one year’s service from drawal of the last
increment on the standard date.

9.3.2 In respect of a departmental trainee who is allowed protection of basic pay and
dearness allowance in terms of rule 7.2.1, annual increment(s) occuring during the
period of training will be regulated in a manner as if he continues to hold his
previous post.

9.3.3 EOL taken on account of reasons other than illness or prosecution of higher
scientific and technical/professional studies will also count for increment
provided it is for less than 3 (three) months. In cases, however, where the extra-
ordinary leave under this category is 3 (three) months or more but less than 6 (six)
months during incremental year to which the increment pertains, the date of
increment will be shifted from 1st January to 1st April, 1st April to 1st July, 1st
July to 1st October and 1st October to 1st January, as the case may be. The same
principle will be followed for the period of EOL in excess of six months, nine
months or one year and so on.

9.3.4 In case of stoppage/withholding of increment as a measure of penalty, for a

specified period, no increment will accrue during such period, on the expiry of the
specified period, the employee will draw the pay which would have been drawn
by him had no such penalty been imposed unless the punishment order states that
the penalty will have a cumulative effect. If the punishment order states that it
will have a cumulative effect, then on the expiry of the period of penalty, the
employee shall not be allowed the increment which he would have drawn but for
the penalty. In other words, he will be allowed the increment at the rate next to the
pay drawn by him, after the expiry of the period of penalty.

9.3.5 In case of reduction to a lower stage in a time scale as a measure of penalty, the
next increment of an employee in the scale of pay will be drawn on his usual
increment date in the time scale. In other words, the pay of the employee will be

PAY FIXATION RULES

Page 927
 raised by one increment from the stage to which his pay had been reduced due to
imposition of penalty on his usual increment date in the time scale.

9.3.6 In case of reduction to a lower post/scale of pay for an unspecified period as a

measure of penalty, the increment of an employee in the lower post/scale of pay
shall be drawn on the date on which his increment would have fallen due had no
such penalty been imposed on him.

9.3.7 In case of reduction to a lower post/scale of pay for a specified period as a

measure of penalty, the increment of an employee in the lower post/scale of pay
shall be drawn on the date on which his increment would have fallen due had no
such penalty been imposed on him. On restoration to the original post/scale of
pay, the pay of the employee shall be fixed at the same stage to which he would
have been entitled to but for imposition of the penalty unless otherwise stated by
the disciplinary authority. In the latter event, the pay of the employee shall, on
restoration, be fixed treating the period of reduction as not counting for increment
subject to the condition that his pay will be fixed in such a manner that the pay
drawn in the lower post/scale of pay is protected. If there is no appropriate stage
in the scale of pay to which he is restored, the pay will be fixed at next higher
stage. The first increment subsequent to such restoration in either case will be
governed by the usual rules of preponement.

9.3.8 If an order of penalty of stoppage/withholding of increment or reduction to a

lower stage in a time scale or reduction to a lower post/scale of pay is modified by
the competent/appellate/reviewing authority on appeal or review, the period from
the effective date of imposition of such penalty by the disciplinary authority to the
date on which the order of penalty is modified, will count for the purpose of
increment in the post/scale of pay which he was holding immediately before
imposition of the penalty or in other post which he would have held but for the
order of penalty, to the extent the modified order permits of such counting.

9.3.9 If an order of penalty of stoppage/withholding of increments or reduction to a

lower stage in a time scale or reduction to a lower post/scale of pay is set aside by
the competent/appellate/reviewing authority on appeal or review, service rendered
by an employee at the stage the increment was stopped/withheld or in the lower
stage in the time scale or in the lower post/scale of pay from the effective date of
imposition of such penalty to the date on which the order of penalty is set aside
will count for increment in the post/scale of pay which he was holding
immediately prior to imposition of the penalty, provided that he would have
continued to hold that post/scale of pay but for the order of penalty.

9.4 Notwithstanding anything contained herein before, the first increment in case of
lienholders/deputationists, in whose case the pay fixation on absorption is done on
the basis of pay drawn in parent office pay scale immediately before the date of
absorption in company’s pay scale subsequent to the date of absorption, shall be

PAY FIXATION RULES

Page 928
 drawn on completion of one full year from the date of increment in the parent
office pay scale immediately prior to their effective date of absorption.
Subsequent increments shall be drawn from the relevant standard dates falling in
the next calendar year.

9.5 The second and subsequent increments in a scale of pay shall be drawn on
completion of one year’s service from drawal of last increment from either of the
four standard dates as mentioned earlier.

9.6 Annual increments wherever applicable will be drawn as a matter of course by the
concerned Finance and Accounts Department unless it is withheld by specific
order in writing of the competent authority. In the case of probationers, the first
increment shall be granted only on a specific order/communication from the
concerned HR Department in accordance with rule 9.3.

10.0 Removal of Anomalies in Pay Fixation

10.1 If an employee promoted to post draws a lower rate of pay in that post in relation
to another employee junior to him in the lower grade and promoted subsequently
to the same higher post, the pay of employee in the higher post will be stepped up
to a figure equal to the pay fixed for the junior employee and that higher post.
This will be done with effect from the date of promotion of junior employee and
shall be subject to the following conditions:

i) The anomaly has arisen directly as a result of the application of normal pay
fixation rules.

ii) The scales of pay of the corresponding lower and the higher posts of both the
senior and junior employees are identical.

iii) Both the junior and the senior employees should belong to the same cadre and line
of promotion and the posts in which they have been promoted are identical and in
the same line of promotion.

iv) The employee whose pay is to be stepped up is senior both in the higher as well as
the lower post/scale of pay, and

v) The benefit of stepping up can be allowed to the senior employee only if he was
not drawing or would not have drawn less pay in the lower post than his junior.
For this purpose, comparison of pay has to be made first in the lower post when
an anomaly arises in the higher post. A notional figure for the senior employee is
to be arrived at in the lower post and then compared with his junior in the lower
grade just before the promotion.

Provided that provisions contained in these Rules shall not be invoked if in the
lower post the junior employee drew a higher rate of pay than his senior.

PAY FIXATION RULES

Page 929
10.2 If an employee promoted to a post draws a lower rate of pay in that post in
relation to the pay he would have drawn in the lower post but for his promotion,
his pay will be stepped up by one increment in the higher post/scale of pay. This
will be done with effect from due date of his increment in the lower post/scale of
pay.

10.3 In cases where the pay is stepped up under the above Rules or under the
provisions contained elsewhere under these Rules, the next annual increment
subsequent to the date on which pay is so stepped up shall be drawn only from the
relevant standard date falling in the next calendar year and not from the original
due date of increment.

10.4 In respect of an employee going into certain apprenticeship or training by a

positive selection with a view to being considered for a higher post or otherwise,
his notional progress in the original post and scale to be proforma protected vis-a-
vis his juniors who have not been so selected. This is to be done till the period the
senior so selected is appointed in a different post pursuant to such apprenticeship
or training. In case of his reversion to the original post, he shall be restored to his
original position.

11.1 Fixation of pay except on promotion shall be the responsibility of the concerned
HR Department. However, in cases of pay fixation on absorption of a
deputationist/lienholder and appointment of re-employed pensioners, the
concerned HR Department will fix the pay in consultation with the concerned
Finance Department. Fixation of pay on promotion shall be done by the
concerned Finance Department. In case of doubt, the matter will be dealt with in
consultation with Corporate HR and Corporate Finance.

11.2 The Chairman and Managing Director may relax any of these Rules to mitigate
the hardship caused to any employee in exceptional cases.

11.3 The Power to administer these Rules shall vest in the Chairman and Managing
Director. In case of any doubt in regard to interpretation of any provision of these
Rules and also in respect of cases not covered by these Rules, the matter will be
referred to the Chairman and Managing Director whose decision shall be final and
binding.

Note :
Other issues related to Pay fixation linked with revision of Pay will be as per the
specified clauses mentioned in the Pay revision Circulars and subsequent
guidelines.

PAY FIXATION RULES

Page 930
 ANNEXURE-I

MANNER OF FIXATION OF PAY OF RE-EMPLOYED PENSIONER

OF THE CENTRAL GOVERNMENT ON HIS INITIAL RE-EMPLOYMENT
(Under Sub-rule 3.1.4)

1. *Pay offered in POSOCO scale of pay A

2. Less amount of pension minus ignorable pension B
3. Less pension equivalent of gratuity or CPF in lieu of
pension or gratuity C
______________
X= A-B-C
______________

Formula for calculating Pension Equivalents of Gratuity (PEG)

Death-cum-retirement gratuity/CPF as at 3
PEG = ______________________________________________________
Commutation factor corresponding to age on next birthday x 12

A. Actual pay to be allowed is X in the scale offered

B. Graded relief allowed by the Central Government from time to time is to be adjusted
against the dearness allowance payable in the Company.

* To be restricted at the minimum of the pay scale, except in situations specified

in G.O.I. decision No-1 below F.R. 22 and subsequent decisions/clarifications.

——————————————————————————————————————
NOTE :

The working formulae as above will serve only as guide. The detailed Central Government Rules
as contained in Fundamental Rules may however be referred to for further guidance.

PAY FIXATION RULES

Page 931
 ANNEXURE-II

FIXATION OF PAY OF DEPUTATIONISTS FROM CENTRAL GOVERNMENT

1. A Government employee on deputation to POSOCO will have the option of either getting
his pay fixed in the Company pay scale attached to the deputation post under section 2
below, or to draw pay in his parent department pay scale plus deputation (duty)
allowance in accordance with Section 3 below. Option once exercised will be treated as
final, except in the following cases when a fresh option will be allowed:

i) On proforma promotion in parent department under next below rule.

ii) On reversion to lower grade in parent department.
iii) On appointment to another grade in the company with the consent of parent
department.
iv) On revision of scale of deputation post or of the post held in parent department
with retrospective effect or from a prospective date.

2. For those opting for POSOCO scale of pay, subject to the provisions contained in section
4 below, in respect of all appointments to posts carrying the pay scales, the starting of
which does not exceed Rs. 1500*, the initial pay shall be fixed at a stage next above the
pay notionally arrived at by increasing his basic pay in the parent office scale of pay by
one increment. In other cases, the pay shall be fixed at a stage the next above the basic
pay drawn in the parent office scale of pay.

* Revision to be notified.

3. For those opting for parent office scale of pay

Subject to the provisions contained in section 4 below, employee will be entitled to

deputation (duty) allowance, in addition to his basic pay, at the following rates:-

i) 5% of his basic pay subject to a maximum of Rs. 250/- per month when the
deputation is within the same station (to be determined with reference to the
station where he was on duty before proceeding on deputation/ foreign service).

ii) 10% of his basic pay subject to a maximum of Rs. 500/- per month in all other
cases, provided that the basic pay, deputation (duty) allowance shall at no time
exceed Rs. 7,300/- p.m. Provided further that the basic pay of the employee in his
parent department from time to time plus the deputation (duty) allowance does not
exceed the maximum of the scale of the post held on deputation or where the post
on deputation has a fixed pay, that fixed pay.

PAY FIXATION RULES

Page 932
 4. In order that no employee receives an abnormal pay increase by virtue of being
posted on deputation, the authority ordering the deputation will ensure that the
minimum pay in the pay scale of the post to which such deputationist made is not
substantially in excess of his basic pay plus deputation (duty) allowance at
prescribed rates. Where such minimum substantially exceeds the emoluments
admissible under the alternative of drawing deputation (duty) allowance at
prescribed rates, the appointing authority shall restrict the pay of deputationists to
a suitable figure below the minimum pay of the post. For purposes of uniformity,
the pay allowed should not exceed the basic pay of the deputationists by more
than the amounts shown below.

a) for employees in receipt of basic pay above Rs. 2200/-

-12 1/2% of basic pay or Rs. 330/- whichever is more.

b) for employees in receipt of basic pay above Rs. 1000/- & up to Rs. 2200/-
- 15% of basic pay or Rs. 200/- whichever is more.

c) for employees in receipt of basic pay of and below Rs. 1000/-

- 20% of basic pay.

5. For the above purpose, the “basic pay” shall mean the pay drawn in the scale of pay of
the substantive appointment held or the pay in the scale of pay of the officiating
appointment in an employee’s cadre provided that the officiating appointment so held
was not in a tenure post and it is certified by the appointing authority that but for the
deputation the employee would have continued to hold the officiating appointment
indefinitely.

Provided that the “special pay” drawn in a particular appointment shall be deemed as part
of ‘Basic pay’ only in the following circumstances:

a) The appointment to which the special pay is attached is not tenure appointment;
and
b) i) The special pay has been shown in the schedule to the Central civil services
(Revised pay) Rules, 1960 or CCS (RP) Rules, 1973 as the pay drawn in the pre-
revised scales of pay; or

ii) The special pay has been specifically sanctioned for the post, in addition to a scale
of pay, in lieu of a separate scale of pay, for the post.
NOTE :
The provisions contained in Annexure-II are the summary of Central Government Rules
regarding fixation of pay of deputationists during the period of deputation. These may be
considered only as a guide. Detailed rules and regulations on the subject, are contained in
Appendix 31 of Civil Service Regulations Vol.-II (Chaudri’s Compilation) as amended from time
to time which may be referred to for further guidance.

PAY FIXATION RULES

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