HR Policy Booklet HR Management Group

HR POLICY BOOKLET
Version 1.1

Human Resource Management Group

 HR Policy Booklet HR Management Group

Version Control

Document owner Human Resource Management Group

Version Number First Release Date

Next Revision Date Availability

Distribution List

S. No. Group / Division

1 President

2 All Group Chiefs/ Heads

3 All Divisional Heads

4 All Regional Chief Executives and Country Heads

5 All Regional Heads

All Chief Branch Sales & Service Managers, Branch Sales & Service Managers,
6
Branch Sales & Operations Managers and Branch Operations Manager

7 All Principals/ Directors, Staff Colleges

**This is a Bank-wide policy that is to be adopted and followed across the Bank including the
overseas branches and subsidiaries. Therefore, ensuring dissemination to and adherence by
all personnel of the Bank will be the responsibility of the respective Group Heads, Divisional
Heads, General Managers/ Regional Chief Executive, Corporate Heads and Regional Heads.
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Contents

HR POLICY BOOKLET ............................................................................................. 1

1.1 Introduction .................................................................................................. 9
1.2 Objective and Scope ....................................................................................... 9
1.3 NBP Vision, Mission & Core Value ...................................................................... 9
1.4 HR Mission ................................................................................................ 10
1.5 Human Resource Types and Classifications ......................................................... 10
1.6 NBP Employee Categories ............................................................................. 11
1.7 Review Mechanism ...................................................................................... 11
1.8 Responsibility for Implementation and Interpretation ............................................... 11
Chapter 2 - Code of Conduct ................................................................................... 12
2.1 Purpose .................................................................................................... 12
2.2 Application ................................................................................................. 12
2.3 Compliance with this Code .............................................................................. 12
2.4 Basic Principles ........................................................................................... 12
2.5 Disclosure of Information/Transactions (STRs/CTRs) to Outsiders .............................. 14
2.6 Limited Use of Confidential Information ............................................................... 15
2.7 Avoid conflicts of interest ................................................................................ 15
2.8 Use of NBP’s Computer Systems ...................................................................... 16
2.9 External Communications ............................................................................... 16
2.10 Employee Information ................................................................................... 16
2.11 Sincerity with NBP/Management and Others ........................................................ 17
2.12 Self-Dealing ............................................................................................... 17
2.13 Respect the Policies of the organization .............................................................. 18
2.14 Demonstrate Discipline and Decency ................................................................. 18
2.15 Dress Code ................................................................................................ 18
2.16 Acceptance of Gifts from Suppliers or Clients ....................................................... 18
2.17 Borrowing Money from Vendors or Clients ........................................................... 19
2.18 Political Affiliation ......................................................................................... 19
2.10 Parallel Service ........................................................................................... 19
2.20 Data Reporting ............................................................................................ 19
2.21 Fraud / Theft ............................................................................................... 20
2.22 Declaration of Secrecy................................................................................... 20
2.23 Employee not to leave station .......................................................................... 20
2.24 Representation to Directors and Members ........................................................... 20
2.25 Technology Usage ....................................................................................... 20
2.26 Restrictions on borrowings .............................................................................. 20
2.27 Speculating in stocks, shares and giving of guarantee ............................................. 21
2.28 Money Laundering........................................................................................ 21
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2.29 Acts of Misconduct ....................................................................................... 22

2.30 Policy Implementation ................................................................................... 24
2.31 Revision of Policy......................................................................................... 24
2.32 Approval.................................................................................................... 24
Chapter 3 - Prevention of Harassment ....................................................................... 25
3.1 Policy Statement .......................................................................................... 25
3.2 Scope ....................................................................................................... 25
3.3 Complaint Procedures ................................................................................... 26
3.4 The Committee on Prevention of Harassment at Workplace ...................................... 27
3.5 Disciplinary Action ........................................................................................ 28
3.6 Responsibility ............................................................................................. 28
Chapter 4 - Employee Recognition ........................................................................... 29
4.1 Scope ....................................................................................................... 29
4.2 Types of Awards .......................................................................................... 29
4.3 Categories of Employees ............................................................................... 30
Chapter 5 – Staff Finances ...................................................................................... 31
5.1 Introduction ................................................................................................ 31
5.2 Purpose .................................................................................................... 31
5.3 Scope ....................................................................................................... 31
5.4 House Building Finance ................................................................................. 31
5.5 Motor Car Finance........................................................................................ 40
5.6 Related General Clauses for both House Building/ Motor Car Finance ......................... 43
5.7 Sanctioning Authority of Staff Loans/ Finances ...................................................... 44
5.8 Issuance of Sanction Advice ............................................................................ 44
5.9 Policy Implementation ................................................................................... 44
5.10 Effective Date of Policy Implementation .............................................................. 45
5.11 Revision of Policy......................................................................................... 45
5.12 Approval.................................................................................................... 45
Chapter 6 – Travel Rules ........................................................................................ 46
6.1 Section One – Inland Travel Policy A-1 Scope ...................................................... 46
6.1.2 Definitions .................................................................................................. 46
6.1.3 Travel Expenses .......................................................................................... 47
6.2 Travel Authorization Matrix ............................................................................. 51
6.3 Travel Entitlement ........................................................................................ 52
6.4 General Guidelines ....................................................................................... 53
6.5 Section Two - Foreign Travel Policy B-1 Scope ..................................................... 54
6.5.1 Purpose of Visit ........................................................................................... 54
6.5.2 Travel Authorization Matrix ............................................................................. 55
6.5.3 Official Tours .............................................................................................. 55
6.5.4 Business Travels to Pakistan ........................................................................... 56
6.5.5 Permanent Transfers .................................................................................... 57
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6.5.6 Temporary Transfers ..................................................................................... 58

6.5.7 Assignment based Foreign Travel (above 15 days) ................................................ 59
6.5.8 Other Journeys............................................................................................ 59
6.5.9 No Objection Certificate (NOC) ........................................................................ 59
6.5.10 General Guidelines ....................................................................................... 60
6.5.11 Responsibility for Implementation ....................................................................... 61
Chapter 7 – Job Rotation ........................................................................................ 62
7.1 Purpose .................................................................................................... 62
7.2 Scope ....................................................................................................... 62
7.3 Period of stay (Term) .................................................................................... 62
7.4 Policy Guidelines ......................................................................................... 62
7.5 General Guidelines ....................................................................................... 64
7.6 Responsibility Matrix ..................................................................................... 65
7.7 Exception Approving Authority ......................................................................... 66
7.8 Responsibility for Implementation ...................................................................... 67
Chapter 8 - Academic & Professional Qualification ...................................................... 68
8.1 Scope ....................................................................................................... 68
8.2 Eligibility .................................................................................................... 68
8.3 Conditions governing Incentive Scheme.............................................................. 68
8.4 On Improvement of Academic / Professional Qualification ........................................ 68
8.5 On Improvement of Professional Qualification ....................................................... 69
8.6 Requirements / Guidelines .............................................................................. 70
Chapter 9 – Deputation Policy ................................................................................. 71
9.1 Scope ....................................................................................................... 71
9.2 Standard Terms & Conditions .......................................................................... 71
9.3 Period of Deputation ..................................................................................... 71
9.4 Pay .......................................................................................................... 71
9.5 Deputation Allowance .................................................................................... 71
9.6 Other Allowances and Bonuses ........................................................................ 71
9.7 Reimbursable Perks & Benefits ........................................................................ 71
9.8 Residential Facility ....................................................................................... 71
9.9 Medical Facility............................................................................................ 72
9.10 Contribution towards Pension Fund/Benevolent Fund ............................................. 72
9.11 Joining Time, TA/DA ..................................................................................... 72
9.12 Leave Entitlement ........................................................................................ 72
9.13 Annual Performance Appraisal ......................................................................... 72
9.14 Promotion .................................................................................................. 72
9.15 Placement on Repatriation to NBP .................................................................... 72
9.16 Undertaking before proceeding on deputation ....................................................... 72
9.17 General Guidelines ....................................................................................... 73
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9.18 Approving Authority ...................................................................................... 73

Chapter 10 - Extraordinary Leave ............................................................................. 74
10.1 Purpose .................................................................................................... 74
10.2 Scope ....................................................................................................... 74
10.3 Conditions ................................................................................................. 74
10.4 Authority to sanction EOL ............................................................................... 75
Chapter 11 – Internship Policy ................................................................................. 76
11.1 Objective ................................................................................................... 76
11.2 Scope ....................................................................................................... 76
11.3 Eligibility .................................................................................................... 76
11.4 Duration / Period .......................................................................................... 76
11.5 Stipend ..................................................................................................... 76
11.6 Procedure .................................................................................................. 76
11.7 Internship Schedule ...................................................................................... 77
11.8 Constitution and Role of Visiting Teams .............................................................. 77
11.9 Authority.................................................................................................... 77
Chapter 12 – Succession Planning ........................................................................... 78
12.1 Purpose .................................................................................................... 78
12.2 Scope ....................................................................................................... 78
12.3 Succession Planning Process .......................................................................... 78
12.4 General Guidelines ....................................................................................... 82
12.5 Responsibility Matrix ..................................................................................... 82
Chapter 13 – Performance Appraisal ......................................................................... 84
13.1 The Balanced Scorecard Approach (SVP & Above) ................................................ 84
13.2 Annual Job Objective and Performance Review (VP & Below) ................................... 84
13.3 Evaluation Guidelines .................................................................................... 86
13.4 General Guidelines ....................................................................................... 87
Chapter 14 – Promotion Policy ................................................................................ 94
14.1 Purpose .................................................................................................... 94
14.2 Promotion Process ....................................................................................... 95
14.3 Minimum Eligibility Criteria .............................................................................. 97
14.4 Evaluation Formula for Promotion ..................................................................... 98
14.5 Conditions ............................................................................................... 101
14.6 Date of Policy Announcement ........................................................................ 102
Chapter 15 – Recruitment Policy ............................................................................ 103
15.1 Purpose .................................................................................................. 103
15.2 Minimum Criterion of Hiring ........................................................................... 107
15.3 Types of Recruitment .................................................................................. 108
1. Aptitude Test ............................................................................................ 109
2. Group Discussion ....................................................................................... 109
3. Final Interview ........................................................................................... 110
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1. Submission of Requisition Forms .................................................................... 110

3. Screening and Shortlisting of Applications ......................................................... 110
4. Aptitude Test ............................................................................................ 110
15.4 Effective Date of Policy Implementation ............................................................ 113
Chapter 16 - Employee Discipline ........................................................................... 114
16.1 Policy Administration: .................................................................................. 114
16.2 Principles ................................................................................................ 115
16.3 Process Flow ............................................................................................ 116
16.4 Sources of Reporting .................................................................................. 118
16.5 Suspension .............................................................................................. 120
16.6 Investigation ............................................................................................. 121
16.7 Pre-Charge Sheet Issuance Committee ............................................................ 126
16.8 Charge Sheet and Show-Cause Notice ............................................................. 126
16.9 Mandatory Enquiry ..................................................................................... 127
16.10 Competent Authorities ................................................................................. 130
16.11 Disciplinary Penalties (Punishments) ............................................................... 134
16.12 Appeal or Application for Review (any disciplinary punishment) ................................ 136
16.13 Disciplinary Committees ............................................................................... 137
16.14 Policy Implementation ................................................................................. 137
16.15 Effective date of implementation ..................................................................... 138
16.16 Revision of Policy....................................................................................... 138
16.17 Approval.................................................................................................. 138
Chapter 17 - Employee Grievance Handling Guidelines ............................................... 139
17.1 Purpose .................................................................................................. 139
17.2 Scope ..................................................................................................... 139
17.3 Limitations ............................................................................................... 139
17.4 Grievance Resolution Ways .......................................................................... 139
17.4.1 Process for Informal Resolution of Grievance(s) .................................................. 139
17.4.2 Process for Formal Resolution of Grievance(s) ................................................... 140
17.5 Appeal Process ......................................................................................... 142
17.6 Victimization Statement ............................................................................... 143
17.7 Confidentiality Statement: ............................................................................. 143
17.8 Investigations Statement: ............................................................................. 143
17.9 General Guidelines for Handling Grievances ...................................................... 144
Chapter 18 - Overseas Posting Policy ..................................................................... 145
18.1 Purpose .................................................................................................. 145
18.2 Scope ..................................................................................................... 145
18.3 Repatriation to Pakistan ............................................................................... 149
18.4 Promotion ................................................................................................ 149
18.5 HR Related Information ............................................................................... 149
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18.6 Policy Implementation ................................................................................. 149

18.7 Effective Date of Policy Implementation ............................................................ 150
18.8 Revision of Policy....................................................................................... 150
18.9 Approval.................................................................................................. 150
18.10 Position Benchmarking For Overseas Posting .................................................... 150
Chapter 19 - Health Benefit Policy .......................................................................... 153
19.1 Introduction .............................................................................................. 153
19.2 Purpose .................................................................................................. 153
19.3 Definition ................................................................................................. 153
19.4 Eligibility .................................................................................................. 154
19.5 Family /Dependents Eligibility Criteria............................................................... 154
19.6 Medical Facilities ....................................................................................... 155
19.7 Room Entitlement during Hospitalization ........................................................... 156
19.8 Bank’s approved list of Prolong Chronic Diseases ................................................ 157
19.9 NBP Medical Committee at Head Office ............................................................ 157
19.10 General Guidelines ..................................................................................... 158
19.11 General Exclusions ..................................................................................... 158
19.12 Approving Authority .................................................................................... 160
19.13 Approving authority for claim reimbursements and payment to hospitals ..................... 160
19.14 Policy Implementation ................................................................................. 161
19.15 Responsibility for Implementation .................................................................... 161
19.16 Effective Date of Policy Implementation ............................................................ 161
19.17 Revision of Policy....................................................................................... 161
19.18 Approval.................................................................................................. 161
Chapter 20 Transfer Policy ................................................................................... 162
20.1 Purpose .................................................................................................. 162
20.2 Policy Implementation ................................................................................. 167
20.2.2 Revision of Policy....................................................................................... 167
20.2.3 Approval.................................................................................................. 167
Chapter 21 Separation and End of Service Benefits ........................................ 168
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Chapter 1 - Introduction
1.1 Introduction

National Bank of Pakistan (NBP), the largest Commercial Bank in Pakistan, has to maintain its leading
role in all areas of banking. To sustain its market standing, the Bank keeps updating its strategies and
policies through periodic reviews.

With the aim of remaining transparent and futuristic National Bank of Pakistan is determined that the
policies and procedures for Human Resources should be restructured.

The HR Booklet has been prepared based on review of past policies, rules, regulations, circulars, forms
and other relevant material.

1.2 Objective and Scope

The objective of HR Booklet is to provide an easy-to-refer document on all important aspects of Human
Resource Management. The HR Booklet reiterates Bank’s Vision and HR-Mission that describes the
value sets and beliefs that convey the sense and spirit for its implementation.

The HR Booklet demonstrates Bank’s open and transparent policy towards Human Resource
Management and illustrates its commitment to engineer and nurture a positive change. All exceptions
to the rules and issues arising out of the implementation of the HR Booklet will be brought to the
attention of HRM Group.

1.3 NBP Vision, Mission & Core Value

The NBP’s Vision is “to be the nation’s leading bank enabling sustainable growth and inclusive
development.”

The NBP’s Mission is “We will achieve our vision by subscribing to the qualities captured by the word
IMAGINE.”

NBP’s Core Values:

a) Integrity is the cornerstone of everything we do

b) Market Leadership is what we came across all our target sectors

c) Agility and strategic nimbleness will help us adapt to changing market conditions

d) Good governance and transparency

e) Innovation to provide for the customer’s needs of tomorrow

f) Nation building remains our priority

g) Employee engagement through a merit based culture

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1.4 HR Mission

Interpreting the NBP vision for HRM, the HR mission of the Bank is:

“to provide more talented human resource in relation to competition in all functional areas of NBP
and keep them motivated and maintain total industrial harmony”

1.5 Human Resource Types and Classifications

The Bank inducts and/or uses following three basic types of human resource.

Type-1 This category includes all permanent positions from executives to

non-clerical cadre
Regular and Permanent
Employees

Type-2 Services acquired on contract or temporary basis for a defined and

specific period of time are included in this category
Specialists and Experts hired
on Contract or on Temporary
basis

Type-3 Services acquired through Bank’s approved Service

Outsourced Jobs Providers shall fall into this category

All employment positions under Type-1 and Type-2 above are further classified on the basis of job
description into following two categories:

Category-1, Management

Category-2, Non-Management

The differentiating factor between the two categories of employees is that the employees of
Management Category hold authority for decision making whereas, in the case of Non-Management
Category, no authority of decision making can be delegated. This category comprises of unionized staff
as defined under IRA 2008.

Type-3 / Outsourced Jobs/Resources are in no way, directly or indirectly, to be treated as, Bank’s
employees. The Bank maintains contractual relationship with the service provider/ vendor governed by
“Service Level Agreements (SLAs)” signed between the Bank and the service providers. Such persons
will not have any kind of claim on the Bank whatsoever. Their participation in any unionized activity will
be illegal.
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1.6 NBP Employee Categories

President,
SEVP
Senior Management EVP
Or anybody who is designated to hold a
Senior Management position

Category-1 SVP VP
Middle Management
Management AVP

OG-I
OG-II
Junior Management Chief Cashier
OG-III
Senior Head Cashier

Senior Assistant
Assistant
Key Punch Operator (KPO) Typist
Clerical Senior Cashier
Cashier
Telephone Operator Godown
Inspector

Godown Keeper
Category-2
Godown Chowkidar
Non-Management
Bank Guard
Bank Chowkidar
Support / Non- Driver
Clerical Messenger
Other Technical Support
Mali
Farrash
Sweeper

(Reference BoD Minutes dated 24.08.2010)

The requirement of any other types of human resource, i.e. other than the types listed above, can be
inducted with the explicit approval of Board of Directors.

1.7 Review Mechanism

HR Booklet is part of the integrated HR Policy Framework and is intended to ensure periodical review
of HR Policies with the objective of assuring continual improvement.

The NBP Human Resource (HR) Booklet shall be reviewed after every three years.

1.8 Responsibility for Implementation and Interpretation

The responsibility for implementation of this Booklet lies with HRM Group, NBP, HO’s
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Chapter 2 - Code of Conduct

2.1 Purpose

The Code of Conduct (“the Code”) is to define the commitment that the National Bank of Pakistan
(“NBP” or “the Bank”) expects of its employees to know in clear terms what acts, conducts and practices
are considered ethical, and clearly describe the appropriate behaviour that all employees are required
to adopt in order to safeguard the reputation enjoyed by the Bank and its subsidiaries, both in Pakistan
and abroad. It also describes, where considered necessary, the omissions that would be against the
Code.

2.2 Application

A copy of the NBP’s Code of Conduct will be provided to all concerned so that they know the applicable
provisions and undertake to follow these in the course of their employment/ and/or business relationship
with the Bank upon induction of employee, return from deputation and updation in the policy or after
every five years whichever is earlier.

The rules set out in this Code are to be applied at all times and in all places when carrying out Bank
duties, be they of a professional or social nature.

2.3 Compliance with this Code

If an employee fails to comply with this Code or applicable laws, rules or regulations (including the rules
and regulations of the SBP, where applicable) he or she will be subject to disciplinary measures,
including (with respect to employees) discharge from the Bank as per the Bank’s Employee Discipline
Policy (“EDP”). Violations of this Code may also constitute violations of law and may result in civil or
criminal penalties for such person, and such person's supervisors. The competent authority will
determine or designate appropriate persons to determine appropriate actions to be taken in the event
of a violation of this Code. In determining what action is appropriate in a particular case, the competent
authority or its designee will consider the following aspects:

a) nature and severity of the violation

b) whether the violation was a single occurrence or repeated occurrences

c) whether the violation was intentional or inadvertent

d) whether the individual in question had been advised prior to the violation as to the proper course of
action, and

e) whether or not the individual in question had committed other violations in the past.

2.4 Basic Principles

2.4.1 Act with Honesty and Integrity

As a member of NBP team, employee may deal regularly with clients, suppliers, auditors, attorneys,
colleagues, government officials, competitors and others. Everyone has a right to expect that employee
will act with complete honesty, integrity and fairness in all regards. The Bank views these fundamental
principles as important. As a financial services organization, whose success in the marketplace
depends upon the highest standards of ethical conduct, the Bank views them as especially critical.
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For example, when an employee engages the services of others for NBP, such as accountants,
attorneys, or other professionals, or when employee purchase supplies or equipment for NBP, his/her
choice should be made on the basis of the quality of the service and the competitiveness of the price.
Remember that Bank’s reputation depends on an employee’s exercise of fairness and good judgment.

Employees must ensure that all communications are clear, fair and not misleading.

2.4.2 Comply with the law

The laws of Pakistan shall always be obeyed by all NBP employees. At no time shall an employee
participate in any illegal or corrupt activity or activity that may appear illegal and/ or corrupt, including
activities outside Bank functions, and the employee will always comply with the legislation and
regulations applicable to the Bank, including but not limited to the Bank’s internal policies, as may be
amended from time to time and the applicable regulations and directives of the SBP (the “Law”), and
where applicable, in accordance with the law of the jurisdiction the employee is stationed at.

a) Employee will at all times act in compliance with the letter and the spirit of the Law and avoid acts
or voluntary omissions that could result in violation of the Law.

b) NBP’s bye-laws, permanent instructions, policies, procedures and other sector codes of
professional conduct in effect at the Bank will all be drafted in accordance with the Law. Employees
must respect them at all times. Employees who work in certain special sectors of activity are also
bound to abide by the rules of conduct specific to their sector.

c) NBP will to the best of its abilities ensure that all operations, transactions and other actions carried
out in foreign country comply with the respective legislation and any other legislation of a country
or territory associated with such action. Employees will follow the applicable foreign legislation and
will not take any action intended to contravene these laws and regulations. In the event of any
conflict between the Law and any applicable foreign legislation, NBP shall issue special instructions
to the relevant employees and take such further action(s) as may be necessary to address any
irregularity.

d) Employees are required to act with the utmost caution when dealing with monies, including foreign
public officials.

In the event that there is lack of clarity in respect of legality of a matter, upon receipt of permission from
the competent authority, appropriate legal advice may be sought. In such cases, an employee may refer
the matter to his/ her supervisor who may bring it to the attention of the relevant officials/ Department(s).

2.4.3 Treat others with respect

The Bank requires objectivity in employee dealings with others and in decision-making. Employee
should treat all clients, applicants for employment, colleagues, suppliers and others, kindly, fairly,
courteously and respectfully.

2.4.4 Non-Discrimination

NBP will not tolerate discrimination in any form, or any related dishonest, unethical or inappropriate
behaviour. NBP's policy is to ensure a harmonious environment with equal employment opportunity for
all, regardless of age, gender, race, religion, colour, national origin and marital status. If an employee
believes that he/she has experienced any form of harassment or discrimination, he/ she should report
it immediately to his/her supervisor/incharge or to HRMG as per the harassment policy.

Supervisors/Incharges are directly responsible for implementing this policy. In addition, employees are
expected to maintain a work environment free of any kind of harassment, intimidation and offense as
per the harassment policy.
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2.4.5 Safeguard the confidentiality of information

Employees are expected to treat information entrusted to them by their clients, contractors, consultants
and other NBP employees/ personnel/ officers as they perform their duties for NBP as confidential and
privileged. This includes information relating to accounts and loan balances, information concerning the
management, financial condition and future plans of the Bank’s clients' businesses, employee salary
information and information obtained in the course of fiduciary relationships. Employees must not
disclose confidential information to anyone either inside or outside NBP who does not have a clearly
legitimate need and right to know the information. Any disclosure of information about a client to
unauthorized individuals constitutes a violation of this policy.

Duty of confidentiality involves not divulging information to third parties other than in the following
circumstances:

i) express permission has been given by the person/ entity sharing the information,

ii) where the Bank is legally compelled to do so,

iii) where there is duty to the public to disclose, and

iv) it’s necessary for the Bank to present its case e.g. in court or other circumstances of a related
nature.

Confidentially applies whether the information has been obtained from those with whom the Bank does
business or from a source within the Bank. Such information should be used for the intended purpose
only.

All employees must sign a declaration of confidentially/ secrecy upon induction of employee, return from
deputation and updation in the policy or after every five years whichever is earlier and must comply with
the procedures and regulation in place within the Bank. This policy is designed to manage and
segregate confidential information and to prevent its inadvertent spread and misuse.

An employee must not remove any documents containing confidential information from office/ Bank
premises unless prior approval has been sought from his/ her immediate supervisor.

2.5 Disclosure of Information/Transactions (STRs/CTRs) to Outsiders

The employees of the Bank are strictly prohibited to disclose the fact to any customer or any other
quarter that a suspicious transaction or related information is being or has been reported to any
authority, except if required by law.

Employees should at all times act in compliance with the relevant laws, including anti money laundering
laws, as may be amended from time to time, including prohibition of alerting a client or potential client
(or any party involved in the transaction) to the fact that the Bank is investigating their actions or motives,
or to tell them, or any other outside party, that a report of activity identified as suspicious has been
prepared and/or filed. The same also applies for the Currency Transaction Reporting (CTR) to Financial
Monitoring Unit.

When a possibly suspicious activity or potential legal or regulatory violation is observed, the employee
is responsible for calling the situation to the attention of his/her supervisor, who will notify the competent
authority.
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Employees are required to treat information concerning NBP or any of its clients as confidential.
Confidential information obtained as a result of employment with NBP may not be used for the purpose
of furthering any private interest or as a means of generating any personal gain or the personal gain of
his/her family, friends, or others. The use or disclosure of such information may result in civil or criminal
sanctions.

If an employee is required to provide any information to a regulator or is required to make any necessary
visit to a regulator, such matter should immediately be brought to the attention of his/ her supervisor.
While handling matters with a regulator, an employee must ensure that any authorised information /
data shared is accurate, does not furnish/ omit any information/ data that might result in the information
provided being misleading, be provided only after all reasonable enquiries are made to ascertain the
accuracy and completeness of the information/ data and that all such information/ data has been
reviewed and approved by the competent authority.

2.6 Limited Use of Confidential Information

While recognizing the need for a constant flow of information for the smooth operation of NBP,
employees are expected that they will not disclose confidential information pertaining to their clients'
affairs to anyone unless they have a clear business need to know the information for the performance
of their duties. Employees must exercise particular care in communicating confidential information to
persons in other teams of NBP who may have different responsibilities or conflicting obligations.

No employee shall divulge any information relating to the affairs of the Bank’s customers except in
circumstances in which it is, in accordance with law, practice and usage customary among bankers,
necessary or appropriate to divulge such information.

2.7 Avoid conflicts of interest

As part of employment responsibilities, employees are expected to act in a way that contributes to the
financial success of NBP, enhances its reputation and fosters its client relationships. This requires an
employee to look after his/her own private financial interests in such a way that they do not profit
improperly from their position with NBP.

As a member of a financial institution employee must manage their personal, financial and business
affairs to avoid conflicts of interest, or even the appearance of any conflict of interest, with the
performance of their responsibilities and duties to NBP. When a conflict of interest, or potential conflict
of interest, does confront employee in the performance of his/her job, employee must immediately
disclose its existence to his/her manager/ supervisor and, in case an employee is performing Audit
function, he/she must also immediately disclose its existence to the immediate supervisor as well, fully
describing the facts giving rise to the conflict or potential conflict, and excuse him/herself from any
decision made with respect to the transaction.

Conflict of interest rules apply to all transactions made, directly or indirectly, for employees own account
or for the account of his/her immediate family or other family members. Employees immediate family
consists of spouse and the children, parents and siblings of employee and his/her spouse, whether by
blood, marriage, adoption or operation of statutory or common law. Employee may also have a legal
liability if someone outside his/her immediate family or other family members of obtains a personal gain
or advantage on the basis of confidential information they have obtained directly or indirectly from
employee.
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2.8 Use of NBP’s Computer Systems

Utilization of NBP's computer systems provides an employee access to confidential client information
based on the business/support function(s) being performed. Employees are granted access to the
various computer systems to perform their duties. Each employee is expected to protect the access
granted to him or her and to keep any associated passwords confidential at all times. In addition, each
employee must only utilize software that has been acquired through proper channels and installed
properly by or under the supervision of a technical manager. Unauthorized use of the computer
programs or software that has been acquired or used by NBP, including, but not limited to, accessing
inappropriate websites, using email in a manner that may be construed by others as improper or
offensive or against any of the policies of the Bank, or disclosing the program or software to, or
permitting the use of such program or software by, any other employee or a third party without
appropriate authorization, will not be tolerated. Computer usage will be monitored to ensure compliance
with NBP's IT Security Policy.

2.9 External Communications

Only designated Senior Management Officials liaisons through Corporate Communication Wing are
responsible for NBP's relationship and communication with the press and the general public.

Discussions of NBP's structure, financial performance, products and services and position on issues
that an employee may wish to share with those outside of NBP are contained in publicly available
publications such as bank’s annual and interim reports, press releases, published speeches and
statements and marketing brochures. Employee may request brochures or marketing pieces from the
Marketing Team and share them with any external audience. Should employee receive any inquiries
about NBP from any external source, including but not limited to the media, he/she must not offer
comment, except to state that the inquiry may be referred to the Corporate Communications Wing.

Social Media interactions / communications by employees will be governed by NBP Social Media Policy.

All proposed public statements or press interviews must be reviewed in advance with Senior
Management/Corporate Communication Wing. In addition, employee must have written approval,
secured from the President/CEO of Bank, before giving speeches or publishing written materials, fiction
or non-fiction, on subjects related to NBP or its business.

Some non-public information about NBP, its organization, systems and procedures may be considered
confidential or proprietary and is therefore inappropriate for external circulation. If employee have any
questions about whether certain information is public or private, check with Senior Management before
disclosing it to anyone outside NBP.

All authorised employees are required to respond accurately, completely and promptly to all valid
requests for information from government/ regulatory agencies and authorities. Employees must
immediately inform the concerned department of any requests by governmental agencies/ authorities
that indicate risks for the organization, or that are unusual or outside the normal scope of the employee’s
responsibilities.

2.10 Employee Information

All credit and personnel inquiries, such as an employee's complete name, job title and length of service,
must be referred to HRMG, and information concerning an employee will be released only with the
consent of the competent authority or when legally required. NBP's policy is not to give Employment
References other than to provide the employee's complete name, job title, work conduct and length of
service.
 HR Policy Booklet HR Management Group

2.11 Sincerity with NBP/Management and Others

No organisation is free from mistakes and sensitive situations may occasionally arise. When employees
have knowledge of any questionable or possible illegal act or occurrence involving or affecting NBP,
they have an obligation to report the act or occurrence using means made available by the Bank for
such purpose. Care should be taken to ensure that only factual events are reported. Any wilful misuse
of this facility will be treated as gross mis-conduct and the employee may be subjected to disciplinary
action as per the EDP.

Employees are expected to fully cooperate with internal and independent auditors and counsel in the
performance of their designated duties. This means providing them with complete and accurate
information at all times. Employees shall ensure compliance with applicable accounting principles and
the Bank’s internal accounting controls at all times.

2.12 Self-Dealing

Employees are not in any way to represent or exercise any authority on NBP's behalf, grant direct or
indirect credit accommodations or make credit recommendations, or act in the capacity of an account
officer with respect to any type of transaction for him/herself, members of his/her immediate family, and
any other family members , any individual or organization which has granted to employee, a member
of his/her immediate family or any other member of employee’s family who shares with employee the
same residence a power-of-attorney, or with any other persons, corporations, partnerships, trusts or
other organizations in which the employee, any member of his/her immediate family or any other family
member who resides with employee is a fiduciary, an officer, an authorized signer or have a material
financial interest.

Employees are not to act, without prior written approval of the immediate supervisor, as:

a) An agent, deputy or attorney in fact on any account of another at NBP. Any application to the
immediate supervisor to so act will only be considered based upon employee’s close, personal
relationship with the account holder;

b) An executor, administrator, trustee, guardian, custodian or in any other fiduciary capacity on any
account of another at NBP. Any application to the immediate supervisor to so act will only be
considered based upon employee’s close, personal relationship with the estate person or persons
for whom he/she is are acting as fiduciary; or

c) An official of any organization with the following exceptions: residential cooperative or condominium
apartment boards where employee live, social, religious, philanthropic or civic organizations,
fraternal organizations, neighbourhood associations, clubs, colleges or schools or trade or
professional organization associated with the financial services industry or employee’s profession.
However, registered representatives must notify to the Chief Compliance Officer/Group Chief
Compliance in writing via e-mail prior to assuming any such role.

Requests for approval should be submitted in writing to the immediate supervisor. In all cases where
approval is granted, employee must disclose to the principal, beneficiary, trust or, court or other third
party as the case may be, that he/she is so functioning solely because of the close personal relationship,
and that he/she is in no way acting as a representative or agent of NBP.
 HR Policy Booklet HR Management Group

2.13 Respect the Policies of the organization

Employees are required to be aware of all policies and processes which apply to them as an employee
of NBP. These policies and processes are issued by the authorized officials of NBP and modifications
may be enforced from time to time. In case of any doubt regarding any applicable policies and/or
processes, employee may seek clarification from his/her immediate superior or from the HRMG. Any
wilful disregard for approved policies and processes will be treated as mis-conduct.

2.14 Demonstrate Discipline and Decency

2.14.1 Timelines

NBP expects that employees devote their full attention and energy to official duties during working
hours. Employees are required to attend at work as required and not to absent themselves from duty
without authorization.

2.14.2 Punctuality

Every employee must demonstrate regularity in attendance and punctuality. Employees are required to
attend to their official duties with due regard for office timings and office discipline as notified by State
Bank of Pakistan. Breaks allowed as per NBP rules for lunch and prayers, and for any other purpose,
where applicable, should be adhered so that these are not unduly extending beyond permissible limits.
Habitual late-comings and absence from duty station will not be tolerated, and any employee found to
be guilty of such behaviour may be subjected to disciplinary action. Some allowance may be made, on
a case to case basis by the immediate superior/ Head of Department of the employee concerned in
case of any hardships faced by any employee, and in all such cases, the onus will be on the employee
to submit details of hardships to the superior on a timely basis, and to obtain his/her approval, which
should be based solely on the merits of the case and at the sole discretion of the Head of Department.

2.15 Dress Code

The Bank expects all employees to be appropriately dressed when presenting themselves for work.

Employees are required to maintain proper dress code (office attire as may be prescribed by NBP
Management from time to time) and appear well groomed & presentable all the times. Cleanliness and
personal hygiene should also be given due importance while attending work. Non-Management staff
should be in their proper uniforms during office hours.

2.16 Acceptance of Gifts from Suppliers or Clients

NBP employees are prohibited from giving, seeking or accepting unauthorised gifts for oneself or any
other person anything of value (including services, discounts or entertainment) from clients, suppliers
or anyone else in return for any business or service from, or confidential information about, NBP. There
are certain exceptions to the general prohibition against giving, seeking or accepting anything of value
as follows:

a) Lunches, dinners and other customary entertainment (e.g., sports events, golf, theatre, etc.)
provided in the ordinary course of a supplier's or client's business and in situations where the Bank
would normally reimburse the cost as a proper business expense;

b) Nominal services or discounts customarily afforded by suppliers or clients in the ordinary course of
their business; and
 HR Policy Booklet HR Management Group

Employees must report anything of value beyond those items listed above if offered to them, received
by them or anticipate receiving promptly to the Immediate Supervisor for appropriate action including
the return of the gift forthwith to the provider. Penalties including fines and imprisonment may be
imposed for violations as per the EDP.

An employee found to be receiving, accepting or condoning a bribe, kickback, or other unlawful

payment, or attempting to initiate such activities, will be subject to disciplinary action and possible
criminal proceedings against them.

2.17 Borrowing Money from Vendors or Clients

Employees are not allowed to borrow money from, or lend money to, any of NBP's vendors or clients.
This is strictly prohibited. Employees may, however, receive credit on customary terms in connection
with the purchase or lease of goods and services from a commercial establishment that is a vendor or
client of NBP. Loans made to officers and employees by other financial institutions that are vendors or
clients of NBP, in the course of their business, are allowed.

2.18 Political Affiliation

During their employment, employees or their dependents shall not accept and hold any political position/
post or actively get involved in any political activity. Any political views if expressed by an employee are
his/ her own views and the Bank does not hold any responsibility in such matter.

No employee shall become a member of any banned group/ organization/ party during his/ her
employment.

Employees are not permitted to canvass or engage in any political or religious discussion, activities or
lobbying at the Bank premises or during banking hours.

No employee shall work on a political fundraiser or other campaign activity without disclosing the same
to competent authority and shall not use any assets of the Bank for any unauthorized activities.

If an employee breaches the above code, the Bank shall be entitled to terminate his/ her employment
with immediate effect.

2.10 Parallel Service

During the term of an employee’s employment with the Bank, an employee must not serve or be
employed with any other organization in any capacity whatsoever, unless acceded to by the Bank. The
employee will be required to disclose and obtain approval from HRMG in case of any engagement in
family business.

If the Bank discovers at any time that an employee is or was rendering services to or is currently
employed by another organization, without authorization during their employment with the Bank, that
employee’s services at the Bank will be terminated immediately.

2.20 Data Reporting

No employee shall submit or approve any report or other document where the person knows or suspects
that any portion of the report is not accurate, is untruthful, or is not in compliance with the Bank’s
policies.
 HR Policy Booklet HR Management Group

2.21 Fraud / Theft

Any employee found to be engaged in, attempting to, or conspiring as to fraud or theft of assets of the
Bank or its clients, or attempting to engage in fraud or theft, may be subject to immediate dismissal and
criminal prosecution, subject to the rules, regulations or law applicable thereto. All employees have a
responsibility to report any actual, attempted, or conspiracy as to fraud or theft.

2.22 Declaration of Secrecy

Every employee shall, before joining service, sign a Declaration of secrecy

2.23 Employee not to leave station

No employee shall absent himself from his duties, nor leave his station overnight, without having first
obtained, the permission of the competent authority.

2.24 Representation to Directors and Members

No employee shall make any personal representations to Directors, Government or any outside
authority. Such representations must be addressed to the President through the immediate officer, if
any, of the employee.

2.25 Technology Usage

No employee shall be allowed:

a) To download/delete any software/data on the Bank’s computer system unless it has been screened
by the Bank’s security system/management.

b) To access unauthorized data or websites through Bank’s internet facility.

c) To transmit official data to other than Bank’s users, unless permitted by the competent authority.

d) To copy, electronically or otherwise, any document of the Bank or to transmit it by any means (e.g.
email, WhatsApp) it except with the approval of the immediate superior.

e) To record, audio or video, any meeting or conversation during office hours except with the approval
of his immediate supervisor

2.26 Restrictions on borrowings

2.26.1 Employees in debt

Except with the permission of the competent authority, no employee shall incur an unsecured debt to
an extent exceeding his emoluments of four months. Every employee incurring unsecured liabilities in
excess of four month’s emoluments shall submit a statement of his financial position to the President
on the 31st December each year until the loan is repaid. The statement shall indicate the steps taken
by the employee to liquidate the liability.
 HR Policy Booklet HR Management Group

2.27 Speculating in stocks, shares and giving of guarantee

No employee shall:

i) borrow money from or in any way place himself under pecuniary obligation to a broker or money
lender or a subordinate employee of the Bank or any firm or person having dealings with the Bank;

ii) buy or sell any other stock, shares or securities of any description without funds to meet the full
costs in the case of as purchase or script for delivery in the case of sale;

iii) book debts at a race meeting;

iv) lend money in his private capacity to a constituent of the Bank or have personal dealings with a
constituent in the purchase or sale of bills of exchange, Government paper or any other securities;

v) except with the permission of the competent authority, guarantee in his private capacity the
pecuniary obligations of another person or agree to indemnify in such capacity another person
from loss;

vi) act as agent for an insurance company otherwise than as agent for or on behalf of the Bank;

vii) be connected with the formation or management of a joint stock company;

viii) engage in any other commercial business or pursuit either on his own account or as agent for
another or others;

ix) Accept, or seek any outside employment or office, whether stipendiary or honorary, without the
previous sanction of the authorized person;

x) Undertake part time work, honorary or volunteer for a private or public body or private person, or
accept fee therefrom, without prior approval of the authorized person and such authority may, in
case where it thinks fit to grant such approval, stipulate that any fees received by the employee
for undertaking the work shall be paid in whole or in part to the Bank;

xi) Approve loan for any relative through blood or marriage;

2.28 Money Laundering

Employees must report suspicious activities such as suspected insider trading, fraud, misappropriation
of funds and money laundering through proper channels to Compliance Officer of the Bank

Employees shall ensure to abide by following key principles:

a) The identity of a customer beginning a business relationship or conducting a single transaction

should be established from official or other reliable identifying documents. The Golden Rule is to
Know Your Customer.

b) Business units must keep records of customer identification for at least five years after the account
is closed and of transactions for at least five years after their completion, or longer if the local law
requires. These documents should be available to the competent authorities in the context of
relevant criminal investigations and prosecutions.

c) If business units suspect that funds from money laundering, they should promptly report those
suspicions to the competent authorities and record the circumstances in writing.
 HR Policy Booklet HR Management Group

d) Business units should not warn their customers when information relating to them is being reported
to the competent authorities.

e) When a business unit reports its suspicions to the competent authorities, it should comply with their
instructions.

2.29 Acts of Misconduct

The following shall be treated as acts of misconduct:

a) Willful insubordination or disobedience, whether alone or in combination with others, to any lawful
and reasonable order of a superior;

b) Theft, fraud, dishonesty, misappropriation or embezzlement in connection with the employers’

business or property;

c) Misrepresentation or submission of fake documents for availing loan facility;

d) Willful damage to or loss of employers goods or property;

e) Taking or giving bribes or any illegal gratification;

f) Habitual absence without leave or absence without leave for more than 10 days;

g) Habitual late attendance;

h) Habitual breach of any law applicable to the Bank;

i) Riotous or disorderly behavior working hours at the establishment, or any act subversive of
discipline;

j) Habitual negligence or neglect of the work;

k) An act of gross negligence;

l) Striking work or inciting others to strike in contravention of the provisions of any law, or rule having
the force of law;

m) Go slow;

n) Frequent disregard or disobedience of rules or general orders;

o) Frequently making false and misleading statement;

p) Inefficient, dilatory, careless or wasteful working;

q) Malingering;

r) Use or being under the influence of alcohol or drugs at workplace.

s) Interaction with media except when permitted by the Bank/authorized person.

t) Concealment of facts/factual position, information (personal or Banks) from or misrepresenting

facts before Management.

u) Making commitments on behalf of the Bank beyond the scope of the delegated Authority.

v) Making commitments known to be detrimental to the interest of the Bank

 HR Policy Booklet HR Management Group

w) Engaging in any business and any conflict of interest including but not limited to family business,
etc. [and should declare immediate family member’s Business as well]

x) Engaging directly or indirectly, without the Bank’s permission in any other business or occupation,
whether stipendiary or honorary whilst in service of the Bank.

y) Divulging of confidential information or other secret/private matters including but not limited to
Bank’s secrets, customer data & information, product papers, manuals, policies, etc. which are
likely to adversely affect the Bank or impact business.

z) Insider Trading (transactions made on basis of privileged information, particularly trading in Bank’s
stock and shares)

aa) Parallel banking (any activity by an individual that he/she carries out in personal capacity, with
Bank’s customer or anyone else which he/she actually should have performed on behalf of the
Bank).

bb) Involvement in Money laundering or Terrorist Financing / transactions either through his/her own
account or on behalf of any Bank customer, where due diligence was not exercised as required by
AML / CFT Policy.

cc) Use of unfair means in respect of clearing the Banking Diploma Examination or any other
examinations.

dd) Submission of fake, fabricated and false documents (including loan) / testimonials such as Medical
Bills, Birth Certificate, Degrees and other such Documents/Certificates.

ee) Repetition of misconduct after issuance of two (2) consecutive warning letters in a calendar year
may render concerned staff to Disciplinary Action.

ff) All types of discrimination and harassment (based on age, gender, religion, race, nationality, place
of domicile, marital status, disability etc.).

gg) Unauthorized use of Bank’s property

hh) Failure to disclose a personal interest conflicting with any banking transaction.

ii) Tampering record.

jj) Maliciously raising a concern that is untrue, baseless and / or false through Whistle blowing

kk) Participation in Political activity

ll) Taking part in any election to a legislative body, whether in Pakistan or elsewhere. An employee
who is qualified to vote at such election may exercise the right to vote, but if he/she does so, he/she
shall maintain secrecy of his/her ballot.

mm) Bringing or attempting to bring political or other outside pressure/influence directly or indirectly to
bear on the authorities/superior officers or indulge in derogatory pamphleteering, contribute
articles, or write letters to the newspapers, anonymously or in his/her own name with an intent to
induce the authority/superior officers or to act in a manner inconsistent with policies, procedures,
rules, in respect of any matter relating to the appointment, promotion, transfer, punishment,
retirement or for any other condition of service of employment.

nn) Physical altercation within the Bank premises

oo) Any improper conduct

 HR Policy Booklet HR Management Group

2.29.1 DECLARATION OF CODE OF CONDUCT COMPLIANCE

Below is the sample code of conduct compliance form:

I, the undersigned hereby confirm having read and fully understood the contents and agree to abide by
the “NBP Code of Conduct” issued by the Management of the Bank.

Employees’ Name:

PF / Employee Number:

Place of Posting

Date:

_________________

Employees’ Signature

2.30 Policy Implementation

Pursuant to the National Bank of Pakistan Byelaws, 2015, the Board of Directors of the Bank shall have
the power to manage, issue general direction and carry out superintendence of the affairs and the
business of the Bank, including those relating to this policy. The enforcement of this policy shall be
subject to the approval of the Board.

The terms of this policy are consistent with the relevant provisions of the NBP Staff Services Rules,
2021 and are to be read in conjunction with the provisions thereof. Unless specified otherwise, this
policy supersedes all previous circulars, notifications and/ or relevant directions on the subject.

This policy has been formulated to update and collate relevant provisions relating to the subject matter
and therefore shall remain binding and enforceable. In the event of any contradiction between this policy
and another existing policy, the provisions of the specific policy shall prevail of the provisions of the
general policy and shall be subject to the final decision of the senior management of the Bank.

The terms of employment of an employee shall be governed in accordance with the relevant applicable
policies of the Bank, as may be amended from time to time.

2.31 Revision of Policy

This Code of Conduct will be reviewed after 03 years from the date it comes into force.

2.32 Approval

The Code of Conduct has been approved by the Board of Directors in its 324 th meeting held on October
11,2021.
 HR Policy Booklet HR Management Group

Chapter 3 - Prevention of Harassment

3.1 Policy Statement

NBP believes that employees have the right to work in an environment free from all forms of
discrimination and conduct which can be considered harassing, duress, or disruptive, including sexual
harassment. Anyone engaging in harassing conduct will be subject to discipline, ranging from a warning
to termination.

Every staff member has a responsibility to ensure that the Policy on Prevention of Harassment is fully
implemented. All officials in supervisory capacity at Head Office, Regions and branches bear
responsibility to;

a) setting the highest exemplary standards of behaviour and conduct for themselves;

b) clearly communicating the Bank’s policy on Prevention of Harassment to all their staff, including
new staff;

c) being responsive to and supportive of any person in Bank’s workplace who complains about
harassment;

d) encouraging a positive work environment of dignity and mutual respect, and in which any form of
harassment is not condoned; and

e) ensuring that any incident of unacceptable behaviour or conduct is promptly dealt with and
appropriate corrective action taken. Following up on any incident is also important to ensure the
harassment has stopped and the complainant is not the subject of retaliation.

3.2 Scope

This policy on Prevention of Harassment is based on the Protection Against Harassment of Women at
the Workplace Act, 2010 which defines harassment as any unwelcome sexual advance, request for
sexual favors or other verbal or written communication or physical conduct of a sexual nature or
sexually demeaning attitudes, causing interference with work performance or creating an intimidating,
hostile or offensive work environment, or the attempt to punish the complainant of refusal to comply to
such a request or in made a condition for employment;

The policy covers all employees of the Bank working in Head Office, Regions and Branches.

Furthermore, in this policy:

a) “Code” means the Code of Conduct adopted by the Bank in terms of S-II (2) of the Protection
against Harassment of Women at the Workplace Act, 2010.

b) “Competent Authority” the authority as defined in the Employee Discipline Policy.

c) “Complainant” means a woman or man who has made a complaint to the Ombudsman or to the
Inquiry Committee on being aggrieved by an act of harassment;

d) “Committee on Prevention of Harassment” means Inquiry Committee and is also referred as “The
Committee”.

e) “Employee” means a regular or contractual employee whether employed on daily, weekly, monthly
or hourly basis, and includes an intern or an apprentice;
 HR Policy Booklet HR Management Group

f) “Workplace” means the place of work or the premises where an organization or employer operates
and includes building, factory, open area or a large geographical area where the activities of the
organization or of employer are carried out and including any situation that is linked to official work
or official activity outside the office.

The Committee on Prevention of Harassment at workplace means Inquiry Committee established under
sub section (i) of Section-3 of the Protection against Harassment of Women at the workplace Act, 2010.

3.3 Complaint Procedures

The HR Management Group (HRMG) shall designate officials at Head Office and in Regions who shall
be trained as Counsellors to deal with issues of harassment. The Counsellors shall be available to
provide confidential advice and referral services to those persons in workplace who believe they may
be experiencing harassment. The Counsellors may if required observe the alleged harasser to facilitate
its proceedings.

The HRMG will be responsible for arranging informational materials and for providing training to staff
in Bank’s workplace concerning harassment. This Policy will be discussed in the employee
communication program, orientation sessions and other training programs of the Bank.

The code of conduct for protection against harassment of women at the workplace is part of policy that
will be communicated to the employees across the bank and displayed prominently in banks offices
/branches.

The complaint should describe the specific offensive acts, the time(s), location(s) and circumstances
under which they took place, and any other information relevant to the case. The complaint should
identify the individual who is alleged to have harassed the complainant (the alleged harasser) as well
as any witnesses to the incident. The complaint must be signed and dated by the complainant.

An informal approach to resolve a complaint of harassment will through medication between the parties
involved and by providing advice and counselling on a strictly confidential basis;

A complainant or an employee designated by the complainant for the purpose may report an incident
of harassment informally to his/her supervisor, or a Member of the Committee in which case the
supervisor or the Committee Member may address the issue at his/her discretion in the spirit of the
Code of Conduct of Protection Against Harassment.

The following is a brief outline of procedures to be followed once such a signed complaint has been
filed:

a) The alleged harasser is to be advised and given a copy of the complaint and any related report.

b) The alleged harasser is given the opportunity to respond in writing to the allegations.

c) A Committee on Prevention of Harassment (Inquiry Committee) comprising of three members of

whom at least one member shall be a woman, one member shall be from senior management and
one shall be a senior representative or a senior employee (clerical /non-clerical) where there is no
CBA.

d) An investigation will be conducted by Committee on Prevention of Harassment in accordance with

the policy to determine the facts in the case.
 HR Policy Booklet HR Management Group

e) The complainant and the alleged harasser are to be informed of the results of the investigation
within two weeks and given the opportunity to respond. In case complaint is made against one of
the members of the Committee on Prevention of Harassment that member shall be replaced by
another for the particular case.

f) Where the investigation show that there is a prevalence of evidence to indicate that the alleged
harasser was engaged in harassment, the disciplinary procedures shall apply.

g) Competent Authority for the purpose of final decision making will be as defined by the Employee
Discipline Policy (ECP).

3.4 The Committee on Prevention of Harassment at Workplace

The Committee on Prevention of Harassment shall inquire into the matters of harassment under the
Protection against Harassment Act, to get the complainant or the accused medically examined by
authorized doctor, if necessary, and may report the matter to IDW, HRMG for appropriate penalty
against the accused. In this regard it shall have the following powers;

a) to summon and enforce attendance of any person and examine him on oath;

b) to require the discovery and production of any document;

c) to receive evidence on affidavits; and

d) to record evidence.

Subject to the provisions of the Protection against Harassment Act and any rules made there under the
Committee shall have power to regulate its own procedure for conducting inquiry and for the fixing
place and time of its sitting. The Committee on Prevention of Harassment can instruct to treat the
proceedings confidential.

The following provisions inter alia shall be following by the Committee in relation to inquiry:

a) The statements and other evidence acquired in the inquiry process shall be considered as
confidential;

b) An officer in the Bank, if considered necessary, may be nominated to provide advice and assistance
to each party;

c) Both parties, the complainant and the accused, shall have the right to be represented or
accompanied by a Collective Bargaining Agent representative, a friend or a colleague;

d) The Committee shall ensure that the management or accused in no case create any hostile
environment for the complainant so as to pressurize his/her form freely pursuing her complaint; and

e) The Committee shall give its findings in writing by recording reasons thereof.

The Committee, within three days of receipt of a written complaint, shall;

a) Communicate to the accused the charges and statement of allegations levelled against him/her;

b) Require the accused within seven days from the day the charge is communicated to him/her to
submit a written defence and on his/her failure to do so without reasonable cause, the Committee
shall proceed ex-parte;
 HR Policy Booklet HR Management Group

c) Enquire into the charge and may examine such oral or documentary evidence in support of the
charge or in defence of the accused as the Committee may consider necessary including cross-
examination of the witness(s) against him/her.

The Committee on Prevention of Harassment shall submit its findings and recommendations to the
Competent Authority (as defined in EDP) within thirty days of the initiation of inquiry. If the Committee
finds the accused to be guilty it shall recommend to Institutional Discipline Wing, HRMG, for imposing
one or more of the penalties under Employee Discipline Policy (EDP) and NBP (Staff) Service Rules.

3.5 Disciplinary Action

Any employee found to have harassed another staff or applicant for employment will be subject to
appropriate disciplinary procedure, including warning, suspension or dismissal form employment as per
Employee Discipline Policy, Staff Service Rules and applicable law.

3.6 Responsibility

Management at all levels shall display copies of the Code in English as well as in Urdu at visible places
in the Head Office, Regional Offices and Branches. The Personnel & Industrial Relations Division, HRM
Group, will be responsible for implementation of this policy.

(Reference BoD Meeting dated 30.09.2011)

 HR Policy Booklet HR Management Group

Chapter 4 - Employee Recognition

4.1 Scope

This policy shall be applicable on all NBP employees. Employees on deputation, secondment /
attachment with other organizations and local based (overseas) employees will not be considered for
these awards.

4.2 Types of Awards

The Awards given for motivating employees may be both of monetary and non-monetary nature. Non-
Monetary Recognitions can be given in conjunction with Monetary Recognition. All types of
Recognitions/Awards will be a centralized function and all approvals will be given by the President,
NBP.

4.2.1 Non-Monetary Extra Effort Award (Letter of Appreciation)

Recognition given for a specific accomplishment such as contribution on a short term assignment or
project, good customer service, value addition in processes, suggestions for improving efficiency/
working, efforts that resulted in cost savings etc.

The concerned Group Chief/ Divisional Head (Direct Report) or Regional Head will forward their
recommendations duly signed and stamped to HRMG. HRMG will issue appreciation letters after
obtaining approval of the President, NBP.

4.2.2 Monetary Extra Efforts Award

These awards shall consist of following:

a) Spot wards

Recognition given for a specific accomplishment such as those defined above under Non-Monetary
Recognitions. It may also include extra efforts rendered in excellent customer services, gain-sharing,
innovations and suggestions leading to improved efficiency etc. Proposals/Office Note (s) containing
recommendations of the concerned authority shall be sent to Employees Benefits Wing, HRMG
providing details of the case along with justification for submission to the President, NBP.

i) Maximum 5% of the employees at Group/Division (DR) at Head Office shall be considered for
Spot award annually. Maximum amount of award is fixed at Rs.50,000/- per employee per year.
The recommending authority will be the concerned Group Chief/Divisional Head (DR) and the
approving authority will be the President, NBP.

ii) Maximum 10% of the employees at Region shall be considered for Spot award annually. Maximum
amount of award is fixed at Rs.10,000/- per employee per year. The recommending authority will
be the concerned Regional Head and the approving authority will be the President, NBP.

Spot Award will be recommended / granted on case to case basis and shall not be recommended in
one lot at the end of each year. Employees awarded listed punishment in a year will not be eligible for
Spot Award in that year.
 HR Policy Booklet HR Management Group

b) Performance Bonus / Annual Achievement Award

This Monetary recognition shall be given for accomplishments over the course of the year, such as
consistently high productivity or high quality work in relation to established performance standards.

The Performance Bonuses / Annual Achievement Awards would be announced after finalization of the
Annual Performance Appraisal so as to establish a link between these Awards and Annual Performance
Appraisal. However, grant of this award does not necessarily entitled an employee for promotion to
next higher grade.

4.3 Categories of Employees

For Performance Bonus/Annual Achievement Award, employees shall be placed in following

categories:

a) Category I - SEVPs & EVPs (Direct Reports to the President)

The Performance Bonus/Annual Achievement Awards of SEVPs/Group Chiefs/EVPs (Direct Reports

to President) shall be based on their Annual Performance Appraisal Ratings which will be finalized by
the President, NBP.

b) Category II - Officers & Executives up to SEVPs (excluding Direct Reports to President)

Based on Annual Performance Appraisal all officers & executives up to SEVPs (excluding Direct
Reports to the President) will be considered for Performance Bonus/ Annual Achievement Awards.

c) Category III - Clerical & Non-Clerical Staff

A specific percentage of the total strength of employees in Clerical & Non-Clerical cadres will be
considered for Performance Bonus/Annual Achievement Awards. Criteria of which shall be finalized
and circulated every year by HRMG.

Employees, in Category – I & II, awarded appraisal ratings as “Outstanding”, “Very Good” and “Good”
Appraisal Ratings during the year shall only be considered for Performance Bonus.

HRMG will decide the limit/amount and eligibility criteria of Performance Bonus every year for all
employees categories after getting approval from Board of Directors based on the overall profitability
of the bank.

(Reference BoD meetings dated 27.10.2011, 10.10.2016 & 18.07.2017).

 HR Policy Booklet HR Management Group

Chapter 5 – Staff Finances

5.1 Introduction

National Bank of Pakistan (the Bank) provides different types of financing facilities to its employees.
In order to facilitate Bank’s employees, the Bank has established a Staff Loan Department - Staff Loan
& Welfare Wing (SL&WW) in Human Resource Management Group (HRMG) - Head Office Karachi
(HOK). The prime role and responsibility of the aforesaid Wing is to provide financing facilities to the
employees of the Bank at concessional markup rates. Currently, the Bank provides the following
Finances/loans facilities to its regular & contractual employees.

a) House Building Finance (HBF)

b) Motor Car Finance (MCF)

5.2 Purpose

Staff finances are available to the staff to meet their financial requirements whilst under the
employment of NBP and to promote an employee friendly environment.

The purpose of this document is to provide the Standard Operating Procedures (SOPs), Pre/Post-
Sanction formalities and requirements of legal documentation for the guidance of dealing officials. At
the same time, the Policy will serve the purpose of a Reference document for the employees intending
to avail staff loans under the Bank’s policy. Besides, it will help in strengthening the internal controls
and restrain the field offices from making exceptions.

5.3 Scope

The Policy will be applicable on all Regular and Contractual employees (unless otherwise stated in
their contract).

5.4 House Building Finance

5.4.1 Eligibility Criteria for Regular & Contractual Employees

Regular Contractual

All Executives, Officers, & Clerical / Non- All employees hired on three years contract will be
clerical Staff who have completed Five eligible after completion of minimum six (6) months
(05) Years’ continuous service in the service period and confirmation of service. Provided at
Bank. least there remains six (6) months service period in
The Management Trainee Officers his/her contract and the concerned Group Chief/D.H
(MTOs) will be treated at par with other give in writing that their contracts are likely to be
regular employees of the Bank. renewed. Age of Contractual employee should not be
more than 55 years. In exceptional cases the
Management may takeover HBF outstanding liability
from previous Employer as per terms of employment
contract.
 HR Policy Booklet HR Management Group

5.4.2 Entitlement Amount

Regular employees are entitled to HBF Amount as under;

Grade / Designation Minimum Amount No. of Basics Maximum Limit

Executives and
Rs. 3,000,000/- subject 180 Basics
Officers N/A
to Debt Burden Ratio
Clerical /Non-Clerical 170 Basics

Contractual employees are entitled to HBF Amount as under;

Grade / Designation Minimum Amount No. of Basics Maximum Limit

Executives and
Rs. 3,000,000/- subject 150 Basics
Officers Rs. 50 Million
to Debt Burden Ratio
Clerical / Non-Clerical 170 Basics

5.4.3 Rate of Markup

For Regular employees HBF of up to Rs. 1,100,000 and for Contractual employees HBF of up to Rs.
900,000 will be Markup free and for remaining amount, markup will be charged @ 3% per annum.

5.4.4 Repayment Period

For Regular employees the HBF will be recoverable in maximum of 240 equal monthly installments (20
years) or remaining service months till attaining the age of sixty (60) years, whichever is earlier.

For Contractual employees the HBF will be recoverable in maximum of 180 equal monthly installments
(15 years) or remaining service months till attaining the age of sixty (60) years, whichever is earlier.

The installment will be fixed in such a manner that the entire loan along with markup is repaid within the
stipulated period of loan.

Starting date of deduction/ recovery of monthly installments is made as per the following guidelines for
regular employees:

a) In case of construction of house on open plot: after a grace period of eleven (11) months from the
date of disbursement of 1st installment or after three (03) months of the disbursement of 3rd
installment whichever is earlier.

b) In case of purchase of a built-up house: after a grace period of three (03) months from the date of
disbursement of loan.

The deduction of contractual staff will be from day one with no grace period.

5.4.5 Procedure/Documentation Requirements

Employee is required to submit his proposal along with prescribed ‘Application for House Building Loan
to the Staff’.
 HR Policy Booklet HR Management Group

Proposal must be recommended by the concerned Head of Wing/Department/Office at HOK in case

employee stationed at HOK or in case of employees stationed at Regional Office/Branch, proposal is
to be recommended by the Regional Head/Regional HRBP.

The recommendation must bear full signature with name, designation and seal/stamp of the
recommending authority along with attested copies of following documents:

a) Sale Agreement(s)

b) Registered title documents of property/Registered Sale Deed/Transfer Letter/Allotment Letter etc.

c) Up-to date Search/Non-encumbrance Certificates

d) Approved Building Plan

e) Permission to Mortgage/Permission to Sale/NOC to create mortgage from concerned

Society/authority (duly attested photocopy), if applicable

f) Valuation/estimate (Issued by Bank’s Engineer)

g) Bank's Legal Advisor's Clearance Letter (duly attested photocopy)

h) Non-involvement Certificate of the employee (Original) from the concerned Dept/Office/Branch and
also from EDW- HRMG

i) Latest Salary Slip

j) Attested copy of CNIC

k) Liability Statement (original) as per the Annexure “B”

l) Liability position of commercial loans from CRBG (for Head office) and concerned official (Regions),
in original on the prescribed format as per the Annexure “C” for calculating debt burden

m) Copy of attested Appointment Letter/Renewal of contract Letter (where required)

n) Certificate from concerned regional office/HR Business Partners (if the case is forwarded from
Region to Head Office) stating that the proposal has been properly scrutinized, all required
documents have been enclosed and the proposal qualifies for sanction in all respects

o) Certificate regarding verification of antecedents/degree certificate from concerned office at Head

Office / Regional Office.

Copies of the all the documents (as mentioned above) enclosed with the proposal should be signed by
the authorized officer of the Region with his name and stamp. (If the case is forwarded from Region to
the Head Office).

All applications are scrutinized for completeness/ authentication. In case of incomplete and ambiguous
information, application is returned to the respective Group/Region.

5.4.6 Mortgage of Property

HBF of the Bank’s employees is allowed against creation of 1% Registered Mortgage and 99%
Equitable Mortgage (by deposit of original title deeds duly cleared by Bank’s Legal Advisor) of the
sanctioned limit.
 HR Policy Booklet HR Management Group

Note: In case of any legal complication in creation of Equitable Mortgage of security the borrower will
bear all expenses of Registered Mortgage.

In case the property in question is being acquired through Allotment/Transfer Letter or is unregistered;
100% Registered Mortgage should be created on such property.

The Marking of Lien / Creation of Charge by concerned authority / society in favor of NBP (whichever
is applicable) should be created on properties falling in DHA, Naval authorities and Air force housing
authority duly supported through legal opinion will be allowed as an alternative to 100% registered
mortgage to safeguard the Bank’s interest.

Cost of the Registered Mortgage will be borne by the respective employee.

The employee can claim reimbursement of the expenses of 1% Registered Mortgage through the
concerned loan disbursing Branch. The concerned branch will obtain approval from the Loan
Sanctioning Authority and make payment to the respective employee by debit to its Charges Account.

The property must be mortgaged in Bank's favor within a period of one month after registration of sale
deed / transfer / lease / sub-lease with the concerned revenue record of rights / society. Bank’s interest
until mortgage of the property in favour of the bank, is covered through a guarantee of an Official of
equal status or above. Mutation Certificate in the name of the borrower will also be obtained.

5.4.7 Requirements for Disbursement of HBF

The requirements for disbursement of HBF varies according to the nature of financing request:

a) For Purchase of Built-Up House/Flat

The amount of HBF for a house/flat is to be released against an ‘Agreement to Create Mortgage’ and a
‘Letter of Authority’ from the borrower (employee) in this regard.

The payment shall be made directly to the vendor/seller through pay order in his/her favor at the time
of registration of direct lease/sub lease/sale deed/ transfer of house/flat in the name of
employee/borrower at Registrar's Office/concerned record of right/society. All title documents (in
original) to be retained by the Bank.

All the mortgage related requirement as mentioned in the earlier paragraphs need to be completed.

The amount of finance should not be more than the amount of sale consideration or value of the property
assessed by the Bank's Engineer, Logistic Support Group (LSG) or Engineering Department of
respective Regional Offices.

The advance paid by the borrower, if any, will be reimbursed to him/ her as per the Sale Agreement.

In case of construction/renovation with purchase of built-up House/Flat, the amount will be paid to the
borrower as per cost/estimate given by the Banks’s Engineer in 2 equal installments subject to
completion of all required formalities including creation of charge / mortgage of property in Bank’s
favour.
 HR Policy Booklet HR Management Group

b) For Purchase of Plot & Construction

An amount up to 60% of the HBF Limit will be released for purchase of plot after obtaining an
‘Agreement to Create Mortgage’ and ‘Letter of Authority’ from the respective employee. Bank’s interest,
until mortgage of the property in favour of the bank, will be covered through a guarantee of an Official
of equal status or above.

The payment for purchase of plot should not be more than the sale price or value of plot assessed by
the Banks’s Engineer, whichever is lower.

The payment will be made directly to the vendor/seller through pay order in his/her favor, at the time of
registration of sale deed/ transfer of plot at Registrar's Office/ concerned revenue record of right/
society, against all title documents (in original) to be obtained by the Bank.

The remaining amount of the total limit will be released in Two (2) equal installments, according to the
cost/ estimate given by the Banks’s Engineer for construction. The funds are disbursed after the
completion of following formalities:

i) Creation of mortgage / Bank's charge over the property,

ii) Submission of Approved Building Plan; and

iii) Mutation Certificate/Sale Deed/Transfer of property in the name of the borrower.

All original documents of the property will be kept in the Bank's custody at the relevant branch.

Investment Certificate (Expenditure statement) from the Bank's Engineer will be obtained for release of
each subsequent installment, confirming that the construction has been carried out according to the
Approved Building Plan and amount has been fully utilized by the borrower.

c) For Construction of House on Self-Plot

The amount of HBF for construction of a house on self-plot will be released in Three (3) installments:

i) First Installment: 30% of the HBF limit after completion of all required formalities including creation
of mortgage charge over the property.

ii) Second Installment: 40% of the HBF limit, for construction.

iii) Third Installment: 30% of the HBF limit, for completion of house as per Approved Building Plan.

Before release of 1st installment, all required formalities/documentation will be completed, including
creation of charge/mortgage in Bank's favor and after all original title documents of the property are
secured by the bank.

Investment Certificate from the Bank's Engineer will be obtained for release of each subsequent
installment, confirming that the construction has been carried out according to the Approved Building
Plan and amount has been fully utilized by the borrower.

d) HBF Against Mortgage of Existing/Self House (For Further Construction)

The amount of HBF for construction (extension/improvement/reconstruction) of self-house will be

released in two (2) equal installments based upon the cost estimate made by the Banks’s Engineer
according to the Approved Building Plan.
 HR Policy Booklet HR Management Group

Before release of the 1st installment, all original title documents, including Approved Building Plan, will
be obtained. All formalities, including creation of charge/mortgage, will be completed and all original
title documents of the property will be secured by the bank.

Investment Certificate from the Bank's Engineer will be obtained before release of second installment,
confirming that the construction has been carried out according to the cost/estimate and amount has
been fully invested by the borrower.

Note: Before disbursement of the Finance as discussed above, the Branch Manager (BM) of the loan
disbursing Branch will be responsible to check and verify all the original title documents of the property
and its genuineness and to keep them in Branch's custody.

5.4.8 Substitution/Change of Security

For Regular employees, substitution of Security is allowed every five years from first availment or upon
promotion to next higher grade.

For Contractual employees, substitution of Security is allowed once in service after five years from first
availment or upon promotion to next higher grade.

Following guidelines are required to be followed for substitution of security:

a) The property offered for substitution should be owned and in the name of the employee prior to
substitute.

b) Property offered for substitution should be located in an area fully developed, where all the basic
amenities are available.

c) The proposed/offered property must not be an open plot.

d) Value of substituted property should not be less than the availed amount of HBF.

e) Substituted property must be free from all encumbrances, charges and Bank's Legal Advisor will
clear the property after vetting.

f) All expenses including creation of mortgage in Bank's favor over the new property is borne by the
borrower himself/herself.

g) The applicant will be required to submit a request, duly recommended by his/her Head of the
department, to the sanctioning authority mentioning the reasons for substitution of security. He/ She
obtains permission for substitution of security from his/her respective controlling office before
applying for substitution of security.

h) The enhancement may be sanctioned with change of security only for those employees who are
entitled to avail HBF enhancement. Further, the enhancement amount will be based on the
cost/estimate evaluated by the Banks’s Engineer, LSG/Respective department of Regional Offices
for proposed construction/renovation of house/flat, subject to the condition that entire amount is
secured by the value of the house/property as assessed by the Banks’s Engineer.

i) This permission will be valid for six months and after this period the permission will stand lapsed.
Only one-time revalidation of permission for further six months will be given and thereafter the
applicant will be required to apply afresh.
 HR Policy Booklet HR Management Group

j) After obtaining permission, applicant will be required to submit the proposal to the sanctioning
authority, duly recommended by his/her respective Head of the Department/Regional Head/ along
with necessary documents from the list of "Documentation Requirements" mentioned above.

k) All other terms and conditions governing the HBF will remain unchanged.

5.4.9 Second (2nd) HBF

Second (2nd) HBF will be allowed to both regular and contractual employees once in entire service. An
employee who has availed HBF may apply for a Second (2nd) HBF provided that;

a) The previous finance has been fully adjusted.

b) The applicant will be required to obtain prior permission for Second (2nd) HBF from SL&W Wing,
HOK.

c) The application for permission will be forwarded to Staff Loan Department - SL&W Wing HOK along
with the recommendation of the Regional Executive Support Services/Regional Head/Head of the
Department or Wing Head/Group Chief as the case may be. They also confirm that the applicant
has not availed this facility (2nd HBF) in the past.

d) After proper checking & scrutiny, the Wing Head - SLWW & Divisional Head in HRMG - HOK issues
permission for Second (2nd) HBF subject to the condition that the applicant should 1st adjust the
entire HBF account from his/her own resources.

e) The permission will be valid for six months. After this period the permission stands lapsed. Only
one-time revalidation of permission for further six months will be given and thereafter the applicant
will be required to apply afresh.

f) Applicant will be required to complete all the legal formalities from his/her own resources and all
charges including creation of mortgage in Bank's favor over the new property will be borne by
him/her.

g) All other terms and conditions governing the HBF will remain unchanged.

5.4.10 Redemption of Old Property Documents after Substitution of Security/2nd HBF

The loan disbursing Branch will submit a certificate to the sanctioning authority, certifying that all the
required formalities/documentation including creation of charge over the new/ substituted property in
Bank's favor is completed as per the rules, with the request to allow for redemption/release of old
property documents.

After obtaining approval of the sanctioning authority, the loan disbursing Branch will redeem the Bank's
charge over the old property and its original title documents will only be released after completion of all
required formalities/documentation including creation of charge over the new/substituted property in
Bank's favor as per rules.

5.4.11 Enhancement in HBF Limit

Enhancement in HBF will be allowed every Three (03) Years or upon promotion to next higher grade
from last availment (whichever is earlier) for all employees.

Enhancements shall be calculated over the remaining tenure of loan for all employees (Regular &
Contractual)
 HR Policy Booklet HR Management Group

Enhancement once allowed, even if enhanced amount is less than the amount requested, is not allowed
again before stipulated period / promotion.

Following guidelines are required to adhere for enhancement in HBF limit:

a) The amount of enhancement will be secured by way of registered, additional/ equitable mortgage.

b) The amount of enhancement, if granted, to the employees in excess to the mark-up free will be
released in Two (02) installments.

c) Investment Certificate for each installment will be obtained from Bank's Engineer.

d) Present valuation issued from Banks’s Engineer will also covers total amount of finance already
availed.

e) The sanctioning authority while approving the enhancement will ensure that the value of property
against which enhancement of HBF amount is granted covers the total HBF availed by the
employee.

f) Applicant will be required to submit an application on the prescribed format (please refer Annexure
D) to the sanctioning authority (duly recommended by the Head of the Department) along with
necessary documents from the list of “Documentation Requirements” mentioned above, as per case
requirement.

5.4.12 Reduction in HBF Monthly Installment

Reduction will only be permissible for regular employees. Reduction in HBF monthly installment will be
allowed up to 50% to regular employees having less than 12 years remaining service in the Bank.

Employee will be required to submit a written application in this regard duly recommended by the Head
of the Department/Regional HRBP to the sanctioning authority.

After scrutiny, the sanctioning authority will issue a ‘Letter for Reduction in Monthly Installment’
addressed to the loan disbursing Branch and copy will be endorsed to all the concerned including the
Payroll Section - HRIS Wing at HOK.

If reduction in monthly installment is allowed while sanctioning the HBF case, there is no need to issue
separate letter as the reduction is mentioned in the sanction advice by the sanctioning authority.

BM of the loan disbursing Branch will be required to obtain an undertaking from the respective
employee. The undertaking is required to be obtained on non-judicial stamp paper of Rs.100/-, executed
by the concerned official and will be kept in record and Salary Disbursing Department will also be
intimated accordingly. The undertaking states that payment of outstanding balance of HBF (if any) be
recovered through the retirement benefits of employee at the time of retirement/separation and if any
outstanding is left for any reason whatsoever the Bank be authorized to charge markup as per Bank's
policy.

5.4.13 HBF Limit on Joint Property

The concerned offices/sanctioning authorities will be empowered to sanction the HBF on joint property.

If husband and wife are employees of the Bank; they will be entitled to obtain loan against one property
to be mortgaged in joint name, but the value of the property should cover the HBF limit of both the
employees. All such cases will be referred to Legal Division for their guidance so that legal aspect of
the case may be covered to safeguard the Bank's interest.
 HR Policy Booklet HR Management Group

Employees of the Bank will not be entitled to obtain loan against one property in joint names with
Parents/Children/Siblings. (This clause does not apply on previous cases already sanctioned.)

As long as both husband and wife are in service of the Bank, repayment of finance will be through
deduction of stipulated installment directly from their salaries. In case, any one of them separates from
the Bank, the outstanding amount/liability towards HBF will be adjusted out of his/her retirement
benefits. If any outstanding balance of HBF is left due to any reason, the spouse will be responsible to
clear the dues. An undertaking in this regard will be obtained from both husband and wife by the loan
disbursing branch.

The employee will execute an undertaking, duly approved by the Bank’s Legal Advisor, whereby he/she
will undertake not to apply for redemption of the property till full adjustment of outstanding HBF against
him/her together with the outstanding HBF of co-owner.

5.4.14 Redemption of Property Documents

The procedure of redemption of property documents is as under:

During Service: If the employee has adjusted his HBF including mark-up accrued thereon, and requests
to release/redeem his property documents, the loan-disbursing branch will arrange for release/
redemption of property documents subject to completion of all the required documentation/legal
formalities. The Bank will not be responsible for fee/expenses in this regard.

After Retirement/Separation from Bank's Service: The retirement/end service benefits of employees will
be released after full & final adjustment/settlement of his staff loans liabilities through Employees
Benefits Wing (EBW) HRMG at HOK. After the adjustment of outstanding balance of House Building
Finance, the loan-disbursing Branch will arrange redemption/release of property documents after
completion of all the required documentation/legal formalities. The Bank will not be responsible for
fee/expenses in this regard.

In case of death during Bank's service: The staff loans are covered by the Group Insurance Scheme.
In case of death of an employee during bank's service, the outstanding balance will be
recovered/adjusted through Group Insurance claims, lodged by the EBW- HRMG at HOK. After the
adjustment of HBF from Group Insurance Claims the loan disbursing Branch will arrange
redemption/release of property documents which will be handed over to the legal heir/nominee after
completion of all the required legal documentation/formalities. The Bank will not be responsible for
fee/expenses in this regard. The premium of insurance cover is to be borne by employer.

5.4.15 General Clauses/Conditions House Building Finance

The Competent authority may ask for additional documents/evidences related to property such as utility
bills, tax challan & other documents, on case to case basis.

Regular/uninterrupted recovery of each & every monthly installment will be ensured by the salary
disbursing office upon intimation by the loan disbursing Branch. Deferment in monthly HBF installment
will not be allowed for any reason whatsoever.

The Bank will bear the cost of obtaining title clearance certificate of the property (offered as a collateral
by the Bank’s employee) from Bank’s Legal Advisor. The concerned loan disbursing Branch reimburses
the fee directly to Bank’s Legal Advisor after completion of all required formalities by debiting the
Branch's Charges Account.
 HR Policy Booklet HR Management Group

Property which is being offered to obtain fresh HBF, 2nd HBF or enhancement of HBF from the Bank
can be purchased from parents/siblings provided the title of the property is changed properly in the
employee's name and the same is registered with the concerned Registrar Office / Revenue Record of
Rights.

For both regular and contractual employees, property which is being offered to obtain fresh HBF, 2nd
HBF or enhancement of HBF can be in the joint name of employee and spouse (whether spouse is
NBP employee or otherwise).

Second (2nd) charge of other institution/bank, on the same property which is already mortgaged with
NBP will not be allowed in any case.

The Officials (Bank's Engineers) responsible for valuation of the property will ensure that the valuation
of property is carried out strictly according to the prevalent market rates and in accordance to the rules
and regulations so that the sanctioning authority may grant the loan without jeopardizing Bank's mark-
up. The Bank's Engineer will be responsible to mention the correct /factual position of the proposed
property in their valuation certificate. Personal visit/verification by the Bank's Engineer of the evaluated
property is mandatory.

The sanctioning authority while approving the HBF will ensure that the value of the property against
which HBF granted should cover the total HBF' limit.

5.5 Motor Car Finance

5.5.1 Eligibility Criteria for Regular & Contractual Employees

Regular Contractual

AVPs, VPs and all Officers who have All employees Vice President and Below hired on
completed Three (03) Years’ continuous three years contract will be eligible after completion
service in the Bank. of minimum six (6) months service period and
All Clerical/Non-Clerical staff who have confirmation of service. Provided at least there
completed Five (05) Years’ continuous remains six (6) months service period in his/her
service in the Bank. contract and the concerned Group Chief/D.H give in
writing that his/her is likely to be continued. Age of
Executives who have been provided Bank’s
Contractual employee should not be more than 55
Car/Cash allowance in lieu thereof under
years. In exceptional cases, the management may
their entitlement are not eligible.
takeover MCF outstanding liability from previous
employer as per terms of employment contract.
Executives who have been provided Bank’s
Car/Cash allowance in lieu thereof under their
entitlement are not eligible.

5.5.2 Entitlement Amount for Regular & Contractual Employees

Designation Entitlement for Car

All Executives up to VP Rs.2,200,000/-*

All Officers Rs.2,000,000/-*

Clerical / Non-Clerical Staff Rs.1,800,000/-*

*Subject to fulfilment of debt burden ratio.

 HR Policy Booklet HR Management Group

5.5.3 Rate of Mark-up for Regular & Contractual Employees

For regular & contractual employees’ markup will be charged at the rate of 4% per annum.

5.5.4 Maximum Repayment Period

Following table provides the details of maximum tenure for different categories of employees:

Employee Category Maximum Tenure of Car Finance

Regular Officers & Maximum ten (10) years or remaining service till attaining the age
Executives of sixty (60) years, whichever is earlier.

Regular Clerical/ Non- Maximum thirteen (13) years or remaining service till attaining the
Clerical Staff age of sixty (60) years, whichever is earlier.

Contractual Officer & Maximum five (5) years or remaining service till attaining the age
Executives of sixty (60) years, whichever is earlier.

Contractual Clerical / Non- Maximum seven (7) years or remaining service till attaining the
Clerical Staff age of sixty (60) years, whichever is earlier.

5.5.5 Procedure/Documentation Requirements

Employees will be required to submit their proposals along with prescribed application form, as per the
Annexure “E”. Proposal must be recommended by the concerned Head of Wing/Department/Office at
HOK in case employee stationed at Head Office or in case of employees stationed at Regional
Office/Branch, proposal will be recommended by the Regional Head/Regional HRBP.

The recommendation must bear full signature with name, designation and seal/stamp of the
recommending authority along with the following documents:

a) Latest Salary Slip

b) Copy of CNIC

c) Liability Statement Original

d) Application Form duly recommended by the competent authority along with the covering letter.

e) Non-involvement Certificate from the concerned Dept/Office/Branch and also from IDW- HRMG.

f) Liability position of Commercial Loans from C&RBG (for Head Office) and concerned official
(Regions), in original on the prescribed format for calculating debt burden.

g) Copy of Appointment Letter (where necessary).

h) Certificate from GM-HR (if the case is forwarded from Region to HOK) stating that the proposal has
been properly scrutinized and all required documents have been enclosed and the proposal
qualifies for sanction in all respect.

i) Each paper enclosed with the proposal should be signed by the authorized official of the Region
with name and stamp. (if the case is forwarded from Region to HOK)
 HR Policy Booklet HR Management Group

5.5.6 Security Documentation at Concerned Branch

The employee concerned must produce Registration Book, issued in the joint name of the employee
and the bank within One (1) month from the date of availing the advance, failing which the advance
may be recalled.

At the time of availing the facility, the employee concerned shall, execute an agreement with the seller
and on completion of purchase process, execute a hypothecation bond of the vehicle with the Bank, as
a security for the Finance.

The agreement and the hypothecation bond shall be kept in the custody of the Branch and returned to
the employee duly cancelled after full repayment of the loan with mark-up thereon.

If the employee concerned wants to dispose-off the Motor Car by sale or otherwise, before complete
recovery of the amount of finance, he/she shall give a request in writing to the Bank and repay the
balance in lump sum with mark-up.

The car will be comprehensively insured by the employee concerned at his/her cost, in the joint names
of the Bank and the employee concerned against full risk and loss by accident, fire, theft, terrorism and
natural disaster. The insurance will be renewed by the employee concerned from time to time until the
finance with mark-up accrued thereon has been repaid.

Amount of insurance cover shall not be less than the amount of the finance and mark-up accrued
thereon.

Guarantee of an Official of equal status or above shall be obtained for the period in which registration
book is produced.

5.5.7 Second (2nd) facility

The facility will be allowed every 03 Years or upon promotion to next higher grade from last availment
(whichever is earlier) for all employees.

5.5.8 General Clauses/Conditions

Disbursing BM/Branch Operation Manager (OM) will ensure that all the necessary formalities are
complete and the documents including D.P. Note, hypothecation of purchased vehicle, agreement for
hypothecation of the Vehicle before purchase are executed by the borrower before he/she is allowed
to avail the loan.

Deferment in monthly installment would be allowed only on the occasions of Eid-ul-Fitr and Eid-ul-Azha.
Accordingly, the installment would be calculated for the remaining period after deferment. This
relaxation would be for both contractual and regular employees.

The payment will be made through pay order directly to the seller/dealer.

In case the borrower fails to renew the comprehensive insurance and payment of annual premium or
any other formality such as registration of vehicle in the joint name of the bank & borrower within the
given time limit, the BM/OM of loan disbursing Branch will be authorized to contact the guarantor to get
the formalities/documentations completed as per rules.
 HR Policy Booklet HR Management Group

5.6 Related General Clauses for both House Building/ Motor Car Finance

The Debt Burden Ratio (DBR) inclusive of all staff loan installments should not exhaust the condition of
40% take home salary (The take home salary will be sum of Basic Pay, House Rent Allowance, Utility
Allowance, Cost of Medicine, Cost of Consultation Allowance and Education Allowance, Net of Income
Tax).

The employee may be allowed to repay more than one installment in any calendar month or to repay
the outstanding amount in lump sum including mark-up without obtaining prior permission from the
sanctioning authority. The employee shall abide by all other instructions issued from time to time by the
Bank relating to staff loans.

Upon resignation, release letter will only be issued after full & final adjustment of outstanding loans with
up to date markup thereon. The Bank will charge markup at SBP Discount Rate + 2% on the outstanding
amount of loans from the date, the employee ceases to be on the strength of the Bank for any reason
whatsoever after completion of grace period of 30 days, till the amount outstanding against him/her is
recovered in lump sum with mark-up.

If an employee resigns from the Bank's service or his/her service is terminated/dismissed for any reason
whatsoever before complete recovery of the finance, the amount outstanding against him/her shall be
recovered in lump sum with mark-up before release of his end service benefits. The BM/OM of loan
disbursing Branch will initiate the process of loan recovery along with markup through legal action in
case of default and, if needed, the Assets Recovery Group will also take necessary action for recovery
process.

No fresh staff finance will be sanctioned to employees before verification of antecedents. This clause
will not be applicable to those who are allowed Balance Transfer Facility (BTF). All regular and
contractual employees who intend to avail Staff finance first time from the Bank will obtain a confirmation
from concerned wing of HRMG, HOK (in case of employees on the strength of Head Office) and from
Regional Head/Regional HRBP (in case of employees working in Regions) that their testimonials
pertaining to educational and professional qualification (from matriculation till last qualification) and
previous experience, if any, have been verified by the Bank.

All finances/enhancement are subject to strict compliance of the laid down procedures. In case of
deviation, incorrect valuation and discrepancies in execution of the documents, the concerned officials
for sanction, valuation and disbursement along-with employee availing the finance would be personally
held responsible.

The BM/OM of loan disbursing Branch should strictly adhere to all terms & conditions, documentation /
formalities as mentioned in the Sanction Advice. The staff loans are covered by the Group Insurance
Scheme. In case of death of an employee during bank's service, the outstanding balance is
recovered/adjusted through Group Insurance claims, lodged by the Employees Benefits Operations
Wing- HRMG, HOK.

The property must be insured against fire and earthquake in the joint name of the bank and borrower
at borrower’s cost with bank’s approved insurance company. In case any applicant’s eCIB report
contains 90+ days’ Overdue Loans OR Write-Off loans, their cases will not be sanctioned until clearance
of the same.

The staff loans are covered by the Group Insurance Scheme. In case of death of an employee during
bank’s service, the outstanding balance is recovered/adjusted through Group Insurance claims, lodged
by the Employees Benefits Wing, HRMG, HO, and Karachi.
 HR Policy Booklet HR Management Group

5.7 Sanctioning Authority of Staff Loans/ Finances

The Sanctioning Authority of all Staff Finances is under the Group Chief/Head of HRMG and Regional
Head.

All cases of Staff Finance pertaining to regular employees in grades of SVPs and above, those having
less than five years' remaining service and all contractual employees are referred to HOK for sanction.
The Group Chief/Head of HRMG is authorized to sanction all Staff finances of staff posted at HOK or
the cases forwarded from Region to HOK for sanction.

Sanctioning Authority of all staff finance, pertaining to employees on the strength of Head Office, posted
in the Regions is under the respective Regional Heads. Regional Heads at Regional Offices are also
authorized to sanction all cases of employees working under the jurisdiction of Regional Offices.
However, cases of second (2nd) HBF are only sanctioned at Regions after obtaining prior approval
from Staff Loans & Welfare Wing- HRMG, HOK.

5.8 Issuance of Sanction Advice

Sanctions Advices of Loans to employees posted at the HOK or the cases forwarded from Region to
HOK for sanction, will be issued by Staff Loans Department, SL&WW-HRMG, HOK with joint signatures
of Wing Head, Staff Loans & Welfare Wing and the Divisional Head or Head of HRMG.

Sanction Advices of Loans to employees working under the jurisdiction of Regional Offices are issued
by Regional Offices with joint signatures of Regional HRBP and Regional Head.

The finance will be sanctioned after proper checking & scrutiny by the sanctioning authority in the
Regions and thereafter sanction advices will be issued which will be addressed to loan disbursing
Branch and copy thereof endorsed to all concerned including Staff Loans Department, SL&W Wing -
HRMG, HOK. Similarly, the sanction advices issued by Head Office will be addressed to the loan
disbursing Branch and copies will be endorsed to all concerned.

Before disbursement of loans, the BM/OM of loan disbursing Branch will complete all the terms and
conditions and documentation/formalities mentioned in the Sanction Advice.

Sanction Advice will be valid for six months. If the finance is not availed within six months, the sanction
will lapse.

5.9 Policy Implementation

In future all amendments to staff loans policy would be announced only with policy changes duly
approved by BOD on the recommendation of BHRRC.

All previous circulars, policy and contract terms would be superseded and would be applied through
this policy.

Pursuant to the National Bank of Pakistan Byelaws, 2015, the Board of Directors of the Bank shall have
the power to manage, issue general direction and carry out superintendence of the affairs and the
business of the Bank, including those relating to this policy. The enforcement of this policy shall be
subject to the approval of the Board.
 HR Policy Booklet HR Management Group

The terms of this policy are consistent with the relevant provisions of the Staff Services Rules, 2021
and are to be read in conjunction with the provisions thereof. Unless specified otherwise, this policy
supersedes all previous circulars, notifications and/ or relevant directions on the subject.

This policy has been formulated to update and collate relevant provisions relating to the subject matter
and therefore shall remain binding and enforceable. In the event of any contradiction between this policy
and another existing policy, the provisions of the specific policy shall prevail of the provisions of the
general policy and shall be subject to the final decision of the senior management of the Bank.

The terms of employment of an employee shall be governed in accordance with the relevant applicable
policies of the Bank, as may be amended from time to time.

5.10 Effective Date of Policy Implementation

This staff finances policy will come into force and effect from 11.10.2021.

5.11 Revision of Policy

This staff finances policy will be reviewed after 03 years from the date it comes into force.

5.12 Approval

The staff finances policy has been approved by the Board of Directors in its 324 th meeting held on
11.10.2021.
 HR Policy Booklet HR Management Group

Chapter 6 – Travel Rules

6.1 Section One – Inland Travel Policy A-1 Scope

This policy covers all NBP employees working in Pakistan. As a special case and in the interest of the
Bank, retired employees and those on deputation to other organizations if summoned in connection to
matters relating to bank by any court of law, external agencies or Bank’s Management shall also be
covered under this policy.

6.1.1 Admissibility

I. On Official Tour

II. On Transfer

III. On Retirement

IV. To the dependent family members of an in-service/deceased employee as per Bank’s record.

V. To appear before Court of Law / External Agencies or any other Bank’s Management provided
that the appearance is not against the Bank (for Retired Employees and those on deputation with
other organizations)

6.1.2 Definitions

I. “day” means a calendar day, beginning and ending at midnight;

II. “fare” includes the cost actually incurred for travelling by rail, road or by air;

III. “daily allowance” means payment to an employee in addition to other emoluments, for any day
during which an employee is on official travel from permanent station, on duty, to cover the
ordinary expenses incurred by him/her including food in consequence of such official travel.

IV. “mileage allowance” mean an allowance given to meet the cost of a journey and calculated
according to the distance travelled.

V. “travelling expenses” mean actual cost of transportation of an employee of the bank and his /her
luggage including taxes.

VI. “accommodation” mean stay in hotels, guest house or a residential club, Government /Bank Rest
Houses, Circuit House or self- arranged residence.

VII. “personal effects” include household articles such as furniture and other luggage etc.

VIII. “family” mean an employee’s wife / husband, son(s) daughter (s) and parents wholly dependent
on the employee.

IX. “transfer grant” mean one-time payment made to employee on permanent posting from one station
to another.

X. “Local Conveyance” means payment for travelling within the city on official business.
 HR Policy Booklet HR Management Group

6.1.3 Travel Expenses

Following are the expenses paid to employees to cover the cost incurred on travelling:

I. Daily Allowance (DA)

a) On Official tour

1. Employees when proceeding on official tour to other stations shall be entitled to receive
daily allowance on following rates.

Grade Rate of daily allowance

SEVP/EVP Rs.6,000 per day

SVP/VP/AVP Rs.4,500 per day

Officers Rs.2,500 per day

Clerical Staff Rs.1,500 per day

Support Staff Rs.1,200 per day

2. On official tour, absence from office of posting exceeding twelve hours shall be
considered as full day and one Daily Allowance will be paid. However, if absence from
office of posting exceeds four hours but less than twelve hours, half Daily Allowance will
be allowed.

b) On Transfer / Retirement

On account of permanent transfer, on retirement / proceeding on LPR, in case of travelling,

for the day of arrival at the new place of posting / residence, an employee shall receive
payment equivalent to his/ her entitlement of Daily Allowance, for himself/herself and half
daily allowance for each member of his/her family. Maximum amount of Daily Allowance
allowed in this regard shall not exceed the followings:

Grade Maximum daily allowance allowed

SEVP/EVP Rs.25,000

SVP/VP/AVP Rs.20,000

Officers Rs.10,000

Clerical Staff Rs.8,000

Support Staff Rs.6,000

II. Accommodation at Bank’s Rest House / Hotel

a) Employees on official tour to other stations are required to stay in Bank’s Rest House(s).
Logistics Support Group will circulate the procedure for stay in Bank’s Rest House(s),
separately.
 HR Policy Booklet HR Management Group

b) Female Employees may continue to avail hotel accommodation as per policy. They may use
the Bank’s Rest House but are exempted from compulsory staying in Bank’s Rest Houses.

c) In case of stay at Bank’s Rest House / Hotel at Bank’s expense, employees shall not be
entitled to claim compensation/ amount in lieu of accommodation. Logistic Support Group
shall be responsible to make arrangements at Bank’s Rest Houses. Logistic Support Group
will also negotiate with Hotels for best rates possible.

d) Accommodation entitlement of employees are given below:

SEVP/EVP Bank Rest House / 5 & 4 Star Hotel (Executive Floor)

SVP/VP/AVP Bank Rest House / 4 Star Hotel (Standard/Deluxe Floor) (in case of non-
availability of 4 Star Hotel, 5 Star Hotel may be allowed)

Officers Bank Rest House / 3 Star Hotels (in case of non-availability of 3 Star
Hotel, 4 Star Hotel may be allowed)

(Note; Reimbursement of hotel accommodation (Room Rent Charges and Taxes at actual)
shall be subject to production of original paid hotel bill/ invoice). The Bank shall not reimburse
expenses incurred by employee under head of Mini Bar. However, pressing of clothes (three
pieces) per day and mineral bottle/water charges shall be paid/ reimbursed by the Bank. Dry
Cleaning/ Laundry (three pieces) per day shall also be paid/ reimbursed provided the official
visit/tour extend beyond three days.

e) Employees on official tour, shall be entitled to stay in Hotels as per entitlement, (in case if
Rest House/ Bank accommodation is not available).

f) If the employee makes payment of hotel charges himself/herself, reimbursement will be made
to him/her on production of Bill/ invoice and related documents.

g) In case an employee does not stay in a Hotel/ Bank’s Rest House and arranges his/her own
accommodation, he/she will be paid following amount in lieu of Accommodation for each
night.

Grade Amount in lieu of accommodation

SEVP/EVP Rs.10,000/-

SVP/VP/AVP Rs.8,000/-

Officers Rs.6,000/-

Clerical Employees Rs.3,000/-

Support Staff Rs.2,000/-

h) In case, place of official visit of employee is his / her hometown and he /she has a family/own
home there; he / she will not be entitled to claim Hotel / Amount in lieu of hotel. Employee will
only claim Traveling Expenses plus DA for working days only, (holidays / weekend excluded).

i) Female employees, below AVP, on official tours shall be entitled to stay in the hotels
admissible to SVP/VP/AVP, irrespective of their grades.
 HR Policy Booklet HR Management Group

j) Maximum stay in a Hotel on official tours will be 15 days except Training Programs conducted
upon induction of officers. However, Auditors and Potdars (Cash carrying officials) will be
exempted from this rule. Hotel Accommodation beyond 15 days shall be approved by the
President, NBP.

k) In case of temporary transfer, hotel accommodation shall be allowed up to a maximum of 30

days. Stay beyond 30 days shall be approved by the President, NBP.

l) Hotel Accommodation shall be admissible to employees on account of permanent transfer

up to 15 days. Stay beyond 15 days shall be approved jointly by the Group Chiefs, HRMG &
Logistics.

m) Hotel Accommodation at Sr. No. j, k & l above shall be allowed subject to non-availability of
Bank’s Rest House or non-availability of rooms in Bank’s Rest House in the city of visit.

III. Fare for Travelling

a) Employees when proceeding on official tour / transfer / on Retirement / proceeding on LPR

to other stations or the family of deceased employee will be paid fare (air/rail/by road) as per
following entitlement.

Mode of Travelling Grade Entitlement

By Air SEVP/EVP Economy Plus

SVP/VP/AVP/Officers Economy

By Train Executives/Officers 1st Class AC Sleeper

Clerical/Non-Clerical Economy Class Lower AC

By Road Rs.10 per kilometer (one station to another station)

(Mileage Charges)

Taxi Charges Up to Rs.750 or actual (on production of receipt) for the purpose
specified under this head

b) On Retirement / proceeding on LPR, an employee will be allowed TA/DA in respect of the

journey from the place of his/her last posting to his/her home town, on proceeding to leave
preparatory to retirement / on retirement. Payment of expenditure in lieu of Travel Entitlement
will be made in advance and would be treated as final payment.

c) The home town will be determined according to the Residence Certificate/Domicile or last
known permanent address submitted or declared at the time of induction in Bank’s service or
entries pertaining to the permanent address of an employee in his/her service record.

d) Employees will be paid actual fare in case they travel in a class lower than their entitlement.

e) Employees will be allowed to use the mode of transport at the discretion of the Bank.

f) When an employee uses official transport for going from one station to another in connection
with official business, he will be allowed daily allowance only.

g) On permanent transfer or on retirement / proceeding on LPR, actual air/rail fare as per

entitlement of the employee and each member of his/her family will be paid. For journey by
road Mileage Charges will be admissible.
 HR Policy Booklet HR Management Group

IV. Taxi Charges (Arrival / Departure Pick & Drop Charges)

Taxi charges shall be admissible to an employee, from/to his /her residence to airport/railway
station/bus stand, as the case may be, and from/to airport/railway station or bus stand to the office
or temporary residence (outstation) provided official transport is not used/ provided.

V. Mileage Charges

a) Mileage (rate per kilometer) Charges are admissible for by road traveling to other cities for
official tours, traveling on permanent or temporary transfers and for local journeys within the
city for official work, subject to the condition that no official transport is used for such a
journey.

b) Mileage Charges will be paid in lieu of fuel charges in case personal vehicle is used for official
purposes while travelling from one station to another station.

VI. Luggage and Freight Charges

An employee proceeding on LPR / on retirement or on permanent transfer, to a station located

outside the municipal limits of the station of his previous posting and where change of residence
is actually involved in consequence of such transfer, shall be entitled to transport his/her personal
effects by train or truck, subject to following maximum limits:

Maximum Limit
Grade/Cadre
With Family Without Family

SEVP/EVP 4,800 Kg 2,400 Kg

SVP/ VP/AVP 4,000 Kg 2,000 Kg

Officers 3,200 Kg 1,600 Kg

Clerical Employees 1,600 Kg 1,200 Kg

Support Staff 1,200 Kg 600 Kg

For transportation of personal effects, the SEVP/EVP/SVP would be entitled to 20 feet container
instead of train or truck.

(Luggage and Freight Charges admissible to the employees would be maximum at the rate of
Rs.0.50 per 40 Kilograms per Kilometer on production of original paid bills/invoice).`

VII. Vehicle Transportation Charges

a) An employee proceeding on LPR / on retirement or on transfer shall be entitled to transport

his/her motor car/motor cycle/scooter, by rail or truck from the place of his/her last posting to
his/her home town on the rates prevailing at that time. The employee will draw the actual
railway/truck freight against production of original receipt/voucher.

b) When an employee himself/ herself or any of his/her family member travel by own motor
car/cycle /scooter, he/ she will not be entitled to claim vehicle transportation charges. In such
a case, he/she will be entitled for Mileage Charges as per approved Bank’s rates.

c) Vehicle Transportation Charges/Mileage Charges of one motor car or one motor cycle will be
reimbursed.
 HR Policy Booklet HR Management Group

d) In case husband and wife both, are working in NBP and both of them are transferred
permanently from one place to another or proceed on LPR / retirement they shall be admissible
as per their entitlement, to apply for Travel Entitlement (by road only), Transfer Grant, Daily
Allowance, Taxi Charges and Luggage & Freight Charges.

VIII. Transfer Grant

a) Employee on permanent transfer from one station to another shall be granted Transfer Grant
as per Bank’s approved rates. It shall be admissible to employee on permanent transfer from
one station to another, involving movement of employee to a station located outside the
municipal limits of the station of his previous posting and where change of residence is actually
involved in consequence of such transfer.

b) On each such permanent transfer employees will be given Transfer Grant as under:

Executives Half of Basic Pay subject to a minimum of Rs.25000

Officers Half of Basic Pay subject to a minimum of Rs.25000

Clerical & Non-Clerical Half of Basic Pay subject to a minimum of Rs.15000

c) Transfer Grant will only be admissible on transfers done on Bank’s discretion. Further, this
grant would be given if the place of transfer is at least 100 kilometers outside the municipal
limits of the previous place of posting.

IX. Miscellaneous Expenses

Following expenses shall also be reimbursed to employees, on official visit only subject to
production of original receipt.

a) Toll Tax

b) Car Parking Charges at Airport (same day travel)

6.2 Travel Authorization Matrix

All official travels within the country will be authorized/ approved as under:

Category of employees Approving authority

All employees in Regions Regional Head

All employees in the field reporting to Head Concerned Group Chief/ Divisional Head (Direct
Office Reports)

All employees in the Head Office Concerned Group Chief/ Divisional Head (Direct
Reports)

Regional Heads Concerned Group Chief

Direct Reports of the President President

Prior permission from the competent authority as defined in the Travel Policy is to be obtained in writing
for all official tours
 HR Policy Booklet HR Management Group

6.3 Travel Entitlement

a) Following Travel Expenses shall be paid to Employees on account of travelling as

contained in this Policy at specified rates subject to fulfillment of conditions as defined
above.

Admissibility Entitlement

1. Fare for Travelling

2. Daily Allowance
3. Bank Rest House /Hotel Accommodation or Amount
On Official Tours in lieu thereof
4. Taxi Charges
5. Toll Tax
6. Car Parking Charges at Airport (same day travel)

1. Transfer Grant
2. Fare for Travelling
3. Daily Allowance
On Permanent Transfer 4. Taxi Charges
5. Luggage & Freight /Container Charges
6. Vehicle Transportation Charges
7. Toll Tax

1. Fare for Travelling

On Temporary 2. Daily Allowance
Transfer- Inter 3. Bank Rest House /Hotel Accommodation or Amount
(outside) Region/ Head In lieu of Accommodation
Office 4. Taxi Charges
5. Toll Tax

Outside the Municipal Limits (below 100 km) within the

Region 1. Mileage Charges
Outside the Municipal Limits (100 km or more) within the
On Temporary
Region
Transfer Intra (within)
1. Mileage Charges
Region
2. Daily Allowance
3. Bank Rest House /Hotel Accommodation or Amount
In lieu of Accommodation

1. Fare for Travelling

2. Daily Allowance
3. Taxi Charges
On LPR / Retirement
4. Luggage & Freight /Container Charges
5. Vehicle Transportation Charges
6. Toll Tax
 HR Policy Booklet HR Management Group

b) For the family of deceased employee

In case of death of an in-service employee, the family of the deceased employee shall be
entitled for all expenses in accordance with the provisions given for retiring employees.

c) Other Journeys

An employee (serving, retired or on deputation) who is summoned in his current/past

official capacity by a court of law or any other authority shall be entitled to TA/DA as per
rules (as per grade in which he was retired or left the bank’s service) but in every such
case in which an employee draws an allowance from the Bank, any payment made by the
summoning authority to meet his/her traveling expenses shall be paid to the Bank.

d) Local Conveyance at the rate of Rs.25 /km be given to employees for travelling within city
for official business/ purpose provided that no official vehicle is used for the purpose.

6.4 General Guidelines

a) TA Bills will properly be prepared and submitted, as per format, within 07 days of
completion of journey with supporting documents of claim.

b) Leave (irrespective of its nature) can be allowed to employees on official visit (local) either
before, after or during the official visit. However, no daily allowance or other charges will
be admissible during such period of leave. However, in case of medical exigencies, which
shall require a certificate from a registered medical practitioner of the visited
station/country. Such Medical Leave abroad shall be approved by the President, NBP and
no additional payment except Medical expenses in Pak Rupees, as per entitlement shall
be paid by the Bank.

c) No arrears will be made due to increase in pay on promotion or annual increment/increase

whatsoever subsequent to the submission of TA claims.

d) Lodging charges shall be paid on production of actual hotel bills.

e) No TA/DA shall be paid to a person who joins his/her first appointment in the Bank.

f) Travel shall be admissible on the basis of journey by the shortest route. In case of
deviation, such travel should be justified to the satisfaction of the Travel Approving
Authority.

g) Employee shall travel by the Class of travel for which Fare for Travelling is admissible to
him/ her as per entitlement and if he/ she travels in a lower class he/she shall be entitled
to the fare of the accommodation actually used. Provided that an employee in Senior &
Middle Management Classification (AVP to SVP), on inspection, audit or any other
temporary duty will, notwithstanding the provisions contained in this Policy, be entitled to
draw Fare for Travelling for the class admissible to him if he travels by the next lower
class, in case he / she certifies that his wife / her husband accompanied him /her during
the journey.

h) Employees travelling on official visit may be permitted to draw an advance payment to

meet travelling expenses upto 80% of the estimated traveling expenses, upon written
request duly recommended by the travelling approving authority This advance payment
shall be adjusted on submission of travelling expenses bill within stipulated time. Advance
against TA shall be deducted from the salary of the employee, in case the advance is not
adjusted within 15 days of completion of journey.
 HR Policy Booklet HR Management Group

i) In the event of cancellation of a planned official travel/tour, cancellation charges incurred

by the employee shall be reimbursed by the Bank on production of relevant documents.

j) In case of emergency travelling, entitlement should be enhanced/ upgraded subject to

approval of “Travel Approving Authority” and against production of relevant receipt/ bill.

k) In case of transfer of an employee at his/her own request no TA/DA, Transfer Grant or

any other allowance mentioned in this policy shall be paid.

l) The players of NBP Teams shall be governed under the entitlements as approved for
Officers.

m) In case of delay on part of Management, in finalization /negotiations of (corporate) Room

Rates with Hotel authorities, employees shall be paid/reimbursed TA/DA as per rates
charged by the Hotel authorities according to the entitlement of concerned officials.

n) Female Employees, on official visit, shall be provided conveyance (pick & drop facility to
and from Airport) by concerned Regional Offices, as requested.

6.5 Section Two - Foreign Travel Policy B-1 Scope

This policy covers all NBP employees working within Pakistan required to travel abroad for official
purpose and Pak /local based employees posted/working at NBP’s International branches/offices for
their business travels as well as, on their permanent transfer or repatriation to/ from Pakistan.
Employees on deputation to other organizations are not covered under this policy.

6.5.1 Purpose of Visit

Employees shall undertake foreign official visits:

a) To undertake Advanced Trainings/ Technology Acquisition related to banking.

b) To manage Bank’s International Network

c) To conduct Audit and Enquiries in International Network

d) For attending Board of Directors Meeting

e) To conduct business travel throughout the world as well as to Pakistan for official purpose.

f) To conduct on site compliance reviews and or to meet the overseas regulators/ external
Auditors

Note: The Bank shall not send / allow their employees to travel abroad on pretext of
Management Meetings or reward for achieving sales/ business targets (tours sponsored by
Bank or by third parties / their overseas alliances directly or indirectly).
 HR Policy Booklet HR Management Group

6.5.2 Travel Authorization Matrix

All official travel abroad shall be authorized/ approved as under:

Category of Employees Approving Authority

All Employees Posted in Pakistan President

All Employees Posted in International Branches Group Chief, International Banking Group
/ Offices

6.5.3 Official Tours

Employees posted in Pakistan are allowed to travel overseas on official assignment for
specified period shall be entitled to following:

I. Daily Allowance and Hotel Accommodation

DA – In case Hotel
Grade Hotel Accommodation Accommodation is
not availed.

Hotel accommodation upto US$500/- plus 50% of

SEVP US$ 500
the DA (i.e. US$ 250/-)

Hotel accommodation upto US$350/- plus 50% of

EVP US$ 400
the DA (i.e. US$ 200/-)

Hotel accommodation upto US$300/- plus 50% of

SVP US$ 360
DA (i.e. US$ 180/-)

Hotel accommodation upto US$250/- plus 50% of

VP/AVP US$ 330
DA (i.e. US$ 165/-)

Hotel accommodation upto US$200/- plus 50% of

Officers US$ 300
DA (i.e. US$ 100/-)

(Note: Reimbursement of hotel accommodation (Room Rent Charges and Taxes at actual)
shall be subject to production of original paid hotel bill/ invoice). The Bank shall not
reimburse expenses incurred by employee under head of Mini Bar. However, pressing of
clothes (three pieces) per day and mineral bottle/water charges shall be paid/ reimbursed
by the Bank. Dry Cleaning/ Laundry (three pieces) per day shall also be paid/ reimbursed
provided the official visit/tour extend beyond three days.

a) Employee shall be paid Daily Allowance (for number of nights) plus 15% of the Daily
Allowance to meet various out of pocket expenses, in case Hotel Accommodation is
not availed by the employee.

b) In case of official visits within the same country necessitating overnight stay, daily
allowance shall be paid (for number of nights) at the above rates. Where overnight
stay is not involved, daily allowance will be admissible at 50% of the above DA.
 HR Policy Booklet HR Management Group

II. Travel Entitlement

Travel Entitlement of employees will be as under:

SEVPs/ EVPs Business Class

SVP/VP/AVP/Officers Economy Class

Note: Travel Insurance covering Overseas Official Visit if required will be provided by
Travel Agent which shall be reimbursed by the Bank on production of original bill/ invoice.

III. Taxi Charges (Arrival / Departure Pick & Drop Charges)

Following Taxi charges shall be admissible to employee, from/to his/her residence to

airport/railway station/bus stand as the case may be, and from/to airport/railway station or
bus stand to the office or temporary residence provided official transport is not used.

Taxi Charges in Pakistan Taxi Charges Abroad

Upto Rs.750 or actual (on production of Upto US$30 or actual (on production of
receipt) receipt)

IV. Miscellaneous Charges

Payment of Visa processing fee, Airport Tax, Medical Examination Charges required for
granting Visa, as per country law and Medical Insurance (for specific countries) as per
country law shall be reimbursed subject to production of relevant bill/documents.

6.5.4 Business Travels to Pakistan

Employees posted in Bank’s International branches/offices (Pak based/ local based) on

business Travels to Pakistan for specified period shall be entitled to followings;

I. Rates of Daily Allowance and Accommodation

Grade Accommodation Daily Allowance

SEVP/EVP Bank’s Rest House / Executive Floor Rs.6000 per day

Bank’s Rest House / Standard / Deluxe Floor in 4 Rs.4500 per day

SVP/VP/AVP Star Hotel (in case of non-availability of 4 Star Hotel,
5 Star Hotel may be allowed)

Bank’s Rest House / 3 Star Hotels (in case of non- Rs.2500 per day
Officers availability of 3 Star Hotel, 4 Star Hotel may be
allowed)

(Note: Reimbursement of hotel accommodation (Room Rent Charges and Taxes at

actual) shall be subject to production of original paid hotel bill/ invoice). The Bank shall
not reimburse expenses incurred by employee under head of Mini Bar. However, pressing
of clothes (three pieces) per day and mineral bottle/water charges shall be paid/
reimbursed by the Bank. Dry Cleaning/ Laundry (three pieces) per day shall also be paid/
reimbursed provided the official visit/tour extend beyond three days.
 HR Policy Booklet HR Management Group

II. Taxi Charges (Arrival / Departure Pick & Drop Charges)

Taxi charges upto Rs.750 or actual (on production of receipt) shall be admissible to
employees, from/to his /her residence/hotel to airport/railway station/bus stand, as the
case may be and from/to airport/railway station or bus stand to the office or temporary
residence provided official transport is not used/ provided.

III. Miscellaneous Charges

Payment of Visa Processing Fee, Airport Tax, Toll Tax and Car Parking Charges at Airport
shall be reimbursed subject to production of relevant bill/documents.

6.5.5 Permanent Transfers

Pak-based Employee on permanent transfer or repatriation to/ from Pakistan shall be entitled
as under:

I. Transfer Grant

Employees shall be entitled to Half Basic Pay subject to a Minimum of Rs. 25000/-

II. Daily Allowance & Hotel Accommodation

a) Employees shall be entitled for payment of Daily Allowance and Hotel

Accommodation as mentioned at Sr. No. B-4(I) above.

b) In case of permanent transfer, Daily Allowance or Hotel Room Rent Charges & Taxes
against production of original Hotel Bill, whichever is less, to the extent of 30 days or
for such period, as reasonable accommodation is not obtained/made available to Pak-
based employee shall be admissible if he/she stays in a hotel. In lieu of this facility,
the employee shall not be entitled to avail House Rent Allowance. In case employee
makes his/her own stay (accommodation) arrangements he/she shall be entitled to
avail House Rent Allowance as per rules/policy.

III. Travel Entitlement

a) Employees shall be allowed to travel by air as per entitlement given at Sr. No. B-4(II)
above.

b) Actual air/sea/rail fare shall be reimbursed, as per entitlement, to the employee.

However, spouse and children (maximum three up to 18 years of age) as per
Overseas Posting Policy shall travel in Economy Class.

IV. Transportation of Personal Effects

a) Transportation of Personal Effects up to following maximum limits shall be admissible

on foreign transfer/postings:

2020 Kg / 900 CFT if possessing a family

1350 Kg /600 CFT if not possessing a family

b) All items of personal effects shall be transported from the place of transfer to the
place of new posting by sea freight excluding those permissible by air under free
baggage rules of Airlines. In case transportation by sea is not possible/ economical,
transportation by air shall be allowed but the freight under such cases should not
exceed the sea freight entitlement of employee.
 HR Policy Booklet HR Management Group

V. Insurance of Personal Effects

Insurance of personal effects shall be allowed to employees (from place of transfer to

place of new posting) as mentioned in the Bill of Lading.

VI Miscellaneous Charges

Following payment/charges shall also be allowed to employees on their permanent

transfer (from place of transfer to place of new posting);

a) Loading / unloading charges;

b) Dock charges/Port Trust charges/ Wharfage/Terminal Tax;

c) Cartage/Truck/Clearing Agent Charges;

d) (Expenses incurred on the above heads for transportation of personal effects shall
be paid at actual subject to production of original paid bill/receipt)

e) Packing/Crating Charges; to be paid actual subject to a maximum of three months

basic salary on production of original receipt/invoice of the Packers/Shippers;

f) Other Miscellaneous expenses including cost of container etc. shall be allowed up

to Rs. 1500/- (reimbursement on production of bill/receipt only)

g) Taxi Charges, Porter, Pick up Charges as per policy

h) Accompanied baggage shall be admissible at actuals subject to production of

separate declaration/ certificate that such expenses were actually incurred by the
employee.

i) Passport Fee (for Self and family as per entitlement subject to production of official
receipts)

j) NIC Overseas Passport Card (NICOP)

k) Passport Protection / Protector Fee

l) Overseas Employee Welfare Fund

m) Visa Processing Fee

n) Attestation Charges

o) Immigration Fee

p) Translation of Documents

q) Compulsory Medical Examination, if required under country law

r) Hotel Accommodation Charges during transit or payment in lieu thereof, if applicable.

6.5.6 Temporary Transfers

Local & Pak based Employees posted abroad (transferred from one overseas station to another
station) shall be entitled to the following:
 HR Policy Booklet HR Management Group

I. Daily Allowance

a) In case of temporary transfer outside the permanent place of posting such employee
shall be allowed full Daily Allowance or Room Rent Charges & Taxes against
production of original hotel bill, whichever is less, to the extent of 30 days provided
the employee actually stays in a hotel. In case employee makes his/her own
arrangements, he/she will be entitled to half Daily Allowance up to a maximum
admissible period.

b) Hotel Stay / accommodation beyond 30 days shall be approved by the President,

NBP.

c) Employees shall be entitled for payment of Daily Allowance and Hotel

Accommodation as mentioned at Sr. No. B-4(I) above.

II. Travel Entitlement

a) Employees shall be allowed to travel by air as per entitlement given at Sr. No. B-4(II)
above.

b) Actual air/ sea/rail fare shall be reimbursed as per entitlement/local rules.

III. Taxi Charges

Taxi charges shall be allowed as per entitlement given at Sr. No. B-4(III) (Taxi Charges
Abroad).

6.5.7 Assignment based Foreign Travel (above 15 days)

In case an employee is required to travel abroad for more than 15 days, such employee shall
be provided:

a) Air travel as per entitlement under this policy.

b) Full board stay in a service apartment/ hotel on sharing basis (where applicable).

c) Sanctioned Daily Allowance to cover transportation/other miscellaneous expenses etc.

Sanctioned Daily Allowance shall be worked out as per local needs, boarding requirements of
the (travel) country. President shall have the discretion to finalize/approve such Daily
Allowance which in no case shall be higher than the Daily Allowance prescribed under this
policy.

6.5.8 Other Journeys

An employee (serving, retired or on deputation) who is summoned in his current/past official

capacity by a court of law, or any other authority shall be entitled to TA/DA as per rules (as per
grade in which he was retired or left the bank’s service) but in every such case in which an
employee draws an allowance from the Bank, any payment made by the summoning authority
to meet his/her traveling expenses shall be paid to the Bank.

6.5.9 No Objection Certificate (NOC)

I. Overseas Official Visit shall be undertaken by employees with prior clearance from
Finance Division, Ministry of Finance (MoF), Government of Pakistan. NOC from Ministry
of Finance will be arranged by Personnel Management Wing, HRMG. Employees shall
 HR Policy Booklet HR Management Group

provide HRMG with notice of thirty (30) days before commencement of overseas official
visit as per requirement of Ministry of Finance. Proposal/ Office Note containing approval
of the President, NBP required to be submitted to the Ministry of Finance, Islamabad for
seeking clearance should explicitly contains:

a) Details/ purpose of Official Visit.

b) Duration of Official Visit with tentative date(s) of departure and return (i.e. total
number of days, holidays excluding travel time).

c) Details of Expenses to be borne by NBP or source of finance (if other than NBP).

d) Details of previous Overseas Official Visit(s) during the last twelve months with
details of expenses.

e) Copy of Passport and Computerized National Identity Card (CNIC). Passport and
CNIC must have validity of six months.

f) Any other document(s) required by MoF.

II. No NOC from MoF, Islamabad will be required in case of transfer of Pak-based Employee
to Bank’s International branches/offices. However, requirement/clearance of Fit & Proper
Test as per guidelines issued by regulators shall be obtained by the concerned office.

6.5.10 General Guidelines

a) TA/DA Bills will properly be prepared and submitted, as per format, within 15 days of
completion of journey with supporting documents of claim.

b) Leave (irrespective of its nature) will be allowed to employees on official visit either before,
after or during the official visit. However, no daily allowance or other charges will be
admissible during such period of leave. However, in case of medical exigencies, which
shall require a certificate from a registered medical practitioner of the visited
station/country. Such Medical Leave abroad shall be approved by the President and no
additional payment except medical expenses in Pak Rupees, as per entitlement shall be
paid by the Bank.

c) No arrears will be made due to increase in pay on promotion or annual increment/increase

whatsoever subsequent to the submission of TA claims.

d) In case of emergency travelling, entitlement should be enhanced/ upgraded subject to

approval of “Travel Approving Authority” and against production of relevant receipt/ bill.

e) Travel shall be admissible on the basis of journey by the shortest route. In case of
deviation, such travel should be justified to the satisfaction of the Travel Approving
Authority.

f) In the event of cancellation of a planned official travel/tour, cancellation charges incurred

by the employee shall be reimbursed by the Bank on production of relevant
documents/bill.

g) An employee shall travel by the class of travel for which he/she is entitled and if the
employee travels in a lower class he/she shall be paid the fare of class of travel he/she
actually used.
 HR Policy Booklet HR Management Group

h) The President, NBP may authorize payment of Fare for Travelling to an employee at rates
higher than the entitlement/ approved rates in case of non-availability of booking as per
entitlement.

i) Employees required to travel abroad (other than permanent transfers) under this policy
may be permitted to draw an advance to meet traveling expenses. The advance shall not
exceed 80% of the estimated traveling expenses which will be adjusted on submission of
travelling expenses bill within 15 days after return from official visit. If this amount is not
adjusted within stipulated time, the amount of advance against TA shall be deducted from
monthly salary of the employee.

j) The Local Based Country Managers/ General Managers working at International

branches/offices to whom grades/ ranks are not allotted shall be allowed travel entitlement
for SVP grade.

k) The Local Based employees other than Country Managers/ General Managers working
at International branches/offices to whom grades/ ranks are not allotted, shall be allowed
travel entitlement as approved for Vice Presidents & Assistant Vice Presidents; however,
for their travel within the same country TA/ DA will be paid as per local / HR policy.

l) Employees proceeding on official visit abroad shall be entitled to 30% of the Daily
Allowance, where the host country/sponsoring organization provides cash subsistence
allowance, present practice of allowing difference between the prescribed DA and
subsistence allowance will continue.

6.5.11 Responsibility for Implementation

The Staff Loans & Welfare Wing HRM Group, Head Office will be responsible for policy
circulation.

The International Banking Group and HRM Group, Head Office will be responsible for
policy implementation.
 HR Policy Booklet HR Management Group

Chapter 7 – Job Rotation

7.1 Purpose

Job Rotation strengthens the organization in preparing successors and at the same time developing
employees in terms of exposure to new assignments. The Bank encourages the staff to avail the
opportunity to develop knowledge and skills through systematic job rotation. This systematic movement
of employees from one job to another and geographical locations across the bank is driven by the
strategic needs of the organization in terms of career development of employees, succession planning,
internal control and compliance of regulatory guidelines.

7.2 Scope

All employees working in Branches/Regions and Head Office are covered under this policy.

7.3 Period of stay (Term)

A term (stay) on a particular job or assignment other than Govt. receipts / collection seats will be three
years for all positions and the maximum period of stay for all such positions is extendable by one year
only subject to approval of the authority as defined in the Exception Approving Authority Matrix.

The term` for Govt. receipts / collection seats will be 02 years. However, no relaxation/extension in stay
beyond this period shall be allowed to staff posted on Govt. receipts/collection seats. However, six
months extension in stay may be allowed to Cash Staff working in Branches in case of need.

7.4 Policy Guidelines

Under this policy, all employees will be rotated within the office of their posting after having worked for
a period as given in column No.2. Transfer out to other office will be after a period mentioned in column
No. 3.

Within Group
Frequency of Outside the
Office
Rotation the Office / Group
Office

1 2 3

Head Office

Group Chiefs – SEVPs & EVPs (Direct Reports) NA 6 years

Divisional Heads-EVPs & SVPs (working within 3 years 6 years

Groups)

Wing Heads 3 years 6 years

All Other Positions 3 years 6 years

(Executives/Officers/Staff)
 HR Policy Booklet HR Management Group

Within Group
Frequency of Outside the
Office
Rotation the Office / Group
Office

Regions

Regional Heads NA 3 years

Regional Executives NA 3 years

All Other Positions 3 years 6 years

(Executives/Officers/Staff)

Branches

Chief Branch Sales & Service Managers, NA 3 years

Branch Sales & Service Managers and
Branch Sales & Operations Managers

Branch Operations Managers 3 years 6 years

Cash Staff (Change of seat-Cash related only) 3 years 6 years

Staff posted on Govt. Receipts/Collection Seats 2 years 2 years

All other Positions- NA 3 years

(Executives/Officers/Staff)
Category- 1 Branches

All other Positions- 3 years 6 years

(Executives/Officers/Staff)
Category- 2 to 5 Branches

All Positions- Designated Branches (Corporate/Islamic 3 years 6 years

Banking)

Office refers to Region/ Wing/Branch

Positions of Head of Legal, IT, Finance, Treasury, HR, Islamic Banking, Secretary (BoD) or any other
position circulated by SBP in future shall be exempted from compulsory rotation under extreme situation
subject to approval of the Board of Directors.

Staff working in President Secretariat and President Task Force (PTF) shall be exempted from rotation
subject to approval of the President NBP.

7For specialized fields/jobs, like IT, Finance, Audit, HR and Treasury etc. internal rotation of employees
from one assignment to another within their functional units will be ensured after every three years.
However, in case their profiles match with Job Specification of a position in some other functional unit
of the bank, they may be considered to be transferred outside their functional offices.
 HR Policy Booklet HR Management Group

7.5 General Guidelines

At Region, Regional Head will be responsible for rotation of employees working under his control.
Rotation of employees from one desk to another in a Region/Branch will be made by Regional Head
on a regular basis. This is being done so that no one is allowed to stay on one desk for more than the
stipulated period at a stretch.

The Regional Heads, Divisional Heads (other than direct reports), Wing Heads, Regional Executives,
Chief Branch Sales & Service Managers, Branch Sales & Service Managers and Branch Sales &
Operations Managers shall not remain posted at one office for more than 3 years.

Cash Staff at branches shall be rotated on cash related seats/jobs only. However, after elevated to
position of AVP, he/she may be rotated/ transferred to General banking side subject to approval of the
Regional Head.

Chief Branch Sales & Service Managers, Branch Sales & Service Managers, Branch Sales &
Operations Manager and Branch Operations Manager /Cash Staff of one Branch shall not be
transferred to another Branch together as one team.

Change in assignment is necessary as defined in clause “3” above. However, in exceptional cases
extension in stay as recommended and approved by the authorities as mentioned in the Exception
Approving Authority Matrix may be allowed.

No employee will be posted back to his/her previous branch before completion of three years working
outside the Branch. A gap of three years will be necessary for re-posting of an employee to his / her
previous posting at branch.

Groups at Head Office will be responsible to implement the rotation plan for employees working in field
offices having direct reporting to them.

All cases of retention (not rotating employees) beyond specified period shall be reported to Personnel
Management Wing (PMW), HRMG, HO. on quarterly basis. Copy of approval will be provided to PMW
for record.

As per policy in vogue, the Regional Head is responsible for transfer within Region upto OG-I while
transfers of executives (AVP & above) within Region are made by PAW, HRMG. Similarly, all inter
Group/Region transfers in all grades are made by PAW, HRMG. Same arrangements will continue for
rotations as defined in this policy.

Exemption from rotation under this policy may be allowed to Non-Clerical Staff, employees working in
specialized fields/jobs and those who attained the age of 59 years and are due for retirement within
one year.

Staff posted in Aitemaad Islamic Banking Group (AIBG) shall not be transferred to conventional banking
without consent of Group Chief AIBG.
 HR Policy Booklet HR Management Group

7.6 Responsibility Matrix

Responsibility with regards to position requiring rotation is given below:

Position requiring Rotation Responsibility

Head Office

Group Chiefs – SEVPs & EVPs (Direct Reports) President

Audit Chief Chairman BACC

Regional Audit Chief / Divisional Heads/ Wing Concerned Group Chief with concurrence of
Heads- Audit BACC

Divisional Heads-EVPs & SVPs (working within Concerned Group Chief

Groups)

Wing Heads Concerned Group Chief/ Div. Head

All Other Positions (Executives/Officers/Staff) Concerned Group Chief/ Div. Head

Region

Regional Heads CRBG

Regional Executives Regional Head

Regional Executives Credit Group Chief CMG

Regional Executives CAD Divisional Head CAD / Group Chief RMG

All Other Positions (Executives) Regional Head/HRMG, HO

All Other Positions (Officers/Staff) Regional Head

Branch

Chief Branch Sales & Service Managers, Regional Head / CRBG

Branch Sales & Service Managers and Branch
Sales & Operations Managers

Branch Operations Managers Regional Head/ CRBG

Cash Staff (Change of seat-Cash related only) Regional Head

All other Positions- (Executives) Category-1 to 5 Regional Head /Concerned Group Chief
Branches

All other Positions- (Officers/ Staff) Category- 1 to 5 Regional Head

Branches

All Positions- Designated Branches (Corporate / Concerned Regional Head in consultation

Islamic Banking) with concerned Group Chief

Credit Officers RE Credit / Group Chief CMG

CAD Officers RE CAD / Divisional Head CAD/ Group Chief

RMG
 HR Policy Booklet HR Management Group

7.7 Exception Approving Authority

Employees will be rotated / transferred after completion of specified period on particular seat/
assignment. Proposals/List of employees recommended to work on particular seat / assignment beyond
stipulated time shall be submitted to the concerned approving authority with justification three months
ahead of the rotation/transfer date. Table of recommending and approving authorities is given below:

Authority
Position
Recommending Approving

Group Chiefs – SEVPs & EVPs (Direct President Board of Directors

Reports) {where exemption allowed by
SBP}

Divisional Heads-EVPs & SVPs (working Concerned Group President

within Groups) Chief

Head
Regional Audit Chief / Divisional Heads/ Concerned Group BACC
Office
Wing Heads- Audit Chief

Wing Heads Concerned Group President

Chief

All Other Positions Concerned Group HRMG

Chief

Regional Heads CRBG President

Regional Executives Regional Head CRBG

Regional Executives Credit Group Chief CMG Group Chief HRMG

Region Regional Executives CAD Divisional Head Group Chief RMG &
CAD HRMG

All Other Positions (Executives) Regional Head HRMG

All Other Positions (Officer/ Staff) Regional Head Concerned Group

Chief
 HR Policy Booklet HR Management Group

Authority
Position
Recommending Approving

Chief Branch Sales & Service Managers, Regional Head CRBG

Branch Sales & Service
Managers and Branch Sales &
Operations Managers

Branch Operations Managers Regional Head CRBG

Manager/Incharge Credit RE Credit Group Chief CMG

CAD Officers RE CAD / Group Chief RMG

Divisional Head
Branches
CAD

Cash Staff Regional Head CRBG

All other Positions (Executives)- (Cat -I Regional Head Concerned Group

1 to 5) Chief

All other Positions (Officers / Staff)- (Cat Regional Head CRBG

-1 to 5)

All Positions- Designated Branches Concerned Concerned Group

(Corporate/Islamic Banking) Regional Head Chief

7.8 Responsibility for Implementation

Personnel Management Wing HRMG will be responsible for implementation of this policy. (Reference
BoD Meeting dated 30.11.2017)
 HR Policy Booklet HR Management Group

Chapter 8 - Academic & Professional Qualification

8.1 Scope

For Regular and Contractual Employees of the Bank.

8.2 Eligibility

To be eligible for “qualification incentive” under this policy an employee must:

a) Be a full-time employee;

b) Be on the payroll when the course is completed

c) Has not received financing for any other source for the said program

8.3 Conditions governing Incentive Scheme

The following conditions govern the incentive Scheme:

a) The educational institute must be recognised by the HEC whereas other professional program
organizing Institutions must have accreditation with national and international recognised bodies.
The Bank shall not bear any expenses incurred by employee in the process of improving his/her
qualifications. However, reimbursement of expenses incurred by an employee for improvement in
professional qualifications or obtaining part time Diplomas in their respective areas of field may be
considered by the Bank.

b) Official assignment of employee should not be affected.

8.4 On Improvement of Academic / Professional Qualification

A Bank’s employee working in the clerical grade shall be entitled to draw the cash award on/passing
the following exam of graduation/post-graduation. This is one time cash award, which will be paid to
Bank’s employee as an incentive once in the service for the same qualification and the rate of incentive
to be paid in this respect shall be as under:

Education Amount

B.A Rs.10,000

M.A Rs.20,000

B. Com/B.Sc./BCS/BBA Rs.20,000

M.Com/M.Sc./MCS/MBA Rs.30,000

Weightage is given in promotion to all employees in the promotion criteria/Policy announced from time
to time, for all grades of the employee.
 HR Policy Booklet HR Management Group

8.5 On Improvement of Professional Qualification

a) IBP

Payment of cash awards to the employees of the Bank on passing Stage I, II & III of the Banking
Diploma Examination as under:

Stage I Stage II Stage III

1st attempt Rs.50,000 Rs.75,000 Rs.100,000

2nd attempt Rs.30,000 Rs.50,000 Rs. 75,000

3rd attempt Rs.10,000 Rs.15,000 Rs. 25,000

For promotion of officers and executives the weightage for JAIBP will be given in the promotion criteria
approved from time to time.

Cash awards upto 3 attempts will be made to the employees of the Bank on passing Special Certificate
Examination (5 additional subjects of new syllabus after passing Banking Diploma Examination under
old syllabus) of the institute as follows:

1st attempt Rs.50,000

2nd attempt Rs.30,000

3rd attempt Rs.20,000

Associate-ship of IBP (AIBP) Examination

On Passing in 1st attempt Rs. 150,000

On Passing in 2nd attempt Rs. 100,000

On Passing in 3rd attempt Rs. 50,000

The above incentives are besides the reimbursement of 1-time tuition fee against courses conducted
by IBP and 50% reimbursement of examination fee.

b) PhD

Employees obtaining PhD degree within the country or abroad from HEC recognised universities during
their service period shall be entitled to receive cash award of Rs.200,000.

In line with practice of GoP, such employees shall also be allowed to receive Rs.10,000/- per month as
PhD allowance.

c) CISA/CIA

Employees obtaining Certified Information System Auditor (CISA) and Certified Internal Auditor (CIA)
during their service period shall be entitled to receive cash award of Rs.20,000. This would be in
addition to allowing the reimbursement of one time actual Examination/Certification Fee in foreign
Exchange / equivalent Pak Rupees, on qualifying / passing the CISA/ CIA Examination.

d) Project Management Professional (PMP) Certification

 HR Policy Booklet HR Management Group

Employees obtaining Project Management Professional (PMP) Certification, during service period shall
be entitled to receive cash award of Rs.20,000. Additionally, the reimbursement of one time actual
Examination/Certification Fee, on qualifying / passing the Examination will also be allowed.

e) Chartered Financial Analyst (CFA)

Officers obtaining Chartered Financial Analyst (CFA) qualification during service period shall be entitled
to receive cash award of Rs. 20,000. Additionally, the reimbursement of one time actual
Examination/Certification Fee, in equivalent Pak Rupees on qualifying / passing the Examination / on
completion will also be allowed.

f) Financial Risk Manager (FRM) Certification

Officers obtaining Financial Risk Manager (FRM) Certification during the service period shall be entitled
to receive cash award of Rs. 20,000. Additionally, the reimbursement of one time actual
Examination/Certification Fee, in equivalent Pak Rupees on qualifying / passing the Examination/ on
completion will also be allowed.

g) ACI-The Financial Market Association Certificate & Diploma.

Officers obtaining ACI-The Financial Market Association Certificate & Diploma during the service period
shall be entitled to receive cash award of Rs. 20,000. Additionally, the reimbursement of one time actual
Examination / Certification Fee, equivalent Pak Rupees on qualifying / passing the Examination / on
completion will also be allowed.

h) Certified Anti-Money Laundering Specialist (CAMS).

Officers obtaining Certified Anti-Money Laundering Specialist (CAMS) Certificate during the service
period shall be entitled to receive cash award of Rs. 20,000. Additionally, the reimbursement of one
time actual Examination/Certification Fee, in equivalent Pak Rupees on qualifying / passing the
Examination / on completion will also be allowed.

8.6 Requirements / Guidelines

a) Bank’s Permission / NOC must be obtained by the employees prior to taking admission in a
recognized Institute for improving educational/professional qualification. Payment of approved
incentive will be affected only after the attested copy of certificate/ degree/diploma etc. is
submitted to substantiate successful completion of the qualifications (after the results have
been officially announced and published). However, for JAIBP qualifications no prior
NOC/permission is required.

b) Upon completion of the pre-approved qualification, the employee shall submit a request to the
Human Resources Group, along with an official qualification/transcript/grades to claim the
approved incentive. Proof of tuition payment as and where applicable is required for
reimbursement of Fee.

c) The employee shall undertake to serve the bank for at least three years after acquiring the
said certification and in case of leaving the bank’s service before completion of stipulated
period, he/ she will return the amount of cash award and course/ examination fees, if any paid
by the Bank.

(Reference BoD Meeting dated 04.03.2010 & 23.06.2010)

 HR Policy Booklet HR Management Group

Chapter 9 – Deputation Policy

9.1 Scope

The policy shall be applicable to all executives & officers in regular and contract cadre having a
minimum of five years’ service in the Bank. Employees who are on Leave Preparatory to Retirement
(LPR) and / or those involved in fraud/ forgery and Disciplinary Cases will not be considered for
deputation under this policy.

Deputationist (Regular Employees) from NBP will continue to be governed under NBP Staff

Service Rules and all disciplinary procedures will be administered by HRMG under Employee Discipline
Policy (EDP). However, Deputationist (Contract Employees) from NBP will be governed by the terms
of their employment contract.

9.2 Standard Terms & Conditions

a) Standard terms & conditions will be agreed by both the organizations in each case.

b) All staff cost pertaining to the deputationist i.e. salary, allowances, bonuses, benefits and perks
including deputation allowance will be borne by the borrowing organization.

c) The arrangements for reimbursement of staff cost will be agreed by both the organizations before
relieving the official.

9.3 Period of Deputation

The period of deputation will be three years with the prior approval of competent authority.

9.4 Pay

The deputationist will draw pay in his/her own pay scale/pay range from his/her parent organization.
The reimbursement claim will be lodged by the Bank within 15 days.

9.5 Deputation Allowance

The deputationist will draw monthly deputation allowance @ 20% of his/her Basic Pay.

9.6 Other Allowances and Bonuses

Deputationists will be entitled for all allowances and bonuses as admissible in accordance to their grade
in the Bank. However, they will not be entitled for Performance Bonus/Achievement Award.

9.7 Reimbursable Perks & Benefits

Deputationists will be entitled for all allowances as admissible in accordance to their grade in the Bank.
All such expenses will be recovered from borrowing organization as mentioned under clause 2(a.ii)
above.

9.8 Residential Facility

Deputationists will be entitled to avail residential facility if provided by and available with the borrowing
organization, as applicable to their own employees commensurating with their grade.
 HR Policy Booklet HR Management Group

9.9 Medical Facility

NBP employees on deputation with other organizations will be entitled to avail medical facilities of the
borrowing organization if those are more favorable than being offered by NBP.

9.10 Contribution towards Pension Fund/Benevolent Fund

The borrowing organization will contribute the specified percentage of basic pay towards Pension Fund
of the deputationist, as per laid down policy of the Bank.

9.11 Joining Time, TA/DA

Travel cost of deputationists will be borne by the borrowing organization. T.A rules of the Bank or the
borrowing organizations, whichever are more favorable to the employee will be applicable.

9.12 Leave Entitlement

At the time of commencement of deputation period, the leave account in NBP will stand frozen and
shall resume upon reporting back of the deputationist to the Bank.

Leave earned by the Deputationist, but not availed/allowed during the period of deputation will be
credited in leave account on repatriation to Bank.

Encashment of leave will be allowed to employees on deputation as per prevailing rules of the Bank.

9.13 Annual Performance Appraisal

The annual appraisal of the deputationist will be done by the borrowing organization and sent to NBP
along with final rating/ score list to HRMG, which will apply the Bell curve approved by the Board for
assigning the appraisal ratings.

NBP will allow annual increase(s) to the deputationist as per Bank’s policy.

9.14 Promotion

NBP officials on deputation will not be considered for promotion. However, they may be considered for
promotion on their repatriation on merit.

9.15 Placement on Repatriation to NBP

During the deputation period the deputationist will be on the strength of Personnel Administration Wing
(PAW), HRMG. The deputationist on repatriation will report to PAW/GM (HR) for further posting. The
deputationist on repatriation to NBP will not ask for placement for the same position which he/she was
holding at the time of proceeding on deputation.

9.16 Undertaking before proceeding on deputation

Deputationists from NBP will be required to furnish an undertaking that they will abide by all requisites
of this policy and shall not have any claim otherwise.
 HR Policy Booklet HR Management Group

9.17 General Guidelines

a) Officials on deputation with other organizations shall be repatriated upon completion of deputation
period or one month before retirement, whichever is earlier.

b) At the end of the deputation period, the concerned official may apply to continue serving in the
borrowing organization by resigning from NBP. In such a case, balance of contribution towards
Pension Fund and Provident Fund-Member contribution will be transferred from NBP to the
borrowing organization.

c) Deputationists not willing to come back to the Bank on expiry of the period of deputation shall resign
from NBP. However, the deputationists will be required to adjust all loans & liabilities before
resigning from NBP.

d) If a deputationist has completed the prescribed/approved tenure of deputation, he/she must revert
or be reverted by the borrowing office to NBP on expiry of deputation period. The Bank shall not
make payment of salary and allowances to deputationist beyond the expiry date of deputation.

e) It will be obligatory for a deputationist, who has completed the maximum tenure, to report back to
NBP on expiry of deputation period, irrespective of relieving, by the borrowing organization. Failure
to report back, unless specifically authorized will be construed as ‘Misconduct' and make him liable
to disciplinary action under Employee Discipline Policy (EDP).

f) In case a deputationist is proposed to be absorbed permanently in the borrowing organization, such

a proposal shall be initiated by the borrowing office at least six months before the expiry of the
deputation period. Such a proposal, with the written consent /request of the deputationist, shall be
made by the borrowing office to NBP which shall convey its decision to the borrowing office as well
as to the deputationist, before expiry of deputation period.

g) If a deputationist has completed his maximum period of deputation, and the borrowing organization
requires his services further, the borrowing department/organization should write to NBP to replace
him/her by another employee of the same qualification/ expertise.

h) On the last date of the specified period, deputationists should automatically stand relieved of their
duties unless the orders of the competent authority at NBP have been conveyed in advance for
extending the period.

i) Cases for extension in deputation period should be forwarded to Personnel Administration Wing,
HRMG, six months before expiry of deputation period with proper justification.

9.18 Approving Authority

President of NBP is authorized to approve the case.

(Reference BoD Meeting dated 26.12.2013)

 HR Policy Booklet HR Management Group

Chapter 10 - Extraordinary Leave

10.1 Purpose

10.1.1 The purpose of this document is to establish policy and guidelines for Bank employees in
relation to granting of extra ordinary leave (EOL). It can be availed in case of prolong illnesses
as defined in Bank’s medical policy (to self or bonafide dependent family members) for post-
graduation or on account of transfer or job of husband (Govt. Employee) abroad (for female
employees only).

10.1.2 It can also be granted to employees in lieu of absence without leave at the discretion of the
competent authority.

10.2 Scope

The scope of this policy extends to all NBP employees both in regular and on contract employment.
Regular Employees will be eligible to avail EOL after confirmation in Bank’s service. Contract
Employees having signed three years service contract with the Bank will be eligible for EOL.

10.3 Conditions

10.3.1 For Regular Employees

Regular Employees can avail EOL at discretion of Management after fulfilling following criteria:

Length of Service Duration of EOL

Minimum Two years’ service One year

Minimum Five years’ service 18 months

Minimum Ten years’ service Two years

Other conditions for granting EOL will be;

I. The period of EOL will not be counted towards service, increment/ increase, promotion and
pensionary benefits, etc.

II. The length of service is continued and uninterrupted.

III. Extraordinary Leave can be granted in combination with leave on full pay (P/L) for two years only.
In other words, period of extraordinary leave and P/L would not be more than granted leave, if so
combined.

IV. Remaining length of service of an employee should not be less than 5 years excluding the period
of leave to be availed.

V. After availing EOL once, for any period mentioned above, the employee as per undertaking given,
shall work with the Bank for five years before applying for EOL in future. Employee shall not avail
another EOL before completion of 5 years.

VI. No extension in EOL can be granted under any circumstances whatsoever except on medical
grounds, if leave applied for was granted on medical grounds.
 HR Policy Booklet HR Management Group

VII. Maximum EOL granted to an employee during his entire service shall not exceed 730 days or 2
years.

VIII. No conversion of EOL into Leave on Full Pay (P/L) will be allowed.

IX. Employee shall complete all Ex-Pakistan Leave formalities and EOL formalities before proceeding
on leave.

10.3.2 For Contract Employees

Contract Employees can avail EOL after completion of one year contract. Other conditions for granting
EOL will be;

I. Maximum period for granting EOL to contract employee should not be more than the remaining
period of his/ her service contract.

II. Contract Employee shall complete Ex-Pakistan Leave formalities and adjust outstanding
loans/liabilities before proceeding on leave.

III. The condition of serving Bank after expiry of leave for specific period is not applicable on contract
employees.

IV. Upon reporting back, after expiry of leave / contract period, it would be discretion of the
management to decide either to issue him fresh contract or otherwise.

V. The period of EOL will not be counted towards service and any other related benefit.

10.4 Authority to sanction EOL

President, NBP is the sole authority to sanction EOL to all NBP employees both in regular and on
contract employment.

(Reference BoD meetings dated 27.10.2011 & 24.01.2012)

 HR Policy Booklet HR Management Group

Chapter 11 – Internship Policy

11.1 Objective
It is the process by which we contribute significantly to the development of the best talent in professional
and leading universities/institutes, and also create “Brand Ambassadors” who spread good image of
the Bank in the market and extend NBP’s role as a community developer.

HRMG shall focus on taking maximum100 interns per year so that the Internship Schedule (detailed
below) can be exercised in letter and spirit.

11.2 Scope
The policy shall be applicable to all NBP offices (Groups, Divisions, Regions, Branches, and Staff
Colleges etc.) Only candidates from the selected public and private universities/institutes duly
recognized by HEC will be entertained.

11.3 Eligibility
Recognized educational institutes will recommend names of their graduating students to NBP for
internship.

Internship program will be shared with academic institutes by a cross functional NBP team through
lectures, dialogues and presentations.

The applicants/students may be fresh graduates or in their mid educational phase.

11.4 Duration / Period

Internship will be offered for duration of 8 weeks. The period may be increased or decreased with
mutual understanding of the concerned Institution and NBP.

Upon successful completion of the Internship, HRM&AG shall give Internship Certificate to the
Internees.

11.5 Stipend
All selected interns will be offered an internship stipend of Rs.5,000/- per internship program at the end
of the internship period after submission of Project Report.

11.6 Procedure
Internship request should include:

i) Application / Cover letter mentioning area of interest.

ii) Documented recommendation letter from the University.

iii) Record of the candidate with his/her academic record.

iv) Resume and a copy of the candidate’s CNIC.

Once the application is approved, the internship approval letter alongwith following documents will be
sent to the candidates with a copy to the NBP Office/Branch where the internee shall report and to
Logistics & Engineering Group, in case internship is allowed at Head Office.

i) Department assigned

ii) Reporting date

 HR Policy Booklet HR Management Group

iii) Duration of internship

iv) Name of Reporting Person

v) Stipend details

On the reporting date the internees will be issued temporary I.D. Card. The internees would be required
to sign a “Letter of Confidentiality”.

11.7 Internship Schedule

11.7.1 Phase.1 - Internees Orientation

All internees at NBP will be received and oriented by a designated member of HRMG and will be
mentored during their internship period by their respective Department Heads. They will be briefed and
explained the following:

i) NBP’s Vision, Mission, Objectives & Core Values

ii) The Organizational Structure

iii) Objective of the Internship

iv) Do’s and Don’ts

v) Accessibility of the documents

11.7.2 Phase.2 - Departmental Attachment

The selected internees shall be placed in various functional areas of the Bank in line with their
educational specializations. The departments would appraise the internees on the basis of
projects/tasks assigned to them.

11.7.3 Phase.3 - Final Presentation & Internship Report

At the end of Internship period, the interns will prepare the project report and submit it to their respective
resource person/concerned departmental head and may also be asked to make presentation. Best
project reports, minimum three maximum five, would be circulated across the Bank.

11.8 Constitution and Role of Visiting Teams

HRMG will be responsible for arranging the visits by a Cross-functional Team comprising of NBP
executives from all Groups / Divisions. The team will make scheduled visits of universities such as IBA,
LUMS, CBM etc. for single day. Branding exercise detailing salient features of Pakistan’s largest Bank
and why the students will be better off from an NBP internship experience.

11.9 Authority
The Group Chief, HRMG will be authorized to issue Internship letters.

(Reference BoD meeting dated 27.04.2012)

 HR Policy Booklet HR Management Group

Chapter 12 – Succession Planning

12.1 Purpose

Succession planning not only protects the organization by assuring a smooth transition from one leader
to the next but also benefits the individuals’ career as the individuals move up the ladder or into a new
meaty challenge of a job. To climb the career ladder, there’s no better recommendation than preparing
the organization by having a successor in place.

The purpose of the NBP’s Succession Planning is to ensure

i) A ready supply of high potential employees for key positions at all times.

ii) Ongoing business success and continuity.

iii) To transfer business knowledge and values for preparing the future leadership of NBP.

iv) An orderly transfer of power and to provide a continuous pipeline of employee talent to meet the
organization’s needs in key positions.

v) Contribute to implementing the Organization’s Strategic Business Plans.

12.2 Scope

The provisions of this policy shall be applicable to all Key Positions as described by the SBP Fit and
Proper Test (FPT) Criteria along with the positions identified in this Policy hereunder. The NBP’s
Succession Plan will be applicable on employees and officers in regular and contract cadres.

12.3 Succession Planning Process

Succession planning will be an ongoing, continually readjusting process, a process that is woven into
overall strategic plan. It focuses more broadly on ensuring that the right talent meets long-term
organizational challenges, such as handling planned product and/or service changes, preparing for
anticipating market changes, and so on. The basic components are.

12.3.1 Identification of Key Positions

To achieve maximum benefits from a systematic succession planning program, the key management
positions needs to identified, as defined by SBP and other potentially vulnerable positions i.e. the
positions that are likely to be impacted the most by imminent employee retirements and departures,
and are to be filled immediately or in the near future.

Tier (I) - Top Management - (Direct Report)

I. Any Executive, acting as second to CEO, by whatever name called, and including the Chief
Operating Officer (COO). II. Chief Financial Officers (CFOs)
III. Direct Reports to CEO/ President i.e.
a) Group Chiefs
b) Divisional Heads
c) Any other Direct Reports of CEO/ President
 HR Policy Booklet HR Management Group

Tier (II) - Senior Management

Direct Reports of Direct Report

a) Divisional Heads
b) Regional Heads
c) Overseas Executives (as defined in BPRD Circular No.5 of 2009 i.e. Head of overseas operations
of a bank at Head Office level, Country Head/Regional Head, where a region is consisting of more
than one Foreign Countries, CEO/Head of Subsidiary Banking Company outside Pakistan and
CEO of Joint Venture).
d) Wing Heads where Divisional Head doesn’t exist and Regional Audit Chiefs.

Tier (III) - Middle Management

a) Wing Head
b) Regional Managers/Executives

Tier (IV) – Junior Management

a) Branch Manager, Operations Manager, Credit Manager, Forex Manager etc.

12.3.2 Identification of job Competencies

The second step in succession planning is to break down the roles, responsibilities and knowledge
required for the identified key positions.

Job profile of each position shall be prepared by conducting job and task analysis to map out the
characteristics and skills of an ideal candidate. This shall be accompanied with analysis of target roles
to determine the requisite competencies i.e. behavior, attitude, skills, knowledge, experience, expertise
etc.

Job profile shall be prepared by reviewing the Job description and after discussion with the job
incumbents. A clear understanding of capabilities is needed for the successful performance in key areas
and critical positions, which will help employees, understand what's expected of them for assuming
Bank’s key positions.

12.3.3 Identification of Potential Successors

I. Incumbent’s Nomination/Identification:

The issues and challenges of any position are best known to the incumbent, the person
performing the job. The potential successor shall be identified by the current position holder in
concurrence with the concerned Group Chief/Divisional/Regional Head and HRMG. The
potential successors at various managerial levels shall be identified keeping in view their
knowledge, skills, abilities and experience and required competencies for a given job.

The Group Chief/Regional Head shall submit a proper justification for nominating someone as
a successor of a key position. For a single position, more than one successor shall be identified
as first, second and third option. For Tier IV position, regional management shall identify and
develop the successors.
 HR Policy Booklet HR Management Group

It is the discretion of the management to identify the potential successor from the same
Group/Division/Region or from any other Group/Division/Region of the bank depending upon
the skills and competencies of the successor and the required skills and competencies of the
job.

The potential successor for the positions identified by SBP must comply with SBP’s instructions
on Fit and Proper Test Criteria and furnish an undertaking to this effect.

II. Identification of Successors through Talent Pool:

HRMG, in order to ensure that the potential employees, on the basis of their competencies and
skill set, are given due consideration for the more responsible positions through a pre-defined
merit based criteria, shall revive the Talent Pool Scheme.

Talent pool is the group of high-potential employees who are capable of being successful in
higher level/key managerial positions. The selection of high potential employees through talent
pool shall enable the Bank to optimally utilize the internal resources for key positions whenever
vacant. The internal resources are well adept with the organizational culture & practices and
they are ready to fill the key poisons if they are developed appropriately.

The encouragement of potential employees to fill the key positions in near future shall not only
increase the motivation of the employee but also save sufficient cost in recruiting externally
and training them.

The selection for talent pool shall be made through comprehensive selection criteria. The
eligible employees shall have to appear for the assessment, as advised by the management
for different cadre, after selection he/she will become the member talent pool. The mode of
selection shall be decided by the competent authority from time to time, as per the operational
requirements and industry practices. The selected candidates shall be given preference for
foreign posting.

The selected employees will be developed through customized trainings and job rotation to
meet the competency/positon requirement for critical positons and more challenging
responsibilities such as posting in regional Management Teams, Area/Branch Managers etc.
and in NBP local and international Offices.

The in-depth competency analysis for the target roles will form the foundation for building
overall bench- strength for the talent pool. Instead of identifying one likely successor for each
critical position, talent pool will enable to create as many backups as possible among people
who are willing to develop themselves.

12.3.4 Gap analysis of desired future competencies

After identifying the potentials successors, HRMG shall initiate the gap analysis exercise. For
this purpose, a Succession Plan Form (annexure A) will be circulated among all position
incumbents i.e. concern Group Chiefs, Divisional Heads, Direct Reports, Regional Heads etc.
The said Performa will include all the details regarding knowledge, expertise, skills, success
factors and competencies required to perform the job and its comparison with the existing skills
of identified successor.

The concerned Group Chiefs/Divisional Head and other Direct Report will be required to identify
the Gaps/deficiencies of skills and competencies of the potential successor which shall need
to be overcome before assigning him/her higher responsibilities.
 HR Policy Booklet HR Management Group

The concerned Group Chiefs/Heads shall also furnish the development requirements for the
identified potential successors on the prescribed development plan for identified successors.
Based on the development plan received from the respective Groups, HRMG in consultation
with L&MDD, shall prepare a tier wise consolidated development plan for the successors.

12.3.5 Continuous Professional Development Plan for Successors

Plan shall be designed in accordance with the gaps and deficiencies of skills identified during
the Gap analysis exercise. A mechanism shall also be devised to ensure that the development
programs are carried out in such a manner that it results in the practical transfer of learning in
to the workplace.

The development plan for the successor shall be consisted of the following steps:

a) Debriefing:

The position holder shall offer complete debriefing of the position and systematic sharing
of knowledge so that the successor get hands on knowledge and job requirements of the
position.

b) Formal Training Program:

There shall be two-pronged strategy for successor development. HRMG (L&MDD) shall
identify behavioral/soft skills requirements for the identified successors, for which trainers
having expertise in the respective areas may be engaged for in-house trainings/workshops.
As far as technical skills requirement is concerned, the plan shall be developed based on
the needs identified & communicated vide Successors Development Plan.

c) Job Rotation:

The succession plan has to be linked with the Bank’s overall strategic plan as they are
being developed for tomorrow, not today. Job rotation shall enable them to perform
diversified tasks and develop cross-functionally.

d) Exposing:

To evaluate the success of the development plan, the successor shall be made in charge
in the absence of the position holder with the authority to make some decisions, interact
with senior executives and external contacts, and be a representative for the team at
management/board level meetings. They'll get a taste for the job and what it takes to be
successful in the role.

If they are given incremental opportunities to lead while the incumbents serve as the safety
net, their level of comfort will increase, along with their leadership capabilities, and when
the time comes, it would be ensured that the legacy will be carried out by someone just as
capable as the incumbents themselves. e. Mentoring:

Mentoring is an excellent way to help employees begin to think like leaders. Mentors
expand a professional’s understanding of the skills needed to advance in the organization,
help to increase his/her effectiveness on the job, lend a fresh perspective, offer guidance,
and address questions and problems. Mentoring shall be made part of the position holders’
responsibilities that will make them responsible for the development of their successors.
Moreover, a pool of senior officials shall be constituted to utilize their experience for
formal/informal development of the junior employees.
 HR Policy Booklet HR Management Group

12.4 General Guidelines

i) The Group Chiefs/Regional Heads shall be required to nominate/identify potential

successors based on the qualifications, knowledge, experience and technical &
behavioral skills. The nominations for the key positions in different tiers (I, II, & III) shall
be furnished on the prescribed form.

ii) For each key position, at least two successors and maximum three successors shall be
identified.

iii) The potential successor can be identified from the same Group /Region /Branch/or from
any other Group / Region /Branch of the bank depending upon the skills and
competencies of the successor and the required specification, skills and competencies
of the job.

iv) The Group Chiefs / Divisional / Regional Head shall submit proper justification for
nominating a successor of a key position.

v) The Successor Development Plan shall also be furnished along with the Succession
Planning Form therein identifying the development needs of the successors.

vi) The Group Chief/Heads shall maintain an enabling environment for continuous
development to ensure succession development.

vii) Employees selected as successors for key positions shall furnish an undertaking for
complying all the instruction on Fit & Proper Test and other relevant instruction issued
by SBP from time to time.

viii) HRM Group will also conduct exercise for replacement planning activity to assess and
meet future key requirements by promotions or other personnel movements from within.

12.5 Responsibility Matrix

The responsibilities and authority of various stake holders in Succession Planning & Management
Program is as under:

Management Recommending Approving

Position
Cadre Authority Authority

Tier-I I. Any Executive, acting as second to CEO, by Group Chief President

whatever name called, and including the Chief
Operating Officer (COO). II. Chief Financial
Officers (CFOs)
III. Direct Reports to CEO/ President i.e. d) Group
Chiefs Divisional Heads
Any other Direct Reports of CEO/ President

Tier-II Direct Reports of Direct Report Group Chief / President

I. Divisional Heads Head

II. Regional Heads

III. Overseas Executives (as defined in BPRD
Circular No.5 of 2009).
 HR Policy Booklet HR Management Group

Management Recommending Approving

Position
Cadre Authority Authority

Tier-III I. Wing Head II. Regional Managers Divisional Heads / Respective

Regional Heads Group Chief

Tier-IV a) Branch Manager, Operations Manager, Regional Regional

Credit/Forex Manager Managers / RCCH Head /
Group
Chief

(Reference BoD meeting dated 30.11.2017 & Instruction Circular 16/18 dated 15.02.2018)
 HR Policy Booklet HR Management Group

Chapter 13 – Performance Appraisal

Bell curve requirements must be met by all employees as prescribed and discussed in objective setting
exercise. In functional areas of the Bank where Group's strength is more than seven hundred and fifty
(750) employees, separate bell curves for officers and executives will be formulated.

13.1 The Balanced Scorecard Approach (SVP & Above)

The Balanced Scorecard Performa (BSC form) introduced vide Instruction Circular No. 58/2020 dated
April 10, 2020 will be used for performance appraisal of all SVPs & above grades, Regional Heads
(Conventional & Islamic), Head of Corporate Centers. The Balanced Scorecard has the following
quadrants:

Risk, Governance and Internal Controls Indicator: This indicator would determine how the employee
has improved productivity, quality and speed of service while adhering strictly to the Bank's regulation
and processes. This quadrant should also include negative earners, view performance from the
perspective of risk based indicators measuring the individual's ability to handle major risks that may
adversely affect performance. The performance assessment process should incorporate all major
risks affecting businesses as well as support functions and link the individual's annual performance
appraisal with his/her prudent risk taking/controlling performance.

Customer Indicators: This indicator would determine how the employee has contributed in providing
the highest levels of Customer Experience, both internally and externally.

Financial Indicators: This indicator would determine how the employee has achieved the financial
results (both business numbers and cost efficiency) to meet the overall objectives of the Bank.

Learning & Growth Indicators: This indicator would determine how the employee has sustained future
performance, creating an environment of continuous improvement and contributing towards personal
and team's development.

The KPl's /objective in each quadrant would be assessed based on the scoring parameters defined in
the BSC form. The weightage of each quadrant would determine the overall scoring based on which
the appraiser would assign the performance rating.

13.2 Annual Job Objective and Performance Review (VP & Below)

Employees falling in grades VP and below will be evaluated through a separate Annual Job Objectives
and Performance Review form against their KPls/objectives.

13.2.1 APA Process

It is the responsibility of each eligible employee/line manager to participate diligently and ensure that
his/her form is filled and discussion is held on time. Delay in meeting deadlines may cause hindrance
in the process which would result in a delay in the performance appraisal 2020 announcements. Only
those groups which meet bell curve requirements will be eligible for submission of their ratings to
Compensation and Benefits division, HRMG for further processing, therefore, it is necessary to
complete the exercise and meet stipulated bell curve requirements.
 HR Policy Booklet HR Management Group

The following steps must be followed and completed by January 31, 2021:

Assigned Activity Pre-Establishment of Performance Activity Post Establishment of

Responsibility Performance Risk Rating

Appraisee's • Filling of APA 2020 form and submit to immediate appraiser.

Responsibility • Signing of final appraisal form with rating (Agreed or Disagreed).

1st Appraiser's • Review all appraisee's scores and • Conduct performance review
Responsibility form tentative performance ratings discussion with the appraisee
(Immediate within the approved bell curve in the and finalizes the ratings after
Supervisor) list. receiving go-ahead from the 2nd
• Submit APA 2020 forms & ratings of Appraiser and Regional Head /
all officers and executives to 2nd Divisional Head / Group Head /
appraiser (Immediate appraiser's Group Chief.
supervisor) for review and onward • Submit the signed forms and
recommendation. finalized Ratings to 2nd
• Discuss APA 2020 tentative Appraiser.
performance ratings with 2nd
Appraiser.

2nd Appraiser's • Review and perform leveling on • Submit the signed forms and
Responsibility tentative performance ratings finalized ratings to Regional Head
ensuring merit and approved bell / Divisional Head/Group
curve implementation. Head/Group Chief.
• Submit APA 2020 forms of all officers • Ensures that the process is
and executives with consolidated followed and discussion is held
summary rating sheet along with list of between the appraiser
unrated employees to respective (immediate supervisor) and
Group Head/Group Chief. appraisee.

Group • Discuss bell curve with the respective • After receiving all the signed
Head/Group HRBP & finalize the tentative forms from Appraisers, submits
Chief's performance ratings within the the overall APA 2020
Responsibility approved bell curve. • Performance Ratings for the
• Approves the tentative ratings and Group to the respective HRBP
advises after ensuring the completeness
• Appraisers to conduct Performance of the process.
review session with appraisee and • Submit a signed certificate to
finalize the ratings. HRBP, confirming submission of
complete forms and list (rating in
lists and forms are same)
including APA 2020 ratings for
the Group.

Senior HRBPs • Discussion with Group Chief in • Ensures approved bell curve
Responsibility finalizing the performance ratings requirements are met and all
within approved bell curve. forms are signed and complete.
• Submits to Compensation & Benefits • Direct Reports to President/ BoD
division for further processing. Board Sub-Committees would be
approved h)' [3HRRC/BAC/BoD.
 HR Policy Booklet HR Management Group

The deadline, January 31, 2021 must be followed in letter & spirit. The implementation date of annual
increase 2021 for officers and executive will depend on time completion of the performance appraisal
cycle.

13.2.2 Bell Curve and its Implementation:

The performance rating distribution percentages for the APA cycle 2020 is described below for
differentiating performance standards of employees. Group Heads and HRBPs must ensure that bell
curve distribution is met for their respective functions before January 31, 2021.

In order to provide proper guidance for evaluation of employee, following are the attributes of
performance evaluation that must be met by employees falling in the respective categories for ready
reference:

Abbreviation
Distribution Categorization Illustration of Category Standard
to Categories

Significantly exceeds expectations /

Top 15% Outstanding "0"
targets in assigned duties.

“1” Exceeds all expectations / targets in

Next Very Good
assigned duties.

“2” Fully meets the expectations / targets in

Next 50% Good
assigned duties,

“3” Partially meets expectations / targets in

Next 10% Needs Improvement
assigned duties,

“4” Does not meet expectations / targets in

Remaining 5% U Il-satisfactory
assigned duties,

The above bell curve is a standard to be followed, however, there may be instances where the
distribution could be below the standard keeping in view the performance of the respective group.

The ratings can only be communicated to employees by respective Group Heads once bell curve is
met and finalized.

13.3 Evaluation Guidelines

Employees who availed/remained on paid leave for a period of 180 days or more during the year under
review would be placed in the last performance category/rating (Needs Improvement or Unsatisfactory),

The KPls of the business employees posted at branches shall be based on annual business targets
and must match with the figures at FCG. The KPls of employees based at branches Helvetica neuein
the latter half of the year i.e. after June 30, 2020; KPls achievement of the last place of posting will also
be taken into account before finalizing APA ratings.

Employees will be evaluated/ appraised on the basis of their place of posting as on December 31, 2020.
In case an employee has served for a period less than six months, at his/her place of posting on
December 31, 2020, the evaluation/appraisal should be based on the written/documented
input/feedback from the previous supervisor with whom the concerned employee has spent more than
six months. The current supervisor should judiciously appraise the employee keeping in view the
written/ documented input/ feedback of the previous supervisor.
 HR Policy Booklet HR Management Group

For KPIs based positions, like Regional Executives/Branch Managers, if the employee is transferred in
the latter half of the year i.e. after June 30, 2020; KPls achievement of the last place of posting will also
be taken into account before finalizing APA ratings.

The evaluation must be done in relation to the non-balancing of books, clearance certificate, rectification
of DAFs, fraud and forgeries/disciplinary cases, branch audit rating, data cleansing exercise,
observations made in SBP Inspection Report, Compliance Review Report, Internal Controls and zero
tolerance on Shariah noncompliance with respect to jobs entrusted/duties performed

For employees, whose job objectives are interlinked with adverse audit reports, SBP observations,
should not be performance-wise categorized as either "Outstanding" or "Very Good". The supervisor
would be held responsible in case any employee involved of the above matters are given "Outstanding"
or "Very Good" rating.

It is the responsibility of the appraiser to ensure that in no case appraisees are forced/asked to
affix their signatures on blank appraisal forms. Appraisers violating these instructions are liable to
disciplinary actions. At the same time, the appraisees are also advised not to sign the appraisal forms
until and unless marks/scores have been incorporated on the appraisal form.

In case of dissent, the appraisee must write a note of dissent before signing. The Group Chief will
decide the final appraising rating.

No employee can be downgraded by MORE THAN TWO levels with reference to his/her previous year
appraisal except with the gross negligence, criminal involvement/fraud based disciplinary action, bad
conduct/ exceptionally bad performance etc. for which reasons have to be recorded and a list of such
employees should be submitted separately to HRMG.

Appraisals will be checked by the Head Office randomly to ensure fairness and transparency. Persons
found guilty of not adhering to the guidelines will be held accountable. The Appraisers, who exploit
powers conferred to them by deliberately downgrading/upgrading the employee's appraisal without any
plausible justification, shall be liable to disciplinary action.

Input of Regional Heads and Branch Managers should be taken by retail operations' supervisors while
rating the operations staff. Furthermore, input of Group Head Retail Operations should be taken by
Retail Banking Group while appraising Regional Heads.

13.4 General Guidelines

If an appraisee refuses to sign on the appraisal form, the appraiser / concerned authority should
document the same in presence of two witnesses. The appraisee would not be eligible for any
grievance at any forum if he/she does not sign the form.

It is the responsibility of the appraising authority that all the conditions mentioned above are fully
complied with. In case, any negligence is found, the concerned appraising authority will be held
responsible.

The "Consolidated Summary Rating Sheets" and "List of Not Rated Employees" must be duly signed
by Group Chiefs (Group Heads of employees appraised under their jurisdiction.

The scores awarded in the appraisal forms should be with two decimal points (e.g.: 4.00, 4.23, etc.).

Once the employee receives the performance appraisal letter upon the completion of the appraisal
process, all formal grievance applications can be sent to "Employee Grievance and Complaints Wing,
Employee Relations Division, HRM Group, NBP, Head Office, Karachi'

The following documents are attached with this circular:

 HR Policy Booklet HR Management Group

1. Balance Scorecard Performa 2020 (for SVP & above, RH, Corporate Head, etc.)

2. Annual Performance Appraisal Form 2020 (for VP & below)

If you require any further clarification, please feel free to contact your respective business partners.

13.4.1 Annual Performance Appraisal Form for SVP and above

Balance Scorecard Performa 2020

EMPLOYEE INFORMATION:

Group Wing/Dept Region/Branch

 HR Policy Booklet HR Management Group

Risk, Internal Controls & Processes

How I will improve productivity, quality and speed of service while adhering strictly to the Bank's
regulation and processes?

Target
Key Performance Indicator (KPI) Achievement Score
Date

Half Year Full Year

Review (Jun Review

Customers
How will contribute in providing the highest levels of Customer Service. both internally and externally?

S. Target
Key Performance Indicator (RPI) Achievement Score
No. Date

25%

Half Year Full Year

Review Review
 HR Policy Booklet HR Management Group

Financials
How will I achieve the financial results to meet the overall objectives of the Bank?

Target
Key indicator (01) Achievement Score
Date

Year
Full Year
Review (Jun
Review
30)

Learning & Growth

How I will sustain future performance, creating an environment Of continuous improvement and
contributing towards personal and team's development?

Target
Key Performing Indicator (KPI) Achievement Score
Date

25%

Half Year Full Year 25%

Review 30 Review
 HR Policy Booklet HR Management Group

For KPis/job Objectives Overall Score

Agreed

Year Overall Full Year

Rating Rating
For final Evaluation

Agreed

Rating definitions

Outstanding (Significantly above the performance level required by the Bank)

Very Good (Consistently better than the performance level required by the Bank)
1 Good (Achieved the performance level required by the Bank)
Needs Improvement (Not consistent with the performance level required by the Bank)
Unsatisfactory (Significantly below the performance level required by the Bank)

Employee `Comments

Employee Signature 15t Appraiser Signature

Development Review
• Summary comments by line manager including 3 strengths and 3 areas for development

Employee Signature Appraiser Signature

Comments by Countersigning Manager(or Group/Division/Wing Head if applicable)

1st Appraiser Signature 2nd Appraiser Signature

 HR Policy Booklet HR Management Group

13.4.2 Annual Performance Appraisal Form for VP and Below Grades

EMPLOYEE INFORMATION.

Group Wing/Dept

1st Appraiser Region/3ranch

2nd Appraiser

For Objectives

Target
(01) Achievement Score
Date

Subtotal Score

Employee Signature Date 1st Appraiser Name & Signature 2nd Appraiser Name & Signature

Agreed

Weighta
Behavioral Attributes Score
Sr. No ge

1 Knowledge

2 Communication Skills

3 Attitude. Behavior and Response to Controlling Offices

4 Initiative

5 Attendance and Punctuality

6 Commitment to work and organization

7 Team Work

8 Analytical ability
 HR Policy Booklet HR Management Group

9 Development of Subordinates

10 Personal appearance and grooming

Subtotal Score

Half Year
Review (Jun Full Year Review 100%
30)

Half Year Overall Full Year Rating

Rating

For Final Evaluation

Employee Signature Date 1st Appraiser Name & Signature2nd Appraiser Name & Signature

Agreed

VP and Below Grades Rating Definitions

5 Outstanding (Significantly above the performance level required by the Bank)

4 Very Good (Consistently better than the performance level required by the Bank)
3 Good (Achieved the performance level required by the Bank)
2 Needs improvement (Not consistent with the performance level required by the Bank)
1 Unsatisfactory (Significantly below the performance level required by the Bank)

Employee Comments

Employee Signature 1st Appraiser Signature

Development Review

• Summary comments by line manager including 3 strengths and 3 areas for development

Employee Signature Appraiser Signature

Comments by Countersigning Manager(or Group/Division/Wing Head if applicable)

1st Appraiser Signature 2nd Appraiser Signature

 HR Policy Booklet HR Management Group

Chapter 14 – Promotion Policy

14.1 Purpose

This policy aims at meeting the career aspirations of our employees, fostering employees for career
advancement, and giving them an equal opportunity for promotion based on merit, job performance,
skill set, evaluated grade of the position, length of service and other approved considerations/criteria.

14.1.1 Scope

This policy constitutes an integral part of the National Bank of Pakistan ("NBP" or the "Bank") reward
system and awarding promotions in any year that is approved by the board of directors of the Bank (the
"Board") will be reflective of the Bank's own financial position and performance. Promotions approved
for any year shall be applicable to all employees - Regular and Contractual, including those on overseas
postings.

This policy shall not be applicable on Bank's post-retirement employees engaged on contract.

14.1.2 Vacant Positions for Promotion

Promotion exercise shall be conducted subject to approval of the BoD considering the business and
employees’ career progression needs and budgetary provisions.

All promotions shall be made on merit and based on (i) availability of positions (ii) management’s review
and individual’s annual appraisal, (iii) individual’s potential to function in the new/ higher level job, and
(iv) requisite skill set, knowledge and experience.

Promotion shall be subject to the availability of new positions at the executive levels. The BHRRC shall
be apprised for employees who report directly to the President. These can be created by reorganization,
vacant positions, scope of job by way of increasing tasks or responsibilities. No employee shall have
any claim to be promoted once they meet the eligibility criteria alone.

Vacancies for promotion of benchmarked positions will be determined by the Management.

14.1.3 Compensation on Promotion

All those who are promoted will be entitled for a percentage increase in their existing basic pay (in
addition to normal appraisal cycle) with normal benefits of the elevated grade, subject to criteria and
formula approved by the President/Board

14.1.4 Effective Date of Promotions

In those years that the Board decides to have promotions, the effective date of such promotions may
be the 1st day of the month in which promotions are approved and announced.
 HR Policy Booklet HR Management Group

14.2 Promotion Process

The Promotion process has been devised for each Grade and divided into four grade-based brackets
for clarity. These brackets are as follows:

 Non-Clerical to Clerical
Tier – 1 Non-Clerical / Clerical
 Clerical to OG-III

 OG-III to OG-II
Tier – 2 Officer Cadre  OG-II to OG-I
 OG-I to AVP

Tier – 3 Executive Cadre  AVP to VP

 VP to SVP
Tier – 4 Senior Executi`ve Cadre  SVP to EVP
 EVP to SEVP

14.2.1 Promotion Process – 1

 Non-Clerical to Clerical

 Clerical to OG-III

Promotion process for the above grades shall be as follows:

HRMG will prepare a list of employees meeting the approved minimum eligibility criteria. All eligible
candidates meeting the approved criteria may be promoted to next higher grade.

14.2.2 Promotion Process – 2

 OG-III to OG-II

 OG-II to OG-I

 OG-I to AVP

Promotion process for the above grades shall be as follows:

HRMG will prepare a list of employees meeting the approved minimum eligibility criteria. All eligible
candidates up to OG I level will be required to take a mandatory Aptitude Test in line with market best
practices.

In order to ensure meritocracy, objectivity and transparency, aptitude test will be created, customized
for each grade and conducted for NBP through an approved testing agency.

Result of this Aptitude Test/Assessment centers shall bear weight in the Evaluation Formula for
Promotion. HRMG will score the eligible employees based on the approved formula for promotion
evaluation.
 HR Policy Booklet HR Management Group

14.2.3 Promotion Process – 3

 AVP to VP

Promotion process for the above grades shall be as follows:

HRMG will prepare a list of employees meeting the approved minimum eligibility criteria. This List will
be sent to respective Group Chiefs for promotion recommendations based on minimum eligibility
criteria. Promotions in this tier would require mandatory interviews. Interview panel shall be composed
of:

HRMG / Subject Matter Expert

Promotion Respective Group
(Consultant)

AVP to VP Respective Group Chief/ Group Subject matter expert along with Group
Head or his/ her representative Chief HRMG or his/ her representative
minimum EVP Grade minimum SVP Grade

Weightage 40% to Group Chief or his/her Remaining 60% to be divided equally

representative between the remaining panel members

The final decision for promotion shall be of the relevant Group Chief as per the Policy. Each Group
Chief will send their promotion recommendations based on overall scoring and assessment to HRMG.
Overall percentage of promoted population will be determined after the Groups provide their
recommendations to HRMG.

14.2.4 Promotion Process – 4

 VP to SVP

 SVP to EVP

 EVP to SEVP

Promotion process for the above grades shall be as follows:

Promotions in this tier will be based on past performance, leadership potential and availability of vacant
positions. List of eligible VPs, SVPs and EVPs shall be assessed by the Human Resource Committee
for Management including the relevant Group Chief. Based on availability of vacant positions, the
President and Committee will interview/evaluate the incumbent for Promotion Process, if required.

List of all eligible direct reports of the President and those executives who report directly to the Board
shall be assessed by the BHRRC/Board. Based on availability of vacant positions, the BHRRC / Board
will interview the incumbent for Promotion Process, if required.
 HR Policy Booklet HR Management Group

14.2.5 Promotion Selection Process

Promotion would be based on overall score and vacant positions duly recommended by the respective
Group Chief and approved by Group Chief Human Resources Management Group and President
(BHRRC, where necessary). It is not mandatory for every eligible employee to be promoted as the
scoring is only for the identification of eligible candidates for promotion.

The number of promotions to be awarded and the promotion cut-off score evaluated through Minimum
Eligibility Criteria shall be recommended by GC-HRMG and approved by the BHRRC / BoD.

14.3 Minimum Eligibility Criteria

The following criteria outline minimum conditions for eligibility and do not imply that those who meet
these criteria will be promoted automatically. There will be no exceptions made in the minimum eligibility
criteria for any employee.

Promotions will depend on assessment of overall suitability based on parameters prescribed under this
Policy and subject to availability of vacancies.

 Minimum service in the current grade: 3 years

 Minimum Qualification — Intermediate
Promotion from Non-Clerical to
Clerical Cadre  Last year's APA rating should be "Good" and above
 No listed punishment awarded in the last 5 Years
(including current year)

 Minimum service in the current grade: 3 years

 Minimum Qualification — Graduation
Promotion from Clerical to Officer
Grade-III  Last year's APA should be "Good" and above
 No listed punishment awarded in the last 5 Years
(including current year).

 Minimum service in the current grade: 3 years

 Minimum Qualification — Graduation
Promotion from OG-III and Above  Last 3 year's APA should be "Good" and above
 No listed punishment awarded in the last 5 Years
(including current year)
 HR Policy Booklet HR Management Group

14.4 Evaluation Formula for Promotion

The evaluation of overall performance for promotion shall be based on the following criteria:

OG III to
VP to
OG II
SVP
Non- EVP
Clerical to OG II to AVP to
Parameters Clerical to to
OG III OG I VP
Clerical SEVP
SVP to
OG-I to
EVP
AVP

Experience in the
100 50 10 10 - -
Grade

Group Chief’s
- 25 15 15 - -
Recommendation

Performance Rating
- 25 35 40 40 40
for last 3 years

Aptitude test - - 30 - - -

Branch Manager/
Operations
- - 10 - - -
Manager Position &
Performance

Interview /
Committee - - - 35 60 60
Assessment

Total Marks 100 100 100 100 100 100

Where the promotion of an aspirant is in the bracket of OG-III to AVP and such aspirant is not a Branch
Manager or Operations Manager, in that case, weightage of aptitude test will be 40.

The explanation for each Parameter is as under.

14.4.1 Experience in the Grade

For all eligible employees from Non-Clerical to AVP Grade, one (1) mark shall be awarded for each
completed year of service in the grade over and above the minimum three (3) years' service in the
grade. The maximum experience marks that can be awarded are capped are as follows:

OG III to OG II
Non- VP to SVP
Clerical to
Clerical to OG II to OG I AVP to VP EVP to SEVP
OG III SVP to EVP
Clerical
OG-I to AVP

100 50 10 10 Not Applicable Not Applicable

 HR Policy Booklet HR Management Group

14.4.2 Group Chief’s Recommendation

For all eligible employees for promotion to OG-III to VP Grade, the respective Group Chief will give
marks to each employees, as mentioned in clause 4.0.

14.4.3 Annual Performance Ratings' Score

The score for the last three years’ appraisal ratings in the current grade shall be considered as under:

AVP to VP
OG-Ill to OG-II
Non-Clerical to VP to SVP
Ratings OG-II to OG-I
Clerical SVP to EVP
OG-I to AVP
EVP to SEVP

Outstanding Not Applicable 35 40

Very Good Not Applicable 23 25

Good Not Applicable 12 15

Needs Improvement Not Applicable 0 0

Unsatisfactory Not Applicable 0 0

*Clerical to OG III – Performance Scores will be based on Group Chief’s recommendation on

Performance rating.

Performance rating scoring will be subject to a 'recency principle' where the most recent APA score will
be given a higher weightage than the previous year and so on. This recency principle will be applied to
the performance ratings according to the grid below:

Year Weightage

Previous / Last Year rating 0.5

Year before last rating 0.3

2 years before last rating 0.2

14.4.4 Aptitude Test

All eligible candidates for Promotion from OG-III to OG-II, OG-II to OG-I, and OG-I to AVP level will
attempt a mandatory Aptitude Test in line with international best practices to ensure meritocracy and
transparency.

To ensure objectivity and transparency, this Aptitude test shall be prepared, created and administered
by an approved outsourced firm and conducted in utmost secrecy.

14.4.5 Branch Manager / Operations Manager Position and Performance Scoring

This initiative is being introduced to invest in the future of NBP by endorsing its branches and mandating
their staff to perform better for the growth of the Bank. Marks shall be awarded to eligible employees
posted in NBP branches across Pakistan, who work as Branch Managers and Operations Manager and
have achieved good results on their annual targets.

This initiative scoring is for BMs / OMs of NBP branches who are eligible for promotion from OG-III into
OG-II, OG-Il to OG-I and OG-I to AVP only.
 HR Policy Booklet HR Management Group

Scores shall be awarded according to the grid below:

Parameter Score

Working as BM / OM in a branch for 1 Year 5

Working as BM / OM in a branch for 2 Years 8

Working as BM / OM in a branch for 3 Years 10

The one-year period means employee should be posted as BM/OM for continuous 12 months.

The above score will not be awarded if considerable issues are observed in relation to the non-balancing
of books at branches, clearance certificate, rectification of DAFs, fraud and forgeries/disciplinary cases,
branch audit rating, data cleansing exercise, observations made in SBP Inspection Report, Compliance
Review Report and zero tolerance on Shariah non-compliance.

14.4.6 Interview

Eligible employees for promotions from AVP and above, shall require interviews.

Based on availability of vacant positions, the employees eligible for promotions from VP to SVP, SVP
to EVP and EVP to SEVP, the President / BHRRC / Board, will interview the incumbent for Promotion
process, if required.

Interviews shall be conducted only for those staff members who meet the eligibility criteria. Interviews
shall be conducted on a strictly confidential basis.

Apart from the Performance Ratings of last three years, the Interviews shall carry the most weightage
in Promotion decisions.

The breakup of interview marks is as under:

Panel President / Committee BHRRC / Board

Grade Total
Interview Interview Assessment

AVP to VP 35 - 35

VP to SVP - 60 60

SVP to EVP - 60 60

EVP to SEVP - 60 60

14.4.7 Promotion Letters

After approval, HR shall issue the promotion letter to the promoted employees of the Bank. The
promotion letter shall mention the effective date of promotion, the new grade and the gross salary fixed
/ increase.

An employee who does not accept promotion, shall continue to draw the pay of the grade prior to
such offer of promotion and would not be considered again for promotion for a period of next three
years on account of its non-acceptance.
 HR Policy Booklet HR Management Group

14.5 Conditions

In order to avoid ambiguities, the following conditions are being established for this Promotion Policy:

i) An employee will not be considered for Promotion if his performance cannot be assessed (e.g.
Extraordinary leave, Deputation, Secondment, less than 6 months in the new role within NBP etc.).

ii) For BM/OM marks, the assessment period will be the same as the Appraisal years considered for
employee’s evaluation, along with the conditions mentioned for scoring in relevant clause 4.5.

iii) No backdated promotion will be allowed.

iv) Those employees against whom formal disciplinary proceedings are pending for decision but they
qualify for promotion as per policy, their promotion letters shall be withheld till their
exoneration/acquittal/ reprimand. Such cases shall not be eligible for promotion even in case of
minor punishment(s).

v) Those employees who remained absent without authorization during period required in the eligibility
criteria, shall not be considered for promotion.

vi) Those employees who are in litigation with the Bank, shall not be considered for promotion and
shall remain ineligible.

vii) If promotion letter of any employee is withheld due to pending disciplinary case and consequently,
he/she is punished by demotion in the grade, his/her promotion would not be released.

viii) Where the promotion has been considered to fill a clear vacant position, the employee shall be
transferred and shall have to assume new duties within 30 days. If for any reason such move is not
affected within 30 days then the promotion will lapse.

ix) Those who are on LPR (Leave Preparatory to Retirement), retire and have left the service of the
bank on or before the date of interview / test shall not be called for interview/considered for
promotion.

x) The differently abled eligible officers [OG III, II and I] shall be awarded 5 additional marks.

xi) Employees have the right to appeal for promotion. A Promotion Grievance Review Committee shall
be formed to address genuine complaints and review promotion decisions, whose decision shall be
final. Employee shall keep the Bank indemnified and harmless against any litigations or
proceedings in this regard.

xii) Strict disciplinary measures will be taken against the authorities residing on promotion cases that
are promoted under the following circumstances:

 Managers’ subjective opinions unsupported by performance evaluations or metrics

 Discrimination

 Fraternization

 Favoritism

xiii) Employees who try to influence the Promotion Process through any back-channel or unfair way,
lobbying or political pressure; will be immediately disqualified despite being eligible according to the
promotion criteria.
 HR Policy Booklet HR Management Group

14.6 Date of Policy Announcement

This Promotion Policy will come into force with immediate effect.

The earlier Promotion Policy dated August 03, 2020 and Revision in Policy dated February 02, 2021
stands repealed.

14.6.1 Revision of Policy

This Promotion Policy shall be valid for 03 years from the date it comes into force.

14.6.2 Approval

The Promotion Policy has been approved by the Board of Directors in its 327th meeting held on January
17, 2022.
 HR Policy Booklet HR Management Group

Chapter 15 – Recruitment Policy

15.1 Purpose

The purpose of the recruitment policy is to ensure consistency and fairness in recruitment practices
across the organization. The policy aims to provide a structured framework for recruitment and selection
of competitive human resource for all positions along with procedures entailing clear guidelines for each
stage of recruitment and selection process.

15.1.1 Scope of Recruitment Policy

This policy applies to the recruitment and selection of all employees / candidates employed on
contractual basis. However, Temporary, Employees of Outsourced Service Providers, part-time
resources, local based employees hired in Bank's Overseas Offices and employees rehired on contract after
attaining age of superannuation will not be covered under this policy.

This policy covers the following Cadres:

Category-1 Senior Executive cadre

• Senior Executive Vice President

• Executive Vice President

Category-2 Executive cadre

• Senior Vice President

• Vice President

• Assistant Vice President

Category-3 Officer Cadre

• Officer Grade-I

• Officer Grade-II

• Officer Grade-Ill

15.1.2 Policy Statement

National Bank of Pakistan (NBP) will recruit people with the required knowledge, ability, skills, work
experience and attitude to continuously enhance and apply their competence to the achievement of
the Bank's Vision, Mission and Objectives.

In doing so the Bank will ensure:

i) Open Merit Recruitment

ii) Equal Employment Opportunity

iii) A Transparent Selection Process

NBP will follow a transparent and Open Merit approach; therefore, all appointments will be made
through internal and/or external advertisement, purely based on merit by providing equal employment
opportunity to all the candidates without any discrimination by complying with the defined eligibility
criteria and to attract the best talent without any consideration to race, color, religion or gender.
However, in order to promote gender diversity, women will be encouraged to apply by placing such
phrases in external and / or internal advertisements.
 HR Policy Booklet HR Management Group

The Bank may hire the following categories of applicants:

A. Pakistani citizens.

B. Dual Citizens holding a nationality of countries specifically mentioned in Section 14 of the Pakistan
Citizenship Act 1961 (as may be revised / amended from time to time) along with Pakistani
nationality. Being a citizen of these countries does not cause the applicant to lose his/ her existing
Pakistani nationality and is deemed to be a dual citizen.

C. Applicants who may have surrendered their Pakistani Nationality, subject to acquiring a work permit or
a Pakistan Origin Card (POC) in order to pursue employment in NBP.

D. Foreign nationals subject to work permit being obtained by them.

The hiring against any grade will be subject to the prevailing applicable laws and regulations
approved by the BoD under this Policy.

All key appointments will be subject to the Fit & Proper Test of the SBP as per SBP policy guidelines.

15.1.3 Elements of the Recruitment strategy

National Bank of Pakistan aims to induct the right people, with the right skills, at the right place
and at the right time. This aspect of HR job is crucial for attainment of organizational objectives.
This will be achieved by inducting substantial number of fresh graduates as Management /Trainee
Officers, AML Analysts, ACCA Batch, CA Batch, General Banking Officers, Cash Officers,
Agriculture Field Officers or any other batch requirement raised by Group via batch induction and
experienced bankers based on approved hiring plan every year through a centralized recruitment
and selection process

15.1.4 Guidelines for Re-Hiring

The Bank's Management may, at its discretion, rehire an applicant on terms as agreed between
the Management and the applicant so rehired, if not terminated/ dismissed on disciplinary grounds.
President's approval is required for every rehiring.

Those employees who served NBP can be considered for rehiring subject to following:

a) He / She was not involved in any disciplinary case and as a result of such cases punishment
wasawarded

b) Performance Rating was never below "Performing'' (Good) in his/her last 03 years of services
at NBP

c) Salary will be fixed based on current assignment and responsibilities

d) After clearance of Panel interview and approval from the President

In case, if an ex-employee is rehired within one (01) year, then he/she will be considered on last
salary/Grade which he/she was enjoying at the time of leaving the Bank. However, exceptions will
be approved by the President.
 HR Policy Booklet HR Management Group

15.1.5 Recruitment of Close/Blood Relatives

NBP does not prohibit employment of close or blood relatives of current employees, if they meet
required eligibility criteria and no conflict of interest is likely to arise. A prior approval is required to
be obtained from Group Chief, HRMG. Candidate once appointed should not be placed in the
same Branch/Unit/Group in which his/ her close/blood relative is already working.

All candidates, at the time of interview are required to disclose their relationship (if any) with the
existing employees in the application form. Failure to do so will make them liable to dismissal or
revocation of employment offer.

15.1.6 Recruitment Planning & Approval of Vacancies

The Head of Talent Acquisition Division will liaise with the stakeholders to:

a) Prepare annual recruitment plan/budget in coordination with Financial Control Group (FCG)

b) Conduct Manpower Planning and Succession Planning exercises

c) Forecast hiring needs based on business growth plans and oversee all stages of candidate
experience

The annual requirement of staff shall be planned by keeping in view the expected retirement,
separation and branch expansion at overall Bank's level.

Groups/Divisions will provide their manpower requirements for the coming year to HRMG along
with specified criteria and Job Description latest by 30th September of running year. The
Group/Division while furnishing their manpower requirement shall be required to submit their
current Strategic Business planduly approved by the competent authority along with their existing
staff strength.

The Recruitment Plan shall be submitted to BHRRC after President's approval. After BHRRC's approval,
the respective Groups/Divisions and Head of Talent Acquisition Division will decide the allotment of
vacancies, revise the Organograms of the Groups/Divisions accordingly and submit to Human Resource
Management Group latest by 1st December of the running year. The periodic / quarterly
implementation status of the approved Recruitment Plan shall be presented or shared with BHRRC.

15.1.7 Internal Search

For every vacancy/staff requirement other than batch hiring, the Bank will advertise the position
internally and externally simultaneously on Bank's Website and / or any other approved medium.
Employees/ candidates will be given 10 days to apply against any position from the date of
issuance ofthe Circular.

a) Applications will be invited from internal candidates (Bank's staff).

b) Employees who have not completed minimum 2 years at their current assignment will not be
considered for Internal Placement.

c) Employees who have been hired for specific purpose / specialized hiring such as on retainership
contracts, if not eligible for rotation according to Bank's Rotation Policy, will not be considered
before the completion of their 1st contract.
 HR Policy Booklet HR Management Group

d) Employees who have been inducted in batches like GBO, CO and TO and posted in branches will not
be considered for internal placement. However, their transfer / posting may be processed timely at
the Bank's discretion.

e) Employees who have been once selected through internal placement will not be considered for
further internal placement before the completion of next 2 years in their current assignment.

f) An employee should get approval of respective Group Chief if he / she has not completed minimum
2 years at current assignment.

g) Eligible applicants will be required to fill the application form with the clear recommendation/ consent
of their respective supervisor (Regional Head or Divisional Head, as the case may be).

h) The applicant will be responsible for authenticity of the particulars of the application form.

i) The application form has to be submitted to the Talent Acquisition Team through the email or may
be submitted directly to the Talent Acquisition Team.

1. Initial Screening & Shortlisting of Internal Candidates

a) After closing date for submission of application, the initial screening and shortlisting of the
internal candidates will be done by Talent Acquisition Division.

b) The profiles of the internal candidates will be screened as per the basic eligibility criteria.

c) Details of shortlisted candidates will be shared with the concerned Group / Division for reviewand
final shortlisting according to the laid down criteria.

2. Interview Process

a) Once the concerned Group / Division has finalized the list of shortlisted candidates, the Talent
Acquisition Team will arrange the interviews.

b) Interview Panel will comprise of representatives from concerned Group, another Group and
from HRMG.

c) After conducting interviews, the result will be compiled based on the scores and comments of Panel
Members in the form of a consolidated Approval Sheet which will be finalized and duly signed by
the respective Group Chief/ Panel Members.

d) Names of the selected candidates will be shared with the Employee Discipline Wing (EDW) for
obtaining a Non-Involvement Certificate. In case of non-clearance, transfer of concerned candidate
may not take place.

3. Transfer / Posting Orders

a) Based on the concurrence of respective Supervisor/ Group, selection against Internal Placement
Circular and clearance from Employee Discipline Wing (EDW), the Talent Acquisition Team will
issue the Transfer Order of the selected employee.

b) A copy of Transfer Order will also be sent to concerned department of HRMG for changes in system
and Personal File of the candidate.
 HR Policy Booklet HR Management Group

4. Transfer / Posting Orders

a) Based on the concurrence of respective Supervisor/ Group, selection against Internal Placement
Circular and clearance from Employee Discipline Wing (EDW), the Talent Acquisition Team will
issue the Transfer Order of the selected employee.

b) A copy of Transfer Order will also be sent to concerned department of HRMG for changes in system
and Personal File of the candidate.

5. Release of the Selected Candidates

a) Selected candidate will be released of his/her duty i.e. from his/her current assignment within 2
weeks from the date of issuance of order.

b) The concerned Group / Division and Talent Acquisition Team will ensure compliance of release
period.

c) In case the candidate is eligible and selected by the concerned group but is still not releasedby his
/ her immediate supervisor, the candidate has right to appeal within three days to Group Chief, HRM
Group for his/ her immediate release.

6. General Guidelines

a) Exceptions for the above can only be approved by the President on the recommendations of the
concerned Group/ Divisional Head & Group Chief-HRMG.

b) When advertising externally, strict compliance of basic criteria i.e. age (if mentioned in the
advertisement), qualification and experience will be assured and there will neither be any
relaxation nor any change in criteria while selection process.

15.2 Minimum Criterion of Hiring

15.2.1 Qualification

Minimum entry requirement for employment in NBP for Officer Grade and above is graduation
from a local or international university/ college/ institute recognized by the HEC.

15.2.2 Age Limit

The minimum age of candidate on the date of advertisement in the Bank's service should be at
least 21 years.

15.2.3 External Search

i) The bank will advertise the position(s) of all cadres externally through print media and / or
Recruitment Consultancy & Employment Search Service Company.

ii) The same eligibility criteria mentioned in Internal Placement Circular should be published in
external advertisement. However, any variation in eligibility criteria must be approved by the
President.

iii) The vacancies shall be preferably advertised on Sundays i.e. Holidays through National Dailies
directly by Bank or through approved Recruitment Consultancy & Employment Search Service
Company.
 HR Policy Booklet HR Management Group

iv) The advertisement will also be placed on Bank's website and/ or any other approved medium as
well as Recruitment Consultancy & Employment Search Service Company's website / Job Portal.
The cut-off date for receipt of applications will be 10 days from the date of advertisement.

The approved Recruitment Consultancy & Employment Search Service Company will at a
minimum beresponsible for:

a) Placement of Career Advertisement in Newspapers and invitation of applications/CVs through

Portal/ Software

b) Sharing and maintaining complete database as per standardized format

c) Screening/Shortlisting of applications on the basis of specified criteria including prescreening

interviews

d) Conducting Aptitude tests and assessment interviews of the eligible candidates, if required

e) Submitting a detailed report along with a summary to Group Chief HRMG/ Management for further
processing as per Bank's Policy

f) Background check of the selected candidates (ECIB, NADRA Verisys, reference checks,
compliance checks/ name screening, educational certificates and antecedents' verification)

g) Providing list of shortlisted candidates to HRMG for final interviews by ensuring that the
shortlisted candidates are meeting the criteria i.e. age (if mentioned in the advertisement),
qualification and experience

The Recruitment Consultancy& Employment Search Service Company will provide a certificate for each
hiring activity confirming that they have completed / complied all the required formalities.

15.3 Types of Recruitment

15.3.1 Batch Hiring

The batch hiring mainly of fresh graduates will be done under following categories based on
the approved allocation/requirements raised by Groups:

1. Management Trainee Officer (MTO)

2. Trainee Officer (TO)

3. General Banking Officer (GBO)

4. Cash Officer (CO)

5. Agriculture Field Officer (AFO)

6. AML Analysts

7. ACCA Batch

8. CA Batch

9. Any other batch requirement raised by the Groups

 HR Policy Booklet HR Management Group

Upon completion of a batch hiring under any Category, the selected officers will be given orientation
sessions / mandatory training by Bank's Staff Colleges before posting to Branches/HO Divisions/ Groups.

The Officers hired under batch hiring (OG-III/OG-II/OG-I) will be required to serve at their initial place of
Posting for a minimum period of three years. However, they may be transferred based on the
requirement/ Management's discretion. No request for transfer from one place to another (other than
the city/place of posting mentioned in appointment letter) will be accepted from these officers for at
least 03 initial years of employment.

15.3.2 Hiring of Experienced Resources

Hiring of experienced resources can be done from time to time as and when a Group needs to induct
additional staff/replacement of outgoing staff based on proper justification and according to the
approved Head count and approved budget.

15.3.3 Unplanned Hiring

Hiring which is not planned as described above will not be made in any cadre. However in case of
urgency or unavoidable circumstances any such appointment up to the level of EVP will be made with
the specific approval of the President. Unplanned recruitment of EVPs and SEVPs who are direct reports
to the President, must be approved by the Board.

15.3.4 Detailed Procedure of Batch Hiring

Since the batch hiring is mainly the induction of fresh graduates from the market as such, there
will be no internal placement and only external advertisement will be placed in national dailies
directly by NBP or through NBP approved Recruitment Consultancy & Employment Search
Service Company. The applications will be invited online on NBP or Recruitment Consultancy &
Employment Search Service Company's website.

1. Aptitude Test

The applicants meeting the eligibility criteria will be called for Aptitude test. The test will be
conducted by the Recruitment Consultancy & Employment Search Service Company or IBP or
any other approved Agency. The Recruitment Consultancy & Employment Search Service
Company must design three to four test papers with same reliability and validity. The
Recruitment Consultancy & Employment Search Service Company will provide merit-wise
result of the candidates within 07 days from the date of the Test. The sample Aptitude test
paper will be approved by the Group Chief - HRMG.

2. Group Discussion

The cut-off marks for passing of Aptitude test will be decided by the Group Chief-HRMG. The
region wise and merit-wise lists of the successful candidates will be displayed on the website
of NBP and Recruitment Consultancy & Employment Search Service Company. The Group
discussion with the consultation of Recruitment Consultancy & Employment Search Service
Company will be arranged in major cities of Pakistan. The Talent Acquisition Division will prepare
a list of topics for Group Discussion that will be approved by the Group Chief-HRMG. The
Representatives from the Bank and Recruitment Consultancy & Employment Search Service
Company will supervise the Group Discussion sessions. Results of Aptitude test and Group
discussion will be compiled by the Recruitment Consultancy & Employment Search Service
Company and another cut-off marks criteria will be decided by the Group Chief-HRMG before
arranging final interview.
 HR Policy Booklet HR Management Group

3. Final Interview

The President, NBP will approve Committee Members for conducting Final Interviews. After
compilation of result of Final Interview, a Final Merit List will be prepared. It must be ensured
that the weightage of the interview shall not exceed 30% of the total marks in order to
minimize subjectivity.

15.3.5 Step wise Procedure for Processing of Hiring of Experienced Resources

The Talent Acquisition Division will engage the Recruitment Consultancy & Employment Search
Service Company on rotation basis for processing of hiring of experienced resources.

1. Submission of Requisition Forms

The Groups/Divisions will submit duly filled and signed requisition forms for initiating the
recruitment process. The requisition forms must have proper eligibility criteria mentioned i.e.
Age, Qualification, Experience, Skills, Location, Job Descriptions etc.

3. Screening and Shortlisting of Applications

The Recruitment Consultancy & Employment Search Service Company will screen and
shortlist all the applications with special emphasis on the defined basic eligibility criteria as per the
advertisements i.e. Professional Experience, Age and Educational Qualification. The
Recruitment Consultancy & Employment Search Service Company will maintain a database
of all the applications as per standardized format and share it with HRMG.

4. Aptitude Test

An aptitude test will be conducted in case of hiring in Officer Level (i.e. OG-III / OG-II / OG-I). The
applicants meeting the eligibility criteria will be called for Aptitude test to be arranged by the
Recruitment Consultancy & Employment Search Service Company.

5. Assessment/Preliminary Interviews

The Recruitment Consultancy & Employment Search Service Company will conduct the
Assessment/Preliminary interviews of the candidates and share the list of shortlisted candidates
with HRMG for final interviews.

6. Final Interview and Selection

The members of the Final Interview Panel/Committee will be as follows:

Grade Final Interview Committee Members

For SEVP and EVP(DR) • Board of Directors

• Board HR & R Committee

For EVP • President, Group Chief HRMG and Concerned Group Chief

For SVP • Group Chief HRMG / Any Divisional Head from HRMG

• Concerned Group Chief/ Head

• Any other Group Chief/ Head as a third eye approved by

President
 HR Policy Booklet HR Management Group

Grade Final Interview Committee Members

For VP & AVP • Head of Talent Acquisition/ Any Divisional Head from HRMG

• Concerned Group Chief/ Divisional Head

• One member (Any Executive of at least SVP Grade and above)

as a third eye from any other Group nominated by respective
Group Chief and approved by Group Chief-HRMG

For Officers (OG-I, OG-II & • Head of Talent Acquisition / Any Divisional Head from HRMG
OG-III) • Concerned Group Chief/ Divisional Head
• One member (Any Executive of at least SVP grade and above) as
a third eye from any other Group nominated by respective
Group Chief and approved by Group Chief-HRMG

Interviews shall be conducted by the Final Interview Panel on a strictly confidential basis.

In deciding a particular recommendation, an attempt shall be made to reach consensus. However,

in case of difference of opinion, the decision of majority of the members of the Final Interview
Panel would be taken as final. Final Interview Panel shall have the right to recommend that no
appointment be made for the respective vacancy. The findings of the Final Interview Panel will be
in the form of recommendations to the President.

In case of announcement of multiple vacancies at the same time and on the same date, if a
candidate who has applied for a specific position is also found suitable for more than one position,
he/she can be selected for any position subject to fulfillment of eligibility criteria and based on the
recommendation of the interview panel.

7. Fit & Proper Test

Appointment of Key Executives (as defined by SBP) will be subject to SBP "Fit & Proper Test". In
case, an executive is deemed unfit by SBP, he/she will be removed from the position with
immediate effect. The Talent Acquisition Division will process the Fit & Proper Test formalities for the
Key Executives, duly noted in their personal files/ records.

15.3.6 Approving Authority for Appointments

After final panel interviews, the approving authority for final selection of candidates will be as
follows:

Approving Authority Position

President OG-III to EVP

BHRRC (Recommending Body) Board SEVPs and all those EVPs whose direct reporting line is to
of Directors (Approving Body) the President
 HR Policy Booklet HR Management Group

15.3.7 Assistance of Offer / Appointment Letters

The Recruitment Consultancy & Employment Search Service Company will carry out the
Background check of the selected candidates (ECIB, NADRA Verisys, reference checks,
compliance checks/name screening through the Sanctions Compliance process). Candidates with
clean reports will be considered for hiring, meaning thereby that write-off of liability/ies will not be
considered for hiring. In case of dues on the ECIB reports, the case may be considered for hiring
upon submission of proper NOC(s) and deposit slips issued by their correspondent Banks/DFls.

The approving authority for issuance of Offer/Appointment Letters will be:

Issuance of Offer/Appointment Letter to President (Subject to the approval of Board)

SEVP/EVP (DR)

Issuance of Offer/Appointment Letter to Jointly signed by Head of Talent Acquisition

OG-111 till EVP Division and Group Chief HRMG (Subject to the
approval of the President)

15.3.8 Delegation of Authority

Under this Policy, the President and Group Chief HRMG may delegate authority for the purpose
of recruitment (i.e. for Conducting Interviews, Final Selection and Issuance of Offer Letters etc.)
as follows:

President The President will have the authority to delegate powers to Group
Chief HRMG

Group Chief HRMG Group Chief HRMG may also delegate power to any other Divisional Head
inHR on his/her behalf

15.3.9 Placement of New Entrants

As far as possible, attempt is to be made to select candidates belonging to the area where they
need to be posted with the objective of minimizing disturbance and dislocation to newly recruited
employees. However, in terms of the Bank's service contract, services of an employee are transferable
anywhere in the country or overseas to suit the requirements of the Bank.

15.3.10 Requirement of Service Formalities

1. Medical Fitness Test

All appointments are subject to clearance of Medical Fitness Tests prescribed by the Bank's
Medical Officers and issuance of Medical Fitness Certificate.

2. Confidentiality

All persons hired at National Bank of Pakistan shall be required to sign a declaration of fidelity and
a Non-disclosure agreement.
 HR Policy Booklet HR Management Group

3. Disclosure of Personal Information

All the candidates at the time of joining will be required to disclose their personal information and
fill in all the required documentation. Any concealment of facts or wrong information will
warrant immediate dismissal.

4. Code of Conduct:

All the candidates at the time of joining will be required to sign the Bank's code of conduct.

15.3.11 Verification of Antecedents/Educational Documents

The Recruitment Consultancy & Employment Search Services shall be responsible for the verification
of antecedents and educational documents of all the selected candidates prior their joining at NBP.
However, the last employment certificate may be verified after joining of the candidate.

15.3.12 Onboarding. of New Joiners

The complete onboarding formalities of New Joiners will be taken care by Talent Acquisition Team.

15.4 Effective Date of Policy Implementation

This recruitment policy will come into force and effect from March 10th 2020. The earlier Recruitment
Policy dated November 30th 2017 stands repealed.

15.4.1 Due Date of Revision of Policy

This recruitment policy will be reviewed after 03 years from the date it comes into force unless
extended by the BoD. However, it may be revised earlier if required due to any internal / external
changes.

15.4.2 Approval

The Recruitment Policy has been approved by the Board of Directors in its 305th meeting held on
March 10, 2020.
 HR Policy Booklet HR Management Group

Chapter 16 - Employee Discipline

16.1 Policy Administration:

Status Revised

Implementation EDW, HRMG & FID (A&IG)

Last Review 2017

Next Review After 3 Years

16.1.1 Title

This policy is named as Employee Discipline Policy. Any violation involving an employee shall be
investigated and decided as per guidelines stipulated in EDP.

16.1.2 Purpose

The purpose of revising EDP is to standardize disciplinary process, elaborate each step in the process
thus making the disciplinary process transparent and equitable for all the stakeholders.

16.1.3 Scope

Provisions of this policy shall be applicable to all categories of employees of National Bank of Pakistan
(NBP), including Pak- based employees posted in overseas branches/offices of the Bank. Instructions
regarding Employee’s Discipline/clauses of employment agreement will be read as EDP. The provisions
of this document shall be read in the order of Clauses, Sub-clauses, Sections and sub-Sections.

16.1.4 Applicability

EDP will be invoked in case of any deviation from Bank’s Policies, Rules, Laws, Terms of Employment,
NBP Code of Conduct and/or any other reporting/incident warranting disciplinary action. These
incidents are broadly categorized as Fraud & Forgery and Discipline.

16.1.5 Commencement:

The amended EDP shall come into force immediately after approval of the NBP Board of Directors
(BoD). However, in the cases where charge sheets have been already issued and enquiries
commenced or to be commenced under EDP (Amended – 2014), shall continue till final disposal of the
case as per the provisions of EDP (Amended – 2014).

All punishments awarded or the cases already decided before the commencement of this EDP shall not
be re-opened for reviewing them under this Policy, for any reason whatsoever.
 HR Policy Booklet HR Management Group

16.2 Principles

 The fundamental guiding principles for the EDP are derived from NBP SSR-2021.

 Guidelines and contents given in the EDP shall be considered as rules / principles to
govern the disciplinary process.

 Disciplinary matters will be dealt quickly & equitably within specified timelines. However,
any deviation shall not vitiate the process.

 All proceedings under EDP shall be ceased and closed against the person in case of
his/her death as no posthumous action is warranted.

 No decision on a disciplinary matter will be taken without investigation except such

circumstances where prima facie evidence is available to take further action.

 In case of an instance where EDP or other polices are silent or contradictory, the settled
law will prevail, and relevant policies shall be reviewed / amended accordingly.

 Standards of confidentiality will be maintained; however, those officials who are directly
involved in the processing of the case i.e., investigation and disciplinary proceedings, will
have the access to any document relating to the case or otherwise as per directions of
the competent authority.

 It will be a serious disciplinary offence if an employee makes a misleading statement or

withholds evidence in the course of any disciplinary proceedings.

 There is no legal bar to the holding of departmental proceedings and taking decision
thereof against an employee who is being prosecuted in a criminal case at other legal
forum unless otherwise explicitly restricted by the Court of Law.
 HR Policy Booklet HR Management Group

16.3 Process Flow

16.3.1 Fraud & Forgery Cases

Reporting of case

Investigation & Verification of Charge Sheets

Submission of complete case file alongwith

finalized charge sheets

Review of case by Pre-Charge Sheet Issuance Committee

Issuance of charge sheet/show-cause notice

Mandatory Enquiry

Personal Hearing (if required)

Decision

Appeal

16.3.2 Disciplinary Cases

Reporting of case

Fact Finding (if needed)

Investigation & Verification of Charge Sheets

Review of case by Pre-Charge Sheet Issuance Committee

Issuance of charge sheet/show-cause notice

Mandatory Enquiry

Personal Hearing (if required)

Decision

Appeals
 HR Policy Booklet HR Management Group

16.3.3 Complaints

Complaint received from various corners

Fact finding by EG&CW

closure of case if complaint not valid

Detailed investigation by EG&CW (if warranted)

Refering the case to EDW if Closure of the case if lapses

lapses framed, for further action not framed

Review of case by Pre-Charge Sheet Issuance Committee

Issuance of charge sheet/show-cause notice

Mandatory Enquiry

Personal Hearing (if required)

Decision

Appeals
 HR Policy Booklet HR Management Group

16.4 Sources of Reporting

16.4.1 Internal Reporting

a) Whistle Blowing by an employee

b) Exception Reports

c) Audit & Inspection Group on the basis of Audit/Inspection.

d) Branches/Regions/Groups

e) Instructions of BoD/Board Sub-Committees/President/Group Chief – HRMG

16.4.2 External Reporting

a) Customer’s complaints

b) Media reporting

c) Regulators

d) Govt. Agencies

e) Other External Authorities/Persons

16.4.3 Anonymous Letters/Complaints

a) The complaints received through anonymous or pseudonymous sources may be noted but handled
through a separately defined process, except those having credible evidences or material facts.

b) Antecedents and credential of a complaint shall be verified and reason shall be documented by the
competent authority before an investigation is instituted against the employee concerned.

16.4.4 General Principles:

- No application from an employee containing allegations against another peer employee should be
entertained unless it is accompanied by an affidavit from the applicant/complainant that all the facts
stated in his / her complaint are true, and if his/ her affidavit is proved false, disciplinary action shall
be taken against him/her. In case of an allegation against a supervisor the same should be
escalated one level higher.

- No action shall be taken merely against the allegations levelled in the Newspapers. Proper scrutiny
shall be conducted and recorded before initiation of investigation against an employee on media
reporting.

- When there is an allegation, providing facts which can be verified, such complaints can be made
basis for further proceedings.

- If a case is reported including but not limited to through whistle blow against the President of the
bank and the fact-finding report is converted into formal investigation, then case will be immediately
referred to MoF through BoD.

- In ambiguous situations, complaints may be referred to relevant Groups / Regions for comments.
 HR Policy Booklet HR Management Group

Notwithstanding anything contained hereinabove, if the identity of the complainant was initially
anonymous which led to internal investigation, as per Global Whistle Blow policy, the above provisions
shall not apply. In this case, action on such complaint must carry approval of the competent authority.

16.4.5 Informal Disciplinary Proceedings

Process for minor breach of Discipline/addressing Disciplinary Issues prior to the use of formal
investigation should be adopted. Fact finding, preliminary investigation, source report, status report or
other alike reports/ office notes and comments are also informal Disciplinary proceedings that may lead
to formal disciplinary proceedings or may end up by taking actions under informal disciplinary
proceedings.

16.4.6 Process – Minor Breach

1. In case of minor breach of rules of this EDP, the employee’s supervisor will discuss the
concerns with the employee. The purpose of this discussion is to ensure that the employee is:

a) Made aware of the concerns

b) Given an opportunity to defend allegations

c) Inform what is required to meet expected standards

d) Made aware of the timescale over which an improvement is required

e) Made aware of the possible consequences of not achieving the required standard

2. Appropriate additional action at this stage may include but not limited to the provision of:

a) Support and training

b) Advice and guidance

c) Mentoring

d) Counseling

e) Monitoring and feedback on a pre-determined schedule and/or

f) An informal oral warning

g) Or any other action approved by the HR Committee of Management

The terms of discussion, the outcomes and any additional actions will be confirmed in writing to the
employee and placed in his/her personal record.

16.4.7 Formal Disciplinary Proceedings

1. Fraud & Forgery Cases

i) Whenever a fraud case comes to surface which warrants a formal disciplinary action, it shall
immediately be brought to the notice of Fraud Investigation Division, A&IG.

ii) All fraud & forgery cases shall initially be scrutinized by FID and preliminary enquiry report /
Analytical Report will be sought by them as per Instruction Circular No.672 dated 24.02.1982 for
formal disciplinary proceedings.
 HR Policy Booklet HR Management Group

iii) Each Fraud & Forgery case will be reported to the relevant Department(s) of the SBP, as may be
required by SBP from time to time, and other alike forums as required by Law and as per Bank’s
policy by FID, A&IG (Instruction Circular No.672 dated 24.02.1982).

iv) FID, A&IG will take appropriate action in the light of SBP guidelines in vogue, including measures
to place the name of any delinquent on ECL, if required.

v) FID, A&IG will take appropriate action to initiate legal proceedings against those involved in fraud,
misappropriation or embezzlement of funds with the approval of Management.

2. Disciplinary Cases

i) Whenever a disciplinary case comes to surface which warrants a formal disciplinary action, it shall
immediately be brought to the notice of concerned controlling office and Employee Discipline Wing,
HRMG.

ii) All disciplinary cases shall initially be scrutinized by Employee Discipline Wing, HRMG / concerned
controlling office and fact-finding report will be sought by them for formal disciplinary proceedings,
if warranted.

iii) Complaints which are received directly from MoF, SBP, FIA etc. (other regulatory body and
Agencies / Courts) through President will be processed after obtaining initial fact-finding report
(Complaint Verification) from concerned quarters followed by approval from the Divisional Head,
Employee Relation Division and Group Chief, HRMG for processing or closing of the case.

iv) Complaints received from Customers, General Public, field offices and various Groups of Head
Office will be processed after proper authentication / confirmation of the contents of fact-finding
report from the concerned office.

Fact-finding, preliminary investigation, source report, status report or other alike reports/ office notes
and comments shall not be construed as Formal Disciplinary action unless so determined by the
competent authority.

16.5 Suspension

Suspension is not a pre-judgment of guilt and is not a disciplinary penalty. A suspension can only be
imposed or removed by the competent authority and employee shall be entitled to full salary and usual
medical benefit / facilities during suspension. However, increment and other benefits/bonus etc. shall
be governed under respective Policies.

16.5.1 Grounds for Suspension

1. In all cases of Frauds, the delinquents found prima facie criminally involved (on the basis of
concrete evidences in fact finding Report whether the charge sheet and show-cause notice has
been issued or to be issued) shall be immediately suspended and removed from the incident
branch/office.

2. The employee will not be allowed to enter the premises of the Bank during suspension in order
to secure an objective and unprejudiced environment for the investigation unless otherwise
allowed in writing in advance.

3. An employee found involved in Disciplinary cases including but not limited to misbehavior,
disobedience etc. may be suspended by competent authority till pending enquiry.
 HR Policy Booklet HR Management Group

16.5.2 Authority to suspend / vacate suspension

1. The competent authority for removal of suspension will be one grade above the suspending
authority.

2. The competent authority for suspension and removal of suspension of EVPs and SEVPs will
be the Bank’s President.

16.5.3 Period of suspension

1. For Officer/Executive Management Cadre [Category I) the authorized person may, if it thinks
fit, suspend the employee, pending inquiry, for a maximum period of 60 days, by order in writing.
The suspension, in exceptional case, may continue with the approval of HR Committee of
Management where the inquiry/disciplinary process is not completed within 60 days. While
under suspension, the employee shall be entitled to his/her full net salary and the usual medical
facilities. For Clerical and non-clerical Cadre [Category II) The authorized person may, if thinks
fit, suspend the employee, pending inquiry, for a period of 4 days at a time and 28 days in a
case, by order in writing. Where the suspension is related to fraud or violence this period may
be extended with approval of HR Committee of Management. While under suspension, the
employee shall be entitled to full salary and the usual medical facilities. Controlling office shall
be responsible for monitoring of such period and get the suspension vacated formally through
competent authority.

2. The competent authority will decide about the treatment of suspension period as punishment
or otherwise at the time of finalization of the case or vacation of suspension.

3. During suspension, the employee shall not leave the station of his place of posting without prior
permission.

16.6 Investigation

The Investigation is the backbone of whole disciplinary process, therefore, role of the Investigation
Officers (IOs) is pivotal. The objective of Investigation is to examine all the factors, involvement of
individuals, supervisory failures, system flaws etc. which led to a specific incident.

16.6.1 Authority to appoint Investigators

1. The Divisional Head, ERD / FID, is authorized to appoint an investigator of up to SVP grade
and Group Chief, HRMG / A&IG up to EVP grade.

2. Investigation can be conducted, through external resources if needed, with the prior approval
of the BoD and for the cases against EVPs & SEVPs (direct reporting to President).

The Investigators must be appointed on the basis of their career profile with respect to the incident they
are going to investigate. Inclusion of an IT expert must be considered for covering the technical aspects
of the incidents.

16.6.2 Process of Investigation

1. The investigator, while preparing report, will record the facts of the case, questions of facts,
questions of laws, policies & procedures and shall place his/her findings on record. The
investigator shall describe the role in comparison with defined lapses/offences of every
employee involved in the matter under investigation.
 HR Policy Booklet HR Management Group

2. During the investigation process on the reported incident, the investigator may frame lapses
against all the identified employees irrespective of grades backed by credible evidences. The
investigator must mention the relevant clauses of Bank’s policies / circular numbers etc.,
violated by the accused(s) in the leveled charges duly supported by concrete documentary
evidences.

3. Any employee alleged to be involved in the incident under investigation and/or any witnesses
must be interviewed by the investigator before framing lapses. Formal written, signed and
verified statements should be obtained from interviewed employee / witnesses. However,
reasons must be recorded if the interview is not conducted.

16.6.3 Decision on Investigation Report

1. In fraud cases, (investigated by FID) when the investigation is concluded, Wing Head – FIW in
consultation with Divisional Head, FID and Group Chief – A&IG will refer the case to Wing Head
– EDW, for taking further necessary disciplinary action. However, any recommendation of the
investigator warranting other than disciplinary action will be communicated by Divisional Head
- FID, AIG, to the concerned quarter for taking appropriate action.

2. On receipt of the case, Wing Head – EDW in consultation with Divisional Head – ERD, will take
following actions:

i) Refer the case back to FID, A&IG, for review, if the Investigation is found to be inconclusive,
charges framed are questionable and/or any other explanation is required.

ii) If Charges are framed by the Investigation Officer, place the case before Pre-Charge Sheet
Issuance Committee for its review.

iii) If the delinquent(s) has/have been identified but the investigator has not framed any lapses,
Divisional Head, ERD, HRMG (up to VP), Group Chief – HRMG (up to SVP) and the
President for EVP / SEVP, as the case may be will decide in the light of the evidence
whether:

a) To take no further action and close the case

b) To deal the matter following the informal disciplinary procedure

c) To reinvestigate the case

iv) If no delinquent is identified by the Investigator and FID, A&IG, endorses the
recommendations of the investigator, matter shall be referred to Divisional Head – ERD,
for approval of formal closure of the case or otherwise.

3. When the investigation is concluded in Disciplinary action (other than Fraud Cases), , Divisional
Head, ERD, HRMG (up to VP), Group Chief – HRMG (for SVPs) and the President for EVP /
SEVP, as the case may be will decide in the light of the evidence whether:

a) To take no further action and close the case

b) To deal the matter following the informal disciplinary procedure

c) To institute a formal disciplinary process.

d) To place the case before DCC for collective wisdom to proceed further
 HR Policy Booklet HR Management Group

16.6.4 General Guidelines

1. The employee(s) reporting the incident cannot perform investigation.

2. In case the investigation could not be conducted within the time lines provided in the EDP and
/ or the findings of the report are found unsatisfactory, the investigation assigning authority can
change Investigator or order re-investigation into the matter as the case may be by explicitly
mentioning the reason for the same.

3. In case of substandard investigation or breach of time lines without any valid reason by
investigator(s), the assigning authority may instigate disciplinary action against the
investigator(s).

4. All concerned are required to provide all documents and information to investigator. Any
employee refusing to provide information or document will be liable to disciplinary action.

16.6.5 Terms of Reference – Investigation Officer / Team

1. Investigator(s) will visit the incident place / branch and gather all the relevant verified documents
/ record / information as needed.

2. Investigator(s) will also obtain statements of all the incumbents / stakeholders of the incident
branch specifically the statement of complainee / accused(s) and their names along with
complainants be mentioned in the report. However, reasons must be recorded if the statement
is not obtained.

3. Investigator(s) will define and discuss the Role of all persons in the incident (including accused
or otherwise).

4. Investigator(s) will address the questions of Law and questions of facts where applicable.

5. The investigator(s) will mention in investigation report, the details of Violations observed along
with modus operandi.

6. The investigation report should contain delinquent wise specific lapses explicitly
discussing/mentioning the following aspects:

 Job description/function of the accused(s)

 Details of Bank’s Policy/Manual/Circular/Instructions etc.

 Evidence of the violations committed

7. The report should also contain the Conclusion and Recommendations in the instant case to
safeguard the Bank’s interest.

8. The investigator(s) may expand his/her mandate of investigation keeping in view the facts of
the case and findings as and when revealed after obtaining approval from the assigning
Authority.

9. The investigation officer must provide List of Enclosures/Annexures.

10. All the pages of the Investigation Report must be duly numbered and signed by the Investigation
Officer.
 HR Policy Booklet HR Management Group

16.6.6 Nature of Involvement

The nature of involvement of each delinquent MUST be arrived at beyond any reasonable doubt by the
Investigation Officer, with the support of incriminating evidence(s) and/or credible witness(es). As a
guide following categories may be referred by the IO:

1. Criminal: conscious and voluntary act(s) or omission(s), with intent, which caused financial
injury to the Bank/Public.

2. Criminal Negligence: conscious and voluntary disregard of the need to use reasonable care to
supervise and act or omission to act which caused grave financial injury to the Bank/Public.

3. Gross Negligence: conscious and voluntary act(s)/ inactions which caused grave non-financial
injury to the Bank/Public OR a conscious and voluntary act/ omission to act amounting to
misconduct which damaged the reputation/discipline of the Bank.

4. Negligence: mere failure to exercise reasonable care to supervise an act which caused non-
financial injury to the Bank/Public OR a minor act/ inaction amounting to misconduct which
damaged the discipline of the Bank.

16.6.7 Verification of Charge Sheets

1. All charge sheets shall be verified.

2. Upon finalization of investigation report the Investigation Officer will send the Draft Charge
Sheets to the parent office for examining / verifying from available record.

3. Verification of Draft Charge Sheets shall be done by parent Department of the delinquent while
ensuring confidentiality at all levels.

4. If Charge Sheets are not verified / contested within stipulated time the same shall be deemed
verified with onus on the authority responsible for verification.

5. In case of contest, same should be substantiated by credible evidences specific to lapses

framed.

6. If the Investigation Officer agrees to the contest submitted by parent office, he/she shall make
necessary amendments in the draft charge sheets, which will be considered verified.

7. Investigation Officer may also amend/delete the charge(s), if he/she agrees to the contest of
the parent office in this regard.

8. In case the Investigation Officer does not agree to the contest, he/she shall record his/her
definite opinion and send the case which shall be decided by Charge Sheet & Show Cause
Notice issuing authority.

9. If the contest is declined by the competent authority, the case will be proceeded without
referring it to the parent office again.

16.6.8 Non-Involvement Certificate

1. An employee will be considered as “delinquent” only when identified through formal

proceedings.
 HR Policy Booklet HR Management Group

2. The concerned Deptt. will seek the status of Involvement / Non-Involvement of the employee
from EDW, but it will not abolish the responsibility of parent Deptt. / recommending office about
the involvement of employee in any case / enquiry (internal / external). The concerned Deptt.
shall also confirm in writing that employee is not involved in a disciplinary case “as per their
record” in which he / she is likely to be punished. All request(s) in this regard will be routed
through competent authority of the concerned Deptt. along with reason to seek N.I.C. in the
light of Bank’s rules.

3. EDW, after perusal of the record maintained at EDW and FID, shall issue a certificate on the
format “It is certified that as on date Mr./Ms. is not involved in any fraud/forgery/disciplinary
case and as per our record, there is no pending Enquiry/investigation against him / her in which
he / she is likely to be punished”. The issuing employee shall affix the signature, name and
date of issuance.

4. Status of Involvement / Non-Involvement of an employee shall not be disclosed to any irrelevant

person.

16.6.9 Withholding of Awards and Benefits

The delinquents will be entitled to full salary and allowances except:

i) If he/she is in jail custody

ii) If he/she has been declared absconder

iii) If he/she is unauthorized absent from duty

In case an employee prima facie found involved criminally/criminally negligent upon detection of Fraud
& Forgery case, his/her Awards and Benefits other than Salary & Allowances shall be withheld.
(However, same may remain withheld or released on conclusion of detailed Investigation report through
definite recommendations of FID, A&IG).

However, if an employee has been declared involved Criminally or Criminally Negligent, following
awards and benefits will be withheld on conclusion of Investigation Report till finalization of the case:

i) Eid Bonuses

ii) Final Bonus

iii) Festivity Bonuses

iv) Profit Bonus

v) Performance Award

vi) Awards/Reimbursements related to Educational Qualifications

vii) All types of Loans & Advances

In case the delinquent is awarded:

a) Any punishment other than major punishment, all the withheld benefits shall be released.

b) In case of any financial loss to the Bank, deciding authority may also withhold benefits of any
delinquent to the extent of period from issuance of charge sheet till finalization of the case as
defined in Annexure – D & E of this Policy.
 HR Policy Booklet HR Management Group

c) Benefits of an employee may be withheld involved in Misconduct and Disciplinary violations,

litigations (without exhausting available platforms within Bank) by mentioning explicit reason for any
such action.

16.7 Pre-Charge Sheet Issuance Committee

Pre-Charge Sheet Issuance Committee constituted by the President will review all the cases and give
its recommendations as per its TORs (given in detail in Annexure – A). The President constitute the
committee with external resources as and when required with prior approval of BoD.

16.8 Charge Sheet and Show-Cause Notice

16.8.1 Issuance Charge Sheet and Show-cause Notice

1. When an employee is found to be liable for disciplinary proceedings; the competent authority
shall serve a charge sheet and Show-cause Notice within a period of one month of the date of
misconduct or of the date on which the alleged misconduct comes to notice of the Bank.

2. It is classified that whenever any act of misconduct is discovered as a result of

audit/investigation, knowledge shall be presumed with effect from the date of investigation is
submitted. However, delay due to clarification / resubmission or reinvestigation shall not vitiate
the process.

3. The charge sheet will be verified on account of facts and application of relevant offences
thereon.

4. The charge sheet will be verified preferably by the concerned group/region where the incident
took place, however due to severity/sensitivity of any critical case / issue, the verification may
also be finalized in consultation with legal department of the Bank or by engaging the services
of external counsel (in case of need, with prior approval of BoD).

5. The concerned Group / Region may also submit its contest with comments & recommendations
against the charges however it will be the prerogative of the Charge sheet & Show Cause
Notice issuing authority to decline and /or accept the same.

6. Supplementary charge sheet and show-cause notice may be issued on the basis of fresh
evidence in case of earlier charge sheet and show-cause notice issued in the case.

7. The accused will submit his response in writing within a reasonable time as set out in the charge
sheet and show-cause notice, which shall not be more than 7 days from the date of charge
sheet and show-cause notice.

16.8.2 Authority to appoint Management Representative

1. The authority competent for issuance of charge sheet and show-cause notice will be
responsible for nomination of Management Representative.

2. The Parent Office to ensure that the Management Representative is well conversant with the
subject matter as well as the reported incident. Parent Office shall ensure provision of all the
relevant record required to substantiate the leveled charges including but not limited to
Investigation Report.

3. A list of all the provided document(s)/witness(es)/evidence(s) shall be prepared and provided

to the Management Representative under proper acknowledgement and the same will made
part of the enquiry report.
 HR Policy Booklet HR Management Group

16.8.3 Role of Management Representative

The Management Representative shall be appointed to act on behalf of the Bank in a prosecutor’s role.
The competent authority may appoint the Management Representative from external sources with prior
approval of the BoD. The Management Representative:

1. May seek assistance of the Investigation Officer, in case of any ambiguity regarding the framed
charges or any other aspect which requires clarification.

2. Shall ensure his / her presence on the schedule given by Enquiry Officer, fully prepared along
with all the authenticated relevant evidence(s) / witness (es).

3. Shall Cross-examine the plea taken by the accused(s) including documents / witness.

4. Shall conclude enquiry proceedings against each charge along with the mutual consent of the
accused.

In case, the deciding authority observes that the case was not properly pleaded despite provision of all
the necessary record by the parent Office, then Management Representative may be held responsible
which may lead to disciplinary action.

16.9 Mandatory Enquiry

16.9.1 Authority to Appoint Enquiry Officer or Constitute Enquiry Committee

The authority competent for issuance of charge sheet and show-cause notice shall also appoint enquiry
officer or constitute an enquiry committee, depending on the nature and complexity of the matter, to
conduct mandatory enquiry as per rules. The authority may appoint enquiry officer or enquiry committee
member(s) from external sources with prior approval of BoD. In this Policy, a reference to the Enquiry
Officer shall, where applicable, also be a reference to the Enquiry Committee, unless otherwise
specifically excluded.

16.9.2 Process of Enquiry

1. Before commencement of Enquiry, the Enquiry officer or Enquiry committee as the case may
be, will ask whether the accused has confidence on EO / Committee to conduct the Enquiry.
After reposing confidence on the Enquiry officer / Enquiry committee as the case may be, the
Enquiry proceedings will commence.

2. In case accused does not repose his/her confidence on enquiry officer or committee, but
enquiry officer or committee observed that these are delaying tactics on the part of the accused,
then the enquiry proceedings may be carried out. The enquiry officer or committee, however,
will make it part of the enquiry proceedings with justification.

16.9.3 General Guidelines

1. The Enquiry Officer will not be from the same Group/ Region/ Office in which the incident
occurred and should not be involved in any Disciplinary Case at the time of issuance of enquiry
order.

2. The Enquiry Officer must be senior in grade to that of the delinquent concerned, with the
exception, in case the delinquent is of EVP/SEVP Grade.

3. The competent authority may change the enquiry officer and order for de novo enquiry by
explicitly mentioning the reason for the same. In such case, the competent authority may refer
the case to EDW for taking suitable action against the Enquiry officer/ executive/committee, if
deem fit.
 HR Policy Booklet HR Management Group

4. During the period where the accused is in jail/detention or absconded, he shall not be entitled
for salary on the principle of ‘no work no pay’.

5. In case of evidently partial enquiry or breach of timelines without any valid reason by enquiry
officer(s), the assigning authority may instigate disciplinary action.

16.9.4 Guiding Principles to Conduct Mandatory Enquiry

1. Enquiry officer or Enquiry Committee as the case may be, will serve two notices to the accused,
each after (7) seven days intervals after the lapse of seven (7) days’ time from communication
of charge sheet and show-cause notice under intimation to Wing Head, EDW. The first notice
may be sent to office address through personal acknowledgement or through courier and
second notice shall be sent to home address through Registered Post and courier with a
receipt. In case of his/her failure to respond or participate after two notices, the Enquiry officer
or Enquiry Committee as the case may be, will fix another date of Enquiry by advising the
accused to participate in the Enquiry on specific date, time & venue, and this will be treated as
final notice. In case of non-appearance/ non-participation of the accused, the ex-parte
proceedings shall commence.

2. The EO shall intimate in writing to the accused and Management Representative, the date, time
and venue of the Enquiry.

3. At the commencement of the Enquiry, the EO shall read out and explain to the accused about
the charges leveled against him. If he admits the charges, the EO shall record that the accused
pleads guilty of the charges leveled against him, obtain the signature of the accused &
Management Representative on the proceedings and submit his report containing his findings,
within timeline provided in EDP.

4. If the accused declines/refuses the charges, the EO shall call upon the accused, as well as the
Management Representative, to submit list of witnesses/documents they desire to produce
before the EO. If the EO considers that any witness is included in the list for purposes of
vexation, delay, defeating the ends of justice or he believes that the evidence of such witness
has no materiality, he may refuse to call him after recording his reasons for such refusal.

5. The EO shall first record the evidence of the Management Representative and his witnesses,
if any, on the given format. The accused shall have the right to cross examine them. If the
accused refuses to cross examine any of the witnesses, a note to this effect shall be made and
signed by the accused and the EO. The cross examination has to be recorded on the provided
format (Annexure-H). Any document, which has to be relied upon by the Management
Representative, shall be produced by him or his witness during course of their evidence and
these will be exhibited and placed on record.

6. Thereafter, the statement of the accused shall be recorded and the EO may seek any
explanation or clarification only if required. The Management Representative shall have right to
cross examine the accused with the documents, if any, and his signatures on, or other facts in
them, may be got admitted by the accused. These documents will also be exhibited and placed
on record. Under no circumstances, this right of cross examination by the Management
Representative should be waived.

7. If the accused declines to make any statement, a note to that effect shall be made and signed
by the accused and the EO.

8. If the accused wishes to produce any witness, the EO shall record their statement. The
Management Representative shall have the right to cross examine the defense witnesses.
 HR Policy Booklet HR Management Group

9. The explanation of all persons shall be oral and recorded by the EO in Urdu or English. The
person concerned shall sign the statement, thus recorded by the EO. It must be noted that the
statements must not be in the form of questions and answers.

10. At the end of the Enquiry, when the accused closes his side, this fact must be recorded in the
proceedings and his signature must be obtained on it.

11. During the Enquiry, no witness shall be allowed to be presented during the examination or cross
examination of another witness.

12. During the cross examination of any witness, the EO may disallow any question which he
considers to be irrelevant or vexatious but he shall place the question disallowed on record
desired by the party concerned.

13. Each page [and in that page even change of stage] of Enquiry proceedings shall be signed by
the Enquiry officer, Management Representative and the accused. Deletions/ modifications, if
any, must also be authenticated by all.

14. After closing the evidence, the EO/Enquiry Committee shall submit the report strictly based
upon the evidence brought on record, both oral and documentary, stating clearly whether the
accused is “guilty” or “not guilty” and giving reasons for his findings. He shall not include any
extraneous matter in his report. His findings must be confined to the charges as contained in
the charge sheet and show-cause notice.

15. The Enquiry officer or the Enquiry committee, as the case may be, shall enquire into the charges
and may examine oral or documentary evidences in support of the charges or in defense of the
accused. The accused shall be entitled to cross examine the witness(es) against him/her and
similarly, the Management Representative shall be entitled to cross examine the accused and
his/her witnesses, if any.

16. Where the Enquiry officer or the Enquiry committee, as the case may be, feels that the accused
is hampering the progress of the Enquiry, he/she or it shall administer a warning in verbal (with
witness) or writing, and if thereafter he/she or it feels that the accused is still hampering the
progress of the Enquiry despite warning, he/she or it shall record a finding to that effect and
proceed to complete the Enquiry proceeding to meet the end of justice.

17. If at the commencement or during the course of Enquiry, the accused absents himself from the
proceedings without sufficient cause, the EO shall proceed with the Enquiry “ex-parte” and
serve on him a notice to this effect.

18. During ex-parte proceedings, it shall be ensured that the Enquiry officer examines and cross
examines the documents and witnesses by satisfying him/herself to safeguard the legitimate
interests of the accused.

19/. In such a case, the statements of the Management Representative and his witnesses shall be
recorded and the EO may seek any explanation or clarification only if required.

20. If the accused is under detention or in jail; the enquiry shall be conducted in jail upon obtaining
prior permission of jail authorities. In case of refusal of permission, the enquiry shall be kept
pending awaiting release from detention after having approval from Group Chief – HRMG.

21. Enquiry officer or Enquiry Committee as the case may be, after holding Enquiry against the
accused shall submit his/her or its report in tabulated form consisting of charges, explanations
of the accused and findings (specifically mentioning either charge is proved or not proved with
reasoning) within 25 days of the initiation of Enquiry. The report on Tabulated form must carry
annexures of cross examination, enquiry proceedings and documents duly signed and
authenticated (exhibits).
 HR Policy Booklet HR Management Group

16.9.5 Communication of Decision-Written Confirmation of the Decision of Disciplinary

Process

1. The Wing Head, EDW will inform the employee, in writing, of the decision of the disciplinary
process. The Wing Head, EDW will also intimate the accused about his/ her right to appeal
against the decision within 30 days and appeals to be addressed to the President, NBP Head
Office, Karachi through addressing the matter via the next higher authority.

2. The decision may be sent through courier or through Registered post to the provided address
of the employee, or can be delivered personally to the employee against acknowledgement or
through his parent department.

16.9.6 Failure to observe the above procedure

It cannot not be said that unless the above procedure is followed strictly, the decision of the
management punishing the delinquent employee will necessarily be upset. The rules of procedure are
only handmaids of justice and unless it could be shown that the employee was misled or prejudiced in
his/ her defense and consequently there has been a failure of justice, on account of some error or
omission on the part of the Enquiry Officer/ Enquiry Committee in the observance of the correct rules
of the procedure for holding enquiry, such error or omission would not be deemed to be material enough
to vitiate the enquiry proceedings. As a matter of fact, as long as it can be shown that a fair opportunity
was given to the accused employee (1) to remain present at the enquiry (2) to cross examine the
complainant’s witnesses, and (3) to examine his/ her own witnesses, minor irregularities will not vitiate
the enquiry proceedings.

16.10 Competent Authorities

(Suspension, Issuance of Charge Sheet and show-cause notice, Decision of cases and appellate
Forum)
 HR Policy Booklet HR Management Group

16.10.1 Disciplinary Cases:

Suspension, Issuance of
Category of charge sheet and show-
Deciding Authority Appellate Authority
Employee cause notice and
appointment of E.O.

Divisional Head,
OG-I & below Wing Head EDW, HRMG Group Chief, HRMG
ERD, HRMG

Divisional Head, ERD, President (through

AVP/VP Group Chief, HRMG
HRMG Ap Com)

Disciplinary Cases President

SVP Group Chief, HRMG
Committee (through ApCom)

Board Human
EVP (other than Group Chief, HRMG with Resource and
President (through
Direct reporting to the the approval of the Remuneration
DCC)
President President Committee (through
ApCom)

Jointly by Group Chief, Board Human

EVP & SEVP (Direct
HRMG and Chairperson Resource and BoD (through
reporting to the
DCC with the approval of Remuneration ApCom)
President)
the President Committee

16.10.2 Fraud & Forgery Cases:

Suspension, Issuance of
Category of charge sheet and show-
Deciding Authority Appellate Authority
Employee cause notice and
appointment of E.O.

OG-I & below Wing Head EDW, HRMG Disciplinary Cases President (through
Committee ApCom)

AVP/VP Divisional Head, ERD, Disciplinary Cases President (through Ap

HRMG Committee Com)

SVP Group Chief, HRMG Disciplinary Cases President (through Ap

Committee Com)

EVP (other than Group Chief, HRMG with President (through Board Human
Direct reporting to the approval of the DCC) Resource and
the President President Remuneration
Committee (through
Ap Com)

EVP & SEVP (Direct Jointly by Group Chief, Board Human BoD (through Ap
reporting to the HRMG and Chairperson Resource and Com)
President) DCC with the approval of Remuneration
the President Committee

NOTE: Before awarding any of the Major Punishment, it would be the discretion of Deciding Authority
to grant Personal Hearing to the delinquent
 HR Policy Booklet HR Management Group

16.10.3 Delegation of Powers

1. The Powers delegated to concerned authorities in this policy may be sub delegated by them
where considered necessary to such extent, for such period and in respect of such employees
as may be specified. However, in case where sub delegation is done by respective authorities
other then President, prior approval shall be obtained from President. Powers of Competent
Authorities (Elaborated)

2. President

i) The President is empowered to constitute any new Committee related to Disciplinary affairs or
reconstitute an existing one upon advice of Group Chief, HRMG.

ii) The President is competent to suspend / vacate suspension of EVPs and SEVPs

iii) The President shall decide the fate of cases referred to him where the employee is under
involuntary detention, regarding release of his salary or otherwise.

iv) The President is empowered to close Disciplinary proceedings against EVPs and SEVPs after
conclusion of investigation against them, if no charges are framed.

v) The President may allow to arrange investigation through external resources, if required with prior
approval of BoD

vi) The President shall decide the Disciplinary cases of EVPs (other than direct reporting), subject to
receipt of recommendations from the DCC.

vii) The President shall decide the appeals of Bank officials AVP to SVP (Disciplinary Cases) and up
to SVP (Fraud & Forgery Cases), through ApCom, and may reduce or enhance the proposed
punishments / relief, as the case may be.

viii) The President may allow to review any appeal / representation irrespective of its frequency or
periodic validity.

ix) In case of any anomaly found in this policy, the same shall be referred to the President for guidance
/ necessary approval.

x) The President may authorize issuance of Charge Sheet(s) without referring any case to PCSIC.

xi) The President may, upon request, grant Personal Hearing to any delinquent at any stage of
disciplinary process or later.

xii) The President may withheld benefits of EVP/SEVP involved in Misconduct, Disciplinary violations,
litigations (without exhausting available platforms within Bank)

3. Group Chief, HRMG

i) The Group Chief, in consultation with Divisional Head, ERD, HRMG shall decide the further course
of action regarding complaints received from LEAs, MoF, SBP, Courts of Law etc.

ii) Group Chief, may also decide about treatment of suspension period at any stage of the case, upon
suitable request / presentation of the case from parent Office.

iii) The Group Chief, is empowered to close Disciplinary proceedings up to SVPs after conclusion of
investigation against them, if no substantial evidence is found. However, he / she may also refer
the case to DCC for collective wisdom.
 HR Policy Booklet HR Management Group

iv) The Group Chief is empowered to assign investigation to executives of SVP / EVP rank.

v) The Group Chief is empowered to nominate the Secretaries of Disciplinary Cases Committee and
Appellate Committee under intimation to all concerned.

vi) The Group Chief is empowered to issue charge sheets to the delinquents of SVP rank and in case
of EVPs with the approval of the President.

vii) The Group Chief, shall decide the Disciplinary Cases of delinquents ranking AVP and VP

viii) The Group Chief shall decide the appeals of Bank Officials (OG-I and below) in other than fraud
cases only.

ix) The Group Chief shall recommend for constitution / reconstitution of DCC and ApCom to the
President as and when required.

x) The Group Chief may allow to review any appeal / representation irrespective of its frequency or
periodic validity for deliberation by ApCom.

xi) In cases where it is established that an employee is under involuntary detention the Group Chief
may allow release of salary up to VP to the extent of available leave balance.

xii) The Group Chief – HRMG shall submit all the Charge Sheets of EVPs and SEVPs to the President
or Board HR Committee (as the case may be) through the President, along with the
recommendations of PCSIC, for issuance authorization.

xiii) The Group Chief – HRMG may grant upon request, a Personal Hearing to any delinquent up to
grade where he/she is the Deciding Authority, or any delinquent referred by a higher authority of
the Bank.

xiv) The Group Chief – HRMG may withhold benefits of SVP involved in Misconduct, Disciplinary
violations, litigations (without exhausting available platforms within Bank)

xv) The Group Chief - may withhold salary and benefits of SVP in case of unauthorized absence from
duty.

4. Divisional Head, ERD, HRMG

i) The Divisional Head shall recommend further course of action to the Group Chief, HRMG
regarding complaints, received from Law Enforcement Agencies, MoF, SBP, Courts of Law etc.

ii) The Divisional Head, ERD will authorize formal investigation in all Disciplinary Cases and may
close the case against the officials up to VP, after conclusion of investigation, if no substantial
evidence is found.

iii) The Divisional Head is authorized to appoint an investigator up to VP grade. The Divisional Head
shall examine the investigation report received from FID or Investigation Officer appointed by EDW
and shall decide further course of action. He may also refer the case to DCC for collective wisdom.

iv) The Divisional Head shall issue charge sheets to delinquents (AVP and VP).

v) The Divisional Head may allow to review any appeal / representation irrespective of its frequency
or periodic validity for deliberation by ApCom.

vi) In cases where it is established that an employee is under involuntary detention the Divisional
Head may allow release of salary up to OG-I to the extent of available leave balance.
 HR Policy Booklet HR Management Group

vii) The Divisional Head – ERD may grant upon request, a Personal Hearing to any delinquent up to
grade where he/she is the Deciding Authority, or any delinquent referred by a higher authority of
the Bank.

viii) The Divisional Head – ERD may place an employee under suspension (up to one grade below
his/her grade), found involved in Disciplinary cases including but not limited to misbehavior,
disobedience etc. may be suspended by competent authority till pending enquiry. The Divisional
Head, ERD may withhold benefits of employees up to VP Grade involved in Misconduct,
Disciplinary violations, litigations (without exhausting available platforms within Bank)

ix) The Divisional Head, ERD - may withhold salary and benefits of up to VP.

5. Role of the Secretary

i) Pre-Charge Sheet Issuance Committee (PCSIC)

ii) Disciplinary Cases Committee (DCC)

iii) Appellate Committee (ApCom)

16.10.4 Nominations

The Secretary PCSIC, DCC and ApCom shall be nominated by Group Chief, HRMG and approved by
the President.

16.10.5 Function / Responsibility

The Secretary will:

1. Prepare the agenda for the meeting and circulate it to the Members of respective Committee

2. Liaise with the Committee Members and arrange meetings

3. Place all the cases falling under their domain, as per EDP, for deliberation and decision /
recommendation

4. Prepare minutes of each meeting and arrange signing of the Committee

5. Disseminate the decision/recommendation of the Committee to the concerned quarters

16.10.6 Limitations

Role of the Secretary is limited to facilitation of the Committee to convene its meetings and in case any
explanation is desired by the committee; same shall be sought from the relevant quarters on behalf of
the Committee

16.11 Disciplinary Penalties (Punishments)

The degree of punishments administered in any given situation will depend on the severity of violation
and be in accordance with appropriate rules. It must be objectively evaluated before taking appropriate
disciplinary action.
 HR Policy Booklet HR Management Group

16.11.1 Punishments

The competent authority may impose any one or more of the following penalties commensurate with
the guilt of the delinquents:

10.1.1 Reprimand

10.1.2 Downgrade in existing pay

10.1.3 Postponement or Stoppage of future annual increase (s) for a specified period

10.1.4 Postponement or Stoppage of future promotion for a specified period

10.1.5 Forfeiture of pay for any period of unauthorized absence from duty

10.1.6 Recovery from pay of the whole or part of any pecuniary loss caused to the Bank by
the employee

10.1.7 Debarring to hold some designated key positions for some specified period or
permanently

10.1.8 Demotion to previous grade

10.1.9 Compulsory retirement from service

10.1.10 Removal / Termination from service.

10.1.11 Dismissal from service

1. The punishment of dismissal will involve permanent disqualification for further employment in the
bank.

2. The dismissal must be done only after fulfilling the entire charge sheet and disciplinary procedure
as provided by the EDP. Any kind of fault-based dismissal, including fake degree cases must
allow opportunity to the employee to be heard through due course of law.

3. In case an employee is awarded punishment of debarring from specific posting, it will generally
be for three years unless otherwise specified.

4. In case of clerical and non-clerical employees (i.e. employees who do not form part of the officer/
executive management cadre) punishments specified at 10.1.1, 10.1.3, 10.1.4, 10.1.8 and
10.1.11 only can be awarded.

16.11.2 Major Punishment(s)

Demotion, Compulsory retirement from service, Removal /Termination from Service and Dismissal shall
be treated as Major punishments.

16.11.3 Relaxation in punishment

Though the Reprimand is a listed punishment as mentioned at Clause – 10.1.1 above, however, its
infliction does not debar an employee from promotion or other allied service benefits.
 HR Policy Booklet HR Management Group

16.11.4 Fake / Tempered Degree Cases

In case any educational document submitted by the employee at the time of appointment is found to be
fake / forged / tempered at any later stage then such act will lead to dismissal from Bank’s service.

However, if any educational documents submitted at any later stage subsequently are found fake /
forged / tempered, then the derived benefits on the basis of such documents shall also be withdrawn
along with awarding any appropriate punishment, if deem fit by the competent authority.

16.12 Appeal or Application for Review (any disciplinary punishment)

1. The President, upon the recommendation of Group Chief, HRMG will constitute Appellate
Committee to deliberate appeals submitted by the appellants and submit recommendation for
final decision by the competent authority. The President may constitute the committee with
external resources as and when required with prior approval of BoD.

2. Once a penalty is imposed or punishment is awarded as a result of disciplinary proceedings or

through administrative action, the appeal can be made against the decision within 30 days from
receipt of the decision of competent authority. The 30 days’ time shall start from the day after
the written decision was duly delivered to the last known address of the employee.

3. The delay in filing appeal may be condoned by the Group Chief – HRMG, provided that cogent
reasons are furnished for delay in filing the appeal.

4. Where the employee concerned so desires, he/she shall have the privilege to be heard in
person by the Competent Authority.

5. In case the appellate authority finds any material defect or malafide intent of investigator or
Enquiry officer, the same may be referred to EDW for appropriate disciplinary action.

6. An employee shall have one time right of appeal against any of the penalties imposed upon
him.

7. Every appeal shall be submitted through proper channel (i.e. submitting through parent office)
and comply with the following requirements: -

a) It shall contain all material statements and grounds relied upon and shall be complete in
itself

b) It shall specify the relief desired.

c) It is submitted through proper channel

8. An appeal may be withheld by the authority passing the original orders if:

a) It does not comply with the requirements of sub-clause 11.7.

b) It repeats the appeal review already rejected by the authority to whom the appeal is
addressed and does not disclose any new points or circumstances for reconsideration.

c) It is addressed to an authority to whom no appeal lies.

 HR Policy Booklet HR Management Group

d) It is not filed by him within 30 days of the orders against which the appeal is made
and no reasonable cause for the delay is shown in the appeal, and

e) It deals with a matter which does not concern the employee personally.

9. In every case in which an appeal is withheld, the authority passing the original orders at its
discretion will have the power to inform the appellant of the fact of withholding the appeal and
the reasons for doing so. If the appeal or review is not disposed of within three months of it
having been preferred, then it shall be deemed to have been rejected. A list of appeal withheld
with reasons for withholding them shall be forwarded quarterly by the withholding authority to
the appellate authority.

10. An appellate authority shall have powers to call for an appeal admissible under rules and may
pass orders thereon to uphold, set aside, enhance or reduce the punishment as it deem fit.

11. An appeal which is not with-held shall be forwarded as soon as possible to the appellate
authority with all relevant records and comments of the authority against whose orders the
appeal has been filed.

12. No appeal shall lie against the withholding of the appeal by an authority competent to withhold
it.

16.13 Disciplinary Committees

Following Disciplinary Committee will assist the Disciplinary process as per their TORs given as
Annexures – A, B & C. The President may constitute these committees with external resources as and
when required with prior approval of BoD.

a) Pre-Charge Sheet Issuance Committee (PCSIC)

b) Disciplinary Cases Committee (DCC)

c) Appellate Committee (ApCom)

16.14 Policy Implementation

Pursuant to the National Bank of Pakistan Byelaws, 2015, the Board of Directors of the Bank shall have
the power to manage, issue general direction and carry out superintendence of the affairs and the
business of the Bank, including those relating to this policy. The enforcement of this policy shall be
subject to the approval of the Board.

The terms of this policy are consistent with the relevant provisions of the NBP Staff Services Rules,
2021 and are to be read in conjunction with the provisions thereof. Unless specified otherwise, this
policy supersedes all previous circulars, notifications and/ or relevant directions on the subject.

This policy has been formulated to update and collate relevant provisions relating to the subject matter
and therefore shall remain binding and enforceable. In the event of any contradiction between this policy
and another existing policy, the provisions of the specific policy shall prevail of the provisions of the
general policy and shall be subject to the final decision of the senior management of the Bank.

The terms of employment of an employee shall be governed in accordance with the relevant applicable
policies of the Bank, as may be amended from time to time.
 HR Policy Booklet HR Management Group

16.15 Effective date of implementation

This Employee Discipline Policy will come into force with immediate effect.

16.16 Revision of Policy

This Employee Discipline Policy will be reviewed after 03 years from the date it comes into force.

16.17 Approval

The Employee Discipline Policy has been approved by the Board of Directors in its 324 th meeting held
on October 11, 2021.
 HR Policy Booklet HR Management Group

Chapter 17 - Employee Grievance Handling Guidelines

17.1 Purpose

The purpose of these guidelines is to provide a mechanism to resolve employee grievances. Bank’s
management aims to foster a working environment which is free from all forms of discrimination,
injustice or harassment. Hence, a system needs to be in place for effective handling of employee
grievances so that they could work in an enabling environment which enhances employee satisfaction
and promotes high performance work culture. This mechanism, therefore, aims to resolve employee
grievances in a fair, transparent and efficient manner within the ambit of Bank’s rules.

17.2 Scope

This mechanism applies to all regular, contractual and retired / ex-employees of the bank with some
exceptions (appended as “limitations of grievance handling mechanism”).

17.3 Limitations

This grievance handling mechanism shall not cover the following:

a) Cases which are pending before or have been decided by Court of Law.

b) The fraud/forgery & disciplinary issues which are pending before or have been decided by EDW,
ERD, HR Management Group.

c) Matters pertaining to collective negotiation or consultation with the trade union(s).

d) Out of court negotiations / settlements.

17.4 Grievance Resolution Ways

Employees can raise their grievances through following two ways:

a) Either through informal way,

OR

b) Through following formal way(s):

I. Formal communication with supervisor / administrative authority.

II. Online portal i.e., Grievance Redressal Interface Program (GRIP).

17.4.1 Process for Informal Resolution of Grievance(s)

a) Employees at first instance are encouraged to contact their immediate supervisor(s) about their
grievance(s). This aims to resolve employees’ grievance(s) / concern(s) promptly.

b) The employee shall convey the grievance to his / her immediate supervisor within 30 days of the
grievance prompting event.

c) If employee, however, does not want to contact his / her immediate supervisor or is not satisfied
with the resolution by his / her immediate supervisor, he / she may convey his / her grievance to a
more senior administrative authority (e.g. Unit Head or RMT member).

d) No further action is required, if employee becomes satisfied.

 HR Policy Booklet HR Management Group

17.4.2 Process for Formal Resolution of Grievance(s)

1. Through Communication With Supervisor / Administrative Authority:

a) An employee can contact his / her immediate supervisor or senior administrative authority
in writing about his / her grievance within 30 days of the event.

b) The supervisor / senior administrative authority shall propose a written resolution to the
employee within 30 days of the receipt of the grievance.

c) The employee will confirm in writing within 7 days that his / her grievance has been dealt
with satisfactorily.

d) A copy of the resolution and the employee’s confirmation to be placed in the employee’s
personal file and copy to be sent to EG&CW, ERD, HRMG, HO for information and record.

2. Through Grievance Redressal Interface Program (GRIP):

a) If employee, however, does not want to contact his / her immediate supervisor / senior
administrative authority or is not satisfied with the resolution of his/her grievance, he / she can raise
the grievance formally through online portal i.e. Grievance Redressal Interface Program (GRIP)
within 30 days of the grievance prompting event.

b) Use of online portal i.e., GRIP is part of HRMG initiatives to facilitate the employees in raising their
grievances through easily accessible online system, and making the whole process efficient,
transparent and effective.

c) Employees can access GRIP through following steps on their Local Area Network (LAN):

i Employee will login to GRIP through URL: 192.168.115.8: 8039/EmployeeVerification.aspx.

ii Employee will be required to enter the above URL in their internet explorer (Browser) which will
direct them to the GRIP portal authentication page.

iii Employee will enter his/her SAP ID and press “Generate Code” button.

iv Employee will receive an OTP (One-time PIN) / verification code on official email address.

v Employee will enter OTP verification window and enter “Verify Code”.

vi Employee will, then, generate new grievance form by clicking the “Employee Ticket Option”

vii Employee can then select the type of grievance from drop down.

d) Employee can opt one of the following options from drop down list on GRIP to generate his/her
grievance.

i Appraisal

ii Promotion

iii Salaries & allowances

 HR Policy Booklet HR Management Group

e) After successfully recording the grievance on GRIP, the employee will receive a system generated
acknowledgment and tracking number on official email, as a confirmation of receipt of grievance
and reference for future correspondence and queries.

f) Employee will also have the option to check the status of his/her grievance(s) from the system after
clicking the “Existing Ticket” option.

3. Process Flow for Grievance Resolution through GRIP:

a) GRIP will automatically send the grievance to EG&CW & grievance owner / relevant department,
as per selection from drop down list.

b) EG&CW will perform following functions:

i Analyze the grievance.

ii Assign the grievance to Grievance owner / relevant department.

iii Follow-up at each escalation level.

c) Grievance owner / relevant department will perform following functions:

i Evaluate the grievance.

ii Switch / redirect the grievance to other department if comments / information is required from
some other department.

OR

i Switch / redirect the grievance to EG&CW if comments / information from employee’s Regional
Office/ Branch/ Administrative office is required.

ii Receive back the comments / information from other department(s) / Regional Office / Branch/
Administrative Office.

iii Provide the remedy sought by employee

OR

Decide that remedy cannot be provided as per policy / procedure.

OR

i Decide that employee is entitled for remedy but requires approval from Grievance Resolution
Committee (GRC) e.g., in case of revision of APAs or Promotions etc.

ii Convey the resolution / decision to EG&CW.

d) EG&CW, upon receiving resolution / decision from Grievance owner / relevant department will
perform following functions:

i If grievance owner has provided the remedy

 Will convey the resolution to employee and close the grievance on GRIP.
 HR Policy Booklet HR Management Group

ii If grievance owner decided that remedy cannot be provided as per policy/ procedure.

 Analyze the appropriateness of decision from grievance owner.

 Convey the decision to employee, if found appropriate / as per policy, and close the grievance
on GRIP.

 Send back the grievance to grievance owner for reconsideration, if employee is entitled for the
remedy as per policy/ procedure.

 Recommend the case to “Grievance Resolution Committee (GRC). A Grievance Resolution

Committee (GRC) will be constituted as part of the grievance resolution process with the
approval of President NBP. If grievance owner has recommended the remedy to GRC.
Grievance owner still not provided the remedy to employee, whose grievance was sent back to
grievance owner due to his/her entitlement as per policy.

e) EG&CW, as per clause (4.b.iv) of 4.2.2.1, will recommend the grievance to “Grievance Resolution
Committee” (GRC). The committee will be resolution(s) deciding authority and President NBP will
accord approval except for his Direct Reports / all SEVPs.

f) For President’s Direct Reports / all SEVPs the Board of Directors (BoD) will be the approving
authority.

g) The President’s decision/approval will be treated/considered as final for resolving the grievances of
employees of all grades except his direct reports / SEVPs. For direct reports/SEVPs, the decision
of BoD will be treated / considered as final.

h) EG&CW can also give feedback to Group Chief, HRMG / HR Research / Policies Wings about type
of grievances received to strategize the things for future policies / procedures.

i) TAT is also defined in GRIP against each type of Grievance. System will initially send the grievance
to the processing officer and Wing Head. If, however, the grievance is not resolved / decided within
specified TAT, GRIP will automatically escalate the grievance to next levels i.e., Divisional Head
and then Group Chief for their notice.

j) Total resolution time period for grievances will be 90 days from date of receipt of grievance on
GRIP. The department wise timelines are as below:

i Grievance Owner/ relevant department: 15 days

ii Employee Grievance Wing: 45 days (for end to end process).

iii Grievance Resolution Committees: 30 days

17.5 Appeal Process

1. Employee shall have the right to make an appeal against the resolution / decision (under clause 4-
b-ii) of 4.2.2.1 or under clause (4.2.1- b) within 30 days of the receipt of decision.

2. If employee makes the appeal against the resolution / decision under clause (4-b-ii) of 4.2.2.1 or
(4.2.1-b), he/she will address the appeal to the President NBP and send to EG&CW.

3. EG&CW will analyses the appeal and based on the merit of the appeal will decide to recommend
the appeal to Grievance Resolution Committee (GRC).
 HR Policy Booklet HR Management Group

4. If EG&CW, based on the merit of the appeal, decides to recommend the appeal to GRC, it will
approach the grievance owner / relevant department to provide all related documents/ basis of
previous decision to EG&CW for placing the complete case before GRC.

5. The grievance owner / relevant department will send complete grievance case (including all facts,
evidences, relevant policy, basis of previous decision if any etc.) to EG&CW for placing before the
GRC for their review.

6. GRC will deliberate on the grievance(s) / appeal(s) and decide the grievance(s) / appeals(s).

7. President will accord approval except his direct reports / all SEVPs. For direct reports / all SEVPs,
the Board of Directors (BoD) will accord approval.

8. The President’s decision/approval will be treated/considered as final for resolving the grievances of
employees of all grades except his direct reports / SEVPs. For direct reports/SEVPs, the decision
of BoD will be treated / considered as final.

9. EG&CW will convey the decision(s) to the concerned employee. The copy of the decision(s) will
also be placed in employee’s personal file.

17.6 Victimization Statement

a) No employee shall be subject to any victimization, harassment or intimidation due to raising his/her
grievance or during grievance redressal process or afterwards.

b) Any official found involved in victimizing an employee due to his/her raising of grievance, shall be
subject to disciplinary action in the light of “Employee Discipline Policy”.

c) The complainant shall have the right to report any victimization, harassment or intimidation from
his/her superiors/ concerned office. Such instances shall also be dealt in the light of “Employee
Discipline Policy”.

17.7 Confidentiality Statement:

a) Complete confidentiality will be maintained about the employees and their grievances under this
policy.

b) Officials involved on behalf of EG&CW, staff members of other HR functions who will remain
involved in grievance resolution process and all members of the GRC, shall be duty bound to
maintain confidentiality and hold in confidence, all documents and information exchanged in the
process.

17.8 Investigations Statement:

a) The investigations about behavioral complaints shall be arranged by EG&CW. The investigation
officers will submit the investigation reports along with specific recommendations to Wing Head,
EG&CW.

b) The Wing Head, EG&CW shall initiate the necessary action on the basis of recommendations /
findings of investigative reports through EDW, ERD, HRMG or concerned administrative authority
and/ or submit the findings of investigative reports to GRCs if the investigations were initiated by
GRCs.
 HR Policy Booklet HR Management Group

17.9 General Guidelines for Handling Grievances

a) All concerned offices shall ensure that grievances are handled in accordance with the Grievance
Procedure(s) set out in these guidelines.

b) The employee may call upon for information and/or advice from EG&CW at any stage during the
grievance procedure.

c) Making false accusations or attempting to malign other employee(s) of the bank would be
considered an abuse of the Grievance handling spirit and will attract appropriate disciplinary action
against the complainant as per bank’s rules.

d) Employees’ grievance relating to harassment can be lodged under this policy. However, such
matters will be dealt by the Bank’s Harassment Committee. Final decision will be conveyed to
EG&CW for informing the aggrieved employee(s) and record keeping.

e) Bank’s retired / separated employees can lodge their grievance(s) under this mechanism through
the HR Office / Administration of their concerned Regional Office / Group / Division. However, in-
case of any problem / non-cooperation, they can contact EG&CW directly.
 HR Policy Booklet HR Management Group

Chapter 18 - Overseas Posting Policy

18.1 Purpose

The purpose of this policy is to create career opportunities arising in overseas branches and
subsidiaries of National Bank of Pakistan for Pakistan based employees. This policy also covers the
procedure to fill in the critical mid and senior level positions in overseas branches/subsidiaries with
employees having relevant expertise and experience.

18.2 Scope

This policy will be applicable to all Pakistan based Executive employees of the Bank. NBP have the
right to post its executive level employees overseas for a certain period based on the requirements
deemed appropriate by the supervising authority.

18.2.1 Announcement of Overseas Postings

An Internal Placement shall be issued by HRMG, advertising the vacant position(s) along-with defined
criteria and required skill set for the vacancy arising in overseas branch. The eligible candidates will
apply to HRMG, in response to this internal advertisement.

HRMG in coordination with IFRG will screen the candidates on the basis of fulfillment of defined criteria
laid down in the circular. After the screening process, a written test will be conducted for eligible
candidates up to VP level (except Country Manager). The list of successful candidates along-with
comments / recommendations of HRMG and IFRG will be submitted for interview to the Overseas
Posting, Selection and Review Committee (OPS&RC). The executives selected for key positions by
OPS&RC will be placed before BHR&RC for finalization of appointments.

18.2.2 Selection Criteria

The successful candidates would be interviewed by OPS&RC, who will make the final selection of most
suitable candidates and approve the destinations of posting of these candidates.

18.2.3 Formation of Interview/ Selection Committee

a) The President/CEO NBP shall approve the formation of a Selection Committee titled “Overseas
Posting Selection and Review Committee” (OPS&RC)

b) The “Overseas Posting Selection and Review Committee” (OPS&RC) will be a Management
Committee and members of the Committee shall be nominated by the President/CEO which must
include Group Chiefs from Risk, Compliance and IFRG.

c) The OPS&RC will interview and recommend most suitable candidates for posting to Bank’s
overseas branches/ offices.
 HR Policy Booklet HR Management Group

18.2.4 Eligibility Criteria

1. Grade

Executives up-to EVP grade, in the regular and contract cadre will be eligible for overseas postings
subject to availability of vacancy and suitability of the employee. However, if employees in higher grades
are needed to be posted at any overseas branches/offices, prior approval of the Board of Directors will
be required.

i) For General Managers and Deputy General Managers Positions

Executives applying for the position of General Managers and Deputy General Managers must
have at least twelve (12) years total banking experience. Both internal and external candidates
can be considered. They must also possess three (3) years of relevant functional experience,
preferably as Branch Manager. Any exception to above condition shall require prior approval of
the President/CEO.

ii) For Other Positions

Executives applying for the positions other than General Manager / Deputy General Manager,
having at least five (05) years banking experience in the relevant field (i.e. Foreign Exchange,
Trade Finance, Treasury, Compliance, Audit & inspection, Risk Management, Corporate Banking,
Information Technology, Human Resource Management, and any other advertised field of
technical nature) shall be eligible whether internal or external candidate.

2. Age

The minimum age of employees to be considered for overseas postings is 21 years and the maximum
age should be as per local laws / guidelines / regulations of respective countries as long as they do not
contradict with the Bank’s policy.

3. Academic Qualification

At least Bachelor’s or equivalent degree from any HEC recognized University/Institute. . Candidates
having master’s degree would be preferred.

4. Professional Qualification

Preference will be given to employees, who are CA, ACCA, ACMA, CFA, AIBP, DAIBP /JAIBP qualified
from recognized University/Institute. Other professional qualifications, such as in the field of HR, Risk,
Compliance, lT, etc. obtained from locally/internationally accredited institutions shall also be preferred.

5. Family Size

Bank will bear expenses allowed as per Relocation Policy for spouse and maximum three children.
However, education fee up to three children will be reimbursed by the Bank for the education from
Montessori/ kindergarten up to the age of 18 years or 'A' level whichever is earlier.

6. Health

Only those employees will be considered for overseas postings who themselves or their eligible family
members (i.e. wife and children) do not have a history of prolonged ailments (as defined in Medical
Policy of the Bank) or any contagious diseases.
 HR Policy Booklet HR Management Group

All selected individuals, prior to posting shall undergo a medical examination and receive clearance
from the Bank's Medical Officer to confirm that they do not have a history of prolonged ailments or any
contagious diseases.

7. Language/ Other Training

Preference shall be given to employees having fluency in the native language of the country where the
employee is being posted (especially in non-English speaking countries). ln its absence, the selected
candidates will have to take basic language course of no longer than 3 to 4 months from the Banks
accredited language institutes in case of selection to any branch / office, where the local language is
other than English, before proceeding to overseas posting. The Bank will bear the cost of such course
subject to prior approval of the Group Chief, IFRG & HRMG.

8. Annual Performance Ratings

Due weightage will be given to last three years’ performance rating of the candidate while considering
for posting/ selection abroad.

18.2.5 Second Overseas Posting

The second overseas posting will be considered, if approved by OPS&RC, subject to meeting the
regulatory requirements and eligibility criteria along-with following conditions:

 Only in rare / exceptional cases.

 For the post of Country Manager and General Manager only.

 Provided that the candidate has adequate experience and exposure for the assignment.

18.2.6 SBP Fit & Proper Test (FPT) & Host Country Regulations

a) For the following (key) positions, the SBP Fit & Proper clearance shall be conducted as per their
laid down policy / guidelines:

i) Country Manager

ii) General Manager

b) The overseas posting on key positions are also subject to clearance /approval of the candidate from
host country regulators.

18.2.7 Tenure of Posting

For all overseas postings, the period of overseas posting of any Pakistan based employee shall be for
a maximum period of five years from the date of joining at Bank's overseas branch/office. The
performance of the employee will be monitored after three years for extending the tenure of posting for
another two years. The president/CEO will approve the recommendations for extending the tenure from
3 to 5 years. After completion of five years, employee will be repatriated except in retirement cases.
(Clause 1.5.2).
 HR Policy Booklet HR Management Group

18.2.8 Relieving Procedure to proceed for Overseas Posting

The relieving procedure of employees who have been selected for overseas postings will be as follows:

a) After approval of final selection list, by OPS&RC, the HRM Group jointly with IFRG shall issue
transfer / posting orders of the selected candidates for relieving by the concerned Region / Group.

b) The concerned Region/Group shall direct these candidates to report to Head Office for necessary
briefing at HRMG and IFRG as and when called for. However, it will be necessary for the selected
candidates to obtain on job training/orientation at IFRG prior to their departure for overseas posting.

c) An employee selected for the overseas postings will sign and submit all the required
documents/bond to the Bank as per current practice prior to his departure for taking up the overseas
assignment.

d) ln case of spouse being an NBP employee, he/she should also be allowed to accompany in case
any one of them is selected for overseas posting, by granting ex-Pakistan leave without pay as a
special case, subject to the approval of the President/CEO.

18.2.9 Disciplinary Matters

a) Disciplinary action will be initiated against the Pakistan based employees as per Bank's rules who
have completed overseas tenure at Bank's overseas branches/offices and do not return to Pakistan
upon being transferred back / repatriation. HRMG and IFRG will be jointly responsible for ensuring
timely repatriation of the employees.

b) Executives who have been penalized and awarded listed punishment in any disciplinary/ criminal
conduct as per NBP EDP shall not be eligible for overseas posting.

c) lf any disciplinary case/ fraud forgery, committed at Bank's local office in Pakistan, by an employee
posted abroad comes to light, the concerned employee shall stand suspended. ln case the
presence of the concerned employee is necessary at any time during its course of investigation/
inquiry in Pakistan, the employee shall immediately be transferred back to Pakistan and report to
the HR Overseas Wing, HRMG, HO, Karachi.

d) Pakistan based Employees posted at overseas branches applying for citizenship/immigration of the
host country must obtain prior approval from the President/CEO.

e) Any employee who fails his/her obligation intentionally or otherwise either in respect of
Legal/Regulatory/Ethical or other duties assigned to him/her during his/her employment will be
subject to punishment as per the relevant Laws/Rules/Direction/Policy or Decision of the Board as
the case may be.

18.2.10 Transfer within Overseas Branches/Offices

A Pakistan based employee posted overseas may be rotated within overseas branches during his/her
overseas posting tenure subject to approval of President/CEO.
 HR Policy Booklet HR Management Group

18.3 Repatriation to Pakistan

The IFRG will have authority to recall Pakistan based employees prior to expiry of their term for
business, performance and/or regulatory reasons. If a Pakistan based employee is recalled prior to
completion of term, his/her repatriation will be approved by the President/CEO.

All executives who are transferred back to Pakistan will first report to IFRG. ln case of
planned/unplanned premature repatriation the bank may post out of those candidates approved by
OPS&RC who have already cleared /qualified the process of overseas posting or may at its discretion
to initiate a fresh exercise as prescribed in the Bank's overseas posting policy.

After reporting back to Head Office, the repatriated employees may be required to serve the bank at
further suitable posting /assignment in view of his/her overseas performance.

Upon repatriation, an employee shall be allowed to avail repatriation leave up-to maximum 30 days out
of his/her P/L, if available, at salary & allowances in foreign exchange from his/her last place of posting.

18.4 Promotion

Promotion of Pakistan based employees posted abroad shall be considered as and when due subject
to the condition that they fulfill the eligibility and qualifying criteria as per NBP Promotion Policy
applicable at the time for domestic operations.

18.5 HR Related Information

All HR related information/ matters pertaining to local-based / Pakistan based employees including
regulatory issues shall invariably be reported to HRMG, on regular basis. Line responsibility will be of
IFRG but HRMG should be informed subject to all local regulations and labour laws.

18.6 Policy Implementation

Pursuant to the National Bank of Pakistan Byelaws, 2015, the Board of Directors of the Bank shall have
the power to manage, issue general direction and carry out superintendence of the affairs and the
business of the Bank, including those relating to this policy. The enforcement of this policy shall be
subject to the approval of the Board.

The terms of this policy are consistent with the relevant provisions of the NBP Staff Services Rules,
2021 and are to be read in conjunction with the provisions thereof. Unless specified otherwise, this
policy supersedes all previous circulars, notifications and/ or relevant directions on the subject.

This policy has been formulated to update and collate relevant provisions relating to the subject matter
and therefore shall remain binding and enforceable. In the event of any contradiction between this policy
and another existing policy, the provisions of the specific policy shall prevail of the provisions of the
general policy and shall be subject to the final decision of the senior management of the Bank.

The terms of employment of an employee shall be governed in accordance with the relevant applicable
policies of the Bank, as may be amended from time to time.
 HR Policy Booklet HR Management Group

18.7 Effective Date of Policy Implementation

This overseas posting policy will come into force with immediate.

18.8 Revision of Policy

This overseas posting policy shall be subject to review after three (03) years from its effective date.

18.9 Approval

The overseas posting policy has been approved by the Board of Directors in its 327 th meeting held on
17.01.2022.

18.10 Position Benchmarking For Overseas Posting

Proposed Grades for

Grade of
the Position
S. No Branch/ Office Position Existing
Employee
Min Max

1 New York, USA Country Head EVP EVP SEVP

2 Deputy General - SVP EVP

Manager

3 Head of Credit VP VP SVP

Management

4 Washington, USA Branch Manager VP VP SVP

5 Branch Operations VP AVP VP

Manager

6 Paris, France General Manager SVP SVP EVP

7 Deputy General AVP VP SVP

Manager

8 Frankfurt, Germany General Manager VP SVP EVP

9 Bahrain, KOB General Manager SVP SVP EVP

10 Deputy General VP VP SVP

Manager

11 Dealer/ Treasury VP AVP VP

Officer

12 Riyadh, KSA General Manager SVP SVP EVP

13 General Manager, VP VP SVP

Operations

14 Hong Kong Main, Country Manager EVP SVP EVP

Hong Kong
 HR Policy Booklet HR Management Group

Proposed Grades for

Grade of
the Position
S. No Branch/ Office Position Existing
Employee
Min Max

15 Kowloon, Hong General Manager SVP VP SVP

Kong

16 Tokyo, Japan Country Manager VP SVP EVP

17 Osaka, Japan Branch Manager VP VP SVP

18 Seoul, S.Korea General Manager VP SVP EVP

19 Beijing Rep Office, Chief Rep. Officer VP VP SVP

China

20 Bangladesh Control Country Manager SVP SVP EVP

Office

21 Deputy General VP VP SVP

Manager, Credit

22 Main Branch, Chief Manager AVP VP SVP

Dhaka, Bangladesh

23 Almaty, Kazakhstan General Manager VP VP SVP

24 Deputy General AVP AVP VP

Manager

25 Bishkek General Manager VP VP SVP

(Kyrgyzstan)

26 Deputy General AVP AVP VP

Manager

27 Baku, Azerbaijan General Manager VP VP SVP

28 Dushanbe, General Manager VP VP SVP

Tajikistan

29 Ashgabat, General Manager VP VP SVP

Turkmenistan

30 Kabul, Afghanistan Country Manager VP VP SVP

31 Chief Operating Officer VP AVP VP

32 CFO AVP AVP VP

33 Credit Manager/officer AVP AVP VP

34 Compliance AVP AVP VP

Manager/Officer

35 Internal Auditor OG-I AVP VP

 HR Policy Booklet HR Management Group

Proposed Grades for

Grade of
the Position
S. No Branch/ Office Position Existing
Employee
Min Max

37 EPZ Karachi, Branch Manager AVP AVP VP

Pakistan

38 Branch Operations OG-II OG-II AVP

Manager
 HR Policy Booklet HR Management Group

Chapter 19 - Health Benefit Policy

19.1 Introduction

Healthy employee means a healthier, happier and more productive workplace. One of the most
fundamental employee benefits offered by large organizations to its employees is Medical facilities.
NBP offers a wide range of medical facilities to its employees and their dependents / families.

To provide a better health coverage to in-service employees, retired and separated (GHS/VHS)
employees and their dependents at National Bank of Pakistan, this policy is formulated detailing the
complete coverage and benefits offered.

The authorization matrix and financial powers for Medical Expenses is specified in the Schedule of
Financial Powers approved by the Board of Directors.

NBP Health Benefit Procedural Manual: contains the process/ procedure for policy implementation,
which shall be reviewed periodically every after three years, the same would be approved by
Management Human Resources Committee.

19.2 Purpose

The purpose of this policy is to review the existing medical facility procedure / rules & practices and to
formulate a policy document for ready reference providing clear understanding to all stakeholders.

19.3 Definition

The employees working in the Bank, these would include

1 In Service Employees
regular and contractual employees.

The regular employees who are superannuated after

2 Retired Employees
attaining the age of superannuation.

The regular employees who were separated from the

3 Separated Employees Bank’s services under GHS/VHS schemes and retained
post-retirement Medical Facilities option.

The term ‘family’ would include spouse (wife/ husband)

4 Family
children wholly dependent upon the employee.

5 Dependent parent(s) Real father/mother of the regular serving employees

Complete Permanent An employee, who is unable to perform his /her official

6 Disability (in Service duties or is unfit to perform any kind of job because of
employees) his/her different ability and/or physical condition.

The hospitals which have undergone with the Bank through

a Memorandum of Understanding for extending health care
7 Panel Hospitals
services to the In-service/Retired/Separated (GHS/VSS)
employees of the Bank.

The Hospitals which have not undergone with the Bank

through a Memorandum of Understanding for extending
8 Non-Panel Hospitals
health care services to the In-service/Retired/Separated
employees of the Bank.
 HR Policy Booklet HR Management Group

NBP Panel Hospitals (Pan-Pakistan) negotiated rates,

Bank’s agreed /approved which are agreed between the Bank & Panel Hospitals and
9
rate approved by the Bank’s competent authority (except
Medicines).

Medical facility against listed prolong chronic diseases.

10 Prolong chronic disease In addition to the monthly allowance of cost of medicine and
consultation/lab being paid with salary and pension

19.4 Eligibility

This policy extends medical facilities / treatment to all employee(s) of the Bank including in-service
employees (regular/contractual), regular retired / separated (GHS/VHS) and their dependent family
members, within Pakistan only.

Employees terminated/dismissed/ contract terminated / resigned from bank’s service will not be entitled
to get medical facilities under this policy.

In-Service Employees Retired/Separated (GHS/VHS) Employees

a) Ex-employees (Regular) and their dependents

(family) provided that;
a) All NBP employees and their dependents
(family). i) Executives and Officers retired from the
Bank’s service on or after 01.01.1985 after
b) Employees on deputation with other
completing 25 years’ service or on attaining
organizations/agency are covered under
superannuation age i.e. 60 years.
this policy if medical facilities of the
borrowing organization/agency are not ii) Clerical and Non-Clerical staff retired from
favorable than those offered by NBP. the Bank’s service on or after 01.01.1987
after completing 25 years’ service or on
c) Regular employees are eligible to claim
attaining superannuation age i.e. 60 years.
medical of their parents in case they have
not retained post-retirement medical b) In case of in-service death, medical facilities
facilities option under GHS/VHS. shall be extended to dependents of deceased
employee (regular) having:
d) Employees rehired by the Bank, after
superannuation, shall be entitled to avail i) 15 years of service on or after 01-01-2008.
medical facilities of in-service employees
ii) 25 years of service before 01-01-2008.
until their separation from Bank’s service.
c) Ex-employees (regular) and their dependents in
e) The Parents of Contractual Employees
case of retirement on medical ground having 10
are not eligible under this policy.
years of service on or after 01-01-2008 (on the
basis of complete disability certified by Medical
Board constituted by NBP Medical Committee).
d) Employee(s) who were separated from the
Bank’s service under GHS/VHS schemes and
retained Post-retirement medical facilities.

19.5 Family /Dependents Eligibility Criteria

For the purpose of Medical Facilities, dependents (family) has been defined in the following table
provided that:

i) They are not employed in any institution/organization.

ii) They are not running their own business.

 HR Policy Booklet HR Management Group

iii) They are not availing medical facility from any other institution/organization.

In-Service Employees Retired/Separated Employees (Regular)

a) Spouse(s) as per declaration with lawful a) Spouse(s) as per declaration with lawful
documents. documents (including wife(s) to whom the ex-
employee marries after separation from
b) Unmarried / wholly dependent / disabled or
bank’s service).
differently abled son(s).
c) Unmarried/ divorced/ widowed/ disabled or
b) Unmarried/ wholly dependent son(s) upto the
age of 21 years (differently abled wholly
differently abled daughter(s).
dependent son irrespective of age).
d) Parents of regular employees (including
c) Unmarried/ divorced/ widowed/ differently
female employees even after marriage).
abled retarded daughter(s).
e) Adopted Children of non- Muslim employees,
whose (religion’s) Personal Law recognizes
adoption shall be included in family definition
subject to completion of prescribed legal
formalities for adoption.

19.6 Medical Facilities

The Bank provides following medical facilities to in-service (regular / contractual) and retired/separated
employees (regular) as per their entitlement.

Retired / Separated employees

Benefits In-service employees
(Regular only)

a) Hospitalization facility includes admission in hospitals under supervision

of hospital care for any surgical and non-surgical hospitalization. This
would include both panel hospital and non-panel hospital.
b) Hospitalization facilities are allowed as per (Bank’s) agreed /approved
rates at Bank’s Panel hospitals.
c) In case of emergency, hospitalization bills of non-panel hospitals will be
reimbursed, as per agreed / approved rates of Bank’s panel hospitals.
However, hospitalization bills (Including Non-panel hospital) of In-service
and Retired / Separated Employees in grades of Senior Executive Vice
President and Executive Vice President shall be reimbursed at actual
including dental treatment provided they have exhausted the ceiling paid
through salary/pension (Other than polishing and supply of dentures).
* Hospitalization d) In general, employees are encouraged to visit the panel hospitals for all
hospitalization needs, in case if the panel hospital / treatment is not
available, then employees may visit the non-panel hospitals for medical
facility. In that event the reimbursement would be made based on highest
agreed /approved bank’s panel hospital rate.
e) COVID-19 or any other declared future pandemic at Panel/Non Panel
Hospitals/Treatment from hospital/home is covered subject to approval of
Management Human Resources Committee.
For the purpose of revisions/negotiations of panel hospital rates, the NBP
Medical Committee would recommend its proposal for approval of Group
Chief HRMG.
Updated list of Bank’s approved (panel) Hospitals is available at Staff
Loans & Welfare Wing, HRMG.

Non- All eligible employees and their dependents family members, suffering
Hospitalization with listed prolonged chronic diseases.
Medical Treatment
 HR Policy Booklet HR Management Group

Retired / Separated employees

Benefits In-service employees
(Regular only)
for listed prolong Bank is also offering medical facility against listed prolong chronic
chronic diseases diseases (In addition to the monthly allowance of cost of medicines and
consultation/lab being paid with salary and pension). Only disease related
medicine /consultation / lab test charges will be reimbursed.
Following medical claims shall be reimbursed on account of listed prolong
chronic disease upon submission of treating Doctor/Specialist
prescription:
 OPD/consultation fee upto Rs. 1,500/- per visit per patient (maximum
three claims per year per patient).
 ECG upto Rs. 500/- per visit per patient
 Physiotherapy is allowed upto Rs. 500/- per session per instance for
maximum 90 days as prescribed by specialist / treating doctor.
Reimbursement claims of medicines/consultation/lab tests exceeding Rs.
1,000/- shall require to be countersigned by BMO/CMO (on cash
memo/invoice).
One Supporting medicine locally manufactured up to a maximum of PKR
2,000/- per ailment per treatment as recommended by CMO/BMO.

In-service / retired / separated employees will claim Maternity Charges upto

three children, for normal delivery at home/hospital maximum up to Rs.
Maternity Charges
65,000/- and LSCS (Lower segment cesarean section) Surgery, as per Bank’s
agreed /approved rates.

Cost of OPD Employees are paid Cost of

Retired employees are paid Cost of
Medicines and consultation with
(Outpatient Medicine and Consultation with monthly
salary as per their grade-wise and
Treatment) pension as per rules.
cadre wise entitlement.

Cost of Lab Test / X-Ray, MRI, CT Scan etc. (costing PKR 4,000/- and above
per test / per instance) would be reimbursed subject to submission of treating
*Payment of doctor/ specialist’s prescription.
Expensive
Medical procedure The Bank shall reimburse cost of above medical procedures at actual OR at
Bank’s agreed /approved rates of panel hospital whichever is lower on
production of relevant test/ lab report(s).

*Prior / post hospitalization permission should be obtained from Staff Loans & Welfare Wing, HRMG or
the concerned Regional Office as the case may be.

19.7 Room Entitlement during Hospitalization

Room Entitlement for Employees at Bank’s approved panel hospitals are as under;

Entitlement
Grade
Private with AC Room Private Room

EVP, SEVP  (VIP)

All Officers & Executive up

to SVP 
Clerical / Non-Clerical 
 HR Policy Booklet HR Management Group

19.8 Bank’s approved list of Prolong Chronic Diseases

Banks approved prolong chronic diseases under “listed prolong chronic diseases” are listed below;

Sr. No. Name of Disease Sr. No. Name of Disease

1 Cancer 9 Thyroid

Acquired Immune Deficiency

2 10 Tuberculosis (TB)
Syndrome (AIDS)

3 Epilepsy 11 Asthma

4 Kidney / Renal Failure 12 Osteoarthritis

5 Parkinson 13 Diabetes

Cardiac / Ischemic Heart Disease (IHD) /

6 Hepatitis B 14
Hypertensive (HTN)

7 Hepatitis C 15 Glaucoma (Kala Motia)

8 Paralysis

Any future declared prolong chronic disease will be included/excluded from the list duly supported by
in-house/external doctor opinion subject to approval of Management Human Resources Committee and
will be subsequently informed to BHR&RC for information purpose.

19.9 NBP Medical Committee at Head Office

NBP Medical Committee is a recommending authority constituted by the President, NBP which will
submit its recommendations to the Group Chief, HRMG for approval/decision making. The
Responsibilities / TORs of the NBP Medical Committee are defined in “NBP Health Benefit Procedural
Manual”.

The NBP Medical Committee comprises of following HR officials or equivalent positions:

1 Divisional Head, C&BD, HRMG Chairman

2 Chief Medical Officer (CMO) Member

Divisional Head, ERD or his nominee not below the

3 Member
rank of Wing Head

4 Wing Head, End Service Benefits Operation Member

5 Wing Head, Staff Loans & Welfare Wing Member

6 Senior Welfare Officer (SWO) Member/Secretary

 HR Policy Booklet HR Management Group

19.10 General Guidelines

1. If any employees intend to upgrade the hospitalization facilities beyond his/her entitlement being
provided by the bank during hospitalization on their own choice. The Bank will only reimburse the
amount/cost/expenses as per entitlement determined against Bank’s panel approved rates and the
differential amount shall be borne by the employee concerned.

2. Hospitalization expenses bills other than those on Bank’s approved panel hospital (s) shall be
considered for reimbursement to all Bank’s employees as per maximum Bank’s agreed / approved
rates of panel hospitals for respective procedure/treatment.

3. Hospitalization claims / Bills on reimbursement basis shall be submitted within 45 days of discharge
from hospital.

4. Medical bills of Prolong Chronic Diseases of preceding year claimed on reimbursement basis will
not be entertained after 31st March of every year.

5. Employees are required to submit a declaration / undertaking of their wholly dependent family
members and parents residing with them or other than their place of posting as per policy.

6. Female employees are required to submit a declaration / undertaking of their wholly dependent
husband as per this policy.

7. Bank’s employee who is an ex-serviceman, retired from armed forces or any other organization will
have to submit an undertaking/ certificate that he/she or any of his/her dependent(s) is/are not
availing any kind of medical facility from ex-employer or any other organization.

8. Day Care Expenses involving hospitalization will be covered under the head of “Hospitalization”

9. Any irregularity found in any medical claim(s) of in-service employees shall immediately be reported
to Employee Relations Division, HRM Group to initiate disciplinary action as per Employees
Discipline Policy. In-case of retired employee the bank shall initiate legal action as per applicable
law.

10. The Medical Bills against prolong illness, will be reimbursed on monthly basis on production of
related medical documents. However, employees proceeding on Hajj or Umrah shall be allowed to
purchase medicines in bulk, in advance, up to 3 months and claim reimbursement as special case.

11. All concerned shall be responsible to safeguard the Bank’s interest. Any laxity displayed and
observed will render the subject person/employee liable for appropriate disciplinary action as per
NBP Employee Disciplinary Policy.

19.11 General Exclusions

1. Parents of contractual employees and retired/separated regular employees.

2. Employees hired on retainer-ship basis. Employees terminated / dismissed / vacated from bank’s
service.

3. Local based employees appointed in branches outside Pakistan are not covered under this policy.

4. Pakistan based employees posted abroad. However, the employee and their families residing in
Pakistan will be allowed for health care in Pakistan as per the Bank’s policy.

5. Widow and children of retired/deceased employee, if the widow re-marries or ascertains

employment.
 HR Policy Booklet HR Management Group

6. Retired employees taking employment elsewhere and availing medical facilities from the new
employer as long as he/she is employed.

7. Routine medical examinations or check-ups including charges arising out of any Hospital are not
allowed.

8. Cost of Unlicensed/ Unregistered/ discontinued and prohibited drugs will not be reimbursed.

9. In case of death of a female retired employee, her husband will not be entitled for post-retirement
medical facility

10. Employees whose pensionary benefits were stopped by the Bank. However, Hospitalization and
reimbursement against listed prolong chronic diseases will be allowed.

11. Outside Pakistan Hospitalization Treatment is not allowed.

12. Dental Treatment other than medically required [Excluding EVP and SEVP provided they have
exhausted the ceiling paid through salary/pension (Other than polishing and supply of dentures)],
Cosmetic Surgery other than medically required, diets charges, supply of Spectacles /
Glasses/foldable IOL and Multifocal IOL and surgery like Lasik Eye Surgery, Abdomen plasty,
Infertility treatment, supply of proprietary preparations and substances required for maintaining
general health and nutrition are not allowed under this policy. However, in case of accident
treatment against damage/broken jaws including surgery of general anesthesia shall be admissible.

13. Engagement of nurses, attendants, BP monitors, (at home/residence) are not allowed under this
policy. Ambulance charges are only admissible in case of shifting patient from one hospital to
another referred hospital or on pronouncement of death. The ventilators supply and Oxygen
cylinders is also not allowed at home except COVID-19 isolation.

14. Cosmetic or plastic surgery, unless it is re-constructive surgery necessitated by an injury.

15. Tests or treatment relating to fertility, infertility, contraception or sterilization.

16. Experimental treatment and treatment not approved by FDA-USA

17. The cost of non-medically necessary goods or services including such items as telephone,
television, newspapers or accommodation for the employee’s family.

18. Weight management services and treatment related to weight reduction programs including
treatment of obesity.

19. Air ambulance or evacuation or repatriation expenses.

20. Aviation other than as a fare-paying passenger of a recognized airline or charter service.
 HR Policy Booklet HR Management Group

19.12 Approving Authority

19.12.1 For Employees at Head Office

Recommending Sanctioning / Approving

Heads
Authority Authority

In-charge
a) Permission for Hospitalization. Administration of
Senior Welfare Officer/Wing
b) Permission for Lab Test, MRI and CT concerned Group
Head SL&WW, HRMG
Scan etc. /Division/ Regional
Head / HRBP

Permission for Hospitalization (Over and Chief Medical Officer /

Wing Head SL&WW, HRMG
above one-month period) Senior Welfare Officer

Permission for transplantation of Kidney/ Divisional Head

Sr. HRBP/Concerned
Liver/ Bone marrow and implantation of C&BD/SEVP / Group Chief
Group Chief
life saving devices etc. HRM Group

NBP Medical SEVP / Group Chief HRM

Approval for Enlistment / De-listing of
Committee at Head Group
Hospitals on Bank’s Panel
Office

NBP Medical SEVP / Group Chief HRM

Revision of Rates / Charges of Bank’s
Committee at Head Group
approved panel Hospital(s)
Office

Engagement / Dis-Engagement of BMO’s Concerned NBP Medical Committee at

at Regional Offices HRBP/Regional Head Head Office

19.12.2 For Region based staff

Recommending Sanctioning / Approving

Heads
Authority Authority

Permission for Hospitalization up to one Branch Manager /

month for serving/retired and dependent concerned Regional HRBP / Regional Head
family members HR Business Partners

Regional Head /
Permission for Hospitalization (Over and
concerned Regional HRBP / Regional Head
above one month period)
HR Business Partners

Regional Head /
Permission for Lab Test, MRI and CT
concerned Regional HRBP / Regional Head
Scan etc.
HR Business Partners

19.13 Approving authority for claim reimbursements and payment to hospitals

The approving authority delegation matrix would be followed as per the financial delegation matrix of
the Bank duly approved by President & CEO.
 HR Policy Booklet HR Management Group

19.14 Policy Implementation

Pursuant to the National Bank of Pakistan Byelaws, 2015, the Board of Directors of the Bank shall have
the power to manage, issue general direction and carry out superintendence of the affairs and the
business of the Bank, including those relating to this policy. The enforcement of this policy shall be
subject to the approval of the Board.

The terms of this policy are consistent with the relevant provisions of the Staff Services Rules, 2021
and are to be read in conjunction with the provisions thereof. Unless specified otherwise, this policy
supersedes all previous circulars, notifications and/ or relevant directions on the subject.

This policy has been formulated to update and collate relevant provisions relating to the subject matter
and therefore shall remain binding and enforceable. In the event of any contradiction between this policy
and another existing policy, the provisions of the specific policy shall prevail of the provisions of the
general policy and shall be subject to the final decision of the senior management of the Bank.

The terms of employment of an employee shall be governed in accordance with the relevant applicable
policies of the Bank, as may be amended from time to time.

19.15 Responsibility for Implementation

Staff Loans & Welfare Wing (SL&WW), HRSD, HRM Group, HO, will be responsible for policy circulation
and its implementation.

19.16 Effective Date of Policy Implementation

This health benefit policy will come into force and effect from 11.10.2021.

19.17 Revision of Policy

This health benefit policy shall be subject to review after two (02) years from its effective date.

19.18 Approval

The health benefit policy has been approved by the Board of Directors in its 324 th meeting held on
11.10.2021.
 HR Policy Booklet HR Management Group

Chapter 20 Transfer Policy

20.1 Purpose

In pursuit of its vision to be the nation’s leading bank, the NBP management aims to provide the best
service to its customers, increasing profitability and growth, through the best possible management of
its human resources.

The purpose of the Transfer Policy is to set out clear guidelines for the transfer of employees from one
position / branch / office to another as per organizational requirements. For this policy, transfers are
described as the voluntary or mandated movement of an employee from one position / branch / office
to another under the same or another Group / Division.

Employees may be transferred from their current position and posted to another regardless of the
geographical location/division/group, at the discretion of the management, as and when required.

20.1.1 Scope of Transfer Policy

The Transfer Policy will be applicable on all Regular and Contractual employees (unless their contract
states otherwise), including those on deputation, overseas postings, and attachment with other
organizations and local based overseas employees.

20.1.2 Types of Transfer

Employees shall be subject to two types of transfers:

1. Permanent Transfers

Employee transfers, at any level, from one place of posting to another either through job rotation,
internal placements or normal transfers due to exigencies of services and / or organizational needs will
be considered as permanent transfers. Employees transferring permanently will be entitled to benefits
under NBP’s travel policy, except those who have been transferred by selection against internal
placement.

2. Short Term Transfers

Any employee transferring, at any level, from one place of posting to another for a defined time period
due to any exigency or immediate need will be considered as a short term transfer. Short Term transfers
/ postings can be made in exigencies under approval from respective authority(s) for a period not
exceeding 90 days.

20.1.3 Transfers on Employee Request

Employees may request for a transfer from one place of posting to another on personal grounds pending
approval from the management, such as:

i) Personal illness or major ailment of spouse / child / parent(s) who need medical treatment which is
available at a specific location;

ii) Employee being sole bread earner for his / her parent(s) who are living separately;

iii) Employee who is out of his/ her hometown and has attained the age of 58 years, may opt for
hometown transfer, provided such employee has completed minimum 1-year service out of his/ her
hometown at the time of seeking transfer to hometown under this clause;
 HR Policy Booklet HR Management Group

iv) Employee seeking transfer to his / her place of domicile, provided the employee has completed
minimum 3 years of service with NBP;

v) Employee feels that he/ she shall be able to perform better at his/ her desired position due to
personal reasons;

vi) Any other exigency / compassionate based employee transfer request.

Request for mutual transfer of two employees would require the recommendations of both concerned
Offices / Regions / Groups.

Employees can request for transfer (under Wedlock Policy of the Government of Pakistan) to a place
where their spouse is residing / posted or as near as possible. Posting of un-married female employees
shall be made where her parent(s) are residing / posted or as near as possible subject to availability of
suitable position / vacancy / competency.

20.1.4 Conditions for transfer on Employee Request

a) Transfer against employee request will be considered at the discretion of the Bank as per merit of
the case.

b) Transfer requests of employees who have been inducted in batches like GBO, CO and TO etc. will
not be considered. However, their transfer / posting may be processed timely at the Bank’s
discretion.

c) Employees who are transferred on request will not be entitled for any TA / DA, Transfer Grant, etc.

d) Request for transfer of employee will not ordinarily be considered if there is a pending case / inquiry,
as per Employee Disciplinary Policy (EDP), against the concerned employee. However, such
request can be entertained subject to permission from the concerned Office and the Employee
Relations Division, HRMG.

e) Minimum length of service at a position before an employee request is considered is two years.
This may be subject to exception, where the request may be entertained on permission from HRMG.
This is separate from the request of transfer on the basis of transfer to place of domicile / hometown.

20.1.5 Transfer on Internal Placements

Employees can apply for positions advertised through Internal Placement Circular(s) issued by the
Human Resource Management Group. All transfers made against successful internal placements will
be governed by the current Recruitment Policy.

20.1.6 Acting/Officiation/Additional Charge

1. Acting and Officiating Charge

Acting charge can be given to an executive / officer pursuant to leave and officiating charge can be
given to an executive / officer pursuant to resignation / removal / separation / transfer or any other
exigency of an official.
 HR Policy Booklet HR Management Group

2. Additional Charge

Additional charge can be given to an executive / officer pursuant to leave / resignation / removal /
separation / transfer or any other exigency of an official. Such official will perform the duties of the
position in addition to his / her own assignment.

3. Conditions for Acting / Officiating & Additional Charge

For all Employees:

a) The incumbent will draw his / her usual salary & allowances.

b) The incumbent shall also exercise financial & administrative powers of the position with approval of
the concerned authority.

Additional Conditions for Employees on Key Positions:

a) Positions for ‘Key Executives’ shall not be filled on acting / officiating / additional charge basis for
more than three (3) months.

c) The Fit and Propriety Test (FPT) for the positions of ‘Key Executives’ to be made in line with SBP
guidelines issued from time to time.

20.1.7 Conditions for Employee Transfers

a) It will be the joint responsibility of relieving and joining officials as well as immediate supervisor /
supervising manager to ensure proper handing / taking over (in writing) of all related documents,
records, information, data (available in soft copies and/ or hard copies), cash, security documents,
etc. before issuance of relieving orders. The handing / taking over should be counter signed by the
immediate supervisor and will be kept on record. The relieving branch / office will also ensure to
arrange blockage of employee email / ID (user account) / change of password through Bank’s I.T
department, if required.

b) In case of outside city transfers, joining time after release should not exceed five (5) calendar days
excluding journey days. However, for transfers within the city, the employee should join the office
on next working day after release from current office.

c) Transfer of employees found guilty in disciplinary / fraud & forgery cases will be governed by EDP.

d) Employees’ close relatives’ / blood relatives / spouse will not be posted at same Branch /
Department / Wing / Division / having reporting line into each other.

e) Transfer orders which remain unimplemented for 3 months from the date of issuance will stand
cancelled. However, the concerned Office(s) should submit proper justification to transferring
authority for non-implementation.

f) Written consent of both Offices involved in transfer of employees will be obtained by HRMG before
issuance of transfer orders. Once the respective offices have given their consent, it will be their
responsibility to implement the transfer order within the given timeline.

g) Employees posted at Aitemaad Islamic Banking Group (AIBG) will not be transferred to
conventional banking without consent of Group Chief AIBG and vice versa.

h) Request for payment of Transfer Grant will be processed as per the Travel Rules policy.

i) All the transfers will be governed by bank’s rules and processes.

 HR Policy Booklet HR Management Group

j) All the employees being transferred under this policy will be assessed against suitable competency,
skills, and education (if available).

k) Minimum length of service at a position for all transfers under this policy will be 2 years. This may
be subject to exception based on Management’s discretion.

20.1.8 Authority Matrix-Issuance of Transfer Orders

a) All Transfer orders (within Group / Division and Region) will be issued as below:

i) For all grades, Transfer orders will be issued by the HR Governance Division, HRMG in
coordination with the respective Group.

ii) Approval for the transfer will be given by the respective Group Chief / Division Head / Regional
Heads, with endorsement from the Group Chief, HRMG.

b) All Transfer orders (outside the Group / Division and Region) will be issued as below:

i) For all grades, Transfer orders will be issued by the HR Governance Division, HRMG in
coordination with both Groups (the respective Group releasing the employee and the respective
Group receiving the employee).

ii) Approval for the transfer will be given by the respective Group Chiefs / Division Heads (the
respective Group releasing the employee and the respective Group receiving the employee),
with endorsement from the Group Chief, HRMG.

c) All Regions will ensure real time update of transfer orders in System Application Programs – Human
Capital Management (SAP-HCM). HR Governance Division, HRMG will be responsible to ensure
that all transfer orders are updated in SAP-HCM.

d) Approvals for all transfers (whether Head Office or Regions) should also be endorsed by HRMG.
HRMG needs to ensure that transfer policy is met for all cases that are being recommended.
Transfers should only be presented for approval after the sign off from HRMG. The authority with
regards to recommending transfers of employees and approval of transfer orders are given below.

Head Office
Transfer Recommending Transfer Approving
Grades / Positions
Authority Authority

1 2 3

Group Chiefs / Divisional Heads – Board of Directors &

President
SEVPs & EVPs (Direct Reports) Relevant Board Committee

Concerned Group Chief / Head

EVPs & SVPs and President
Group Chief / Head - HRMG

All other Staff of Group / Divisions Concerned Supervising / Group Chief HRMG /
(including those posted at Regions / field Manager/ Concerned Group Head of HRGD (through
offices on HO strength having direct Chief / Head / Lead HR Business powers delegated to DH
reporting line) Partner HRGD)
 HR Policy Booklet HR Management Group

Regional Offices / Branches

Transfer Recommending
Grade / Positions Transfer Approving Authority
Authority

1 2 3

Concerned Group Chief /

Regional Heads Head and Group Chief - President
HRMG

Concerned Regional Group Chief HRMG / Head of

Chief Branch Managers / Branch
Head/ Concerned Group HRGD (through powers
Managers / Operations Managers
Chief / Head / Lead HRBP delegated to DH HRGD)

Concerned Supervising
Group Chief HRMG / Head of
Manager/ Concerned
Regional Executives HRGD (through powers
Group Chief / Head / Lead
delegated to DH HRGD)
HRBP/

All other Staff Concerned Supervising

Manager/ Concerned Group Chief HRMG / Head of
(excluding RMTs and those posted at HRGD (through powers
Head
Regions / field offices on HO delegated to DH HRGD)
strength) Regional / Lead HRBP

Transfer/posting of all the union staff shall be dealt by ERD, HRMG.

20.1.9 General Guidelines for Employees’ Transfer

a) Employees under transfer / rotation will not be relieved between 15th June to 15th July and 15th
December to 15th January of the year for smooth half yearly and annual closing. However, an
exception for those employees, who are not involved in business transactions or year-end
processing, can be made and should be approved by the HRMG and concerned Departmental
Heads.

b) Temporary transfer can be made in-case of exigencies and on administrative grounds with approval
of the concerned authority.

c) The relieving period for transfers from one place of posting to another will be up to maximum 2
weeks, excluding any public holidays, after receipt of transfer orders to ensure smooth and proper
handing / taking over.

d) For the purpose of relieving time, the period between 15th June to 15th July and 15th December to
15th January (half yearly and annual closing) will not be counted towards 15 days relieving period
stipulated for implementation of transfer orders.

e) No employee shall influence the BoD / President / Senior Management of the bank for his / her
transfer / posting. Such employees’ acts will warrant initiation of disciplinary action in accordance
with Employee Discipline Policy in vogue.

f) Contractual employees appointed for specific tasks / fields will not be transferred elsewhere (unless
their contract states otherwise). However, Management may exercise its discretion for utilization of
their services in other areas, if required.
 HR Policy Booklet HR Management Group

g) All cases of unauthorized absence, on account of non-compliance of transfer orders should be

referred to HRMG with definite recommendations for final decision.

h) Transfer Orders will not be issued for newly inducted employees during their probation or on job
training without approval of HRMG.

i) Employees over 59 years of age will be exempted from out of Region transfers unless their transfer
is required due to specific reasons.

j) Performance Appraisal and setting new goals / KPIs of transferred employees will be carried out as
per the Performance Management Policy.

k) In case an employee refuses to accept the transfer order, it will be discussed with the HR Business
Partner as laid out in the Grievance Policy.

l) Employees who are persons with different abilities or carer of persons with different abilities who
are dependents of such carers may either be exempted from this policy by the relevant competent
authority or be transferred to nearby locations of existing posting / hometown. The term
‘dependents’ shall have the meaning as ascribed to such term in NBP’s Job Rotation Policy.

20.2 Policy Implementation

Pursuant to the National Bank of Pakistan Byelaws, 2015, the Board of Directors of the Bank shall have
the power to manage, issue general direction and carry out superintendence of the affairs and the
business of the Bank, including those relating to this policy. The enforcement of this policy shall be
subject to the approval of the Board.

The terms of this policy are consistent with the relevant provisions of the NBP Staff Services Rules,
2021 and are to be read in conjunction with the provisions thereof. Unless specified otherwise, this
policy supersedes all previous circulars, notifications and/ or relevant directions on the subject.

This policy has been formulated to update and collate relevant provisions relating to the subject matter
and therefore shall remain binding and enforceable. In the event of any contradiction between this policy
and another existing policy, the provisions of the specific policy shall prevail of the provisions of the
general policy and shall be subject to the final decision of the senior management of the Bank.

The terms of employment of an employee shall be governed in accordance with the relevant applicable
policies of the Bank, as may be amended from time to time.

20.2.1 Effective Date of Policy Implementation

This Transfer Policy will come into force and effect with immediate effect

20.2.2 Revision of Policy

This transfer Policy will be reviewed after 03 years from the date it comes into force.

20.2.3 Approval

The transfer Policy has been approved by the Board of Directors in its 324 th meeting held on October
11, 2021.
 HR Policy Booklet HR Management Group

Chapter 21 Separation and End of Service Benefits

1.0. Purpose

The purpose of the Policy is to ensure a detailed administrative process that needs to be
completed when the employee ceases to be in employment with the Bank due to any reason
including but not limited to resignation, termination, retirement, death, dismissal and expiry
of contract, to highlight an End of Service Benefits plan for NBP employees at different stages.

2.0. Scope

The Separation Policy shall be applicable to all regular and contractual employees.

3.0. Types of Separation

Following are the types of Separation:

1. Termination
a. Termination Simplicitor
b. Termination on misconduct/grounds
2. Resignation
3. Retirement
a. Superannuation
b. On Medical Grounds
c. Option to retire
d. Compulsory Retirement
4. In Service Death
5. Dismissal
6. Expiry of Contract

3.1. Termination

Termination of services from the Bank may be based on the following:

 Termination Simplicitor: The absolute right of the Bank to terminate the employment in accordance
with the rules/contract clauses without assigning a reason. It shall be incumbent upon the competent
authority to give the employee three months’ notice in writing or payment in lieu thereof as per the
notice period policy of the Bank defined below.

 Termination on Misconduct/Grounds: The termination of employment with assignment of reason

which would be governed through the employee disciplinary policy.

The competent authority may, however, allow at its sole discretion, any or all of the benefits
ordinarily admissible on retirement from service to an employee whose services have been
terminated, except in cases where employee is involved in frauds, forgeries,
 HR Policy Booklet HR Management Group

misappropriation, defalcation, causing any other financial loss to the Bank or prolonged
absence without leave.
Services of regular employees on probation may be terminated at any time during period of
probation without any notice or pay in lieu of notice.

3.2. Resignation

Resignation is a voluntary act initiated by the employee to terminate employment with the
Bank.

When an employee submits a resignation, an exit interview will be conducted by HRMG and
the Manager/ Head of concerned Department/ Division/ Group.

Upon the acceptance of resignation by the competent authority, HRMG will issue the "letter
of acceptance of resignation" to the concerned employee with his/her last working date.

All other financial/ administrative tasks assigned to employee are shifted through process of
handing/ taking over of the charge of duties.

3.3. Retirement

An employee may retire from the Bank for multiple reasons which include but may not be
limited to:

1. Superannuation
Every regular employee shall retire from service upon completion of the sixtieth (60) year of
his/her age. Or;

on such date after he has completed twenty-five years of service as the competent authority
may, in the interest of the Bank and for reasons to be recorded in writing in each case, directs.

2. On Medical Grounds
Retirement on Medical grounds is issued when a medical condition is severe enough to
interfere with the proper performance of the job.

Any employee who is declared unfit for further service by a Medical board constituted by the
Bank for the purpose, either at the request of the employee or at the instance of the Bank,
may be retired from Bank’s service by the competent authority.

3. Compulsory Retirement
An employee may be retired compulsorily as a measure of punishment.

4. Option to Retire
A regular employee may retire at his/her option after completion of 25 years of continuous
service in Bank for any reason which may be treated as Optional Retirement and the
admissible benefits shall be payable to him as per Bank’s Policy.
 HR Policy Booklet HR Management Group

The Bank’s management may, at its discretion, re-employ an employee after his retirement
on contractual basis for a defined period with the approval of the competent authority.

3.4 In-service Death

Employees’ deceased during the service period with the Bank will be considered as a
separation from In-Service Death. In the case of death, Rs. 100,000/- is also payable to all
categories of regular employees to cover funeral expenses.

3.5. Dismissal

The Bank has the right of dismissing an employee without any notice period after giving him/
her opportunity to show cause and explain his/ her position, if he/ she is found guilty of
misconduct as per NBP Employee Discipline Policy and NBP Code of Conduct Policy.

3.6. Expiry of Contract

When an employment contract term comes to an end, the employee and employer relation
unless renewed or extended by the employer will stand terminated.

4.0. General Guidelines

To ensure that employees are not subject to arbitrary or discriminatory practices, all cases of
employee separation must be carefully assessed before being executed. The concerned
Manager/ Wing/ Division/ Group Head are responsible for ensuring the safety of confidential
information, return of bank’s documents and for assuring a smooth transition of duties to a
new employee when an employee resigns, retires or is involuntarily terminated.

The concerned staff management authority should ensure that:

 Bank Assets/ Computer/ other IT related equipment’s and data access are revoked and data is stored
as per Bank policy.
 Electronic key cards and other keys pertaining to Branch/ Wing/ Group/ other office assets are
properly returned with proper existence of the material.

4.1. Handing over/ taking over document

All managers and supervisors at Bank level will ensure the handing/ taking over of
responsibilities in writing from incoming and outgoing officers is completed and signed by
both the officiating/incoming and outgoing officers with a copy to be submitted to HRMG.

5.0. Notice Period and its Treatment

The notice period will be as follows:

 HR Policy Booklet HR Management Group

Regular Contractual
Executives (AVP and above) Three Months’ Notice Period
Officers Three Months’ Notice Period
Clerical / Non-Clerical One Month’s Notice Period Three Months’ Notice Period

The notice period pay will be the sum of following pay components:

Regular Contractual
Basic
Basic House Rent
Utilities

The employee may request for waiver of remaining notice period in case of resignation. The
competent authority for waiver of notice period will be as follows:

Grade Competent Authority

Internal HR Committee subject to recommendation of
EVP and Above
respective Group Chief/Line Manager
SVP and Below Respective Group Chief and Group Chief HRMG

In case waiver is granted the employee will not serve the remaining notice period or pay the
Bank amount in lieu of his/her remaining notice period.

The Bank would pay the notice period amount to the employee in lieu of its notice period in
case the employee resigns and is serving the notice period and the management does not
want the employee to serve the notice period.

The employee will serve the Bank till the last working date approved by the Bank and the
employee will be paid normal salary through payroll till his/her last working date in case the
employee resigns and serves the notice period and management approves serving the notice
period.

The employee would be required to pay the notice period amount to the Bank in lieu of its
notice period in case the employee resigns and does not want to serve the notice period and
management wants the employee to serve notice period. In such cases the employee will
have to submit proper handing over taking over and complete appropriate formalities prior
to separation from the Bank.

While the competent authority may waive or reduce the amount in lieu of Notice Period at
its sole discretion in special cases, the un-availed leaves may be considered for waiver.

During the notice period, the leaves may be availed by the employees under emergent
situations and after approval from the respective Group Chief.
In case of termination simplicitor, the employee will be paid with remaining notice period
amount. Notice period treatment in the case of dismissal and termination on grounds/cause
will be dealt through Employee Disciplinary Policy.
 HR Policy Booklet HR Management Group

No notice period will be required in case of expiry of contract, retired and deceased
employees.

All these terms and conditions of notice period would prevail and supersede all the existing
employment contracts.

6.0 Pensionary Benefits

Pensionary benefits payable to the retired / separated employees as per their eligibility are
as under:

 Pension, Commutation and Gratuity

 Benevolent Grant
 Cost of Consultation
 Cost of Medicine

6.1. Pension, Commutation & Gratuity

Pension coverage has been divided into two categories for regular employees only, based on
years of service before end of service with NBP.

a. The Commutation / Gratuity & monthly Pension (For Service Period above 10 years).
b. For Service Period above 05 years but below 10 Years

EXECUTIVES
Particulars On Retirement In Service Death
Gross Pension (G.P) = Basic/2
Gratuity = 1/4 G.P x 12 x Rate of Age
Gross Pension (G.P) = Basic/2
Commutation / Gratuity Monthly Family Pension: Gross
Commutation = 1/2 G.P x 12 x Rate
& monthly Pension (For Pension/2
of Age
Service Period above 10 (Widow(s), Son till attains the age of
Monthly Pension: Gross Pension/2
years) 21 and elder unmarried daughter is
entitled to Pensionary Benefits till
marriage
Gratuity (For Service
Sum of one basic for each Sum of 1½ basic for each qualifying
Period above 05 years
qualifying year year
but below 10 Years)
OFFICERS
On Retirement In Service Death
Gross Pension (G.P) = Basic / 2
Gross Pension (G.P) = Basic / 2
Commutation / Gratuity Gratuity = 1/4 G.P x 12 x Rate of Age
Commutation = 1/2 G.P x 12 x Rate
& monthly Pension (For Monthly Family Pension: Gross
of Age
Service Period above 10 Pension/2
Monthly Pension = Gross Pension /
years) (Widow(s), Son till attains the age of
2
21 and Elder unmarried Daughter is
 HR Policy Booklet HR Management Group

entitled to Pensionary Benefits till

marriage
Gratuity (For Service
Sum of one basic for each Sum of 1½ basic for each qualifying
Period above 05 years
qualifying year. year.
but below 10 Years)
CLERICAL / NON-CLERICAL
On Retirement In Service Death
Gross Pension (G.P) = Basic / 2
Gratuity =1/4 G.P x 12 x Rate of Age
Gross Pension (G.P) = Basic / 2
Commutation / Gratuity Monthly Family Pension: Gross
Commutation = 1/2 G.P x 12 x Rate
& monthly Pension (For Pension/2
of Age
Service Period above 10 (Widow(s), Son till attains the age of
Monthly Pension = Gross Pension /
years) 21 and elder unmarried daughter is
2
entitled to Pensionary Benefits till
marriage
Gratuity (For Service
Sum of one basic for each Sum of 1½ basic for each qualifying
Period above 05 years
qualifying year year
but below 10 Years)

The employees on contract are eligible for gratuity upon completion of first contract term
period.

Employees who are rehired after attaining the age of superannuation will not be eligible for
gratuity in this policy under employment on contract (Rehired period). The gratuity for
employees on contract would be calculated as last drawn one months’ following pay
emolument for each year of service with the Bank:

 Basic Salary
 House Rent Allowance
 Utilities Allowance

If an employee has not completed the minimum service of contract period even by one day,
he is not eligible for payment of Gratuity. However, if an employee put in service beyond
completed service period & he/she has served six (06) months or more in his / her last year
of service, then that year can be treated full year for payment of Gratuity.

Gratuity is admissible to regular staff on resignation from Bank’s service. Resignation cases of
regular employee shall now be considered on the below mentioned eligibility criteria;

Eligibility after minimum 5 years of completed service till upon attaining eligibility of pension.
The formula of gratuity calculation under resignation of regular staff is as follows:
Last drawn (Basic pay + House Rent Allowance + Utility Allowance) X No of completed year of service. Upon 25th
year of completed service they will be eligible for pension only as per applicable rules.

Gratuity in case of death of employee will be paid to legal heirs.

6.2 Benevolent Grant

 HR Policy Booklet HR Management Group

An amount is payable as Benevolent Fund Grant to regular employees on the conditions listed
in the table below.

EXECUTIVES
On Retirement In Service Death
In case if employee passes away before
On attaining the age of superannuation =
attaining 70 years age, the spouse is entitled for
entitled for 10 years
lifetime
In case of legal heirs / nominee = 15 years or up
Medical Grounds: For life
to the date on which the employee would have,
Optional Retirement = 15 years or up to age of
if she/he were alive and attained the age of 70
70 years whichever is earlier
years whichever is earlier

OFFICERS
On Retirement In Service Death
In case if Employee passes away before
On attaining the age of superannuation =
attaining 70 years age, the spouse is entitled
entitled for 10 years
for lifetime
In case of legal heirs / nominee = 15 years or
Optional Retirement = 15 years or up to age up to the date on which the employee
of 70 years whichever is earlier would have, if she/he were alive attained
the age of 70 years whichever is earlier

CLERICAL / NON-CLERICAL
On Retirement In Service Death
On attaining the age of superannuation = 5
In case of spouse / legal heirs / nominee = 10
years.
years or up to the date on which the employee
Optional Retirement (25 years’ service) = 10
would have, if she/he were alive attained the
years or up to age of 65 years whichever is
age of 65 years whichever is earlier
earlier.

6.3 Medical

Medical coverage is provided to NBP’s retired regular employees by way of monthly payment
of medical ceiling containing cost of medicine & consultation along with the monthly pension.
The annual ceiling amount is calculated as in the tables below for each category:

EXECUTIVES
On Retirement In service death
Medicine Gross Pension x 1.43 Gross Pension x 1.43
Consultation Gross Pension x 1.43 Gross Pension x 1.43

OFFICERS
On Retirement In service death
Medicine Gross Pension x 1.43 Gross Pension x 1.43
 HR Policy Booklet HR Management Group

Consultation Gross Pension x 1.43 Gross Pension x 1.43

CLERICAL / NON-CLERICAL
On Retirement In service death
Medicine (Clerical= 2 G.P) (N.Clerc = 3 G.P) (Clerical= 2 G.P) (N.Clerc = 3 G.P)
Consultation (Clerical= 1 G.P) (N.Clerc= 1.5G.P) (Clerical= 1 G.P) (N. Clerc= 1.5G.P)

7.0 End Service Benefits

End service benefits payable to the retired / separated employees as per their eligibility are
as under (subject to adjustment of applicable income tax, recovery of outstanding
loans/liabilities/ dead stock items etc., if any):

 Provident Fund Refund

 Broken days Salary
 Leave encashment in lieu of LPR
 Post-Retirement Benefit
 Gratuity
 Notice Period Salary

7.1 Provident Fund Refund

The PF Balance inclusive up to date profit as on retirement / separation date of a regular

employee(s) to be refunded.

7.2 Broken days salary

The employee serves the Bank till the last working date as per their retirement / separation
from the Bank’s service and his normal salary has been paid through payroll till his last
completed month. Unpaid salary for his incomplete month will be paid as broken days’ salary.
For example: if an employee retires / separates from the bank service on 15 th March and his
normal salary for the month of February has been paid, then he is entitled for 15 days salary
for the month of March until which he has served the Bank.

7.3 Leave Encashment

NBP provides encashment of leave in lieu of LPR as an added benefit for regular employees
as a gratitude for their consistency in service. The following conditions apply to determine the
value of leave encashment:
a. An employee will be entitled to avail Leave preparatory to retirement or avail encashment of
Leave Preparatory to Retirement on attaining the age of superannuation or on completion of
30 years qualifying service.
b. The amount of leave encashment would be 50% of the leave balance which shall not exceed
180 days.
1. An employee is not allowed any privilege leave during LPR period except entitlement i.e. for
performing Hajj, Ziarat or severe case of illness supported by medical certificate.
 HR Policy Booklet HR Management Group

2. If an employee has availed privilege leaves during LPR period other than his entitlement (as mentioned
above) the numbers of leave days will be deducted from his approved days for payment of his
encashment period.
c. In case an employee dies in service, lump sum payment equal to full pay up to 180 days out of the
leave at his credit shall be made to his family as defined for the purpose of family pension.

EXECUTIVES
On Retirement In Service Death
Basic Basic
House Rent House Rent
Utilities Utilities
Petrol Ceiling Petrol Ceiling
Cost of Medicine Cost of Medicine
Cost of Consultation Cost of Consultation

OFFICERS
On Retirement In Service Death
Basic Basic
House Rent House Rent
Conveyance Allowance Conveyance Allowance

CLERICAL / NON-CLERICAL
On Retirement In Service Death
Basic Basic
House Rent House Rent

7.4 Post-Retirement Benefits

NBP offers its regular employees Post Retirement Benefits as a sign of respect and gratitude
for a lifetime worth of service. These benefits are only applicable at Executive level.

EXECUTIVES
On Retirement In service death
Six months House Rent Six months House Rent
Six months Utility Allowance Six months Utility Allowance
Six months Conveyance Allowance Six months Conveyance Allowance
Six months Security Guard (EVP & above) Six months Security Guard (EVP & above)

8.0 Group Insurance

NBP’s Regular & Contractual Employees are covered for:

 Group Life Insurance where premium is borne by the employee

 Group P.F. Insurance (For Regular Employees only) where premium is borne by the bank
 Group Insurance Staff Finance premium to be borne by the bank
 HR Policy Booklet HR Management Group

Payment of Group Insurance Life on death during service OR up to the Age of 65 years after
retirement on superannuation
Grade Life Insurance Group PF Insurance
SEVP Rs. 10,000,000 Rs. 500,000
EVP Rs. 5,000,000 Rs. 500,000
SVP Rs. 5,000,000 Rs. 400,000
VP Rs. 2,500,000 Rs. 400,000
AVP Rs. 2,000,000 Rs. 300,000
Officer Grade I Rs. 1,500,000 Rs. 300,000
Officer Grade II Rs. 1,500,000 Rs. 200,000
Officer Grade III Rs. 1,500,000 Rs. 200,000
Clerical Rs. 1,000,000 Rs. 100,000
Non-Clerical Rs. 500,000 Rs. 100,000

8.1 Payment Procedure

In case of death of an employee, the sum assured shall be payable in the manner in which he
/ she may have indicated in his / her nomination. If nomination has not been made prior to
death, funds shall be paid to legal heir(s).

9.0. Policy Implementation

Pursuant to the National Bank of Pakistan Byelaws, 2015, the Board of Directors of the Bank
shall have the power to manage, issue general direction and carry out superintendence of the
affairs and the business of the Bank, including those relating to this policy. The enforcement
of this policy shall be subject to the approval of the Board.

The terms of this policy are consistent with the relevant provisions of the Staff Services Rules,
2021 and are to be read in conjunction with the provisions thereof. Unless specified
otherwise, this policy supersedes all previous circulars, notifications and/ or relevant
directions on the subject.

This policy has been formulated to update and collate relevant provisions relating to the
subject matter and therefore shall remain binding and enforceable. In the event of any
contradiction between this policy and another existing policy, the provisions of the specific
policy shall prevail of the provisions of the general policy and shall be subject to the final
decision of the senior management of the Bank.
The terms of employment of an employee shall be governed in accordance with the relevant
applicable policies of the Bank, as may be amended from time to time.

10.0. Effective Date of Policy Implementation

This policy will come into force and effect from October 11, 2021.

11.0. Revision of Policy

 HR Policy Booklet HR Management Group

This policy shall be subject to review after two (02) years from its effective date.

12.0. Approval

The policy has been approved by the Board of Directors in its 324 th meeting held on October
11, 2021.

Policy Administration

Group HR Management Group

Last Review
Next Review Due __________________
Effective Date __________________