Compensation Policy
OBJECTIVE:
To provide for a uniform, stable and reasonably competitive compensation structure for all employees.
GRADES & DESIGNATIONS
To rationalise the compensation policy, positions are classified into grades. The grades and respective designations are as below:
| GRADE | DESIGNATION |
| Executives | M.D, C.O.O, President, Sr. V.P, V.P |
| M-10 | Sr. General Manager |
| M-9 | General Manager |
| M-8 | Dy. General Manager |
| M-7 | Sr. Manager |
| M-6 | Manager |
| M-5 | Dy. Manager |
| M-4 | Asst. Manager |
| M-3 | Executive |
| M-2 | Sr. Officer |
| M-1 | Officer |
| GET | Graduate Engineer Trainee |
| Tr. Officers | Trainee Officers |
BASIC SCALE
The basic scale would be as per the terms of employment and revisions from time to time.
| Grade | Designation | Basic Pay Structure |
| M-1 | Officer | 2000-125-2125-125-2250-125-2375-125-2500-125-2625-125-2750-125-2875- - - |
| M-2 | Sr. Officer | 3000-175-3175-175-3350-175-3525-175-3700-175-3875-175-4050-175-4225- - - |
| M-3 | Executive | 4000-225-4225-225-4450-225-4675-225-4900-225-5125-225-5350-225-5575- - - |
| M-4 | Asst. Manager | 5000-275-5550-275-5825-275-6100-275-6375-275-6650-275-6925-275- - - |
| M-5 | Dy. Manager | 6000-325-6325-6650-325-6975-325-7300-325-7625-325-7950-325- - - |
| M-6 | Manager | 9000-375-9375-375-9750-375-10125-375-10500-375-10875-375-11250- - - |
| M-7 | Sr. Manager | 11275-425-11700-425-12125-425-12550-425-12975-425-13400- - - |
| M-8 | Dy. General Manager | 15000-500-15500-500-16000-500-16500-500-17000-500-17500- - - |
| M-9 | General Manager | 17000-600-17600-600-18200-600-18800-600-19400-600-20000-600- - - |
| M-10 | Sr. General Manager | 24000-700-24700-700-25400-700-26100-700-26800-700-27500- - - |
HOUSE RENT ALLOWANCE
Management Staff not provided with any type of Company Accommodation i.e either company owned or leased, will be paid House Rent Allowance at 40% of Basic Salary.
CONVEYANCE ALLOWANCE
Management staff not provided with Company Car will be paid conveyance allowance as follows:
| Grades | Allowance (Rs. per month) |
| M-1 to M-4 | 500 |
| M-5 | 800 |
| M-6 | 1500 |
| M-7 | 2000 |
| M-8 | 2500 |
| M-9 to M-10 | 3000 |
EDUCATION ALLOWANCE
Management Staff will be entitled to Education Allowance as follows:
| Grades | Allowance (Rs. per month) |
| M-1 to M-10 | Rs.200/- |
MEDICAL ALLOWANCE
Management staff will be paid Medical allowance @ 8.33% of Basic Salary per month.
LEAVE TRAVEL ASSISTANCE
Eligibility
· Management staff will be entitled to LTA on completion of one year of service subject to confirmation of services. However, pro-rata LTA will be paid at the time of F&F even if 1 year is not completed.
· LTA will be calculated on a calendar year basis (i.e. January to December every year.) and on pro-rata basis for the part of the year.
Quantum Of LTA
The LTA will be paid at the rate of one month’s Basic salary per year.
For claiming LTA with Tax Deduction at Source
· No leave will be required for claiming LTA with tax deduction.
· An application to be made to HR Department for claiming LTA in the prescribed format.
For claiming LTA to avail Income Tax Exemption
· A minimum of six days Leave should be availed for claiming LTA.
· LTA should be claimed in the prescribed form.
· Approval of Leave must be attached at the time of claiming LTA.
· Any two journeys (LTA) can be claimed for tax exemption in a block of four years beginning from January 2002. LTA for self and family is admissible for tax exemption.
Definition Of “Block Of Four Years”
Under the present Income Tax Rules, a period of four calendar years beginning from the Year 2002 to 2005 has been defined as a block of four years during which you may avail LTA twice and avail tax exemption.
Definition Of A Family
Family includes:
· The spouse and children of an individual; and
· The parents, brothers and sisters of an individual or any of them, wholly or mainly dependent on the individual
Quantum Of Exemption Under The IT Act
Quantum of Exemption – The amount of LTA for self and family permissible under the Income Tax Act for exemption is as follows:
· For journeys performed by Air: Economy fare of Indian Airlines by the shortest route to the place of destination.
· For journeys performed by Rail: Air–conditioned first class rail fare by the shortest route to the place of destination.
· For journeys performed by Road: The amount equivalent to Air–conditioned first class rail fare, for the distance of journey by the shortest route, as if the journey had been performed by rail.
Documents Required For Claiming Exemption
The following documents must be produced along with the prescribed LTA claim form:
| Mode of travel | Documents |
| Rail | Photocopies of railway tickets |
| Air | Original Jacket of used tickets |
| Road | By own vehicle: Petrol bills |
| By hired car: · Bill of the Operator · Proof indicating the places visited |
Advance For LTA
An advance for LTA can be availed for booking tickets by making an application to HR Dept together with a copy of the approved leave application. The advance will be paid up to 70% of entitlement. The balance amount shall be paid on production of travel tickets within seven days of completion of the journey, failing which the advance will be recovered from the salary.
Accumulation Of LTA
Accumulation of unavailed LTA is allowed upto two years within the block of four years specified under the Income Tax Rules. However, the fourth year’s LTA cannot be carried forward to the next block for accumulation purposes. The current block is for the period of calendar year 2002-2005.
TELEPHONE ALLOWANCE
Telephone Allowance will be paid as under:
| Grades | Allowance (Rs. per month) |
| M-1 | 200 |
| M-2 | 300 |
| M-3 | 400 |
| M-4 | 500 |
| M-5 | 600 |
| M-6 | 800 |
| M-7 | 1000 |
| M-8 | 1200 |
| M-9 to M-10 | 1500 |
SOFT FURNISHING ALLOWANCE
Soft Furnishing Allowance will be paid as under:
| Grades | Allowance (Rs. per month) |
| M-1 to M-2 | 200 |
| M-3 | 400 |
| M-4 to M-5 | 600 |
| M-6 to M-7 | 800 |
| M-8 to M-10 | 1000 |
BOOKS & PERIODICALS ALLOWANCE
Books & Periodicals Allowance will be paid as under:
| Grades | Allowance (Rs. per month) |
| M-1 to M-4 | nil |
| M-5 | 200 |
| M-6 | 400 |
| M-7 | 600 |
| M-8 | 800 |
| M-9 to M-10 | 1000 |
DRIVER ALLOWANCE
Driver Allowance will be paid as under:
| Grades | Allowance (Rs. per month) |
| M-1 to M-7 | nil |
| M-8 | 1500 |
| M-9 to M-10 | 2000 |
PETROL ALLOWANCE
Petrol Allowance will be paid as under:
| Grades | Allowance (Rs. per month) |
| M-1 to M-7 | nil |
| M-8 | 2500 |
| M-9 to M-10 | 3000 |
EX-GRATIA
Management staff will be paid Ex-Gratia @ 8.33% of Basic Salary per month.
* * * * *
