Foreword

This Handbook supersedes and replaces all prior Handbooks. We recommend you read it carefully and keep it handy for future reference. If you have any question or require clarification, you can contact Ingrid D'Souza in HR Department. The contents of this Handbook are for information and general guidance. In a developing environment, it may require modification from time to time. You will be kept informed of any change as and when it happens.

This document solely belongs to Agro Tech Foods Limited. The Handbook and its contents should not be distributed to any external person outside the Company. Any duplication and reissue of the material contained herein would be construed as an infringement. Published August 2012.

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Contents
Foreword................................................................................................................................................... 1 Classification of employees ................................................................................................................... 4 1. Joining Formalities .............................................................................................................................. 5 2. New Employee Induction ................................................................................................................... 6 3. Probation and Confirmation .............................................................................................................. 7 4. Transfer ................................................................................................................................................ 8 5. Performance Appraisal .................................................................................................................... 10 6. Compensation and Compensation Structure ............................................................................... 11 7. Resignation ........................................................................................................................................ 13 8. Leave .................................................................................................................................................. 14 9. Working from Home.......................................................................................................................... 16 10. Flexible Work Schedule ................................................................................................................. 17 11. Medical Check-Up .......................................................................................................................... 18 12. Group Mediclaim Insurance Policy .............................................................................................. 19 13. Group Personal Accident Insurance ............................................................................................ 22 14. Self-Development ........................................................................................................................... 24 15. Wedding Gift .................................................................................................................................... 26 16. Holiday Home .................................................................................................................................. 27

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17. Employee Children Merit Recognition (ECMR) ......................................................................... 28 18. Transport & Conveyance ............................................................................................................... 29 19. Travel & Tour................................................................................................................................... 30 20. Meetings........................................................................................................................................... 35 21. Telecommunication infrastructure ................................................................................................ 36 22. Gratuity ............................................................................................................................................. 38 23. Retirement ....................................................................................................................................... 39 24. Provident Fund ................................................................................................................................ 40 25. Superannuation............................................................................................................................... 41 26. Guidelines On Accepting Gifts...................................................................................................... 42 27. Communications With The Media ................................................................................................ 43 28. Advisory Services ........................................................................................................................... 44

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Classification of employees
Employees are graded in the Hay Band and Grade as below:

BAND

GRADE 23 22

BAND Definition Driving Broad Strategy of the Business under the governing the growth principles of the company. Cascading Business Strategy to functional imperative, translating them into operative goals and driving the same for generating the revenue/supporting business

21 20 19

18 17 16

Full Fledged professional with proven functional expertise and experience

15 14 13

Individual Contributors and/or Integrators of work of subordinate Managers/Associates to arrive at a common functional purpose

12 11

Individual contributor based on Functional/Professional qualification based knowledge

Note: Sales Trainees get confirmed in Grade D11; Graduate Trainees get confirmed in Grade D13 and Management Trainees get confirmed in Grade C14.

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1. Joining Formalities
1. Documentation Joining documents are to be submitted by new joinee one week before commencing work. The list of documents are sent to the individual by HR Department. 2. Medical Examination All employees are required to complete the pre-joining medical tests by a Medical Officer as suggested by the company and be found medically fit. 3. Appointment Letter The terms of the appointment letter will remain valid through the period of employment, until changed by a written instruction issued by the Vice President - HR or an authorized signatory of the Company. 4. Identity Card A photo identity (ID) card is issued to all employees. The ID card should be worn while on duty. It is recommended that the sales force wear the ID card during customer interactions and official meetings. Similarly, Unit Heads should wear the ID card while on duty at various factory locations. In case of loss or damage to the card HR Department should be informed. In such cases, a fresh ID card would be issued at a charge of `100/-. 5. Change in Personal data An employee should promptly notify the HR Department of any changes in personal data, as well as update the Employee data on myCompass, our HRMS portal http:\\atfl-apps-01.atfoods.com:8080\adrenalin.

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2. New Employee Induction

New employees will be taken through an Induction program within a month of joining, to assist them in: Familiarization with the Company Vision, Organization Structure, Culture and the people. Introduction to Managers in key positions and staff with whom the employee will be associated/working with. Understanding the working of various Functions Understanding of the incumbents Function, role , KRAs and related processes and systems Explain essential administrative procedures and HR practices and policies Provide assistance in the process of settling down in the work area and residence, if required.

The HR Department will facilitate the process of new employee Induction.

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3. Probation and Confirmation

1.

Probation period a) The probation period for a new employee in Grades D11 to D13 is one year. b) The probation period can be extended depending on the employees' performance. c) All new employees are considered to be on probation till they are issued a confirmation letter.

2.

Confirmation Process a) Besides periodic evaluation of his/her performance, the new employee will be appraised at the end of the probation period by the Reporting Manager and ILT Member of the concerned Function to assess his/her suitability for confirmation. Upon completion of the review, the Confirmation Appraisal form should be uploaded by the Reporting Manager on the myCompass site. A confirmation letter is issued on recommendation for confirmation from the Reporting Manager. c) In case of extension of probation, the probationer will be appraised again by the Reporting Manager and Functional Head at the end of the extended probation period. Under normal circumstances, probation will not be extended more than once.

b)

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4. Transfer
1. 2. All jobs are transferable to any of the Companys locations or from one Department/Business to another, based on the Companys needs. Reimbursements (where relocation is from one city to another). Claims for expenses should be sent to Manager Facilities. Grades ST, D11 & D12 D13, GT Reimbursement A/c III-tier Rail fare II A/c Rail fare or Flight (Economy) Max 1 Truckload RTA expenses for one vehicle (car or scooter) at new location Contact Manager Facilities for Min. 3 quotations approved packers and from packers to be sent to the Manager transporters. Facilities. Insurance amount not to exceed 2% of total asset value. One months Gross Salary or ` 25,000/whichever is lower D11 to D13, GT Examples of expenses Dismantling, refitting of electrical appliances, bulbs/ tube lights Non-refundable Forfeited school fees, deposits at old school, entrance deposit/fee at the new school, fees, books, uniform Losses relating to groceries/ cleaning material Original bills/receipts submitted Remarks

Expense Travel

Freight

D13, GT

Packing/ crating charges

D11 to D13, GT

Relocation Expenses

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Expense item Out-of-pocket expenses

Grades D11 to D13, GT

TE for travelling time

D11 to D13, GT

Reimbursement For family: @ ` 150/per adult per day and ` 100/- per child per day (below 12 years) - max of ` 500/- per day and max 15 days Fixed Travel Expenses (TE) for self, spouse and children

Remarks

To assist the employee in settling down at his/her new place of posting.

Employee travels by train to his/her new place of posting.

3.

Settling down at new location a) A joining time of up to a maximum of three days (will be treated as On Duty) may be taken to settle personal matters. This must be agreed to in advance by the concerned Reporting Manager of the previous location, Reporting Manager of the new location and Vice President - HR. The Manager Facilities can be approached for assistance in packing, transportation, insurance, etc. For employees in Grades D13 and GT, accommodation at the new location, for a maximum of 15 days, will be arranged by the Manager-Facilities. The 15 days includes stay for a day or two at the former place of work, after dispatching the personal effects. Vice President - HR approval is required for any extension of stay beyond 15 days. In such a case, the Company shall pay only lodging expenses and all other expenses such as boarding, laundry etc. shall be to the employee's account. If an employee is unable to move his/her family within 15 days, e.g. because of schooling of children, accommodation at the previous place of posting can be retained, with prior approval of the Vice President - HR.

b) c)

4.

Advance to cover expenses during transfer/settling in should not exceed the limit as specified in Reimbursements, Relocation expenses above and should be settled within one month of reporting at the new location.

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5. Performance Appraisal
1. All confirmed employees are appraised at the end of the Financial Year (April-March), on his/her performance for the year. The appraisal process is done on myCompass, the HRMS portal. An employee who joins on or before January 15 of the year, would be part of the appraisal process and pro-rata merit increase given. An employee who joins after January 15 of the year, will be appraised in the subsequent year. The First Appraiser is the Reporting Manager and the First Appraisers Reporting Manager, the Second Appraiser. If an employee is transferred within the appraisal year, inputs of the previous Reporting Manager are also taken into account. The performance rating scale is as follows: Rating Very Good (VG) Good+ (G+) Good (G) Reasonable Performance (RP) Poor (P) Description Consistently exceeds expected standards of performance in the job Always meets the job requirements and exceeds expectations at times. Meets expectations of the job. Occasionally falls below expectations. Very often falls below expectations

2.

3. 4. 5.

Merit increases in salary are based on the performance rating awarded to the employee. The HR Department, with the ILT, will do a normalisation of ratings across the Company. On completion of the above process, feedback will be given to the employee on his/her performance and the final performance rating awarded.

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6. Compensation and Compensation Structure

The compensation of employees is benchmarked at competitive levels of the market. An external agency is engaged to conduct a compensation survey across industries. The factors considered for compensation review are: The Job role held by the employee The benchmark remuneration for that job Performance of the employee Experience Potential

The compensation structure follows the Cost to Company (CTC) structure. The components are: 1. Base Pay - consists of the following components: a) b) c) d) e) 2. Basic Salary Provident Fund @ 12% of basic salary Superannuation @ 1% or 15% of basic salary (employee to choose) Gratuity @5% of basic salary Group Insurance Premium

Choice Pay: - can be distributed among the following components : HRA up to 40% of Basic Salary in non metros and 50% of Basic Salary in Delhi, Mumbai, Kolkata and Chennai Medical Reimbursement up to ` 15,000/- p.a. Conveyance - Up to ` 9,600/- p.a. Leave Travel Allowance - Tax exemption as per Income Tax Act 1960. Personal Pay - Balance amount after considering the above. Note: a) Entire Choice Pay can be taken as "Personal Pay' subject to Income Tax b) Superannuation can be split into 1% & 14%. The 14% of Basic can be taken as "Personal Pay". c) All incidences of Tax would be borne by the employee as per prevalent Rules.

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Other guidelines
a) Leave Travel Assistance (LTA) as declared by the employee in Choice Pay: LTA will be paid along with April salary after deduction of taxes as applicable. Where an employee and his/her spouse are working for the Company, both are eligible to claim LTA. When an employee resigns, pro rata LTA amount will be recovered when doing the Full & Final settlement. Minimum 5 days Annual leave should be availed. Adequate documentary evidence regarding the amount spent towards cost of travel for availing LTA should be submitted to Finance Department in order to avail of any Income Tax exemption.

b)

Medical Reimbursement as declared by the employee in Choice Pay: i. Reimbursement of health related expenses (non-hospitalisation) of self, dependent parents, spouse and children, against bills. ii. Claims should be submitted to Finance Department as and when expenses are incurred. iii. At the end of the Financial Year, where actual claims are less than the declared amount, the shortfall will be paid along with March salary, subject to deduction of taxes. iv. Bills above ` 500/- should be accompanied by a doctors prescription. v. Homeopathic, Ayurvedic and Unani treatment supported by proper receipts/ vouchers are reimbursable within the eligible limits. vi. Reimbursement of expenses on account of baby food, cosmetics, beauty aids and diet clinics are not permissible. Hospitalisation is applicable for spouse and children. Details can be referred to under the Group Mediclaim Insurance Policy mentioned on Page 19.

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7. Resignation

1.

An employee deciding to resign should submit their resignation through MyCompass, along with a resignation letter, by e-mail or in writing, to the Reporting Manager. The Reporting Manager should forward the resignation letter with relieving date, notice period waiver, etc. clearly mentioned, to the Functional Head, who will in turn forward to Vice President HR with his recommendation. HR Department will facilitate the Full & Final Settlement process through myCompass. The employee, along with the Reporting Manager, should account for and review all classified and important official documents. These should be handed back prior to being relieved. Similarly, all assets held by the employee should be handed back to the Company prior to being relieved. Notice period as specified in the appointment letter should be served. Any shortfall will be recovered, unless waiver is approved by Vice President - HR After submitting their resignation, an employee will normally not be entitled to avail of leave, except for urgent personal reasons and with the approval of his/her Reporting Manager. An exit interview will be conducted for all applicable employees as decided by Vice President HR or General Manager - HR, depending on nature of separation. Where an exit interview is not possible in person, the same will be carried out over the phone. Relieving letter will be issued only after Clearances from all Departments is received.

2.

3. 4.

5. 6. 7.

8.

9.

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8. Leave
1. Annual Leave a) All employees are eligible for 30 days Annual Leave, calculated on financial year basis, i.e. April 1 to March 31, at the rate of 2.5 days for every completed month of service. This is credited at the beginning of the financial year or on the date of joining. When an employee resigns from the service of the company, leave will be calculated on pro-rata basis and any excess leave availed beyond 2.5 days per month entitlement, a suitable deduction will be made in the Full & Final settlement. Paid holiday/weekly-off falling within the annual leave availed is counted in days of Annual Leave. Prefixed/suffixed paid holidays/weekly-offs are not considered part of Annual Leave. Compensatory Offs can be given in case: i) A National Holiday falls on a weekly off as per Holiday List circulated every year. Compensatory off cannot be taken before the event and should be availed within the same calendar year When an employee works for a full day on a weekly off with prior approval from the Reporting Manager. The compensatory off should be availed within the next 3 working days, otherwise it will lapse. Compensatory Offs can be clubbed with Annual Leave.

b)

c)

d)

ii)

iii) e)

Leave in excess of 3 days should be applied 7 days in advance, and approved prior to proceeding on leave. Maximum of 15 days Annual Leave can be carried forward every year subject to a maximum accumulation of 60 days. Employees are eligible for maximum 7 days Annual Leave encashment every year, calculated on Basic Salary (allowed where there is 15 days leave balance, after encashment). On resignation or retirement, balance of Annual Leave will be encashed on the basis of Basic Salary subject to the 60 days limit.

f)

g)

h)

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2.

Sick Leave a) All employees are entitled to 15 days Sick Leave per year. cannot be accumulated or carried forward. This leave

b)

The employee should intimate his/her Reporting Manager immediately regarding prolonged illness and/or inability to attend duty. In exceptional cases, excess Sick Leave, will be adjusted against Annual Leave or treated as leave without pay with approval of Vice President-HR. Sick leave cannot be clubbed with Annual Leave. Sick Leave, in excess of 2 days, should be supported by a medical certificate issued by a registered medical practitioner. The Company may request an employee to undertake a medical examination by the Company Doctor or any other doctor. In case it is found the leave availed is not genuine, leave will be cancelled and suitable action initiated.

c)

d) e)

f)

3.

Maternity Leave Women employees will be entitled to 90 days (including weekly offs) Maternity Leave as per the provisions of the Maternity Benefits Act. Deviations need approval of the Vice President - HR, in consultation with the Company Doctor. Paternity Leave All male employees can avail maximum two weeks (inclusive of weekly offs) paid leave as Paternity Leave to take care of their spouse and newborn. Entire two weeks should be availed within one month of the child's birth. Paternity leave is allowed for two times in the career of the employee. Leave without pay will be considered only under extraordinary circumstances and approval is purely discretionary. Applications should be routed through the Reporting Manager and with the approval of the ILT Member and Vice President HR. No salary/allowances would be paid during this period. General Conditions a) An employee is liable for disciplinary action for being absent from duty without due intimation and/or permission of his/her Reporting Manager. The Company can decline a leave request or cancel/withdraw leave granted, in full or part thereof, should there be an exigency of work. . Page | 15

4.

5.

6.

b)

9. Working from Home

Eligibility: Employees provided with a laptop and located in Corporate Office, Gurgaon and Registered Office, Hyderabad. Employees can work from home, one day in a week, with mutual agreement between the employee and the Reporting Manager. It is allowed for one day in a week without any carry forward or brought forward facility. When availing work from home, employees should be able to carry out all the normal activities that are done while at their work location. Some activities are: 1. 2. 3. 4. 5. Attend to all mails, as and when they are received Attend to calls, both from the office and the service providers/vendors Approve or recommend any payments Attend meetings via the conference call Be available on the Communicator for quick responses with the office a. b. Available Infrastructure facility for attending a conference call with no noise levels Trouble free IS infrastructure connectivity

6. Any other activity as required to be carried out by the Manager General guidelines: 1. 2. 3. This facility is to be treated as a benefit being extended to meet the above stated purpose and shall not be claimed as a matter of right. It is the responsibility of the employee who is choosing to work from home to ensure the entire infrastructure works as required. In cases of extreme emergencies, the Manager can cancel the work from home and call the employee to office.

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10. Flexible Work Schedule

Purpose: To support employees who need to devote more time for personal issues for a temporary period, allow them to opt for flexible work schedules. Employees can opt for a part-time work by continuing the lien on employment with reduced salary. The reduction in salary will be commensurate with the reduced work schedule. For example, if an employee chooses to attend 3 days in a week, the reduction in salary will be 50%. Some examples where an employee can avail of flexible work schedule are - extended maternity leave requirement, attending to any family members on medical issues, furthering the education, etc. Approval of the Reporting Manager and Vice President - HR is required. General guidelines: 1. 2. 3. This is a benefit for the above purpose and cannot be claimed as a matter of right. This facility is extended for a period of six months, once in five years in an employees career. In cases of extreme emergencies, the Management can cancel the flexible work schedule and resume the full time work.

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11. Medical Check-Up

1.

It is recommended that employees undergo a thorough medical checkup by a Doctor/Clinic approved by the Company/Company Doctor at the following intervals (or more frequently, if deemed necessary, under medical advice):

Age of employee Below 35 years From 35 to 45 years 45 years and above

Frequency Every 3 years Every 2 years Every year

2. 3.

All the tests suggested should be completed at one time and not be spread over the year/s. The doctors report must be sent directly to the Company Doctor. These medical check-ups are at the company's instance and the cost would be borne by the Company. It is not a reimbursable item to the employee.

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12. Group Mediclaim Insurance Policy

All employees are covered under a Group Mediclaim Insurance Policy. The Enrollment Form should be submitted to HR Department at the time of joining. An employee, his/her spouse and up to three children* are covered under a Family floater. The sum insured is ` 3 lakhs per family per annum. HR Department is to be informed whenever there are any changes to his/her family. The Insurance Policy document is available with the HR Department and they can be contacted in case of any requirement. Diseases & Treatment covered i) Disease/Injury requiring Medical/surgical treatment and hospitalisation at a Nursing Home/hospital in India, as an in-patient ii) Treatment requiring hospitalisation of a minimum of 24 hours. However, this time limit is not applied to certain specified treatments i.e. Dialysis, Chemotherapy, Radiotherapy, Lithotripsy, Tonsillectomy, Eye surgery, Dental surgery taken in the Hospital/Nursing Home and the insured is discharged on the same day. iii) Homeopathy, Ayurvedic Treatment. Claimable Expenses Room, Boarding Expenses in Hospital/Nursing Home Nursing Expenses Surgeon, Anesthetist, Medical Practitioner Fee, Consultants Specialist fees. Treatment cost Special Inclusions/Additions - Pre-Hospitalisation: Relevant medical expenses incurred during period up to 30 days prior to hospitalisation - Post-Hospitalisation: Relevant medical expenses incurred during period up to 60 days after hospitalisation - Pre-existing diseases coverage - New born baby coverage from the day of birth - Maternity cover - with a limit of ` 25,000/- in case of Normal Delivery and `50,000/- in case of Cesarean. Exclusions a) Domiciliary hospitalisation, except in two scenarios, as below: i. The condition of the patient is such that he/she cannot be removed to the hospital/nursing home or ii. The patient cannot be removed to hospital/nursing home for lack of accommodation therein.
Note: * Boys, till the age of 21 or till he is dependent on parents, which ever is earlier. Girls, till marriage or till she is dependent on parents, whichever is earlier Full time bonafide students and dependant, up to 24 years of age, based on a Declaration

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Exclusions (contd.) b) Expenses on any disease/injury incurred during first 30 days of commencement of insurance cover except in case of injury arising out of accident c) Expenses on periodic Health check-up. d) Other general exclusions are i. War/war group and Nuclear perils related hospitalization ii. Plastic surgery iii. Spectacles/contact lens/hearing aid iv. Dental treatment v. Convalescence/general debility vi. Sterility/venereal disease/circumcision vii. Intentional self injury viii. Use of intoxicating drugs/alcohol ix. AIDS x. Diagnostic laboratory expenses not consistent with treatment xi. Vitamins/tonic inconsistent with treatment xii. Naturopathy Procedure for claiming expenses a) Cashless mechanism - for planned/unplanned treatment at a Network Hospital/Nursing Home. Planned Treatment Contact the Insurance Company's Third Party Administrator (TPA) located at the Network Hospital premises and obtain the pre admission authorisation. Submit doctor's letter for treatment planned, any investigation reports, copy of Medical Card, company identity proof TPA will verify the eligibility of the employee and issue a pre-authorisation letter/guarantee of payment letter to the Hospital/ Nursing Home mentioning the amount guaranteed as payable and also the ailment for which the person is seeking to be admitted. TPA will directly settle all eligible amounts with the Network Hospital to the extent the claim is covered. Unplanned treatment In case of emergency, the employee can directly go to any of the notified hospitals. He/she should provide the Identity number as mentioned on the Medical Card issued to him/her. Intimate the TPA within 24 hours of hospitalisation, for approval. Submit doctor's letter for treatment planned, any investigation reports, copy of Medical Card, company identity proof

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b) Reimbursement mechanism - for treatment incurred in non-notified hospital. Obtain the Claim Form from the HR Department. Submit the Claim Form, duly filled, along with the documents mentioned below to the HR Department within 30 days from date of discharge from the Hospital.

Claim documents to be submitted within 30 days from date of discharge: i) ii) iii) iv) v) Original Bills, receipts, admission and discharge certificate/card from the Hospital. Medical history of the patient recorded by the Hospital Original cash memo/bills from Chemists supported by proper prescription. Original Test reports and payment receipts. Any other information required by the TPA/Insurance Company Claims received after 30 days will not be entertained by the TPA. The claim will be settled by the TPA within one month from the date of submission of all the necessary documents, by way of a cheque in the employees name. Other Benefit: A Claims History Certificate, if required, will be issued by the Insurance Company when an employee retires or leaves the services.

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13. Group Personal Accident Insurance

a) Employees are covered under a Group Accident Insurance Scheme, as below: Grades ST, Grade D11 to D13, GT b) Amount of cover

` 10 lakhs

The insurance cover is operative from the date of the employees' appointment in the services of the Company. The Accident Insurance and Assignment Forms are part of the joining documents. These forms, duly filled, must be submitted to HR Department at the time of joining. The Policy covers death by accident. Death due to natural causes is not covered. i) ii) If death is caused by an accident while on duty, the HR Department should be intimated immediately. The deceased employees' family members should send the following documents to HR within 24 hours Copy of the FIR. Copy of the Original Death Certificate Copy of the Post Mortem Report. All Reports should be duly attested either by the issuing authority or by a Gazetted Officer.

c)

d)

iii) e)

Accident has the widest possible connotation, e.g. in a vehicle, in contact with a machine, in the course of riot or civil commotion, fall from a staircase, etc.

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f)

The cover includes, apart from death, disablement due to an accident. The table below specifies the cover due to disablement: Nature of Disablement Death Loss of 2 limbs or sight of both eyes Loss of 1 limb & sight of one eye Loss of one limb or sight of one eye Permanent total disablement Cover (% of Capital Sum Insured) 100% 100% 100% 50% 100%

Exclusion: The Insurance Policy does not cover losses arising out of suicide, self-injury, venereal diseases, war and nuclear perils and pregnancy. General conditions a) The scheme has been provided by the Company for the welfare of its employees. In the event of any accidental death, the benefits under this scheme cover the liability of the Company under The Workmens Compensation Act, 1923. The Insurance Company will make the payments directly to the nominee/s of the employee, in case of death, or to the employee, in case of disablement. The scheme and terms of service are subject to changes by the Insurance Company, from time to time. Hospitalisation expenses following the accident are not covered. They can be claimed under the Group Medical Insurance Policy.

b)

c)

d)

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14. Self-Development
Purpose: To encourage employees to continue upgrading knowledge and developing their competencies by pursuing higher education and attending short-term courses/programs. The proposed study should be relevant and useful to the Company, and add to the employees' immediate work or career development. 1. Higher education a) Eligibility i) The employee should have gone through a minimum of two performance appraisal cycles. ii) The employees performance appraisals rating should be G+ and above for the past two years of service. Entitlement i) The employee will have a lien on his/her job. ii) Study leave period will be considered for Gratuity calculations. However, no payments towards retiral funds will be made. iii) The company will support the employee with 75% of the Course Fee, subject to a maximum of Rs. 1 lakh. He/she should submit a copy of the Certificate on successful completion of the course, failing which the fee charges will be recovered at 18% interest. The employee should submit a letter or e-mail through his/her Functional ILT Member to the Vice President HR. The employee should not proceed on study leave unless approval is given. Study Leave will be treated as leave without pay and cannot exceed a year. Accumulated Annual Leave available can be adjusted and balance study leave availed, if any, will be treated as leave without pay. The employee should give an undertaking to work at the same Grade on return to work, at which he/she was when proceeding on Study Leave. The employee should also undertake to pay his/her part of contribution to retiral funds, as applicable from time to time. After the Study Leave, the employee should immediately report for work otherwise it will be treated as him/her having resigned. The employees last working day before proceeding on study leave will be considered as the date of leaving the services. After the study leave, the employee should remain with the Company for at least two years. If the employee leaves before this, he should pay back the Education Assistance with interest charges @ 18% p.a. from the date of payment.

b)

c)

d)

e) f) g)

h)

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2.

Self Development Support Reimbursement of expenses towards purchase of magazines and periodicals to build professional expertise and be in touch with latest developments, and expenses towards joining fees and annual subscription towards membership of Professional Institutions. Grades D11 to D13, GT Amount ` 3,000/- per annum

Employees should claim through expense statement along with bills. The reimbursement is subject to applicable taxes. This facility is extended to help employees in their self development and in case any other capability development intervention is introduced that can serve the same purpose, the Company may decide to withdraw this benefit.

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15. Wedding Gift

Employees who get married during their tenure with the company will be presented a gift worth Rs. 5,000/-. 1) 2) This gift is extended to the employee only once in his/her career with ATFL. The employee is responsible to manage the taxes associated with such gifts.

This facility is extended as a goodwill gesture and the Management reserves the right to withdraw at any time.

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16. Holiday Home

Purpose: To encourage employees to have a holiday by providing highly subsidized Holiday Homes across the country. The company has entered into an agreement with a Vacation Service Provider. Employees can book a holiday home closer to their place of posting and have a holiday with their family in those resorts. Guidelines: 1) 2) 3) 4) 5) The facility will be extended on first come first serve basis. The Manager Facilities will coordinate this benefit. Employees are eligible for two nights three day stay at one stretch. In order to cater to all employees, each employee is allowed one holiday in a financial year. The stay etc., will be governed by the rules set out by the Vacation Service Provider. The Company will in no way be responsible. At the current agreement rates, the charges applicable to the employees will be ` 100/- (Rupees One hundred only per room night). The facility is extended to only immediate family of the employee. Immediate family is defined as spouse and children for married employees and parents for unmarried employees. This facility is extended to encourage employees to have holidays with their family and it is not eligible for encashment.

6)

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17. Employee Children Merit Recognition (ECMR)

Employee Children Merit Recognition (ECMR) is a program to recognize and reward employees children for their merit in Academics. Every year, depending on the marks obtained in their academics, a fixed amount of reward shall be paid to the employees children. Class VII VIII IX X XI XII Graduation Year I Year II Year III Professional Course Year I Year II Year III Year IV General guidelines: 1) 2) 3) Nominations should be sent to HR along with copy of Marks Sheet. The recipient of the reward is responsible to comply with all applicable tax laws. The recognition is extended on the basis of overall percentage of marks but if there is a tie between the applicants, the winner will be decided by taking in to consideration the percentage obtained in key subjects and merit in extra-curricular activities. No of Scholarships 6 6 6 6 6 6 3 3 3 3 3 3 3 Amount ` 2,500 2,500 2,500 3,000 3,000 5,000 5,000 5,000 5,000 7,500 7,500 7,500 7,500 Total Amount ` 15,000 15,000 15,000 18,000 18,000 30,000 15,000 15,000 15,000 22,500 22,500 22,500 22,500

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18. Transport & Conveyance

1. Use of personal transport for business purposes or attending a company sponsored short-term program/course, and where the one-way journey does not exceed 100 KM from the place of work. Travel by Four wheeler Two wheeler Reimbursement ` 5.50 per KM ` 2.50 per KM

A Log should be maintained mentioning the starting destination, purpose of visit and kilometres covered. The same should be submitted to the Reporting Manager for approval. 2. 3. 4. The amount claimed should not exceed the fare by permitted class of travel. There shall be no cost to the Company on account of any maintenance/repairs en route or any penalties on account of third-party liability. Employees cannot claim fares from residence to place of work and back.

An employee may use an auto, non A/C taxi or pre-paid taxi, as below: Entitlements: Grades ST, D11 to D13 * Local market visits/Conveyance Auto Station/Airport transfers Prepaid taxi (Non AC)

Prepaid taxi from Airport or metered taxi to be used for point-to-point travel or Non-A/c Indica for continuous usage during the day.

Other Guidelines: Purpose Factory visits Getting dropped at the residence -Late working hours i.e. after 8.00 p.m. Remarks Prior approval from his/her Immediate Supervisor. Employees based at RO, requisition to the Manager Facilities, HR Department 24 hours prior. Prior approval from Reporting Manager required. Women employees - as per travel entitlement

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19. Travel & Tour

Employees who travel on Company business should: 1. 2. 3. 4. Take approval from his/her Reporting Manager prior to travel. Submit the Travel Expense (TE) Statement to Finance within one week of return, for approval by the Reporting Manager. Settle any travel advance taken within one week of return from tour and adjusted against the TE claim. Advances: Non-Sales employees: a) All requests for advance should be approved by the CFO. b) If the tour is cancelled or postponed, the amount should be returned immediately. c) Expense Accounts against advances should be settled within seven days of return from tour. d) An employee has to settle the advance before he/she is eligible for another advance. e) No advance will be given for purchase of Air/Rail tickets. Sales employees: In addition to the above: a) Sales staff who are on regular tours will be given an imprest amount to be decided by the Head of Sales. b) Vice President - HR will approve the payment of imprest amount. 5. Stay in a hotel a) b) c) Hotels have been identified in various towns where the employee can stay. The list is available with the Manager - Facilities. In case accommodation is not available in these hotels, an employee may stay in another hotel, within the prescribed room charge limits. The maximum limits for expenses on mode of travel, room rentals, etc., applicable, are as follows:

Mode of Travel: Expense 1 Travel Period of Journey <12 hours >12 hours ST, D11-D12 III Tier A/C-do D13/GT II A/c Y Air

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Reimbursements: (For Non-sales staff) Expense 1 Lodging per day (excl. taxes) actuals up to a max. Boarding per day (incl. Laundry) actuals up to a max. Fixed TE per day (non-hotel stay) Conveyance Station/airport transfers Food & incidentals for journey >10 hours by train Town A Class B Class C Class A B C A B Class Class Class Class & C Class D11-D12 D13/GT

2 3 4 5 6

200 100 100 300 250 Auto Pre-paid taxi

` ` ` ` ` ` ` `

600 600 600

` 2000 ` 1200 ` 900 ` 300 ` 200 ` 150 ` 300 ` 250

Auto Pre-paid taxi

` 50/-

` 60/-

Reimbursements: (For Sales staff) Sl. No. Expense Town Metro * Non Metro Ex-HQ Market working ST ` 225 ` 200 ` 300 (Fixed TE) ` 55 ` 25 A B C A class Class Class class ` ` ` ` 600 600 600 150 D11 ` 225 ` 200 ` 300 (Fixed TE) D12 ` 225 ` 200 ` 300 (Fixed TE)

Market working day Field Working Allowance Conveyance Incidentals UP Country Working (with bills) Lodging ` ` ` ` 600 600 600 150 ` ` ` ` 600 600 600 150

` 55 ` 25

` 70 ` 25

Boarding

B Class C Class

` 100 ` 100

` 100 ` 100

` 100 ` 100

Note: Vending SOs Ex HQ and Up Country Conveyance on Actuals upto max. per day * Field Working Allowance for Mumbai: ST, D11 andD12 will get ` 225 /without pass and ` 215 /- with Train Pass.

` 150/-

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Reimbursements: (For Sales staff) Sl. No. Type of Expense Ex-HQ/up-country working - Residence to station/bus stop. - Station /bus stop to hotel/own accommodation. - Station/bus stop to residence Food & incidentals for journey > 10 hours by train Summer Re-hydration Allowance towards Mineral Water and Glucose Power for 2 months i.e. April & May against bills

contd. ST D11 D12

Prepaid taxi (with proof)/auto expense (more than Rs. 300/- requires approval of Reporting Manager) ` 50/` 50/` 50/-

4 5

` 30/- per market working day (with bills)

Field Working Allowance - Area Sales Executives-D13 Field Sales personnel: Head quarter (Amt. per day) Fixed TE ` 100/+ conveyance on actual by auto. Area Heads: Claim against bills, four times in a month for lunch with DS/RDS/SO upto a maximum of ` 5,000/- p.m. Ex-HQ working (Amt. per day) Up Country working (Amt. per day) Fixed TE ` 250/- per day without bills + Food bills on actual upto the limit ` 300/- (A Class) - with bills ` 200/- (B Class) - with bills ` 150/- (C Class) - with bills +Conveyance on actual by auto. OR Boarding ` 300/- (A Class), - with bills ` 200/-(B Class), - with bills ` 150/- (C Class) - with bills + Lodging ` 2,000/- (with bills) ( A Class), `1,200/- (with bills) ( B Class), ` 900/- (with bills) ( C Class) +Conveyance on actual by Auto.

` 200/- with bills

+conveyance on actual by Auto OR Fixed TE `125/without Bills+ Conveyance on actual by auto.

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Town Classification A class B class Metros:Chennai, Delhi, Kolkata, Mumbai and Hyderabad, Bangalore South: Vijayawada, Vizag, Coimbatore, Kochi, Trivandrum North: Lucknow, Jaipur, Chandigarh, Dehradun, Jammu East: Patna, Ranchi, Guwahati, Jamshedpur, Siliguri, Bhubneshwar West: Nagpur, Nasik, Aurangabad, Baroda, Surat, Raipur, Goa, Pune, Ahmedabad, Indore. All State Capitals, other than those mentioned above, and South: Coonor, Trichy, Salem, Calicut, Palghat, Madurai, Rajahmundry, Kakinada, Warangal, Mangalore, Mysore, Hubli, Shimoga West: Rajkot, Rajpur, Bhopal North: Kanpur, Gorakhpur, Bareilly, Meerut, Aligarh, Nainital, Bikaner, Jodhpur, Udaipur, Ludhiana, Ambala, Amritsar, Agra, Ghaziabad, Allahabad, Varanasi East: Dhanbad, Asansol, Durgapur, Dibrugarh, Silchar, Rourkela. Kullu, Manali, Mandi, Dalhausie, Dharamshala, McLoedganj, Shimla, Hill Jammu, Katra, Srinagar, Kangra, Darjeeling, Mussorie, Ooty, Station Kodaikanal, Shillong, Gangtok, Thimphu, Paro, Phuentsholing, Imphal, Dimapur, Aizwal Hill Stations will be equated with B class town allowances. Any deviation from the above has to be approved by an ILT Member, in addition to the Reporting Manager. 6. Stay in ones own arrangement (non-hotel stay) a) Fixed Travel Expenses (TE)-if an employee does not stay in a hotel, Company provided accommodation, including transit flat: Town Category Fixed TE (non-hotel stay) b) A Class B & C Class ST, D11-D12 D13

C class

` 300/- per day ` 250/- per day

` 300/- per day ` 250/- per day

Fixed TE cannot be claimed when an employee leaves and returns to his location on the same day. However, actual expenses may be reimbursed up to half-a-days TE, and half- a-days incidentals. Fixed TE covers all heads of expenditure excepting taxi/transport and food (on actuals). It is inclusive of all other incidentals. Page | 33

c)

d)

Cut-off timing for claiming TE Departure from Base Location before 12 Noon Departure from Base Location after 12 Noon Arrival at Base Location before 12 Noon Arrival at Base Location after 12 Noon Departure and arrival at Base location on same day Full TE Half TE Half TE Full TE Half TE (on actuals).

e) f) g) h) i) j) 7.

When an employee travels with spouse, children or both, and the Company pays their fare, maximum of 50% of TE/incidentals can be charged towards expenses incurred, in addition to his/her own TE. Incidentals must be clearly mentioned and will be as per entitlements. Tickets are required for one-way fare exceeding Rs. 300/-. If travel is undertaken in a shared taxi and the amount exceeds Rs.300/one way, the Reporting Manager's approval would be required. For the day of work where the boarding and lodging has been taken care of by the Company, Fixed TE cannot be claimed. Fixed TE cannot be claimed when an employee attends any Meeting & Annual Conference organised by the company.

International travel Vice President - HR can be contacted for the International travel rules, as and when the need arises.

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20. Meetings

1)

Area Heads and Senior Sales Officers-Channel Development can claim expenses for monthly meetings organised by them, as per the details below: Description Meeting Room charges Food LCD Projector hire charges Amount Up to ` 1,000/Up to ` 150/- per participant Up to ` 1,200/- (with Regional Sales Manager approval)

2)

The meeting should be conducted in the RSO or depot location and up-country.

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21. Telecommunication infrastructure

1.
SIM Card a) All employees, other than Sales Trainees, Sales Officers and Senior Sales Officers are provided with a SIM Card to be used for official purpose. Personal calls should be indicated on the monthly bill and the amount will be deducted from the salary. The SIM Card should be handed back to the Company/designated person upon resignation. b) Sales Trainees, Sales Officers and Senior Sales Officers using mobile phones for official purpose will be reimbursed in their monthly salary, towards telephone expenses reimbursement. A letter to this effect will be issued by HR Department. In case, the place of posting of an employee changes to another territory where the telephone allowance is higher or lower, this allowance will change depending on the place of posting. The employee should intimate HR Department in case there is a change in the mobile number. If the number is not updated with the Company records such as myCompass and with the Regional Sales Assistant, the above amount shall be withdrawn.

2.

Internet Connectivity Reimbursement of usage of Internet by field Sales personnel for official purposes Grades ST D11 - D13 Internet reimbursement

` 250/- p.m.
On Actual with bills.

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3.

Laptop & Data card a) b) Employees who are issued Laptops will be provided with a Data Card to be used for official purposes. In case an employee resigns, the Laptop & Datacard should be handed back to the Company/designated person.

4.

Blackberry a)
b)

Area Heads in Grade D13 will be provided with a Blackberry. When an employee resigns, the Blackberry should be handed back to the Company/designated person.

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22. Gratuity

1. 2.

Employees who complete 5 years of continuous service with the Company are entitled to receive Gratuity. Gratuity is calculated on the basis of (Last drawn monthly basic salary)/26 x 15 x number of years of service in the Company (26 represents the number of working days and 15 represents half-a-month). For calculating Gratuity, more than six months of service will be considered as one year. Payment of Gratuity is governed by the Payment of Gratuity Act, 1972. The amount of Gratuity paid will be taxable as per the Income Tax Act 1961, as amended from time to time. All employees should make their nominations for Gratuity, in the prescribed format, given at the time of joining.

3.

4.

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23. Retirement
1. Procedure a) Employees will retire from the services of the Company on completion of 58 years of age. Any departure from this will be at the discretion of the ILT India Leadership Team. All classified documents and important documents must be handed over to the Reporting Manager.

b) 2.

Resettlement on retirement a) As a measure of support and at the discretion of the Company, assistance may be provided to the employee or his/her family: i) ii) iii) b) c) On retiring with the consent of the Company or at the insistence of the Company. On resignation on medical grounds. In the event of the death of the employee while in service.

Fares to the place of resettlement will be reimbursed for the employee and his/her family, as per TE entitlement. Packing, freight and insurance charges will be reimbursed on actuals, subject to the maximum amount on Transfer, up to the declared hometown or any other destination in India, within the same distance. The assistance, as mentioned above, will be provided on the employees retirement. However, for specific/personal reasons, a gap up to a maximum of six months between retirement and relocation may be permitted with the prior sanction of the India Leadership Team. Bills relating to packers/transporters will be settled by the Company. An employee who has a company provided vehicle at that time has the option of purchasing the same at book value or market value, whichever is lower. A retiral gift will be given to an employee, as mentioned below: Grades D11 to D13 Amount

d)

e) f)

g)

` 15,000/-

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24. Provident Fund

1. Procedure a) All employees are required to join the exempted Provident Fund Trust of the Company. A new joinee should submit Form 13 to the ATFL Provident Fund Trust, if applicable. Nomination Forms, Form II in triplicate for the Agro Tech Foods Provident Fund, duly filled in, should be sent to the HR Department. Whenever an unmarried employee gets married, he/she should complete and submit a fresh Nomination Form, in triplicate, if he/she wishes to change the nomination.

b)

c)

d)

2.

Contribution a) Each employee will contribute 12% of his/her Basic Salary and the Company shall contribute a matching contribution of 12%. An employee may voluntarily contribute an additional percentage of his/ her Basic Salary to the PF, but will receive no matching contribution from the Company. Out of the 12% of Companys contribution, part allocation is made to the Employee Pension Scheme 1995 of the Government.

b)

c)

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25. Superannuation
1. 2. The Company has a Superannuation Fund Agro Tech Foods Superannuation Fund, to extend pension benefits to its employees. Employee can choose a 1% or 15% contribution towards superannuation fund. In case any employee opts for 1% contribution; the balance 14% of basic will be paid as choice pay subject to tax. Employees opting for 1% contribution can increase their contribution once in a year in the month of April. A written communication to this effect needs to be sent by employee by 20th of April to HR Department. When an employee leaves the Company, the amount outstanding will be transferred to the superannuation fund of the new employer. In case there is no superannuation fund with the new employer, the employee can continue the fund with ICICI Prudential till they join a Company that has Superannuation. Alternatively, they can also opt for pension. Only an employee who completes 5 years of continuous service in the Company is eligible for payment of pension. The funds of the Agro Tech Foods Superannuation Fund are currently entrusted to ICICI Prudential Life Insurance Company Limited (ICICI Pru), to manage.

3.

4.

5. 6.

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26. Guidelines On Accepting Gifts

The policy regarding an employee accepting any gift from a business associate is given below: a) An employee is expected at all times to work in the interest of the Company. To ensure this principle is not compromised, employees should not accept any gifts from business associates, other than of nominal value such as a small box of sweets or office stationery/desk accessories. In the event of not being able to decline any gift being offered, the employee should bring the matter to the attention of the Reporting Manager or the Vice President HR at the earliest opportunity, who will advise on how the situation should be handled. A detailed policy on Gifts has been incorporated in the Companys Code of Conduct. It is also available with the HR Department and can be referred to by any employee when required.

b)

c)

In case of any doubts in the observance of this policy, the matter should be brought to the attention of the /Vice President - HR.

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27. Communications With The Media

1. It is the policy of the Company to maintain open channels of communication with the Media. However, the handling of Media in all matters pertaining to the Company will be done exclusively by the India Leadership Team and other senior management, as identified from time to time. All enquiries, whether written or over the phone, received by any employee from the media must be referred to the relevant India Leadership Team member. No comment of any kind must be made in response to any media or public enquiry. If there is any confusion as to the type of enquiry or the Department who should handle it, the HR Department should be contacted. All interactions with the media must have approval and clearance from the India Leadership Team. Enquiries from customers or general public relating to the Company products or brands, should be directed to the toll free number +1 800 425 2903. Speeches and personal appearance An employee who wishes to make a speech in a conference/seminar should obtain approval from the Vice President HR. The following details should be conveyed: a) b) c) d) Date & venue of the conference/seminar Theme & purpose of the conference/seminar Likely audience Reason for participation

2.

3. 4. 5. 6.

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28. Advisory Services

1. 2.

Employees are not authorised to extend advisory or consultancy services to external clients or agencies, without prior approval of the Vice President - HR. In case an employee wants to involve himself/herself in a non-profit/charitable programme, the same can be done after obtaining prior permission of the ILT Member and Vice President HR. Such involvement should in no way interfere with the employees time commitment in the office. It should in no way be for any monetary gain.

3. 4.

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