Professional Documents
Culture Documents
Contents
Preface........................................................................................................................ 1
1.
2.
Recruitment............................................................................................................ 2
1.1.
1.2.
1.3.
1.4.
Shortlisting candidates....................................................................................... 2
1.5.
1.6.
Identification of Skills......................................................................................... 4
2.2.
2.3.
Training Calendar.............................................................................................. 4
3.
4.
5.
Performance management........................................................................................ 9
6.
7.
5.1.
Goal Setting..................................................................................................... 9
5.2.
5.3.
5.4.
Job Descriptions............................................................................................... 9
5.5.
Promotion Policy............................................................................................. 18
6.2.
6.3.
Code of Conduct............................................................................................. 20
6.4.
Leave policy................................................................................................... 20
6.5.
Reimbursement policy..................................................................................... 23
Employee Separation............................................................................................. 24
ii
Disciplinary Action........................................................................................... 24
7.2.
Misconducts:.................................................................................................. 24
7.3.
7.4.
7.5.
7.6.
Right to Appeal:.............................................................................................. 27
7.7.
Appellate Authority:......................................................................................... 27
7.8.
Retirement/Superannuation:............................................................................. 27
7.9.
7.10.
Provident Fund:........................................................................................... 28
7.11.
Gratuity:..................................................................................................... 28
7.12.
Transferability:............................................................................................. 28
7.13.
7.14.
7.15.
Exit Interview............................................................................................... 28
Annexure.................................................................................................................... 29
Annexure 1: Leave Application................................................................................... 29
Annexure 2: Personal Data Form................................................................................ 30
Personal Data Form.................................................................................................. 31
Annexure 3: Joining Letter......................................................................................... 32
iii
Preface
Human resources manuals are primarily used to provide managers with a systematic approach for
handling human resources-related activities to ensure company policies are enforced. It is designed to
define policies and procedures that support basic management philosophies, outline company rules and
requirements, clarify the companys expectations of its employees, and describe lines of authority and
levels of responsibility.
The contents of this manual should be fully understood by all staff members.
1. Recruitment
1.1.
The requirement of manpower for each position would be decided based on the targets set for the current
financial Year. As any employee is expected to take three months before reaching the desired productivity
level, the recruitment process starts at least four months before the desired date. Based on the annual
business targets, every department would estimate the demand for manpower for the year (made monthwise/quarterly) and it is sent for approval to the HR department. The HR departments word stands good
for the final man power count.
1.2.
Each department (originating department) would create the desired job description for the open positions
and it would be shared with the HR department. The qualifications, experience and other background
required by a candidate would also be shared. The HR department would then finalize the job description
as well as the number of vacancies after discussing with the originating department.
1.3.
The candidates would be sourced for open positions through employee referrals or from amongst the
walk-in resume lists first. The existing employee referral system would not only ensure right fitment
(technical and personal), but also helps in reducing the cost and time associated with recruitment.
The second mode of sourcing applications would be through advertisements in leading local dailies,
campus recruitments, and job portals like www.microfinancegateway.com; www.microfinancehobs.com;
www.jobsforgood.com when the first mode of sourcing fails to provide the requisite number of staff
members. The advertisement would contain the following information.
1.4.
Shortlisting candidates
When the deadline for applications from advertising and word of mouth has expired, the HR department
would create a shortlist of promising candidates to attend the written test cum recruitment interviews. If it
seems likely that too few potential candidates will respond to the advertisement, an executive decision to
extend the deadline or reconsider the advertising strategy needs to be taken.
1.5.
Selection of the place (district, taluk) where recruitment will take place is crucial. In selecting a site, a
balance needs to be struck between proximity to the area of operations and the availability of candidates.
Recruiting in an area very close to the area of operations will result in a workforce with a good cultural
1.6.
Appointees that accept the offer must sign in the appointment offer letter at the appropriate place on the
duplicate copy, and return it to the designated person by the required date. Otherwise, offer of
appointment lapses. Upon receipt of the signed offer of appointments and the signed Staff Undertaking,
the HR department will instruct the Accounts Department in writing to add the new staff member to the
pay roll. Without this instruction no payment of salary/benefits can be made.
Identification of Skills
The first step of training/ learning and development is to clearly describe the job responsibilities of the
various positions which are arrived at from the job profile description. It is also important to prepare a
template of required skill sets across designations.
2.2.
This step consists of identifying gaps between the existing and required skills sets of employees across
job responsibilities. Once identified, the gaps would be graded based on its importance in executions of
primary roles and responsibilities of the employees. The gaps that are critical to the execution of the
employees job function are to be given priority while preparing the training calendar.
2.3.
Training Calendar
A training calendar is to be prepared based on the results of the earlier two steps. This calendar will
consist of the key training requirements across designations and a schedule to conduct the same. The
results of the various trainings should reflect in the subsequent gap assessment and analysis of
employees undergoing training. The Training requirements for Credit officers, Assistant Branch
managers, Branch/Area/Senior Managers, etc., are as follows:
Background Information
1. Scenario of Indian rural Finance and role of banks, cooperative and other financial system in meeting
the credit need of the rural/urban poor. Need for alternate financial service provider and their role in
meeting the financial need of the poor.
2. Understand the cash flow and sources of credit and saving of the prospective clients
3. What is microfinance? Various Models of microfinance delivery e.g. SHG model, JLG model and
individual model, Other FAQs such as why MFIs charge comparatively high rate of interest than
banks
4. Introduction to the MFI
5. Introduction to Operation Manual
6. Roles & responsibilities of CROs/ABMs/BMs/Area Managers etc.
7. Knowledge about competition in the area of operation, competitors, their products & services.
Group formation and Maintenance
1.
2.
3.
4.
5.
6.
Identification of Members
Motivation and community mobilization for group formation
Group and Cluster Formation Procedure and guidelines to form quality groups & clusters.
Group dynamics, joint responsibility, repayment ethics, discipline and conduct of meetings
Group Assessment: Its importance, methodology and documentation
Conduct of periodic SHG meeting its importance and points to be kept in mind in SHG & Cluster
meetings
7. Books, Cards, Registers and accounts to be maintained by the Groups.
8. Training modules for the SHGs/Clusters/Federation Advisory Committee members
Pre-loan Stage
Loan Application procedure & documentation, Credit need analysis, Understanding of loan product.
Loan disbursement, Documentation, Procedure and check points
Meaning of Declining Rate of interest and flat rate of interest and its calculation
Repayment period, EMI, upfront charges.
Insurance premium and its coverage.
Credit bureau linked activities
Post-loan Stage
1. Loan Utilization
2. Portfolio Quality I: Delinquency Management, What is Delinquency, Why members default, Types Of
Delinquency, Measures to check Default, Availing services of Clusters/SHGs in recovery
3. Portfolio Quality II: Repayment Rate its meaning and calculation, Arrears - its meaning and
implication, Portfolio at risk- its implication and method of calculation
4. 100% attendance of SHGs in cluster with repayments. Weekly/Fortnightly meeting proceedings
5. Cash collection in clusters & cash handling, use of hand held machines, issue of receipts etc.,
Others
1. Credit plus activities, IGA training, participation in local social works / community benefit works such
as Pulse polio, school, Anganawadi admission to children, Independence day celebrations etc.
2. Bank remittances, and precautions in handling cash.
3. Basic computer training to fill in MIS, etc
4. Use of Mobile technology
5. Introduction to Salary and Incentive Structure
6. Code of Conduct prescribed by Sa-Dhan/AKMI, RBIs Fair Trade Practices, etc.
7. Interim Exam/ Tests during training
8. Exit test.
consolidated stipend as decided by the board. During probationary period and on confirmation, they will
be paid monthly salary which may include some or all of the following components:
1. Basic pay
2. Variable Dearness Allowance
3. Special Allowance
4. House Rent Allowance
5. City Compensatory Allowance
6. Mobile allowance
7. Performance-linked Variable Pay
8. Performance-linked Travelling expenditure
Employees who are on probation or confirmed who are on salary would be required to contribute towards
Provident Fund and Employees State Insurance or any other insurance scheme introduced by the
Company for the welfare of the staff members. The company would also contribute towards the Provident
Fund and Employees State Insurance or any other health insurance scheme in lieu thereof as may be
decided by the board.
The confirmed employees would also be eligible for Gratuity, Bonus and other
statutory benefits.
According to a survey, 25 to 30% annual employee turnover rates are the direct result of bad hiring and
bad treatment of employees. Keeping an existing customer is significantly less expensive than trying to
gain a new one
The same theory can be applied to retaining productive employees. Three most important issues in
employee retention are - cost, causes and consequences of losing an existing employee.
Following are some of the measures to improve retention Employee Development by company:
o Promoting within the company, if possible, rather than bringing in new people.
o Sending employees to a workshop/conference/convention and add an extra day off while
attending such programs.
o Cross training. It allows employees to expand their knowledge of the company and
strengthen the team. It also provides a great back-up plan.
o Consider lateral moves as an effective way to demonstrate employee movement.
o Buying special tickets to sporting and cultural events and use them as rewards. Encouraging
& sponsoring staff with exceptional talents to sports/cultural competitions & events.
o Arranging short excursions or picnics to places of general or professional interest
o Encourage staff to pursue education of their children; provide fees, other expenses, honour
meritorious children passing SSLC, PUC or Degree.
o Recognition of Best Staff through introduction of appropriate schemes
o Organizing Annual Family Get-togethers.
By reporting Managers:
o Attitude/ Behavior (Proactive)
Identify (aims/goals/problems)
Discuss (solutions)
Design (solutions)
Implement
Feedback/Monitor
Iterate
o Creating a Motivating Environment: Team leaders who create motivating environments are
likely to keep their team members together for a longer period of time. Motivation does not
necessarily have to come through fun events such as parties, celebrations, team outings etc.
They can also come through serious events e.g. arranging a talk by the VP of Quality on
career opportunities in the field of quality. Employees who look forward to these events and
are likely to remain more engaged, Expressing appreciation with a handwritten note,
specifically focusing on what a great asset they are to the company.
Standing up for the Team: Team leaders are closest to their team members. While they need
to ensure smooth functioning of their teams by implementing management decisions, they
also need to educate their managers about the realities on the ground. When agents see the
team leader standing up for them, they will have one more reason to stay in the team.
Providing coaching: Everyone wants to be successful in his or her current job. However, not
everyone knows how. Therefore, one of the key responsibilities will be providing coaching
that is intended to improve the performance of employees. Managers often tend to escape
this role by just coaching their employees. However, coaching is followed by monitoring
performance and providing feedback on the same.
Delegation: Many team leaders and managers feel that they are the only people who can do
a particular task or job. Therefore, they do not delegate their jobs as much as they should.
Delegation is a great way to develop competencies.
Extra Responsibility: Giving extra responsibility to identified employees is another way to get
them engaged with the company. However, just giving the extra responsibility does not help.
The manager must spend good time teaching the employees of how to manage
responsibilities given to them so that they dont feel overburdened.
Focus on future career: Employees are always concerned about their future career. A
manager should focus on showing employees his career ladder. If an employee sees that his
current job offers a path towards their future career aspirations, then they are likely to stay
longer in the company. Therefore, managers should play the role of career counselors as
well.
5. Performance Management
5.1.
Goal Setting
This section comprises of the goal setting process. Goals across a few broad parameters such as
financial, organizational, operational, HR and governance and personal shall be prepared for each
employee in consultation with their reporting managers at the beginning of the year (or at the time of
joining in case of new employees). Weightage of each goal and its contribution to overall performance
management shall be made clear to both the employee as well as the manager. Personality development
goals are also given suitable weightage.
5.2.
The process of performance appraisal would be made clear to all employees. An annual self-assessment
would be carried out by each employee. A two-tier managerial assessment shall be carried out after the
employees self-assessment. A final assessment that incorporates an employees self-assessment and the
respective managers assessment shall be computed.
Format: A format for performance appraisal would be developed wherein all relevant information
pertaining to employee performance is captured.
Schedule: A schedule for carrying out performance appraisal would be prepared at the beginning of the
year. Reporting managers would be assigned to all employees. The time lines for appraisals would also
be finalized at the beginning of the year.
5.3.
Career Development, Promotions, and incentives to the employees would be dependent on the
performance of the employees in relation to the growth, profitability, paying ability and the needs of the
Company. Performance appraisal reports shall form the backbone in deciding the above matters. The
Company may introduce a system of payment of variable pay based on the performance of the individual
staff members. Incentives and promotions for the ensuing year shall be decided by the Board based on
the financial results of the immediate previous financial year.
The first step of training and development is to first clearly describe the job responsibilities of the various
positions which are arrived at from the job profile description. The following are the job responsibilities
relating to the various positions in the organization.
5.4.
Job Descriptions
I.
In-charge of the overall operations responsible for planning the business, implementing and
achieving overall business targets in terms of disbursements, portfolio outstanding and PAR of 0%
COO should oversee that the AO completes all the back office work and sends reports timely.
COO should see that the MIS is updated regularly by all departments in HO/Admin. office
COO spends most of his time in the field (spending at least 2 days/week in field) for surprise visits to
establish and maintain good practices in executing the business and achieving the results.
COO is also responsible to report to Chairman/MD on all matters felt necessary from time to time.
The COO supervises the Regional & Area Managers/Heads of HO Depts/Heads of Admin. Office
Depts. and has to approve their reimbursements.
The COO should receive weekly reports from RMs/AMs, HO & Admin office heads, their planned and
actual supervisory activities, including copies of their surprise Area office and field Visit Reports that
require his attention.
In cases of serious violation of operating procedures as described in the Operations Manual, the
COO should schedule as soon as possible, a surprise visit either by himself or by Heads of
concerned depts. to the concerned Area office/operational area to ensure that corrective action has
been taken.
Responsible for supervising and guiding the Area Managers in implementing/executing the policy
decisions of the company.
Chair all meetings conducted in the Area office convened by Area Manager.
Act as one of the signatories for operation of bank accounts; ensure brisk operations and
reconciliation of the accounts.
Manage the funds of the company and the SHG Federations efficiently.
Review repayments/disbursements on a daily basis.
Devote at least two days in a week for field (clusters) visits and office visits.
Liaison with the LDM / NABARD DDM / District & Taluk officials such as the DC, Tahsildar, EO,
CDPO, Police Department, etc., and also the leading personalities.
In case of serious violation of operating procedures, the DGM should schedule visits immediately and
report to concerned chief of HO /Admin office about corrective action taken.
Review of Audit reports and attention to serious irregularities.
Ensure proper and timely sanction of loans / disbursements.
Ensure timely submission of returns.
Ensure 100% repayments and collection of Savings.
As the Head of the Area Office, he shall be responsible for all of the administrative and operations
related work in the command area of the Area office.
Preparation of Business plan, its implementation, and achieving all targets such as SHG formation,
Financial linkages, 100% on time repayments and Federation savings.
Shall undertake field visits at least on 3 days in a week and visit Branch offices and clusters.
Ensure successful functioning of CRO / Branch offices.
Ensure discipline among all staff members in the area of operation.
Timely submission of returns to HO/ Admin office.
Timely submission of audit rectification reports, attending / taking corrective steps for the serious
irregularities noticed/observed.
Daily review of repayment / credit to bank accounts
Expansion plan, working out staff requirement, undertake selection process with help from HRD.
Liaison with the LDM / NABARD DDM / District & Taluk officials such as the DC, Tahsildar, EO,
CDPO, Police Department, etc., and also the leading personalities.
Timely disbursement of salaries and other benefits to staff.
Maintenance of proper accounting of administrative expenses, Project advance and submission of
accounts to Admin. Office.
Shall act as the Chief Executive Officer of the SHG Federation.
10
Must keep vigil and take immediate action over detected frauds/irregularities by staff and inform the
same to the concerned departments at HO / Admin office.
To ensure maintenance of the furniture and other items like computers etc. at the Area office and
other subordinate offices and keep them in good working condition.
To ensure that the office premises is maintained in clean and good condition.
To update/keep a track over the various agreements with landlords etc. and ensure that proper timely
action is taken to avoid any inconvenience for proper functioning of the office.
11
Prepare & maintain the survey reports of new areas, discuss with BMs and arrive at proper decisions.
Maintain registers to record details of Cluster wise and SHG wise loan disbursements & repayments
details, and Insurance details.
Maintain particulars of Savings & loan repayments cluster wise and SHG wise and obtain signatures
of Cluster representatives.
Important Duties:
Verification of SHGs formed, registration with the SHG Federation, and then only include the same as
progress.
Train SHGs during the verification on aspects like Clusters, Federation, Savings and Credit.
Conduct weekly progress review meetings, draw up visit plans for the ensuing 6 days and implement
the same.
Compulsorily attend Cluster meetings. Plan to visit the SHGs in conjunction with cluster meetings.
Decide in advance which areas/groups to visit.
Plan and list out the groups to be granted new loans/2 nd and subsequent cycle loans in the next 3
months. Ensure that such groups get loans in time and ensure that such groups pass proper
resolutions, maintain books properly and proper recommendations are made.
Before taking up assessment of groups, make a proper study of the SHG file and if any deficiencies
are found, intimate the SHG beforehand to rectify and take up assessment on the next day itself.
Ensuring that loans are disbursed within 6 days of completing the assessment is desirable.
On the day of assessment, re-train the group/members on Micro credit.
Attend cluster meetings and visit groups in that area in conjunction with cluster meetings and take up
Assessments to ensure problem free disbursements / visits.
Pay proper attention to all details while submitting loan applications for sanctions and while
disbursement of loans.
Disburse loans in a Special meeting in the presence of Cluster representatives Monitor the
attendance of the members in the SHG meetings.
For loan disbursements, ensure that all members attend the Branch at the time fixed.
Collect savings / loan repayments, enter the same in the cluster proceedings register and obtain a
copy of the same. Enter savings/repayments in the cards issued to members.
12
Collection of cash recoveries is the duty & responsibility of the CRO. They shall be responsible for
any deficiencies/deviations in this regard.
Ensure that the SHGs/Clusters organize at least 4 non-credit programs per year.
Compulsorily observe anniversary day celebrations of SHGs and Clusters.
Provide insurance cover and information about insurance to SHGs.
Accounting
d. Timely and accurate accounting
e. Successful closure of Books of Accounts
f. Improvisation of accounting processes
13
Personal Development
t. Improve Personal skills and abilities in Finance
u. Improve Personal skills and abilities in Non Finance Domains
v. Improve personal traits and behaviors
b. Head HRD
Determine the Companys current and future staffing needs.
a. Communicate with staff managers on staffing requirements and help to identify potential
internal candidates for promotion.
b. Lead the senior management in succession planning.
14
Periodical visits to MIS installed offices and ensure smooth entry of all data.
Attending to matters pertaining to MIS and such other related matters on a timely basis.
Taking back up of MIS regularly and keeping the same in the custody of MD or other designated
officers.
Take regular back up in hard disc.
Regularly attend to the e-mails and inform the concerned sections.
d. Audit Department
Auditors
1. To undertake and also to assist in regular audit and inspection of all the MFI operations at SHG,
Cluster and Federation level
2. To undertake and also assist in regular audit and inspection of all the MFI operations at Branch
Office, Area Office and at the company level
3. To provide regular feedback and report the developments relating to the audit at their respective
jurisdiction at the field level in the prescribed format
4. To monitor the compliance of the audit irregularities, rectification and closure of the audit report
for the relevant period
5. Create awareness among the staff members of various units/offices on the aspects which need
their special attention from audit & inspection angle.
6. Associate with various training programmes for the staff and highlight the deficiencies observed
from time to time besides suggesting suitable remedial measures.
7. Bring the deficiencies & loopholes observed, critical areas and remedial measures required to the
notice of the higher management for taking necessary corrective action.
15
16
Neatly arrange all stationery, files, books etc, number & index them wherever
required, and maintain them in an orderly fashion
Ensure that all office equipments and vehicles are in a state of good repair and
in working condition
Arrange food, tea, snacks to the dignitaries, guests, trainees and visitors when
instructed to do so by the competent authority.
5.5.
Promotion Policy
The Promotion for the following level of employees would be based on one or more of the following
parameters:
1. Performance rating for two or more consecutive years as decided by the Board.
2. Potential as identified by the Area Office after conducting tests/ interviews besides performance.
3. Minimum Qualifications and experience expected for promotion:
Cadre
Minimum Qualifications
1.Operations:
a. Area Manager
Post graduation with computer knowledge
Graduate or degree not completed
b. Asst./Branch Manager
c. Credit Officer
SSLC / PUC / Graduation
2. Staff in Admin / Regd Office
a. Senior Manager
b. Manager / Auditor
c. Computer operator
d. Office assistant
17
The Dress Code and Etiquette norms are important for ensuring that a respectable image of the
organization is always maintained and professionalism always reflected. All employees coming to work
should dress neatly and in a manner that would befit such an occasion. Smoking, consumption of alcohol
and/or any other intoxicating drug (other than the medicine prescribed by a registered medical
practitioner), chewing pan/pan masala/tobacco and gambling are strictly prohibited in the office premises.
Employees must maintain a clean and tidy office and a pleasant ambience. At the end of the day all
papers and documents should be kept in drawers/ cupboards and properly locked. Computers, fans,
lights, air conditioners should be switched off if they are not in use.
6.2.
In order to facilitate sustainable and scalable operations, the office will open from 7:00am to 7:00pm from
Monday to Saturday. All employees shall sign the attendance register kept at the front office before
commencing work. For those on official duty outside the branch, they shall be marked as outdoor duty
(OD) beforehand. Employees shall put in a minimum of 8 hours of work per day.
Registered & Administrative Office Timings
Start Time
Monday to Saturday
10.30 AM
End Time
6.30 PM
Sunday
Holiday
Holiday
CRO / CM / AM offices
Monday to Saturday
Start Time
7.00 AM
End Time
7.00 PM
Sunday
Holiday
Holiday
All field staff (A/BMs & CROs) are required to be in the field for SHG/cluster meetings and repayments.
Any deviations should be reported to their immediate superior in advance.
On the last day of every month or any other day fixed for the purpose, total attendance for each
department and Area offices shall be collected. It should be checked and approved by the designated
Officer. Employees have to report to their work at times mentioned above and any delay beyond 15
minutes for a period more than four days in a month is treated as unauthorized absence.
Late sittings and use of office premises after office hours should have prior approvals from immediate
superior. The incumbent person(s) will be responsible for any loss of articles and misuse of
premises/goods.
19
6.3.
Code of Conduct
This section covers the obligations of every individual that governs the organizations decisions and
actions.
All employees shall punctually attend to office at the time specified
Each employee has to restrict his/her position to their respective table and computer system. Any
change in positions and use of other systems is permissible only with prior approval from
immediate superior.
Employees should understand that excessive and loud talk can be disruptive for colleagues.
Individuals or groups engaging in such disruptive behavior will receive a warning and then
disciplinary action.
Employees are discouraged from making personal telephone calls. Personal phone calls should
be made only when absolutely necessary.
Newspapers, magazines and other journals etc. placed at the front office should not be carried to
the work area.
Gossip groups have no place in the organization. Anyone found engaged in such activities will be
warned for strict disciplinary action.
Keep your desktop/stationery in good and tidy condition and do not spread books, bags and other
material across the tabletop.
All employees are responsible for the proper use, protection and conservation of organizations
resources including organizations assets, properties, proprietary interests and information.
All computer data and software (MIS, etc.) are the organizations assets. Unauthorized use or
access is not permitted.
Employees should ensure that unauthorized software is not loaded on to computers.
Most important of all, a professional relationship should be maintained at all times with colleagues
and clients. Failure to adhere to this will be punished severely, and may result in immediate
dismissal.
Employees who are not sure whether certain situation or relationship constitutes a professional
conflict should discuss the situation with their immediate superior.
6.4.
Leave policy
Leaves are designed to allow all employees to have vacation, time off and meet other personal
obligations and confirmations.
Absenteeism
An employee is responsible for notifying the immediate reporting authority of his/her absence on any day
(along with reasons) and advising when he/she will report to work. Excessive absence would attract
disciplinary action, which may result in termination. The organization also reserves the right to terminate
any employee who is absent without information.
An employee is considered absent if he/ she is not present for work as scheduled, regardless of cause.
Employees will not be allowed to apply any leave for unexcused absences (to be decided by immediate
reporting authority).
Reporting authorities should give special attention to absence patterns (mentioned below) and report the
matter to their superiors:
- Absence the day before and/or the day after a scheduled holiday or unscheduled holiday.
- Absence the day after payday.
20
It is mandatory for an employee to call the reporting authority in advance and communicate if they are
going to be absent (in cases of emergency, at least by phone or a third person).
Leave cannot be claimed as a matter of right. Sanction of leave is always subject to exigencies of work
and managements discretion. No two types of leave may be combined.
Leave without pay can be availed either after Earned Leave has been exhausted or if Earned Leave
cannot be availed.
In all cases except Casual leave, intervening holidays/ weekly offs during the leave period will be
considered as leave, however holidays/ weekly offs at the beginning or end of the leave period are not
taken into consideration. For example if an employee applies for earned leave on Saturday and Monday,
the intervening Sunday will also be considered as a earned leave.
When leave is required for more than 3 days, the leave application should be submitted at least 2 weeks
in advance.
Casual Leave (CL)
1. Twelve days of Casual Leaves will be available per financial year.
2. Casual leaves cannot be combined with any other leave.
3. Maximum of 3 casual leaves can be taken at a time. Any leave after 3 days will be considered as
leave on Loss of Pay.
4. Casual leave cannot be encashed or carried forward.
Compensatory Leave (Comp. L)
An employee may be granted compensatory leave if he/she is required to work on a Sunday or a Festival
holiday. The immediate superior officer should give a letter to the employee asking him to work on a
holiday and should make it clear in the letter that he/she would be given a compensatory holiday on a day
of the choice of the employee. However, the compensatory leave will have to be availed within one
month from the date on which the employee had worked on a holiday.
Earned Leaves (EL)
1. Fifteen days of leave will be earned for every financial year (after training).
2. It will be credited to the employee on completion of one year of continuous service.
3. An employee can avail minimum of 4 days of earned leave at any one time.
4. Earned leaves can be accumulated upto 240 days and encashed once in a block of 4 years or may
be adjusted against shortfall in notice period or for recovery of dues, on a case to case basis.
Festival Holidays (FH)
1. Every employee is entitled to ten holidays in a year of which 5 are mandatory, which shall include (1)
1st May (May Day) (2) 15 th August (Independence Day) (3) 2 nd October (Gandhi Jayanthi) (4) 26 th
January (Republic Day) & (5) 1st November. The other 5 holidays will be at the discretion of the
employees (Any 5 holidays can be availed from the list of holidays for that year).
2. The adjusted festival leave could be taken during the same month of festival.
Maternity Leave (ML)
1. The leave can be availed for a maximum of two times during the entire service of the employee.
2. The leave can be availed for a maximum period of 6 weeks before and 6 weeks after delivery.
3. Maternity leave is a paid leave and does not affect the Earned leaves and Casual Leaves.
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Type of
Leave
CL & FH
EL
Grade
CROs
A/BMs
AMs / RMs
Dept. Staff
Sanctioning
Authority
Report to AO
by
Sanctioning
Authority
Within 3 days
Within 3 days
---
To HRD
by AO /
Admin.
office
Monthly
-do-do-do-
--
-do7 days
7 days
7 days
3 days
Heads of Depts.
BMs
AMs
Admin. office
Concerned Heads
of dept
COO/MD/Chairman
COs/CROs/BMs
AM / RM
Dept. Staff
Heads of Depts
AMs
Admin office / HR
Admin office / HR
COO/MD/Chairman
Within 3 days
----
SL
All grades
HR
--
ML
-do-
HR
--
--
EL
encashment
-do-
HR
--
--
Remarks
Alternate
arrangement
for attending
cluster
meeting
Alternate
arrangement
for attending
cluster
meeting
Fitness
certificate to
be produced
while
rejoining
duties
One month
in advance
One month
in advance
Procedures
Any employee who wishes to avail leave should forward to HR/Admin by concerned Area Office, the
Leave Application Form duly signed and sanctioned by the reporting authority one week prior to
proceeding on leave.
1. When it is not possible to take prior sanction, the reporting authority may be informed orally of the
duration of absence. The leave note may be forwarded on the date of joining duty.
2. Any leave availed without prior sanction and or oral consent of the reporting authority shall be treated
as loss of pay.
3. Normally the employees application for leave will be treated favorably. However the organization
reserves the rights to curtail/refuse the leave applied for or recall an employee who has already been
granted leave, if exigencies of work so grant.
4. Leave shall not be availed of as a matter of entitlement. Availment of leave is subject to office
exigencies.
5. Non communication of sanction shall be taken as rejection of application for leave.
22
JOINING TIME:
a.
All employees shall be eligible for joining time on one occasion, not exceeding 3 days, exclusive of
the number of days spent on travel, to enable him i. To join a new post to which he is appointed while on duty in his old posting, or
b.
During the joining time an employee shall be eligible to draw the emoluments at the place of the old
or new posting, whichever is less.
c.
In calculating the joining time admissible to an employee, the day on which he is relieved from his
post shall be excluded, but public holidays following the day of his relief shall be included in
computing the joining time.
d.
No joining time shall be admissible to an employee when the transfer does not involve a posting to a
different place or change of residence.
e.
No joining time shall be admissible to an employee when his posting is of a temporary nature,
irrespective of the fact that the posting is to a place or station other than the one at which he is
permanently posted.
f.
No joining time shall be admissible to an employee when the transfer is at his own request.
g.
When suspension of an employee is revoked and he is posted to a different place, no joining period
is admissible.
ii.
6.5.
Reimbursement policy
23
7. Employee Separation
The section details the activities that initiate (employee driven or Company driven) employee separation
and the processes involved in the same.
7.1.
Disciplinary Action
In case of staff members faltering on the norms mentioned in the manual, the supervisors must write a
note on it and add it to the personal file of the staff concerned. The supervisor is authorized to
recommend for deduction in salary of one day of the concerned staff after mentioning this to HO/ district
office as a penal action against the faltering staff. In case it is a repeat offence, the salary deduction will
be at max for 15 days. The last resort is to recommend for termination of services of the concerned
employee.
NOTE: Termination is a very serious issue and can only be done by the order of the Chairman. The
concerned staff must be provided with a chance to present their side before the decision is taken. In
addition, circulars will be issued as and when required by the senior management.
7.2.
Misconducts:
Without being exhaustive and without prejudice to the generality of the term "Misconduct" the following
acts of ommission and/or commission shall be treated as misconducts.
1. Willful insubordination or disobedience, whether alone or in combination with others to any lawful and
reasonable order of his superior in the discharge of his duties.
2. Theft, fraud or dishonesty or misappropriation or willful damage or causing loss in connection with the
COMPANY's business or activities, goods or property, or any of the organisation or establishment
connected or dealing with the COMPANY or property belonging to any other employee from the
premises of the COMPANY.
3. Habitual late attendance or leaving the place of work before the proper time without permission.
4. Habitual absence without leave or permission.
5. Absence without leave or prior permission for more than 8 days.
6. Negligence in work or carelessness or inefficiency.
7. Failing to attend work on holidays when notified to do so, without reasonable cause or without prior
permission.
8. Drunkenness, riotous or disorderly behavior within the premises of the COMPANY.
9. False statement made in his application for appointment or securing appointment or false grounds.
Misrepresentation or suppression of facts. Knowingly making a false statement in any report, return,
and declaration or giving false information.
10. Committing nuisance in the premises of the COMPANY or its branch offices if any.
11. Obtaining or attempts to obtain leave on false grounds.
12. Indecent behavior use of obscene language, gestures or passing of filthy remarks and writing such
slogans in the premises.
13. Threatening, intimidating, coercing other employees/clients, assault or threat of assault, provoked or
unprovoked in the premises of the COMPANY or in any of its branches, including violation of Code of
Conduct of Sa-Dhan,/AKMI, RBI fair trade practices, etc., Any act of misconduct committed by
24
7.3.
An employee found guilty of the misconduct may be awarded any of the following punishments by the
disciplinary authority or any other employee authorized by the Chairman or Managing Director. The
appointing authority shall also be disciplinary authority.
25
7.4.
1. Before awarding any of the punishment the concerned employee shall be issued with a charge sheet
detailing the misconduct/s alleged against him calling for an explanation in his defense in writing
within a stipulated time.
2. On receipt of the explanation from the concerned employee or on the expiry of stipulated time, the
Disciplinary Authority shall institute an enquiry by appointing an 'Enquiring Authority' called as
'Enquiry Officer' to enquire into allegations of misconduct against the employee. A presenting Officer
can be appointed by the Disciplinary Authority. The enquiry should be conducted in terms of
principles of natural justice.
3. The 'Enquiry Officer' can be any employee of the COMPANY or any outside person/agency.
4. Provided that where the Disciplinary Authority decides to impose a punishment of warning, censure
or reprimand under service rule No. XVII (1) above, no enquiry need be conducted.
5. During the enquiry the employee shall be permitted to avail the assistance of any of his co-worker to
defend him. However no outsider shall be allowed to represent the employee.
6. An employee who does not avail or refuse to avail himself of the opportunity, given to him for
defending himself by non-appearance or non-participation at the enquiry shall be regarded as absent
and the enquiry into the charges shall be held in his absence exparte.
7. On receipt of the enquiry proceedings and findings of the enquiry, a copy of the enquiry findings may
be sent to the employee, for his representation, if any, within 15 days.
8. The COMPANY shall take a final decision on the award of any of the punishments or otherwise.
7.5.
1. Where the Disciplinary Authority is of the opinion that the alleged misconduct against an employee
are serious in nature or where the presence of the employee is considered not desirable in the
premises of the COMPANY or its branches or where the employee is involved in a criminal case, the
Disciplinary Authority may pass an order keeping such employee under suspension pending
disciplinary proceedings. That such a suspension order may be by a separate order or suspension
order can be incorporated in the charge sheet itself.
2. During the period of such suspension, the suspended employee shall not enter the premises of the
COMPANY or its branch offices except with the written permission of the COMPANY.
3. During the period of suspension the employee will be entitled to, subsistence allowance and other
allowance as given below :
a. At the rate of one-third (1/3) of the salary which the employee was entitled to immediately
preceding the day of such suspension for the first 90 days of suspension.
b. At the rate of fifty per cent (50%) of such salary thereafter
26
7.6.
Right to Appeal:
An employee shall have a right of appeal against any order passed by the Disciplinary Authority which
injuriously affects his interest.
The appeal shall be preferred to the appellate authority within 30 days of the date of service of the order
appealed against. The appellate authority shall consider whether the findings of the disciplinary authority
are justified and whether the penalty imposed is adequate and pass suitable order as early as possible.
7.7.
Appellate Authority:
7.8.
Retirement/Superannuation:
Every employee shall cease to be in service of the Company at the end of the period specified in the
contract of service or on attaining the age of 60 years in cases where the contract does not specify the
period of service. This is without prejudice to the right of the Company to terminate the service of the
employee at any time with the prescribed notice or salary in lieu thereof or without notice as per terms of
employment and as per the service regulations formulated by it from to time.
7.9.
1. A trainee desirous of leaving the COMPANYS service shall give 15 days notice in writing to the
Managing Director of his intention to do so or surrender to the COMPANY 15 days salary in lieu
thereof.
27
7.11. Gratuity:
All confirmed employees shall be entitled to gratuity as specified in 'Payment of Gratuity Act 1972'.
7.12. Transferability:
An employee is liable to be transferred to any office or to any branch of the Company and in such cases
TA for the journey to the employee is admissible. If such transfers are on request, no TA is admissible.
28
29
Annexure
Annexure 1: Leave Application
From:
Date: ..
Name of the Employee: .. Employee Number : ..
Designation
: Place of Work :
..
To:
The
.
Dear Sir,
Sub: Sanction of Casual / Earned / Sick / Maternity / Compensatory Leave
Kindly sanction above mentioned leave to me for .. days from . (date) to
(date) for the following reason:
I enclose the following documents:
The relative medical certificate is enclosed herewith
Fitness certificate is enclosed herewith
The Medical cum-Fitness Certificate is enclosed herewith
I propose to hand over charge to Mr/Ms . during my leave period.
My address during the leave period is as follows:
..
..
Signature of the Employee
Signature of Recommending
Authority
Order of Sanction:
SANCTIONED / REJECTED.
Signature of Sanctioning Authority
29
1.
2.
Date of Birth
3.
Name of Father
4.
Name of Mother
5.
Details of Dependents
8.
9.
Religion
Caste
Occupation
of Father
Occupation
of Mother
Name
7.
STD Code:
Relationship with
employee
Age (Yrs)
Permanent Address
6.
Present Address
Number:
10.
11.
Blood Group
Married / Unmarried
O+
O-
A+
No: of Children :
A-
School/College
B+
B-
Year of Passing
AB+
AB-
% of Marks
SSLC
PUC
12.
Educational Qualifications
DEGREE
P.G
Others
30
14.
Name of Organization
Designation
Duration
Speak
Read
Write
Work Experience
Languages Known
15.
16.
References
(Please
furnish
their
names,
address
and
contact
telephone/mobile number)
17.
(1)
(2)
Note: Attach proof of age, qualifications, experience and three passport sized photos.
I hereby state that the above information is correct to the best of my knowledge.
Signature:
Date:
Place
Name:
Designation:
Present place of Work:
31
(..................................)
32
33
CLASSIFICATION OF STAFF/EMPLOYEES:
34
35
36
6.2
In order to facilitate sustainable and scalable operations, the Branch offices will be open from 7:00am to
7:00pm from Monday to Saturday. All employees shall sign the attendance register kept at the front office
before commencing work. For those on official duty outside the branch, they shall be marked as outdoor
duty (OD) beforehand.
Registered & Administrative Office Timings
Start Time
Monday to Saturday
10.30 AM
End Time
6.30 PM
Sunday
Holiday
Holiday
Start Time
7.00 AM
End Time
7.00 PM
Sunday
Holiday
Holiday
All field staff (A/BMs & CROs) are required to be in the field for SHG/cluster meetings and repayments.
Any deviations should be reported to their immediate superior in advance. A/BMs are also required to
cross check disbursement of loans made by CROs on a sample basis.
On the last day of every month total attendance for each department and Area offices shall be collected. It
should be checked and approved by the Department Head/Area Manager. Employees have to report to
their work at times mentioned above and any delay beyond 15 minutes for a period more than four days
in a month is treated as unauthorized absence.
Late sittings and use of office premises after office hours should have prior approvals from immediate
superior. The incumbent person(s) will be responsible for any loss of articles and misuse of
premises/goods.
6.3
Code of Conduct
This section covers the obligations of every individual that governs the organizations decisions and
actions.
All employees shall punctually attend to office at the time specified
37
6.4
Each employee has to restrict his/her position to their respective table and computer system. Any
change in positions and use of other systems is permissible only with prior approval from
immediate superior.
Employees should understand that excessive and loud talk can be disruptive for colleagues.
Individuals or groups engaging in such disruptive behavior will receive a warning and then
disciplinary action.
Employees are discouraged from making personal telephone calls. Personal phone calls should
be made only when absolutely necessary.
Newspapers, magazines and other journals etc. placed at the front office should not be carried to
the work area.
Gossip groups have no place in the organization. Anyone found engaged in such activities will be
warned for strict disciplinary action.
Keep your desktop/stationery in good and tidy condition and do not spread books, bags and other
material across the tabletop.
All employees are responsible for the proper use, protection and conservation of organizations
resources including organizations assets, properties, proprietary interests and information.
All computer data and software (MIS, etc.) are the organizations assets. Unauthorized use or
access is not permitted.
Employees should ensure that unauthorized software is not loaded on to computers.
Most important of all, a professional relationship should be maintained at all times with colleagues
and clients. The Code of Conduct prescribed by Sa-Dhan/AKMI shall be strictly adhered to.
Failure to adhere to this will be punished severely, and may result in immediate dismissal.
Employees who are not sure whether certain situation or relationship constitutes a professional
conflict should discuss the situation with their immediate superior.
Leave policy
Leaves are designed to allow all employees to have vacation, time off and meet other personal
obligations and confirmations.
Absenteeism
An employee is responsible for notifying the immediate reporting authority of his/her absence on any day
(along with reasons) and advising when he/she will report to work. Excessive absence would attract
disciplinary action, which may result in termination. The organization also reserves the right to terminate
any employee who is absent without notification.
An employee is considered absent if he/ she is not present for work as scheduled, regardless of cause.
Employees will not be allowed to apply any leave for unexcused absences (to be decided by immediate
reporting authority).
Reporting authorities should give special attention to absence patterns (mentioned below) and report the
matter to their superiors:
- Absence the day before and/or the day after a scheduled holiday or unscheduled holiday.
- Absence the day after payday.
- Calling in sick regularly.
It is mandatory for an employee to call the reporting authority in advance and communicate if they are
going to be absent (in cases of emergency, at least by phone or through a third person).
38
39
Type of
Leave
CL & FH
Grade
CROs,
ABMs & BMs
AMs
Dept. Staff
AGMs/ DGMs / GMs /
Heads of Depts.
CROs/ABMs/BM
AM
Dept. Staff
AGM/DGM/GM/Heads
of Depts
Sanctioning Authority
BMs
AMs
DGM (Ops. /Credit)
Concerned Heads of
Dept
HRD/COO/MD/Chairman
DGM (Ops. / Credit)
Admin office / HRD
Admin office / HRD
HRD/COO/MD/Chairman
Report To
HRD by
Sanctioning
Authority
Monthly
-do-do-do-
EL
3 days
3 days
3 days
3 days
SL
All cadres
HRD/COO/MD/Chairman
ML
All cadres
HRD/COO/MD/Chairman
--
EL
encashment*
All cadres
HRD/COO/MD/Chairman
--
Remarks
Alternate
arrangement
for attending
cluster
meeting
Alternate
arrangement
for attending
cluster
meeting
Fitness
certificate to
be produced
while
rejoining duties
One month
in advance
One month
in advance
Note:- The effective date for EL encashment shall be the date on which this provision is approved by the Board of
Directors.
Procedures
Any employee who wishes to avail leave should forward to HR/Admin Office through concerned Area
Office, the Leave Application Form duly signed and sanctioned by the reporting authority one week prior
to proceeding on leave.
1. When it is not possible to take prior sanction, the reporting authority may be informed orally of the
duration of absence. The leave note may be forwarded on the date of joining duty.
2. Any leave availed without prior sanction and or oral consent of the reporting authority shall be treated
as leave on loss of pay.
3. Normally the employees application for leave will be treated favorably. However the organization
reserves the rights to curtail/refuse the leave applied for or recall an employee who has already been
granted leave, if exigencies of work so grant.
4. Leave shall not be availed of as a matter of entitlement. Availment of leave is subject to office
exigencies.
5. Non communication of sanction shall be taken as rejection of application for leave.
40
No joining time shall be admissible to an employee when the transfer does not involve a
posting to a different place or change of residence.
7.0
Disciplinary Action
In case of staff members faltering on the norms mentioned in the manual, the supervisors must write a
note on it and add it to the personal file of the staff concerned. The supervisor is authorized to
recommend for deduction in salary of one day of the concerned staff after mentioning this to HO/ district
office as a penal action against the faltering staff. In case it is a repeat offence, the salary deduction will
be at max for 15 days. The last resort is to recommend for termination of services of the concerned
employee.
NOTE: Termination is a very serious issue and can only be done by the order of the Chairman. The
concerned staff must be provided with a chance to present their side before the decision is taken. In
addition, circulars will be issued as and when required by the senior management.
7.1
Misconducts:
Without being exhaustive and without prejudice to the generality of the term "Misconduct" the following
acts of commission and/or commission shall be treated as misconducts.
1. Willful insubordination or disobedience, whether alone or in combination with others to any lawful
and reasonable order of his superior in the discharge of his duties.
2. Theft, fraud or dishonesty or misappropriation or willful damage or causing loss in connection with
the COMPANY's business or activities, goods or property, or any of the organisation or
establishment connected or dealing with the COMPANY or property belonging to any other
employee from the premises of the COMPANY.
3. Habitual late attendance or leaving the place of work before the proper time without permission.
4. Habitual absence without leave or permission.
5. Absence without leave or prior permission for more than 10 days.
6. Negligence in work or carelessness or inefficiency.
41
42
7.2
An employee found guilty of the misconduct may be awarded any of the following punishments by the
disciplinary authority or any other employee authorized by the Chairman or Managing Director. The
appointing authority shall also be disciplinary authority.
1. Censure, warning or reprimand.
2. Fine.
3. Suspension without wages for a period not exceeding four days.
4. Stoppage of increment.
5. Stoppage of increment or increments with cumulative effect.
6. Reversion to lower grade or post or reduction in rank or reduction in salary.
7. 'Removal from service' which shall not be a disqualification for future employment.
8. Dismissal from service.
43
b.
c.
Right to Appeal:
An employee shall have a right of appeal against any order passed by the Disciplinary Authority which
injuriously affects his interest.
The appeal shall be preferred to the appellate authority within 30 days of the date of service of the order
appealed against. The appellate authority shall consider whether the findings of the disciplinary authority
are justified and whether the penalty imposed is adequate and pass suitable order as early as possible.
44
d. Appellate Authority:
An appeal shall lie to the Board of Directors.
e. Retirement/Superannuation:
Every employee shall cease to be in service of the Company at the end of the period specified in the
contract of service or on attaining the age of 60 years in cases where the contract does not specify the
period of service. This is without prejudice to the right of the Company to terminate the service of the
employee at any time with the prescribed notice or salary in lieu thereof or without notice as per terms of
employment and as per the service regulations formulated by it from time to time.
g. Provident Fund:
All employees who have completed continuous minimum service as specified in the Employee's Provident
Funds and Miscellaneous Provisions Act, 1952, (19 of 1952) shall be members of the provident fund. The
contribution to the provident fund by the employees and the COMPANY shall be in accordance with the
provisions of the aforesaid act.
h. Gratuity:
All confirmed employees shall be entitled to gratuity as specified in 'Payment of Gratuity Act 1972'.
i. Transferability:
An employee is liable to be transferred to any office or to any branch of the Company and in such cases
TA for the journey to the employee is admissible. If such transfers are on request, no TA is admissible.
45
Annexure
1) Salary and Allowances payable to the different cadres of employees
Note:
Cadre
Basic Pay
(Rs)
VDA
(Rs)
Special
Allow*
Potential
Performa
nce Pay**
Gross (Rs)
Credit Officers
Asst. Br. Managers
Branch Managers
Area Managers
3950
4250
4500
5000
2220
2220
2220
2220
2098
1738
2438
10,780
1100
1650
1650
6500
9,368
9,858
10,808
24,500
The Gross salary shown above does not include travelling expenses which will be paid based on no. of clients.
* The special allowance includes HRA and other allowances, but excludes Mobile allowance & Bonus.
** The potential performance Pay would depend on the number of loan clients handled.
Appropriate penalties would be recovered from salary for overdue loans as decided from time to time.
2) Increment rates for the different cadres of employees (subject to performance review)
Cadre
Basic
100
200
300
400
Credit Officers
Asst. Br. Managers
Branch Managers
Area Managers
Gross
Increase
500
750
1,000
1,500
Field
Functionaries
Gen/Dy./Asst.
Gen. Manager
Asst. Br,
Manager
Credit Officer
Travel
Entitlement
Departmental
Heads
3-Tier AC
or Volvo
Bus
II Sleeper
or
Rajhamsa
Bus
II Sleeper
or
Express
Bus
II Sleeper
or
Express
Bus
Senior
Manager
Manager
(Accounts,
Finance, HR
etc)
Officer
(Accounts,
Finance, HR
etc)
Lodging Expenses in
Rs/Day*
Other District State
Areas HQ
HQ
Boarding Expenses in
Rs/Day
Other District State
Areas HQ
HQ
300
400
700
125
150
200
200
350
500
125
150
200
200
300
400
125
125
150
150**
200**
300**
125
125
150
Note:
a. (*) Lodging bills will be paid only on production of Bills. To avail lodging facility, overnight stay must
be involved.
b. (**) For Credit Officers, lodging bills would be paid only when no facilities are available in the office
premises for overnight staying.
46
47