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Business Process

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Dear Consultant,

Congratulations!!

You have been identified to be a part of the team which is going to


implement SAP HR/HCM for Reliance Industries Limited. An As-Is Business
process study has been carried out by a team from RIL and the report is
available to us. We now need to suggest how the Business Processes of
Reliance Industries Limited may be captured in the new system. Once the
same is agreed and accepted by RIL, we need to build and test the system,
convert the data and make the new SAP R/3 system Live. All this has to be
done in an aggressive timeline of four weeks.

Looking forward to the exciting weeks ahead.

Regards,
Mallareddy,
SAP HCM Lead

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Company Profile:
The Reliance Industries Limited was founded by Dhirubhai H. Ambani is
Indias largest private sector enterprise, with businesses in the energy and
materials value chain. RIL has spread its wings across India and has various
companies under its flagship. The two main companies under its flagship
which are currently implementing SAP are:

Reliance Petroleum Limited


Reliance Communication Limited

Reliance Petroleum Ltd: - Reliance Petroleum Ltd has started its


operations in the year 1965. From its humble beginning in a small town of
Maharashtra called Lonawala, RPL has achieved several mile stones and
today it is one of the largest Petroleum pumps in India.
Head Office:
The head Office of RPL is located in Mumbai from where all the operations
like Import Purchasing, Sales, Finance, Accounts and HR are centrally
located.
Regional Offices:
Currently the company is having seven regional offices in India namely
Lonawala, Pune, Nasik, Chennai, Hosur, Gurgoan and Durgapur. All
Regional offices carry out sales activities. In Lonawala, apart from Sales
unit, it is having manufacturing unit.
Branch Offices:
Pune is having two Branch offices, namely Roha and Mahad. Gurgoan is
having two Branch offices, namely Noida and Delhi.
Reliance Communications Ltd: - Reliance Communications Ltd is another
group company which has started its operations in the year 1985. RCL

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doesnt have any regional offices, but all the RCL operations are carried out
in RPLs regional offices and branch offices for their sales activity. The head
office of RCL is located in Bangalore having Manufacturing and R&D unit.

HUMAN RESOURCES
ORGANIZATIONAL MANAGEMENT:
The employees are identified by the employee number, name and
Designation. The Organizational units are broadly classified as Locations,
Division, Department and Cost Center. Regional offices look after both Sales
and Product distribution. Positions are clearly defined in the organization.
At present all the Employees Master data, Job details are maintained in HR
Plus, whereas, Employees Administration and Recruitment details are
maintained in TALEO software.
Applicant data will be transferred between TALEO to HR PLUS in the
following way:

Reporting will be done to the immediate superior by the hired applicant.

Organization Hierarchy includes four broad levels:1) Top Management


2) Middle Management
3) Workers
4) Utilities
These can be further divided as follows:Top Management:
CHAIRMAN
LA

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Managing Directors
CEO
Directors
GM
Middle Management:
Managers
Sr. Engineers/Leads
Supervisor/GET/Mgmt Trainee/Exe

L9
L8
L7
L6
-

LB

L5
L4

Workers:
Specialist Workers
Workers
Trainees

L2
L1

Utilities:
Sweepers

S1 & S2

L3

As and when the new staffing requirement arises the man power planning
requisition is sent to approving authority for approval by departmental head
of a department with job name and job description.
In Mumbai Head office, each and every department is headed by one
Director and also having two GMs, four Managers, eight Leads and forty
eight Executives.
Under Purchase department, we are having Domestic and International
purchases.
Especially Regional office Lonawala is headed by the separate Director and
all the remaining regional offices are headed by the GMs.
All the regional offices GMs will report to RIL Sales Director.
Lonawala sales unit GM will report to both Lonawala Director and RIL sales
director. Lonawala Manufacturing unit GM will report to only Lonawala
Director.
Lonawala Manufacturing unit having four Technical Sr. Engineers and four
Non-Technical Sr. Engineers are under each Manager.
Under each Technical Sr. Engineer, there are four Specialist workers and
four specialist technician workers.

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Under each Non-Technical Sr. Engineer, there are four Supervisors and
each supervisor will have eight workers.
In Mumbai, RIL has the following work areas, namely
Manufacturing Plant RPL

RPL Plant
Corporate Office

Ambani House
Every regional office of RPL and RCL will have their own work areas
namely
Lonawala
Divine House
Pune
Pune House
Nasik
Nasik House
Roha
Roha House
Mahad
Mahad House
Chennai
Chennai House
Hosur
Hosur House
Gurgaon
Gurgoan House
Durgapur
Durgapur House
Employees will report to the immediate superior within the department
and sometimes depends upon the requirement, employees will report to the
other Department superiors.
Superior Designation within the Department acts as a Head of the
Department, where all the employees will report to him.
The Roles and Responsibilities of an individual position is approved by the
HOD and assigned by the immediate superior.
Each branch office under Regional office is headed by the Managers. Each
and every Branch office is having one S2 level employees. Each and every
regional office is having one S1 & 0ne S2 level employees.
Lonawala Manufacturing unit is having one S1 & one S2 level employee
under each Manager. Each and every Department in Head Office has one S1
& one S2 employee.
RCLs Organizational structure is similar to that of RPLs Structure except
R&D Center in Bangalore.
R&D unit is headed by a GM, followed by four Managers under him.

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Under each Manager there are two Sr. Engineers and each engineer there
are eight Engineers.
Under each Engineer there are GETs (Graduate Engineer Trainees)

=======================================
============================
PERSONNEL ADMINISTRATION:
In both RPL and RCL, Employees Administration and Recruitment details
are maintained in TALEO software.
The following Data are maintained in Talio:
Employee Joining Date :
Date of Birth
Personnel Information
Family Information
Language Known
Medical Information
Employee Family Doctor
Emergency Contact No.
Academic / Qualification
Experience
Salary detail
Loan Detail
Loan Repayment Detail
Dependent included in policy
Salary history
Asset detail given to the employee (eg. Mobile, Laptop etc.)
The Personnel Administration procedures of RPL & RCL includes as follows:

Hiring
Confirmation
Transfers
Deputation

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Change in working details


Promotions
Re-Entry
Termination
Separation

HIRING:
As and when the new staffing requirement arises, the manpower planning
requisition is sent to approving authority for approval by departmental head
of a department with job name and job description.
In RIL it is necessary to have a system and to map the established business
process to manage the Hiring of a New Employee in the organization:
Ensuring the employee is medically fit before joining
Ensuring the employee is joining on mutually decided date.
Displaying Welcome Note on notice board
Collecting the following documents.
Birth certificate
Professional certificate
Other Qualification certificate
Relieving latter
Salary Proof
Passport size photograph
Latest Address proof
Filling the following forms
Employee Joining form
Gratuity form (nomination)
Superannuation form (If required)
E.S.I. declaration (if required)
P.F. Nomination
New Bank A/C opening.
Issue leave card, Identity Card, Quality policy, Environment policy,
Safety policy, Computer usage policy.
Issue temporary Swiping card

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Prepare induction program, Circulate copy of Induction program to all


concerned HODs
Inform Systems department to open E-mail id (if required)
Hand over copy of appointment letter, joining form and other forms to
the Accounts department.
Assignment of Cost Centre.

CONFIRMATION:
Confirmation is a process by which a probationer becomes a confirmed
employee. Confirmation is applicable only to regular employees. This process
results into, either:

Absorption as a regular employee in the grade for which he was


recruited earlier or as required by the organization.
Extension of period of probation
Discharge from service

For the Trainees


Training is for a period of One Year and probation period is of six months are
included in Training period.
For the Regular Employees
Probation is for a period of Six months. After the completion of the
training/probation period, the evaluation of trainee/probationer is done on
certain set parameters like Personal Data, Work involvement and aptitude of
the candidate and also Leadership qualities. Towards the end, it arrives to a
conclusion in the form of a final recommendation. A form is used for this
purpose.
The HR Dept. sends the Evaluation Sheet about review of the
probationers/Mgt. Trainees before two month of the date Probation/ Training
completion date, those who are about to complete either Probation period or
the Training period along with an evaluation form. This exercise of review is
carried out by the immediate superior and finally it is being reviewed by the
HOD.
Send evaluation form of employee to HOD two months in advance.
Obtain recommendations of HOD on evaluation one month in advance.
If recommended to discontinue, approval from MD and issue letter of
discontinue or ask for resignation.
If recommended for further observation, his probation/Training period is
extended

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If recommended to confirm, obtain MDs appointment and arrange


candidates interview with MD.
On approval from MD/HOD, issue letter of confirmation to employee.
Salary may be restructured here.

For Trainees:
This exercise is carried out by the Reporting Officer of the candidate and
reviewed by his HOD. Final Discussion at the end of the year is held by the
Trainees Reporting officer who in turn will recommend/forward it to HOD to
decide whether if HR needs to intervene for some development
programs/Counseling.
To absorb in to company as a regular employee and Put on Probation, extend
the training for some more period or discharge from service in case trainee is
found to be non-acceptable.
TRANSFER:
Manpower Planning and business requirements necessitates the requirement
of Organizational reassignment and Transfer process to be in Place. The
Process should allow the business to transfer employees. Transfer of an
employee from one Location to other Location, or region to region, or intraregion or inter- region but in the same location.

Intra-Branch (within a Division or Branch or Department)


Transfers,
Initially the Requisition will be sent by the HODs for manpower to HR,
and then the Action is taken by HR for identifying the manpower need,
which can be fulfilled by internal transfers/staffing. HR Department will
identify the employee to be transferred based on business needs.
(Matching with employee profile)

Inter-Branch (Transfers outside the Branch, Division or


Department or Company)
Initially the Requisition will be sent by the HODs for manpower to HR,
then the Action is taken by HR for identifying the manpower need,
which can be fulfilled by internal transfers/staffing. HR department
identify the employee to be transferred based on business needs.
(Matching with employee profile)

Finally HR department will give intimation to the employee about transfer


order. Intimation regarding joining of the employee on transfer at new
location to all concerned, by HR. Intimation will be given to Finance/Payroll/FI

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for final settlement.


location.

Transfer of employee personal file to the HR of new

DEPUTATION:
Employees are deputed to different locations if there is any requirement of
certain skills for short term assignment. If the duration of deputation exceeds
six months then the employees are transferred or relocated to the respective
locations.
PROMOTION:
Promotion is a process by which a regular employee is promoted from one
grade/ designation to another. This process is initiated with the creation of
the vacancy because of:
Organizational/business expansion.
Transfer of key people in the function.
Cessation of the employment on account of Resignation/
Retirement/Death/Dismissal of the employee
Recognition of the performance
Resultant effect of the process is witnessed in the following areas:
Promotion to a higher grade / designation
Increase in Salary and benefits
Promotion Process for Managerial Employees:
The HOD will identify the vacancies to be filled through promotions. He
prepares the job description and complexities and sends the same to HR, HQ.
Criteria for promotion:
Promotion will result from exceptional performance by employees and should
be based on: Business Needs
Increase in Responsibility
Evolution of new Job
Potential of employee to handle a bigger job
Rating of at least 3 in the previous two PMS ratings (Appraisals)
Minimum of one year service in the current position
Purely on merit and opportunities available in RPL
Based on the job complexities, available vacancies in the function in a
particular function, HR, HQ prepares the list of the eligible employees
matching with job complexities and meeting the above-mentioned criteria for

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promotions. The list of such candidates is sent to the HOD. HOD recommends
the employees ensuring that criteria and eligibility as laid down by this policy
are met. The employees so recommended will be required to undergo
following selection process:
a) A Promotion Committee/Assessment Center, which have representation
from each function is formed for this purpose and meets at the end of the
year (at the end of the appraisal cycle) to discuss the cases so
recommended for promotion after Assessment Centers and functional
interviews as the case may be.
b) The eligible employees competencies to be mapped with that of the
given job position and the employee whose competencies matches most
closely, will be considered for promotion.
c) A final scorecard is prepared by HR for all the candidates who were
earlier recommended by HOD and have gone through the selection
process. Management will then deliberate on all these names. The
respective HOD will also be involved in the discussion with the
Management. Human Resource and HODs will jointly release an
organization announcement about the promotions.
Promotion Process for Non Supervisory Employees:
No Promotion for the workers categories. Operators might get the Supervisor
category.
Execution of Promotion Orders and Process Administration:
HR, HQ issues the Promotion Letter mentioning the position to which the
employee is promoted and compensation attached to that position.
Intimation of the promotions is given to the following;

Employee concerned through his Reporting Officer.


Payroll/FI for updating the Payroll/FI data and payment of arrears in
case of promotions to be effected in back date.
Updating of employee records in database.

RE-ENTRY:
An employee who has previously associated with the company who had left
the job and is joining once again and the process involved is managing reentry process. The document covers process of Re-entry of the employee
into organization. Following actions are broadly performed in this process,
The details of the candidate are captured from Recruitment Process by
HR.
The HR should verify the credentials of the employee from the HOD of
the group company where the employee has last worked.

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The candidates personal data captured in external recruitment process


are matched with the existing database of non-active i.e. resigned,
terminated, voluntarily retired, etc. by HR.
After selection of the candidate who was ex-employee of the company,
all personal details are referenced from old non-active record to active
employee master data.
Old employee data is retrieved.
Experience of the employee from the date he left the company in the
past till his re-joining captured and entered in master data file.
Running of Hiring Process for the concerned employee is done in case
of new employee joining

SEPARATION:
This process covers the management of Separation of employees arising out
of retirement, Superannuation and Transfer (Within Group Company) an
employee from the services of the company.
The Separation happens due to following reasons.
Retirement
Death
Resignation
Termination
Retrenchment
Termination:
This process covers the management of termination of employment of an
employee arising out of Death of an employee, Dismissal of an employee
from the services of the company. Intimation to HR, HQ in case of deceased
employee posted in Region/Branch and Branch HR.

Intimation to concerned departments thereby seeking No dues


certificate and information on receivables from the employee - HR
Intimation to Payroll/FI along with receivables report received for final
settlement - HR
Calculation of PL encashment and intimation of the same to Payroll/FI
for payment- HR
Intimation to PF Trust-Payroll - HQ
Intimation to Gratuity Trust (LIC)- HR-HQ
Recording of the event in the service book of the employee
Concerned HR

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Compensation of 1-day salary of all employees to be given to the


family of the deceased person. Updating of Personnel file.

Termination of Services of an employee in the event of Dismissal


from Service
Once the order received by HR, a copy of the same is placed in the
personal file of the employee and Personal File is updated accordingly.
Intimation is sent to the Reporting Officer (HOD) of the employee to
take control on all official belongings.
Intimation to concerned departments thereby seeking No dues
certificate and information on receivables from the employee - HR
Intimation to Payroll/FI for full and final settlement.
Intimation to PF/ Gratuity Authority.
Intimation to HR, HQ in case of the employee posted in
Branches/Regions.
Updating employee database.
Resignation Process at HO/Manufacturing:
After receipt of the resignation letter from Reporting Officer of the employee,
HR undertakes the activities detailed below;
If the resignation request is rejected, non-acceptance of resignation is
conveyed to the employee concerned.
If HOD agrees to the request, acceptance of the resignation is
forwarded to HR Head mentioning his date of relieving and terms of
notice period.
Head HRD shall forward the resignation for MDs consent.
On MDs approval employee resignation shall be accepted.
The full & final statement is forwarded by HRD to the Accounts
department.
No dues certificate/ No claim certificate is issued to concerned
employee for obtaining the clearance from concerned department.
Payroll/FI is advised to send details of receivables (like loans/
advances/ training bond/ proportionate salary in lieu of notice period in
case employee asks for early release, etc.) and payables (like PL
encashment, etc.)
On receipt of this No dues certificate / No claim certificate HR prepares
his FFS(Full & Final Settlement) and sends it to FI for payment.
Details of final receivables and payables are given to the employee at
this juncture. If receivables are more than payables, employee is
advised to clear all dues against him.

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On receipt of information from Payroll/FI regarding employees clearing


all the dues/receivables mentioned in Resignation Acceptance Letter,
HR issues the Release Order.

DISCIPLINARY:
This process basically covers the following two punishments,
Withholding of increment
Reversion to the lower level i.e. demotion
This starts with the issuance of punishment order or communication of the
decision to HR Department by Disciplinary Authority for type of punishment
to be awarded to an employee as a result of inquiry conducted against him
for any indiscipline or misconduct, stating the punishment and the effective
date.
Any misconduct/indiscipline on the part of employee is referred to HR. The
HR will look in to all the allegations leveled against the employee by any of
his/her co-workers and conduct an enquiry. In the enquiry if the employee is
found to be guilty, then an order will be passed for implementation of the
same. The disciplinary proceedings will be as per the standings orders/
Factory Act. Disciplinary Authority/HR sends the copy of the order to the
Employee. Concerned HR makes the necessary entries in the Personal file of
the employee.
In case of the employees posted in Branches/Regions, HO HR sends the copy
of the order to the employee and is being recorded in the personal file.
Intimation to Payroll/FI by concerned HR for giving the effect into salary.
In absconding cases, two warning letters will be sent to an absconded
employee to his/her Permanent address within the time span of two months.
If there is no proper response from that concerned employee, his/her name
will be deleted from the employee database.
In RPL and RCL, employees are mainly categorized as follows:
Regular Employees
Contract Employees
Permanent
Temporary
Trainees

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TIME MANAGEMENT:

Employees working in factories are covered under provisions of factory


Act.
Comp-Off Provision for all employees.
Department head prepares weekly/monthly shift schedules and inform the
time office.
Schedules may get changed as per the production requirements.
Deviations in schedules are stored in attendance system for attendance
calculations.
Absenteeism is monitored on day-to-day basis.
On the month end attendance will be audited.
All branches are following Shops and establishment acts as per
state, so different paid holidays are observed.
Different holiday calendars are maintained for different cities. Every
location follows local holidays and working days calendar.
Beside National holidays all employees are entitled for Earned leaves &
Causal Leave.
Absences taken by employees if exceeds their entitlements for respective
leave, will be considered as unpaid leave.
Paid holidays differ from state to state.

RIL STANDING ORDERS


01. Classification of workmen
02. Tickets
03. Publication of working time
04. Publication of holidays and
pay-days
05. Publication of wage rates
06. Shift working
07. Attendance and late coming
08. Festival holidays
09. Leave
10. Casual leave
11. Payment of wages

14. Disciplinary action for


misconduct
15. Complaints
16. Certificate on termination of
service
17. Exhibition of standing
orders
18. Service Record
19. Confirmation
20. Age Of Retirement
21. Medical Aid In Case Of
Accidents

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12. Stoppage of work


13. Termination of employment

22.
23.
24.
25.

Medical examination
Secrecy
Display of notices
Entry and exit

Leave: Our Mumbai Manufacturing plant is covered under The Factories act,
1948 only earned leave statutory. As per this act 1 day leave for every 20
working days maximum scope for only 15 days. But we are giving 24 days
which are more than the act says.
Remaining other business units covered under Shops and establishment act.
This act defined Earned leave, casual leave and sick leave. But these leaves
are variant to state to state. These business units are not following as per
law, only for our standing orders.
Casual leave: As per our standing orders we are providing 7 casual leaves
to every employee.
Payment of wages: Coming to this concept the following acts deals this
subject. The payment of wages act, 1936 The act main focus is Pay period
- Not More than one month.
Payment date Where in 1000 or more employees employed in any
organization the payment date is not expiry of the 10th day of pay period.
Where in below 1000 employees employed in any organization the
payment date is not expiry of the 7th day of pay period. The shops and
establishment act The act main focus is Pay period - Not More than one
month.
Payment date It is variant to state to state. This act says the payment
date in our Mumbai Manufacturing plant is covered under Payment of wages
act.
And other Business units are covered under Payment of wages act and
respective Shops and establishment act.
But as per or standing orders for workers pay period is By monthly and
payment date is 1st 16th of every month for Top and Middle management
levels pay period is monthly and payment date is last working day of the
pay period. We are following and giving more than the act says.

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STATE WISE H0LIDAYS STATUTORY PROVISIONS


LOCATIO
N

MUMBAI
LONAWAL
A
PUNE
NASHIK
CHENNAI
HOSUR
GURGOA
N
DURGAPU
R
DELHI
BANGALO
RE

NAME OF THE STATE ACT APPLIES

HOLIDAYS
NATION
AL
HOLIDA
YS

The Bombay Shops and establishments


ACT, 1948
The Bombay Shops and establishments
ACT, 1948
The Bombay Shops and establishments
ACT, 1948
The Bombay Shops and establishments
ACT, 1948
The Tamilnadu Shops and establishments
ACT, 1958
The Tamilnadu Shops and establishments
ACT, 1958
The Punjab Industrial Establishments
(National & Festival Holidays) ACT, 1965
The West Bengal Shops and establishments
ACT, 1963
The Delhi Shops and establishments ACT,
1954
The Karnataka Industrial Establishments
(National & Festival Holidays) ACT, 1963

PUBLIC HOLIDAY CALENDAR:

FESTIV
AL
HOLIDA
YS

4
4
4
4
4

Not Defined
3
3

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The Paid holidays are part of the time Management that also forms as a
part of employee working times. The employee will be allowed to have 9 paid
Holidays in a year.
Ability to maintain Paid
provision to store different
upon the business needs.
changes in Holidays have to

Holidays calendar annually. There has to be a


holidays in a system and to attach depending
Necessary to have process where every year
be accommodated in a simple Manner.

Also have a facility to have fixed and Movable holidays. Different holiday
calendars are observed in different Locations and branches. All nonproductive (office) employees will have weekly off on Sunday and all
productive employees will have staggering weekly off. In RIL the Holidays for
the next calendar year will be declared last week before the end of the year.
NATIONAL HOLIDAYS: Republic Day, Dr B. R.
Independence Day, Mahatma Gandhi's Birthday.

Ambedkar Jayanthi,

STATE WISE HOLIDAYS LIST INCLUDING NATIONAL HOLIDAYS:


Karnataka Uttarayana punya kala Sankranti Festival, Maha Shivaratri,
Good Friday, Chandramana Ugadi, Varasiddhi Vinayaka Vrata, ,
Vijayadasami, Bakrid, Kannada Rajyothsava, Naraka Chaturdashi, and
Christmas Day.

Tamilnadu Pongal, Thiruvalluvar Day, Good Friday, Tamil New Year's


Day, May Day, Ramzan, Vinayaka Chaturthi, Vijaya Dasami, Bakrid,
Deepavali, Christmas Day.

Maharashtra Chatrapati Shivaji Maharaj Jayanti, Mahashivaratri, Ram


Navmi, Maharashtra Din, Ramzan Id, Ganesh Chaturthi, Dasara, Diwali,
Moharum, Guru Nanak Jayanti, Christmas Day

Haryana Guru Ravidas's Birthday, Maha Shivratri, Janmashtami,


Dussehra, Birthday of Maharishi Valmiki Ji, Diwali, Christmas Day.

West Bengal Birthday of Swami Vivekananda, Netaji's Birthday,


Bengali New Year's Day, Durga Puja Ashtami, Muharram, Parswanath's
Rathajatra and Christmas Day.

RIL provides nine paid holidays to all employees and if a Public Holiday
falling on a weekly off shall be considered as a weekly off.

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TIME RECORDING:
In RPL manufacturing unit (Lonawala), there are three terminal points
where Employees attendance is captured by using CRYPTON Biometric
Time recording Machines (Thumb Impression).
All the recorded data of the employees at all terminals will be stored in
one server.
In RCL manufacturing unit (Bangalore), employees attendance is captured
by using BESEEN Time recording machine and HSY time recording
machine for R&D unit employees.
Apart from manufacturing units, all Regional offices, Branch offices and
Departments of RIL will maintain Time Sheets for capturing attendances.

WORK SCHEDULE AND WORKING TIME:


Employee working times are to be defined in advance. Every shift is
defined by its planned starting time, planned ending time, planned Break
start time and Planned Break End time, Tolerance Times, working hours and
the working times form Part of employee discipline.
Managing different work schedules
The employees follow different working times in RIL. Some employees work
in shifts. Some employee will work on Paid holidays and they will be paid
overtime/Comp. off as per the managements decision.
Presently following shifts are applicable at RIL.
Shift

Start
Time
General
Shift
09:00
(GDWS)
AM
Morning
Shift 06:00
(MSFT)
AM
Afternoon
Shift
02:00
(ASFT)
PM
Night Shift (NSFT) 10:00
PM

End
Time
05:30
PM
02:00
PM
10:00
PM
06:00
AM

Break Time
1:00 PM
PM
11:30
12:00 PM
7:30 PM
PM
4:30 AM
AM

1:30
AM

8:00
5:00

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Employees working in Grade L2, L1, S1 and S2 have rotating shift. L4 & L5
employees can have night shifts. All others have general shift pattern.
RIL manufacturing units runs 24X7 where Employee Shift changes for
every week and they will get one day week-off.
Employee working times are to be defined in advance. Every shift is
defined by its planned starting time, planned ending time, planned break
start time and planned break end time, tolerance times, working hours and
the working times form part of employee discipline.
The department head prepares the weekly/monthly shift schedule and
inform the time office accordingly. It is likely that the schedule may get
changed as per the production requirements and the same will be informed
to time office by the concern authority. The deviations are stored in the
attendance system for attendance calculation.
All the employees working in factories are covered under the provisions of
factory act.

MANAGING ABSENCES/ LEAVES AND AVAILING:


All the Leave types will be configured in the system for making them
available to the employees of RIL. The leave types are configured with
different validations (limits/rules) as per the requirement of RCL.
Facility to manage employee absences, which are authorized and
unauthorized.
Employee applies for a Leave by filling up a Leave Card.
Submits
the
Leave
Card
to
the
Reporting
officer/Supervisor/Manager/HOD for Approval
On approval, the same application card will be sent to HR for updating
the Leave Card of the employee.
If attendance/leave data not available, the employee will be marked
absent.

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MANAGING 0F PRIVILEGE LEAVE:


The employees are eligible for Privilege Leave as per the company policy
after completion of year. The Leave generation is always at the beginning of
a Calendar year.
The leave generation and availing process in RIL is explained below:
For regular employees:
An employee will earn number of leaves as per eligibility for every completed
year and credited to his leave account at the beginning of the year i.e. as on
1st January. The un-availed PL balance of an employee in his credit is carried
forward to the next year.
Management
Trainees,
Trainee
Engineers
and
Government
Apprentice:
Entitled to get encashment of leaves in case of separation during training
period or leaves will be carried forwarded if employee gets permanent.
Rule for calculating PL
Leaves are credited as per calendar year i.e.: Jan- Dec.
All leave balances PL, SL & CL will be treated as PLs while carry
forwarding the leaves.
Leaves = No of days present on duty * 21 / 313
313: No of working days in a year.

Maximum accumulation allowed:


Category
Operators / Supervisors/
Eng./
Staff (S1,S2)
M1 & above grade
It will be assigned person wise

Accumulation of
the PL
Up to 30 days
Up to 42 days
Min. 42 & Max. 60
days

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Maximum Accumulation as on 1st January for Operators/ Supervisors


is 30 days more than 30 days PL will be encashed in the month of Jan or Feb.
Maximum Accumulation as on 1st January for staff below M1 is 42
days more than 42 days PL will be encashed in the month of Jan or Feb.
Maximum Accumulation as on 1st January for M1 & above grade: Is
60days more than 60 days PL will be encashed in the month of Jan or Feb
Proration:
In the case of an employee joining or leaving the Company in the middle of a
calendar year,
For Regular employees separating during the calendar year, the accrued
Privilege Leave till the date of separation has to be credited to the PL quota.
Reduction formula:
In case if an employee is on Unauthorized Absences and Leave without pay,
the Privilege Leave will not accrue for that period of leave.
During Suspension:
An employee will cease to earn leave on being suspended and no PL will
accrue during the period of suspension. However, this depends on the Final
Order from Disciplinary Authority. If re-instated later, PL reduced may be
restored.
Workmen:
For the preceding calendar year of service, after completion of 240 days, the
confirmed employee shall be entitled to earn leave as per provision of
Factory Act 1948 (No.LXIII of 1948)
For all regular employees the slabs for the allocation of the PL is as follows

Actual
Days
Worked
240 249.59
250 259.59
260 269.59
270 279.59

PL
Eligibility
12 Days
14 days
16 days
18 days

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280 313.00

21 days

Availing:
PL can be availed of at any time by applying leave. Allowed only as per the
available balance in PL quota on the day that leave starts.
PL cant be availed for a quota to be generated in future. Beyond the quota
limit, the period may be converted as Advance PL by the sanctioning
authority for approval and it will be deducted from next years PL quota.
An employee should apply for PL in the prescribed form (Leave Card) at least
one week in advance. The leave sanctioning authority should inform the
employee at least one week before commencement of the leave asked for
whether the leave is granted, refused or postponed. In case the leave is
refused, the reason for refusal shall be recorded in writing and
communicated to the employee.
The leave sanctioning authority at the first stage itself will sanction the leave
as due (or will not sanction, as the case may be) and forward the
application/Leave Card to HR Department for updating the leave records of
the employee. HR Department updates the records and Leave Card. Leave
Card is sent back to the concerned employee.
Overstay beyond sanctioned leave shall be treated as Absence unless the
concerned employee has got extension of his leave sanctioned before the
expiry of the leave already sanctioned.
Weekly off/ Paid holidays as declared by the company may be prefixed and/or
suffixed to any kind of leave. For Ex: If employee is going on leave from
Saturday to Monday and if Sunday is a weekly off/ Paid Holiday, it will be
treated as weekly off or paid holiday.
Personnel Department will make a note of the leave granted and make debit
entries in the leave record card of the employee concerned.
Leave Encashment
The leave encashment rules are same between the plants. The following
calculation describes the various aspects of leave encashment in RIL.
For Staff employees
Gross salary
Less Attendance Bonus
Less Production Bonus

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Less Staggering off allowance


Less RUB
_________________________
(Remaining amount / 26 days)*leave days.
For Workers
Daily salary* leave days
In this case some allowances are converted into daily allowances and then
deducted from the daily salary to calculate leave encashment
The tax exemption of the leave encashment during separation is calculated
as per the standard statutory rules.
Retirement on medical grounds/voluntary retirement:
An employee on his premature retirement on medical grounds/voluntary
retirement shall be entitled to encashment of PL at his credit on the date of
separation.
Resignation:
An employee resigning from the service of the Company may be permitted to
encash the whole quantum of PL standing at his credit. In case the actual
notice period falls short of the notice required to be given by the employee,
an equivalent amount of PL available at credit should be adjusted for the
shortfall in the notice period. Further, the facility of encashment of PL upon
resignation should be restricted to only those of the regular employees who
are required to be given notice period for termination of their services or
correspondingly who have to give specified notice before resignation.
Termination of service under termination clause of appointment:
If
an
employee
leaving
the
company
on
the
grounds
of
resignation/termination/ death/ under disciplinary action or any reason
whatsoever he will be eligible for leave encashment applicable to him.

A fraction of a day, by way of leave earned, may be treated as:


Days = 3 days
3.50 days = 3.5 days
3.75 days = 4 days

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MANAGING SICK LEAVE:


All the employees are eligible for 6 Days of sick leave in a year.
Generation of sick Leave:
All confirmed employees shall be granted Sick Leave @ 6 days per calendar
year. Medical certificate required for 3 or more Sick Leave (SL).
Proration:
In the case of employee joining or leaving the Company during the calendar
year, the earning and crediting of leave for such portion will be on pro-rata
basis.
Rounding Off:
A fraction of a day, by way of leave earned, may be treated as:
3.46 days = 3 days
3.50 days = 3.5 days
3.75 days = 4 days
Employee will earn SL during absence also.
In case suspension: Credit of SL will take place in case of suspension
pending enquiry. It will not accrue in case of suspension due to punitive
action.
Conversion of SL to PL: SL will be converted to PL at the end of each
calendar year, if not availed.
Encashment: Allowed
MANAGING CASUAL LEAVE:
This document covers managing of Casual leave process in RIL. This process
includes crediting of Casual leave and also availing of leave by an employee.
The Casual leave is credited to the employee at the beginning of every year
or on Date of Joining whichever is later on pro-rata basis. All employees are
eligible for this leave. The quota entitlement is 5 days per calendar year for
all the employees
Proration in case of new joinees:
Employees joining service in the middle of the calendar year shall be entitled
to CL for the remaining period of that calendar year on proportionate basis.

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There are proportionate deductions for separation during the year. The
separating employee may avail his CL applicable to him before separation.
Conversion of CL to PL:
CL will be converted to PL at the end of each calendar year, if not availed.
Treatment in case of Transfer:
In case an Employee is transferred from one Region/Branch to the other in
the middle of the year, CL not availed will be carry forwarded to that
Region/Branch.
Leave during suspension pending enquiry or as an award of punishment
depending upon the period of suspension, proportionate reduction in the
number of days of CL otherwise admissible will be effected as in the case of
employees joining in the middle of a calendar year.
Example: i) if the employee is on suspension on 1st of January, he/she will
not earn CL. However, the decision will depend on the final order of
suspension ii) as an award of punishment No CL will be given iii) in case of
re-instatement no effect on CL.
In case of Bandh Day/Strike:
If it's an organization declared leave for the Bandh Day, CL applied may be
cancelled. If not it may be taken as CL taken on that day. Employees who are
already on leave will be granted extra leave for the above purpose only after
submitting the supporting documents.
MANAGING MATERNITY LEAVE:
The Maternity and miscarriage leave is applicable for female employees of
the company.
For First 2 Children:
A female employee, with less than two surviving children and who has
rendered not less than one hundred and sixty (160) days service, including
service on deputation basis, preceding the date of expected delivery, shall
be entitled for maternity leave of 3 months, and one and a half month
extendable in case of complications. Maternity Leave subject to production of
medical certificate from the date she desires to proceed on such leave or
from the date of actual confinement, whichever is earlier.

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Maternity Leave in case of Miscarriage or Abortion:


Maternity Leave for a max. Period of 42 days (or 6 weeks) is permissible to
female employees in case of mis-carriage or abortion as certified by a
Registered Medical Practitioner, and subject to a maximum of two occasions
during entire service. If there exists a surviving child, a maximum of two
times is allowed.
FAMILY PLANNING LEAVE:
Family planning leave applicable to both male and female employee.
Entitlement and Availing:
Family planning leave is sanctioned to both (male & female) employee, who
is undergoing any sort of family planning operation.
MANAGING LEAVE NOT DUE/ADVANCE LEAVE:
When an employee exhausts all quota based leaves and in case of
unforeseen circumstances, the Management can allow the employee to
proceed on leave and the following conditions apply.
The leave sanctioned is an advance leave. The Leave availed has to be
recovered from future Generation of Privilege Leave or sick Leave
Employee will be paid fully during the period of Leave not due. In case
employee leaves the company without accounting the leave not due from
the future Generation or if there is no leave balance to adjust then the same
will be deducted from the salary payable to the employee for the days on
Leave not due but this is applicable only for exceptional cases.
Entitlement and Availing:
In case leave to be sanctioned for Leave not due depends only on the HODs
approval and forwarding to the HOD HR (or MD), when no other leave is in
the credit of the employee & only on medical ground & it has to be supported
by a medical certificate from a Registered Medical Practitioner. This leave is
applicable in exceptional cases only.
Such leave will be debited against PL the employee may earn subsequently.
In other words, while an employee avails LND, his PL to be generated in the
future period, needs to adjust against the LND granted. It shall not be
allowed when there is previous balance of leave not due is to be adjusted.

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Other conditions:
A great caution needs to be exercised in sanctioning Leave Not Due since in
cases of separation the grant of such leave leads to complications regarding
recovery of the amount of leave salary in respect of unadjusted period of
leave. The separation may be on account of resignation or termination of
services by way of dismissal, discharge, retrenchment etc. Each of these
cases is required to be referred to HR with complete details to facilitate its
proper examination and consideration on merits.
It can also be combined with all types of leave. LND would not be granted to
the employee during Training and Probation period. Its a kind of Advance
Leave, which would get adjusted with future leave to be earned by the
employee.
LEAVE WITHOUT PAY:
The process will explain the details of employee availing Leave without pay
and the process also explains under what circumstances the employee is
sanctioned with Leave without pay.
Leave without pay will be sanctioned, when an employee has no leave to
credit in his Privilege Leave account. As this is leave without pay, employee
will not earn PL during Leave without Pay. While crediting the PL in the
beginning of the next year, the period spent on Leave without Pay will be
reduced from PL credit to be given.
Other conditions:
Leave without Pay is loss of pay and therefore has effects on the following:
PL is not earned during Leave without Pay.
In case of Leave without pay Productivity Link Reward/ Bonus or other
components payable to the employee is proportionately reduced.
It may be combined with all types of absences, leave.
Unauthorized Absence: For earning & crediting of PL, unauthorized
absence will be treated similarly as applicable for Leave without Pay.
MANAGING COMPENSATORY OFF:
The compensatory off is a Leave type which is given to the employees who
have worked on a Public Holiday Day or Weekly off or extra hours in
continuous to normal working.

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Compensatory off will be given to the employee when they have extra
working hours which are over and above the Planned working time as per
Work schedule Rules.
For Workers/Supervisors:
Working on Weekly off with the permission of management and also working
on Paid Holiday.
a) Extra working with the permission of the Management for minimum 8
hours over and above normal working hours.
Sanctioning Authority:
Concern HOD
Employee applies for a leave by filling up a leave form and submits the
leave form to his/her immediate superior /HOD.
If attendance/leave data is not available, the employee will be marked as
absent.
If Absences taken by the employees exceeds their Leave entitlements
then these absences will be considered as unpaid leaves and will be
deducted from Basic salary at source.
Rules for late night shift and overtime are monitored as per the factory
act.
Different holiday calendars are maintained for different cities. Every
location follows local holidays and working days calendar.

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==============================================
================================

PAYROLL:
Payroll Process:

At
present,
payroll
team
receives
data
of
appointments/resignation/transfers/promotion revisions etc. by way of hard
and soft copy from HR by end of month of every month for processing the
payroll for month. On receipt of the data the employees database is
created/updated.
The DA index is received form MCCIA, on the basis of that the DA payable
is calculated considering fixed and variable factors, norms, figure. The details
are stored in to the system as a part of current months salary.
Deduction requests relating to company loans, outside finance institutes
loans (New or Closing) are updated (LIC schemes etc.)
The absenteeism is monitored on day-to-day basis and the leave
applications are posted to clear the absenteeism. In the month end the
attendance is audited and transferred to the payroll system.
In addition to the regular HRA, employees in Delhi and Mumbai locations
are getting additional HRA.
Rs. 1600/- for physically challenged employees and Rs. 800/- for normal
employees is provided as Conveyance Allowance.
Uniform allowance is provided for only Supervisors and workers.
Annual increment process is based on grade and percentages will be
decided by the management.
The data related to variable payments like overtime/shift/ /LWP,
attendance bonus, canteen dues, transport dues, staff advance dues and

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telephone dues etc. is sent by the concerned person. Information regarding


employee society dues from the society is received, many employees submit
their LTA, medical reimbursement, petrol reimbursement, drivers, claims as
per their eligibility, all this data is updated in to the current system.
A check list for master information and attendance information is processed,
the same is checked with source document and mistakes are rectified and
the salary is processed.

Activity
Data of appointments,
transfers, promotion on
revision` etc. by way of
hard/soft copy from HR
Attendance,
leave,
overtime, LWP etc. by
time office
Various deductions
amounts (like canteen,
advance, transport,
society, rent)
Bills, receipts for
medical,
reimbursements
Payroll processing

RIL Staff
RIL Workers
Before 25th or of every Before 25th or of every
month
month
26th or
month

27th

of

the 2nd or 3rd of the month

26th or
month

27th

of

the 2nd or 3rd of the month

By 25th of the month

By 25th of the month

28th or 29th of the 4th or 5th of the month


month
Payroll data validation
28th or 29th of the 4th or 5th of the month
month
Cheque printing
30th of the month
6th or 7th of the month
Payslip printing
30th of the month
6th or 7th of the month
Bank transfer
30th of the month
6th or 7th of the month
Close payroll
10th of the month
10th of the month
Statutory payments and PF, P. Tax, LWF Before15th of the month and ESI on
(third party payments)
or before21st of the month. Third party-on or
before 10th of the month.
Planned investments
April
Actual investments
December January

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By 10th, the closing of previous month is carried out. The statutory


payments, third party payments and other monthly reports are processed
once month is closed in the system and the payments are made on due
dates to respective authorities.
In the month of April data of planned investments is sent by all employees
for computation / deduction of tax at source for the financial year. As soon as
the hard copy of investment is received the data is entered for the employee
wise in current system.
In the month of December/January onwards data of actual investments is
sent by employees for deduction of tax at source and they have to attach all
investments photocopies with form & send it to payroll before January. So for
January onwards-processing system will consider only actual investment and
not proposed.
TIME RELEATED PAYMENT:

The time related payments are overtime and Attendance bonus


(monthly).

The rate calculation for overtime varies between the plants. The logic
for attendance bonus is same among plants.

PAYMENTS OF SALARY:

Payment of salary is in 3 different modes. Bank Transfer Demand Draft


and cheque. On request of employee in writing mode of payment can
be changed.

Currently for bank transfer we opted 5 different banks eg. HDFC,


Central Bank of India, Bank of Maharashtra (in future may be more
banks). In master data, bank name & a/c no. In digit (e.g. ICICI 13 digit
a/c no.) is entered. Each bank has their format. On last or first day of
the month and 6th or 7th of every month all banks reports are
generated. Hard copy of covering letter signed by signatories & soft
copy in floppy will be sent to bank for transfer the funds. The amount
will be credited to employees a/c on by 1st and 7th of the month.

PAYMENTS OF INCOMETAX:

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After closing the month within 7 days from the date of payment of the
month TDS for Salary is processed and paid to the Tax Department
within seven days from processing the salary.

PROCESSING OF PROVIDENT FUND:

For monthly payment of Provident Fund contribution - after month


closing, the summary report is generated from system with details of
employee number, date, 12% PF contribution of employee, VPF
contribution, employers contribution, EDLI (payment of EDLI is done
on annual basis to LIC and the EDLI dues are generated in separate
report), Admin charges, and Inspection charges.

On basis of that the payment is made through SBI. By 15th of


subsequent month the challans and form 12 are sent to the PF
authority. By 25th of subsequent month Form 5 for new appointees,
Form 10 for resigned employees is submitted to PF authority. (Even if
employees settlement is not done through system his name has to
appear in Form 10 with the date of resignation).

Form 12A / Pension

As and when employee resigns from organization he fills up the


Provident Fund withdrawal form and sends to payroll. As soon as the
settlement is done the same with for form 3A is sent to the PF
authority. The 3A reports can be generated from March 1995.

Annual return by 30th of April.

PROCESSING OF PROFESSIONAL TAX:

Professional tax is as per the State Policy. Payment of the deduction is


made by 14/15th of the subsequent month. The cheques are printed by
the head office (for sales) and then sent to the respective location for
depositing with the concerned authorities.

Maharashtra, Karnataka Monthly

Tamil Nadu Six monthly

Delhi - No P.Tax

In the month of February for Maharashtra state deduction is Rs.300/-.

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Senior citizens and physically handicapped persons are not eligible for
Ptax deduction. If there are cases where employee is exempted from
Ptax that also can be maintained individually.

PROCESSING OF ESI:

1.75 % on total of actual basis excluding washing allowance. The total


base salary should be less than 7500. Not applicable to certain cities
as well even if applicable to city but not to certain location.

In ESI deduction report, it gives ESI wages, Employee contribution,


Employer contribution and total contribution all duly rounded to the
next rupee, this can be maintained individually.

There are two contribution periods in a year 1) April to September and


2) October to March. Due to any salary revision or interim change in
salary base, salary came down to such an amount, which is < 15000/-.
Then from that month onwards ESI dues get recovered till end of the
contribution period, irrespective of salary limit or size, on the gross
salary drown by the employee @ 1.75% and 4.75% for the employer.

Due to salary revision or promotion if employee comes out of ESI it will


not discontinue in between the month. It will discontinue only in the
month of Oct or April.

After closing of month we generate report for payment for all the
location (or plant) & sent it to them.

PROCESSING OF LABOUR WELFARE FUND:

Applicable to all employees in Maharashtra state below supervisors


grade. IF gross more than Rs. 3000, employees contribution is Rs.12/and employers contribution is Rs.36. If gross less than 3000 Rs.6/from employees and Rs.18/- from employers.

Payment process once in Six Months - December & June for


Maharashtra, Chennai along with return form 1A.

The LWF differs State wise

PROCESSING OF MEDICAL REIMBURSEMENTS:

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Non-bargainable employees, who are not covered in ESI or exempt


form ESI, are eligible for medical reimbursement. Amount eligible of
each employee is to the extent of his/her one months basic salary per
annum. But in few cases some employees get a different amount.
Medical reimbursement period is from April to March.

Employee has to fill a claims form and has to attach all the
corresponding bills to the said form. The form is submitted to the
Accounts department on or before 25th of the month. After checking
the bills the claim is passed for allowable bills and the system is
updated with the passed amount, employee gets the amount in his
salary. Whenever any employee claims, his entitlement reduces to the
extent of claim and simultaneously total claim gets accumulated. At
the end of the financial year i.e. in March, whatever is the rate of basic
salary is the entitlement of that employee for that year. Unclaimed
balance is carried forward to the next year.

PROCESSING OF GRATUITY PROVISION:

Pro rated as per Gratuity Act for the all the employees on annual basis.

RIL has made an arrangement with LIC according to which LIC carries
out actuarial valuation and on the basis of that informs RIL the
percentage of annual wage bill of employee as annual renewal fees.

LEAVE ENCASHMENT:

The leave encashment rules are same between the plants. The
following calculation describes the various aspects of leave
encashment in RIL.

For Staff employees


Gross salary
Less Attendance Bonus
Less Production Bonus/Sales Incentive/Performance Linked Incentive
Less Staggering off allowance
Less RUB (Resource Utilization Bonus)
__________________________
(Remaining amount / 26 days)*leave days.

For Workers
Daily salary* leave days

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In this case some allowances are converted into daily allowances and
then calculated from the daily salary to calculate leave encashment.

The tax exemption of the leave encashment during separation is


calculated as per the standard statutory rules. PF deduction from the
Leave encashment.

PROCESSING BONUS/ EX GRATIA:

The bonus period is same for all plants. For RIL the period is June.

Bonus is paid as per the payment of Bonus Act. Percentage is decided


by management as per profit position. 8.33% is statutory. Ex-gratia is
paid to those employees who are not covered under payment of Bonus
Act. Both the payments are processed paid simultaneously. Processing
method is the same for both (Bonus and Ex-gratia) the only difference
is that Ex-gratia is calculated on the amount other than bonus wages
e.g. if any employee is getting basic salary of 3500/- hence, this
employee is covered under bonus Act.

Bonus is calculated on the salary of Rs. 2500/- p.m i.e. Rs. 30000/- p.a

If management has declared bonus as 20%, then 20% of 30000/- i.e.


Rs. 6000 would be the bonus for the employee and Ex-gratia again
would be paid @ 20% on balance amount i.e. 42000-30000=12000/i.e. 20% of 12000 = 2400/- which is Ex-gratia. Thus 6000 and 2400 is
the breakup of total payable to employee. Since, bonus/Ex-gratia is
subject to income tax, it is added to employees income and tax if
deductible is deducted. Company loan installment as per terms of
agreement is also deducted from bonus payable to employee.
Bonus/Ex-gratia, thus payable is then transferred to respective
employees account.

PROCESSING LTA:

LTA is paid to employees on the basis of calendar year after completion


of one year service from the date of confirmation or probation. To avail
LTA, employee is required to take minimum of 5 days privilege leave
including holiday/weekly off.

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In order to avail LTA employee has to submit the claim in prescribed


form through HOD and HR department, to the A/C department before
25th of the month. LTA can be accumulated for a maximum period of
two years and deduction of Income tax is applicable.

In case any employee leaves the company, he/she will be paid LTA
proportionately for the period it is due and payable along with Full and
Final Settlement subject to claim.

LTA is paid to employees irrespective of whether they travel or not.


Employees who do travel and who submit their claims are given tax
exemption under section 10,

PROCESSING LOANS:

Loan is paid to the employees depending upon the employee


requirement. HODs will approve and forward it to HR Department and
HR Department forwards to Loan Sanction Comity. RIL is providing four
types of loan:
Loan

Period

Rate

Amoun
t

Housing

10
Years

6%

75,000

Furniture

5 Years

6%

15,000

Marriage

2 Years

Free

10,000

Miscellane
ous

Not
fixed

Not
fixed

Not
fixed

In case of Miscellaneous Loan Management decides amount, rate,


eligibility, and period.

Formulas for rate calculation


First month calculation
Installment of First month = (Principal Amount/periods*12) + (Principal
Amount *ROI/365 * month days)

Next month Calculation

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Previous month Principal amount Installment amount (w/t interest) =


Next month Principal Amount

Installment of Second month = (Principal Amount/ period*12) +


(Principal Amount * ROI/365 * month days)

PROCESSING SUPERANNUATION:

RIL has made an arrangement with LIC according to which LIC carries
out actuarial valuation and on the basis of that informs RIL the
percentage of annual wage bill of employee as annual renewal fees.
RIL is providing superannuation facility to employee who are in
companys permanent employment and are designated AGM and
above including whole time directors, only shall be eligible to
participate in the benefits of the scheme.

Contribution is payable every year @ of 15% per annum of the basic


salary.

Salary Advance:

The salary advance is sanctioned to the employee for serious illness of


an employee or his/her family members. The installment amount to be
deducted from salary and period for deduction will be fixed by
personnel department.

Festival Advance:

The festival advance is paid to workers and staff category once in a


year. Amount varies location wise. It is to be deducted in maximum of
4 5 installments. The period of disbursement is different for Pune,
Roha and Mahad. The advance is availed on more than one occasion,
either at the time of Ganapathy festival, Ambedkar jayanthi or Holi.
The worker/staff can take advance on any one occasion.

In case of Employees death, as per the clearance from HR the dues are
settled to his/her nominees name. If it is accidental (death) then the
insurance claims through FI on nominees name.

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Full and Final Settlement:

The separated employee will be provided with a clearance certificate


along with the separation letter. He/she will complete the said form and
hand it over to the personnel department a day prior to his/her last day
of separation. The clearance certificate will be filed in the individuals
personnel file.

The personnel department will compute the final dues in the register,
get it audited, prepare the voucher and forward it to Accounts
department for drawing a cheque.

POSTING TO FI/CO:

In Current Business Process, company Payroll is handled only at the


Head office located in Mumbai using PAYSOFT.

All branches employee inputs for payroll are sent to Head office by 20 th
evening or 21st early hours from respective HR departments.

Documents like Pay sheets, cheque, PF, Bank statements, ESI, Prof. Tax
contribution statements are sent to Finance team through internal mail
by 25th evening or 26th morning.

Finance team prepares Cheques based on the Bank statements


received.

Final cheques are sent to Authorized signatory for approval.

For further processing approved cheques are handed over to HR team


along with necessary approvals.

HR representative hands over the Cheques to Bank along with soft


copy of the bank statement. Salary is credited by 1st of every month.

Incase if any employees Bank accounts are not working then the
amount is credited back to companys current account.

For those employees salary is paid either in cash or through cheque.

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