These rules shall be called Service Rules of the [name of company] hereinafter referred to as “

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NameThese rules shall be called Service Rules of the [name of company] hereinafter referred to as “
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These rules shall be called Service Rules of the [NAME OF COMPANY] (hereinafter referred to as “Employer” “Company” or “Management”) and shall be applicable to all workmen of the organization.

1.1 These rules are called Service Rules for staff of the Company and are applicable to all local staff including trainees, consultants, visiting staff, attached permanently or temporarily engaged by the organization.

1.2 All the staff is requested to familiarize themselves with the rules immediately upon appointment since their service will be governed and regulated by these rules in addition to statutory requirements besides other conditions which may be spelled out in individual appointment letters, contract of service or settlement / office orders.

In these rules unless there is anything repugnant to the context, the following words would have the meaning as assigned to hereunder:

  1. Employer” means ____________________ [NAME OF THE ORGANIZATION].

  2. Workman” means a person employed by the Company and is a staff member of the organization.

  3. Management” means any such executive or any other person as may be authorized by the organization from time to time.

  4. Wages/salary” for the purpose of these rules shall mean wages as defined in the Minimum Wages Act, 1948.

  5. Attendance” means presence of the workman concerned, at the time specified at the place or places of his duty where he is required to work by the management. If a workman is not present at his duty place or though present in such a place but refuses to carry out the work assigned to him which he is bound to do, then he shall not be treated as being present.

  6. Habitual” means an act or omission which is repeated three times or more within a period of 12 (twelve) months.

  7. Family” means the workman, his spouse and unmarried depended children and parents living with and wholly dependent on him.

  8. Medical certificate” means a certificate issued by a Registered Medical Practitioner. Provided, in case of doubt, the Employer will have the right to get the Workman concerned examined by a doctor appointed, nominated or approved by it. The ESI slip certifying the sickness will not be deemed as conclusive proof of sickness of a Workman.

  9. Singular” shall include the ‘plural’ and vice versa.

  10. Masculine” shall include the ‘feminine’ and vice versa.


Workmen shall be classified into any of the following categories:

3.1 On contract

Which means the tenure of employment for a specified period of time and the Workman is entitled to only the benefits specified in the contract of appointment subject to the prior approval of Management. Such contact employee shall not have any right to claim permanency or regularization of his employment in the organization after the expiry of the specified period. Unless terminated earlier by one month’s notice or pay in lieu thereof, such appointment will automatically come to an end at the expiry of the specified period and no notice or any compensation will be payable.

3.2 Permanent

The permanent Workman is one who is employed against a permanent post on permanent basis, which includes a probationary employee who has satisfactorily completed probationary period to the satisfaction of the Management, and who has been confirmed by order in writing. The employee will have to sign a contract of employment, the tenure of which may be one year or more, as decided by the Management.

3.3 Probationer

Probationer is an employee who is provisionally employed for a permanent post, declared as probationary by the Management and has not completed six months on the post. The probationary period of six months may be extended further at the sole discretion of the employer or may be dispensed with earlier either during the initial probation or the extended period of probation. After the original probationary period or subsequently extended probationary period, as the case may be, the Management shall issue an order to the employee in writing either extending the period of probation or terminating his service. Unless confirmed in writing, the employee will be deemed as a probationer after expiry of earlier initial or extended period of probation. Provided further, that if a permanent employee is employed as a probationer on any other post, he may at any time be reverted back to his substantive/original post, during or after the probationary period, and an order in writing to this effect will be given to the concerned employee.

3.4 Temporary

A temporary Workman will include the following:

  1. A person who is appointed for a limited period mentioned in the appointment letter; or

  2. A person who is appointed for work of an essentially temporary nature not intended to be carried on a permanent basis; or

  3. A person employed in connection with the temporary increase in work of a permanent nature; or

  4. A person employed to work provisionally for a limited period in a post till permanent arrangements for filling that post are made.

3.5 Casual

Casual means the Workman who is employed to fulfill unexpected requirement due to unusual or seasonal pressure of work or for work which is of an occasional or casual nature. The Workman’s wages are fixed on daily or ‘hourly’ basis, and the Workman is not entitled to leave or any other benefits of any kind as available to permanent workman’s.

3.6 Part time

A part-time workman means a workman who is employed for work for less than the normal period of working hours. Part-time workmen are not ordinarily entitled to the benefits provided to full-time workmen. They shall be entitled to such benefits as are determined by the Management.

4.1 The candidates selected for appointment, promotion and confirmation of appointment shall be issued an order in writing specifying the terms, as the case may be, and signed by the Management.

4.2 All appointments in the permanent post shall be on probation for a period of six months unless or otherwise specified. This period may be extended further at the discretion of the Management. On satisfactory completion of the period of probation, the Management may confirm the employee. However, no employee is entitled to be confirmed or treated as permanent employee by reason of his having completed either initial or extended probationary period until confirmation order is given in writing by the Management.

4.3 During the probation period either party may terminate the contract at any point of time. No notice is due by either party. The Employer is obliged to pay only for the days actually worked to be calculated according to the agreed salary.

5.1 Salary reviews are done, and if indicated, increments will be awarded annually on the anniversary of the staff joining the organization.

5.2 The cost of living review is calculated on April 1 every year as the average of the official government inflation figure and the Government Retail Price Index depending upon the past performance of a workman and the prosperity of the organization.

5.3 Irrespective of the fact whether any scales of pay and increments have been prescribed or not, the Employer, on account of recession or other sufficient reason, reserves the right to suspend, or postpone the increment to which a workman may be entitled in accordance with the grade in respect of individual cases/categories of workmen. However, if the workman concerned is not agreeable to such action he will have the option to retire after the lapse of notice period as provided in these Rules.

5.4 An advance at a maximum of 50% (percentage fifty) of the basic wages can be given to the workman on the 15th day of the month but it will not be a regular feature.

An employee is entitled to medical reimbursement for self or any member of his family. Family, in relation to employee means (a) the spouse and children of the employee; and (b) the parents, brothers and sisters of the employee wholly and mainly dependent on the employee when their family link can be legally established.

6.1 Treatment done for aesthetic and comfort purpose, not to be compensated

6.1.1 Accident at work

In case of accident at work or on the journey (occurring during working hours or on the usual home-work commute, calculated to the shortest time and distance). If such an employee is not covered by Employees State Insurance Act, the compensation will be payable as provided under the Workmen’s Compensation Act.

6.1.2 Transfer

Every employee is liable to be transferred from one post to another, one job to another, from one department to another without, however, affecting the total amount of wages/salary payable to the employee, exclusive of tips and incentive, etc. The employee is also liable to be transferred at any time to a subsidiary, establishment, branch office, sister organization owned/controlled by the Management whether in existence at present or to be started or taken over or acquired at a later date, at any place in India or abroad. Upon such transfer, the employee will be governed by the rules, regulations, terms and conditions of services, etc., that may be applicable to the place of transfer, provided that the wages, grade, continuity of service and other conditions shall not be adversely affected by such transfer, provided further that the employee may be transferred from one job to another, which he is capable of doing. The employee shall be paid travelling allowance, transport charges to meet the incidental charges.

Every employee will be required to declare his age and produce original birth certificate or school leaving certificate or Matriculation certificate at the time of joining. Once the date of birth is recorded, it will not be permitted to be altered / changed. In case of discrepancy, the appointing authority shall establish the age of the employee, which shall be final and conclusive for all-purpose concerning his employment including retirement.

All employees shall notify the administration or personnel department of the organization immediately if any change in their local or permanent address takes place, but not later than 3 (three) days of such a change. A communication forwarded by the Management to the recorded address shall be regarded as sufficient compliance of the purpose for which the communication is addressed.

9.1 Earned leave

  1. Each employee is entitled to ______________ days as earned leave. These are to be availed within one year from the date of joining the job. These leaves are to be calculated beginning from the first day of the joining subject to qualifying period under Shops & Establishments Act for availing of leave.

  2. Leave for longer duration will be granted at times convenient to the Employer as may be decided by the Management. Due consideration will be given, wherein possible, to the request of the employees.

  3. Each employee can take maximum period of ____________days leave at one time and apply one week in advance.

  4. Leave for longer duration can be refused on account of exigencies of business/work. Similarly, an employee who has already proceeded on leave can be recalled.

  5. Before proceeding on leave, the employee must leave his contact address and telephone number with the administration department of the organization.

  6. Two persons in the same position cannot take leave at a time.

  7. All leaves are to be availed within the year, failing which it would lapse. In exceptional cases, balance leave could be carried forward for a period of ___________months, with prior approval of the Management.

  8. An employee must get the leave sanctioned. Mere submission of application for leave will not be deemed that the leave has been sanctioned.

9.2 Sick leave

Each employee will be granted upto _______________days as sick leave per year, from the date of joining, with full basic wages plus allowances except conveyance if being given. If the employee remains sick for more than 2 (two) days, he must get a medical certificate from a registered medical practitioner.

9.3 Maternity leave

i. Maternity leave is admissible to female employees after completion of 80 days’ service during; a) pregnancy and b) miscarriage and abortion (including induced abortion but not threatened abortion). The Management may require a medical certificate stating the estimated term of the pregnancy.

ii. A female employee will earn earned leave for the year during which she goes on maternity leave.

iii. No female employee will be allowed to work at least six weeks before the expected date of delivery. In other words, maternity leave shall be availed of at the rate of six weeks for the prenatal period and six weeks during the postnatal period, as per the provisions of the Maternity Benefit Act, 1961.

9.4 Leave rules in general

i. Any employee who desires to obtain leave shall apply to the personnel department in writing.

  1. Application for leave of absence for duration of less than three days must be made at least 48 (forty eight) hours prior to the time form which this leave is required, expect on compassionate grounds.

  2. Application for leave of absence for a duration of more than one week shall be made at least 15 (fifteen) days in advance from the date from which the leave is required.

  3. Orders in writing shall be passed by the Employer within two days following the receipt of an application either refusing or sanctioning the leave of absence applied for, provided that in case of an application, leave of absence is of urgent nature, orders will be passed without delay.

  4. A record shall be maintained of all leave of absence, which is sanctioned, in the personal sheet of each employee.

  5. In the event of the employing for an extension of the period of his leave, he shall make an application in writing 72 (seventy two) hours before the period of his originally sanctioned leave expires, and the employer shall, on receipt of such application, inform the employee in writing at the address recorded by him, whether extension of leave applied for has been sanctioned, and if so, for how much period.

  6. An employee who absents for 15 (fifteen) consecutive days or overstays leave (including Sunday and holidays) beyond the period of leave originally granted or subsequently extended by eight consecutive days will be deemed to have lost his lien on his employment.

  7. Any employee suffering from a contagious or infectious disease shall, on the advice of a doctor nominated by the Management be sent on compulsory leave. If any leave is due to him under these Service Rules, the same shall be adjusted, and if no leave is due, the compulsory leave shall be treated as leave without pay.

  8. Mere submission of application of leave or applying for its extension will not be deemed that leave has been sanctioned.

9.5. Holidays

In a calendar year, employees will be entitled to three national holidays viz, 26 January (Republic Day), 15th August (Independence Day), and 2nd October (Gandhi Jayanti) besides___________ days. Festival holidays in a calendar year can be taken as per the requirement of the employees.

9.6 Abandonment of service

i. In the event of a workman remaining absent in excess of the period of leave originally granted or subsequently extended he shall lose his/her lien on his/her appointment unless (a) he/she returns within eight days of the expiry of the period of leave and (b) gives explanation to the Management, of his/her inabilities to return immediately after expiry of the leave period.

ii. A workman remaining absent without leave for a period exceeding eight days (including holidays or weekly days off) at a stretch shall be deemed to have abandoned the service. In case a workman abandons his/her service or is deemed to have abandoned his/her services, it shall be treated as resignation from the service of the company. If however, the said workman returns within 15 (fifteen) days and gives an acceptable explanation for his/her absence to the Management the absence of the said employee may be excused and he may be re-employed in his/her post without continuity of service, entirely at the discretion of the Management and employee shall have no right to any claim or challenge the discretion of the Management in this regard.

9.7 Termination of employment

i. Except as provided specifically in the contract of service, the Employer may terminate the service of an employee after giving one month’s notice in writing or on payment of wages in lieu thereof. The Management reserves the right in requiring employee to work and not relieving him during the notice period. In case of services of temporaries/casuals, no notice is required if the services is terminated before the expiry of the period, subject to the provisions of statutes. The employer may terminate the services of an employee who is on probation without giving one month’s notice or salary in lieu thereof.

ii. The employment of a permanent employee shall be liable for termination on the following, amongst other grounds:

  1. Insanity, senility, physical infirmity, contagious or infectious diseases, continued ill health, unfitness for employment with the Employer as declared by the Employer’s doctor or for loss of confidence.

  2. Conviction in a criminal case.

  3. Engaging in any vocation without the written permission of the Management or found to have been working elsewhere during the period of leave, in case the employee is on full time contract with the Management.

  4. Loss of confidence by the Employer in an employee due to leakage of information or propaganda against the Management.

  5. Insolvency.

iii. An order relating to discharge or termination of service shall be in writing and shall be signed by the Employer/Management and copy thereof shall be supplied to the employee concerned. In cases of general retrenchment on closing down of office, no such order will be given to individual employee.

iv. If an employee intends to leave the service, he shall give one month’s notice of his intention to do so in writing to the Employer or may if he wants to be relieved earlier, surrender in lieu thereof wages equivalent to the days for which the notice falls short of one month, at the discretion of the Management. But if the exigencies of the work so require, the Employer may refuse to relieve him earlier than the entire period of notice. The Employer also reserves the right to accept the resignation with immediate effect subject to payment in lieu thereof.

v. No notice or wages in lieu of notice shall be necessary, if the services of an employee are dispensed with for misconduct.

vi. Employees other than those who have service bonds to serve the Employer for a specified period, who wish to leave the Employer’s service, will be required to give the Employer notice as per the terms of appointment.
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