COMPENSATION & BENEFITS 1
• 3 categories of Employees: - Board level executives - Below board level executives - Workmen • Well defined pay structure for each category.
2
• Compensation structure consists of : o Basic Pay & DA o HRA / Accommodation facilities o Perquisites & Allowances o Performance related payments o Superannuation benefits 3
• DPE is the nodal Deptt. for issuing guidelines on pay related matters for all CPSEs. • DPE issued the guidelines on pay revision of executives in Nov. ’08 and April ’09, effective from 1.1.07. • Pay scales of Board level executives are as below:Chairman Rs.80000-125000/Directors
Rs.75000-100000/4
PAY SCALES Grade
Pre-Revised Pay Scales
Revised Pay Scales
A
12000 - 17500
24900 – 50500
B
13750 -18700
29100 – 54500
C
16000 – 20800
32900 – 58000
D
17500 – 22300
36600 – 62000
E
18500 – 23900
43200 – 66000
F
19000 - 24750
51300 – 73000
G
19500 - 25600
51300 – 73000
H
20500 – 26500
51300 – 73000
I
23750 – 28550
62000 – 80000 5
FOR WORKMEN: • Policy guidelines on wage negotiations with unionized workmen is conveyed by DPE. • Based on General guideline, the pay structure is negotiated with unions and a Long Term Settlement (LTS) is signed with the Unions • No. of LTS : So far, 9 LTSs signed with the Unions. • Pay Scales For Workmen: –Marketing / IBP Division- 7 pay scales and –Other Divisions --9 pay scales
6
WORKMEN: revised REFINERIES/PIPELINES/R&D Grade Pay scales
MARKETING / IBP Grade
Pay scales
I
10500 - 24500
I
II
10600 - 26500
-
III
10800 - 29000
II
10800 - 29000
IV
11900 - 32000
III
11900 - 32000
V
12800 - 35000
IV
12800 - 35000
VI
13800 - 38500
V
13800 - 38500
VII
14800 - 40500
-
VIII
16000 - 43700
VI
IX
20000 – 49200 (Prospective)
10500 - 24500 -
16000 - 43700 20000 – 49200 (Prospective)
7
• Annual increment date- 1st January. • Rates of annual increment : - Officers - @3% of BP - Non-Officers @3% of BP
• Promotion increment - On promotion to higher grade - Officers - @3% of BP - Non-officers - @3% of BP • Stagnation Increment –
– Officers: On reaching the maximum of scale, a stagnation increment can be granted once every two years, subject to maximum of three, if the performance rating is ‘Good’ or above. – Non-officers: On reaching the maximum of scale, a stagnation increment can be granted once every two years subject to max of 3, if the performance rating is ‘Satisfactory’ or above.
8
Dearness Allowance (DA) o Besides, Basic Pay (BP), employees are also entitled to Dearness Allowance. o DA is paid as percentage of Basic Pay- linked with all India index ‘AICPI’ o Revised on quarterly basis, i.e. Jan, April, July & October. o Rate as on 1.04.11– 47.2% of BP 9
• House Rent Allowance (HRA) q House Rent Allowance is linked to the place of duty. q Based on population, Cities classified in 03 Category:– X class - 50 lakhs and above Y class - 5-50 lakhs Z class - less than 5 lakhs
– HRA@30% of BP – HRA@20% of BP – HRA@10% of BP
q HRA not admissible when Corporation accommodation provided to employee
owned/leased
10
PERKS & ALLOWANCES • •
•
•
Perks & Allowances would be admissible to officers upto the ceiling of 50% of Basic Pay. In this regard, a ‘Cafeteria approach’ has been introduced, allowing the officers to choose from set of perks & allowances. The cost of infrastructure facilities such as hospitals, holiday homes & clubs, and the medical expenses, attributed to officers have been loaded on pool basis. The current compulsory loading is 6% of BP. The perks & allowances admissible upto the balance of 44% of BP would be on individual basis. 11
PERKS & ALLOWANCES •
List of perks & allowances within 44% of BP would be as under: – Tea Allowance – Reimbursement of lunch/ refreshment expenses – Subsidized Canteen facilities, wherever existing – Washing Allowance – for those who have not been provided with protective clothing – Rationalization Adjustment Allowance (RAA) – Professional Updation Allowance – Children Education Assistance 12
PERKS & ALLOWANCES •
List of perks & allowances within 44% of BP would be as under: – Furniture items & maintenance reimbursement under Furniture hire Scheme – Interest subsidy on HBA and Conveyance Advance – LFA / LTC – Conveyance Facility – Nominated Hotel Facility – Brief Case/ Electronic Organizer/ Digital Diary 13
PERKS & ALLOWANCES •
Optional / new allowances : – – – –
House Maintenance / Upkeep Allowance Fitness Allowance Professional Attire Allowance Sundry Allowance
14
•
List of perks & allowances outside the purview of perks ceiling of 50% of BP – North East Allowance – 12.5% of BP – Special Allowance upto 10% of BP for serving in the difficult and far flung areas, subject to approval of Ministry. – NPA
15
WORK RELATED ALLOWANCES
• Not uniformly admissible to all the employees. • Depends on grade /nature of assignments & some other condition etc. • Revision Cycle: 04 years 16
• Shift allowance for employees in rotating shift o Rates per shift for actually performing shift duty: – Officers – Gd. A&B
- Rs.80 per shift (mor/eve) - Rs.130 per
shift (night) – Gd. C & above (mor/eve)
- Rs.100 per shift - Rs.150 per
shift (night) 17
• Washing allowance: Payable rates:- & amount diverted towards SABF.
Category
Payable rates
Payable rates
Officers
Work – men
Where uniform 105 p.m. 25 provided(eg.sta p.m. tu./medical etc.)
85 p.m.
14 p.m.
18
• Special Compensatory Off (SCO) for 48 hrs. (officers) o 9 SCOs per quarter automatically encashed in the first month after the quarter. o SCO encashment includes BP, DA, Stagnation Increments.
19
• Compensation for performing duty beyond normal hrs. of work – Officers: Transport / out-of-pocket expenses for performing duty on: – On holidays / closed days or weekly rest days – Extended duty on regular working day – Emergency duty after office hrs. when called from home o Compensation- For 48 hrs. vary from Rs.250/- to Rs.1400/-, For 36.25 hrs.-Rs.250-Rs.900/o Compensatory off in certain situations. ¾ Workmen: Overtime for performing duty beyond 48 hr.per week duty: o Compensated by hourly overtime wages double the normal rate
20
Conveyance advance: For Gr. ‘A’ officers o CAR
– Rs. 2.65 Lac( recoverable in 144 inst.)
o 2–Wheeler: – Actual Cost –recoverable in 96 inst. • Interest rate – 2.5% p.a. (Simple Interest on diminishing Principal amount) House building Advance(HBA) o Eligibility: After completion of 5 yrs.service. o Ceilings–Gr. A,B&C--Rs.12Lac, D-F-14, G & above-16Lac----recoverable in 25yrs. Or balance service period
21
• Reimbursement of Conveyance Running & Maintenance expenses: to those officers who own cars/scooter /MotorCycles & utilize same for official duties/purpose: o Rates for cars: Annual ceiling for each grade have been fixed based on prescribed mileage rate for distance: • Grade A Rs.37800 p.a. Rs.3150 pm • Grade B Rs.58800 p.a. Rs.4900 pm • Grade C Rs.59640 p.a. Rs.4970 pm • Grade D Rs.72240 p.a. Rs.6020 pm • Grade E Rs.73920 p.a. Rs.6160 pm • Grade F Rs.88200 p.a. Rs.7350 pm • Grade G Rs.92400 p.a. Rs.7700 pm • H& above Rs.201600 pa Rs.16800 pm o Rates for Scooter/ Motor-Cycles: Rs.1506 p.m.,
22
Conveyance facility for Sr. Executives: – Those heading the key functions considered as equivalent to projects, would be entitled to Company car with driver : § Grade-H- Any Indian make/model Car up to Rs.6.5 lacs. § Grade I - Any Indian make/mode Car up to Rs.7.5 lacs . - Other Sr. Executives would be using their own car : § for which reimbursement towards conveyance R&M of Rs.16800 pm, Driver charges of Rs.8000 pm and Misc. charges of Rs.3000 pm is allowed. 23
Furniture Scheme on Hire • Officers are entitled to procure furniture items as under:Grade Ceiling (in Rs.) Hire charges (p.m.)
A
40,000/-
55/-
B
50,000/-
60/-
C
60,000/-
65/-
D
75,000/-
70/-
E
1,00,000/-
80/-
F
1,15,000/-
85/-
G
1,40,000/-
90/-
H/I
1,50,000/-
100/110/-
• Repair & Maintenance (R&M) - @ 10% p.a. • Replenishment – after 7 yrs.
24
• Home – Desk Top PC Scheme / LAPTOP o Cost ceiling - Rs.35,000/o Hardware /Software reimbursement up to supported by vouchers.
up-gradationsRs.5,000/- p.a.
o Maintenance and internet connectivityreimbursement up to Rs.12,200/- p.a. on self-certification. 25
• Long Service Award to Employees:
o Awarded with 24 carat gold coin For rendering good and satisfactory service : 15 yrs. 5 gm. Gold coin 25 yrs. 10 gm. Gold coin 30 yrs. 20 gm. Gold coin 35 yrs. 20 gm. Gold coin Superannuation 25 gm. Gold coin
26
• Traveling entitlement: • Officers in Gd.A to C – By 2ND AC-Mail/Exp.Train • By air in certain specified sectors. Other than certain specified sectors in work-exigencies. • Officers in GD. ‘D’ & Above – By Air • Daily allow. – Varies from Rs.800 to Rs.1100 per day • Local Conveyance –Varies from Rs.200 to Rs.300 per Day
27
LEAVE TRAVEL CONCESSION o Eligibility: Self, spouse, dependent eligible children and wholly dependent parents (residing under same roof & income not exceeding Rs.3000/- p.m.) o Frequency: Once in a block of 2 calendar years. o Present block yr.- 2009-2010. o Place :Home town/any place in India by shortest route. o Foreign visit on LTC: Gd. D & above can also visit abroad once in alternate block. Fare is restricted to farthest point mainland in India from the place of posting. 28
oExp. on hiring accommodation – Can draw 100% DA amt. for self/family members for maxi. 10 nights.
oLTC Encashment Rate: o Gd. A/B/C – Rs.4532/- per ticket, o Gd.‘D & above’ -Rs.7700/- per ticket.
29
• Additional LTC facilities East(NE) locations
at
North-
o Employees posted at NE locations having home-town outside NE states can avail liberalized LTC facility. o In addition to normal LTC - Employee & family members may visit home town once in two yrs. 30
Lump sum LFA in Lieu of LTC o Employees can opt for lump-sum LFA in lieu of LTC entitlement. Lump-sum is admissible as under: Sl. amount Category/Grade Lump-sum entitlement
1. Workmen with BP less than Rs.15440/-
1.00 time of actual BP+DA of one month
2 Workmen with BP of Rs.15440/-& 3. Officers in Gd. A, B & C above
1.25 times of 1.50 time of actual actual BP+DA of BP+DA of one one month month
4. Officers in Gd. D, E & F
2.00 times of actual BP+DA of one month
5. Officers in Gd. G, H & I
2.50 times of actual BP+DA of
31
• Holiday Homes – Nainital,Puri, Darjelling,Goa, Mahabaleshwar, Ooty, Simla & Manali. • Nominated Hotels for officers & Family o members: Once in two yrs. Maxi. for 04 days, @Rs.50/- per day. • Nominated Hotels: Mumbai. Kovalam, Udaipur, Port- Blair. Mussoorie, Lonavala, Kodaikanal, Jodhpur & Gangtok 32
• Medical Benefits o Eligibility: Employees & family members, viz. Spouse, wholly dependent children and parents to be declared dependent by employees. o Parents’ eligibility–Combined monthly income not to exceed Rs.9000/-&should permanently reside with the employee under the same roof. § At Refinery locations: o Hospitals are maintained in Ref. townships having indoor, outdoor & investigative facilities and equipped to meet all emergencies requirement. o For specialized treatment which cannot be treated in hospital, the patient may be referred to an outside nominated hospital/specialist.
33
Medical Facility other than Refinery locations: o AMA: May take treatment from an Authorized Medical Attendant (AMA) either under Allopathic or Homeopathic system only. o Domiciliary & hospitalization treatment: may be obtained in any nursing home/ hospital or from specialist of choice.
34
o Nominated Hospitals: Almost all Super Specialty/reputed Hospitals are nominated at various locations, where treatment may be obtained directly or on reference from office. o Reimbursement of expend. : As per actuals subject to rules.
o Ceiling of charges: Ceilings on bed charges, consultation charges, dental treatment, physiotherapy treatment etc. have been laid down.
35
§ MEMBERSHIP OF PROFESSIONAL BODIES o Reimbursement of Annual fees @ Rs.2000: For obtaining membership of any professional body/society relevant to profession. o Reimbursement of Annual fees @ $ 150 0R Rs.7000: For obtaining membership of any international professional body/society relevant to profession. o Life memberships / One time – RS.6000/-
36
§ MOBILE PHONE TO OFFICERS
o Gr. A Officers -reimbursement of cost of Mobile Handset @ 7000. o Call charges for Gr. A : Reimbursed up to Rs.1400/- for cycle of 02 months. o Buy back: Old handset can be bought back after 04 yrs. at depreciated value @ 5% and new handset can be bought.
37
o
Performance Related Pay (PRP)
o MOU rating / performance of the Co. o Profit Before Tax of the Co. o Incremental profit of the Co. – 60% of PRP will be given with a ceiling of 3% of PBT. – 40% of PRP will come from 10% of incremental profit. – Total PRP, however, will be limited to 5 % of the years PBT.
o Performance of the individual officer o Grade of the individual officer o ‘Bell curve approach’ in grading the officers 38
PRP %age linked to: o MOU rating – (40% to 100%). No PRP for Poor rating o Performance of the individual officer (40% to 100%). No PRP for Poor rating o Grade of the individual officer – (40% to 200%) 39
• Superannuation Benefits (under review) o Co.’s contribution - 30% of BP & DA o Superannuation Benefits: Will be under ‘defined contribution scheme’.
40
• Superannuation Benefit Fund Scheme (SABF) o It is a Employees’ Fund o Benefits: Accrue to members on following conditions: o On attaining age of superannuation o Death / permanent total disablement
41
o Monthly direct contribution: Based on agegroup of employee at the time of joining the scheme. o Rate: For age group up to 38 years-- 2% of BP+DA. o Indirect contribution: Diversion of money equivalent of Uniform facility and some allowances / benefits like Tea Allowance, Washing Allowance, etc. § Benefits: Monthly cash payments: After superannuation -40% of BP, DA & Non-Pract. Allow.
42
•
§ Rehabilitation scheme under SABF – in
case of death or permanent total disablemento Option-1 – Monthly payment of @ 40% of last drawn salary to nominee -assuming notional superannuation of Empl. (PF etc. dues can be withdrawn by nominee) o Option-2–Monthly payment of full last drawn salary of employee to spouse till notional date of superannuation, subject to deposit of PF, Gratuity, Leave Encashment & Group Insurance amount. o Thereafter, benefit would be based on the actual years of service put in by the deceased employee.
43
Option-3 – Employment to one of the suitable and dependent wards who possess the prescribed qualifications, fulfills the job specifications and meets other eligibility criteria of recruitment including medical fitness.
44
• Post Retirement Medical Scheme(PRMS)
o Enrolment & contribution: Enroll. done at retirement time by paying one time contribution (Rs.5250-9000 / 2600) for self, spouse, dependent parents & spastic child. o Annual Domiciliary ceilings– Ranges from Rs.12000 to Rs.28000 pa. o Annual Hospitalization ceilings : Ranges from Rs.25500 to Rs.63000 pa. Availed in 2 yearly block – if not utilized, carried forward to next. o Hospitalization ceiling: Can be utilized for chronic OPD ailments, costly investigations, health check-up, etc. against vouchers.
45
o In case of hospitalization in non nominated hospitals- Expenses shall be reimbursed limited to prescribed Hospitalization ceiling. o For treatment specified ailments : 100% reimbursement, subject to conditions. o For other ailments- 85% reimbursement, subject to conditions. 46
Provident Fund (PF) o Own PF Trustee : IOC has its own Provident Fund run by PF Trusts o Employees’ Contribution : @ 12% of B. Pay & DA. o Company contribution : Equal amount is paid. o Interest Rate : @ 8.5% p.a. on the accumulation. o Refundable / non-refundable loans: Can be drawn for specified needs subject to specified conditions. o Refund of contribution: Employees' and corporation's contribution, together with interest, is refunded at the time of retirement. o Retention of fund: The retiree at his option, may retain the Fund 47 beyond retirement for 8 years.
Gratuity o Gratuity rules - as per Payment of Gratuity Act, 1972 o Rate: Payable @15/26 of monthly emoluments for each completed year of service or part thereof in excess of six months(15/26XComted. yr. ser. X monthly emolu.) o Maximum ceiling: Rs.10 lacs o Ceiling Revision: by Govt. Of India from time to time. o Payable at the time of separation: Provided
48
• BENEFITS TO NEW OFFICERS AFTER COMPLETION OF INDUCTION TRAINING AND POSTING : o o o o o
CONVEYANCE ADVANCE FURNITURE ITEMS HOME DESK-TOP PC / LAPTOP MOBILE PHONE BRIEFCASE
49
50
