Standing Order

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DRAFT STANDING ORDERS FOR ADOPTION OF “HINDUSTAN CLOTHING AND MARKETING LTD.,”
1.0 SCOPE AND APPLICABILITY: These Standing Orders shall apply to all employees of M/S Hindustan Clothing and Marketing Ltd., and these standing orders/Service Rules and Regulations/Employee Manual shall constitute the terms and conditions of Employment of all employees and workmen employed in the Factory, unless and otherwise specifically excluded from the applicability of these Standing Order. These Standing Order shall come in to force as provided in Section 7 of the Industrial Employment (Standing Orders) Act 1946. 2.0 DEFINITIONS: In these standing orders unless there is anything repugnant in the subject or context: 2.1.1 “Company” OR “Establishment” Companies/Factories/Firms, Viz: shall mean any of their Group of

Companies Name and Address Including their branches wherever located, and shall include such factory or office which may come in to existence in future, under the same Management 2.2 “Management” shall mean and include the Directors, Partners or Proprietors of the Companies, or the General Manager or such other Managers / Officers who have managerial or administrative power to control the affairs of the company. 2.03 “Factory” means the factory of any of the Companies and includes its Office or Branch Office, wherever located. Administrative

2.4.1

Manager” means any person appointed and duly designated as Manager of the company, or any person, for the time being, is authorized to exercise the functions as the Manager of the company, and includes such person who is designated as Factory Manager in the returns filed under section 7 of factories Act 1948’

2.05 “Workman” Shall mean and include all persons who fall within the definition of workman as defined under section 2(s) of the Industrial Dispute Act 1947.

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2.6 “Employee” means and includes all those employed by the company to do any semi-skilled, un-skilled, manual, technical, administrative or supervisory work.

skilled,

2.7 Premises” means all precincts of the company and other places of work where the employees of the company are carrying out the work of the company such as Factory Head Office, Branch Office etc., 2.8 Medical Officer” means the medical officer of the company engaged as such, or a register medical practitioner approved by the management from time to time. 2.9 Notice Board” means the notice board specifically maintained at conspicuous place close to the entrance gate of the employees in the factory / office premises for the purpose of displaying notices, circulars, orders, etc., meant for communicating to the employees,. And includes any notice board maintained within a department also. 2.10 2.11 2.12 The masculine shall construe to include feminine gender also, and vice-versa. Words imparting the singular number shall include the plural numbers and vice-versa. Other phrases and words used in these Standing Orders all have the meaning as them in the Factories Act 1948, and the Industrial Employment (Standing

assigned to

Orders) Act 1946, provided that if different meanings as assigned to the same phrases or words, the meaning assigned in the latter Act shall prevail. 2.13 Incase of any dispute over the interpretation of these rules and regulations, the decision

of the management shall be final.

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3.0 3.01

CLASIFICATION OF WORKMEN: All workmen shall be classified as: a. b. c. d. e. f. g. Permanent Probationary Badli / Substitute Temporary Apprentice Trainee Non Apprentice Trainee Casual

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3.2.1

Permanent Workman: A Permanent Workman is a workman who has been appointed to fill a permanent post for an un limited period and who has satisfactorily completed the initial probation and any extension thereof, and whose appointment has been confirmed in writing by the company

3.3

PROBATIONER: A probationer is an employee who is provisionally employed to fill a permanent vacancy in a post and has not completed the period of probation, which shall be six months for all categories of workmen. Provided, in any particular case, the management may extend the period equivalent to the period of probation prescribed, if they are not satisfied with the performance / conduct of any workman during the initial period of probation. When the period of probation is so extended, the workman concerned shall be informed in writing at least one week before the normal date of completion of probation, and in the absence of any such intimation, the workman shall be deemed to have satisfactorily completed his probation on the normal date.

3.4

If, after the initial or extended period of probation, a probationer is found suitable To the type of job for which he is appointed, he may confirmed in service. If, after the initial or the extended period of probation, as the case may be, the probationer workman’s performance and conduct are not satisfactory to the management, he is liable to be terminated with 7 days notice period or wages in lieu of notice.

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3.5

If a permanent workman is employed as a probationer in a new post either by promotion or otherwise, he may, at any time during the period of probation or on extension thereof until his employment in the new post is confirmed in writing, be reverted to his original permanent post.

3.6

Badli / Substitute: A Badli is one who is appointed in the post of a permanent workman or a probationer who is temporarily absent or on leave. But, such person would cease to be Badli on completion of a continuous period of service of 240 days, and on such an event, the Badli would be deemed to be a permanent workman.

3.7

Temporary: A Temporary Workman is a workman who has been engaged for work, which is of an essentially temporary nature likely to be finished within a limited period. The period within which such work is likely to finish should be specified but it may be extended if necessary.

3.8

APPRENTICE/TRAINEES: Is one who is engaged for the purpose of leaning a trade on terms of training as may be fixed by the Company for a period of six months subject to a maximum period of not exceeding one year. This also includes “Apprentice” workman as provided under Minimum Wages Notification read with Rule 2(b) of Karnataka Minimum Wages Rules.

3.9

Non – apprentice Trainee: A Non Apprentice Trainee is one who is appointed for Training under the company’s training scheme and not under the Apprenticeship Act.

3.10 4.0 4.1

Casual: A Casual Workman is one who is engaged on day to day basis on work Which is of casual nature or which is of non-recurring or intermittent nature. APPOINTMENTS: All appointments of employees, workmen will be made in writing by the Management, manager or by any other person duly authorized by the management.

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4.2

Candidates seeking employment in the company shall make a written application to the company. The management may also require any of such candidates to undergo a test to determine technical knowledge and skill, beside personal interview. After selection of candidates for employment, the management may, at any time, Prior to or subsequent to his employment, require any workman to be medically examined by the medical officer. All candidates selected for employment shall furnish to the company attested or Photo copies of their birth certificate, educational qualification certificate, experience certificate, and passport size photographs.

4.3

4.4

4.5

Management may also verify the antecedents of the candidate from his previous employer and references furnished by him.

5.0 5.01

HOURS OF WORK: The working hours of the factory and office of the establishment will be decided by the management in accordance with the provision of the law application to the company. A schedule of working hours and shifts shall be exhibited on a notice board in English as per provision in Factories Act 1948. If more than one shift is worked in the establishment workman shall be liable to be transferred from one shift to another. Which will be done after ensuring a 24 hours rest to such workman. The workman shall be liable to work in any shift indicated to them for as long a period as the Company considers it necessary. These working hours and shifts are subject to change from time to time at the direction of the management subject to section 9A of the Industrial Disputes Act 1947. In case of exigency the management reserves the right to call an employee for even without sufficient time.

5.02

5.03

6.0 6.1

ATTENDANCE: The starting and closing of work period, the starting and closing of interval period Shall be from time to time and shall be signaled by a suitable device. 5

6.2

Every workman shall record his daily attendance in the manner prescribed by the management at the time fixed and notified. Any workman who fails to record his attendance in the manner specified herein shall obtain a duty regularization certification from the concerned department head and submit it to Personnel Dept/Human Resource Department. for such regularization of attendance. All workmen shall commence their work at the assigned place in accordance with the notified working hours. Workman attending late to the company shall have to be given proper sufficient reason to the satisfaction of the company, he may be allowed to enter the establishment and the should immediately report to the person authorized before commencing his work. He shall be liable for the deduction in wages proportionate to his late attendance. If a workman leaves his work place during his working hours without any satisfactory reason, he shall be deemed to have committed an act of misconduct and shall be liable for disciplinary action in accordance with these Standing Orders. If a workman is late to work either at the commencement of his shift working hours or after lunch interval for more than three times a month during two successive month or for more than six times in a month, or 20 times in a year, he shall be declared as habitual later comer and shall be liable for disciplinary action in accordance with these Standing Orders. Workman shall leave the factory premises immediately on completion of shift duty, within 15 minutes from closing of the respective shifts. Workman who is not on duty shall leave the factory premises immediately and completion of the purpose for which they visited the factory.

6.03

6.04

6.05

6.06

6.7

6.08

6.09

An employee may be allowed to leave the factory at any time other than the end of his shift duty, with permission by way of obtaining an leave pass from the officer duly authorized in this behalf, and produce such a pass at the exit gate. All such early departure permissions on exit passes will be treated as half-a-day leave (if it is more than two hours and less than 4 hours), and standard of two hours loss of pay (if permission is for two hours or less). IDENTITY CARD: Every workman will be provided with an Identity Card, or other means of identification, which the employee shall wear/display prominently while within the establishment 6

6.10

6.11

6.12 6.13 6.14

Any workman failing to comply with the above provision is liable for disciplinary action.

The workmen shall, while leaving the service of the company surrender the Identity Card to the Manager. JOB TIME CARD: Every workman shall whenever required by the Company punch and/or fill in his Job Card. colleagues. Time A workman who cannot write shall get his time card filled in by any one of his

7.0 7.01

ENTRY / EXIT / SEARCH: The employees shall enter and leave the premises of the factory or office, as the case may be, only through the gates specified for such purposes.

7.02

All employees while entering or leaving the factory / office premises, or at any time while in the premises of the establishment are liable to be searched by a member of the Security Department or any other person authorized by the Manager / Management to do so. A female employee shall be searched only by a female searcher.

7.03

The searcher has the right to remove from those searched as above, any articles considered to belong to the company or to any other workman or visitors; or such articles which, in the opinion of the company, are likely to endanger any person or property / business of the Company. The Security staff / authorized officer shall be entitled to detain at the gate articles belonging to the employee which are not required by him while at work within the premises of the company.

7.04

No packages, parcels, articles, handbags, newspaper / magazines or any such personal belongings, except a Tiffin carrier containing eatables only, shall be allowed to be taken by the employee inside the Factory / Office. Such articles and personal belongings may be allowed to be keeping at the entrance gate, or at such other place provided for the purpose, at their own risk. 7

7.05

At the time of exit, every workman shall open out his Tiffin box, handbag, or any other packages in his possession, for inspection by the Security Staff.

8.0 8.01

WEEKLY, NATIONAL & FESTIVAL HOLIDAY: Weekly holidays for the employees shall be regulated in accordance with the provision of the Factories Act, 1948, and the rules prevailing there under from time to time.

8.02

National & Festival holidays shall be fixed and granted in accordance with the provisions of the Karnataka Industrial Establishment (National & Festival Holidays) Act, 1963 and rules there under.

8.03

The list of National & Festival Holidays declared as above shall contain Republic Day, Independence Day, Mahatma Gandhi Jayanthi, May Day and Kannada Rajyothsava, without option, the rest of the Festival holidays shall be fixed with the consent of the workmen. Totaling to 10 holidays per annum

8.04

The Management however, reserves the right to change or alter the Weekly, National & Festival Holidays under exceptional circumstances as per law.

8.05

The workman maybe required to work on a weekly holiday or any of the declared holidays depending on the nature of exigency of work, the workman so worked shall be given a substitute holiday as per the provisions of the Factories Act, 1948 or monetary compensation in lieu thereof.

8.06

The above-mentioned holidays, along with the changes effected from time to time shall be posted on the notice board. Such posting on the notice board shall be deemed to be sufficient notice to all the workmen.

9.0 9.01

ALTERNATE WORK: Depending upon the exigencies of work, all workmen shall agree to do any other kind of work other than their usual work, when assigned to do so by their superior or head of department, 8

when situations arise due to insufficiency of their own work or for any other reason. However, in such cases, their emoluments shall not be reduced. 9.02 It must be realized by all the workmen that every work, which is reasonable and lawful in factory, is dignified, and no workman should consider such reasonable and lawful work given to him as being his dignity. 10.0 OVERTIME:

10.01 Instructions to work overtime will be communicated to the workman by way of a notice on the Notice Board. Overtime is Voluntary and no worker will be forced to work Overtime against their wish 10.02 Workman working on overtime shall be entitled for overtime payment as per the provisions of the Factories Act, 1948. 11.0 TRANSFER: basis, at the discretion of the Management, from one post to another, from one department to another, within the factory or from one factory office to another owned, operated or managed either by the Management or by other associates either in Bangalore 11.02 Consequent to such transfer the employment terms and conditions and the working procedures of that department or the establishment to which the workman in transferred shall apply to him. Any such change in his service conditions will not amount to change in service condition as per Section – 9A of the Industrial Disputes Act, 1947. However, the total remuneration of that workman shall not be reduced. 11.03 Reasonable period of notice shall be given to the workman upon transfer, to report at the new place of work. Within in Bangalore Similarly, he shall also be paid, wherever required, reasonable allowances to defray the expenses of journey, etc., but not the living allowances in such new place of work. 9

11.01 Every workman is liable for and shall be accept transfer at any time of temporary or permanent

12.0

INCREMENT & PROMOTIONS:

12.01 Increments in the scales of wages, if any, are not automatic and it shall be earned by workmen, which is based on their work attendance and conducts, No increment will be withheld without giving the workmen a reasonable opportunity to represent against such actions. employee for exceptional work merit in a year. 12.02 Subject to the Provisions of the payment of Wages Act 1936 the management, manager reserves the right to withhold an employee’s increment if in his opinion his work, conduct or attendance is not satisfactory. 12.03 Annual increment will be considered only when it falls due in respect of the workman concerned on the basis of their date of appointment. 12.04 Promotions from a lower to higher post shall depend upon the availability of vacancy and suitability. seniority, The suitability shall be decided by the management having regard to skill, physical fitness, and educational qualifications. The Management / Manager has The management reserves the right to give double increment in the same scale grade to any

the right to ask any workman for appearing at a trade test for determining the degree of skill for the job. If all others qualifications and skill are identical, seniority will be given preference provided there is nothing adverse in the past record to the workman concerned. 13.0 PAYMENT OF WAGES AND DEDUCTIONS FROM WAGES:

13.01 Payment of wages to the workman and the kinds of permissible deductions from wages shall be governed by the Provisions of The Payment of Wages Act, 1936, and the rules there under. 13.02 Payment of wages of the workman shall be made on or before the 7 th day of every month in respect of the previous calendar month. If the 7th day happens to be a holiday the wages shall be paid on the previous working day. 10

13.03 Any wages due to a worker, which the worker concerned has not received on the usual payday, shall be treated as unclaimed wages. Such unclaimed wages shall be paid to the workman concerned on a subsequent day with an intimation of the said day on the Notice Board. 13.04 All such unclaimed wages shall be claimed within a period of 12 months from the date on which the wages become due. 14.0 LEAVE & WAGES: Annual, Casual and Sick leave) will be governed by the provisions of the Factories Act, 1948 rules there under, and the rules and the regulations claimed by the company in this regard, as in force from time to time and applicable to the categories of the employees concerned. However, workmen who are covered under the E S I Act are not entitled to claim any sick leave. So also workmen who are presently not covered under the E SI Act and are so entitled to sick leave will be cease to become entitled to sick leave as end, when they become covered under the ESI Act in future. 14.02 The method of calculating the eligibility of the leave, the procedure of availing the earned leave etc., are governed by the Factories Act, 1948, and the Karnataka Rules there under. 14.03 Subject to the provisions of the Factories Act, an employee seeking leave of absence should apply for leave in the prescribed form and submit the same along with the leave book supplied by the company to the manager of the person authorized to sanction leave. Application for privilege leave should be made at least 8 working prior to the commencement of leave. Other kinds of leave should be applied for at least one working day advance. 14.04 Leave applied for will not be granted as a matter of right, but will be granted only if the working schedules allow grant of such leave. Leave will be granted to any workmen in case of emergency.

14.01 The quantum of various kinds of leaves the workmen are entitled for (Namely, Privilege /

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14.05 An employee who proceeds on leave and needs extension of leave and needs shall apply to the sanctioning authority in writing for such extension well in time. If the extension of leave is not granted (which will be communicated to the employee) he should report to duty on the expiry of the sanctioned leave. If the employee does not receive a written intimation of grant of extension of leave, the application for extension should be assumed as rejected. 14.06 Accumulation of un-availed privilege leaves (Not other kinds of leave) is allowed up to a maximum limit of 45 days. Leave in excess of the ceiling can be en-cashed by the employee. 14.07 Besides the above encashment, Privilege Leave is not en-cashable during the period of one’s service, except at the time of discharge from service for whatever reason. Only Basic & Dearness Allowance amounts of the employee’s salary will be taken in to account for the purpose of encashment of privilege leave. 14.08 If an employee: a. b. c. d. Proceeds on leave in spite of his leave being not sanctioned Overstays the leave specifically granted. Suddenly absents from work without any intimation to the sanctioning authority. Fails or is unable to get is sudden absence ratified subsequently from the sanctioning authority. It shall be treated as unauthorized absence without pay. 15.0 VOLUNTARY SERVICE: ABANDONMENT / AUTOMATIC TERMINATION OF

15.01 If an employee abstains from work without approval or without any intimation to the sanctioning authority for 8 consecutive days, or if he abstains from work for 8 consecutive days even after the leave, though applied for, is not granted, or if he overstays the leave originally granted, or subsequently extended, for 8 consecutive days without further approval of leave, the employee concerned will loose his lien on the job and the term of his employment 12

automatically comes to an end as having been voluntarily terminated by himself. Without any notice / intimation to the company on such an event the employee will have contravened the clause of notice period, if any, required to be given to the company before giving up his employment. 15.2 The voluntary Abandonment / Automatic Termination of Service by the employees

does not amount to violation, on the part of the employer, of the provisions of Industrial Disputes Act 1947. 16.0 TERMINATION OF EMPLOYMENT BY THE MANAGEMENT:

16.01 The employment of temporary, casual, Badli or trainee workman may be terminated by the Management at any time during or on the expiry of order of appointment, without assigning any reason and without giving any notice or compensation. 16.02 The employment of a probationer may terminated by the Management at any time during the period of probation (both initial and extend) or on the expiry of the probationary period specified in the order of appointment, if the employee’s performance, attendance and conduct are found to be unsatisfactory. 16.03 The Employment of a permanent / confirmed workman shall not be terminated, other than by the way of compliance of provisions of the Industrial Disputes Act, 1947 or Industrial Employment (Standing orders) Act, 1946, or the rules of punishment provided in these Draft Standing Orders.

16.04 The employment of any workman may also be terminated by the Management on reasonable grounds as listed below, by giving one month’s notice in writing or salary in lieu of the notice. (a) Insanity, physical deformity, contagious or infectious disease, continuous ill – health, medical unfitness for employment with the company as declared by a Medical Practitioner approved by the company. (b) Declaration as an insolvent. (c) Conviction by a court of law of any offense involving moral turpitude or any criminal offence. 13

(d) Loss of confidence.

17.0

TERMINATION OF SERVICE BY THE EMPLOYEE:

17.01 A permanent workman desirous of leaving the company’s service shall give one month’s notice to the company in writing of his intention to do so. The Management reserves the right to accept the resignation and also to require the employee to remain in service till a replacement is appointed. The Management also reserves the right to waive the notice period. 17.02 If the work man fails to give one month’s notice of his intention to leave the service, or, if the company decides to waive the said notice period, the workman shall be liable to pay the company one month’s salary in lieu of the notice. The workman shall deposit this amount with the company before being relieved from service. The Management reserves the right to recover such amount from the final payment due to the workman, if any. 17.03 A temporary, Probationary, Casual and a apprentice trainee desirous of leaving the company’s service may do so by giving one week’s notice in writing to the company. The consequences of not giving this notice period or same as applied to the permanent workman enumerated above. 17.4.1 No leave of whatever kind due to the credit of the workman shall adjust against the notice service. 18.0 CLEARANCE CERTIFICATE: In all cases of cessation of employment, the concerned workman shall obtain a clearance certificate from the concerned departments in which he was working testifying that nothing belonging to the company is due by him. If the workman fails to return any company’s / factory material / property, the cost of such material / property shall be recovered by deducting such cost from his wages. Any other money due by him to the company shall also be recovered from the wages or other amounts payable by the company to the workman. 14 period as required to be given by the workman before leaving the company’s

19.0

COMPLAINTS AND REDRESSAL: All complaints arising out of the employment including those relating to unfair treatment or wrongful execution on the part of the employer or his agent shall be submitted to the manager or other person specified in this behalf with the right of appeal to the employer.

20.0

SUPERANNUATION / RETIREMENT: 20.1 Any workman who has attained the age of 58 years shall retire from the company’s service 20.2 Any of the following documents shall be deemed to be satisfactory proof of the age of an employee at the time of entering the Company’s services. (a) (b) (c) 20.3 Birth certificate from competent / statutory authority. Matriculation or School Leaving Certificate. Certified extract from the School admission Register.

In the absence of any proof of age in the option of the registered medical practitioner shall be conclusive with regards to the age of the workman concerned.

20.4

The age of the workman as recorded in the Company’s records at the time of appointment, or later in case of already existing workmen, as detailed above shall be final and no workman is entitled to get the same corrected or altered at any time during his employment with the company under any circumstances.

21.0

STOPPAGE OF WORK:

21.01 The employee may, at any time, in the event of fire, catastrophe, break down of machinery or stoppage of power supply, epidemics, civil commotion or other cause beyond his control, stop any section or any sections of the establishments, wholly or partially for any period or periods without notice. 15

21.02 In the event of such stoppage during working hours, the workmen affected shall be notified by notices put up on the notice board in the departments concerned. I (and at the office of employer and at the time keeper’s office, if any) as soon as practicable, when work will be resumed and whether they are to remain or leave their place of work. The workmen shall not ordinarily be required to remain for more than two hours after commencement of the stoppage. If the period of detention does not exceed one hour, the workmen so detained shall not be paid for the period of detention. If the period of detention exceeds one hour the workmen so detained shall be entitled to receive wages for the whole of the time during which they are detained as a result of stoppage. In case of piece rate workers, the average daily earnings for the previous month shall be taken to be daily wage. No other compensation will be admissible in case of such stoppages. Whenever practicable reasonable notice shall be given to resumption of normal work. 21.03 In cases where workmen are laid – off for short period on account of failure of plant or a temporary curtailment of production. The period of unemployment shall be treated as compulsory leave either with or without pay, as the case maybe. When, however, workmen have to be laid-off for an indefinitely long period, the services may be terminated after giving them due notice or pay in lieu thereof. 21.4.1 The employer may, in the event of a strike, affecting either wholly or partially any section or department of the establishment, close down either wholly or partially, such section or department and any other section or department affected by such closing down. The fact of such closure shall be notified by notices put up on the notice board in the section or department concerned and in the time – keeper’s office if any, as soon as practicable. The workmen concerned shall also be notified by a general notice, prior to resumption of work, as to then work will be resumed

21.5

The company reserves the right that it may at any time for all the or for any of the

reason 16

Enumerated in the above paras layoff or retrench subject to the provisions of the Industrial dispute act 1947 . For the propose of the eligibility and payment of compensation section –25B, 25C, 25D, 25E,and 25F of the industrial dispute act 1947 shall apply. The workman shall not strike for work and 21.6 If during any period of 12 months a workman is laid –off for more than 45days, no compensation is payable for subsequent periods of lay-off after the expiry of the first 45 days. 22.0 LAY-OFF AND RETRENCHMENT: 22.1 The management shall have the rights to lay –off all or any of the workman in the event of Shortage or breakdown of power or shortage of raw materials or accumulation stocks or breakdown of machinery or for any other bonafide reasons whatsoever if it is not possible to give employment to the workman. 22.2 The compensation payable and the procedure to be followed shall be in accordance with the provisions of lay-off as laid down under the industrial dispute act 1947, and the Karnataka rules there under 22.3 The management reserves the right to retrench any workman for bonafide reasons as enumerated in the industrial disputes act, 1947,and the Karnataka rules there under.

23.0

STRIKE AND LOCKOUT: 23.1 Any workman, whether alone or in combination with another or others shall not strike work and the management shall not declare lock-out (a) Without giving 14 days notice to the other party of their intention to do so with reason thereof (b) During the pendency of any conciliation officer, board, Labour court or industrial tribunal. 17

23.2

the management shall not declare lock-out in contravention of the provisions of the relevant provisions of the Industrial dispute act 1947

and the Karnataka rules there under 23.3 23.4 The management shall have the absolute right to declare lockout, if in the option of the company such lockout is warranted. The management shall also have the rights to close the down any section, department, a part of the factory/company at any time for reasons as said down under the industrial disputes act 1947 and the Karnataka rules the under 24.0 ESSENTIAL SERVICES: 24.01 The following personnel shall be considered as the employees of essential services and there shall be on duty at all times of emergency, including occurrences of fire, catastrophe, epidemic, civil commotion, strike, rioting, lock-out, etc., for the good of the company and its employees. (a) Watch and ward and fire brigade personnel. (b) Electrical and Mechanical maintenance personnel (c) Medical and water supply personnel (d) Telephone operator, Telex Operator (e) Car/van driver. (f) Time keeper and cashier

25. NOTICES AND COMMUNICATION TO EMPLOYEES:

25.1.1 Notices to be exhibited given or addressed to the workman, meant for conveying company’s communication to them shall be in English as well as in local vernacular language. 25.2 Ordinarily notices for communicating to the employees, as a whole shall be exhibited notice board of the company maintained for such purposes. 18 on the

25.3 25.4 25.5

Notices or Communication concerning individual workman shall be addressed /served f the workman is available in the company premises for service of such notice or memo, If the workman refuses to receive any notices or memo served on him ,the person

to the workman concerned as per the procedure in the following paras. the same shall be served on him personally and he shall receive the same. serving the notice shall make an endorsement in the said notice or memo, in the presence of one witness ,with particulars of date ,time and place of refusal of the notice or the memo, and put his signature and also obtained the signature of the witness .there after a copy of the said notice / memo shall be exhibited on the notice board .A copy of such notice should also be sent to the concerned workman by registered post acknowledgment due to his last known address and this shall be deemed sufficient proof of the notice /memo being served on him. 25.6 where a workman / employee is not available for service of any notice or memo, it shall be deemed sufficient service of notice or memo, is sent to his last known address by registered post acknowledgment due or if a copy of the notice / memo is exhibited on the notice board. 26.0 DUTIES AND OBLIGATIONS OF EMPLOYEES: 26.01. Every workman / Employee shall devote his full time of work to the company and shall carry out the job allotted /entrusted to him by his superiors diligently and faithfully to the best of his ability and observe all the rules and regulations contained herein as well as other instructions directions stipulations which are or will be issued from time to time by the management. 26.02.Workman shall not enter or pass through departments other than those in which they are employed, unless doing so is necessary in the course of their duties and they have been authorized to do so by their superiors 26.03. Workman shall not engage either singly or jointly with other workman or third parties in any other employment or business directly or indirectly. Likewise workman shall not undertake any assignment ,employment or business outside their employment ,nor shall they be engaged in any trade or activity prejudicial to the interests of the company and its business. 26.04 All workmen /employees shall be courteous to their supervisors, colleagues, visitors on official business and to the company associates. 19

26.05 workmen shall not, at any time disclose use or sell to anyone information, know how Procedures, secretes, plans, etc, of this organization, which workman may acquire during the course of their employment with the company. They shall treat all such data and information in strict confidence 26.06 Each workman is responsible for and shall take proper care of all machines, tools instruments, drawings, documents, or such other materials or property of the company entrusted to him. Workman shall not take out of the factory /office premises without proper authorization of an out pass in the prescribed form issued by the management (or a person duly authorized in this regard) Any machine, tool, instrument, drawing, document or any other material or property of the company, other employees, suppliers, visitors or any other person associated with the company. Neither shall they neither conceal nor attempt to conceal any such articles or materials mentioned above. 26.07 Where the property of the company is in the custody or use of more than one workman, it shall be deemed to have been entrusted to each one of them jointly and severally. Any loss/ damage due to malafide intention will attracts strict disciplinary action on those who indulge in such breakage. 26.08 All workmen shall take all precautions to safeguard the company’s property and to prevent accident or damage to it. A Workman shall at once report to his superior any defect in the machinery or equipment or any occurrence which he may notice and which might endanger himself of any other person in the workplace or which might damage result to the property of the company, or somebody else. It is the duty of every employee to keep his machine equipment and place of work clean and tidy. 26.09 Strict observance of all safety instructions including fire precautions and protection is obligatory on the part of every employee. No employee shall interfere, unless specifically authorized to do so any safety device or any machine either running or idle. All protective clothing and appliances provided for the safety of the workman shall be worn by them while on work. 20

26.10 Workman working in shifts shall leave the place of work only after their reliever has taken charge of their duties or otherwise to report to their superior for alternative arrangement in the interest of uninterrupted working of machinery. 26.11 .If ten or more workmen acting in concert and without giving to the company 14 days notice and without any reasonable cause absent themselves from work, or being at the spot, refuse to work or resist to sit in strike, each one of them is liable for deduction of wages equivalent up to 8 days of his wages, in accordance with the provisions of the payment of the wages act 1936. 26.12 . The management reserves the right to call any workman according to exigency of work to work on his weekly holiday or a declared holiday for which substitute holiday or overtime payment will be given as per the factories act 1948 26.13. A workman is liable to perform ancillary or incidental to or connected with to his main duties 26.14 Every employee is required to strictly abide by the discipline of the factory. He must not involve himself or force or cause other to indulge in any acts or activities directly or indirectly which are prejudicial to the interest of the company or which are subversive of discipline. No workmen shall defame the company his employer, or any superior officer for any reason whatsoever. 26.15 No workmen shall publish or cause to be pub lished in any publication any articles written by him having a bearing on the affairs of the company which directly of indirectly effect the company, without the written permission of the management. 27.0 MISCONDUCTS: Without prejudice to the generality of the term “MISCONDUCT” and without being exhaustive, The following acts of commission on the part of a workman, whether alone or in combination, shall be treated as misconduct and the employee shall be liable for the disciplinary action and award of appropriate punishment. 27.1 Insubordination or Disobedience to any of lawful and reasonable orders of a superior. 21

27.2 27.3 27.4 27.5 27.6 27.7 27.8 27.9

Theft, fraud or misappropriations of company’s fund, dishonesty in connection with the employers business or property. Theft of property of another workman / employee within the premises of the company. Willful damage or loss of employer’s goods or property. Taking or giving of any illegal gratification. Habitual late attendance (i.e. Late attendance on more than 3 occasions in a month) Habitual breach of any lawful order or rules or regulation or instructions from employer or a superior. Misbehavior towards customers and visitors Riotous and disorderly behavior towards superior’s co-workers during working hours in the premises of the company or an act subversive of discipline in connection with the work of the establishment.

27.10 Habitual absence from work without sanction of leaves (i.e. abstaining from work on more than 3 occasions in a month) 27.11 Absence without sanction of leave for more than 8 consecutive days 27.12 Habitual negligence of work. 27.13 Fraudulent repetition of any act or omission attract strict disciplinary action Striking work either singly or in combination with others or insisting others to strike work, in contravention of the provision of any law or rule having the forces of law or of any contract including implied contract of appointment to work. 27.14 Tampering with any records, evidence, threatening with falsifying or refusing to give testimony when incident or other matters in the company being investigated, or being considered. 27.15 False statement made in the particulars given in his application form for appointment in connection with any matter connected with the work or business of the company. 27.16 Sleeping while on duty 27.17 Absenting from work –spot without proper authority and permission during working hours. 27.18 Idling away during working hours 27.19 Restoring, participating instigating or abetting to go –slow tactics 27.20 Carrying lethal weapons, Fighting or attempting bodily injury to other employees of the company 27.21 Drunkenness or conduct, which violates common decency or morality. 22

27.22 Assaulting abusing threatening or intimidating, gheraoing any superior or any other employees of the company. Where inside or outside the factory in connection with the work or business of the company. 27.23 Cohesion or wrongful confinement of employees 27.24 Playing cards and gambling within the premises 27.25 Smoking or spitting within the premises of the company other than at the place where permitted. 27.26 Refusing to sign a statement or declaration given by himself to the company, or refusing to receive or acknowledge and notices, memos warning etc, issued by the manager or any superior 27.27 Conviction for any offense by a court of law involving moral turpitude or any criminal offence 27.28 Obtaining approval of leave on false pretext 27.29 Working else where during leave/ absence period or attempting to obtain work elsewhere during leave or absence period 27.30 Obstructing or preventing or intimidating any person from attending to his normal work in the company 27.31 Engaging in activities or giving false statements before any person or authority with the intention to defame the company. 27.32 Refusal to submit himself for search, on suspicion of theft of the company property. 27.33 Collection of any money within the company premises for purposes not authorized by the management 27.34 Handling any machines or apparatus not entrusted to his charge. 27.35 Unauthorized disclosure to any person of information about the process knows how or any matter of the company, which may come in the possession or knowledge of employees in the course of his work. 27.36 Canvassing, canvassing for union membership or for the collection of union funds inside the premises of the company or during working hours of the company. 27.37 Holding meetings or shouting slogans or leading procession / demonstration inside the premises of the company or distributing or accepting inside the premises hand bills notices or pasting posters, inside the premises of the company 27.38 Engaging in private work or trade within the premises of the company 27.39 Refusal to submit for medical examinations when directed by the manager to do so 27.40 Failure to observe safety instructions or interference with any safety device install within the premises of the company 23

27.41 Recording attendance of the other employee or falsifying the records in any manner in respect of attendance or payment of salary. 27.42 Falsifying or tampering with any official records 27.43 Failure to notify the company of the change of his address 27.44 Refusal to accept any order of transfer or to work in any shift 27.45 Entering the company premises without the permission outside the duty hours 27.46 Remaining within the premises or on official business outside the authorized duty hours 27.47 Unauthorized use of a vehicle of the company 27.48 Doing any act prejudicial to the interest or reputation of the company 27.49 Loitering or leaving place of work without a sufficient or reasonable cause and permission during duty hours 27.50 Conduct which endangers the lives and safety of other employees 27.51 Willfully allowing any authorized persons to enter the premises of the company 27.52 Deliberate misuse of any concessions or benefits or privilege enforce from time to time 27.53 Trespassing or forcible occupation of the companies land or building 27.54 Threatening or intimidating or abusing or fighting or assaulting or exerting pressure by surrounding or otherwise any employee of the company or any one else or attempting to do so within the premises of the company or outside in connection with any matter having any bearing on the discipline and or work of the company ,interest and the reputation of the company 27.55 Inability /incapacity/inefficiency to perform a job for which the workman was appointed 27.56 Purposeful slowing down of one’s own work or instigating /influencing others to slowdown work or collectively indulging in slow work lesser production output etc 27.57 Shouting or disrupting the quietness of the factory 27.58 Consuming or in possession of any narcotic drugs 27.59 Possession of any lethal weapons in the company premises 27.60 Participation in any illegal strike 27.61 Collection of any money within the company premises for purposes not authorized by the management 27.62 Holding meetings or shouting slogans or leading procession /demonstration inside the premises of the company or distributing or accepting hand bills, notices or pasting posters, inside the premises of the company without the written permission of the manager. 27.63 Unauthorized divulging to others information regarding the business and affairs of the company. 27.64 Manufacturing or attempting to manufacture unauthorized articles within the factory premises. 24

27.65 Poor or unsatisfactory workmanship. 27.66 Making false representations to the management knowing the same to the false. 27.67 Sexual harassment which includes unwelcome sexually determined behavior (whether directly or by implication) as: (a) Physical contact and advances :or (b) A demand or request for sexual favour: or (c) Sexually coloured remarks: or (d) Showing pornography: or (e) Any other unwelcome physical, verbal or non-verbal conduct of sexual nature. 27.68 Violating any one or more of the provisions of these standing orders 27.69 Attending or attempt at any of the above misconduct 27.70 Insolvency. 27.71 Failure to report to the management of occurrence of contagious or notifiable diseases either to himself or to anybody in his household 27.72 Cessation from work or absence from work or absence from duty after exhausting the leave at his credit and the leave applied for without a proper genuine reason has been refused by the management 27.73 Refusal or failure to wear uniforms /work –dress provided by the company 27.74 Lending or borrowing money from workmen during working hours within the premises 27.75 Failure to report to the management of occurrence of contagious or notifiable diseases either to himself or to anybody in his household 28.0 PUNISHMENT FOR MISCONDUCT 28.1 28.2 28.3 28.4 28.5 28.6 28.7 The following punishment may be imposed on a workman who is found guilty of misconduct. Censure or warning Fine subject to the provisions of the payment of wages act Strict warning. Cancellation or withholding of increment. Demotion / reduction to a lower grade or post or scale of wages. Suspension for a period not exceeding 4 days without wages 25

28.8

Dismissal or discharge from service without notice.as per provision in Industrial Dispute Act 1947 and Karnataka Rules 1957

29.0. PROCEDURE OF DISCIPLINARY ACTION: 29.01 An Order Of punishment including dismissal shall be made only after the workmen concerned is informed in writing of the alleged misconduct and is given an opportunity to explain the circumstances alleged against him .For this purpose, the manager or any other person duly authorized shall issue a charge sheet to the workman concerned clearly setting forth the allegations and the alleged misconduct .he shall be given a time of at least 48 hours duration either to furnish his explanation in writing in reply to the charges against him or to appear for domestic enquiry. 29.02 If the workman admits the alleged misconduct in writing the manager may decide on the kind of gravity of the misconduct. 29.03 If the explanation given by the workmen is unsatisfactory or on expiry of time limit given to the employee whichever is earlier .The management shall constitute an enquiry committee consisting one or more persons. The decision of the management shall be final in appointing a person / officer as enquiry officer to hold the enquiry. 29.04 An officer /person appointed by the management as presenting officer shall represent the management and present the case before the enquiry officer. 29.05 The workman shall be informed in writing about the enquiry directing to appear at the enquiry, given him sufficient time. 29.06 At the time of enquiry, the workman shall be permitted to examine witness in his defense and to cross examine the witnesses examined on the behalf of the management the witnesses examined by the workman in his defense are liable to cross-examined by the management. 29.07 At the enquiry the workman shall be given an opportunity of examining the relevant documents, if any .The workman shall also be permitted if he so desires, to take assistance of a Co-workman working in the factory at the enquiry. An outsider shall not be allowed to represent a workman in the enquiry. The evidence led on either side shall be recorded. A copy of the enquiry proceedings shall be furnished to the concerned workman. 29.08 The enquiry proceedings shall be typed in English script, which the enquiry officer shall translate and explain in Kannada to the parties present at the enquiry. The tasks / conversation however shall be in Kannada at the enquiry. 26

29.09 After due notice, if the workman refuses or fails to attend the or participate in the enquiry, it may be conducted ex-parte and orders passed on the available material. 29.10 On conclusion of the enquiry, if the workman has been found guilty of any or all the charges against him and it is considered that the punishment as provided in the standing orders would meet the ends of justice the management shall pass an order accordingly. 29.11 The procedure for serving notices or orders to the workman under this clause shall be same as explained in the clauses under paragraphs 25 and 30 29.12 In awarding the punishment under these rules the management shall take into account the gravity of the misconduct and at the same time consider the previous record of the workman and by extenuating or aggravating circumstances if any 30.0 SUSPENSION PENDING ENQUIRY: 30.01 It is here by made clear that the misconducts set out above are not exhaustive but only illustrative in character and the company shall have the power /right to take cognizance of any other act having nexus with the companies employment which is ordinarily considered as a misconduct in industrial employments which or not specifically covered by the above list of misconducts. 30.02 It is further clarified that the management clarified that the management shall have the power / right to take disciplinary action against an employee not only in respect of misconducts which take place within the premises of the company, but also those outside the premises of the company, but having nexus with the employment of the company or is unbecoming of an employee of the company 30.3 Any workman who is apprehended while committing or attempting any of the misconducts or on whom act or acts of misconducts are alleged may be suspended even before the issue of the charge sheet or suspended from work pending enquiry into the charges alleged against him 30.4 All orders of suspension shall be in writing and signed by the manager or any other officer authorized in this behalf .The same shall be served to the workman concerned if personally present or put up on the notice board if absent .In case of his absence or his refusal to accept the said order may be sent to through registered post acknowledgement due or under certificate of posting to the last available address of the workman in his personal record. 30.5 The suspension made shall cease to have effect ,in case the workman is dismissed ,discharged or otherwise terminated from service .It shall also cease to have in case the workman himself chooses to terminate his employment by either voluntarily abandon service for any other reason 27

30.6

If on the conclusion of the enquiry or the criminal proceedings, as the case may be, the workman has been found guilty of the charges framed against him and a disciplinary action under clause 28.01 of these standing orders would meet the end of justice, the employer shall pass an order accordingly. Provided also that when an order to that effect of stoppage of annual increment or reduction in rank is passed under this clause, the workman shall be deemed to have been on duty during the period of suspension and shall be entitled to the same wages as he would have received if he had not been placed under suspension after deduction of the subsistence allowances paid to him for such period.

30.7

If after enquiry such employee is adjudged guilty of the misconduct alleged against him and is awarded with suitable disciplinary action under these standing orders the employee shall be deemed to be absent from duty for the period of suspension and shall not be entitle to any remuneration for such period and the subsistence allowance already paid to him shall not be recovered

30.8

If on conclusion of the enquiry the workman has been found to be not guilty of the charge framed against him he shall be declared to have been on duty during the period of suspension and shall be entitled to the same wages as he would have receive if he had not been placed under suspension after deducting the subsistence allowance paid to him for such period

30.9

The subsistence allowance shall be for the first 90 days from the date of suspension equal to one half basic wages and dearness allowance

30.10 If the enquiry prolongs and the workman continues to be under suspension for a period exceeding 90 days, the subsistence allowance shall be for prolonged period beyond 90 days be equal s to three -quarter of such basic wages and dearness allowances 30.11 Provide that where such enquiry is prolonged beyond a period of 90 days for reasons directly attributed to the workman, the subsistence allowance shall for a period exceeding 90 days be reduced to one fourth of such basic wages and dearness allowance 30.12 The payment of subsistence allowance under this standing order shall be subject to the workman not taking up any employment during the period of suspension. 31.0 EXHIBITION OF STANDING ORDERS: 31.01 The copy these orders in English and a regional language which is understood by majority of the employees shall be posted on a notice board 28

31.02 A copy of the standing orders shall be supplied to workmen on application and payment of a reasonable price. 32.0 INTERPRETATION: 32.01 If there is any conflict of meaning between the English and Kannada version of these standing orders the English version of these standing orders shall be deemed to be authentic and the same will prevail

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