Employee Handbook _Master_

KIRLOSKAR PNEUMATIC CO. LTD. EMPLOYEE HANDBOOK Income Tax certificate (Form 16) showing the details of Earning in last financial year and tax deducted at source are generated by Accounts (Cash) Section. Employee leaving services requires income tax certificate, for the purpose of filling the return / submission to the next employer, should contact Sr. Manager (Pay and Accounts) at HO, who will provide necessary information / document. These certificates are normally prepared after the close of financial year i.e. in the month of May. 50

KIRLOSKAR PNEUMATIC CO. LTD. EMPLOYEE HANDBOOKWorking Hours and Conditions 51

KIRLOSKAR PNEUMATIC CO. LTD. EMPLOYEE HANDBOOK 6.0. WORKING HOURS and CONDITIONS6.1. Working HoursThe normal work schedule for all the employees are 8.5 hours a day, Monday to Saturday. Headof the department will advise employees of working timings. Staffing needs and operationaldemands may necessitate variations in starting and ending times, as well as variations in thetotal hours that may be scheduled each day and week.The working hours at KPCL are as follows.Shift Timing Dept1st Shift 7.00 a.m. to 3.30 p.m. Production and related departments Tool Design / Tool Room/ IE/ PE/ Stores/General –1 8.00 a.m. to 4.30 p.m. Purchase / Personnel / Few DGMs in Mfg / R and D/ Cash Accts / Transport / QA / Paint ShopGeneral –2 8.00 a.m. to 5.00 pm and Dispatch2nd Shift 8.30 a.m. to 5.30 p.m.3rd Shift 3.30 p.m. to 12 .00 midnight. For those who are in General-1 shift and given 0.00 a. m. to 7.00 a.m. 1st and 3rd or 2nd and 4th Saturday as weekly off Marketing and Sales, Projects, Finance, HR, IT and employees in grade 66 and Above. Production departments Production departmentsNote:The employees in General Shift – 2 who are allowed to attend flexi shift can register theirattendance at the Biometric reader between 8.30 a.m. to 9.30 p.m. In such case the concernedemployee should work for 9.00 hrs from the time of in coming.An employee is considered absent if he or she not present for work as scheduled in time.Reporting for work regularly and in time is essential, since late coming or absences disturb thedaily routine of the company and create additional workload on fellow employees.Failure to report to work in time will result in initiating the disciplinary action against concernedemployee inclusive of the termination.The working hours at Nasik plant are as follows:Shift Timing Department1st Shift 9.00 a.m. to 5.30 p.m. All the departmentsThe working hours at Saswad plant are as follows:Shift Timing Department1st Shift 7.10 a.m. to 3.40 p.m. Production department2nd Shift 3.30 p.m. to 11.59 a.m. Production department Other departmentsGeneral shift 8.00 a.m to 5.00 p.m. 52

KIRLOSKAR PNEUMATIC CO. LTD. EMPLOYEE HANDBOOK6.2. Weekly offEmployees are eligible for a weekly off as per their locations stated as below:o Hadapsar – Sunday / (Saturday and Sunday)o Saswad – Thursday / (Thursday and Sunday) o Nasik – SaturdayEmployees at Regional / Area Sales offices will have their weekly off as per location (On Sundayand additional holidays on 2nd and 4th Saturday).6.3. Use of EquipmentEquipment essential in accomplishing job duties is often expensive and may be difficult toreplace. When using property, employees are expected to exercise care, perform requiredmaintenance, and follow all operating instructions, safety standards, and guidelines.Please notify your reporting officer if any equipment, machines, or tools appear to be damaged,defective or in need for repair.Improper, careless, negligent, destructive or unsafe use or operation of equipment can result indisciplinary action, up to and including termination of employment.6.4. Canteen Facility1. Canteen DeductionThe employees in Grade 58 and above can avail Lunch facility in Officers Mess at Hadapsar andSaswad. The employee in above mentioned category who do not wish to avail this facility has toinform Canteen Manager / HR Department accordingly.Deduction of minimum Rs. 14/- per day is made for each present day for each employeeavailing the lunch and tea facility at Hadapsar and Rs 5/- if he / she avails breakfast in thecanteen and Rs. 19/- at Saswad. In case the employee is not availing this facility for a day and /or for temporary period of his / her absence due to leave has to inform Canteen Manager / HRDepartment so that the deduction for that day / period will not be effected. The employee whois not availing this facility but wishes to avail the same temporarily has to inform to concernpeople mentioned above in advance and should make an entry in the register kept in theCanteen.All the managers are entitled to avail breakfast / lunch / dinner facility.Employees in Grade 58 and above can avail breakfast at the Officer’s Mess in first floor bypunching in the canteen before availing the breakfast facility.. The employee in Grade 58 andabove are charged Rs.5/- per day if they opt for breakfast in the canteen. Employees can availbreakfast facility only once in a shift. In case an employee opts to avail breakfast facility twicei.e. at the beginning and at the end of the shift due to work exigency he / she will be chargedextra Rs 10 for breakfast on the second occasion 53

KIRLOSKAR PNEUMATIC CO. LTD. EMPLOYEE HANDBOOK6.5. Meal PeriodsEmployee can avail meal in Canteen in the recess period in a shift except in Third Shift at HOand Saswad. o Breakfast - Available and served in Canteen 15 minutes before the start of the shift timings. Breakfast has to be availed by punching in the canteen before availing the breakfast facility.o Lunch – As per your shift, the timings are given below for Head Office Shift Lunch / Dinner recess 1st Shift 11.30 a.m. to 12.00 p.m. General –1 12. 15 p.m. to 12.45 p.m. General –2 01. 00 p.m. to 01.30 p.m. 2nd Shift 8.00 p.m. to 8.30 p.m.As per your shift, the timings are given below for Saswad plant Shift Lunch recess 1st Shift (Officers) 1.00 a.m. to 1.30 p.m. General (Workers) 11.30 a.m. to 12.00 p.m.As per your shift, the timings are given below for Nasik plant Shift Lunch recess 1st Shift 1.00 p.m. to 1.30 p.m.6.6. Use of Phone and Courier SystemsPersonal use of the official telephone / mobile for long distance (STD/ISD) calls is not permitted.Employee should practice discretion when making local personal calls and if the charges forusing the company phone / mobile phone cross the limit, the amount over and above of thelimit will be recovered from the salary.The use of KPCL paid postage or courier for personal correspondence has to be borne at his orher own expense. The deductions are made directly from your salary.The use of mobile phones by employees while working on shop floor and while driving the autovehicle in the company premises is strictly prohibited and not permitted. To ensure effectivetelephone communications, employee should always use an approved greeting and speak incourteous and professional manner. Employee is expected to confirm information receivedfrom the caller and hang up only after the caller has done so. 54

KIRLOSKAR PNEUMATIC CO. LTD. EMPLOYEE HANDBOOK6.7. Computer and E-mail usageComputer, computer files, the email system, and software provided to employees areexclusively KPCL property intended to be use for company business. Employees should not usea password, access a file or retrieve any stored communication without authorization. Theemployee is not allowed to open / use computer which is not provided in his / her name formaintaining discipline / confidentiality / security of the information / data. To ensurecompliance with this policy, computer and email usage may be monitored.KPCL strives to maintain a work place free of harassment and sensitive to the diversity of itsemployees. Therefore, KPCL prohibits the use of computers and the email system in the waysthat are disruptive, offensive to others or harmful to morale.For example, the display or transmission of sexually explicit images, messages, and cartoons isnot allowed. Other such misuse includes, but is not limited to ethnic slurs, racial comments, offcolor jokes, or anything that may be construed as harassment or sharing disrespect for others.Emails may not be used to solicit others for commercial ventures, religious or political causes,outside organization, or other non-business matters.6.8. Internet UsageInternet access is provided to selective KPCL employees to get work related information. Thefollowing guidelines have been established to help ensure responsible and productive Internetusages.All internet data that is composed, transmitted, or received via our computer communicationssystems is considered to be part of the official records of KPCL and, as such, is subject todisclosure to law enforcement or other third parties. Consequently, employees should alwaysensure that the business information contained in Internet, email messages, and othertransmission is accurate, appropriate, ethical, and lawful.The equipment, services, and technology provided to access the internet remain at all times theproperty of KPCL. As such, KPCL reserves the right to monitor internet traffic, and retrieve andread any data composed, sent, or received through our online connections and stored in ourcomputer system.Data that is composed, transmitted, accessed or received via the internet must not containcontent that could be considered discriminatory, offensive, obscene, threatening, harassing,intimidating, or disruptive to any employee or other person.The unauthorized use, installation, copying, or distribution of copy righted, trademarked, orpatented material on the internet is prohibited. As a rule, if employee did not create thematerial, does not own the rights to it, or has not got authorization for its use, it should not beput on the internet. 55

KIRLOSKAR PNEUMATIC CO. LTD. EMPLOYEE HANDBOOKInternet users should take the necessary anti-virus precautions before downloading or copyingany file from the internet. All downloaded files are to be checked for viruses; all compressedfiles are to be checked before and after decompression.The following behaviors are examples of previously stated or additional actions and activitiesthat are prohibited and can result in disciplinary action. ♦ Sending or posting discriminatory, harassing, or threatening messages or images. ♦ Using the organization’s time and resources for personal gain or hobbies. ♦ Stealing, using, or disclosing someone else’s code or password without authorization. ♦ Copying, pirating, or downloading software and electronic files without permission. ♦ Sending or posting confidential material, trade secrets or proprietary information, drawings, designs etc. outside the organization. ♦ Violating copyright Law. ♦ Failing to observe licensing agreement. ♦ Engaging in unauthorized transaction that may incur a cost to the organization or initiate unwanted internet services and transmissions. ♦ Sending or posting messages or material that could damage the organization’s image or reputation. ♦ Participating in the viewing or exchange of pornography or obscene material. ♦ Sending or posting messages that defame or slander other individuals. ♦ Attempting to break into the computer system of other organization or person. ♦ Refusing to cooperate with a security investigation. ♦ Using internet for political causes or activities. ♦ Jeopardizing the security of the organization’s electronic communications systems ♦ Sending or posting a message that disparages another organization’s products or services. ♦ Sending anonymous email messages. ♦ Engaging in any other illegal activities.6.9. Visitors at WorkplaceTo maintain Safety and Security of employees as well as visitors only authorized visitors areallowed to visit work place. Restricting unauthorized visitors or personal guests, helps tomaintain safety standards protect against accidents, unexpected incidents posing vicariousliability on the organization, theft, ensure security of equipment, protect confidentialinformation, safeguards employee welfare, and avoid potential distractions and disturbances.All visitors can enter KPCL (HO) from the Main security gate, where they are given a gate pass,which has to be returned while going out. Employee has to register visit pass throughcomputerized system which is to be sent to Main Gate in advance at least 4 hours earlier thanthe schedule visit time. Visitors has to follow the rules framed as per visitors policy of the 56

KIRLOSKAR PNEUMATIC CO. LTD. EMPLOYEE HANDBOOKcompany and employee concerned also confirm the rules framed by the company are followedby the visitors.The said rules are displayed at main gate.The visitors are not allowed to visit the shop floor without written permission from FactoryManager who has authority to enquire and know the purpose of visit and if not satisfied then torefuse the permission and visitors are not permitted on shop floor without using PersonalProtective equipments like safety Helmet, Goggles and Shoes.6.10. Service Conditions on TransferAs per the requirement of business, the management can post / depute / transfer the servicesof any employee in the managerial Grade to any Sales / Regional office / Project sites / Vendors’place. If the posting is a transfer for longer period then the employee will be entitled to receiveTransfer Allowance as per company policy. The said allowance will stand withdrawn if theperson is transferred back to his / her original place of working.The managerial staff on transfer will be entitled for the following:1. Fare for family members - First class rail fare for self and family members - one side.2. Out of pocket expenses - As per TA / DA Rules.3. Transportation charges - Charges for full truck load for household luggage by shortest route (maximum limit will be decided from time to time), maximum Rs.15,000/-4. Joining period - 3 days from the date of release from the earlier destination / office.5. Advance - To the extent of transportation charges, rail fare and advance equivalent to specified allowances.6. Leave on transfer: He / she will be eligible for leaves as per the location of transfer, effective from the date of transfer.7. Transfer Allowance: This allowance / benefit is intended to defray additional expenses on account of house rent, deposit, traveling and schooling expenses etc.- in short to compensate the displacement inconvenience and or to compensate for additional cost that becomes inevitable. a) If an employee in managerial grade (at present 58 to 68 or the grades which are/will be in vogue from time to time) is transferred from the original place (for which he / she was recruited) to any other place shall be paid transfer allowance till he / she is transferred to his / her original place of recruitment, as shown in the schedule mentioned below. b) No employee will be entitled to or provided with a company-leased accommodation. c) This allowance is payable on the date on which the employee resumes his / her duties at the city to which he / she is transferred. He / she will continue to get this allowance for that city till the date he resumes his / her new place of transfer. d) If the employee is transferred to another class of city, from the date of resumption of duties at new city, he / she will be entitled to the allowance of that city. However, at any time he / she will not be entitled to the said allowance, if he / she is 57

KIRLOSKAR PNEUMATIC CO. LTD. EMPLOYEE HANDBOOK transferred to his / her original place of recruitment he / she will cease to get this benefit. e) Management will have a right to alter, modify and or discontinue the scheme at any time without assigning the reason therefore.Schedule:Grade A Class of transferred cities C 10,000/- B 6,000/- 68 67 8,000/- 66 65 7,500/- 6,000/- 4,500/- 64 63 5,000/- 4,000/- 3,000/- 62 61 60 59 58Classification of cities1. “A” class cities: - Mumbai, Bangalore, New Delhi, Kolkata and Chennai.2. “B” class cities: - Pune and or any capital cities of the states.3. “C” class cities: - Cities and towns not falling in A and B.6.11. Security and IntelligenceWe, at KPCL undertake complete security arrangements of factory premises round the clock.We have strict security norms for entry and exit of our employees as well as for visitors. 1. Every employee who joins KPCL is provided with a identity card with his / her photo identity on it. 2. It is mandatory for all employees to display the Identity card when he / she is in the premises of the company or on tour for company’s business for individual identification. 3. No visitors without Gate pass / permission / intimation to the security / personnel shall be let in. 4. While leaving the factory premises security / personnel if needed can check the visitor’s belongings. 5. Material inward and outward is also monitored through stringent rules / documents base on computerized system. 6. In case of an emergency, a trained security staff can drive a vehicle. Such guards are available in all 3 shifts of the day. 58

KIRLOSKAR PNEUMATIC CO. LTD. EMPLOYEE HANDBOOK 7. All employee information pertaining to contact is maintained at the security gate in case of emergency. 8. Security Guards are trained / extended training on first aid and fire fighting.6.12. Dress CodeThe Kirloskar Group recognizes its employees as an important asset and it provides uniforms toall employees. Dress code is one of the essentials and that is why all employees in managerialcadre as well as trainees and retainers are provided four sets of uniforms.Corporate Attire for Gentleman:1. Three nos. of cotton trouser fabric (option of purchasing three additional trouser fabric with extra charges).2. Three nos. of cotton shirts in two different colors and two sleeve options (option of purchasing three additional shirts with extra charges).3. In addition T-shirts in two different colors are available and if desired it can be purchased by the employee.Corporate Attire for Ladies:1. Three nos. of tunics and trousers in two different colors.2. Option of purchasing three additional attire of choice.Corporate Attire days:1. Formal attire will be worn on the first three days of the week:2. On the remaining days employee can wear clothes of his / her choice.3. On the remaining days employees who are involved in meeting with customers / partners in the factory will wear formal attire.4. Formal attire is compulsory while visiting stakeholders or at exhibitions.5. Corporate attire will be provided after 18 months.Eligibility:All managerial employees including Graduate Engineer Trainee’s are eligible. Retainers inManagerial level who are on a minimum of one-year contract are eligible.The corporate attire will be provided after 18 months. However, who have submitted theresignation and or working in notice period will not be provided the new attire.In case an employee resigns or retires from the company services he / she can retain theuniform and no deductions shall be made irrespective of duration of service. 59

KIRLOSKAR PNEUMATIC CO. LTD. EMPLOYEE HANDBOOK6.13. SmokingIn keeping with KPCL intent to provide a safe and healthy work environment, smoking isallowed only in smoking zones and not at the work place or any other places.This policy applies equally to all employees, customers, clients, and visitors.6.14. Business CardsAll employees in Grade - 61 and above will be given Business cards.Visiting cards are issued: • At the time of joining • After promotion of the individual • When the previous stock of cards is over1. Visiting cards are given to the employees of grade 60 & above. a. For DGM and above employee visiting cards are issued immediately b. For all other employees, visiting cards are issued after confirmation c. For employees in Sales, Marketing and Materials dept, visiting cards are issued immediately. d. Visiting cards are given to Trainees only on approval from SBU Head.2. Employee submits the request for visiting cards through oracle system.3. HR receives the request after reporting officer approves it.4. HR approves the request & forwards it to the approved vendor (i.e Online Printers).5. After receiving the visiting cards, HR keeps the cards in communication dept.6. HR closes the request & recipient receives the automated mail through oracle system 60

KIRLOSKAR PNEUMATIC CO. LTD. EMPLOYEE HANDBOOKWork Conduct and Discipline 61

KIRLOSKAR PNEUMATIC CO. LTD. EMPLOYEE HANDBOOK 7.0. WORK CONDUCT and DISCIPLINE7.1. Employee Conduct and Work RuleTo ensure orderly but smooth operations and to provide the best possible work environment,KPCL expects employees to follow rules of conduct that will protect the interests and safety ofall the employees and the organization.It is not possible to list all forms of behavior that are considered unacceptable at workplace.The following are examples of infractions of rules of conduct that may result in disciplinaryaction, up to and including termination of employment.♦ Theft or inappropriate removal or possession of property.♦ Falsification of timekeeping records.♦ Working under influence of alcohol or illegal drugs.♦ Possession, distribution, sales, transfer, or use of alcohol or illegal drugs at workplace, while on duty, or while operating employer-owned vehicles or equipment.♦ Fighting or threatening violence at the workplace / in the company premises.♦ Boisterous or disruptive activity at the workplace / in the company premises.♦ Negligence or improper conduct leading to damage of employer-owned or customer owned property.♦ Insubordination or other disrespectful conduct.♦ Violation of safety or health rules.♦ Sexual or other unlawful or unwelcome harassment.♦ Possession of dangerous or unauthorized materials.♦ Excessive absenteeism or any absence without notice.♦ Unauthorized disclosure of business “secrets” or other confidential information.♦ Violation of company policies.♦ Unsatisfactory performance or conduct.♦ Willful damage to company business / property.♦ Tobacco, Gutka and Chewing gum are not allowed in company premises.♦ Consumption of Alcohol is not allowed when an employee is on duty or while coming to office.7.2. Progressive DisciplineThe purpose is to state KPCL’s position on administering equitable and consistent discipline forunsatisfactory conduct at the workplace.KPCL’s best interest lies in ensuring fair treatment of all employees and in making certain thatdisciplinary actions are prompt, uniform, and impartial. The major purpose of any disciplinaryaction is to correct the behavior, prevent recurrence and improve the employee (especially theworkmen or erring employees) for satisfactory behavior in the future. Although employment 62

KIRLOSKAR PNEUMATIC CO. LTD. EMPLOYEE HANDBOOKwith KPCL is based on mutual consent and both the employee and KPCL have the right toterminate employment at will, with or without cause or advance notice, KPCL may useprogressive discipline at its discretion.Disciplinary action may call for any of four steps: counseling, written warning and suspensionwith / or without pay or termination of employment- depending on the severity of themisconduct and the number of occurrences.There may be circumstances when one or more steps are by past.Progressive discipline means that, with respect to most disciplinary problems, these steps willnormally be followed: a first offense may call for counseling; a next offense may be followed bya written warning; another offense may lead to a suspension; and still another offense maythen lead to termination of employment.7.3. Personal Protective Equipments (PPE):KPCL is IMS Certified Company and as per norms use of PPE (Personal Protective Equipment) atwork place is mandatory for every employee to maintain the certification as mentioned above.The employee cannot enter without Helmet, Safety Goggles and safety Shoes in the MachineShop / Assembly Shops or any other Shop floor where overhead cranes are in use. Apart fromthis on shop floors wherever metal jobs are to be handled, concern employee should wearhand gloves meant for particular activity / process. In compressor testing area employee has touse ear plugs to avoid damage to the ears due to noise pollution. While performing welding /gas cutting work employee as well as supervisor should ensure that the welding goggles,welding pads are used. The Helmet, Safety Goggles and Safety Shoes will be provided by HRDepartment to those who have to work / visit shop floor at the time of joining. The all PPEs,other than this will be made available through concerned Department.It is expected that the employee should use the PPEs carefully and preserve the same in thesafe custody to avoid damage / breakage / lost / theft. If the PPE once issued is lost / broken /damaged by the employee, then the cost will be recovered from the employee.Wearing Helmet and fastening Seat belts is compulsory while entering KPCL on two wheelerand four wheeler respectively.Use of cell phone on shop floor as well as while driving vehicle is not allowed.The concerned employee should ensure that the outsider entering in premises for company’sbusiness has to follow the above mentioned use of concerned PPEs wherever it is applicable. 63

KIRLOSKAR PNEUMATIC CO. LTD. EMPLOYEE HANDBOOK7.4. Problem ResolutionKPCL is committed to provide the best possible working conditions for its employees. Part ofthis commitment is encouraging an open and frank atmosphere in which any problem,complaint, suggestion or question receive a timely response from the management of KPCL.KPCL is in continuous process to ensure fair and honest treatment to all employees. Head of theDepartment, Managers, and employees are expected to treat each other with mutual respect.Employees are encouraged to offer positive and constructive criticism.If employees disagree with established rules of conduct, policies or practices, no employee willbe penalized, formally or informally for voicing a complaint with KPCL in a reasonable and inbusiness-like manner.Not every problem can be resolved to everyone’s total satisfaction but only throughunderstanding and discussion of mutual problems can develop healthy and cordial relationshipamongst each other. This kind of relationship is important for operation of an efficient andharmonious work environment and helps to ensure everyone’s job satisfaction.7.5. Work Place EtiquetteKPCL strives to maintain a positive and healthy work environment where employees treat eachother with respect and courtesy. Sometimes issues arise when employees are unaware thattheir behavior in the work place may be disruptive or annoying others. Many of these day-to-day issues can be addressed by politely talking with co-workers to bring it to his / her attention.In most cases, common senses will dictate an appropriate resolution. KPCL encourages allemployees to keep an open mind and gracefully accept constructive feedback, request orcriticism to change behavior that may affect another employee’s ability to concentrate and / orto be productive.The following are the workplace etiquette guidelines and not necessarily intended to be hardand fast work rules. They are simply suggestions for appropriate work place behavior to helpeveryone be more conscientious, considerate of co-workers and the work environment.Employees can contact the HR Department if they have suggestions regarding these workplaceetiquette guidelines. ♦ Keep the area around the workstations orderly and clean. ♦ Avoid public accusations or personal criticisms of other employees. Address such issues privately with those involved or through HOD. ♦ Try to minimize unscheduled interruptions of other employees while they are working. ♦ Communicate by appropriate and to the point email or phone conversation whenever possible, instead of walking unexpectedly into someone’s office or workplace. 64

KIRLOSKAR PNEUMATIC CO. LTD. EMPLOYEE HANDBOOK ♦ Be conscious of how your voice travels and try to lower the volume of your voice when talking on the phone or to others in open area. ♦ Keep socializing to a minimum and try to conduct conversations in areas where the noise will not be distracting to others. ♦ Minimize talking between workplace or over cubicle walls. Instead, conduct conversations with others in their workplace. ♦ Do not block walkways while carrying on conversations. ♦ Refrain from using inappropriate language (swearing) that others may overhear. ♦ Monitor the volume when listening to the, voicemail or a speakerphone so that others can hear. ♦ Clean up after yourself and do not leave behind waste or discarded papers garbage.7.6. Taking Company Material outside Factory PremiseEmployees are not allowed to take any material, drawing, record or any business informationoutside the company premise without authorization, authentic documentation writtenpermission and a gate pass. Employees in any grade can be searched at the security gate.(Theft is defined as taking any hard material, drawings, information, price list, lists of vendors,distributors, and employee and / or business related information and / or other businessinformation, drawings, software, computer programmes’, etc. without authorization /permission)7.7. Video-shooting / Photography of Factory PremisesThe company prohibits employees / visitors / any outsiders from taking photographs of anymachinery, plant, component, finished product and data. Video shooting of any manufacturingprocess is not permitted without prior permission of the SBU Head and / or Factory Manager orinforming the HR Department before such photography / video shooting.7.8. Workplace MonitoringKPCL can conduct work place monitoring to ensure quality control, employee’s safety, securityand customer satisfaction. Since KPCL provides Computers to employees it has right to monitoror access files and information on computers. KPCL is sensitive to the legitimate privacy rightsof employees. Every effort will be made to ensure that the work place monitoring is done in anethical and respectful manner.7.9. Workplace Violation PreventionKPCL is committed to preventing work place from violence and to maintain safe workenvironment. Given the increasing violence in society in general, KPCL has adopted the 65

KIRLOSKAR PNEUMATIC CO. LTD. EMPLOYEE HANDBOOKfollowing guidelines to deal with intimidation, harassment or other threats of (or actual)violence that may occur during business hours or on its premises.All employees should be treated with courtesy and respect at all times. Conduct that threatens,intimidates or coerces another employee a customer or a member of public at any time,including off working timings will not be tolerated. KPCL will promptly and thoroughlyinvestigate all reports of threats of (or actual) violence and of suspicious individuals oractivities. KPCL encourages employee to bring their disputes or differences with otheremployees to the attention of their reporting officer or the HR Department before the situationescalates.7.10. Entering the factory during weekly offNo employee is supposed to enter the factory premises during the weekly off or other thantheir own work shift.When an employee is asked to attend on his / her weekly off, has to prepare a memomentioning the date of weekly off, name of the employee to work on weekly off, detail of thework to perform and duration to attend signed by his / her departmental head as well asapproval of SBU Head. Such approved memo finally will be signed in token of permission towork has been granted by HR Department which is to be submitted to Security Department onearlier day of such weekly off.7.11. Over-Staying at Factory PremiseStaying back at the factory premise is not allowed. However, Officers / Managers can stay backfor the purpose of work. Employees overstaying will have to inform the Time Office andSecurity office.Employees who overstay are supposed to be at their work (place of work) and not disturb otherworkplaces. 66

KIRLOSKAR PNEUMATIC CO. LTD. EMPLOYEE HANDBOOKEmployment Status and Records 67

KIRLOSKAR PNEUMATIC CO. LTD. EMPLOYEE HANDBOOK8.0. EMPLOYMENT STATUS AND RECORDS8.1. Employment CategoriesIt is the intent of KPCL to clarify the definition of employment classification so the employeeunderstands their employment status and benefit eligibility.Permanent employees are those who are appointed as probationer and / or confirmedpermanent employee on roll and who are full time employees (both monthly rated as well asdaily rated) to work on a full time basis.These employees are divided into two categories, viz., Management and Non-Management(Bargainable staff). Further, the management cadre consists of Grade 58 to 71 and has 3 levels,viz., Junior Management (Grade 58 to 62), Middle Management (Grade 63 to 65) and SeniorManagement (Grade 66 and Above).Generally they are eligible to the benefit packages designed based on individual grade.PROBATIONERS are the people whose performance is being observed to determine whetherthey are suitable for a specific position. Employees whose work is found satisfactory during theprobation period will be confirmed for employment of the company.CONTRACTUAL employees are those who are not on company muster roll and are oncontractors’ muster roll and who are hired for a specific project / period / work throughcontractor. Their assignments in this category are of a limited duration.CONSULTANTS / RETAINERS are those who provide guidance to the company staff /management on technical, functional and business topics. Their appointments have a pre-decided period8.2. Access to Personnel FilesKPCL maintains individual personal records in separate file for each employee which is knownas personal file of the employee. The personnel file includes such information as theemployee’s job application, resume, individual certificates pertaining to education, proof ofdate of birth, earlier work experience certificate, record of training, performance appraisalform, salary revision letters, and other employment record. Personnel files are the property ofKPCL, and no one except SBU Head has access for these files since these file are in confidentialcategory. These files are preserved and maintained in HR Department.8.3. Personal Data ChangeEmployee has to inform HR Department for any kind of change in information pertaining totheir educational qualification, professional qualification, change in residential address, changein family information due to birth / death / marriage as the case may be, change in general, PF,Gratuity nominations. This information should be hand written and supported by the proof for 68

KIRLOSKAR PNEUMATIC CO. LTD. EMPLOYEE HANDBOOKthe information with the signature of the employee addressed to Factory Manager of theCompany.8.4. Probation PeriodThe probation period is normally of six months commencing from the date of joining thecompany which is intended to provide opportunity to new employees to demonstrate theirability of performance to achieve a satisfactory level of the same and to determine whether he/ she meets the expectations of the required performance level. This period is used to evaluateemployee’s capability of work, individual behavior, punctuality, and overall performance.If the evaluation level is not satisfactory, employee is given either opportunity by extending his/ her probation period or terminated during the probationary period.On satisfactory performance of the employee, he / she will be confirmed in the employment ofthe company on completion of the probation period by issuing letter in writing.8.5. Employment ApplicationsKPCL relies upon the accuracy of information contained in the employment application, as wellas the accuracy of other data provided / presented throughout the hiring process by theemployee. Any misrepresentation, falsification or material omissions in any of this informationor data may result in the termination of employment. 69

KIRLOSKAR PNEUMATIC CO. LTD. EMPLOYEE HANDBOOK EmployeeDevelopment 70

KIRLOSKAR PNEUMATIC CO. LTD. EMPLOYEE HANDBOOK9.0. EMPLOYEE DEVELOPMENT9.1. Job Description (JD)KPCL makes every effort to create and maintain accurate job descriptions for all positionsmentioned in the Manpower Requirement Requisition (MRR). The HR Department preparesdetail job descriptions in consultation with the respective HOD, when new positions are to berecruited. Each description includes the information on the job to be performed, essentialroutine work and responsibilities. The JD is aimed for creating role clarity for the employee.Existing job descriptions are also reviewed and revised in order to ensure that they are up todate. Job descriptions may also be reviewed periodically to modify the changes (if any) in thejob description. The job descriptions do not necessarily cover every task / process / work thatmight be assigned and that additional responsibilities may be assigned if required. It is anindicative list.9.2. Performance Appraisal SystemPerformance Appraisal (PA) through Performance Management System is a rational method toassess the performance of a manager for a period of the financial year. It offers you opportunityto set goals, linked with departmental / divisional goals which ultimately is related to companytargets / goals for yourself (this is in concurrence of your supervisor), freedom to make effortsand to exhibit your skills, abilities and mettle. Performance appraisal is a methodical process tomentor and develop the subordinates. It is a continuous development process for employee.Method and objectives in general:It intends to set quarterly targets / KRAs through Oracle for a period of 3 months with mutualunderstanding with the supervisor and achieving those targets with his / her guidance. At theend of the quarter, the individual has to self-assess the performance. After having gone throughthe self-assessment carefully, a dialogue must take place between appraiser and appraisee.During performance dialogue the supervisor is supposed to offer comments and alternativesolutions to achieve the targets, if the subordinate falls short of achieving them. Then theymust set further targets for next quarter and the same shall be recorded through Oracle. Thisway, the assessment is done for four quarters. The complete process is now online.The annual performance appraisal is done in the month of April of the next financial year. Thisshall include the overall performance of the individual during the year, efforts in developing thesubordinates and participation in Team working to achieve team targets. Subordinate will alsoenter training need requirement. 71

KIRLOSKAR PNEUMATIC CO. LTD. EMPLOYEE HANDBOOKGeneral: 1. All managerial employees are expected to plan and record their Key Result Areas (KRAs i.e. goals / targets), in their respective functional areas and work for improvement in their respective areas in consultation with their appraiser. This is to ensure that the KRAs are in line with the organizational goals. 2. The respective KRAs should simultaneously reflect in the WPR diary to help the employee to plan his / her work. 3. At the end of the quarter, based on the agreed KRAs, the appraisee shall assess own performance. This leads into a performance appraisal dialogue clarifying mutual expectations. The appraiser shall then give his / her assessment. In order to avoid personal bias and solve disagreements, if any, the reviewing officer, who shall be next in line after the appraiser, certifies the performance assessment. 4. The system also provides scope for recommendations of rewards by way of promotion.The performance assessment of the previous quarter and mutually agreed KRAs for the nextquarter should be completed on or before 30th of the first month of every quarter.It is in the interest of the individuals to make the performance appraisal system more effectiveand useful for career advancement. For any clarification or suggestions please contact the HRdepartment.Guidelines for Promotion:The criteria for promotion would be the merit and performance of the concerned manager.1. A manager will be eligible for promotion only if he / she satisfies the following conditions: a) He / she should be a consistent achiever of goals / KRAs in the last 2-3 years period. b) The period between two promotions would not be less than three years, however in exceptional circumstances it can be less than 3 years.2. The manager could be recommended to the next higher grade only.3. A promotion to General Manager and above depends on the availability of vacancy orposition in addition to at least one cycle of RKQP assessment.9.3. Learning and DevelopmentWe believe that training is an instrument to introduce an individual to himself / herself by wayof introspection or to impart training for the required skills to perform better. The challenge isto identify gap of differential skills, which is a dynamic process. Our people need tocontinuously learn and perform - absorbing in new methods of successful working, adaptingthem to our advantage, keeping a step ahead of the competition. We aim at identifying thescope for improvement in individual’s competencies and providing them relevant inputs for 72

KIRLOSKAR PNEUMATIC CO. LTD. EMPLOYEE HANDBOOKgrowth and development. The KPCL Learning and Development section is part of the HRdepartment and facilitates training and development programmes to:Trade Apprentice, Graduate Engineer Trainee (GETs) and Diploma Engineer Trainees:Training imparted to the Trade Apprentices, GETs and Diploma Engineer Trainees under theApprentices Act 1961, is conducted by the Training Manager on the theoretical and practicalaspects as per syllabus. Selected trainees have to execute a contract with the company asrequired under the act and they are paid monthly stipend at a rate depending upon thecategory.Employees:Learning and development needs of the employees in all the categories are identified by theDepartmental Heads through Performance Appraisal (PMS). Training needs are categorized intoKnowledge, Skill and behavior .These needs are then discussed with the respective HOD’s andthe programs are organized in-house / outside, considering the suitability and availability of thetrainers. Training of this kind is necessarily need - based and it is imparted by trained /professional faculty members. Pre and post review sessions if needed are organized before andafter the training programme. The effectiveness of training is assessed after four months theprogramme is conducted.Skill Upgrading / Learning Programmes:All employees undergo awareness and skill upgrading / learning programmes such as Qualityawareness programmes, 5 S, Kaizen, IMS awareness programmes, Ravi Kirloskar Quality Prize(RKQP) Model of Business Excellence etc., which are need - based.9.4. Work Planning and Review (WPR)The main purpose of Work Planning and Review (WPR) sessions is to save time to do one’s ownwork qualitatively.The WPR process will help the individuals to organize his / her work along with and cope withoccasional responsibility with grace, by utilizing whatever resources are available to the bestadvantage as opposed to complaining about what may not be readily available. Each and everymanager, irrespective of their level or function is in essence the planner and reviewer of thework of self and others who work with and for them towards the realization of expectedresults.It is building teamwork with assured performing competence and motivation in people, bycaring for them as well as sharing with them. This style of working will give the individuals moretime to do bigger and better things.The WPR style of managing drills the individuals to create responsive habits, to be able toperform in a predictable manner at all times. By serving as a listening post, the manager at 73

KIRLOSKAR PNEUMATIC CO. LTD. EMPLOYEE HANDBOOKevery WPR session provides opportunities for a meeting of the minds, giving way to pent upfeelings and reducing irritability. It also provides timely opportunities for appreciating, guidingfor the consequences of actions.The WPR methodology intends the supervisor and subordinate discuss their plans at thebeginning of the quarter. After writing briefly on the plan of the quarter, it should then bebifurcated into a monthly plan. The supervisor and subordinates reviews the plan at the end ofeach month and plan the actions to be taken for the next month. In the review session they alsodiscuss about failure / problems and work out the solutions.Each individual is given a WPR diary and a kit at the time of his / her induction.9.5. Rewards and RecognitionImportant note:All the scheme/s is abbreviated versions of the original scheme/s. The management has right tomodify, alter, delete and / or to discontinue the scheme(s) at any time without notice. Theupdated schemes are available with HR department and also on Shashwat9.5.1. Fast Tracker SchemeObjectives:a) To create and institutionalize a process of recognizing and rewarding excellent performers, tocreate a sense of ownership amongst them, to provide them equal opportunity to compete in ahealthy manner and through this process to create experts and leaders for future requirementof the organization.b) To become positively instrumental to develop an outlook and urge amongst the managerialcommunity for developing their leadership, bringing change in attitudes and creating healthycompetition for sustained performance.Scope: This is applicable to managerial employees meeting the selection criteria given below.Period: The duration of the privilege under the scheme will remain valid for a period of fiveyears.Amount of reward:The selected employees will undergo different developmental programs to developcompetence. Fast Trackers will be nominated for MDP.BENEFITS Year 1st 2nd 3rd 4th 5thGift Vouchers 5000/- 5000/- 5000/- 5000/- 5000/-Learning Support- Management books, 10000/- 10000/- 10000/- 10000/- 10000/-periodicals and professional membershipCriteria for selection:Education: B.E. / MBA / ICWA / CS / CA / MCA / MCS or equivalent Professional Qualification 74

KIRLOSKAR PNEUMATIC CO. LTD. EMPLOYEE HANDBOOKExperience: Minimum 2 years experience – including training period. Out of the totalexperience, candidate should have served 1 year minimum in the Kirloskar Group Company ason 31st March. Candidate must not be on probation.Age: Not more than 32 years as of 31st MarchScreening Test: Candidate who has cleared the screening test will appear in an AssessmentCenter. Candidates who have appeared for screening test once but have not cleared thescreening test can be considered again. Candidates who have appeared for the screening testtwice and not cleared will not be eligible for this process.Assessment Center: Candidates who clear assessment center will be selected as Fast Tracker.Candidates who have appeared for the assessment center in the past and have not cleared itwill not be eligible for this process.Who Should Reward:MD and SBU head will reward the Fast TrackerWhen to Reward:Felicitation of Fast Trackers will be done during Achievers function.Method of Felicitation:HR will communicate details of Achievers function to all regarding date, time and venue well inadvance. MD and SBU Head will felicitate the Fast Trackers with a trophy, gift voucher andletter of appreciation. Fast Tracker will submit bills towards Learning Support (Managementbooks, periodicals and professional membership) to HR. This amount will be credited throughSalary.9.5.2. Team Rewards SchemeObjectives:To create and institutionalize a process of recognizing and rewarding excellent Teamperformance immediately, foster team spirit and a sense of working together for a commongoal.Scope: This is applicable to all employees in grade 0 to 65Period: The duration of privilege under the scheme will remain valid for a period of one year –from 1st April to 31st March of the financial year.Amount of reward:a) Each division will have a budget of Rs. 100000/- for the period of financial year.b) The maximum reward will be of Rs. 25000/- per team. 75

KIRLOSKAR PNEUMATIC CO. LTD. EMPLOYEE HANDBOOKCriteria for granting the rewards:Employees can register their team with respective Department Heads. Quality Circles andKaizen teams can nominate their respective team for a Team Reward. Each team will have aminimum of two members, out of which one will be Team Leader. Department Head willfinalize amount of reward to team members.Team will work to achieve objectives in the one of the following areas: a. Recovery b. Process Improvement c. Productivity Improvement d. Inventory Control e. Quality Improvement f. Cost Reduction g. Delivery h. Customer Satisfaction i. New Development and Implementation j. Safety k. OthersThe basic for rewarding the team members will depend on: - a) Over all contribution towards achievement of objective. b) Timely action taken by the member doing his / her part of contribution in total efforts. c) Initiatives and interest taken in team working.Who Should Reward:SBU Head will reward team membersWhen to Reward:Team members should be recognized within a week of acceptance of nominations.Method of Felicitation:Departmental Head will recommended the reward and fill in the team reward form with allapprovals and forward it to HR. SBU Head will felicitate team members in presence of allemployees in the department by describing the value demonstrated and achievement of theteam. Each team member will be given a trophy and letter of appreciation. . Amount of rewardwill be credited to team members through salary. 76

KIRLOSKAR PNEUMATIC CO. LTD. EMPLOYEE HANDBOOK9.5.3. Spontaneous Rewards SchemeObjective: a) To create and institutionalize a process of recognizing and rewarding excellent performance immediately b) To empower the supervisors to recognize and reward their subordinates c) To create supportive and collaborative work culture in the organization that will promote team spirit.Scope:This is applicable to all employees in grade 0 to 64 working in all functions, all locations and willbe entitled to get such rewards up to maximum 3 times in a year.Period:The duration of the privilege under the scheme will remain valid for a period of one year – from1st April to 31st March of the financial year.Amount of reward:a) Each division will have a budget of Rs. 1,00,000/- for each financial year.b) The maximum reward is Rs. 1000/-Criteria for granting the rewards:When an employee demonstrated any of our values through his / her work or does a jobbeyond the call of duty he / she could be rewarded immediately. Criteria for rewarding theemployees are: time saved, avoided LD charges, improving brand image, attended and restoredequipment in less than standard time, saved cost substantially, achieved breakthroughimprovement and exhibiting sense of responsibility to name a few.Who should reward:The Sectional / Departmental are empowered to reward their subordinates / colleagues in thedepartment.When to reward:The deserving employee should be recognized immediately within 48 hours. A Sectional /Departmental Head should sign the certificate and reward voucher.Method of Felicitation:The Sectional / Departmental Head will hand over the certificate and reward voucher inpresence of members in the department after briefly describing the value demonstrated andrewardee’s achievement. 77

KIRLOSKAR PNEUMATIC CO. LTD. EMPLOYEE HANDBOOKA brief write up on the achievement is to be displayed on the Notice Boards in the departmentfor the information of all other employees. The employee will hand over the reward voucher toHR and reward amount will be credited to employee through Salary.9.5.4. Kaizen Scheme Objectives: a) To encourage employee’s creativity and innovation by way of suggesting and implementing small improvements in their work area, to create a culture of working together towards creating better working environment. b) To recognize the contribution of the people in simplification of work methods c) To share learning, ideas and improvements from different functions of the organization. Scope: a) This scheme is applicable to all employees in grade 0 to 65 b) An Employee / team will be entitled to fit rewards for all accepted kaizen in a year.Period:The duration of the privilege under the scheme will remain valid for a period of one year- from1st April to 31st March of the financial year.Amount of reward: a) Each Level 1, 2 and Level 3 Kaizen will be rewarded Rs. 50/- after registering a Kaizen. b) Best Level of 1 and2 Kaizen will be rewarded Rs. 500/- gift voucher and trophy.Criteria for granting the rewards:When an employee who has implemented a change / improvement in present work,methodology, process will fill up his / her Kaizen through Oracle with approval of Sectional /Departmental Head. There are 2 forms for Kaizen, Level 1 and2 and Level 3.Level 1 Kaizen: Kaizen which scores between 41 and 50 after evaluation, Kaizen evaluationscoring sheet is based on criteria like problem identification, analysis, Kaizen idea, investmentand benefits, horizontal deployment and sustenance plan. These Kaizens will be submittedonline through oracle. These are best practices with less possibility for further improvement.Level 2 Kaizen: Kaizen which scores between 31 and 40 after evaluation as per criteriamentioned above. These are close to best practices with some potential for furtherimprovements.Level 3 Kaizen: These Kaizen will be submitted online through Oracle and will include beforeimprovement condition and after improvement condition. These Kaizen have enough scope forfurther improvements. 78

KIRLOSKAR PNEUMATIC CO. LTD. EMPLOYEE HANDBOOKKaizen should be submitted in format in soft / hard form which is available with Section /Department Heads and on Shashwat. The Section / Department Head will help workmen to fillKaizen in the format, if required in English / Marathi.After submitting Kaizen through oracle, supervisors will accept / reject / send for correction. Ifsupervisor accepts the Level 1 and2 Kaizen, it will be rated on a scale of 1 to 50 by the reviewer.Kaizen committee wills scrutinize Level 1 and 2 Kaizen once in two months and declare BestLevel 1 and 2 Kaizen. HR will retrieve data from oracle and process the redemption. Rs. 50/- perKaizen will be credited to employee through salary.Who should reward:SBU head will reward Best Level 1 and 2 KaizenWhen to reward:Level 3 Kaizen, redemption will be on monthly basis through salary and Best Level 1 and 2Kaizen reward felicitation will be held once in two months.Method of Felicitation of Best Kaizen:SBU Head will felicitate employee whose Kaizen is selected as Best Level 1 and 2 Kaizen withtrophy and gift voucher of Rs. 500/- on the shop floor / office.9.5.5. Star of the month schemeObjective:a) To recognize the contribution of employee towards achieving monthly targets of thecompany.b) To energize / motivate employees in the organizationc) To create healthy inner competition among the employees for achieving organization goals.Scope:This is applicable to all employees in grade 31 to 64.Period:The duration of the privilege under the scheme will remain valid for a period of one year - from1st April to 31st March of the financial year.Amount of reward: a) Each division will have a budget of Rs. 84000/- for each financial year. b) The reward amount will be Rs. 4000/- for all employees (Grade 31 to 64).Criteria for granting the rewards:When an employee demonstrates any of our value through his / her work, he / she will benominated for exemplary work done in one of the following areas and does a job beyond the 79

KIRLOSKAR PNEUMATIC CO. LTD. EMPLOYEE HANDBOOKcall of duty in the month; he / she could be nominated by Supervisor / Department Head forthis reward. Employee can be nominated under one of the following areas- Recovery - Delivery- Process Improvement - Customer Satisfaction- Productivity improvement - New development and implementation- Inventory control - Safety- Quality improvement - Other- Cost reductionThe Supervisor / Department Head will nominate an employee by filling the form available onShashwat and hand it over to HR by 8th of next month. One employee (Grade 58 to 64) and oneemployee (Grade 31 to 46) will be selected every month from each SBU / Corporate function byrespective SBU / Corporate Functional Head.Who should reward:MD and SBU Head will reward employee of the month.When to reward:An Achievers function will be organized once in two months on the shop floor.Method of felicitation:HR will communicate details of Achievers function to all regarding date, time and venue well inadvance. Supervisors of the employee will briefly describe the value demonstrated andrewardee’s achievement. MD and SBU Head will felicitate the Employee of the month with atrophy and letter of appreciation. Reward amount will be credited through salary.9.5.6. Thank you card schemeObjective:To create a culture of appreciation in the organisation and help you express your gratitude tocolleagues who helped you achieve your goal. To motivate employees in the organisation.Scope:This is applicable to all employees in grade 0 to 71.Period:The duration of the privilege under the scheme will remain valid for a period of one year from1st April to 31st March of the financial year.Criteria of giving a Thank You Card:An employee can give a Thank You Card to his / her colleague when the colleague has helpedthe employee in achieving a goal and has demonstrated our values. 80

KIRLOSKAR PNEUMATIC CO. LTD. EMPLOYEE HANDBOOKWho should give the card?Employees from grade 0 to 71 can give this card to colleagues from any grade / department /division / location.How many Thank You Cards can I give?Employees can give as many as they wish as long as appreciation is for genuine reason.Do I need approval for the same?You do not need approval to give a thank You card.Where Can I get the Thank You Card?Thank You cards are available in all branch offices and in each department of the company.When can I give the Thank You Card?You can give the Thank You Card immediately after your colleague has helped you.Method of felicitation:Take a Thank You card, write the contribution of colleague for which you are appreciating, signthe card & hand over this card to your colleagues. 81

KIRLOSKAR PNEUMATIC CO. LTD. EMPLOYEE HANDBOOKCommunication 82

KIRLOSKAR PNEUMATIC CO. LTD. EMPLOYEE HANDBOOK10.0. COMMUNICATIONWe recognize the importance of communication to anticipate, understand and fulfill the needsand expectations of the employees. Therefore, a strong emphasis is laid on communication as aprocess of sharing information, creating awareness, seeking suggestions and involving them forimprovements in the business related processes so as to achieve a state of excellence. 1. The purpose and objectives of our communication policy are given as under: Collect, store and manage information and knowledge. Communicate organization’s goals and objectives, policies and strategies to all employees. Foster close working relationships across the divisions and teamwork throughout the organization. Develop and deploy systematically top down, bottom up and horizontal communication channels. Share best practices and knowledge freely and provide easy access to relevant information. 2. Channels: Use of all channels – emails, notices, periodical meetings, gatherings, public notices, house magazine, annual / biannual meets are used to communicate with all employees. 3. Time to communicate: The objective of communication is to reach employees as early as possible as under: Periodically every 3 months and / or within 3 months and / or within 48 hours before or after an event through notices, circulars, emails and personal communications or through departmental / sectional Heads.The communication forums, their frequency, coverage, channel and purpose are given in atable on the next page. 83

KIRLOSKAR PNEUMATIC CO. LTD. EMPLOYEE HANDBOOK Communication Forum Frequency Coverage Channel PurposeEmployee Engagement Alternate All employees Bottom up To gauge employee engagement and benchmark our policies &Survey Year practices with the best in India.MD’s Annual address Annual All employees Top down To share AOP for current year and previous year’s financial resultsAOP meeting Annual Section/ Dept / Bottom up To prepare AOP for next financial year SBU headsEmployee Recognition by Annual All employees Horizontal To recognise employee contribution, 5 S achievements, Kaizen / QCChairman & MD awards at state & national level, quiz competition awards during Quality Month CelebrationSBU Head’s Speak out Annual Managers Horizontal To share highlights of SBU in previous financial year, share AOP and answer question asked by employeesSBU Head’s Theme Speak Annual Managers Bottom up To answer questions related to theme taken by the SBU. Themes areout based on current issues in the SBUSusamwad Quarterly All employees Horizontal Quarterly magazine includes highlights of the company in the previous quarter, recognising employees, involving family membersPerformance appraisal Quarterly Managers Horizontal To review performance of subordinate and set KRAs for next quarterdialogueProbationer’s meeting with Quarterly Managers Horizontal To make probationers aware of SBU’s needs and challenges and theSBU Head importance of their role in the SBUEmployee Recognition by Alternate All employees Horizontal To recognise employee contribution, share recent success stories, 5MD Month S achievements, safety awards during ‘employee of the month’ programmeMonthly COM Monthly Dept. Heads Horizontal Review of monthly performance Monthly Horizontal To maintain congenial industrial relationsUnion management Unionmeeting MembersProbationer’s meeting with Monthly Managers Horizontal To understand and resolve queries from probationers, identify theirHR learning needs and assimilate them in the organisationShashwat Daily All employees Horizontal To access personal information of employees, information about IMS related documents, success stories, knowledge management, access to policies, L&D initiatives, current events, safety, quiz, etc.Exit interview As per need Managers Bottom up To understand reason for leaving and suggestions for improvement 84

KIRLOSKAR PNEUMATIC CO. LTD. EMPLOYEE HANDBOOK Employee Health Care andCorporate Social Responsibility 85

KIRLOSKAR PNEUMATIC CO. LTD. EMPLOYEE HANDBOOK 11.0. EMPLOYEE HEALTH CARE and CORPORATE SOCIAL RESPONSIBILITY Employee Wellness Walk The Health Talk____Occupational Health Center • KPCL has a “well equipped” Occupational Health Center that is manned by a full time doctor qualified in industrial health and paramedics round the clock. • OHC delivers “qualitative” preventive health services not only to the employees but also to their families and to the society at large. • First aid “preparedness” is ensured round the clock by periodically training employees, security personnel and by having good liaison with nearby hospitals and specialists. • Medical “surveillance” that includes pre-employment and periodic medical examinations is carried out so that employee health and well being are maintained. • Hospitalized employees are given “meaningful” help and reassurance. • Occupational “rehabilitation” of the injured and sick employees is given adequate importance. • “Wellness Planner” ensures that all employees are covered under preventive health checks and health promotion programs. 86

KIRLOSKAR PNEUMATIC CO. LTD. EMPLOYEE HANDBOOK • Regular society health initiatives are taken to contribute to the “CSR (Corporate Social Responsibility)” activities of KPCL.Access Following Link for Detail Information on KPCL Employee Health Carehttp://ocs.kpcl.co.in:7778/content/dav/kpcl/workspaces/SHASHWAT/occupationalhealthcentre.htm 87

KIRLOSKAR PNEUMATIC CO. LTD. EMPLOYEE HANDBOOK KPCL CSR FRAMEWORKBHARARI VASUNDHARA CLUBS VISION CARESocio-economically Awareness about Eye screening will be conducted forchallenged students from students of adopted schools everythe adopted schools will environment, water, air, year with free distribution of spectaclesbe supported and for those with refractive errors anddeveloped from 5th to energy and wild life will be further check up and interventions for10th standard and beyond other eye conditions like squint etc. will10th standard by way of a inculcated in the students by be subsidized.scholarship program toensure employability and way of activities of Kirloskarlivelihood. Vasundhara Clubs formed every year in the adopted schools.ADHUNIK GURU WASH COMMUNITY HEALTHTeachers from adopted Awareness about water, Health camps will be offered everyschools will be trained to sanitation and hygiene will be year to employee families, externalface emerging challenges developed amongst teachers, agency and customer personnel,in dealing with the non-teaching staff, students general communities like teachersstudents, the education and administrators of schools from adopted schools, women, seniorsystem, the syllabus and in collaboration with Kirloskar citizens, etc.the new teaching, learning Foundation.methods. HIV AIDS WORKPLACE and COMMUNITY INTERVENTIONHIV AIDS WPI will be an integral part of KPCL corporate social responsibility and will be implementedand sustained for employees as well as for communities like contract labor, trainees, teachers andnon-teaching staff from adopted schools etc. PHILANTHROPYKPCL will continue to make donations and support to socio-economically challenged students, toinstitutes dealing with differently abled persons and to other charitable institutes. Access Following Links for Detail Information on KPCL CSR http://ocs.kpcl.co.in:7778/content/dav/kpcl/workspaces/SHASHWAT/Health/Health%20Data%20- %202014/KPCL%20CSR%20Booklet%202014%20-.pdfhttp://ocs.kpcl.co.in:7778/content/dav/kpcl/workspaces/SHASHWAT/HR%20on%20SHASHWAT%20- %202014/HR/html/CSR.htmlhttp://ocs.kpcl.co.in:7778/content/dav/kpcl/workspaces/SHASHWAT/HR%20on%20SHASHWAT%20- %202014/HR/Pdf/Policies/CSR_POLICY.pdfhttp://ocs.kpcl.co.in:7778/content/dav/kpcl/workspaces/SHASHWAT/HR%20on%20SHASHWAT%20- %202014/HR/Pdf/Policies/HIV-AIDS-Policy.pdfhttp://ocs.kpcl.co.in:7778/content/dav/kpcl/workspaces/SHASHWAT/HR%20on%20SHASHWAT%20- %202014/HR/Pdf/Policies/PoSH-Policy-Highlights-English.pdf 88

KIRLOSKAR PNEUMATIC CO. LTD. EMPLOYEE HANDBOOKAppendix 89

KIRLOSKAR PNEUMATIC CO. LTD. EMPLOYEE HANDBOOK13.0 APPENDIX Extensions 4155,4154,4157 13.1. Important Official Extension Numbers 4134, 4041,4151,4040 4128 Important Contacts 4123 Security 5026 HR 4131 Time Office 4127 Factory Manager 4133,4132 Doctor 4125 OHC / Clinic 4126 Salary / Miscellaneous Personnel Issues 4203,4186,4185,4184 Canteen 4271, 4277, 4279, 4273 Safety 4113, 4071, 4112 Insurance / Bank Related 4001 Plant Engineering / Lift 4006 IT Dept / Computer Queries 4003 Finance / Cash Section 4005 PA to MD 4004 PA to VP - ACD 4010 PA to VP – ACR PA to VP – TRM PA to VP – FINANCE PA to VP – HR90

KIRLOSKAR PNEUMATIC CO. LTD. EMPLOYEE HANDBOOK13.2. Frequently Asked Questions (FAQs)1. Whom should I report as soon as I reach the company? Any person joining should report first to the HR department.2. Where is the company (HO) located? The company (HO) is located in Hadapsar Industrial Estate, Pune 411013.3. What are the timings of my working hours? Refer point 6.1. Working Hours4. Is it a 5-day week or 6-day week working system? At HO, some employees have alternate Saturday (1st and 3rd or 2nd and 4th) off along with all Sundays. At Saswad plant some employees have Sunday (1st and 2nd) off along with all Thursdays. At Nasik, all employees have all Saturdays off. At branches, all employees have alternate Saturday (1st and 3rd) off along with all Sundays.5. By what time do I have to report to office? You have report to office as per your shift timing.6. How will my attendance be recorded? Company Identity card will be issued to all employees within one week of joining; we have biometric attendance system. The attendance is registered when you place your index finger in the biometric attendance reader. Employee has to register their in time and out time as well.7. What are the details I need to submit for getting my identity card and to whom? Details about the present address, phone number and blood group are to be submitted along with your name and token number at the time office.8. Where should I be seated? Will I be given a computer? The person you are reporting to will inform you about your seating and the infrastructure to be provided.9. How can I get my official mail ID? Whom to contact for the same? Your official mail ID would be created as soon as you join the company and have gone through your functional induction.10. Will the company provide me with any kind of accommodation? No, the company does not provide accommodation.11. Which is the nearest residential area to stay? The nearest residential area is Fatima Nagar / Hadapsar town / Kondhwa / Magarpatta City.12. Is the company location a remote area or a well-known area? Hadapsar is a residential and commercial area. It is well connected to other places in Pune. 91

KIRLOSKAR PNEUMATIC CO. LTD. EMPLOYEE HANDBOOK13. Will the company provide any kind of transportation i.e. is there a company bus? No. The company has no provision for Hadapsar employees. Transport facility is available for Saswad Plant employees only.14. How can I reach the company? Which is a good mode of transport? The best mode of commuting to Hadapsar is buses. There are numerous buses available from various destinations in Pune to this place. The other mode of commuting is auto- rickshaw.15. Which is the nearest bus stop to the company? Is it a walk able distance? The nearest bus stop is half a kilometer from the company, the bus stop is known as “Ramtekadi or Kalubai”.16. Whom do I inform about a change in my postal address? You should inform the Factory Manager in writing about a change in your Postal Address / Telephone No.17. If I get my own two-wheeler / four-wheeler, where should I park it? There is a parking area where all the employees park their two-wheeler / four-wheeler inside the company premises.18. Is there a separate parking for ladies? Yes. There is a separate two-wheeler parking area for ladies.19. When is salary given every month? Salary is credited directly to your bank account by 1st of every month.20. Is there facility for a corporate bank account, where my salary would be credited? We have a tie-up with the ICICI Bank and HDFC Bank. Your salary would be directly credited to your Bank account.21. Is lunch facility available in the company? How much should I pay for it? Lunch facility is available in the company. It is available at subsidized rates and a deduction of Rs.10/- per day is made from monthly salary.22. Are there people who get their own lunch or it is mandatory to take lunch at the company canteen? Some employees who get their own lunch while a majority take their lunch at the Company Canteen.23. At what time can I have my lunch? Your lunch timing would be as per your shift. Do check up your shift timing. 92

KIRLOSKAR PNEUMATIC CO. LTD. EMPLOYEE HANDBOOK24. Where can I get the Guest Lunch Slip? Who will sanction it? Do I need to pay any amount for that? If any visitor is visiting the company in lunch hours, the employee has to notify lunch requirement in the electronic gate pass system itself. The cost of lunch will be paid by the company for visitor.25. If I don’t want to avail the canteen facility, whom should I inform? You have to inform the Factory Manager through E-mail.26. Is there any provision for mobile connection / service from the company? Mobile SIM is provided as per the Mobile Phone SIM allotment Policy.27. Which mobile service has better network at the company premises? All Mobile service providers have good coverage in the company.28. Will there be any induction programme as soon as I join? Or everything is on the job training? An online employee handbook is uploaded on Shashwat. This will give all details about the policies and practices in the company. You will undergo a ½ day induction programme on the next day of joining which will cover the basic modules and there will be one Full day induction programme in the first month of next quarter of your joining wherein the major modules will be covered.29. Whom should I contact for any kind of official detail? You can contact the HR department. They will guide you to the concerned person / department. 93

KIRLOSKAR PNEUMATIC CO. LTD. EMPLOYEE HANDBOOKFor more information, you can access the company intranet at:http://apps.kpcl.net:8000/OA_HTML/KPC/Shashwat/HTML/index.htmlfor assistance regarding the intranet site, you can call Extn: 4271. 94

KIRLOSKAR PNEUMATIC CO. LTD. EMPLOYEE HANDBOOKRoad Map: 95