MECON LIMITED

RANCHI – 834 002

Ref. No. : Issued by : Date of Issue:

11.73.3/9002/2013 Personnel Department 18.04.2013

Policy Circular No. : Approved by : Date of Effect:

76/2013 Board of Directors in their 201st Immediate effect.

meeting held on 26.02.2013

Sub: Revision of MECON Travelling Allowance Rules for travel in India and
Transfer and Benefit rules.
The Board of Directors in their 201st meeting held on 26.02.2013 has approved the revision of
MECON Travelling Allowance rules in India and transfer and benefit rules, as given below:-
Clause 10.4.3: Revised entitlement of employees in different grades for TA:

a) Employees in S-1/S-2 grades (i) 3rd AC by Rail, Middle class (if there are more than
with less than 5 years of services two classes) by waterways, ` 2.00 per km by road
or at actuals whichever is lower.
b) Employees upto S-9 grades (ii) 2nd AC/CC by Rail, highest class by waterways,
(excluding employees covered ` 3.85 per km by road or actuals whichever is less.
under category (a) above
c) Non-executive employees in (iii) 2nd AC/CC by Rail, Highest class by Waterways,
S-10 grade and executives in E-0 ` 7.00 per km by road or at actuals whichever is
to E-3 grade. less.
d) Executives in E-4 grade and (iv) 1st AC/EC by Rail, Highest class by Waterways,
above Economy equivalent by Air, ` 9.50 per km by road
or at actuals whichever is less.
a) Whole time Directors/Part Time Directors/Non-
Official Directors may travel by air in Executive
Class.
b) Employees in the grade as given in ii/iii & iv above
may travel in Rajdhani and Shatabdi express as per
entitlement.

Clause 10.4.4: Further entitlement of employees for Travelling Allowance (TA):

1. a) Actual fare for journey for official work performed during tour period.

b) Road mileage for use of their own vehicle for official work on tour.

c) Reservation charges including charges for booking/e- booking, commission charges

to authorized agents and all other surcharges levied for purchase of air/ rail tickets.

d) All charges levied for cancellation, only if the journey is cancelled due to official
reasons.
2. An employee may travel other than shortest route if approved by the Competent Authority.
Page 1 of 8
 3. For rail journey PNR/ticket no. to be indicated and for air journey, air jacket/ e-ticket with
boarding passes must be attached with the TA bills. However, an authority not below the
level of E-8 may waive such stipulation in genuine cases.

4. Executives who are entitled to travel by air are allowed to travel by economy class in specific
sectors/destinations which takes more than 24 hours of journey time by train for chargeable
jobs only. The tours of the entitled executives in those sectors/ destinations will be allowed
on the approval of the concerned General Manager.

Additional clauses featuring in the existing TA rules stands deleted.

Clause 10.5.2: Revised Daily Allowance rates (Annexure to Clause 10.5.2)

(1) Revised entitlement of Daily Allowance:

Grades All Locations

S-1 to S-11 ` 300/-
E-0 to E-3 ` 380/-
E-4 to E-6 ` 490/-
E-7 to E-8 ` 600/-
E-9 and above ` 670/-

(2) Daily Allowance on own arrangement (new clause):

Grades All Locations

S-1 to S-11 ` 415/-
E-0 to E-3 ` 670/-
E-4 to E-6 ` 820/-
E-7 to E-8 ` 900/-
E-9 and above ` 970/-

(3) Revised Lodging Charges:

Grade Specified Locations Other Locations

S-1 to S-6 & SL-1 ` 800/- or actuals ` 700/- or actuals
whichever is lower whichever is lower
S-7 and above ` 1000/- or actuals ` 900/- or actuals
whichever is lower whichever is lower
E-0 to E-3 3 star hotel or actuals 3 star hotel or actuals
limited to ` 1400/- limited to ` 1200/-
E-4 to E-6 4 star hotel or actuals 4 star hotel or actuals
limited to ` 1900/- limited to ` 1700/-
E-7 & E-8 4 star hotel or actuals 4 star hotel or actuals
limited to ` 2200/- limited to ` 1900/-
E-9 and above Actuals Actuals

NOTE:

1. For this purpose, Delhi, Mumbai, Kolkata, Chennai, Hyderabad, Ahmedabad, Bangalore,
Pune, Kanpur, Nagpur, Lucknow and Jaipur will be reckoned as “Specified Locations”. Any
city classified as “A” for the purpose of CCA by the Central Govt., would be included in the
“Specified Locations”.
Page 2 of 8
2. The ceiling on lodging (hotel) rates would exclude the levies, taxes etc.

3. Actual lodging charges if the employee stays in Company’s Guest House or at a hotel of
entitled or lower star ranking or hotels approved by Govt. or tie-up hotels.

4. If the employee stays in a higher starred hotel other than entitlement or in a hotel other than
those specified above, the lodging charges would be limited to the monetary limits prescribed
as above.

5. Where bills do not separately indicate rates for boarding and lodging, 50% of charges shall be
reimbursed towards lodging, subject to the ceiling prescribed. Reimbursement of DA (F & I)
shall be limited to the entitlement.

6. Employees may also avail single occupancy in double room as per their entitlement.

7. Lodging charges may be reimbursed on production of bills even if the employee has to pay
lodging charges for more number of days than for which DA is admissible under the TA
rules, on account of the check-in and check-out timings.

8. When during tour, an employee has to pay for hotel accommodation for the same day at two
stations; hotel bills for stay in both the hotels may be reimbursed.

9. DA (F & I) will be admissible for a halt upto 30 days at any one time. Full DA (F & I) will
however, be paid where halt beyond 30 days is approved by the CMD/Director.

10. In case of stay at company’s guest house and tie-up hotels, actual lodging charges will be
reimbursable.

11. Where employees stay in star hotel of higher entitlement or incur more expenditure on
lodging than entitled, respective Director/CMD can make relaxation for individual cases
based on merit and circumstances of each case.
12. Tie-up arrangements may be allowed to be made with higher starred hotels/non-starred hotels
(beyond monetary limits) to overcome the shortage of accommodation.
13. Tie-up arrangements of hotels by individual office/site-office shall be applicable for all other
offices/site offices.

Clause 10.5.3 (vi): Transit accommodation

(i) Employees shall avail of the Guest house accommodation (GH)/transit house (TH) wherever
available.
(ii) If GH/TH is not available, employees may stay in hotel of entitlement for maximum 05 days.
Provision: Lodging charges reimbursement – DA (F & I) for 05 days maximum is payable.

Stay in hotels/Guest Houses on tour (new clause).

(i) Preference of stay will be in following order:
(a) Guest house
(b) Tie-up arrangements with hotels/guest houses: -
Only in non-availability of both the above preferences/options, the executives may be
allowed to stay in other hotels at the touring destination as per their TA entitlement.
Page 3 of 8
 Proposal for tie-up arrangements will be made centrally by Corporate Office, MECON and
will be applicable to all offices of MECON.

Clause 10.7: TA for medical examination/treatment (in referral cases) for self/dependent.

Admissibility:

(i) TA/Lodging for patients only as per entitlement.

(ii) Actual fare for local journey at H.Q and at place of referral hospital as per entitlement.

(iii) Attendant, if advised by Head of Medical and TA to attendant as per employees’ entitlement.

Provisions:

(i) Local expenses payable for one trip only for each referral.

(ii) Local expenses for each visit in case of OPD treatment.

(iii) Initial/OPD treatment with specific approval of Head of Medical and production of bills. In
such cases, lodging charges for patients only as per entitlement.

Clause 10.7.4: Transportation of dead body from referred hospital to Head Quarter.

Admissibility:

(i) Shifting to Headquarter/Home-town/Family residence.

(ii) Embalming expenses on actuals if applicable.

(iii) One escort.

(iv) Rail/Road/Air-fare depending on distance and convenience. If transported by road,

reimbursement is to be restricted as if transported by train.

Provision: Reimbursement is subject to production of receipt.

Clause 10.8: Court, Departmental or Vigilance Enquiry.

(i) TA and DA as per entitlement to the employees appearing as accused in Departmental/

Vigilance Enquiry. No TA and DA is payable if held at outstation on request of the
employee.

(ii) TA and DA as per entitlement to the employees under suspension.

(iii) TA and DA as per entitlement for appearance by the employee/ ex-employee as accused
where prosecution arises from acts committed/purported to be committed in bonafide
execution of duties with specific approval at the discretion of CMD.

(iv) Reimbursement of TA and DA as per entitlement at the time of separation from company to
the ex-employee for appearing in Department Enquiry/ Court of law or before CVC/CBI as
prosecution witness provided no payment has been made by the concerned agency.

Page 4 of 8
 NOTE

1. Any amount received from the court for attendance or boarding and lodging etc. shall be
refunded to the Company if TA /DA has been claimed from the Company. Certificate to be
attached with claim bill if no TA and DA has been paid by the external agency.

2. In case, other Public Sector Undertakings need our employees as prosecution witness on their
behalf, such undertakings may be requested to pay TA/DA as per entitlement of the employee
under MECON TA rules.

Clause 10.10.: Final settlement

(I) TYPE:

(1) Superannuation.
(2) Voluntary Retirement.
(3) Death of the employee, discharge/termination on medical grounds.
(4) Resignation in case of employees in the age bracket of 57 years and above.

Admissibility:

TA to employees and or his family to:

Declared home town or place where he/she has acquired a house through company HBA or place
where employee owns a house in his/her name subject to production of title deed of the house.

Provision: Reimbursement on production of documentary proof of travel.

(II) Transportation of Personal Effects

Rates in MECON for transportation of Personal Effects on superannuation by road will be as

follows:-

Place of Settlement Rate

Upto 200 kms ` 5000/-

More than 200 kms ` 25/- per km or actuals whichever is less

Clause 10.11: Travel for Interview/Appointment in the company.

(i) Fare payable to outstation candidates for interview to executive post and for first appointment
at the rate of entitled fare to the corresponding executive post subject to submission of proof
of travel.

(ii) Fare payable to outstation candidates for all other posts for Sleeper class subject to
submission of proof of travel along with claim.

(iii) Claim for travel by road between two points not connected by rail will be reimbursed at
actuals or the rail fare by the appropriate class for the road distance involved, whichever is
less subject to submission of proof of travel alongwith claim.

(iv) Payment of DA and lodging charges will be done at the discretion of CMD, MECON based
on merit of individual case.
Page 5 of 8
Clause 10.12: Advance for travelling on tour or transfer:

Advance for travelling on tour/transfer etc. will be for:

(i) Grant of advance to meet travelling and other expenses in full

(ii) Maximum 02 months in advance from date of outward journey.
(iii) Bill to be submitted within 01 (one) month of completion of journey.

Provisions:

- With the approval of the Competent Authority

- Advance to be recovered if there is delay in submission of bill.

Clause 10.13: RULES MAKING POWER:

Chairman-cum-Managing Director may, from time to time:

1. Amend the monetary limits for lodging for stay in hotels which do not have a star rating,
specified in Annexure to para 10.5.2 depending on changes in lodging rates of hotels.

2. Amend the list of “Specified Locations indicated in para 10.5.7.”

3. Make rules regulating the transportation of personal effects.

4. Make relaxation in individual cases, and notify further detailed rules.

TRANSFER AND BENEFIT RULES (CHAPTER XIV)

Clause 14.3.3: Transportation of one entitled two or four wheeler

By train - actual cost of packing and freight.

By truck - equivalent to passenger train freight charge.
By own propulsion- equivalent to passenger train freight charge.

Provision: Reimbursement on documentary proof of transportation.

Clause 14.3.4: Packing Charges:

As per relevant clause under transfer benefits

Provision: - Reimbursement as per entitlement on certification basis.

Clause 14.4 (d): Transfer Advance (including mutual transfer/transfer on own request).

Salary advance of 02 (two) months basic pay and DA. The amount is interest free and
recoverable in 12 monthly installments.

Provision: Recovery to start from month following advance payment.

New Clause: Linkage of TA Rules etc.

In case, retention of facilities including accommodation has been allowed in terms of Rules of
Retention of Facilities on transfer, then TA for family, transfer grant and transportation of
personal effects shall be reimbursed after vacation of the retained accommodation.
Page 6 of 8
New Clause: Dependents given compassionate employment:

If dependent is provided company accommodation as per his entitlement.

Provision: Terminal TA payable to separated employee.

If dependent is provided company accommodation higher than his entitlement.

Provision: Terminal TA is not payable to separated employee.

New Clause: Employees in the age bracket of 57 years and above who resigns from the
company.

Final settlement as admissible to superannuating employees.

ANNEXURE TO CHAPTER XIV:

Clause XIV–I: Travel expenses for self and family.
[(a) & (b)]

(i) Actuals by entitled class of travel.

(ii) If by own car, 03 road mileages (including transportation of car).

Provision: Based on proof of travel.

Clause XIV-I (d): Additional tickets

(i) Two tickets for self

(ii) If by own car, one road mileage each way.

Provision: Based on proof of travel.

Clause XIV-II: Transportation of Personal effects

(i) Two railway containers/One full eight wheeler wagon/ one full truck or container.

Provision:

(i) If by Air, limited to one full truck /container.

(ii) Receipts to be produced.

Clause XIV –III: Transportation of vehicle

(i) By train - actual cost of packing and freight.

(ii) By truck - equivalent to passenger train freight charges.
(iii) By own propulsion - equivalent to passenger train freight charges

Provisions:

(i) If by air, equivalent to passenger train freight charges.

(ii) Receipts to be produced.
(iii) Own propulsion, based on proof of travel.

Page 7 of 8
Clause XIV- V: Transfer Grant

(i) One month basic pay plus DA

Provision: Based on application

Clause XIV- VI: Reimbursements:

(E)(a) Octroi duty, Entry tax, Terminal tax, Insurance Charges, Commission Charges to bona-fide
agents for purchase of air/rail tickets will be paid on production of receipts.

(b) & (d): Movement of trainees.

(i) Management Trainees required to move from one place to another during the course of the
training, will be eligible for single travelling fare only.

(ii) Management Trainees, if posted to another location/headquarter after a period of 06 or more

than 06 months would be entitled for transfer benefits only once when they shift their
establishment.

(iii) If both, husband and wife are employees of the company, working at one place and both are
transferred within 06 months of each other to another place, only one of them will be entitled
to transfer benefits.

(e) Joining time and Journey time

(i) Six clear working days.

(ii) One working day within same station for change of residence.
(iii) Journey time - One day for every 400 km distance or part thereof in excess of 200 kms.
(iv) By air is limited to day of travel only.

Provision: Unavailed joining time at the time of reporting in new headquarter shall be credited to a
special leave account to be availed within a year.

The above revisions shall come into force with immediate effect.

This issues with the approval of the Competent Authority.

(M. K. Roy)
Sr. Manager (Personnel)

Distribution:

As per Standard List of Distribution.

Page 8 of 8