Professional Documents
Culture Documents
PE Staff Standardised Employment Policy (PESSEP-22)
PE Staff Standardised Employment Policy (PESSEP-22)
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Contents
PUBLIC ENTERPRISES STAFF STANDARDISED EMPLOYMENT POLICY AND
INTRUCTIONS MANUAL 2022
PART I – PRELIMINARY 10
1 Short title and commencement 10
2 Interpretation 10
3 Purpose 13
4 Application 13
5 Copy of policy to be provided 13
6 Amendments 13
9 Permanent employee 14
10 Contract employee 15
11 Daily Paid Employee 15
DIVISION TWO - REVIEWING, MODIFYING AND CREATING POSTS 15
17 New Recruitment 17
18 Confirmation of funds 18
19 Merit Principle application 18
20 Recruitment process 18
21 Recruitment process for CEO and senior management 19
22 Shortlisting applicants 20
23 Appointment Letter 211
24 Prerequisite before employment 21
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25 Date of appointment 222
26 Induction Training 222
27 Promotions 22
28 Promotion / recruitment grievance procedure 24
29 Seniority 24
30 Lateral transfer 24
DIVISION FIVE – RE-EMPLOYMENT 24
33 Employee convicted 24
34 Applicant who has been compulsorily retired through ill-health 25
35 Re-employment of a retired employee 255
36 Second Employment 25
37 Private business 25
DIVISION SIX – PROBATION 25
38 Period of probation 25
39 Probationary performance evaluation 26
40 Confirmation of appointment 26
41 Termination during probation 26
42 Restrictions for a person on probation 27
43 Acting Appointment 27
44 Entitlements for acting 27
45 Acting in the CEO position 28
46 Lateral acting appointments 28
47 Scope 28
48 Attendance 28
49 Record of attendance 29
50 Hours of work 29
51 Employee’s responsibility 30
52 Supervisor’s responsibility 30
DIVISION TWO - OVERTIME WORK 30
53 Overtime 30
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54 Authorisation and supervision of overtime 30
55 Eligibility for overtime 31
56 Time off in lieu of overtime payment 31
57 Accumulation of overtime 31
58 Essential overtime on Saturdays & Sundays 31
59 Fatigue Management 31
60 Hours worked in times of natural disasters 32
DIVISION THREE – LEAVE ENTITLEMENTS 32
61 Entitlement to Leave 32
62 Annual leave 32
63 Recall from leave 33
64 Taking leave not of right 333
65 Salary may be paid in lieu of leave 33
66 Leave to be in working days 33
67 Calculation of leave 33
68 Non-recognisable periods 33
69 Leave without pay 33
70 Absence without permission 34
71 HR Department to be informed 34
DIVISION FOUR – CASUAL LEAVE 34
72 Casual leave 34
DIVISION FIVE – SICK LEAVE 34
73 Sick leave 34
74 Entitlement 34
75 Authorisation of sick leave 34
76 Injury related to nature of duty 35
77 Personal Accident Insurance 35
DIVISION SIX – EMPLOYEES IN LOCK-DOWN OVERSEAS DUE TO BORDER CLOSURE 36
93 Public holidays 40
94 Christmas vacation 40
DIVISION TWELVE – ELIGIBILITY FOR ENTITLEMENT (FOR CASUAL EMPLOYEES, DAILY
PAID WORKERS AND APPRENTICES) 41
95 Entitlements 41
96 Termination of daily paid worker, casual employee or a apprentice 41
PART IV – TRANSFERS 41
97 Transfers 41
98 Permanent transfer costs 41
99 Short–term consultancy 41
100 Compassionate Transfer 42
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133 Control of salaries and wages costs 52
DIVISION TWO – SALARY ON APPOINTMENT AND PROMOTION 53
SCHEDULE 1
FORM 1 - LEAVE ENTITLEMENT 61
FORM 2 – PERFORMANCE PRE-EVALUATION AGREEMENT (PPEA) 62-615
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Employment Policy Manual 2022
Commencement [TBC]
PART I – PRELIMINARY
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“Ministry” means the Ministry of Public Enterprises, and the acronym “MPE” shall have the same
meaning;
“natural disaster” includes a pandemic or volcanic activities;
“Performance Pre-Evaluation Agreement” means a written performance agreement between
employer (represented by the CEO, employee’s supervisor, Department Manager, or the Board as
the case may be), set out in Form 2 of this Policy; and the acronym “PPEA” shall have the same
meaning;
“Performance Evaluation Results Form” means the final performance evaluation form of the
results of the employee’s performance for a particular performance evaluation period as set out
Form 3 of this Policy; and the acronym “PERF” shall have the same meaning;
“PESSEP-22” means the Public Enterprises Staff Standardised Employment Policy 2022; and is
also referred to as “this Policy”;
“pre-termination leave” is the balance of annual leave due to the employee at the date of
resignation or retirement;
“promotion” means moving from a position with a lower salary band to a position with a higher
salary band;
“public enterprise” has the same meaning as in the Public Enterprises Act; and “PE” or “PEs”
shall have the same meaning;
“redeployment” means moving of an employee from one post to another within the same salary
band because of restructuring, revision of activities or redundant post;
“redundant post” means a post that is allocated to an activity or function that is evaluated as no
longer required, and which will be abolished and not filled and is also referred to as a post being
made redundant;
“Regulations” means the Regulations prescribed under section 31 of the Public Enterprises Act
including the Regulations Schedules if any;
“Remuneration Authority” means the Remuneration Authority established under the
Remuneration Authority Act;
“Scholarship” means a scholarship awarded through the Tonga Government Scholarship
Committee, by a donor organisation, or awarded by the relevant PE with the approval of the CEO
and the Board;
“senior management” means the Managers of Departments of a public enterprise other than the
CEO, who shall be employed under a written employment agreement with the CEO and the Board,
for a limited term of no more than 4 years; and the words “senior manager” shall have the same
meaning;
“senior medical practitioner” means the CEO of the Ministry of Health and a senior medical
practitioner nominated by the Board;
“shareholder” means the shareholder in PEs that are registered companies and owner of public
enterprises which is the Government of the Kingdom of Tonga, represented by the Minister;
“Shareholder’s expectations” means a letter from the Minister of Public Enterprises given at least
on an annual basis to each Board of Directors, which sets out the requirements for corporate
governance compliance including but not limited to the following:
(a) dividend payment policy;
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3 Purpose
(a) prescribe uniform policies and practices for public enterprises in relation to staff employment
and human resources management; and
(b) generally stipulate a “no surprise” rule in relation to the administration of human resources and
employment procedures.
4 Application
PESSEP-22 shall apply to the CEOs, Senior Management and all other employees of public
enterprises.
The HR Departments of all public enterprises shall make this Policy (PESSEP-22) available to all
employees including any amendments properly executed in accordance with this Policy.
6 Amendments
(1) The CEO may make written recommendations to the Board for the amendment of PESSEP-
22.
(2) An amendment or variation to the PESSEP-22 shall only be effective if it is endorsed by the
Board and approved by the Minister.
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8 Principles
(1) The employer as the case may be, shall ensure that all appointments and promotions are based
on the merit principle to ensure transparency of the selection processes.
9 Permanent employee
(1) A permanent employee is a person who is employed in a permanent post that is either part
time or full time.
(3) A part-time employment is when an employee is regularly scheduled to work less than 30
hours and more than 15 hours a week on a continuing basis. Part-time permanent employees
are eligible for certain benefits on a pro-rata basis.
(4) Before the CEO makes a decision to engage an employee on a part time basis, he should
carefully consider the goals and needs of the PE and ensure the following –
(a) once the need for the part time employee ends, the contract should be terminated; and
(b) the contract shall clearly state what to be done, when and how the contract will end,
including the reasons for ending it.
(5) The following permanent positions shall be in a closed employment contract agreement with
fixed terms of up to 4 years, and shall be a performance-based contract agreement –
(viii) And any permanent positions that the Board shall consider appropriate and
necessary to be on a fixed term contract.
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10 Contract employee
(1) A contract employee is an employee who is engaged by the PE under a written contract of
employment for service for a specified duration. A contract employee may be part time or
full time.
(2) A contract employment for service is usually a short-term contract for professional services
such as technical assistance or consultancy service.
(3) The CEO shall ensure that all employees’ contracts are consistent with the relevant
legislation, the Regulations and this Policy.
(4) A PE intending to engage a person under a contract for consultancy service, including a
Technical Assistance shall ensure the recruitment contract complies with the authorised
procurement processes or any related Regulations that apply to the PE.
(5) For the employment of an expatriate specialist on donor-funded contractors whereby the PE
contributes a local salary, the process for recruitment shall be as determined by the Board
subject to the authorised procurement processes or any related Regulations
(6) Termination of a contract –
(a) Subject to paragraph (b) below, the termination of a post shall be in accordance with the
procedures set out in the employee’s written contract of employment and this Policy.
Where there is any inconsistency between the termination procedures in this Policy and
the employee’s written contract of employment, provided that the employment contract
was executed after the coming into force of this Policy, the procedures in this Policy
shall prevail.
(b) On the coming into effect of this Policy, any reference in the employee’s contract of
employment to the PE’s staffing or administration procedures policy, or any such policy
in existence at the time of the making of such employment contract, shall be deemed to
be a reference to this Policy.
(7) All contract shall be on performance-based and with fixed term of up to 4 years.
(1) A daily paid employee includes a casual worker or an apprentice who is hired to work full
time or part time for a specified duration or until a specific project or job is completed.
(2) An apprentice, usually a tertiary student who has applied and approved by the CEO for
completion of their training hours at the PE shall be employed as casual or daily paid
employees.
(3) Daily paid employees are not eligible for the full-time permanent employees’ benefits other
than wages.
(4) The employment of daily paid employees shall be approved by the CEO and the Board.
Division Two - Reviewing, Modifying And Creating Posts
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(1) The termination of an employee’s employment shall be in accordance with the procedures set
out in the employee’s written contract of employment and the PESSEP-22..
(2) If there is any inconsistency between the termination procedures in the PESSEP-22 and the
employee’s written employment contract, the written terms of the employment contract shall
prevail to the extent of the inconsistency, if the employment contract was executed before the
coming into force of this Policy.
(3) If there is any inconsistency between the PESSEP-22 and the termination procedure of an
employee’s employment contract, the provisions of the PESSEP-22 or any component
policies of the PESSEP-22 shall prevail where the employment contract had been executed or
was entered into after the coming into force of this Policy.
(1) All new posts created for a Department shall be submitted to the HR Manager by the last
day of March in the current financial year, for vetting before evaluation and approval by
CEO and the Board.
(2) The CEO and the HR Department are tasked with evaluating whether or not a new post is
needed for the Board’s approval.
(3) Any new post created shall be linked to and included in the approved Business Plan, in line
with the PE’s organisational structure, the Shareholder’s expectations, and the required
budget as approved by the Board.
(4) Any new post created during a financial year shall only be considered in exceptional
circumstances as the Board deems fit.
(1) The Department Managers with assistance from the HR Department shall develop a JD for
each position under their respective divisions.
(2) (a) The Department Managers shall ensure that every JD is reviewed and updated annually
to comply with changes in the approved Business Plan, and that any changes to the JDs
are communicated to the employee.
(b) JDs for new positions shall be submitted to the HR Department before March of every
year to allow sufficient time for budget proposal preparation.
(3) All JDs shall be agreed to and signed between the HR Manager, the employee and the
employee’s supervisor -
(b) if there are reviews/amendments to the JDs during the period of employment, the
employee shall be reasonably advised of those reviews, so he may agree to them
within ample time, before the next Performance evaluation period, so that he is made
aware of any new target outputs, activities, standards or objectives he is expected to
achieve for that evaluation period;
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(1) To ensure a fair, consistent and transparent remuneration system for public enterprises, public
enterprises shall seek the services of the Remuneration Authority (RA) or any approved
remuneration body, to consider and make recommendations to the Board on the appropriate
remuneration and salary bands plus other monetary benefits of the employees.
(2) The Remuneration Authority or any approved remuneration body as the case may be, may fix
remuneration scales or ranges/bands or make adjustments of scales or ranges against a specified
index or such other adjustment mechanisms as the body may specify, taking into account the
following:
(a) the need to achieve and maintain a fair relativity with the levels of remuneration in other
public enterprises and the industry of a similar nature in Tonga;
17 New Recruitment
(1) A recruitment will be initiated when one or more of the following situations occur-
(a) a vacancy arises from natural attrition i.e., retirement, resignation, completion of
contract, termination, dismissal, retirement on medical ground etc;
(b) a critical staffing gap exists as identified in the approved Business Plan and approved by
the CEO as per the approved budget;
(c) a PE restructuring has taken place, which involves changes to the Business Plan,
structure of the PE, such as the dividing or amalgamation of Departments, which has
necessitated the creation of new positions;
(d) the PE is obligated to contribute under an aid donor project contract to employ such
professional or specialist employees as required under the project contract; or
(e) the appointment of daily paid apprentices or casual workers to permanent positions in the
same PE subject to the job requirements and process through the normal recruitment
process.
(2) In addition to other recruitment requirements in this Policy, every recruitment shall go
through the process of advertisement, interview, and appointment.
(3) The CEO shall only offer the specific job title, JDs and benefits to the successful candidate
who had applied for that specific job.
(4) Any CEO who offers a different position to a candidate who responded to an advertisement
of a different position, without the prior endorsement of the Board, is in breach of section 27
of the Public Enterprises Act, and shall be subject to sanction by the Board and the Minister.
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18 Confirmation of funds
Prior to any new recruitment, the Finance Department of the public enterprise shall ensure -
(a) there are sufficient funds for the wages of the employee before the recruitment process starts;
and;
(b) the recruitment will not affect the percentage of total labour expenditure determined by the
Board.
(1) Every appointment and promotion in the PE shall be based solely on merit.
(2) Merit refers to the relative suitability of a person to perform the tasks and duties attached to
a specific post.
(3) For different posts, the relative importance of the necessary qualities varies, but an
employee's balance of technical and professional skills, work experience, academic
qualifications, personality, leadership and administrative abilities shall determine his
competency and suitability.
(4) In broad terms, the merit principle implies that the most suitable person is selected for
appointment.
(5) When there are two (2) or more persons with equal merit being considered for a post, the
person with the most seniority in accordance with Clause 29 shall take priority.
20 Recruitment process
(1) Prior to advertising a vacant or new position, the HR Department shall –
(a) obtain the approval from the CEO and Board’s resolution to fill the post, and
confirmation from the Finance Department that funding is available;
(b) obtain the approval of the CEO to the JD of the new post; and
(c) the position’s JD’s shall be sized and salary/remuneration bands confirmed by the
Remuneration Authority or any other approved remuneration body.
(2) All vacancies in the PE shall be advertised and processed on the basis of open and merit-
based principle, EXCEPT in the following situations –
(a) the CEO proves to the satisfaction of the Board that an existing PE employee’s technical
and professional skills, work experience, academic qualifications, personality, leadership
and administrative abilities are such that his internal recruitment or promotion to the post,
is justified;
(b) this EXCEPTION does not apply to vacant posts of CEO or Senior management; and
(c) all new positions and promotions shall undergo the standard 6 months’ probation period
in the position, before being assessed for confirmation in the post.
(3) All vacancies shall be advertised externally in a way that attracts the maximum suitable
applicants.
(4) The Interview Panels for posts other than the CEO shall be selected by the Board or any of
its Committee, provided that a representative of the MPE shall be a member of the interview
panel for CEO and senior management vacancies.
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(5) For interview of technical and professional senior management positions, a technical expert,
professional or representative from the industry relating to the tasks of the interviewed position
shall be included in the panel.
(6) The CEO shall be a member of the interview panel for senior management vacancies; and
(7) Panel members shall be independent and not at risk of disqualification for conflict of interest.
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(9) (a) The advertisements for applications for the vacant CEO and senior management positions
shall be open for public for no less than 1 month.
(b) While short-listing the applicants to the CEO or senior management positions, if the
interview panel is of the opinion that none of the applicants meets the calibre or the
requirements for the post, then the post may be re-advertised for no less than 3 weeks.
(10) The advertisement for a CEO and senior manager vacancies shall require at least 2 work
references from the candidate’s immediate supervisor (the senior employee that the
candidate was immediately responsible to) for the immediate previous (2) consecutive
years, plus other past employers, and at least 1 character reference.
(11) Any attempt by a candidate or a member of the panel to secure short-listing or appointment
through inappropriate lobbying, bribery or inappropriate exercise of influence, the member
of the panel so involved in such corrupt practice or the candidate as the case may be, shall
be disqualified from panel or from being considered for the position as the case may be.
(12) The results for the interview of senior management staff shall be signed by the CEO and
approved by the Board.
(13) The panel of interview for a CEO or senior management vacancy shall ensure that the
recruitment process -
(a) does not discriminate with regards to gender, race or religion;
(b) is not based on favouritism or political gain;
(c) is not based on familial, nepotism or the so-called corrupt practice of cronyism;
and
(d) is considered fair and equitable.
(14) Any employee who employs any corrupt practices such as bribery, intimidation, collusion,
or other corrupt vice in relation to any recruitment process commits a serious misconduct,
under Clause 10(2) of the Public Enterprises (Disciplinary) Policy and Procedures which is a
component of this Policy, and shall be dealt with accordingly.
(15) Any employee or member of the Board may report any corrupt practices by directors to the
Ministry of Public Enterprises.
22 Shortlisting applicants
(1) In the case of a vacancy in the CEO and senior management positions, the interview panel
shall meet to vet the applications against the minimum requirements of the advertisement for
the position, as the case may be.
(2) If there are more than 5 applicants, the interview panel may choose to interview a shortlisted
number of candidates.
(3) The HR Department shall conduct a reference check to determine who will be shortlisted for
interview.
(4) A person not meeting the advertised minimum requirements for a post shall not be eligible
for interview.
(5) The minimum requirement is the combination of qualification and experience relevant to the
duties of the position which a person shall have acquired before his application can be
processed through the interview process.
(6) The interview panel may use the recruitment checklist and forms provided by the HR
Department.
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(7) The interview panel secretariat shall compile a report on the results of the interview and
have it circulated for endorsement by every other interview panel member, prior to signing
by the chairman of the panel and forwarded to the CEO for submission to the Board.
(8) All panel members and the panel secretary shall ensure that all matters relating to
recruitment are kept confidential.
23 Appointment Letter
(1) The appointment letter to a successful candidate shall include the following–
(a) name of successful candidate or person appointed;
(b) position to which he has been appointed;
(c) duration of appointment;
(d) salary of position or salary band;
(e) any other entitlements, if any;
(f) performance assessment procedures and termination terms, as appropriate;
(g) reference to any legal or policy documents enclosed with the Offer of Appointment; and
(h) date by which he is to confirm acceptance by signing on the prescribed form attached to
the Offer of Appointment and returning it to the CEO before that date.
(a) a medical certificate or clearance, which was based on an examination undertaken in the
last 3 months; and
(b) a current police record from the country in which he last resided for a period of one (1)
year or more.
(2) Before the date of his assumption of duty, the HR Department shall create a personal file for each
new employee, including a permanent or casual daily or paid employee, for the inclusion and
retention of all matters relating to that employee.
(b) the HR Department shall be responsible for ensuring the complete and accuracy of
information files and also the security and safety of employee’s personal file.
(a) be given a copy (whether printed or electronic) of the PESSEP-22 and its component policy
(PE Code of Ethics and Conduct) within one (1) month of his date of appointment; and
(b) verify his JDs with the Manager of HR and his immediate supervisor.
(5) If the new employee does not object to any of the activities on the JD for eg, an activity on the JD
does not match the JDs as advertised, the employee and his immediate supervisor in corroboration
with the HR Department Manager, shall sign the Performance Pre-Evaluation Agreement (PPEA)
in FORM 2 of the PESSEPP-22.
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(a) set out all the JDs with which the role was publicly advertised and was awarded to the
employee; and
(b) set out the role’s activities, target outputs, performance standards, key performance indicators
and objectives which shall be agreed to by the employee and his immediate supervisor or
Manager of HR or CEO as the case may be.
25 Date of appointment
An employee’s date of appointment shall be in accordance with the date of appointment in his
appointment letter.
26 Induction Training
(1) Soon after an employee’s assumption of duty, the Department Manager under which the employee
is employed shall ensure that –
(a) the employee undergoes an induction programme to facilitate his productive adaptation to
the Department including but not limited to;
(i) PE Act, legislation, regulations and policies governing employment in the PE and the
PE’s expectation of him as an employee;
(ii) Introduction to the Department team;
(iii) Introduction to the Department and PE’s standards;
(iv) Facility and work station locations;
(v)Working hours, breaks, mealtimes, attendance and punctuality standards;
(vi) Position duties/ responsibilities/ performance expectation;
(vii) Local emergency procedures;
(viii) Health & safety procedures that shall be adhered to;
(ix) Confidentiality and privacy issues; and
(x) Workplace training.
(b) a written record shall be maintained of the induction and recorded in the personal file of
the employee.
27 Promotions
(1) No employee shall be promoted or be involved in a staffing review or restructure that affects his
current salary or benefits, whilst –
(a) under probation, that is, he has not worked in the position advertised and for which he was
interviewed for, for at 6 least months, on suspension, or he is the subject of a disciplinary
process.
(2) A promotion shall be initiated at the request of a Department Manager and shall, after due
consideration in accordance with this Policy require the support of the HR Manager and endorsement of
the CEO and Board approval.
(3) When determining whether to endorse the promotion of an employee, the CEO shall consider the
following factors –
(a) a vacant position is available for promotion or the upgrading of the employee’s current
position;
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(iv) performance review results for the past two (2) consecutive calendar years.
(4) Notwithstanding the criteria in sub-clause (3), the main consideration governing all promotions
shall be the advancement of the efficiency of the PE, and this can only be secured by determining
promotions on grounds of merit and suitability.
(5) When determining a promotion on the grounds of merit, the following factors should be considered
–
(i) is decided following a process in which the end result is a choice based on a set of
guiding principles designed to ensure the promotion goes to the candidate most
qualified for the position;
(ii) does not discriminate with regards to gender, race, religion or race;
(iv) is not based on familial, nepotism, or otherwise the so-called corrupt practice of
cronyism;
(b) equal opportunity is stressed in a transparent environment in which all employees should see
the reason for promotion or the denial of advancement.
(6) In accordance with this clause, when there are two (2) or more persons with equal merit being
considered for a promotion, the most senior person shall take priority.
(7) An attempt by an employee to secure a promotion by the exercise of influence shall result in the
disqualification of the employee from consideration for the promotion.
(8) An employee -
(a) who has been appointed to a new position for less than 1 year (including the probation period)
shall not be promoted until he has served in the new position for a period of more than 1 year; or
(b) who has been promoted to a new position for a period of less than 1 year (including the
probation period), shall not be promoted again he has served in the new position for a period of
more than 1 year.
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(9) Subject to this Clause, a promotion can only be considered for existing vacant positions or the
current position to be upgraded. New positions shall go through the recruitment process and shall
be advertised.
(10) A person who has been promoted to a new position shall serve six (6) months of probation before
he can be confirmed by his Department Manager and the CEO to the new position.
29 Seniority
Seniority within the PE is based on an employee’s –
(a) date of first appointment to a post; or
(b) date of promotion to a more senior post or rank.
30 Lateral transfer
(1) An employee may be laterally transferred to another post of the same level/band, provided he
meets the requirements for that post.
(2) A lateral transfer means that there shall be no change in salary and shall be approved by the CEO
with Board’s consent.
33 Employee convicted
An employee who has previously been convicted in the courts of Tonga for corrupt practices
constituting an offence under the Public Enterprises (Disciplinary) Policy and Procedures which is
a component of this Policy shall not be eligible for re-employment in any of the public enterprises
for 3 years from the date of conviction.
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36 Second Employment
(1) An employee may not engage in a secondary employment that either impacts on their ability to
work efficiently and effectively for the PE or is in conflict with working for the PE.
(2) If an employee considers undertaking a secondary employment then he shall consult his
Department Manager and shall obtain the approval of the CEO and the Board.
37 Private business
(1) An employee shall exercise due care and diligence to prevent a conflict of interest between a
private business that he operates, owns or of which he is a director or shareholder and the interests
of the PE.
(2) If an employee considers establishing a private business, or already running a private business that
has conflict of interest with the PE’s business, then the employee shall obtain the endorsement of
the CEO with the Board’s consent, and shall declare any actual, potential or perceived conflict of
interest with his duties and obligations to the PE.
(3) The employee shall resign if he cannot fulfil the requirements in sub-clauses (1) and (2) above.
38 Period of probation
(1) The period of probation for every employee including the CEO, shall be six (6) months.
(2) The sole objective of the probationary period is to assess the suitability of the employee for
confirmation in his appointment.
(3) A daily paid employee who is transitioning into a permanent post in the same position and pay,
may be exempted from the period of probation subject to the following –
(b) the employee has served as a daily paid employee in that position for a period of more than
(6) six months and has had a satisfactory performance review.
(4) The exemption from probation in sub-clause (3) shall not apply to a daily paid worker who is
transitioning into a permanent post that is different in salary and duties from the original post first
engaged in.
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40 Confirmation of appointment
(1) At the end of the probationary period and provided that the performance assessment is
satisfactory, the employee’s appointment shall be confirmed by the CEO with the Board’s
endorsement.
(2) An employee’s appointment is confirmed when –
(a) a letter offering the full-time position in the PE is sent by the HR Department to the
employee; and
(b) the employee signs a written confirmation of acceptance of the appointment and
promptly sends the confirmation to the HR Department.
(3) If the employee does not perform satisfactorily during the probationary period, the CEO shall
send them a letter stating that he –
(a) has not produced the activities’ outcomes required under his JDs as agreed to at the
beginning of the probationary period; and
(b) will not be confirmed to a position within the PE.
(4) A probationary period may be extended only once not exceeding an extra three (3) months.
(5) Where a probation is extended, the activity target outputs, performance standards and key
performance indicators that require improvement shall be specified in writing and signed by the
employee and his supervisor.
(6) An employee who does not perform satisfactorily during a probationary period (or extension
thereof) shall not be confirmed to a position and his appointment shall be terminated in accordance
with the principles of natural justice.
(2) Compulsory termination shall be on the grounds of serious or gross misconduct under the
employee’s employment contract, the PESSEP-22 and any of its component policies or
lawful direction of the CEO or the Board.
(3) (a) In the case of senior managers, the CEO with the approval of the Board shall immediately
suspend the senior manager with pay for no longer than two weeks to allow for
investigation, on the basis of any prima facie evidence produced.
(b) The prima facie evidence in sub-clause (3)(a) shall be proved to the satisfaction of the
CEO and the Board.
(4) The PE shall observe the principles of natural justice in all the disciplinary processes set
down under the Public Enterprises (Disciplinary) Policy and Procedure.
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(a) an acting appointment or to apply for another position within the PE, whether at an equivalent
or higher band, until he has –
(ii) been confirmed to his new post and have worked at his new position for a period of at least 1
year.
43 Acting appointment
(1) An acting appointment made at a higher band occurs when an employee is designated to carry out
the full range of duties of another employee in a higher band who is –
(a) absent on any leave, training, or official travel; or;
(b) promoted, resigned, retired, dismissed, redeployed, or died during service.
(2) An acting appointment in a higher position shall be appropriately determined and approved by
the CEO.
(3) An employee on an acting appointment shall take on all the terms and conditions of the higher
band and is also expected to perform all the duties of his substantive post.
(4) If, during an acting appointment, an employee is required to move to another locality, the CEO
may appoint another employee to act in his substantive post.
(5) An acting appointment shall be recommended by the Department Manager to be considered and
approved by the CEO who shall –
(a) determine the appropriate period for the acting appointment; and
(b) approve the activity target outputs to be achieved by the employee during the term of his
acting appointment.
(6) When an acting appointment is required, the Department Manager shall recommend the next
available and suitable person in the organisational structure to act in the post.
(7) The rationale and purpose for any acting appointment is to ensure the uninterrupted flow of work
and operations of the PE.
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(2) A Senior Manager who has been appointed by the Board to act as the CEO shall be
entitled to the following benefits;
(a) an acting allowance equivalent to 20% of the current salary of the CEO or any other
acting allowance approved by Board and the Minister;
(b) use of CEO work vehicle for the duration of acting; and
(c) any other benefits as deemed appropriate by the Board and approved by the Minister.
47 Scope
This clause shall apply to the working conditions and entitlements of all employees.
48 Attendance
(1) All employees shall normally carry out their duties in their respective workplaces.
(2) The PE shall keep an attendance record for all employees and shall record the name, date and
time of arrival and departures from their workplaces;
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(3) The Department Manager and HR shall take into the account the attendance record of an
employee when carrying out the annual performance review of the employee.
49 Record of attendance
(1) Each employee is required to record his attendance when reporting for duty at his workplace
using the time attendance system at each location.
(2) If the employee for some unforeseen circumstance is unable to use the attendance system
then he shall inform his immediate supervisor or the administration officer at his workplace
to record the actual time at which he attended and left work. Unforeseen circumstance may
include emergency work whereby the employee could not log in using the Time Attendance
System but went straight to the site.
(3) If the Time Attendance system is not used then other similar means shall be used, as
approved by the CEO.
(4) The attendance records of the PE shall be in the custody of the HR Department.
50 Hours of work
(1) The minimum hours of attendance for an employee are 40 hours per week, Monday to Friday
or such other hours as may be determined by the PE.
(2) A normal working day is from 8.30am to 4.30pm or 8:00am to 4:00pm, with a meal break of
one (1) hour which is to be taken between the hours of 12 noon – 2pm.
(3) If an employee is employed on a roster, shift or any other special arrangement, the normal
working hours shall be an average of 40 hours per week.
(4) The PE’s commitment to provide complete support to the customers 24 hours a day, 7 days a
week throughout the year, means that working arrangements and hours will vary from division
to division. In order that the business operates efficiently, an employee may be rostered to
work extended hours of duty, which may include days, evenings and nights, Mondays to
Sunday and including public holidays.
(5) Under certain circumstances and only with the Department Manager and CEO’s prior written
approval, an employee may be allowed to work flexible hours which may be up to 40 hours
per week. This could mean that a person may commence work at 10:00am in the morning and
finish work at 6:00pm (i.e., at the completion of their 8 hours per day).
(6) If an employee has been absent without authority from their assigned workplace, at their
scheduled work time they are considered to be late.
(7) Employees who are absent without proper authorisation shall have leave automatically
deducted from their leave entitlements as approved by the Department Manager or the CEO.
(8) Employees will not be paid for lateness of more than thirty (30) minutes for which the
relevant proportion of his salary shall be deducted the Finance Department as approved by the
CEO at the recommendation by the HR. Employees shall first complete their 40 hours of work
per week before they can apply to work overtime.
(9) The Hours by which an employee is late to work in a particular month shall be calculated on a
monthly basis and deducted by the Finance Division from the person’s salary at the end of the
following month as the case may be.
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51 Employee’s responsibility
It is the employee’s duty to understand and comply with the working hours policy in relation to his
workstation and that he shall be liable for disciplinary action for breach of this clause.
52 Supervisor’s responsibility
A supervisor in a Department shall ensure that each employee under their supervision complies
with the attendance policies under this Part and shall provide counselling for, or refer this matter to
Department Manager or HR Department in the case of habitual lateness.
Division Two - Overtime work
53 Overtime
(1) An employee, may in addition to normal work hours, be required to work additional
hours of overtime, subject to the needs of the Department or PE. Overtime is payable to
an employee who works in excess of the conditioned normal hours of work of 40 hours
per week.
(3) Conditioned hours are expressed as gross hours (including meal breaks) for all
employees.
(4) Payment of overtime shall be subject to the approval of the Department Managers and
budget availability.
(5) Payment for overtime attendance to Faults or Meters for instance by employees of an
Utility public enterprise, may be a set amount per each job done instead of the normal
overtime payment, as approved by the Board.
(a) time and a half (1.5 hours pay) per one (1) hour worked during overtime on
weekdays; and
(b) double time (2 hours pay) per one (1) hour worked during weekends, public
holidays including Easter, Christmas Day and New Year’s Day.
(2) In situations of emergency, the Department Manager or CEO shall be informed and confirm
approval for overtime work by phone or email. The employee and the HR Manager shall sign the
formal written OT application as soon as practicable.
(3) When an OT application form has been approved by the Department Manager or the CEO as the
case may be, the Department Manager shall nominate a supervisor to ensure that the overtime
work claimed is in order.
(4) A proper time sheet record shall be used in recording the overtime, and time limits of overtime
shall be specifically stated.
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(b) time off in lieu of overtime payment is taken within twelve (12) months of the overtime
hours worked, except under exceptional circumstances as the Department Manager
permits; and for the HR to be informed of this arrangement
(2) Time taken off in lieu constitutes a working day and shall be calculated as follows –
(a) time and a half (1.5 hours) per one (1) hour worked during overtime on weekdays; and
(b) double time (2 hours pay) per one (1) hour worked during overtime on weekends and all
public holidays Easter, Christmas Day and New Year’s Day.
57 Accumulation of overtime
Overtime payments may be allowed to accumulate for a period of no more than one (1) month.
(2) Employees working on a shift roster and working on a Saturday and Sunday is part of their
normal 40 hours a week shall not be considered as overtime but normal working hours.
59 Fatigue Management
(1) Fatigue is the temporary inability, decrease in ability or strong disinclination to respond to a
situation because of previous or current overwork.
(2) Employees who are required to be at work beyond their normal 8 hours per day or 40 hours per
week based on either routine or emergency work will be closely managed by Supervisors and
Departments Manager to avoid fatigue.
(3) Emergency work for instance, during or immediately after natural disasters that may take a toll
on the health of the employees involved shall be closely monitored by the supervisors and the
relevant Department Managers to avoid fatigue.
(4) All employees shall be given at least 30 minutes of break/rest after every four (4) hours of
overtime work.
(5) Employees who do routine or emergency work whether routine or otherwise for more than 16
hours per day, shall receive a paid rest period of eight (8) hours before resuming normal duties
as approved by the Supervisor and the Department Manager.
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(1) Where the functions of a Department require work by an employee during times of natural
disasters, such as during a pandemic or tropical cyclone etc, such periods of work shall be
counted as overtime and shall be calculated as follows –
(a) time and a half (1.5 hours pay) per one (1) hour worked overtime on weekdays; and
(b) double time (2 hours pay) per one (1) hour worked overtime on weekends, all public
holidays including Christmas Day, Easter and New Year’s Day.
(2) Periods of hours worked by an employee during times of natural disasters shall be effective
from the time that the natural disaster makes landfall or is officially declared by the relevant
authority (e.g., National Emergency Management Committee or equivalent body) whichever
is the earlier.
(3) All PE’s emergency plans for operating during a pandemic shall be in accordance with the
PE’s Continuity Plan.
Division Three – Leave Entitlements
61 Entitlement to Leave
An employee appointed to a permanent and full-time position of the PE shall be eligible for the
leave entitlements as set out in Form 1 of the PESSEP- 22.
62 Annual leave
(1) An application for annual leave shall be made via approved leave system in this Policy or
any other appropriate system as approved by the PE.
(3) An employee may take his 20 working days annual leave in whole, or in parts provided that
he advises his supervisor a month before taking the 20 consecutive working days annual
leave or if taking the leave in parts, he shall advice supervisor within the same number of
working days corresponding to the number of days the leave is applied for, before taking
such leave.
(4) An employee may be allowed to accumulate up to 40 working days annual leave under
exceptional circumstances. Any excess annual leave above 40 working days shall be
forfeited. Employees will be encouraged and reminded to take their annual leave upon
reaching a total of 20 working days.
(a) postponement of leave is needed in the interest of the PE as approved by the Department
Manager and CEO.
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(b) unforeseen events or factors outside of an employee’s control that prevents the employee
from take his annual leave as determined by the Supervisor, HR Minister or CEO as the
case may be.
(2) Outstanding annual leave days of an employee who has been recalled to work shall be taken
by the employee as soon as the circumstances of the Department permits.
(2) Except for sick and maternity leave, an employee shall only be permitted to take leave, at a time
and for a duration that will not adversely affect the efficient and effective operation of the
Department and the whole PE as approved by the Department Manager, HR Manager or the CEO
as the case may be.
(3) An employee may be directed by his Department Manager or the CEO to take leave at a time most
convenient to the PE.
67 Calculation of leave
An employee who is employed during the year will receive a pro rata leave entitlement of 1 annual leave
day per every 12 days worked.
68 Non-recognisable periods
The following periods shall not be recognised or counted toward an employee’s period of service for the
calculation of leave –
(a) unauthorised absences;
(b) periods of leave without pay; or
(c) periods away from his position for the purposes of full-time study.
(d) any other circumstances as determined by the CEO from time to time.
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(2) Department Managers in agreement with the HR Manager may approve up to 20 working days of
leave without pay per annum. Leave without pay exceeding 20 working days shall be referred to
the CEO for approval.
(2) No salary shall be payable for the period during which an employee is absent without permission.
(3) After five (5) working days from the date the employee was due to resume duty, the Department
Manager shall recommend to the CEO that this is a serious breach of discipline and shall be
processed in accordance with the Disciplinary Procedures.
71 HR Department to be informed
A Department Manager shall inform the HR Department of all details relevant to an employee’s leave
entitlements for the purposes of recording and maintaining the personal file of each employee.
Division Four – Casual leave
72 Casual leave
(1) A Department Manager has the discretion to grant casual leave – which may be half day or one day
at a time - to any employee who may require leave of absence for unforeseen circumstances.
(3) Casual leave days shall not exceed 5 days per year.
Division Five – Sick leave
73 Sick leave
Sick leave with pay is a concessionary allowance, which shall not be carried forward from any one year
to the another.
74 Sick entitlement
(1) An employee is entitled to sick leave as outlined in Form I of this Policy.
(2) An employee shall notify his immediate supervisor or Department Manager via email or by
telephone on the first day of absence on sick leave by 9:00am.
(3) The employee shall submit a medical certificate from a registered medical practitioner once the
employee is sick and has been absent from work for two days or more. This means that a medical
certificate should be submitted by the 3rd day of illness.
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(a) by a registered medical practitioner in Tonga, if the employee falls ill in Tonga; or
(b) by a registered medical practitioner in any other country where the employee falls ill or is
being treated for a medical condition.
(3) The original medical certificate or medical report relating to the employee shall be submitted
to the HR Department within 24 hours.
(2) In the case of In-Patient hospitalisation in excess of 30 working days, as certified by the
medical practitioner, and upon the recommendation of the CEO, the Board may allow the
employee to be paid up to 80% of his salary for a period not exceeding 12 months in excess
of the 30 days in-patient stay,
(3) An employee shall immediately notify the Department Manager when he has sustained a
work-related injury or illness and complete the appropriate work form. If the injury is
severe, then the immediate supervisor shall immediately inform the Department Manager
and complete the related form(s).
(4) The employee is responsible to immediately seek medical assistance and inform his
immediate supervisor and Department Manager accordingly.
(5) The PE is responsible for the payment of local medical bills associated with work related
injuries or illness subject to coverage through the PE’s medical insurance.
(6) All referral for overseas medical treatment shall be approved by the Board and the Minister.
(7) No medical overseas referrals can proceed unless a determination in writing is obtained from a
senior medical practitioner to the satisfaction of the Board that the treatment for the person’s illness
cannot be successfully carried out in Tonga.
(8) The HR Department shall be responsible for completing and lodging insurance claim forms as
appropriate.
(a) occurred within his normal course of work or nature of duty; and
(2) A medical report from a senior medical practitioner shall be obtained before any insurance claim
can be processed. The medical report shall include the following;
(a) the duration at which the employee needs to stay away from work to recover;
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(c) the date of treatment including initial date whereby the employee was incapacitated; and
(d) any other information as may be deemed appropriate by the senior medical practitioner.
(3) The HR Department shall be responsible for the submission of insurance claims.
Division Six – Employees in lock-down overseas due to border closure
(2) Any deviation from this Clause shall be avoided at all times. Deviation can only be allowed in
compliance with any public enterprise emergency policies governing PEs staff who are stranded
overseas during pandemic.
(3) Any payment whether in full or in part of the employees stranded overseas under this Division
shall not extend beyond 6 months subject to sub-section (4).
(4) Employees stranded overseas may be paid if the Board satisfies itself that no flights or any
form of repatriation to Tonga was possible during the period the person had been stranded
overseas and that the employee at all times has genuinely exhausted all viable options to return
to Tonga, subject to sub-clause (5).
(5) After having first utilised all paid leave entitlements, a stranded employee who is overseas on
official PE duties, shall be paid-
(a) up to 100% of his salary upon the completion of the amount of work assigned, for at least
a period of 6 months, if there is no one acting in the post of the stranded employee and
the employee is assigned remote work by their Department Manager, CEO or the Board
as the case may be.
(b) up to 50% of his salary for at least 6 months, if someone is acting in the post of the
stranded employee’s post.
(6) After having first utilised all paid leave entitlements, a stranded employee who is overseas on
annual leave or personal leave–
(a) if there is no one acting in the post of the employee and the employee is assigned remote
work by his Department Manager, CEO or Board as the case may be, the stranded
employee shall be paid up to 100% of salary for up to a period of 6 months,
(b) if someone is acting in the post, the stranded employee shall be paid up to 50% of his
salary for up to a period of 6 months, if the stranded employee is assigned remote work,
and no pay if no work has been assigned.
(7) Earned leave can be accumulated on calculation of the percentage (%) of salary being paid for
the assigned work.
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(2) Where an employee requests an overseas medical referral, a senior medical practitioner
designated by the Board shall, with the written endorsement of the CEO for the Ministry of
Health, submit to the CEO a full medical report on the medical condition of the employee
together with appropriate recommendations. The CEO shall then seek the Board’s approval in
relation to the case, taking into consideration the approval for coverage by insurers and the
financial situation of the PE.
(3) The CEO shall convey the Board’s decision to the Minister in writing, and shall state the name of
the employee, the general condition requiring treatment, the full medical report from the Ministry
of Health, the overseas medical institution to which the PE intends to refer the employee, costs
and the insurance cover available.
(4) Where the Board with the endorsement of the Minister approves a medical referral, the PE shall
meet the following costs –
(5) The period the employee is away for treatment, shall be deducted from all his accumulated leave
and when such leave is exhausted then the employee’s absence is to be treated as leave without
pay.
(6) No employee who is accompanying a sick person for treatment overseas shall in any way be
deemed to be himself a sick employee for the purposes of overseas medical referral and be
covered by overseas sick referral insurance entitlements.
(2) Any approval for cover of local medical referrals costs shall be in writing by the CEO.
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83 Maternity Leave
(1) An employee who is pregnant shall apply for, and shall be granted one (1) calendar month
maternity leave with pay.
(2) An application for maternity leave shall be submitted by the employee prior to the proposed
leave commencement date and shall be supported by a medical certificate issued by a registered
medical practitioner.
(3) When the employee resumes duty, the maternity leave is deemed to have been completed.
(4) An employee who has been recalled to work during the period of her maternity leave the CEO
shall allow time to complete the maternity leave immediately following recall period.
(5) In the event that an employee, who is a mother, has a miscarriage or stillbirth, the duration for the
maternity leave shall be for a period recommended by the doctor and approved by the CEO but
shall not exceed 1 month.
84 Paternity leave
(1) The spouse of a mother who gives birth in Tonga, shall be entitled to five (5) working days’
paternity leave, which shall be taken consecutively immediately after the birth of the baby.
(2) An application for paternity leave shall be submitted by the employee to the HR Manager and
accompanied by evidence that the spouse of the employee has given birth.
Division Nine - Special Leave
(2) A period which is a special leave of absence shall not be deducted from annual leave entitlement
of the employee.
(3) An application for a special leave of absence shall be submitted to the Department Manager for
first approval, and shall include the following –
(a) evidence that the tour has been approved by the Tonga Sports Association (TASA) or the
relevant national sporting body; and
(b) evidence from the team that the employee has been designated as a manager, official or team
member of the sporting team that is about to embark on the overseas national sporting tour.
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(4) The Department Manager shall submit the employee’s application to the CEO for final approval
in writing.
(5) A person who has been granted sporting tour leave under this provision shall return to work
immediately upon the team exiting from the competition.
(2) Compassionate or personal grounds will be as determined by the Department Manager and
CEO on a case-by-case basis.
(3) Any leave on compassionate or personal grounds shall be without pay and shall not exceed a
total duration of one(1) month in any calendar year.
88 Parliamentary Candidacy
The employment of an employee who wishes to register as a candidate for the election to the Legislative
Assembly shall immediately end effective from the date he registers as a candidate.
90 Polling
Employees are allowed leave from 2 hours to half day for polling duty depending on the placement of the
employee.
Division Ten– Study Leave
(2) If the employee chooses to utilise his annual leave in the first year of study, the salary payments
in this Clause shall commence at the end of the period of annual leave taken, which should be
calculated on a pro rata basis.
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(3) If the employee takes up any duty at their workplace for any period whilst on study leave he shall
be paid his normal salary for that period but the period shall not be considered to be a break in
the duration of the study leave for the purposes of this Clause.
(4) For current employees who are studying while at his usual post, the time spent attending classes
during work hours shall be covered by the employee by working after-hours or any other
arrangement approved by the CEO.
92 Study Bond
(1) An employee who has been granted study leave shall work for the PE for the equivalent period of
study. i.e. if the scholarship had been for 3 years the employee shall work for the PE for 3 years
at the completion of the period of study.
(2) Prior to the commencement of an employee’s period of study, the PE shall require the employee
to sign a bond form, which shall provide for the following –
(a) require the employee to return to the PE at the end of the period of study;
(b) require the employee to work for the PE for the equivalent period of study, so that the PE
can benefit from experience gained during study;
(c) where the employee chooses not to return to Tonga or not to work for the PE at the
completion of the study the employee shall reimburse all salary payments made by the
PE during the period of study.
(3) An employee who does not sign the bond form under this clause, shall not be granted approval to
undertake the study.
Division Eleven – public holidays and Christmas
93 Public holidays
(1) Public Holidays for the PE are those prescribed under the Public Holidays Act.
(2) An employee who is required to be on duty on a Public Holiday shall be either granted time off in
lieu, or be paid double time (2 hours) per one (1) hour worked.
94 Christmas vacation
(1) The Christmas vacation for the PE shall be the period prescribed by the Board on the CEO’s
recommendation.
(2) Where an employee cannot be granted the whole or part of the Christmas vacation, he may be
granted, at the discretion of the Department Manager, a period of leave or salary in lieu of
Christmas leave calculated as –
(a) time and a half (1.5 hours) per one (1) hour worked during weekdays; and
(b) double time (2 hours) per one (1) hour worked during weekends and public holidays (i.e.,
Christmas Day, Boxing Day and New Year’s Day).
(3) Employees who are required to work on Christmas Day (25 December) and New Year’s Day (1
January) shall be also entitled to a $100 pa’anga per day as incentive payment in addition to their
overtime.
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Division Twelve – Eligibility for entitlement (for casual employees, Daily Paid workers and
apprentices)
95 Entitlements
(1) A daily paid worker, casual employee and apprentice will only be entitled to receive wages, as
approved by the CEO and specified in his contract of service.
(2) A daily paid worker, casual employee or an apprentice is not entitled to any type of earned leave,
overseas travel or to an acting appointment.
(3) Approval for domestic travel shall be referred to the CEO for approval on a case-by-case basis.
97 Transfers
(1) A lateral transfer is a permanent transfer between positions, which are placed in the same salary
band.
(3) (a) A permanent transfer is a posting within a Department to a new station in a substantive
capacity within the same salary band and not in an acting or temporary capacity.
99 Short–term consultancy
(1) An employee may be allowed to take a short–term consultancy with an outside organisation not
exceeding 20 working days in a calendar year, which shall be treated as leave without pay.
(2) An employee shall seek the approval of the CEO with the Board’s consent before taking time off
for consultancy work under this Clause.
(3) The effective date of a short–term consultancy is the date of commencement of the employee’s
contract for short-term consultancy.
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(2) A CEO may, if satisfied that the grounds for requesting the transfer should be granted on
compassionate grounds, grant approval for the transfer with the Board’s consent.
(3) Any expenses associated with a relocation for compassionate transfer shall be borne by the
employee.
(2) The PMS is an integrated process that links the employee’s performance to the PE’s strategy and
business plan, shareholder’s expectations, workforce development, career progression, employee
coaching and rewards.
(a) a performance pre-evaluation agreement (PPEA) as set out in FORM 2 of this Policy, between
the employer and the employee before the performance evaluation period begins, or upon any
changes being made to the employee’s employment JDs so the employee is aware of the targets
outputs he is expected to achieve during the performance evaluation period;
(b) a performance evaluation results form (PERF) which evaluates the employee’s performance
during a performance evaluation period; or any
(c) evaluation score, rewards or development needs etc and signed by the employee and his
supervisor, Department Manager and the CEO in the case of employees other than the CEO or
the CEO and the Chairman of the Board in the case of the CEO.
(4) The Performance Review process cycle is twelve (12) months, commencing 01 July and ending 30
June of the following year or on a calendar year basis as the case may be.
(5) All employees shall undergo the full performance review and be considered for a performance
reward based on the employee’s overall performance evaluation score.
(6) At any time an employee assumes a new post in the same PE during the performance evaluation
period, they shall be fairly assessed on pro-rata basis for the part-period they had performed in
the previous post.
(7) The PPEA signed by an employee on probation shall only be for the purpose of attaining his
confirmation in the post and are ineligible for performance-related rewards.
(8) An employee who has been confirmed in their appointment in a post after the probationary
period, the period of evaluation for any performance-related rewards commences immediately
after the probationary period.
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(2) The CEO’s PPEA shall specify key activity target outputs and key performance indicators that the
CEO is expected to at least achieve under his employment contract, the shareholder’s expectations
and the organisational target outputs as set out in the business plan.
(3) The PPEA’s key activity target outputs shall be consistent with the CEO’s JDs as advertised, or as
amended by the parties with the consent of the Board.
(4) The CEO’s PPEA shall be submitted to the Board for approval.
105 Performance evaluation results form (PERF) for employees other than the CEO
(1) Each employee and his supervisor shall sign the Performance evaluation results form (PERF)
after evaluation at the end of the performance evaluation period.
(a) a performance improvement plan to assist the employee to achieve any activity key
outputs he may have not have fully achieved in the previous evaluation period;
(b) identify any development needs of the employee in terms of skills and other technical
know-how;
(c) identify new tasks that may be added to the employee’s JD as agreed to by the employee
and Manager of HR and endorsed by the CEO;
(e) any sanctions for failure to perform under this Policy; and
(f) any other matter the parties agree are worthwhile to note.
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(2) A PE Board that has not returned any profit or in a loss during the relevant performance
evaluation period in accordance with its final audited financial statement, or has been unable to
pay the allocated dividend for the same period may make submissions to the Minister through the
Ministry of Public Enterprises as to –
(a) how the Board plans to pay the employees performance rewards for the particular
performance evaluation period; and
(b) no such payment shall be made without the endorsement of the Minister.
(3) Subject to Clause 107, the CEO under the PMS shall determine those employees eligible for a
salary reward and movement up the salary band.
(2) Subject to Clause 106 performance related rewards shall be approved by the Board.
(3) There shall be a clear and definitive link between Performance Management System evaluation
and the remuneration movement through the approved pay range as approved by the Board.
(4) Any reward of pay increase shall either be based on performance or an approved general salary
band revision for all PEs.
(5) Subject to Clauses 106 payment of any bonus, performance reward, performance incentive
payment or any other performance-related payment shall be based on affordability.
(6) Where the maximum salary point has been reached, an ex-gratia payment may be awarded based
on performance.
(7) The percentage (%) for performance reward for employees or ex-gratia payment for those who
have reached the maximum band, will be reviewed every three years by the CEO with the
approval of the Board.
(8) During the annual planning and budget preparation, the Finance Department shall identify and
budget the amount available, subject to affordability, for performance rewards.
(9) The identified performance-related rewards budget shall be used solely to fund the rewards for
positions identified and assessed under the Performance Management System as deserving of a
performance increase.
(10) Subject to Clause106 , performance related rewards shall be paid out after 12 months from the
performance evaluation period and should be within the first five (5) months of the new financial
year.
(11) Rewards are both extrinsic and intrinsic and the Board shall review the provisions for recognition
of performance, every three years. Such review will include but not be limited to –
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(2) Progression within the band/pay range is subject to performance merits (percentage % rating of
performance).
(3) A rating reflective of outstanding performance may merit a move up the band, proportionate to the
% acquired and subject to affordability.
(4) An employee who is already in the maximum of band will instead receive an ex-gratia payment
based on performance. The value of the ex-gratia payment will be determined annually, aligned
to performance rating.
(5) Movement up the salary range will be based on the pay matrix as approved by the Board and
linking the Performance Management System to the range.
(2) An employee who has been absent from work in excess of a total of three (3) months (e.g.,
secondment, study leave, special leave without pay, maternity leave, long service leave) whether
consecutively or intermittently during the evaluation period will be assessed and rewarded on a
pro-rata basis.
(3) An appointee to a new post who has completed his probationary period at any time during the
evaluation period shall be eligible for pro-rata payment for the part of the performance evaluation
period he has been assessed for, after probation.
(2) Subject to Clause 106 of this Policy (i.e. No PE that has operated at a loss in the relevant period
is eligible for bonus or any other performance-related payment unless approved by the Minister),
senior management employee or any other employee whose employment contract provides for an
annual bonus of up to 10% of their annual salary, will only be rewarded any bonus if the CEO
with or the Board as the may be, are satisfied that the employee has achieved the prescribed
individual Key Performance Indicators subject to funds affordability.
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(2) The PEAA and the PERF can be produced at the request of the CEO, Department Manager or the
employee to which they relate for the purposes of promotion, monetary or non-monetary reward
for performance or any pending disciplinary matters.
(2) Where an employee’s performance does not fully meet the agreed performance standards, the
employee shall be given counselling with or without a written warning to help improve the level of
performance during the performance evaluation period and is required to work against a signed
PPEA improvement plan which the employee shall meet in terms of the key activity target outputs.
(3) The PPEA improvement plan in sub-clause (2) shall include following –
(c) steps that the employee shall take to improve work performance.
(4) Where an employee fails to improve job performance under a probationary PPEA within a six (6)
consecutive months period of review, the supervisor or Department Manager after discussion with
the employee as the case may be, shall forward a complete PERF report of the employee’s work
performance to the HR Department (and the CEO in the case of a senior management employee)
for a final review.
(5) (a) On receiving the PERF report in sub-clause (4), the CEO in consultation with the employee’s
Department Manager may, after giving the employee an opportunity to be heard –
(ii) demote;
(iii) suspend;
(iv) terminate; or
(v) make any other decision that the CEO may consider necessary or appropriate.
(b) Nothing in this clause shall diminish the CEO and Board’s right to terminate an employee.
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115 Authority
(1) A permanent and contract employee’s service may be terminated by the following appointing
authorities -
(b) in the case of the CEO, by the Board with the approval of the Minister.
Division One – Resignation
(2) Under special circumstances the Notice Period may be waived or reduced by the CEO and/or the
Board.
(3) Criteria for special circumstances may include, but shall not be limited to –
(b) employment by a Government Ministry, another Department of the same PE, Agency, or
another Public Enterprise;
(c) employment by another organisation that is closely affiliated with the PE;
(e) any other ground determined by the CEO and the Board from time to time.
(2) The HR Department shall write to the officer to advise of the amount owing due to the shortfall
and in the letter shall state the deadline by which the payment shall be made, which is within 20
working days from the date of the formal communication from the PE.
(3) Payment shall be made to the PE and the receipt shall be forwarded to the HR Department within
the prescribed deadline.
(4) If payment is not made by the employee within the prescribed deadline, the HR Department shall
process the case as a dismissal.
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(5) Leave or salary entitlements which are due to an employee who intends to resign from the PE
may be used to cover part of, or the whole of the Notice Period.
(a) payment for pre-termination leave, less monies owed to the PE, in one lump sum; and
(b) benefits for which the employee may be eligible, from the National Retirement Benefits Fund.
Division Two – Retirement
(2) Under exceptional circumstances an employee’s compulsory date of retirement may be extended
on an exigency basis with the approval of the Board, provided that an employee whose retirement has
been extended under this sub-clause shall compulsorily terminate on reaching 65 years of age or earlier as
the Board deems fit.
(3) For the purposes of this clause, “exigency” means a critical need of the PE where the CEO
determines it is highly crucial to continue to employ the employee, subject to the approval of the
Board.
(4) Pursuant to sub-clause (2), at least 2 months before the person’s retirement, the relevant
Department Manager shall submit to the CEO a succession plan on the retirement of the
employee assessing at least the following –
(b) possible candidates that are appropriate for training as replacement for the exiting
employee; and
(a) payment for pre-retirement leave in one lump sum, less monies owed to the PE (if any);
and
(b) cessation of service benefits from the National Retirement Benefits Fund.
(2) Upon the retirement of an employee who has worked for the PE for 10 years or more, the CEO
will provide a Long Service certificate and a letter of commendation in respect of the employee,
in addition to the entitlements in sub-clause (1).
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(2) The CEO and the Board may waive or reduce the notice period under circumstances they may
deem fit.
(2) The employee’s Department Manager shall arrange for a medical report on the employee’s
condition to be provided by a senior medical practitioner with the endorsement of the CEO for
the Ministry of Health.
(3) The HR Department shall forward the Medical Report, with the report of the Department
Manager on the employee’s performance, to the CEO and the Board.
(4) An employee whose services have been terminated on medical grounds shall be granted the same
entitlements as if he had retired on medical grounds.
(a) the supervisor or CEO or Department Manager shall oblige employee to have himself
medically checked;
(b) if the employee is confirmed to be suffering from a medical condition, the CEO shall oblige
him to retire on medical grounds on certification from a senior medical practitioner; or
(c) the CEO with the approval of the Board shall compulsorily terminate the employee if he
refuses to retire on medical ground, and such termination shall be treated as if the employee
has retired.
(2) The CEO may compulsorily terminate an employee for breach of his employment contract
provided that all terminations processes shall be in accordance with the rule of natural justice.
(b) disciplinary issues referred from the Department Manager as adversely affecting the efficient
operations of the enterprise, and shall be considered a serious breach of discipline; or
(c) breach or misconduct under the terms of the employee’s employment contract.
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(2) An employee who is dismissed or terminated from the PE shall forfeit all benefits, privileges, and
entitlements except for his retirement benefits when they are due.
Division Four – Death of Employee
(2) Where the deceased is on official duty overseas, the PE shall be responsible for the costs of
embalmment, airfreight and any related costs of the deceased being returned to Tonga or country
of residence as the Board determines.
(3) The HR Department shall ensure that the following entitlements are provided at the deceased’s
funeral –
(a) letter of condolence from the Board of Directors and CEO to the next of kin;
(b) record of service;
(c) wreath; and
(d) transport for the deceased.
(4) All monetary benefits due to an employee who is deceased shall be in accordance with the
Regulations or PE policy and as determined by resolution of the Board.
Division Five – Redundancy
(1) Subject to the Regulations or any legislation in place, the PE may make periodical review of
posts and make provisions for redundancy.
(2) The CEO with the HR Department shall periodically review the extent to which PE staffing
matches the ongoing needs of the business and report to the Board.
(4) A review may lead to the redundancy of an established post in accordance with this Part and
cessation of employment.
(5) Redundancy as a result of a periodical review under sub-clause (1) may be voluntary or
involuntary.
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(6) The PE will undertake a consultative process with the affected employee(s) and submit to the
Board options for calculating severance payments and the maximum level of payment.
(7) As soon as the Board approves any redundancy proposals, severance payment options, or salary
review the CEO shall immediately submit to the Ministry of Public Enterprises such options for
its information.
(a) prepare a database of all employees who satisfy particular criteria, and determine target
redundancy numbers;
(c) make an offer in writing to each employee which explains the voluntary redundancy
offer, detail of severance payment calculations, notice provisions and dates by which
applications for VR shall be lodged;
(d) receive and acknowledge receipt of each individual application for voluntary
redundancy;
(e) determine an appropriate process for selecting those applications which are within the
PE’s policies and guidelines for redundancy; and
(f) advise each applicant in writing of the outcome of their application for voluntary
redundancy.
(2) For successful applicants, including in (f) above, the PE shall advise the employee of the
proposed termination date, details of severance payments and other entitlements.
(a) advise each employee in writing that his post will be abolished and that he will be declared
redundant;
(b) provide each employee with three (3) months’ notice of termination of employment or
payment in lieu of notice or a shorter period as the Board may determine;
(c) to the extent possible, coordinate access to a range of basic support services to assist with the
outplacement of employees, including financial planning advice and preparation of
applications for alternate employment.
(d) abolish each redundant post at the end of each notice period; and
(e) provide each employee with a statement detailing the proposed termination date and
confirmation of any severance payment amounts, as deemed appropriate.
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(a) the need to achieve and maintain a fair relativity with the levels of remuneration in other
public enterprises and the industry of a similar nature in Tonga;
(2) Subject to sub-Clause (1) of this Clause, the CEO and the Board shall set bands for salaries
and wages for all classifications and bands of –
(a) that all recruitment proposals of employees are submitted to and approved by the Board
before recruitment;
(b) that all recruitment shall be publicly open, fair and based on merits including but not limited
to qualification, know-how, experience and attitude etc;
(c) enforcement of an adequate system of control over the employment of employees and the
extent of all salaries and wages costs of a particular Department; and
(d) enforcement of any other appropriate measures to ensure the control of salaries and wages.
(2) The HR Manager may with the CEO’s endorsement issue detailed instructions to
Department Managers, accounting officers, time-keepers and supervisors, on the method to
be used for the recording and checking of attendance and of overtime;
(a) make deductions of pay as administrative penalties for absence without authority etc.
under this Policy, as soon as CEO approves such administrative penalty; and
(b) act on a “asap” basis to prevent overpayment due to late advice of employees’ exit of
service, leave without pay, etc.
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(a) holds additional relevant qualifications which is higher than the minimum qualifications
and years of experience additional to that required by the post, in which case the salary
on appointment shall be recommended by the Interview Panel to the CEO and
submission to the Board for its decision.
(a) if the basic salary of an employee was less than the minimum of the higher band, the
employee shall receive the minimum of the higher band;
(b) if the variance is less than or equal to 10% of the minimum of the higher band, the employee
shall start at 10% above the minimum of the higher band.
(c) if the current salary of an employee is greater than, or equal to the minimum of the higher
band, the employee shall have 10% of the minimum of the higher band added on top of their
current salary which will be their new basic salary at the higher band.
(2) No employee shall be promoted or be subject to a salary review resulting in the increase in his
salary, before the expiry of the 6 months compulsory probationary period as prescribed by this
Policy.
(2) The CEO shall determine the overall affordability percentage for the performance reward in
consultation with the Finance Department.
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(g) recognition of long service through the award of long service leave.
(2) The CEO shall determine appropriate guidelines for non-monetary rewards as the PE deems
fit, subject to Board approval.
(b) Employees may upon approval by the Finance Department Manager request to have their
fortnightly salary deducted to multiple bank accounts whether a loan or savings accounts.
(c) Salaries shall be paid on a fortnightly basis in accordance to the approved payroll system of the
PE.
(2) In the case of a senior manager the CEO shall immediately suspend the payment of the salary of the
manager under the criteria set out in sub-clauses (1).
(2) Selection for training shall be fair and equitable and based on identified training needs of the
Department/division.
(3) Training Needs are to be submitted to the HR Department for further submission to the CEO for
approval.
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(a) long term training – the duration of training is more than 12 months
(c) formal training – this is the training program which leads to a formal qualification (eg –
undergraduate diploma, Bachelor, post-graduate diploma, Master, Doctorate) and can be
either short term or long term.
(d) information training – this refers to training which enhances on the job skills and
knowledge, i.e., work attachment or on the job training etc
Division Two – Training and Development Responsibilities
(2) The HR and Finance Departments/Divisions shall provide administrative support and facilitation
for training activities.
(3) The HR Department has the responsibility to provide training opportunities for employees.
(2) This shall start from the correct identification of needs and from recognition that there are short-
term and long-term needs, both of which training shall try to meet and these needs may change
rapidly over time.
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(3) It is therefore important that a Department prepares a training plan which takes into account the
elements outlined in this Policy.
(2) Each employee shall complete a training report for any training, which takes place over a period
of 2 weeks and shall include in that report the following –
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(3) At the end of a training or attachment overseas and within two (2) weeks of his resumption of
duty, irrespective of whether the training or attachment was fully funded or not, the employee
shall provide to the Department Manager a report on the training which shall include the
following –
(a) main content of the training or attachment;
(b) appropriateness or otherwise of the training or attachment to the participant’s post; and
(c) overall value of the training or attachment to the performance on the job.
(a) sign a Bond Form with the PE prior to his release from duty, which outlines the terms
and conditions of the Scholarship or long term training and the requirements under this
Part;
(b) upon completion of his period of study, continue his employment in the PE for one year
of service per each year of study, up to a maximum period of five years;
(c) where the employee has failed to complete his studies due to personal reasons or to his
own activities, the employee shall repay the PE for any salary allowance paid by the PE
to the employee during the period of study;
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(d) any amount of time spent by the employee attending training shall count towards his
period of service, but shall not count towards annual leave or any other leave
entitlements; and
(e) on successful completion of long-term scholarship training, the employee shall resume
duty at the post at which he left.
(2) It is the responsibility of the HR Department to ensure that the Bond Form with the employee
referred to in sub-clause (1) is signed.
(3) An employee who does not honour his bond in full shall have his appointment revoked (in the
case of an existing employee).
(4) Employees on probation cannot be allowed on study leave unless their probationary period has
been completed.
(2) All employees are required to abide by safe work practices and adhere to all general safety rules
to ensure safety of employees and colleagues.
(3) Employees are to immediately report to their immediate supervisor any unsafe working
conditions, practices or equipment and all accidents at work regardless of whether injury occurs
to any person or damage is caused to property.
(4) The PE shall ensure that employees are trained and certified to give first aid on any emergency
services. The HR Department shall coordinate this.
(5) The HR Department shall facilitate an annual health check for all employees. Free health check
services provided by the Ministry of Health shall be considered first before seeking any other
paid services.
(6) Employees may request for a medical check-up using the PE’s designated medical doctor (who
shall be a senior medical officer) which shall be supported by the HR Manager and approved by
the CEO. The conditions for this request shall be as instructed by the HR Manager. The cost shall
be covered by the PE.
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(2) The use of alcohol and kava during working hours is strictly prohibited.
(3) Employees shall not use alcohol or kava in any way that adversely affects the performance of
their duties or the performance of duties by other employees.
(4) Breach of the restrictions on use of alcohol, kava or use of illicit drugs will result in the
disciplinary procedures for serious misconduct instituted against the employee.
(a) entitlements;
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(k) station.
PART XI – DISCIPLINE AND GRIEVANCES
164 Authority
(1). The CEO shall be responsible for the enforcement and application of the provisions of this Policy.
(2) This Policy (PESSEP-22) may be amended to address any appropriate proposals for amendments
being put forward by the Boards of PEs to the Ministry of Public Enterprises from time to time.
165 Approval
(1). The CEO may make recommendations in writing to the Board for the amendments of the PESSEP-
22.
(2). The Board after receiving such amendment proposals from the CEO for their approval, shall forward
such proposals to the Ministry of Public Enterprises where the Minister shall be responsible for endorsing
the PESSEP-22 that comprises the PE Code of Ethics and Conduct, PE (Grievance and Dispute)
Procedures, the PE (Disciplinary) Policy and Procedures, the PE Travel Policy and the PE Insurance
Policy.
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SCHEDULE 1
FORM I
LEAVE ENTITLEMENTS
Current Proposed
Leave Type Particulars
PE leave
Annual 20 20 A person is entitled
Leave to accrued annual
leave each calendar
year. A person can
accumulate annual
leave for up to 40
working days with
the approval of the
CEO.
Sick Leave 10 10 For non-
(outpatient) hospitalisation.
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FORM 2
(Shall be filled and agreed to between the parties AT THE BEGINNING OF THE
PERFORMANCE EVALUATION PERIOD)
SECTION I
EMPLOYEE’S DETAILS
Name of Employee: PF File No.
Employee’s Post: Supervisor’s Name & Post:
Performance Evaluation Period: Length of time of supervision of employee:
PE Department:
SECTION 2
PE’S STRATEGIC DIRECTION AS PER BUSINESS PLAN
*Direct Contribution to the PE’s Key Business TARGET & OUTCOME
(For CEO and Department Managers only)
➢ …
➢ …
➢ …
➢ …
…
*Indirect Contribution to PE’s Key Business TARGETS & OUTCOMES
(For all employees including CEO, Department Managers, Senior Management staff & All employees)
➢ …
➢ …
➢ …
➢ …
…
SECTION 3
KEY PERFORMANCE OUTPUTS
(LIST YOUR KEY PERFORMANCE OUTPUTS AND INDICATORS AS PRESCRIBED IN YOUR
JOB DESCRIPTION (JD).
➢ …
➢ …
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➢ …
➢ …
➢ …
➢ …
SECTION 3:1
JOB PERFORMANCE
PARAGRAPH A PARAGRAPH B
Individual Outputs Performance Indicator
➢ 1.… ➢ 1.…
➢ 2… ➢ 2…
➢ 3… ➢ 3…
➢ 4… ➢ 4…
➢ 5… ➢ 5…
➢ 6… ➢ 6…
➢ 7… ➢ 7…
➢ 8… ➢ 8…
➢ 9… ➢ 9…
➢ … ➢ …
SECTION 3:2
BEHAVIOURAL ATTRIBUTES/COMPETENCIES
PARAGRAPH A PARAGRAPH B
BEHAVIOURAL COMPETENCIES STANDARDS
1. Change and Innovation ➢ Stays informed and actively contributes to
change initiatives;
➢ Looks for ways to demonstrate innovation
and initiatives at work area;
➢ Anticipates emerging issues and looks for
ways to improve work practices;
➢ Takes a big-picture view of change and
models a positive, constructive approach to
managing it; and
➢ Focuses on benefits and ways of
overcoming obstacles
2. Interpersonal Skills/ Team ➢ Actively shares information with
Work/Collaboration appropriate people and checks for
understanding where necessary;
➢ Presents clear, courteous and concise oral
and written communications;
➢ Engages positively and persuasively with
program stakeholders as appropriate;
➢ Develops rapport with people at all levels
inside and outside of the PE to further the
objectives of the PE;
➢ Takes the initiative to make things better
and seeks out/accepts new or additional
responsibilities readily;
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FORM 3
(Shall be filled and agreed to between the parties AFTER THE PERFORMANCE
EVALUATION PERIOD))
(THE EMPLOYEE’S PPEA SHALL BE VIEWED SIDE BY SIDE WITH THIS FORM WHILE SCORING. THE
SECTION NUMBERS OF THIS FORM CORRESPONDS TO THE PPEA SECTION NUMBERS)
SECTION I
EMPLOYEE’S DETAILS
Name of Employee: PF File No.
Employee’s Post: Supervisor’s Name & Post:
Performance Evaluation Period: Length of time of supervision of employee:
PE Department:
SECTION 2
*SEE PPEA FOR PE’S STRATEGIC DIRECTION AS PER BUSINESS PLAN
(NON- SCORING SECTION)
SECTION 3
*SEE PPEA FOR EMPLOYEE’S KEY PERFORMANCE OUTPUTS & INDICATORS AS PER JD
(NON-SCORING SECTION)
SECTION 3:1
JOB PERFORMANCE
*SEE COLUMNS A & B OF PPEA FOR EMPLOYEES JOB PERFORMANCE
(SCORING SECTION)
SCORING 1 to 5
PPEA COLUMN A BY EMPLOYEE BY JOINT JOINT
Individual Outputs SUPERVISO MARKING REMARKS
R
➢ 1…
➢ 2…
➢ 3…
➢ 4…
➢ 5…
➢ 6…
➢ 7…
➢ 8…
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➢ 9…
➢ …
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SECTION 3:3
Overall Performance
SECTION 3:1 Score
SECTION 3:2 Score
TOTAL OVERALL
PERFORMANCE
SCORE=
Signature: After agreeing on paragraphs A & B above
Signed by Chairman of the Board as supervisor of CEO (if evaluation of the CEO)
Signed by Supervisor (if evaluation of employees other than CEO or Senior Management)
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SECTION 4
Training and Development Requirements
Issues/Areas for Development Responsive Action to be taken Time Frame
1 1
2 2
… …
SECTION 5
Comments and Recommendations
5.2 Supervisor’s Comments (or Chairman of the Board as supervisor of CEO, or CEO as supervisor for
Senior Manager)
(a) What are the highlights achieved? Supervisor’s Signature (or Board Chairman or
CEO as the case may be)
Date:
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FORM 4
The purpose of this exit interview is to give you an opportunity to say what you think about key aspects
of the Enterprise that had been employing you. Your comments will be very important to the Public
Enterprise in it’s effort to improve the performance of the Enterprise.
Name: _______________________________________________________________________
JOB CONTENT
1. How long have you worked for the Enterprise that you are leaving?
4. Did you understand the job expectations when you were appointed?
6. Did you know how or where to get information you needed to succeed in your job?
8. How would you rate the following aspects of your employment in this Enterprise?
9. If you were the CEO of this Enterprise, what would you do differently?
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QUALITY OF SUPERVISION
12. How would you rate your supervisor in the following areas?
13. If you came back to work for this Enterprise, would you work for the same supervisor?
14. What factors have led you to decide to leave the Enterprise?
15. What factors were most important in choosing your new job?
17. What made you begin looking for another position, in another organization?
18. What could the Board/Enterprise have done to prevent you from leaving?
19. If you are going to another job, what does the job offer you that your job here did not?
Employee Signature:________________________________________________________
Date: __________________________________
Date: __________________________________
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