UTCL/BCOE_RPJS/2015/03_UTCL Inland Mobility Policy

Circular No. CEM/HR/80 - 15

Date 8 October 2015
Subject UTCL Inland Mobility Policy

While the Group’s Mobility Policy 2007 provides the frame work & guidelines
for movements across the Group, different practices exist in our business
verticals.
An attempt has been made to streamline & align practices across verticals
by way of the enclosed Policy that shall apply to all movements within the
Cement Business in India.
This policy is effective 15 October 2015 and will supersede the Group’s
Mobility Policy pertaining to Intra Business transfers.
In line with our Employee Value Proposition of “The World of Opportunities”
the revised policy aims to facilitate smoother movement across verticals
within the Business, provide clarity on services & benefits available to
employees choosing mobility as an option for growth and addresses various
queries raised in the past.
Key changes:
• All movements either via TOE or Business Transfers shall be treated
at par
• One time Mobility Incentive for lateral movements
• Moratorium period on Transfers
• Introduction of Prime City allowance & withdrawal of COLA
• Compensation impact for Staff cadre mobility
Please note that for all inter-business movements, the Group’s Mobility
Policy shall apply.
It shall be the responsibility off the HR Business Partners / Unit & Zonal HR
to implement the Inland Mobility Policy across Verticals/ Units & Zones and
ensure compliance of the same.
For any clarifications on the UTCL Inland Mobility Policy, please contact your
respective HR Business Partner or BCOE Rewards, Performance, Job
Analysis & Evaluation, HRMS & Shared Services.
Regards

Gautam Chainani
UTCL/BCOE_RPJS/2015/03_UTCL Inland Mobility Policy
UTCL Inland Mobility Policy
Preface

While the Group’s Mobility Policy 2007 provides the frame work & guidelines for
movements across the Group, different practices existed in our business verticals.
The UTCL Inland Mobility policy caters to specific needs of the Cement Business and
provides guidelines applicable to Inter-Unit & Intra Unit movements across
management & staff cadre employees based in India. The specific provisions to Inland
Mobility for employees of UTCL India are delineated in this manual.

Going forward, this policy manual will be the single reference point for all transfers
within India and henceforth all policy decisions pertaining to Inland Mobility will be
governed by BCOE – Rewards & Benefits at UltraTech Cement Ltd., Mumbai.
Consequently, the following circular are being withdrawn
1. CEM/HR/27-11 on subject “Mobility Policy – Staff”
2. COLA & Relocation allowance through email dated Jan 5th 2011 with subject
“Transfers under IRS”
3. Circular for “Mobility policy application in Cement Marketing” dated 23rd Nov
2009
4. Circular for “Applicability of Global Mobility policy in RMC Business” dated
19th July 2010
5. CEM/HR/05-09 on subject “JB & Compensation under IRS”
Objective
The UTCL Mobility Policy in line with the ABG People vision aims to provide world of
opportunities for professional growth with human care.

This policy provides clear guidelines for inland mobility within the Cement Business
with the following objectives.
1. Bring careers to our employees by making mobility attractive.
2. Deliver positive mobility experience for both business and employees while
leveraging cost effectiveness strength and complying with local laws.
3. In view of the hiring freeze directive, mobility will be key in implementing a
systematic, strategic workforce plan to meet our 65/10 goal by aligning
business and talent needs.
Effective Date
This Policy shall be effective 15th Oct 2015 and supersedes the provisions of the
Group’s Mobility policy for Intra Business movements within UTCL India. This policy
shall be reviewed in October 2018.
UTCL/BCOE_RPJS/2015/03_UTCL Inland Mobility Policy

Applicability
1. This policy is applicable to all Intra-business movements across Management
& Staff cadre in UTCL India.
2. All transfers whether IRS, TOE or Business or Individual initiated transfers
will be covered under this policy and shall be treated at par.
3. Relocation norms as provided in the policy to be applicable for New Hires as
well as new hires as required.

Mobility
• Mobility is defined as any type of movement (inter location and / or inter
vertical and / or inter unit) apart from a pure promotion / up gradation of
an employee (in the same business and unit and function and location).

• Cross Vertical Mobility supports getting the right people into the right roles at
the right time to realize UTCL’s vision and the potential of our people
• Verticals are defined as

Verticals Sub-Verticals
Birla White Units & Zones
HO (HO, MFG & MKTG) Functions
Manufacturing Units (IP,GU & BT)
Marketing Zones
RMC Units & Zones

• Mobility can be across a number of dimensions:

UTCL/BCOE_RPJS/2015/03_UTCL Inland Mobility Policy

1. Norms
1.1. Status of Employee on Transfer: The employee will be transferred from the
relieving unit rolls to the hiring unit rolls.

1.2. Transition Duration: The relieving unit is expected to release the employee
within maximum two months from the date of acceptance of the offer.

1.3. Compensation Effective date: For employees transferred between 1st and 20th
of a month, the revised compensation will be effective from the date of
movement. For transfers between 21st and 30th/31st of a month, the revised
compensation will be effective from 1st of the subsequent month.

An employee selected for a position at a higher Job Band or if the current

position is re-evaluated at the same location, the employee will be allotted the
higher job band and any impact in compensation due to the same only at the
time of the next compensation review i.e. January or July.

1.4. Moratorium Period for Transfers: There will be NO transfers for the period
between May 15th and June 30th. In case of any transfers required, due to
business exigencies, during this period the compensation revision wherever
applicable would be effective July 1st of the respective year.

1.5. Movements to lower Job Band: Transfers should necessarily be to positions

at same Job Bands or higher Job Bands. Transfers to positions with job
bands lower than the individual’s current job band, as a result moving the
individual to a personal job band will not be allowed. Such moves to lower job
bands will be allowed only in case of critical positions for a limited time frame
post approval from CHRO – UTCL.

2. Performance Management
2.1. Goal Setting & Performance Appraisals: An employee will be expected to add
his goals for the new role within 1 month of joining the new location. The
appraisal of the transferred employee will be done by the Hiring Unit. If the
transfer takes place during the course of the performance cycle, the unit
(Relieving or Hiring) in which the employee has spent more time shall consult
the other unit and arrive at the performance rating for that year.

2.2. Variable Pay: Variable pay will be paid by both Units proportionate to
the time spent in the respective Units.

3. Orientation Trip
a. The hiring unit will provide one trip for up to three days for the
employee his/ her Spouse and 2 kids (under the age of 12 yrs), before
the actual relocation.
UTCL/BCOE_RPJS/2015/03_UTCL Inland Mobility Policy
b. The employee and his family as mentioned above will be eligible for
travel, meals and accommodation as per the ABG Domestic Travel
policy
c. The trip will need to be approved by the reporting manager and the
Unit HR (hiring Unit) in advance.

4. Relocation Benefits & Services

4.1 Mobility Incentive (MI): At the time of transfer employees moving to a
position with the same Job Band will be eligible for MI.

MI will be paid as a one-time quantum to employees of management cadre moving

at the same Job Band and employees in the Staff cadre moving at the same
Designation, in the event that the movement is beyond 100Kms.
Table 1

JB Mobility Incentive

4 3,17,000
5 2,35,000
6 1,74,000
7 1,29,000
8 1,00,000
9 77,000
10 59,000
11 46,000
11B 35,000
Asst. Engineer/ Asst. Officer (S5) 28,000
Jr. Engineer/ Jr. Officer (S4) 22,000
Sr. Supervisor (S3) 15000
Supervisor (S2) 15000
Staff (S1) 15000
a. The one – time quantum will be paid along with first month payroll in the
new role.
b. The mobility incentive will be paid only in case of movement/ transfer
beyond 100Kms
c. This will be a fixed quantum per Job Band as shown in Table 1 above
d. The amount will be recovered from an employee in the event of his/her
resignation within 12 months of pay-out
e. MI is payable to an employee only once in 18 months i.e. any transfer
within 18 months of the previous transfer shall not attract a MI.
f. MI will be taxable at the hands of the employee
g. MI will not be paid in cases where movement leads to promotion. Such
cases will be governed by clauses 5.1, 5.2 & 5.3 as applicable
UTCL/BCOE_RPJS/2015/03_UTCL Inland Mobility Policy

4.2 Relocation Allowance (RA): A fixed quantum will be paid for expenses
incurred on account of relocation leading to residence change as shown in
Table 2 below.
Table 2
JB Relocation Allowance
4 1,35,000
5 1,00,000
6 75,000
7 55,000
8 45,000
9 35,000
10 25,000
11 20,000
11B 15,000
S5 10,000
S4 10,000
S3 7,500
S2 7,500
S1 7,500

a. Indicative list of elements is as follows

i. Lease breakage
ii. School admission fee not returned
iii. Brokerage in new location
iv. Soft furnishings
v. RTO/ Society Charges etc.
b. This allowance will be paid only on movement of residence as a
result of the transfer
c. Unit to Unit transfer will not attract RA
d. Table 3 below details eligibility of RA
Table 3
From / To Units Non Metro State Metro
Capitals

Units No RA RA RA RA

Non Metro RA RA RA RA

State Capitals RA RA RA RA

Metro RA RA RA RA

Quantum of RA will be applicable to employee as per current job band and

not proposed job band in new assignment.
No reimbursements shall be payable.
UTCL/BCOE_RPJS/2015/03_UTCL Inland Mobility Policy

4.3 Transportation of Goods: Maximum 2 truckloads (up to 800cft) to be

arranged by home unit, country wide tie – up shall be made available. Loading
& Unloading of goods shall be reimbursed at actuals or arranged by the
organization

a. Travel expenses will be paid for Self, Spouse, two children and dependent
parents as declared in the Mediclaim. For any other dependants the
employee would bear the cost.
b. Eligibility of travel will be governed by the provisions of the domestic travel
policy.
c. Maximum 2 Truckloads along with loading & unloading charges at
actuals.
d. Place of loading would be the place of current posting (home unit) to
destination (Hiring Unit)
e. Employee to engage the packers services from vendors empanelled by the
business. 3 Quotes to be taken from Empanelled vendors (Regional /
National).
f. A local transporter can be used only in case of unavailability of tie up
vendor at a particular location.
4.4 Temporary Living Expenses
The employee and/or his/ her family will be entitled to stay in a hotel/guest
house for a maximum of 15 days after reporting at the new place of posting.

5. Compensation
In case of transfers there will be no change in compensation for employees
moving at the same Job Band (management cadre) or at the same designation
(staff cadre).

HRA will be paid Only in cases where there is no township or employee is not
staying in the township due to exigencies. On relocation / movement from
unit to city, HRA as applicable to the location shall be incorporated in
employee’s CTC.

5.1 For change in Job Band on movements:

 Effective ACR 2015 (1st July 15) change in JB on movement will attract
8% increase in fixed compensation without Housing. This increase shall
include all benefits pertaining to the Job Band.
5.2 For Change in Designations on movements (Staff cadre only):
 Change in designation on movement will attract 5% increase in fixed
compensation without Housing for employees in staff cadre.
5.3 For Staff to Management cadre on movements:
 A Staff cadre employee chosen for a Management cadre role at JB 11
shall move up in a step up approach. i.e. Staff to JB11B to JB11
 Such employee shall be eligible for 5% increase in fixed compensation
without Housing when the employee moves to JB 11B. The Target
UTCL/BCOE_RPJS/2015/03_UTCL Inland Mobility Policy
Variable pay shall be added over and above, as per eligibility for the Job
Band.
 When an employee moves from JB 11B to JB 11 due to transfer, he /
she shall be eligible for 8% increase on account of the movement.

In cases mentioned above, employees will not be eligible for a MI

Change in Compensation due to transfer will be effective as below;

Job Band Compensation Effective from

JB 5 & above January/July, whichever is the next review cycle
JB 6 & below Date of movement, as per 1.3

5.4 Prime City Allowance

A Prime city allowance will be paid to employees on movement to Mumbai or

Delhi as below:

City Amount (p.a.)

Mumbai 50000
Delhi 35000
The Prime city allowance will be paid for a fixed period of 3 years. The same
would be discontinued after 3 years.
This quantum shall be reflected below the CTC
5.5 Hardship allowance

A hardship allowance of INR 50000p.a. will be paid to employees who are part
of project teams based at project locations for the duration of their stay at the
location.
5.6 COLA has been discontinued w.e.f 1st July 2015

5.7 HRA differential No HRA differential will be paid in case of movement

from City to Unit locations.
5.8 Car Operating Expenses

On transfer, the employee will have to transfer the car to the Hiring unit. Any
expenses incurred on the car relating to such a transfer (such
as registration, state octroi etc) will be borne by the Hiring Unit. Car operating
expenses shall be as applicable at the location.

Differences (higher or lower) in Car Operating Entitlements shall be adjusted

from Special Allowance.
UTCL/BCOE_RPJS/2015/03_UTCL Inland Mobility Policy

6. Other Benefits
6. 1 Leave:
The Leave balance accumulated at the relieving unit can be carried forward to
the hiring unit, provided it does not exceed the upper limit for leave
accumulation at the hiring unit. The employee can encash the PLs which
cannot be thus carried forward or any such fraction of the total accumulated
leaves as he or she may desire, provided minimum 30 days PL balance is
maintained.

6.2 Provident Fund:

The employee’s Provident Fund account shall be transferred from the

relieving unit to the hiring unit.

6.3 Superannuation:

The employee’s Superannuation Fund account (if, applicable) shall be

transferred from the relieving unit to the hiring unit.

6.4 Gratuity:

Gratuity shall be governed by the norms of the Gratuity Policy, Circular No.
692.

6.5 Transition period between Assignments

An employee shall be eligible for a transition leave of 3 days prior to joining at

the Host Unit on account of travel, leave, packing etc. This transition period
shall be accounted for at the Home Unit and adjusted accordingly.

7. Time in Role
 In Individual Initiated Transfers whether lateral or promotion & Business
initiated transfers to positions with higher job band, 24 months clause for
next transfer shall be applicable as per the IRS/ TOE policy.
 In case of Business initiated transfers in lateral movement (same job band
movement for management cadre & same designation movement in case
of staff cadre), the employee can apply under IRS with no minimum
duration clause applicability.

End.