POLICY NO.

TRAVEL POLICY FOR MANAGEMENT EMPLOYEES

Effective Date: 1st May 2013

1.0 Management employees are eligible to the following mode and class of travel

while on Company business:

MANAGEMENT GROUP MODE/CLASS OF TRAVEL - MOO and above Business Class - MO1 to MO4 Apex fare - Air/AC- Ist Class - MO5 to MO7 IInd AC / 1st Class -Trainees (MT/ET/GET/Trainee Officers IInd AC / Sleeper

1. VP / GM concern may authorize air fare or higher class train travel where the same is warranted.

2. Employees to follow the class of travel as per the eligibility. 3. Train tickets to be booked Destination to Destination only (from base

location to tour location). If ticket booking is required from any previous or to any next station, approval of MD is required.

4. For air travel, employee have to choose the shortest route and lowest fare option.

5. Services of Travel agent will be allowed in case of International ticket bookings. Domestic booking may be done directly through internet.

1.1 Schedule of Bhatta Rates (per hour) A Group B Group Other Cities & Cities Cities State Capitals _______ _____

A. Own Arrangement* 36 31 21

B. Stay in Company Guest House 34 29 19 (net off Guest house boarding charges)

C. Travel Bhatta 20 20 20

D. Away from Hq. for one meal Rs.150/-

only. * Employees especially of Marketing Division, covering multiple destinations

in a same day through Company / own vehicle, can claim ‘own arrangement’ Bhatta applicable to the last destination of the trip.

Whenever employees are on tour and stay in the Co.’s Guest house & the employee is not charged towards boarding expenses, he would reduce the following amounts from his eligible bhatta.

- Breakfast - Rs. 25/- - Lunch / Dinner - Rs. 35/- each

In the guesthouses, wherever bills are raised and amount not recovered, the same needs to be attached by the employee along-with his travel expense claim for adjustment from the claimed bhatta.

A declaration about stay in the guesthouse / boarding expenses must be given in the travel expense claim, along-with details of breakfast and lunch/dinner, duly certified by the Caretaker of the guesthouse. Employees in grade MO4 and above will be on actual basis and no bhatta shall be payable, in case of stay in Company Guest House or Own Arrangement. Consequently, in case of stay in Company Guest House, no food expenses shall be charged.

1.2 Stay in Hotels

A. i) Management employees in salary group MO1-4 are entitled to stay at Hotels on actuals, within limits of tariff of Rs.10,000/- per day for MO1 and MO2 levels, and Rs.6,500/-per day for MO3 and MO4 levels exclusive of levies and taxes. For VPs and above, reimbursement will be at acutals. For hotels at Delhi & Bombay, the limits will be 25% higher. As far as possible, accommodation in Delhi and Bombay should be through the company to ensure reservation of accommodation, preferably in the Company Guest House / Transit House.

ii) In exceptional cases, officers in these levels can stay in a hotel of higher rates and they should obtain approval of concerned VP on justifying the same.

B. i) Management employees in salary group MO5 - MO7 & Trainees (MT / ET / GET / Trainee Officers) are not entitled to stay in hotels at actuals. They are reimbursed lodging charges to the extent indicated below, in which case receipted bills must be submitted alongwith expenses account.

A Group Cities B Group Other & State Capitals Cities Cities Rs.2500 Rs.2000 Rs.1500

For Delhi & Bombay 25% higher lodging charges allowed.

ii) In such cases employees may claim 60% of eligible bhatta per hour, which shall be as follows:

A Group Cities B Group Other & State Capitals Cities Cities

Rs.22/- Rs.19/- Rs.13/-

The levies and taxes will be over and above the entitlement limit.

iii) In exceptional cases if an employee incurs lodging expenses in

excess of those indicated above, VP/GM may approve such expenses.

1.3 Local Travel

MO4 and above - Taxi MO5 - MO7 - Three wheeler, except travel to and fro Air port

and / or where no three wheelers are available, Taxi may be engaged.

Note: Where pre-paid conveyance is available, employees should make use of the same. 1.4 Rules

The following rules govern the payment of bhatta:

a) In case of hotel stay on actuals, the concerned management employee is entitled to charge actual reasonable incidental expenses.

b) Receipted bills for travel fares must be submitted alongwith the expense account.

c) Lodging expenses will be reimbursed on production of bills. d) Cigarette and alcoholic drinks are not reimbursed. e) Daily Allowance (Bhatta) will include incidentals like tips, periodicals,

porter charges etc. and no separate claim for these incidentals can be made.

f) Employees deputed for external training programs where boarding charges are included in the program fee are expected to claim reasonable incidental expenses only.

1.5 Stay in Transit House at Kota/Gadepan/Delhi/Mumbai etc.

a) Management employees, unless they wish to make their own arrangements, should stay in the transit house. Stay in the hotel is permissible only if transit house is not available.

b) Management may, at its discretion, permit employees in management

cadre to stay in the transit house in case of personal emergency, provided accommodation is available.

c) Management employees are permitted to stay at transit house for maximum two days on personal visit, while in transit.

d) Employees on personal visit pay the following charges:

Room Charges / Day - Rs. 200/- Breakfast - Rs. 20/- Lunch / Dinner - Rs. 30/- each Snacks - Rs. 20/-

e) Employees traveling on Company business and staying at transit house should pay following charges:

i) Breakfast, lunch, dinner as fixed from time to time ii) Laundry is on employee’s account.

Procedure (while stay in Transit House)

i) Employee concerned has to submit written request for accommodation sufficiently in advance.

ii) The allotment of accommodation is on “first-come-first serve” basis. iii) Employee has to comply with the procedure of filling out requisite

Form / Register etc.

1.6 Executives lower than GM’s are not permitted to entertain personal guests at

Transit house.

1.7 Employees while on tour to Delhi/Bombay etc, subject to eligibility and availability should stay in the Co.’s Guest House/Transit Flat or other Guest Houses identified by the Company. Management staff MO3 and above are entitled to stay in the ZIL Transit Flat at Bombay.

1.8 Kota and Gadepan would be treated as one location. 2.0 POLICY FOR TEMPORARY TRANSFERS/SHORT TERM ASSIGNMENTS 2.1 Employees temporarily transferred or deputed for short term assignment for 1

month or more at a stretch, the payment of bhatta will be applicable as under:

a) On making own provision of Boarding & Lodging - 60% of bhatta applicable b) Co. or borrowing Co. provides accommodation - 40% of bhatta applicable c) Co. or borrowing Co. provides Lodging & Boarding - 15% of bhatta applicable

For travel outside the location of posting, employee would be entitled to TA as applicable to him.

CLASSIFICATION OF CITIES

The classifications of the cities are as follows:

GROUP ‘A’ CITIES GROUP ‘B’ CITIES Ahmedabad Agra Allahabad Chandigarh (including Mohali Ambala Amritsar & Panchkula) Ankleshwar Aurangabad Chennai Bareilly Baroda Delhi (including Faridabad, Gurgaon, Bharatpur Bharuch Noida & Ghaziabad) Bhatinda Bhavnagar Kolkata Bhilai Bhilwara Mumbai Bhuj Bikaner Pune & all State Capitals Bilaspur Durg

Faizabad Gorakhpur Gwalior Hisar Indore Jabalpur Jaisalmer Jalandhar Jamnagar Jhansi Jodhpur Kanpur Karnal Khajuraho Kota Kurukshetra Ludhiana Meerut Moradabad Mount Abu Nainital Nasik Orchha Patiala Port Cities (not specified) Rajkot Ratlam Rohtak Surat Udaipur Ujjain Varanasi

GROUP ‘C’ CITIES: All other cities not covered above.