Employee Handbook- Head Office

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    EMPLOYEE HANDBOOKHEAD OFFICE

    Head Office & Factory Address:

    Ras Al Khaimah- U.A.E

    P.O. Box: 31508

    Tel: + 9717 244 7464

    Fax: + 9717 244 7277

    Email: I n f o @m a ban ist e el .a e

    Website: w ww .m aba n i s te e l .c o m

    mailto:[email protected]://www.mabanisteel.com/http://www.mabanisteel.com/mailto:[email protected]
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    EMPLOYEE HANDBOOKHEAD OFFICE

    Date of Issue: July -2008Last Revision: April- 20092

    TABLE OF CONTENTS

    PURPOSE OF EMPLOYEE HANDBOOK...................................................................... 6

    COMPANY HISTORY ......................................................................................................7

    OUR VISION & MISSION STATEMENTS .....................................................................8

    OUR EMPLOYMENT PHILOSOPHY ............................................................................. 9

    EQUAL EMPLOYMENT OPPORTUNITY ................................................................... 10

    CHAPTER 1 - EMPLOYMENT AT MABANI STEEL............................................. 12

    1.1 DURATION OF YOUR EMPLOYMENT CONTRACT..................................... 12

    1.2 RESIDENCE VISA PROCESSING...................................................................... 12

    1.3 JOINING PROCEDURES..................................................................................... 12

    1.4 PROBATIONARY PERIOD................................................................................. 13

    1.5 PERSONAL RECORD & FILE............................................................................ 13

    1.6 PAYROLL PROCEDURES ..................................................................................14

    1.7 EMPLOYMENT OF FAMILY MEMBERS......................................................... 15

    1.8 HOURS & PLACE OF WORK............................................................................. 15

    1.9 LUNCH BREAK & CANTEEN AREA................................................................ 15

    1.10 MOSQUE & ABLUTION FACILITIES............................................................... 16

    1.11 APPLY FOR A TELEPHONE LINE.................................................................... 16

    1.12 OBTAIN A DRIVING LICENSE ......................................................................... 17

    CHAPTER 2 - CODE OF CONDUCT .........................................................................19

    2.1 DRESS CODE & APPEARANCE AT WORK.................................................... 19

    2.2 DRESS DOWN DAY............................................................................................19

    2.3 ATTENDANCE & TARDINESS............................................................................ 20

    2.4 PREVENTAION OF BULLYING IN COMPANYS PREMISES ...................... 21

    2.5 ALCOHOLIC BEVERAGES & ILLEGAL DRUGS ............................................ 21

    2.6 SEXUAL HARASSMENT.................................................................................... 22

    2.7 CONFIDENTIAL INFORMATION ...................................................................... 22

    2.8 PERSONAL PROPERTY .....................................................................................23

    2.9 COMPANY PROPERTY .......................................................................................23

    2.10 CUSTODIAN OF PERSONNEL FILES .............................................................. 23

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    EMPLOYEE HANDBOOKHEAD OFFICE

    2.11 EMAIL POLICIES ................................................................................................24

    A. COMPANY EMAIL ADDRESS........................................................................... 24

    B. PROHIBITED EMAIL CONTENT ...................................................................... 24

    2.12 INTERNET ACCESS POLICIES ......................................................................... 24

    A. PROCEDURE FOR OBTAINING INTERNET ACCESS................................... 25

    B. RESTRICTIONS ON USE....................................................................................25

    C. SECURITY OF INFORMATION......................................................................... 25

    2.13 GENERAL CODE OF CONDUCT.......................................................................... 26

    CHAPTER 3- COMPENSATION, BENEFITS & GRADING STRUCTURE ........ 28

    3.1 GRADING STRUCTURE AT MABANI STEEL ................................................28

    3.2 EMPLOYEES CONTRACT STATUS................................................................ 29

    1. FAMILY STATUS ................................................................................................29

    2. MARRIED STATUS.............................................................................................29

    3. SINGLE STATUS .................................................................................................29

    3.3 SALARY STRUCTURE & COMPENSATION................................................... 30

    3.4 ANNUAL AIR TICKET........................................................................................ 30

    3.5 INSURANCE SCHEMES .....................................................................................31

    3.6 CLINIC FACILITIES............................................................................................31

    3.7 OVERTIME...........................................................................................................323.8 MOBILE ALLOWANCE......................................................................................32

    3.9 PETROL ALLOWANCE ......................................................................................32

    3.10 COMPANY VEHICLE .........................................................................................33

    CHAPTER 4 - INCENTIVE PLANS............................................................................35

    4.1 RECOGNITION PROGRAMS .............................................................................35

    4.2 DEVELOMENT OF PLAN................................................................................... 35

    4.3 TYPES OF AWARDS...........................................................................................35

    CHAPTER 5- LEAVE POLICY ...................................................................................38

    5.1 TYPES OF LEAVES.............................................................................................38

    A. VACATION LEAVE............................................................................................. 38

    B. SICK LEAVE ........................................................................................................39

    C. ACCIDENT LEAVE .............................................................................................39

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    CHAPTER 9- TRAINING & DEVELOPMENT......................................................... 58

    9.1 DEVELOPING TRAINING PROGRAM .............................................................58

    9.2 ASSESSING TRAINING PROGRAM .................................................................59

    9.3 EVALUATING TRAINING PROGRAM ............................................................ 59

    9.4 BONDING POLICY.............................................................................................. 59

    CHAPTER 10- WORK PLACE SAFETY & SECURITY ......................................... 62

    10.1 FIRE FIGHTING & PROTECTION .....................................................................62

    10.2 FIRST AID............................................................................................................ 63

    10.3 COMPUTER ERGONOMICS ..............................................................................63

    10.4 SMOKE FREE WORKPLACE............................................................................. 63

    10.5 REPORTING INCIDENTS...................................................................................64

    10.6 INCIDENT REVIEW PROCESS.......................................................................... 64

    CHAPTER 11- DISCIPLINARY RULES & GRIEVANCE ...................................... 67

    11.1 DISCIPLINARY RULES......................................................................................67

    11.2 GRIEVANCE PROCEDURES ............................................................................. 68

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    Date of Issue: July -2008Last Revision: April- 20096

    EMPLOYEE HANDBOOKHEAD OFFICE

    PURPOSE OF EMPLOYEE HANDBOOK

    This Handbook is prepared for informational purposes to describe basic information about the

    history, philosophy, benefits, employment practices and policies of Mabani Steel. It is not

    designed to provide specific practices or policies for every situation. Questions concerningspecific practices, policies, or how general rules apply should be discussed with your Human

    Resource department directly or through your supervisor.

    Companys policies, benefits and rules can and does change from time to time as business needs,

    employment legislation and economic conditions dictate. Every effort will be made to keep you

    informed of changes through suitable lines of communication. However, company retains the

    right to delete, suspend, revise or discontinue any policies, procedures, or benefits in whole or in

    part, at any time, with or without notice.

    You are responsible for reading and understanding the information in this Handbook. If you are

    unclear or desire further clarification on any information, please discuss the matter with your

    supervisor or contact HR department.

    It is worthwhile to familiarize yourself with its contents.

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    COMPANYHISTORY

    Mabani Steel is majority owned by the Al Rajhi Investment Group (ARIG) Companies and Raed

    Al Mashal Business Group. Al Rajhi is one of the ten largest business groups in Saudi Arabia and

    one of the top five Saudi investors in the UAE. Al Mashal is a prominent and reputable SaudiBusiness Group.

    Mabani Steel LLC is a designer, manufacturer and erector of:

    Pre-Engineered Steel Buildings

    Hot Rolled Steel Buildings

    Hot Rolled Steel Structures (Structural Steel)

    The companys Head Office and Main Factory are located in the Ras Al Khaimah Emirate of the

    United Arab Emirates (UAE). The company undertakes the erection of its products for select

    Customers in select areas (sales territories) and executes the erection using its own in-house

    erection staff, specialized erection companies or a combination of both.

    The UAE factory has been built, from the start, with the following monthly production

    capacity:

    6000 metric tons (MT) of Pre-Engineered Steel Buildings (PEBs)

    2000 MT of Hot Rolled Members

    Sales are made through primary and secondary area offices, some of which are registered as LLC

    Construction Companies.

    Mabani Steel currently has primary area sales offices in each of Abu Dhabi, Dubai, Ras Al

    Khaimah and Riyadh and secondary sales offices in Muscat (Oman). Additional primary area

    offices are planned for Dammam, Jeddah and Doha (Qatar) during 2008.

    To find more information about Mabani Steel LLC please visit

    www .m a b a n i s te e l .c om

    http://www.mabanisteel.com/http://www.mabanisteel.com/
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    Date of Issue: July -2008Last Revision: April- 20098

    EMPLOYEE HANDBOOKHEAD OFFICE

    OUR VISION & MISSION STATEMENTS

    At Mabani Steel our passion for Pre-Engineered Steel Buildings (PEBs) extends beyond success

    and profitability. We desire to make everyone aware of the remarkable features and attributes of

    the PEB System and what makes it the most affordable and flexible building system to constructany non-residential low rise (up to Ground + 3 + roof) building.

    Our vision is to create a great global building systems company that attracts outstanding

    Employees, Suppliers and Customers and provides building solutions and is recognized by

    Consultants, Contractors and Owners (and Competitors) as the most trusted, most transparent and

    most ethical manufacturer of Pre-Engineered Steel Buildings in the Middle East, South Asia,

    Central Asia and Africa.

    Ourmission is to:

    Recruit people who share our vision and our values, and we will develop them to reach

    their highest potential through continuous training, skills development and empowerment.

    Develop new (and support existing) Certified Builders (Specialized PEB Contractors) who

    will undertake the turnkey construction of our buildings with the same enthusiasm,

    attention to detail and transparency that we so much value.

    Interact continuously, formally and informally, with our Customers with the aim of fine-

    tuning our products, systems and procedures in a way that optimizes and simplifies our

    joint offering to End-users. Implement leading edge advanced technology whenever such technology results in a higher

    quality product, a faster order fulfillment cycle and a better overall value to our Customers;

    Comply with the latest U.S. design and building codes that are applicable to our products.

    Provide a level of service and transparent Customer engagement that is so untypical in our

    target markets.

    Develop the best technical literature in our industry with the aim of making our products

    the easiest to understand and the easiest to erect.

    Conduct regular technical orientation seminars to Consultants, Contractors and

    Government Approval Authorities to increase their awareness of our products, familiarize

    them with all the stages of the order fulfillment process and above all we will teach them

    how to specify more economical pre-engineered steel buildings and steel structures by

    becoming fully aware of the factors that affect their economy and speed of delivery

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    EMPLOYEE HANDBOOKHEAD OFFICE

    OUR EMPLOYMENT PHILOSOPHY

    We realize that our strength and future growth depend directly upon the contribution made by

    every employee of our Company. We also know that high productivity and efficiency result from

    individual job satisfaction and security.

    Our policy, therefore, will be to be frank, fair, and honest with every employee and to respect his

    rights as an individual. We shall continue to strive to achieve mutual respect in our working

    relationship at all times.

    To achieve these goals we will strive to provide:

    1. Qualified and experienced supervision in all work areas.

    2. Fair compensation and reward programs3. The opportunity to advance by development and training programs leading to increased

    knowledge and skill.

    4. Promotional opportunities based on your performance and ability communicated effectively

    within the Company.

    5. Prompt, courteous, and careful attention to employees' problems and questions.

    6. Safe, well-maintained, and healthful working conditions.

    7. Comprehensive human resources programs including wages, benefits, and working

    conditions.

    9Date of Issue: July -2008

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    EQUAL EMPLOYMENT OPPORTUNITY

    It is the policy and intent of Mabani Steel to provide equal employment opportunity without

    regard to race, creed, color, religion, national origin, sex, age, marital status, disability or

    veteran status.

    This policy applies to all areas of employment including recruitment, hiring, development,

    promotion, transfer, termination, layoff, compensation benefits, and all other conditions and

    privileges of employment in accordance with applicable UAE Federal Law.

    Mabani Steel is committed to provide a learning, working and social environment in which the

    rights and dignity of all its employees are respected. It is free from discrimination, prejudice,

    intimidation, and all forms of harassment.

    As Part of the Team

    As a member of Mabani Steel team, you will be expected to do your job well, and to contribute

    your talents and energies to improve the environment and quality of the Company, as well as the

    Company's products/services.

    You, as an employee of Mabani Steel, are a valuable asset of this organization. Your supervisor isvery important to your progress at the company; therefore, your day-to-day contact with your

    supervisor gives you a chance to receive guidance and counsel regarding your assignments and

    the progress you make on your job.

    Good Luck!

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    Date of Issue: July -2008Last Revision: April- 20091111

    CHAPTER

    ONE

    HEAD OFFICE EMPLOYEE HANDBOOK

    EMPLOYEMENT ATMABANISTEEL

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    1.1 DURATION OF YOUR EMPLOYMENT

    CONTRACT

    Once you join the team, you will receive a legal employment contract which specifies and set out

    the terms and conditions of your employment in details.

    The official employment contract is drafted in English and Arabic and governed in accordance

    with the Labor Law for unlimited period.

    You will be required to sign three copies of your contract. Human Resource department will

    provide you with one copy after obtaining attestation from authorities.

    1.2 RESIDENCE VISAPROCESSING

    You will be required to undergo medical tests for communicable diseases and finger print at

    police station to obtain a clearance certificate for criminal background.

    Company is responsible to process all work permits and residency permits for you at company

    cost including employment visa, medical, finger print, one way joining ticket ( for overseas

    recruitment) and other relevant costs. A residence visa is valid for a period of three years and is

    renewable after expiration of this period.

    If you terminates the employment contract before completion of one year of services with the

    company you will be obligated to compensate company the entire visa processing cost which

    were occurred during your employment & residence visa processing.

    1.3 JOINING

    PROCEDURES

    o Upon arrival, you will be asked to provide Human Resource department with some

    information and documents for the purpose of completing your personal file. In addition you

    will be required to fill HR relevant forms such as Employee Information Form and

    Beneficiary Letterfor the purpose of medical and life insurance coverage.

    o To finalize the processing of your residence visa, you are required to provide Human

    Resource department with your original passport, original employment visa which you

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    Date of Issue: July -2008Last Revision: April- 200913

    received at the airport and 16 passport size photographs with white background.

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    o You will be scheduled by Human Resource department to undergo medical test and police

    finger print which are final steps in processing your residency.

    o For the safety purpose, your original passport will be held under Human Resource department

    custody. You shall receive it when preparing for annual leave or at the time of separation.

    o As per company policy you are eligible to request for salary advance which may assist you in

    settling down and affording some of your initial expense. The amount of advance will be paid

    as per HR policies and management discretion and will be deducted from your first salary.

    1.4 PROBATIONARY PERIOD

    As stipulated in your job offer and employment contract, you will be under probation for the

    period of 3 months. The Probationary period starts from the first day of your employment with

    Mabani Steel.

    If you / company terminate the employment contract during the probationary period, you shall be

    entitled to payment of basic salary and over time (if any) until the last day of employment with

    the company.

    1.5 PERSONAL RECORD & FILE

    Keeping your personnel records current can be important with regard to pay, benefits,

    communications, and other matters. Please keep Human Resource department updated about any

    changes which may occur in your personal information such as:

    o Legal Name / Surname

    o Home address & Telephone number

    o Person to contact in case of an emergency

    o Marital Status & Number of dependentso Change of beneficiary

    Life insurance benefit and any other benefits that you or your family may receive could be

    negatively affected if the information in your personnel file is incorrect.

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    EMPLOYEE HANDBOOKHEAD OFFICE

    Human Resources Department maintains personnel files in the strictest confidence. All

    important job-related documents should be in the file, including:

    o job application and updated resume

    o offer of employment

    o Copy of educational Certificates ( if any)

    o job description for the position

    o performance appraisal form

    o forms relating to employee benefits

    o forms providing next of kin and emergency contacts and beneficiary letter

    o Employment certificates issued to employee during the employment

    o Leave record

    o Work place attendance record

    o Warnings and/or other disciplinary actions letters or forms and so on.

    1.6 PAYROLL PROCEDURES

    o Your supervisor is responsible for maintaining accurate and complete records of hours

    you worked and will forward your time card to Human Resource department before 24th

    of each month. Your overtime will be paid from 25th to 24th of each month.

    o You will be paid by cash or through bank between 1st

    to 5th

    of every month. If the

    scheduled payday falls in public holiday, every effort will be made to have your salary

    available on the preceding workday.

    o All required deductions will be withheld automatically from your salary and you will be

    notified by receiving your pay slip before 5th

    of every month.

    o Funds you owe to the Company will be deducted from your salary according to the terms

    and conditions agreed upon at the time of your advance or loan from the Company.

    o Please review your pay slip for errors. If you find a mistake, report it to Human Resource

    department immediately. HR personnel will assist you in taking the steps necessary to

    correct the error.

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    EMPLOYEE HANDBOOKHEAD OFFICE

    1.7 EMPLOYMENT OF FAMILY

    MEMBERS

    Mabani Steel has no prohibition against hiring any of your relatives but there are concerns that

    employment of relatives in the same area or department may impact departmental functioning.

    To minimize potential issues with regard to relatives working together, a family member should

    not have supervisory responsibilities for another family member. The family relationship should

    be disclosed before selection or hiring.

    1.8 HOURS & PLACE OF WORK

    You are required to work from Sunday to Thursday from 8 am to 6 pm including 30 minutes

    lunch break. Time spent proceeding from place of living to work place does not form part of the

    working hours.

    During the month of Ramadan, the working hours are reduced by 2 hours per day according to

    U.A.E Federal law.

    Your place of work is located in Ras Al Khaimah UAE but company may require you to work

    at any other location or traveling inside/outside UAE to fulfill your duties.

    1.9 LUNCH BREAK & CANTEEN

    AREA

    Mabani Steel has provided hygienic canteen area to be used by head office employees during

    lunch break. Please note that consuming food in office areas is strictly prohibited. Food

    must be consumed in the canteen only.

    Your food must be contained in sealed containers, placed in plastic bags and should

    stored in your workstation drawers to avoid smell from spreading and also to eliminate

    clutter in the offices.

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    After lunch all unused food should be discarded in the large trash cans provided in the

    canteen. The containers must be re-sealed and placed in the same plastic bags whose

    exterior should remain clean.

    If you order food to be delivered to Mabani Steel, you should make sure that the food is

    delivered directly to the canteen. The receptionist will not allow any food to be delivered

    to the head office.

    1.10 MOSQUE & ABLUTION FACILITIES

    Mabani Steel has set up Mosque and Ablution areas to meet Muslims expectations in praying

    times during working hours. These facilities are located next to canteen area and used only by

    gentlemen.

    The maximum time for each pray is 15 minutes; the employee should ensure that his direct

    supervisor is informed when he is gone for praying.

    1.11 APPLY FORA TELEPHONE LINE

    It can take from 30 minutes to two hours to process an application at ETISALAT (Emirates

    Telecommunication Services). ETISALAT is open from 8.00 am to 5.00 pm Sunday to

    Thursday.

    Following documents are required at the time of submission of your application:

    o a passport copy including UAE residence visa page

    o a copy of your Tenancy contract which must be under your name

    o Duly filled in form obtained from ETISALAT

    o Required fees by ETISALAT

    Further information can be obtained from: www .etis a la t.a e

    http://www.etisalat.ae/http://www.etisalat.ae/http://www.etisalat.ae/http://www.etisalat.ae/
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    1.12 OBTAIN A DRIVING

    LICENSE

    Once your residence visa is stamped in your original passport you will be able to apply for a

    driving license.

    The Police Traffic Department has made certain nationalities eligible to convert their driving

    license upon obtaining UAE residency. For further information in this regard you may contact

    Traffic Department directly.

    Note: an International Driving License is valid for use ONLY up to the date on which you

    obtain your Residence Visa.

    Following documents are required by Police Department at the time of submission of your

    application:

    o One passport copy including UAE residence visa page

    o Four passport size photographs with white background

    o Police certificate to be issued from the Finger Printing Police Center

    o No Objection Letter from the Sponsor to be requested from Mabani Steel

    To obtain further information on above, please feel free to contact HR department any

    time.

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    CHAPTER

    TWO

    HEAD OFFICE EMPLOYEE HANDBOOK

    CODE

    OF

    CONDUCT

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    It is the policy to observe that all U.A.E laws & regulations are applicable to the company. All

    employees are expected to demonstrate high standards of business ethics and

    professional integrity.

    Employees are the companys representatives and it is expected that they should fully comply

    with the law and perform in a manner that reflects favorably on the companys reputation.

    2.1 DRESS CODE & APPEARANCE AT WORK

    The Company's objective in establishing a business casual dress code is to allow our employees

    to work comfortably in the workplace. Yet, we still need our employees to project a professional

    image for our customers, potential employees, and community visitors. Business casual dress is

    the standard for this dress code.

    Because all business casual clothing is not suitable for the office, below guidelines will help you

    determine what is appropriate to wear at work.

    o Clothing that works well for the beach, yard work, dance clubs, exercise sessions, and

    sports contests may not be appropriate for a professional appearance at work.

    o Clothing that reveals excessive cleavage, back, chest, feet, stomach or undergarments is

    not appropriate for a business setting.

    o Clothing should be pressed and never wrinkled. Torn, dirty, or frayed clothing is

    unacceptable.

    o All seams must be finished. Any clothing that has words, terms, or pictures that may be

    offensive to other employees is unacceptable. This includes images that are political or

    religious in nature, are sexually provocative, use profanity or are insulting of other

    employees. Clothing that has the Company logo is encouraged.

    2.2 DRESS DOWN DAY

    Thursdays have been formally designated by the Company as a dress down day. On this days

    jeans and other casual approach to dressing, although never potentially offensive to others, are

    allowed.

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    2.3 ATTENDANCE &

    TARDINESS

    On time attendance is an expectation of all employees. Daily attendance is especially important

    for employees whose customers and coworkers have the expectation of on-time delivery of

    services.

    o Emergency personal time is made available to you for unscheduled events as personal

    illness, immediate family member illness, doctor appointments and etc which must be

    approved by department head before you leaves the workplace.

    o By the end of each month, your attendance report will be monitored by Human Resource

    department to ensure completion of required working hours.

    o There will be a salary deduction if you attend the workplace later than normal workinghours, unless missed times is made up later.

    o If you are late and are not able to be present at the workplace on time, you must youre

    your direct manager /supervisor not later than sixty minutes after the start of normal

    working hours. If the supervisor/ manager are unavailable, you may leave a message with

    a phone number where you can be reached with the receptionist. Failure to call is

    considered leave without pay.

    o When possible, within the normal schedule, you may make up any time missed during the

    week in which the time was missed. You must have the permission of your department

    manager to make up time and Human Resource department should be informed.

    o Where a time attendance machine is available, you are required to punch in /out on daily

    base.

    o If you miss a punch, you should inform Human Resource department immediately,

    otherwise you will be considered absent from work.

    Life events can interfere with work attendance. However, in order to operate the business in an

    orderly and efficient manner, employees need to use as few emergency personal hours as are

    necessary and to avoid absenteeism.

    Disciplinary action will be taken against an employee who overuses emergency personal time and

    unscheduled leave.

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    2.4 PREVENTAION OF BULLYING IN COMPANYS

    PREMISES

    Workplace bullying which can be defined as the repeated less favorable treatment of a person by

    another or others in the workplace or company accommodation, which may be considered

    unreasonable and inappropriate workplace practice, is strictly prohibited. It includes behavior that

    intimidates, offends, degrades or humiliates your co-worker, roommate or supervisor.

    Bullying behaviors can be verbal, physical, social or psychological (including offensive messages

    through the use of SMS and email).

    Mabani Steel is committed to ensure that all employees are treated with dignity and respect. This

    will be Human Resources department responsibility to takes proper action to prevent and respond

    to bullying in workplaces in accordance with Federal Law and companys objectives and policy.

    Your direct supervisor is responsible to ensure that appropriate instruction and information are

    provided to you to support this policy and promote your awareness on the standard professional

    behaviors and respect towards others.

    2.5 ALCOHOLIC BEVERAGES & ILLEGAL

    DRUGS

    The possession, consumption or sale of alcoholic beverages in workplace and or company

    accommodation is strictly prohibited

    Alcoholic beverage" includes alcohol, spirits, liquor, wine, beer, and every liquid or solid

    containing alcohol, spirits, wine or beer, and which contains one-half of 1 percent or more of

    alcohol by volume and which is fit for beverage purposes either alone or when diluted, mixed, or

    combined with other substances Similarly, illegal drugs are prohibited on the company premises.

    If you are found under the influence of illegal drugs or found buying, selling or possessing

    narcotics on the companys premises you will be immediately dismissed.

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    2.6 SEXUAL

    HARASSMENT

    Sexual harassment occurs when one employee makes continued, unwelcome sexual advances,

    requests for sexual favors, and other verbal or physical conduct of a sexual nature, to another

    employee, against his /her wishes. Sexual harassment can occur in a variety of situations.

    o The employee harassing another employee can be an individual of the same sex.

    Harassment does not imply that the perpetrator is of the opposite sex.

    o The harasser can be the employee's supervisor, manager, customer, coworker or supplier.

    o Any individual, who is connected to the employee's work environment, can be accused of

    harassment.

    o The victim of the harassment is not just the employee who is the target of the harassment.

    Other employees who observe or learn about the harassment can also be the victims.

    Anyone who is affected by the conduct can potentially complain of sexual harassment.

    If you experience harassment at workplace, you must ask the perpetrator to stop, that the

    advances or other unwanted behaviors are unwelcome.

    If you feel it necessary, you may complain to your direct supervisor / the Human Resources

    department for an immediate investigation.

    The company has legal, ethical and employee relations obligation to thoroughly investigate the

    charges and take action accordance with the federal law.

    2.7 CONFIDENTIAL

    INFORMATION

    Confidential information belonging to the company which you may obtain in the course of

    employment must not be disclosed to persons outside the company nor used for ones own

    personal benefit or for the benefit of others during and after employment.

    You are under contractual agreement not to divulge information about the organizations

    business, customers, products, services, systems, businesss plan, or any other confidential

    matters.

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    The above are a set of general guidelines. You are encouraged to refer queries to your supervisor

    or Human Resource department to seek clarification and guidance in specific cases whenever you

    are in doubt.

    2.8 PERSONAL PROPERTY

    The company provides you with requires facilities such as closet to keep your personal property.

    The company does not accept responsibility or make reimbursement for lost or stolen property.

    The valuables shall be kept in lockers or take away to ensure their safety.

    2.9 COMPANY PROPERTY

    In case of termination of your employment contract, you shall return the company property such

    as files, documents, equipments, vehicle and whatsoever which may be in your possession relate

    in any way to the business or affairs of the company. The company property shall be retained

    prior to the financial settlement with the company.

    2.10 CUSTODIAN OF PERSONNEL FILES

    The human resource department is the custodian of personnel files. You must ensure that your

    Human Resource department is advised of the changes in your personal status.

    Up to date information will assist Human Resource department to contact the right person is case

    of any emergency.

    The following information should always be current in your personal file:

    Your address and telephone number

    Marital status and children

    Beneficiary personal details and copy of his/her identity card

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    2.11 EMAIL

    POLICIES

    These following policies must be complying by you when provided with access to certain internet

    and intranet services of the company, including email, computer and laptop.

    A. COMPANY EMAIL ADDRESS

    IT department will create an email address to assist you for performing business related

    activities. The company email usage is given only for business related activities and not for

    your personal use.

    The email account and all information transmitted through your email account are property of the

    company and shall be considered to be companys records.

    The contents of the company email account shall be accessible to the management at all the times

    if required without giving any notice to you.

    B. PROHIBITED EMAIL CONTENT

    You are not permitted to transmit any email over the company systems that contain an illegal,

    defamatory, insulting, vulgar, rude, disruptive, offensive, harmful or immoral content.

    Prohibited transmissions include but are not limited to sexually explicit or sexually oriented

    materials, cartoons or illustrations, jokes, romantic oriented materials, anything that could be

    deemed to be sexually harassing , any sexual innuendos or references, propositions of love,

    whether wanted or unwanted , ethnic or racially oriented references or slurs, or any other

    materials that could be considered by the recipient to constitute sexual harassment or harassing or

    disparaging based upon sex, sexual orientation , race, ethnicity, national origin or religious or

    political beliefs or practices.

    2.12 INTERNET ACCESSPOLICIES

    The company offers internet services as an operational tool if the nature of your job requires.

    It is the philosophy of the company that these services can be used to enhance the productivity of

    employees and further the efficient accomplishment of tasks that benefit the business and

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    A. PROCEDURE FOROBTAINING INTERNET ACCESS

    The followings are the procedures for obtaining approval of internet access using the companys

    facilities:

    1. You should submit a request through email or written letter for internet access. The requestshould include a description of the valid reason why internet access is necessary to fulfill

    your job functions as well as the scope of access that is being requested.

    2. The completed request must be sent to IT department with your department heads

    approval.

    3. IT department shall provide the access after reviewing the request and consult your

    departments head if required.

    B. RESTRICTIONS ON USE

    Any access to internet which is approved will be subject to the following policies and conditions

    whether or not they are referenced in any approval for access.

    o Approval granted shall be deemed to impose certain responsibilities on you.

    o No access shall be for personal reasons or personal browsing. Access shall only be

    permitted within the parameters for which approval was granted.

    o Access in only permitted for reasonable business purposes and for furthering the

    interests of the company.o The company has right to monitor and inspect the computer systems, history files, and

    other aspects of the companys computers and communication using property of the

    company.

    o These policies shall apply equally to all employees use of internet and computer

    technology.

    C. SECURITYOF INFORMATION

    You should use internet with sensitivity to the need to protect confidential and proprietary

    information of the company.

    You must always assume with regard to each transmission of data, that the internet does to

    provide adequate measures to protect the security and confidentiality of items that are

    transmitted.

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    You must take all steps necessary to protect the confidential, proprietary and trade secret

    information of the company.

    2.13 GENERAL CODE OF CONDUCT

    Active involvement in outside organizations (social, political, etc.) which may influence your

    performance negatively should be disclosed and whenever practicable must be avoided.

    Under no circumstances should you accept or offer any form of commission or bribe, in cash or in

    kind.

    You must not be involved in any situation that may result in conflict of Interest in order to

    ensure that you have not obtained any personal benefit at the cost of the company.

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    CHAPTER

    THREE

    HEAD OFFICE EMPLOYEE HANDBOOK

    COMPENSATION, BENEFITS &

    GRADING STRUCTURE

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    GRADES

    Date of Issue: July -2008Last Revision: April- 200928

    3.1 GRADING STRUCTURE AT MABANI STEEL

    Mabani Steel grading structure is a formal numeric organization of Twenty (20)

    Grades.

    In order to recognize different levels of job performance and to provide necessary flexibility in

    administrating salaries in special situations and because of great difference in performance from

    minimum to maximum levels, Four (4) Ranksare considered for each grade from grad one to

    grade fifteen. (See below table)

    HIGHEST

    20

    19

    18

    17

    16

    15

    14

    13

    12

    11

    10

    9

    8

    7

    6

    5

    43

    2

    1

    LOWEST D C B A HIGHEST

    RANKS

    Each grade and each rank within a grade reflects a distinguishable difference in pay for

    the job. You shall have a grade allotted to you and your compensation and benefits shall be in

    accordance with the grade and rank you are in. You shall be notified about your grad and rank by

    your direct supervisor.

    Depending upon annual performance review and recommendation of department head, you can

    be upgraded or achieve higher rank within your grade accordingly

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    3.2 EMPLOYEESCONTRACT STATUS

    As stipulated in your employment contract, depend on your grade and rank; you will be eligible

    to one of the following status:

    1. FAMILY STATUS

    If you are eligible to family status, company will provide you the following privileges:

    o Company will bear the cost of visa processing including one way joining economy class

    air tickets for you, your spouse and two kids under age of 18.

    o You, your spouse and two kids under age of 18 will be covered under Medical insurance

    scheme as per the company policy.

    o You, your spouse and two kids under age of 18 will be eligible to round trip economy-

    class tickets annually to your place of origin.

    2. MARRIED STATUS

    If you are eligible to married status, company will provide you the following privileges:

    o Company will bear the cost of visa processing including one way joining economy class

    air tickets for you and your spouse.

    o You and your spouse will be covered under Medical insurance scheme as per the

    company policy.

    o You and your spouse will be eligible to round trip economy-class tickets annually to your

    place of origin.

    3. SINGLE STATUS

    If you are eligible to single status, company will provide you the following privileges:

    o Company will bear the cost of visa processing including one way joining economy class

    air tickets only for you.

    o You will be covered under Medical insurance scheme as per the company policy.

    o You will be eligible to round trip economy-class tickets annually to your place of origin.

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    3.3 SALARY STRUCTURE & COMPENSATION

    Consistent with the grading policy and maintaining an equitable package of salary and

    allowances to reward individuals for their performances, the remuneration plan is defined

    as follow:a) Basic Salary

    The amount of basic salary is administrated according to the market data and annual budget. The

    amounts for different grades are illustrated in Mabani Steel Salary Scale Matrix available in

    Human Resource department to be used as a reference by management. The illustrated data may

    change from time to time as per company policy and management discretion.

    b) Housing Allowance

    As per Company policy a 50% of basic salary is paid as housing allowance to employee works in the

    area sales offices in Qatar, Abu Dhabi or Dubai versus 25% of basic salary paid to employee works in

    any other location.

    If company relocates an employee, his/her housing allowance will be changed

    accordingly.

    c) Transportation Allowance

    Transportation Allowance is given to an employee to offset his/hercost oftransportation

    from his home to the workplace.

    Transportation allowances are different based on grade and ranks between each grade. The

    amount of transportation allowance is illustrated in Mabani Steel Salary Scale Matrix and may

    changes occur from time to time as per company policy and management discretion.

    3.4 ANNUAL AIR

    TICKET

    As specified in your employment contract, depend on your grade and rank; you are eligible to a

    roundtrip economy-class air ticket(s) every 11 months of your services with the company.

    If you are employed as Receptionist/ Telephone Operator/Secretary/Coordinator/Office boy and

    /or Driver; you are eligible to a roundtrip economy-class air ticket every 18 months of your

    services.

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    3.5 INSURANCE

    SCHEMES

    A. LIFE INSURANCE

    Mabani Steel covers all employees under life insurance scheme to protect their dependents

    from financial loss related to employees death.

    If you pass away during your employment with the company, your beneficiary will be eligible to

    receive compensation equal to 24 times of your last basic salary, provided that the amount of

    compensation shall not be less than AED 50,000/-(Dirham).

    You must ensure that the Beneficiary Letter, Employee Information Form and other

    necessary documents such as your beneficiary passport copy are provided to HR department for

    such incident.

    God Bless You

    B. MEDICALINSURANCE

    All employees of Mabani Steel are covered under Medical Insurance Scheme. Human Resource

    department shall ensure that proper guidelines and list of covered hospitals, clinics and

    pharmacies are provided to employees.

    If you wish to include any of your dependents whom are not eligible to be covered by the

    company, you may do so and take the advantage of the group medical insurance rate. The annual

    premium will be deducted from your salary.

    3.6 CLINIC

    FACILITIES

    Mabani Steel has made a contract with a professional clinic center to provide clinic facilities for

    its employees within the companys premises. The purpose of the clinic facility is to provide

    excellent care to employees who earn less than AED 3000/- monthly salary.

    o The clinic is operational Saturday to Thursday from 8am to 7pm. A doctor will be

    available from 8am to 12pm every day only and from 12pm to 7pm there will a qualified

    nurse assigned by doctor to represent the clinic.

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    o On Friday, public holidays or non working hours of clinic, emergency cases will be

    referred to the government hospitals.

    o Camp supervisor is responsible to provide a vehicle when a patient is referred to the

    hospital.

    o Except emergency cases, when an employee needs to visit the clinic, he should obtain

    request form from his department signed by authorized person.

    o There will be certain amount of deduction (currently AED 10/-) from employees

    monthly salary, if employee uses clinic facilities for non emergency cases.

    3.7 OVERTIME

    If you are called upon to work beyond the working hours, on weekends or public holidays, you

    will be eligible for over time as per Federal Law and companys policy. Supervisory &

    Managerial positions are not entitled for overtime.

    In the interest of control, all overtime worked shall be recorded on a daily basis. The manager /

    Supervisor are responsible for ensuring that overtime work is adequately supervised and properly

    recorded.

    The overtime record must be sent to HR department with department heads approval before 22nd

    of every month. Human Resource department will necessary action in the payroll accordingly.

    3.8 MOBILE

    ALLOWANCE

    Subject to management approval, the mobile allowance may be paid to you as operational tool if

    the nature of your job requires. The amount of mobile allowance will be decided at the time of

    request as per latest practices and will be paid in cash subject to department heads approval.

    3.9 PETROLALLOWANCE

    If the nature of your work involves daily business trips, you may claims petrol allowance against

    provided original invoices.

    The claim should be approved by department head before sending to Finance department for

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    3.10 COMPANY

    VEHICLE

    If the nature of your work requires daily business trips, company may provide you with a vehicle

    as an operational tool.

    The vehicle is considered to be a business tool for official use only and does not form as part of

    your salary or benefit package.

    If you are provided by companys vehicle, when proceed on vacation, the vehicle must be handed

    over to Human Resource department. It is Human Resource department responsibility to optimize

    the use of the vehicle by reallocating it across the company as required.

    Notes:

    2. Smoking in companys vehicle is not allowed.

    3. You will be responsible for any accident or fine.

    4. If company provides vehicle, no transportation allowance will be paid to you.

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    4.1 RECOGNITION PROGRAMS

    Formal recognition programs including bonuses, incentive plans and non-monetary awards offer

    methods to effectively motivate and retain valued employees who provide exemplary

    performance and/or meet specified targets. These programs are intended to reward staff

    employees whose achievements have resulted in a particular benefit to the company.

    4.2 DEVELOMENT OF PLAN

    For incentive plans, the department heads must develop specific targets to be achieved. Goals and

    pre-established criteria are essential under this type of plan.

    Your direct supervisor /manager will clearly communicate to you what the expectations are and

    the outcome for the incentive period.

    To enable supervisors / managers develop performance work plan; Human Resource department

    has developed a Performance Appraisal Handbook apart from Chapter 6 of this policy to be used

    as guidelines by employees including managers, supervisors and their subordinates.

    The performance Appraisal Handbook provides employees with comprehensive information andanswers their questions in regard of performance management system.

    4.3 TYPES OF

    AWARDS

    Mabani Steel has designed two types of awards for its employees:

    a) Monetary awards such as Bonus (only for Sales team)

    b) Non-Monetary awards such as:

    o Appreciation certificate which will be designed and issued by HR department

    as per department head request based on outstanding performance of an

    employee.

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    o Career development opportunities which will be provided to employees

    through training & development programs, job promotion and job rotation.

    Note:

    Informal recognition of employees should take place every day. Saying " thank you" to employee

    and complimenting an employee on a job well done are part of the responsibilities of managers

    and supervisors.

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    CHAPTER

    FIVE

    HEAD OFFICE EMPLOYEE HANDBOOK

    LEAVEPOLICY AT

    MABANISTEEL

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    5.1 TYPES OF LEAVES

    The objectives of this policy are to inform you about different type of leaves and what the

    procedures are when you plan to take leave or resume the work once leave days are over.

    Leave refers to the days which you do not attend the workplace or does not perform for the

    company.

    A. VACATION LEAVE

    As per your employment contract, you are entitled to 30 days vacation leave every 11 months of

    your services with the company.

    If your job title is Receptionist / Telephone Operator/Secretary / Coordinator and/ or Driver, youwill be eligible to 45 days vacation leave every 18 months of your services.

    Important Notes:

    o Mabani Steel encourages you to take the full vacation entitlement every 11/18 months of your

    services.

    o Encashment of vacation days entitlement is discouraged unless under certain circumstances

    the president approves the encashment where your presence at work is necessary.

    o Public holiday announced by government authorities fall within vacation days are not

    considered as part of vacation days and will be credited in your account.

    o Sick days fall within vacation days shall be considered as part of the vacation days and no

    additional days are granted for these days.

    o Fridays & Saturdays are considered as weekend. These days if fall within vacation days will

    be considered as part of vacation days.

    o The first Friday & Saturday of vacation days will not be counted as part of leave days if you

    attend the work on last Thursday before starting your leave.

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    o The last Friday & Saturday of vacation days will not be counted as part of leave days if you

    resume the work on the last Thursday of your vacation days.

    o If you overstays, days which are not approved will be considered as leave without pay.

    o If overstay is due to a valid reason and approved by department head, such circumstances will

    be treated as extension to the leave with full pay provided the you have sufficient leave

    balance to cover overstay period.

    B. SICKLEAVE

    Mabani Steel grants sick leave to its employees in accordance with the provisions of the UAE

    Federal Law and company policy.

    You are eligible to 90 days sick leave in respect of every year of services. Such leave shall be

    calculated as follows: The first 15 days on complete salary Next 30 days on half salary Any subsequent periods shall be considered as leave without payo No salary shall be payable during sick leave if the illness is the direct result of your

    misconduct. (Having consumed alcohol or narcotic drug).

    o If you are absent, you will be required to provide a doctors certificate.

    o If no valid certification is submitted, the respective leave period will be considered as

    leave without pay.

    o After resuming to duties you are given two days to forward necessary documents to HR

    department attached with leave application signed by direct supervisor/ manager.

    C. ACCIDENT LEAVE

    If you sustain an accident or catch and occupational disease during working hours where preventsyou from carrying out your duties, during the treatments period you will be entitled to following

    leave days:

    o The first six months with full pay

    o the second six months with half pay

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    If your recovery takes longer than a year, Human Resource department will have the

    responsibility of liaison with authorities to terminate your employment contract.

    D. MATERNITYLEAVE

    In accordance with the provision of UAE Federal law, a female employee shall be entitled to

    maternity leave with full pay for a period of 45 days including the period preceding and the

    period following her confinement, where she completed one year of her services with the

    company.

    If the service period is less than one year then she shall be entitled to maternity leave with half

    pay.

    LEAVE OF ABSENCE

    In the event that you run out of leave balance, unpaid leave will be allowed at the companys

    discretion. Such leave will break the continuity of employment and will reduce the number of

    days of service when calculating end of service benefits.

    E. HAJLEAVE

    If you are Muslim, you shall be granted to 30 days Haj leave once in the course of your period of

    services with the company.

    Haj leave is special leave without pay for the purpose of fulfilling the obligation to make the

    pilgrimage; such leave will not be counted towards any other periods of leave.

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    5.2 LEAVE PROCEDURES

    For all types of leaves the following procedures must be followed:

    1. According to the departmental leave plan, you may duly fill a leave applicationformand forward it to Human Resource department with your department heads approval.

    Departmental manager should monitor proposed leave plans to ensure operational

    effectiveness is maintained.

    2. Human Resource department will scrutinize your leave entitlement and will advise if

    your requested days are more than your vacation balance days.

    3. A Work Resumption Form must be sent to Human Resource department with

    departments approval within 24 hours after you resume to work.

    4. You are responsible for promptly notifying the company of any circumstances which may

    delay your return from leave.

    5.3 VACATION AIRTICKET PROCEDURES

    At the time of leave application submission where you are eligible to obtain an annual air ticket

    the following procedures must be followed:

    1. The part of Request for annual air ticket in leave application must be filled and

    submitted to Human Resource Department 30 days prior to leave date.

    2. You must inform Human Resource department about your desire departure and arrival

    dates at the time of request.

    3. The annual air ticket will be booked by Human Resource department through

    management approved travel agencies and will be provided to you two weeks prior to

    your departure.

    4. If you are on Married / Family status, air tickets shall be provided to you, spouse and

    your dependents based on your request at the time of leave application submission.

    5. If you are on single status, you may request Human Resource department to purchase a

    ticket for your dependents at the time of request. The cost of additional air tickets will be

    deducted through payroll.

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    6. If you cancel or changes the air tickets departure date, after the ticket has been

    purchased, you will be responsible to pay any charges related to change.

    7. You may request a ticket to a destination that is different from your declared city of

    origin. In such case Human Resource department will determine the cost of the ticket for

    both your city of origin and the requested city, on the date of departure. The cost

    difference will be credited to or deducted from your salary.

    8. If you are willing to take vacation leave locally and wish to receive cash instead of air

    ticket, Human Resource department will arrange to pay you as per the given rate by

    approved agency on the request date.

    9. Managerial positions and above are eligible to receive cash equal to approved air fares to

    their place of origin from UAE.

    5.4 PUBLIC HOLIDAYS

    As per UAE Labour Law, all the employees are entitled to below official public holidays with full

    pay. For the purposes of planning your work please keep these tentative holiday dates in mind.

    1. 1st

    January New years day

    2. 10th

    January Al Hijra (Islamic New Year)

    3. 20th

    March Mouloud( Birth of Prophet)

    4. 30th

    July Leilat al-Meiraj (Ascension of Prophet)

    5. 2nd

    October Eid Al Fitr (End of Ramadan)

    6. 2nd

    December National day

    7. 9th

    December Eid al-Adha (Feast of the scarifies)

    8. 29th

    December Al-Hijra ( Islamic New year)

    The actual holidays will be announced by the government through local news papers and will be

    circulated by HR department accordingly.

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    CHAPTER

    SIX

    HEAD OFFICE EMPLOYEE HANDBOOK

    BUSINESS TRIP

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    Department

    Head

    President /

    Vice President

    Inside country Yes No

    Yes Yes

    Date of Issue: July -2008Last Revision: April- 200944

    A business trip occurs when you are required to travel for fulfilling your duties. Business trip

    starts when you leave your house or workplace for this purpose and ends when you arrive to your

    base.

    6.1 PROCEED A BUSINESS TRIP

    a) Appropriate approvals for business trip shall be obtained as per below matrix:

    Destination

    Outside country

    b) Prior to the business trip, you must fill a Business Trip Requisition Form and send to

    Human Resource department with appropriate approvals.

    c) For international trip, you must submit the Business Trip Requisition Form minimum 21

    days prior to your trip; hence Human Resource department will be able to take necessary

    actions for obtaining a visa entry, arrangement of hotel accommodation and ticket booking

    promptly.

    d) You will be allowed to extend the business trip for personal purpose with following

    conditions:

    No extra charges or fees will be paid by company for the extension period

    Your annual leave balance allows for such extension

    The extension must be approved by department head.

    e) If you become ill during business trip, the regular expenses shall be paid during sick days

    provided that you present acceptable medical reports and documents indicating the nature

    and duration of the illness. Medical expenses and hospitalization costs shall be paid by the

    medical insurance, if covered by the policy, or shall be provided by the Company.

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    6.2 ARRANGMENTS OF HOTEL AND AIRTICKET

    Based on submitted Business Trip Requisition Form, Human Resource department will provide

    you with air a roundtrip economy class air ticket and will make reservation for a standard hotel

    accommodation. In addition, Human Resource department will assist you to obtain a visit visa for

    the country to be visited.

    6.3 PER DIEM & REIMBURSEMENT OF EXPENSES

    HR department will identify and decide the required per diem for each business trip based on cost

    of living and currency of the region where you will visit.

    Per Diem covers expenses such as food, taxi and etc. excluding hotel, air ticket and visa

    expenses. You shall receive the per diem prior to your trip.

    The following types of expenses are not included as part of per diem and shall be compensated

    against original bills/receipts:

    o Excess baggage resulting from excess cargo related to business items

    o Items purchased for business related matters

    o Customs paid/taxes on business related items

    6.4 PROCEDURED OF EXPENSES

    CLAIM

    The following procedures should be followed when you return from business trip:

    o A Work Resumption Form must be filled and send to Human Resource department.

    o You must provide Finance department with a filled and approved Claim Form- Finance

    along with expense claims for the purpose of reimbursement and should settle the travelclaims (if any) within 5 working days from the date of return.

    o All expenditure must be supported by original invoice/receipts, except for per diem

    allowances.

    o Photocopies are not valid supporting documents. Even when claiming for telephone

    expenses, the original bill is required.

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    EMPLOYEE HANDBOOKHEAD OFFICEo Credit card statements are not invoices and are not valid supporting documents

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    CHAPTER

    SEVE

    N

    HEAD OFFICE EMPLOYEE HANDBOOK

    TERMINATION OF

    EMPLOYMENT

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    7.1 TERMINATION OF

    CONTRACT

    An employment contract can be terminated by employee or the company provided that the

    provisions of the law are observed. Mabani Steel may dismiss an employee without notice in any

    of the following cases:

    If employee adopts a false identity or nationality or submits forged certificates or

    documents.

    If employee is engaged on probation and is dismissed during the probationary or on its

    expiry.

    If employee makes a mistake resulting in substantial material loss for the company.

    If employee disobeys instructions respecting industrial safety or safety of work place or

    does not perform his/her duties.

    If employee discloses any confidential information to a third party.

    If employee is found in a state of drunkenness or under the influence of a drug during

    working hours.

    If employee assaults his supervisor/ manager or any of his workmates.

    If the employee is absent from work without a valid reason for more than seven

    consecutive days or more that 20 non-consecutive days.

    1.2 NOTICE PERIOD

    As stipulated in employment contract the duration of notice is considered 30 days from the time

    of termination. The employment contract shall continue to be valid throughout the period of

    notice and will be expired on the end of notice period.

    If employee is on probationary period, one week notice period may be required by

    management. The company or the employee may agree to reduce or increase the period of

    notice.

    If employee fails to give the notice of the termination of employment contract or reduce the

    period of notice without obtaining managements approval, he/she will be obligated to pay

    compensation to the company called compensation in lieu of notice which is equal to

    employees remuneration in respect of entire notice period.

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    7.3 END OF SERVICE BENEFITS

    End of service benefits shall be paid based upon legal and contractual provisions for termination

    of services as follows:

    Salary up to and including the last working day.

    Accrued vacation leave until last day of notice period.

    Severance pay will be paid to employee if he /she has completed a year of services

    If company terminates the services of an employee; the severance pay will be calculated and

    paid to terminated employee as follow:

    Length of Services Severance pay

    Less than one year NIL

    Between 1 to 5 years 21 days of basic salary for each year of services

    5 years and above21 days of basic salary per year for the first 5 years and 30 days

    basic salary per year for each subsequent year.

    If employee terminates his employment contract and resigns; the severance pay will be calculated

    as follow:

    Length of Services Severance pay

    Less than one year NIL

    Between 1 to 3 years 7 days of basic salary for each year of services

    Between 3 to 5 years 14 days of basic salary for each year of services

    5 years and above21 days basic salary per year for the first 5 years plus 30 days basic

    salary for each subsequent days.

    Important Notes:

    o If employee has taken vacation leave more than his accrued entitlement at the time of

    termination, the company shall make an appropriate adjustment from the employees

    final settlement.

    o The days of absence from work or leave days without pay will not be included in

    calculating the period of services.

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    7.4 EMPLOYEE EXIT

    PROCEDURES

    Upon the termination of contract, the employee must follow below procedures prior to his

    departure:

    o Provide Human Resource department with a Clearance Form which declares that

    employee has returned company properties, handed over his/her tasks to designated

    successor and has no outstanding loan/ amount with the company.

    o The clearance form must be signed by relevant departments head before forwarding it to

    Human Resource department.

    o Human Resource department will be able to release employees dues only after receiving

    signed Clearance Form.

    o Employee should contact Human Resource department for visa cancellation, receiving

    his/her dues and further formalities.

    o A Service Certificate will be issued to employee by Human Resource department upon

    request detailing the most recent position held and period of total service.

    7.5 EXIT INTERVIEW

    The exit interview provides Mabani Steels management with opportunity to obtain information

    about where the organization is doing well and where rooms for improvement are.

    Human Resource department will arrange an exit interview with key positions prior to their

    departures. The interview will be conducted by HR department through face to face interview or

    separated employee will be required to fill the Exit Interview Questionnaire.

    The employee has right to decline the exit interview and the company should respect his

    decision.

    7.4 REPATRIATION

    Once an employment contract is terminated by either party, the company will make necessary

    arrangement to return employee and his/her dependents (if any) to the district from where he/she

    was recruited or to any other place agreed upon between employee and management.

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    If employee is provided by companys accommodation, he/she should vacate companys

    premises by end of notice period.

    7.3 DEATH OF EMPLOYEE

    If an employee dies during his/her services, the company will provide every support to his/her

    family members and will ensure that his/her beneficiary will receive the amount of life insurance

    and /or any final dues.

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    CHAPTER

    EI

    GH

    T

    HEAD OFFICE EMPLOYEE HANDBOOK

    PERFORMANCE

    APPRAISAL

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    8.1 APPRAISAL

    OBJECTIVES

    The objectives of Mabani Steel Performance Appraisal system are to assess your performance for

    the purpose of judgments and making decisions about your status with the company such as

    retention, advancement and termination as well as determining job expectations, assessing

    training needs, identifying potentials and career planning with the company.

    The department heads may use appraisal procedures to:

    o Assess your potential for future jobs and suggest appropriate training and development

    programs.

    o Design and implement merit and incentive program

    o Determine whether you receive appropriate compensation for your particular functions

    and positions in the organization.

    o Identify and modify dysfunctional work behavior.

    o Provide documented evidence to support disciplinary and termination actions.

    8.2 APPRAISAL TIMEFRAME

    This is the responsibility of our direct supervisor/ manager to appraise your performancein following occasions:

    Upon completion of probationary period

    Every six month or twelve month of employment.

    If the duties of the position are substantially changed during the established appraisal

    period.

    HR department recommends the Time Frame for completion of performance appraisals

    November 1st

    of each year through December 15th

    where employee has completed a year

    of services with the company.

    The following up the performance review may be conducted in June or July. This is an informal

    review where you and your supervisor will discuss your progress toward the goals.

    It is also an opportunity to discuss whether goals have changed in priority or whether new goals

    and priorities have emerged. The supervisor may want to document this activity with a few notes

    on a copy of the appraisal form.

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    8.3 APPRAISAL PROCESS

    This process serves to implement the companys annual performance review and evaluation

    process for individuals. For the purposes of this procedure, all employees who meet the eligibility

    requirements for the review cycle will be included.

    a) Week 1-2

    Human Resource department will distribute preliminary data on employees eligible for review to

    managers and supervisors with direct reports. This will be accompanied by

    Performance Appraisal Form, Employee Status History, Employees Annual Training

    Plan Formand timelines for completion for all eligible employees.

    b) Weeks 3-4

    Supervisors/direct managers and their direct reports will then meet to lay out their respective

    action plans for conducting the review, distribute forms and direct the completion of the reviews,

    including employee acknowledgements, and the re- assembly of all completed reviews for a final

    audit and to be returned to Human Resource Department.

    Department heads are required to provide HR department with Employees Annual Training

    Programs.

    c) Weeks 5-6

    Human Resource department will review all submitted materials to ensure that all employees

    have been accounted in review process.

    8.4 APPRAISAL

    FEEDBACK

    After completing appraisals supervisors/ direct managers need to communicate the results of

    appraisal with their subordinates to give them a clear understanding of how they stand in the eyes

    of their managers and the organization.

    The appraisal feedback interview provides an opportunity to clear up any misunderstandings in

    both sides. In this interview the manager should focus on counseling and development and not

    just tell the employee here is your rate and why.

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    8.6 APPRAISAL METHODS

    The following appraisal methods are considered to be used by Mabani Steel management:

    1. Rating Scale Method: This method is a performance appraisal form on which the

    manager simply checks off the employees level of performance in areas such as quantity

    of work, quality of work, dependability, judgment, attitude, cooperation, and initiative.

    There are two different appraisal forms are designed for office staff (white color category) and

    workers (blue color category).1

    2. 360 degree methodto be implemented through company intranet in near future.

    This method is the most recent and very comprehensive which will provide feedback from

    the full circle of people with whom the employee interacts. Also it is more effective inidentifying strengths and weaknesses of employees performance.

    This method will be used only by office staff (white color category) with computer skill

    and access to intranet.

    HR department will provide office staff with the necessary training program at the time of

    implementation.

    3. MBO2

    Method: This method specifies the performance goals that an individual and his

    manager agree to attain within an appropriate length of time. Each manager may setsobjectives derived from the overall goals and objectives of the organization.

    3

    8.7 EMPLOYEESCHANGE OF STATUS

    A. SALARYINCREASE

    Mabani Steel rewards individuals by increasing their compensations based on successful results

    of their performance appraisal and the approved budget every 6/12 months.

    Larger merit increases are awarded to those who consistently exceed performance standards.

    Increases are not granted to employees whose performance has been rated unsatisfactory overall.

    1Appendix 16

    2Management By Objectives

    3To obtain more information about MBO method, please see Performance Appraisal Handbook

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    In accordance with the companys guidelines, supervisors recommend whether an employee

    should receive any increase based on annual performance review result.

    B. PROMOTION

    Mabani Steel offers employees promotions to higher-level positions when appropriate.

    All employees are encouraged to seek advancement opportunities and to obtain promotion and

    career guidance from their supervisors/ direct managers and HR department.

    Employee eligibility for promotion will be determined by the requirements of the new job. In

    addition, employees must have a satisfactory performance record and have no disciplinary

    actions.

    Upon promotion, an employee will be up graded and may receive an increase inpay.

    C. DEMOTION

    Demotion results of represent changes in job function due to inadequate performance, inability to

    attain job objectives, or disciplinary action.

    o All demotion actions must be reviewed by Human Resource department to ensure compliance

    of labor law.

    o In the event of a demotion for performance reasons or disciplinary action, the rate of pay of

    the employee will, with the approval of the department head, be reduced to a rate within the

    pay grade to which the employee is assigned.

    o In the event that re-organization results in a demotion, subject to departmental budgetary

    restrictions, the pay of the employee may remain unchanged even if the rate falls above the

    maximum of the lower pay grade, or the rate may be reduced to an amount appropriate to the

    classification of the lower level position.

    D. JOB ROTATION

    Job rotation is a change of job assignment to a job having commensurate responsibilities and

    authority to the job presently held by the employee. It is a movement from one job to another job

    in the same pay grade.

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    Employees compensation may not be affected since both jobs are assigned to the same pay grade

    and, therefore, both have the same relative value to the company.

    E. CHANGE OF STATUS

    The Personal Action Form4

    will be filled for individuals whenever there are changes in

    employees status such as transferring within departments, promotion, or any changes in

    compensations / benefits according to approved departmental annual budgets.

    The personal action form (PAF) must be approved by relevant department heads and the final

    approval ultimately rests with the president.

    At the end, Employees are to be notified in writing of their final merit increase as soon as

    possible once all merit increases for the year have been approved by the Management.

    Human Resources will ensure that the salary increases or any other changes are processed in

    accordance with appropriate timelines and will be reflected in the appropriate pay period.

    Note:Human Resourc e department ofMabani Steel has designed a Perform ance AppraisalHandbookseparately to be used as guidelines by supervisor s and managers who have the responsibilityof employee perform ance evaluation. This hand book isplaced in HR share folder and is

    accessible to everyone.

    4Appendix 17

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    CHAPTER

    NI

    NE

    HEAD OFFICE EMPLOYEE HANDBOOK

    TRAINING

    &

    DEVELOPMENT

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    Mabani Steel is committed to make every effort to gain competitive advantage by facilitating its

    employees learning job-related competencies including knowledge, skills, or behaviors that are

    critical for successful job performance.

    The goal of training is for employees to master the knowledge, skills and behaviors emphasized

    in training program and to apply them to their day to day activities.

    9.1 DEVELOPING TRAINING PROGRAM

    To obtain a systematic approach for developing training programs, following procedures to be

    followed:

    Request for training programs are mainly to be set at the annual training plan according

    to training needs analysis and annual budget by department heads.

    A needs assessment which is necessary to identify if training is needed must be

    conducted by supervisor/direct manager through observation or performance appraisal

    system

    A Training Requisition Form to be filled for nominated employee(s) and send to

    Human Resource department for further formalities.

    Human Resource manager will be responsible to design the training program based on

    the learning objectives and determine if training program