e-circular P&HRD. Sl. No. : 2/ Circular No. : CDO/P&HRD-P/1/ Saturday,April 04, Chtr, 1931(s).

Transcription

1 e-circular P&HRD. Sl. No. : 2/ Circular No. : CDO/P&HRD-P/1/ Saturday,April 04, Chtr, 1931(s). All the offices/ Branches of State Bank of India PROJECT: HRMS CENTRALISED SALARY AND PENSION PROCESSING Subsequent to successful implementation of Core Banking Solution across the Bank, it has now been decided to leverage technology to centralise and automate HR processes. For this purpose, the HRMS (Human Resource Management Solution) Department at this office is configuring the SAP-ERP software as per the Service Rules, extant HR policies and practices. Automation of HR will not only bring efficiency, transparency and convenience in all the operations but will also bring uniformity in HR implementation. Once fully operational all employee requests (leave, travel, reimbursements etc), approvals, data updation (promotion, retirement actions) and financial settlements (salary, pension, travel, medical, reimbursements, commutation etc) will be handled through HRMS on an on-line real time basis. 2. To start with, it has been decided to centralize the processing and payment of Salary for all SBI employees (including those who are on deputation from outside organization and excluding those on overseas posting or being paid salary from deputee organizations) and pension/family pension for IBI/SBI retirees from April 2009 onwards. For this purpose a Centralised Salary and Pension Processing Centre (CSPPC) is being set up at GITC Belapur under HRMS, where Salary and Pension of all eligible employees and pensioners will be processed. All branches/ establishments (except foreign branches/offices), therefore, will stop processing salary/pension for the employees/pensioners at their units from April 2009 onwards, except for payment of arrears or under exceptional circumstances with specific approval/ instructions from their controlling offices. The CSPPC head will henceforth act as a centralized drawing and disbursing authority in respect of employee s salary, other benefits and staff pension. In order to make the initiative successful, all branches/offices are required to observe the following guidelines. Since HRMS is an evolving initiative, the guidelines may not be exhaustive and updates will be issued from time to time. Disclaimer: The Centralized Drawing and Disbursing authority will not be held responsible for nonpayment of third party deductions viz. LIC, SBI Life, Credit Society etc on account of non-processing of salary or insufficient net pay for reasons such as Loss of Pay, Unauthorized absence etc.

2 Guidelines for Salary processing: A. DATA VALIDATION: Before the Salary processing is migrated to CSPPC, it is necessary that the data available in HRMS system is validated from the official records. Branches must verify all information in general and critical information such as PF index number, date and place of joining, date of birth, gender, category, physically challenged status and present grade/scale in particular in respect of all employees. Since all future actions like promotions, in-cadre higher appointments, silver jubilee awards, extension in service and retirement etc will be handled through HRMS, ensuring correctness of the employee data is mandatory. Simultaneously, correctness of salary particulars viz, Basic Pay, position and location based allowances, salary and loan account numbers etc. and leave particulars of all employees also must be ensured. While HRMS project team will be providing a detailed information sheet for data migration audit which will be undertaken by Circle Audit teams once all kind of data viz, leave encashment dates, LFC details, last increment date etc get uploaded in HRMS, branches may obtain copies of self authenticated bio-data and latest salary slip (printout to be taken from HRMS portal) from each employee and retain these as part of employees service document after re-verifying details with the available official records. Note: Employee means all permanent/temporary/contractual/ on-probation or borrowed employees who are being paid salary from the Bank. B. DATA OWNERSHIP: The data ownership of all employees shall remain with the respective Circles/SBUs/ CC establishments. C. DATA UPDATION/MODIFICATION and REPORTING CHANGES: Any change in employee data will be handled at respective Local Head Offices/ SBU Headquarters/Corporate Centre. Branches/offices should advise the data changes during first fortnight of each month to HRMS team at LHOs/ SBU HQ through secure mail, letter or fax. These teams have been given rights to make modifications in the employee data. HRMS teams would record each modification request in a register giving it a ticket number before carrying out the changes in HRMS system. The manual request should be retained for future verification. A suitable application for flow of data change requests directly to the CSPPC is also under development and will be released shortly after thorough testing. Through this application, branches/offices will be able to report relieving, reporting, promotions, fitment, overtime, officiating, increment, leave encashment, loss of pay etc. directly to the CSPPC where such changes will automatically get carried out in HRMS. LHO teams will validate these changes in HRMS from the consolidated change request report generated by the application and shall report the errors or left out changes to CSPPC on a daily basis. Branches should observe promptness in advising the date of relieving in case of transfers, resignations, retirements, dismissal, termination, foreign postings etc in order to avoid salary overpayments. D. TIMELINES: HRMS envisages salary processing for all employees across the Bank on a single day. It is therefore important to observe discipline in submitting changes by the following due dates. Minor glitches cannot be ruled out till the initiative gets stabilized. For initial 3-6 month period, the following deadlines must be observed: 1. Dry run of salary for the current month - 10 th of every month

3 (Provisional salary slips for current month will be made available on portal and through link on State Bank Times) 2. Changes in salary and leave data to be advised by - 17 th of every month 3. Final Salary processing - 25 th of every month 4. Credit to employee accounts and debit to Branches - 25 th /26 th of every month 5. Credits to Loan and third party accounts - 27 th to 29 th of every month 6. Deposit of Statutory Deductions including PF - 30 th of every month Note: once the salary processing for the month is over, all changes will be effected only in next month salary. E. ALL CREDITS TO BANK ACCOUNTS ONLY: It is mandatory that salary and third party deductions are credited to Bank accounts only. No bankers cheques will be issued except in case of attachment orders etc. All employees should, therefore, maintain salary accounts with any branch of the Bank. For third party deductions all Credit Societies, Unions/Associations where check off facility has been granted should be asked to open an interim account/account with the Bank to which credit of all their members deductions will be afforded. A member-wise deduction list will be provided to such third parties at every month end. F. TREATMENT OF LOSS OF PAY, HALF PAY AND UNAUTHORISED ABSENCE: Once the leave and attendance process gets automated under HRMS, any nonpayment of salary (half or full) will be handled directly by the system without any manual input. However, till such time, this kind of information shall flow manually to HRMS Cells at LHOs/SBU HQs for making changes in the employee data. Timely submission of such data is essential in order to avoid recovery exceeding payable salary. G. PAYMENT OF BONUS, OVERTIME, OFFICIATING ALLOWANCE, LEAVE ENCASHMENT ETC: Off-cycle payment viz. bonus, overtime, officiating, acting and Leave encashment etc will now be linked to salary payment. Till the time these payments are automated through HRMS, the amount would be calculated at the branch level and amount be advised to HRMS cell before 20 th of every month for making payment along with current month salary. Branches should maintain record of such calculations for future reference. H. SANCTION OF ANNUAL INCREMENT/PQP/FPP and FITMENT: Increment sanction has been automated through HRMS. For this purpose, date of last increment has to be inputted in HRMS. Head of department can approve increments to all those for whom it is due from first of the month onwards through Manager Self Service. Detailed guidelines are being made available on HRMS site. Sanction of FPP, PQP through HRMS including increment on account of JAIIB/CAIIB and reduction /restoration of basic on account of vigilance/disciplinary proceedings shall remain manual for the time being. Fitment being a complicated issue, is currently being kept out of HRMS. However, fitment of employees/officers should be completed immediately on their promotion, except for in-cadre higher appointments, without waiting for their transfer orders and advised to the HRMS cell at respective LHOs. I. PAYENT OF ARREARS ON ACCOUNT OF INCREMENT, FITMENT AND SALARY REVISION: Since salary for all employees through HRMS will be processed from April

4 2009 onwards, arrears, if any, on account of increment, fitment on salary revision etc. prior to April 2009 would be processed by the respective branches manually upto March 2009 and are to be advised to the HRMS cell for payment alongwith the next salary. Circles which have gone live on salary prior to April 2009 shall be required to calculate such arrears till the month of go-live or upto March 2009 depending upon their convenience. Branches are advised to desist from making payment of such arrears directly from their end in order to avoid Income Tax calculation related problems. Any miscellaneous payments made directly by the branches/offices should be promptly advised to HRMS cell for incorporating the particulars into HRMS system. Note: All salary fitments and release of increment/fpp/pqp etc. due prior to 1 st April 2009 should be completed before 31 st March 2009 J. PAYMENT OF SALARY TO POs/TOs AND OFFICIALS ON MOBILE DUTY: Salary of Probationary and Trainee officers during probation period will also be processed through HRMS and they will be treated as part of the branch they are posted at. The practice of booking of their salary expense to respective Local Head Office will henceforth be stopped. Payment of Salary to officials on mobile duty shall continue to be paid from the branch of their choice and their salary expenses will also be booked under the same salary paying branch. This makes these officials part of the salary paying branches in HRMS although administratively they will remain under the control of respective ZIOs/ I&MA Department. Efforts are, however, being made to bring uniformity in their location based allowances viz HRA/CCA/ Hill and Fuel allowance etc so that their salary could be processed as part of the I&MA department. K. PAYMENT OF SALARY TO OFFICIALS ON DEPUTATION AND OVERSEAS POSTING: SBI officials who are on deputation to outside organization will be paid salary as under : a) Officials whose salary is being processed and paid by the organizations where they are deputed to Salary for such officials will not be processed through HRMS. Only their last salary details will be captured in the system in the non-live payroll area. b) Officials whose salary is processed and paid by the Bank but reimbursed later by the borrowing organization: Salary for such officials will be processed through HRMS as part of the branch from which they are currently drawing salary. Branches shall seek reimbursement manually and credit the same to their charges account. c) Officials whose salary is not reimbursed by the borrowing organization : Such official s salary will be processed and paid through HRMS and they will be shown as part of the branch from where the salary is being paid. d) Officials who are on overseas posting : Last salary of such officials will be frozen in the system in a non-live payroll area. The increment /fitment etc will be manually done by IBG, whenever due. On repatriation, their salary details will be brought to the live payroll area from the date their India salary becomes due. L. WAGE REVISION: Payment of arrears on account of impending wage revision will be handled partly through HRMS and partly manually for reasons given in Para H above. The salary fixation on account of wage settlement and payment of arrear from the relevant date till 31 st March 2009 will be handled by the respective branches/offices, while revised salary details as on 1 st April 2009 will be inputted in HRMS for auto

5 calculation of arrears from onwards. Any revised instructions in this regard will be advised separately at the material time. M. INCOME TAX AND SUBMISION OF INVESTMENT DECLARATION: Income Tax for all employees will be handled through HRMS. During initial 5 months i.e. up to August 2009, employees can opt for voluntary deduction of Tax. The voluntary tax to be deducted should be advised to HRMS team before 20 th April Before processing salary for September 2009, each employee will be required to submit on-line investment declaration form with projected investments, based on which pro-rata Income Tax will be deducted from September 2009 onwards. For submission of investment proof and its verification, separate instructions will be issued in due course. Income Tax projections report will be available to each employee on HRMS portal through monthly Salary Slip. Form-16 will also be made available to all employees through HRMS portal and its paper printed copy signed or digitally signed by the Drawing and Disbursing Authority will be made available to employees through mail. Form-24 will also be made available to the branches/offices through FTP site. All employees should confirm correctness of the PAN number printed on their Salary Slips obtained from HRMS portal. N. MAKER CHECKER AND SALARY AUDIT: While there is no system of Maker Checker in HRMS system, efforts are being made to provide a list of changes carried out in HRMS by the Circle Teams for verification. For ensuring proper processing and payment of salary to employees, concurrent audit of salary results will take place at CSPPC. O. REPORT GENERATION AND POSTING ON FTP SERVER: CSPPC will generate the required salary related reports every month branch-wise, which will get posted to the respective branch ftp server. All branches must ensure printing and retention of these reports for audit purpose. Branch Managers should verify the Salary Register each month ensuring that the Branch Charges a/c debit matches with the total in the Register, names appearing the salary register actually pertain to the branch and also ensure that there is no abnormal/anomalous payment item in the list. Any aberration should be immediately brought to the notice of the Circle HRMS team or CSPPC. P. LAST PAY CERTIFICATE: Issuance of Last Pay Certificate (LPC) on transfer to another branch/office will be dispensed with from April 2009 as salary for each employee will be processed and paid from centralized location. Changes in allowances, if any, on account of transfer to new location will automatically take place in the system on reporting at the transferee branch/office. In case of non-reporting of any employee at the transferee branch within a reasonable period after his/her relieving from previous branch, transferee branch may stop payment of salary to such employee by advising to HRMS cell. Q. DISPUTES RELATING TO SALARY : Any dispute relating to wrong fitment will be handled by the Manager (HR) at the respective Controlling Offices. Guidelines for Pension processing:

6 A. DATA VALIDATION and AUDIT: Since Pension for all SBI/IBI pensioners and family pensioners is already being processed and paid by all Circles through HRMS, correctness of data must have been ensured by the Circles. However, in view of the proposed centralized processing, Circles will be required to conduct a data migration audit before 20 th April B. DATA OWNERSHIP AND OBTENTION OF LIFE CERTICATE: The data ownership of all pensioners and family pensioners drawing pension through the branches under a particular Circle shall remain with the respective Circles. Branches where the pension accounts are being maintained shall continue to obtain the Annual Life Certificate from the Pensioners. For recording of Life Certificate, a facility through HRMS portal or through some other application will be provided to the branches shortly. C. DATA UPDATION/MODIFICATION AND REPORTING CHANGES: It is observed that in most of the Pensioners/Family Pensioners cases, only minimum data is available in HRMS. Since through HRMS Whole Bank repository of all employees/ex-employees is being created, Circles may initiate suitable steps to procure maximum data for Pensioners/Family pensioners at the earliest. Details such as current address including address, telephone numbers, bank details, PAN number and family details etc are important as availability of such information will not only help the Bank in communicating directly with pensioners but will also expedite the pension processing and disbursement of arrears, if any, TDS deposit and fixation of family pension. The data modification on account of change of pension status (pensioner to family pensioner or change of family pensioners), account details, stoppage and restart of pension on account of non-submission/submission of Life Certificate etc will continue to be handled by the PPG officials at the respective LHOs. D. NEW PENSIONERS: Till such time the pension approval process gets fully automated under HRMS, whereby an employee will be automatically converted into pensioner and his pension fixation will be done in HRMS system itself, Circles are required to use the existing RBPAS system only for the pension sanction process for new pensioners/family pensioners. On approval/sanction, PPG officials at Circles should feed the pension/family pension and account details of such new pensioners/family pensioners into HRMS system from the date of their becoming pensioner/family pensioner. No payment of pension or any arrear should be made from outside HRMS. E. TIMELINES: HRMS envisages pension processing and payment for all SBI/IBI pensioners and family pensioners on a single day every month, it is therefore important to observe discipline in submitting changes by the following due dates. 1.. Changes in Pensioners data to be advised to LHO by - 18 th of every month 2. Dry run of Pension for the current month at CSPPC - 22 nd of every month 3. Verification of Pension details by PPG officials at LHO by - 24 th of every month 4. Final Pension processing at CSPPC - 25 th of every month 5. Credit to Pensioners accounts and debit to CAO - 26/27of every month 6. Deposit of Statutory Deductions viz Income Tax etc - Last day of the month

7 F. ALL CREDITS TO BANK ACCOUNTS ONLY: It is mandatory that pension is credited to a Bank account only. No bankers cheques will be issued except in the case of attachment orders etc. All pensioners/family pensioners, therefore, should maintain pension accounts with any branch of the Bank. Pension will be paid by debit to CAO Kolkata, for which an interim account will be opened by CAO Kolkata and funded for the pension payment on 25 th of each month based on the pension processing report generated from HRMS. G. SBILIFE DEDUCTIONS: Since SBILife Group Insurance Scheme for SBI Staff is available till the member attains 65 years of age, many pensioners would be members who would like the premium to get deducted from monthly pension itself. While for the new pensioners such option may be obtained at the time of application for pension, for those who have already retired SBILife shall arrange for one time option authorizing bank to deduct the premium from the pension. H. PAYMENT OF ARREARS, IF ANY: Since pension for all employees through HRMS is being processed from April 2008 pension arrears, if any, on account of revision etc. prior to April 2008 would be processed by the respective branches/circles manually upto March 2008 and advised to HRMS cell for payment alongwith the next month pension. Circles which have gone live for pension prior to/after April 2008 shall be required to calculate such arrears till the month of go-live or upto March 2008 depending upon their convenience. Branches are advised to desist from making payment of such arrears directly at their end in order to avoid Income Tax calculation related problems. I. REPORTING OF DEATH OF PENSIONER: HRMS shall be providing the facility of recording date of death of any pensioner/family pensioner to the Branch Managers through the portal. However, till such time this facility gets developed, branches will report the death to the Circle PPG Department, who will record the date of death in HRMS. Pension/Family pension will automatically get stopped from the recorded date of death. However, in cases where the reporting is late and there is recovery of pension/family pension from the late pensioner s/family pensioner s account, branches will manually refund the amount to CAO Kolkata on receipt of advice from CSPPC or the PPG Department at LHO. J. INCOME TAX AND SUBMISSION OF INVESTMENT DECLARATION: Income Tax on the pension paid to all pensioners will be handled through HRMS. PPG Department will obtain investment details latest by October each year from those pensioners who qualify for TDS and key in the data in HRMS. For submission of investment proof and its verification, separate instructions will be issued in due course. Income Tax projections report will be available for each pensioner with the PPG Department and also in individual s Pension Slip generated from HRMS each month. Form-16 will also be made available to all pensioners through HRMS portal and also in paper printed form duly signed or digitally signed by the Drawing and Disbursing Authority. Form-24 will also be made available to the branches through FTP site. K. HRMS PORTAL TO PENSIONERS: In order to make our ex-employees feel part of the institution which they proudly served till their superannuation or retirement, the

8 facility to access HRMS portal will be extended to the retired employees as well in due course of time. Efforts are in hand to provide access to other in-house web-sites like State Bank Times, P&HR site through HRMS portal as well. Once the portal gets fully developed, such pensioners will not only be able to view their pension details but also will remain connected to the developments taking place in the Bank. L. MAKER CHECKER AND CONCURRENT AUDIT : While there is no system of Maker Checker in the system, efforts are being made to provide/extract a list of changes carried out in HRMS by the PPG Department at the Circle for verification. For ensuring proper processing and payment of pension, concurrent audit of pension will take place at CSPPC. M. REPORT GENERATION AND POSTING ON FTP SERVER: CSPPC will generate the required pension related reports every month branch-wise, which will get posted to the respective branch ftp server. All branches must ensure printing and retention of these reports for audit purpose. Branch Managers should verify the Pension Register each month ensuring that the names appearing in the pension register actually pertain to the branch and also ensure that there is no abnormal/anomalous payment item in the list. Any aberration should be immediately brought to the notice of the Circle PPG team or CSPPC. Miscellaneous: A. AUTOMATION OF LEAVE: All branches are required to verify the leave balances of all employees as on 1 st April 2009 in HRMS system. Branches which have not submitted the leave data should immediately submit the leave position of each employee as on 31 st March 2009 through external site and confirm the balance in HRMS after one week. PL and CL quota for for those employees whose leave data is in HRMS shall be automatically generated by the system. By 31 st May 2009, all branches should tally the manual leave records with HRMS and start on-line leave application and approval through HRMS. B. COLLECTION OF REMAINING DATA: HRMS team is making an endeavour to automate all processes as early as possible so that maintenance of manual information through Service Sheet cum Leave record may be dispensed with. While major portion of the information captured in Service Sheet viz. personal information, domicile, dependents, educational and professional qualification etc have been captured during the personal data collection phase, other information like LFC/HTC details, briefcase supply date, Vigilance/DPD case details etc remains to be captured. Such information will be called for shortly as and when the related services are developed and released. C. HRMS PORTAL: Since HRMS portal will be the sole interface for all employees, it is necessary that the portal opens seamlessly at all the branches/offices. The employees shall submit their requests through this portal and all approvals will also take place only through the portal. For such sub-staff who are not computer literates, one official in each branch will be authorized to input requests on their behalf. Operational manual on how to use the services will be made available on portal. Branches/offices should ensure that HRMS portal ( opens at all the desktops through the Intranet. HRMS portal has also been made available on Internet to facilitate

9 anytime/anywhere access. The portal will also be made available in Hindi shortly. In case of any difficulty, if any, employees may get in touch with the Circle HRMS teams or Help Desk at Corporate Centre. For employee convenience, PF index no. has been configured as login id. For password resetting, branches/offices may contact Help Desk. Contact numbers of the Help Desk are available on login page of Portal. D. E-LEARNING: To facilitate on-line learning, various e-learning courses have been made available to all employees on Portal through page named GYANODAYA. Employees may access these courses during off peak hours (limitation due to bandwidth availability). E. CHANGE MANAGEMENT: Automation of any process takes some time to stabilize as it involves shift from the existing established processes to a new system. Since the whole purpose of automation and centralization is to bring efficiency and convenience in HR operations, it is important that this change is addressed in right perspective. Although, HRMS team is making efforts to automate the practices with least deviations, it may not be possible to absolutely mirror the manual processing practices. Certain glitches/gaps, therefore, are bound to surface until the whole process runs for at least 4-5 times. Branches/offices may bring any observed such gaps/glitches, if any, observed by them, to the notice of the Project Team, HRMS Department, Corporate Centre, Mumbai. Since this is an initiative by the employees and for the employees, let us all join hands in making it better day by day. 3. Please arrange accordingly and bring the contents of the circular to the notice of all concerned. Yours faithfully, For Deputy Managing Director & Corporate Development Officer