OUTSTATION TRAVEL EXPENSES REIMBURSEMENT POLICY

Transcription

1 OUTSTATION TRAVEL EXPENSES REIMBURSEMENT POLICY Objective: To define guidelines for intercity / outstation travel in India and procedures for reimbursement of expenses incurred. To specify the various limits for expenses under various sub-heads conveyance and travel (mode and class of travel, stay of expenses, daily expenses, conveyance expenses. Eligibility and Scope: This policy is applicable to: 1. Employees of ARG and its Associate Companies (any other associate/subsidiary company that may be incorporated in future), hereinafter referred to as the Company. 2. Project trainees, interns, etc. if required on case to case basis. 3. Persons who are not envisaged in 1 & 2 above but required to undertake domestic travel for business needs candidates appearing for selection discussions, corporate visitors & guests etc. 4. The scope of this policy outstation or inter-city domestic travel undertaken for business purposes. This does not cover any travel undertaken for personal purposes. Effective Date: This policy is with effect from January 1, 2012 and supersedes all other policies earlier issued regarding this matter. Key Pointers: The claim for expenses incurred must strictly be for business purposes only. Only actual expenses can be claimed under the specified limits. Most economic means of travel should be preferred based on optimized route planning which helps business and ultimately helps in cost reduction. Employees are advised to plan travel and business schedule in a manner that avoids stay overnight resulting in saving hotel stay cost. Employees are encouraged to stay with relatives / friends / acquaintances / colleagues if they find it convenient, helpful and cost-effective. It is the responsibility of both the claimant and the authorizing person that the claims are genuine. False / unreasonable claims will be viewed very seriously and liable for action including termination. Bill details / vouchers are required to be submitted for seeking reimbursement / claim. However, if a voucher for claim reaches the Accounts with a delay of two months from the actual date of travel, it shall not be entertained. Expense Limits: A. Mode and Class of Travel: (i)the following are the permissible entitlements as regards type of transport to be used during travel:

2 MODE OF TRAVEL Mode Class of Travel (Rs. Rate per km) Economy / 1st AC Car Dir / AD / SVP / VP / RAY Economy / 1st AC Car AVP/ CH / Area Mgr / Associates / RA Economy / 2nd AC Bus SM / Mgr / AM / DM / BM / ASM / SRM / Sr Mgr / RM / ARM / CSM Train / Bus 2nd AC SO / O / FP / D / SD Train / Bus 3rd AC *For clarity of abbreviation, please refer HR Policies in Intra-Rathi (ii) How to book tickets: Bookings should be made through the in house travel desk for both air and rail reservations. Travel Desk will make the required bookings by the lowest cost available carrier at / around the time of travel (Round trips to be preferred wherever possible). The company will decide from time to time the most effective mode of booking air tickets so that we get the advantage of corporate bulk business as also set-off of service tax, if any charged. (iii) Use of personal vehicles during travel: Personal vehicles should be put to use for short distance outstation travel or for areas that are not well connected by rail or air. Its use is justified if it results in productive use of time and reduced cost. The policy allows for fuel reimbursement as per the following entitlements and conditions: Permissible Type of Vehicle Distance (Upper Limit) HOD /RD Car 200 kms Rs. 6.00/- per km VP / SVP / AD / Dir / RAY Car 200 kms Rs. 6.00/- per km AVP/ CH / Area Mgr / RA / Car / Two Associates Wheeler 75 kms Fuel Reimbursement (Rs. Rate per km) Rs. 6.00/- per km (for car), Rs. 2.40/- per km (for 2-wheeler) SM / Mgr / AM / DM / BM / ASM / SRM / Sr Mgr / RM / ARM / CSM Two wheeler 75 kms Rs. 2.40/- per km SO / O / FP / D / SD Two wheeler 75 kms Rs. 2.40/- per km *For clarity of abbreviation, please refer HR Policies in Intra-Rathi The policy does not envisage reimbursement of maintenance expenses of personal vehicles used for official outstation travel. It is the personal responsibility of members to ensure that their personal vehicles are covered under a valid comprehensive motor insurance policy at all times. Any travel by more expensive means has to be approved by HODs. B. Place and Cost of Stay: (i) Members should use the Company s guest house facility wherever available and hotel bills will not be reimbursed in such places. The class of hotel and the maximum permissible daily

3 tariff is as per the matrix given below. Members would not be compensated in lieu of hotel tariff should they prefer to stay with relatives or associates or personal acquaintances. Class of Stay Max Daily Tariff Excl. Taxes (Rs) Dir / AD / SVP / VP / AD / RAY / AVP / CH / Area Mgr / Associates / RA SM / Mgr / AM / DM / BM / ASM / SRM / Sr Mgr / RM / ARM / CSM SO / O / FP / D / SD 5 star hotel, single 3 star hotel, single 3 star hotel, single Single hotel room Rs.10,000/- per day Rs.5,000/- per day for Metro cities Rs.3,000/- per day for Other cities Rs.3,000/- per day for Metro cities Rs.1500/- per day for Other cities Rs.1500/- per day for Metro cities Rs.1000/- per day for Other cities (ii) How to book Hotels: A list of hotels where corporate rates have been tied up along with a directory of hotels may be obtained from the Administration Department. C. Other Expenses: Members are eligible for daily expenses and conveyance expenses irrespective of whether there is an over night travel/ stay or not. These would also be payable if they chose to stay with relatives or associates or acquaintances. The following norms are applicable: HOD /RD (i) Daily expenses, essentially covers breakfast, lunch, dinner and expenses other than travel tickets, hotel accommodation and local conveyance as follows: Daily Expenses Metro Cities As per Actuals (Not exceeding Rs.500/-) Rs.300/- Non Metro Cities As per Actuals (Not exceeding Rs.350/-) Rs.200/- Dir / AD / SVP / VP / RAY / AVP / CH / Area Mgr / Associates/ RA / SM / Mgr / Sr. Mgr. / AM / BM / ASM / SRM / SM / RM / ARM / CSM SO / O / FP / D / SD Rs.250/- Rs.150/- (ii) Except for Mgmt, HOD and RD, the above daily expenses would be reimbursed at the actual or eligible amount, which ever is less. The bills / vouchers amount must be submitted as full supporting documents for claim. (iii) Members in levels other than Mgmt / HOD /RD are required to spend on lunch/ dinner meetings with clients strictly in consultation with their immediate senior. Such expenses if any would be restricted to the eligibility for daily expenses as provided in (i) above.

4 (iv) Expenses on books, news papers, liquor on flights, liquor consumed other than presanctioned client dinners, gifts and flowers other than pre-sanctioned for clients would not be reimbursed. However, daily and conveyance expenses would be reimbursed as per entitlements. (v) Local conveyance during outside travel would provide for commuting (a) from residence to airport railway station bus station and back (b) from and to the point of arrival & departure from the place of outstation travel (c) for commuting to place of meeting(s)/ work while on outstation travel. Eligibilities would be as below: Dir / AD / SVP / VP / RAY AVP / CH / Area Mgr / Associates / RA SM / Mgr / AM / DM / BM / ASM / SRM / Sr Mgr / RM / ARM / CSM SO / O / FP / D / SD Conveyance Expenses Full day taxi as per business needs at the discretion of the individual, at actual Point to Point AC taxi at actual Point to Point non-ac taxi /Three wheeler / shared AC taxi at actual Public transportation/ three wheeler/ shared taxi at actual. Public transportation/ three wheeler/ shared taxi at actual. PROCEDURE FOR REIMBURSEMENT CLAIM: The Outstation Travel Expenditure Claim (OTEC) is the prescribed form for claiming reimbursement. The OTEC form along with proofs of payment, duly approved by respective HOD/ RD or any other authorized person (as already pre-decided and specified earlier) needs to be submitted to the respective regional HR / Accounts department as the case may be. The cost of cancellation of travel and hotel reservations, in terms of the non refundable amount or any other monetary loss thereof would not be reimbursed by the Company/ Region/ Branch. The administration department must be immediately informed of such cancellations/ losses. Given below is an illustrative list of the expense proofs, which, members should submit to the bills processing section: o Railway/ air/ public transportation tickets including boarding passes o Prepaid and private cab tickets - in its absence, a statement of local conveyance expenses listing the point to point costs o Fuel bills for use of personal vehicles during business travel o Parking, toll & similar tickets o Hotel accommodation bills o Restaurant, food & beverage bills of meals not included in hotel tariff OTHER PROCEDURAL ISSUES: In case a member resigns after returning from travel or after submitting the claim for reimbursement of expenses, the same would be paid with the full & final settlement. Upgrading of the mode of travel or class of accommodation may be approved by HOD/ RD, based on a time-cost-productivity norm. The reimbursements or payments envisaged in this chapter are subject to taxes and other statutory deductions as applicable from time to time. In case a member resigns and has reimbursements / unpaid claims, the same would be paid with the full & final settlement

5 This is a reimbursement policy. In case the claim is being processed by the Regional HR, one needs to verify all the documents as well as the leave record for that particular day. Definitions: Metro Cities: Refer to the cities of Mumbai, Delhi, Bangalore & Kolkata Mini Metro Cities: Refer to the cities of Chennai, Hyderabad, Ahmedabad, Chandigarh, Jaipur, Lucknow and Pune Other Cities: Refer to all cities other than metro and mini metro cities mentioned above. ****************