Travel Policy
1. UNDERLYING PRINCIPLES
This policy is based upon the following principles:
• Employees must have a clear understanding of this policy in conjunction with the Code of Conduct.
• The business needs and the number of people travelling must be capable of formal scrutiny. All practical alternatives should be considered, including phone, e-mail, web conference or web meeting, tele/video-conferencing, or using a person at or close to the proposed travel location.
• The cost effectiveness of business travel should be maximized through:
o Developing and maintaining an appropriate level of cost-consciousness and restraint as justifiable.
o Utilizing the discounted rates of preferred suppliers.
o Planning and booking travel well ahead of intended travel dates.
• Travelling entitlement cannot be considered a source of income or profit to employees.
• It is the primary responsibility of the employee to ensure that the expenses claimed are accurate and compliant with guidelines.
• It is the responsibility of the financial analysts to check that the expenses claimed by his/her subordinates are accurate and compliant with guidelines.
• Adherence to travel policy of mandatory. To the extent that travel expenses incurred are not compliant with this policy, this policy reserves the right to override manager approval for the expenses. All out of policy exceptions must be authorized by the Manager (Finance) and/or CFO.
• In the event management finds any misappropriation to travel expenses by any individual, he/she will be liable to appropriate disciplinary action.
2. PROCEDURE
1. Travel Authorization: All travel should be approved well in advanced well in advance and prior to travel arrangements being made.
2. Travel Advance: Employee is entitled to draw travel advance in line with entitlements. In case of employee where credit card facility is provided by the company, such advance should be avoided.
3. Travel Arrangements:
Travel Management All travel bookings including air, hotel/motel/guest house/lodges accommodation and car hire must be made through the authorized person appointed for the purpose at the respective region/branches/locations and through company appointed & authorized travel agent (s) only.
Air travel Business class travel will be available only where employees book upgrades using their existing air miles at no additional cost borne by company.
Train / Road travel By most economical and shortest route of train and bus travel through authorized travel agent(s) or self.
Car rentals Through company appointed and authorized agents through branch administration.
3. EXPENSES REIMBURSEMENT:
• To claim reimbursement of expenses, post travel, employees are required to obtain approval from appropriate reporting superior/ manager and process through CAS (Claim and Submission) but not later than 30 days of completion of travel.
• Business entertainment expenses should be classified separately and not clubbed with travel expenses, giving details of each person who attended – person(s) name, company name and position and the purpose of meeting. Business entertainment is subject to approval from Reporting Manager/ Business Directors as the case may be.
• All claims need to be backed by vouchers, receipts, and necessary supportive bills, documents.
4. EXPENSES COVERED
Expenses to be borne by the Company for business travel comprises of the following:
• Between base location and destination including fare for travelling between residence and railway station, airport etc.
• Hotel accommodation, meals and refreshments.
• Reasonable laundry changes can be reimbursed if the tour is of longer duration exceeding three nights travel. Expenses need to maintain appropriate level of restraint.
• Availing of premium services at hotels like telephone calls, telex, fax, internet etc. Should be avoided (unless absolutely essential for business) keeping in mind the higher cost of such services at hotels, instead, use of personal and company provided facilities (mobiles, laptops, data cards, calling cards etc.) or public amenities outside of hotel is advised in which case of proof of expenditure is required.
• Any expenditure not covered above but incurred should be duly approved by Business Director and/or Managing Directors.
5. INVALIED EXPENSES
• Liquor & Cigarettes: This is not a valid travel expense. If employee needs to incur such expenses as business entertainment expense, they should claim such expenses separately and with justification and approvals.
• Hotel mini bar & in-house videos/pay channels: These are not valid travel or business expenses.
• Employees irrespective of level are not allowed to engage any private luxury car/taxi.
• Entertaining co-employees is not a valid business expense except when:
- At least one Empirical Exergy Private Limited (EEPL)’s employee is from out of town, or
- A client is present, or
- For confidentiality reasons, business must be conducted off Company premises.
• The Company will not reimburse costs associated with car hire upgrades, air travel upgrades, hotel upgrades, accompanying family members, lost luggage, frequent flyer program membership fees, traffic fines, personal toiletries, souvenirs or personal gifts etc.
6. TRAVEL ENTITLEMENTS
The travel entitlements limits are as specified in Annexure.
1. The aforementioned boarding and lodging allowances are reimbursable on actuals against vouchers in original within the limits shown under their respective category.
2. Wherever the Company or clients provides travel, lodging and/or boarding, as the case may be, the employee is not entitled for any reimbursement towards the same.
3. Lodging expenses shall be payable for overnight stay only, in case of commencement of return/onward journey after the checkout time, it is to be ensured that the room is vacated without attracting any additional room tariff/charges.
4. Reimbursement of expenses during travel will be allowed on the days on which the employee is on leave/absent during the tour except in case of illness or due to any other cause beyond his/her control.
5. In case two or more persons in equivalent category/level are proceeding on tour together to the same destination, they should take hotel accommodation on twin sharing basis i.e. lodging expenses should be shared by them equally or by any one person. This may not be applicable to employee who are classified in Levels I – III.
6. Any individual planning to visit on official tour and anticipating expenses exceeding the entitlement limits should obtain prior approval from Reporting Manager / Business Director along with estimates of travel expenses in advance, without which the travelling expenses upon completion of the tour will not be reimbursable.
7. The lodging and boarding expenses can be clubbed together within the specified limits (combined upper limit and against vouchers) for level VI to VIII, in order to facilitate the employees to spend more on food and lees on hotel accommodation and vice-versa.
8. All the expenses (except miscellaneous expenses such as tips, coolie changes, local conveyance within the city, etc.) shall be reimbursed only against the bills and payment receipts in original except fixed diem allowance.
9. Employee cannot claim any expenses towards travel, lodging and/or boarding in case a hardship or deputation allowance has been defined for longer travel duration against such entitlements.
7. GENERAL GUIDELINES
1. Partner/Family accompaniment on business travel is not encouraged. It so, accompaniment shall be on personal expense, without affecting normal course of business and requiring prior approval from Reporting Manager / Business director.
2. Any private travel the is attached to business travel is to be approved by management prior to any bookings being made, if approved, no costs are to be borne by the Company. It is the employee’s responsibility to check whether such travel will carry any implications and to address those implications personally.
3. Employees may accept upgraded rooms so long as no additional cost is borne by the Company.
4. Various hotels/airlines offer incentive programs which incorporate additional accommodation or frequent flyer or miles benefits Participation in these programs must not influence selection of hotels. Company will not pay for any costs associated with membership of these programs.
5. When more than one employee is present at a business meal, entertainment event or travel, then the most senior employee who can claim reimbursement.
6. Payment should be made, wherever possible & permitted, with company’s corporatecard / account.
7. Tips should only be paid in accordance with local custom and practice of the location you are visiting and within reasonable limits.
8. Night stays are to be avoided, prefer early morning flights to destinations and evening return unless work related needs warrant overnight stay. Wherever possible, overnight travel by train should be utilized. Hotel stay will be approved only if duration of the tour, including travel time exceeds one day and calls for a night stay.
9. Wherever stay is of longer duration, especially if exceeding 10 days, it is advisable to define hardship/deputation allowance on case-to-case basis considering the hardship and available facilities – housing, transportation and food.
10. Unionized employees for whom the travelling expenses, local conveyance and lunch allowance are covered by any agreement with the Union as the case may be, such employees will not be entitled to claim the travel expenses under this travel policy.
11. Change in travel plans having monetary implications is permissible only in case of business exigencies or personal emergency.
12. Open and unused tickets must be endorsed and returned to the booking authority.
13. Exceptional local circumstances may be considered but without setting a precedent and in consultation with prior approval of Director.
8. OVERSEAS TRAVEL
• All overseas travel requires Directors’ prior approval except when it is billed to client or another affiliate.
• All flights will be economy class travel. Business class travel on long haul flights can be allowed subject to Director’s prior approval.
9. POLICY MODIFICATION/ WITHDRAWAL
At the sole discretion of Company’s Management, the policy can be modified in whatsoever manner or can be completely / partially withdrawn at any time depending on the business situation of the Company.
Notes:
1. Conditions in case of Level V-VII:
• When an employee whilst on tour, stays relatives or friends or any personal accommodation, he will be entitled for boarding expenses against receipts/bills/vouchers subject to the limits applicable and 50 % of lodging entitlement as applicable without supporting.
• In order to facilitate uninterrupted business operations, on occasions when the entitled mode of travel is not available, then the employee may travel through own booking and arrangements and can claim fare as per his/her travel entitlement with or without support documents,
• For on-going field activities like inspections, audits, front sales etc. business can determine per diem allowance towards travel, lodging and boarding, collectively or partly, not exceeding respective overall entitlement limits with or without supporting documents.
2. Conditions in case of Level VI to VII: The lodging and boarding expenses can be clubbed together within the specified limits (combined upper limit and against vouchers), in order to facilitate the employees to spend more on food and less hotel accommodation and vice-versa.
3. Air travel for executive & staff cadre is permissible only in case of business exigencies or in case expenses are borne by client, and duly approved by Business Director.
4. Employee cannot claim any expenses towards travel, lodging and/or boarding in case a hardship or deputation allowances has defined for longer travel during against such entitlements.
5. Above entitlements are not applicable in case the expenses are borne by company or client.
DIRECTOR
Document No. - EEPL/Policy/03
Date - 25.08.2022
