1. General loans policy
The company provides loans for general purpose such as:
• Marriage of self or own sisters
• And Emergencies such as accidents, hospitalization and death in the family (Self, spouse, children and parents)
These loans are provided to permanent employees who have completed 1 years of service.
The loan amount is fixed at 900 USD.
Repayment of such loans will be in 20 equal installments and will be deducted from the wage.
Employees who have taken advance from the factory will have to repay the advance to be eligible for a loan
If an employee wants to repay the balance amount in a single installment within 24 months employee can inform HR about his intent and HR shall facilitate the repayment. The mode of payment will be only by cheque.
For Employees who have been in the organization for more than 4 years, loan requests higher than the eligibility have to be recommended by the Reporting Head and have to be approved by Vice President
2. Loans procedure
The applicant has to fill a loan application form (as per annexure).The duly filled form is thereafter forwarded to HR department with respective department heads comments on it.
The HR Department verifies the eligibility amount and forwards the application to Vice President for approval. The sanction / rejection of loan is finally at the discretion of the Vice President.
After the loan is sanctioned, an advice is given by HR to Finance to process the payment.
If an Employee leaves the organization before the repayment of the full loan amount, the employee is liable to pay the balance of the loan amount before being relieved.
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Categories: Compensation and Benefits, HR Policies Tags: Loan Policy