PSC
HUMAN RESOURCES
POLICY &
PROCEDURES MANUAL
JANUARY 20 12
PSC
Table of contents Pages
:Introduction 3
Section 1 :Petco Mission and vision statements 4
:General Terms
Section 2 :Employment
Section 3 :Hours of work
Section 4 :Compensation
Section 5 :Leave
Section 6 :Business Travel
Section 7 : Grievances
Section 8 : Disciplinary Action
Section 9 :End of Service
Section 10 : Code of Ethics
Section 11 :Attachments
1) Employment Contract
2) Leave form
3) Return from leave form
4) Business travel form
5) Letter of Termination
6) Disclaimer form
7) Confidentiality agreement with employee
8) Disciplinary code
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INTRODUCTION
Petroleum Services Company W.L.L. believes in the importance of high morale in creating an
environment of stability and high productivity. In line with its belief the Company endeavors to
apply fair Personnel Policies to all its staff.
The Human Resources department produces Personnel Policies to inform and guide staff in the
achievement of the Company's aim to create loyalty, harmony and cooperation amongst all its staff.
All Supervisors shall apply such policies and use their terms and conditions in their dealing with
staff. In respect they may always consult the Human Resources department to seekspecialist advice
in regard to the application of Personnel Policy.
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Section 1
1. PSC Mission
Provide high quality Equipment, Spares, Services and New Emerging Technologies to the Oil &
Gas, Power and Petrochemical Sectors and to be recognized as a Market Leader in terms of
Quality, Integrity and Values.
2. PSC Vision
Introduce to Oil, Gas & Energy Sectors new world technologies and solutions to the
upstream, downstream and energy sectors, operations by providing studies and full
packaged products from reputable manufactures.
3. General Terms
1. The Chairman reserves the right to amend, add or cancel any articles in these policies
without prejudice to employee's rights stipulated in Kuwait Labour Law No. 6 for the year
2010.
2. The provisions of Kuwaiti Labour Law (Private sectorllaw 612010) shall apply to other
matters or issues not mentioned in this manual.
3. This policy will apply with immediate effect and cancels previous policies and procedures.
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Section 2
EMPLOYMENT
Emplovment Policy
1. The Company endeavors to attract qualified and experienced candidates commensurate
with the skills and competencies required for each job.
2. Priority for employment should be given to qualified Kuwaiti nationals.
3. All employew are engaged under a written contract of employment specifying the position,
the contract period, basic salary and other terms and conditions as per Kuwaiti Labour
Law.
4. All employment contracts will be issued in Arabic & English and the Arabic version will be
considered in case of dispute.
5. Employment of selected candidates should have the approval of the General Manager.
Probation Period
All employees are engaged under a probationary period of 100 days. If the employee is
found to be unfit for service during the probationary period, the company has the right to
terminate hi services without notice and pay the employee his terminal indemnity.
Employment Procedures
1. The applicant submits the employment application to the Administration division Manager
who will screen the application to ensure compliance with job requirements.
2. The Administration Manager refers applications that meet job requirements to the
Manager concerned for review and interview suitable job applicants.
3. The Mawdger concerned interviews candidates and selects the suitable one.
4. The Manager concerned submits his recommendation for the suitable candidate to the
General Manager for approval for employment.
5. The Administration Manager offers the employment contract to the selected candidate for
approval & signature.
6. The Administration Manager is responsible for obtaining residence permit etc for Non
Kuwaitis.
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Section 3
HOURS OF WORK
Working hours will be 40 hours a week as follows:
8 Hours a day from Sunday to Thursday
Friday will be a weekly holiday and Saturday will be a rest day with pay
Working hours in the month of Ramadan will be 36 hours a week.
4. Official Holidavs
The following are the ofticia1 holidays with full pay as stipulated in the labour law:
Gregorian New Year One day
Hijra New year One day
Isra' and Mi'raj day One day
Eid Al- Fitr Three days
Waqfat Arafat One day
Eid Al-Adha Three days
Prophet's birthday One day
National Day One day
Liberation day One day
Procedures
The Administration Division follows the civil service commission to determine the official
holidays.
The Administration Division issues a circular informing staff of official holiday as directed
by the General Manager.
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Section 4
COMPENSATION
1. General Policy
The company aims to achieve equality and justice in managing salaries and other benefits where
bonuses are considered most important means to achieve excellence as well as company goals.
2. Salaries
The company pays a salary to each employee based on the value of his job according to the
applicable salary scales.
The employee should be advised of deductions from hi salary.
3. Annual Increment
Salary increases may be granted for individual cases subject to the approval of the Chairman.
4. Promotion
An employee is promoted to a higher grade if a suitable vacancy exists within the
organization as well as meeting the requirements of the job he is recommended to occupy.
Increment may not normally exceed 10% of the basic salary or the start rate of the new
grade which ever is the higher.
AU promotions are subject to the approval of the Chairman.
5. Profit sharing scheme
The company pays a part of the Net Profit to the employees on an annual basis in recognition of
their efforts in achieving the Company's objectives resulting in increased profits and reduced costs.
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5.1. Criteria for Eligibilitv under the scheme
5.1.1 Management determines an amount from thecompany Net Profit to be paid to the
eligible employees.
5.1.2 The Employee will be paid an mount ranging from One month to four months Basic
Salary depending on the performance and contribution in achieving the approved
Net Profit.
5.1.3 If the employee exceed the approved Net profit, then the employees' entitlement as
mentioned in Para 3.2 above will increase by the same percentage.
5.1.4 If approved Net Profit is not achieved, the employee is not eligible for the Profit
Sharing Scheme
5.1.5 Chairman has the right to authorize additional payments in exceptional cases on the
merits of each case.
Procedures
The General Manager in consultation with the Manager concerned reviews the
performance of staff on annual basis to determine their eligibility for the profit sharing.
The Finance Manager credits the account of eligible employees sharing amount as decided
by Chairman.
5. Allocation of car
The company normally allocates c a n to Managerland above or pay a monthly allowance in lieu of.
Sales staff are allocated cars based on operational requirements.
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Section 5
LEAVE
1. General Policy
The company encourages employees to avail their annual leave. Annual leave must be planned in
advance in order not to disrupt company business.
2. Annual Leave Entitlement
Employees are entitled to 30 days leave.
Managers and above are entitled to 40 days leave.
Employee may split their leaves subject to work requirements and the approval of the
Manager concerned should be obtained.
The no. of days of leave over and above the leave of entitlement will be deducted from leave
balance and if no leave balance, no. of overstayed days will be deducted from employees
Pay.
Employees will encashed their accumulated leave a t the end of their service.
Leave entitlement is calculated on the basic salary which the employee earns.
Part of employee's leave balance may be encashed subject to operational reasons and the
approval of the General Manager.
3. Sick Leave
An employee whose sickness is certified by a medical report is entitled to the following sick leave
during the year
15Days - a t full pay
10 Days - a t Three quarters of the pay
10 Days - at half pay
10 Days - at quarter pay
30 Days -without pay
If a t the end of the above periods, the employee is unable to resume his duty, he will be released
from service and paid his terminal benefits as per labour law.
4. Maternitv Leave
A pregnant employee is entitled to 70 days paid leave not included in her other leaves for delivery,
on the condition that she gives birth within this period. After completing maternity leave the
employer may grant a female employee on her request leave of not more than 4 months without pay
to care for her baby.
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5. Hai Leave
The employee who sewed two continuous years of service with the same employer is entitled to paid
leave for 21 days to perform Haj if helshe has not performed Haj before.
6. Comoassionate Leave
An employee shall be granted leave upto three days with pay in case of death of an immediate
family member.
7. Leave without oav
The company grants such leave for personal reasons in the event that the employee availed his
annual leave entitlement.
Procedures
1. The employee submits his leave to the Manager concerned for his approval.
2. The Administration Division assesses the leave entitlement and credit the employees
account.
3. The employee signs the leave form on return from leave.
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Section 6
BUSSINESS TRAVEL
Employees who are assigned to conduct company business outside Kuwait are entitled to the
following per diem rates:
Managers & Above Other employees
All Countries KD 150 KD 110
2. Business Travel
Class of travel is as follows:
1" Class : General Manager
Business Class : Division Manager
Economy Class :Other employees
3. If the employee is provided with the accommodation from the hosting organization, he will be
entitled to 50% of the per diem rate.
4. An employee who travels with a senior staff is entitled to the same class of travel.
5. Managers may be compensated for additional expenses related to accommodation if these exceed
the per diem allowance and subject to the approval of the General Manager.
Procedures
The employer submits hi duty form to the Manager I General Manager for approval.
The Finance Division will transfer duty entitlement to the employee account.
The employee signs the duty form on resuming hi work.
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Section 7
GRIEVANCES
General Policy
While its imperative to maintain to conduct the company business in an efficient manner, the
company considers it necessary to provide means of fair and prompt resolutions of grievances
consistent with the local laws, policies and sound business practice.
Procedures
1. The employee shall submit his grievance in writing to his supervisor, This step shall be sufficient
if the employee receives a satisfactory answer.
2. If step 1 does not resolve the grievance, the employee shall submit his grievance to the Division
Manager who shall discuss the issue with Human Resources Division.
3. If it requires, Manager of Human Resources Division will submit recommendation to the General
Manager to take appropriate decision.
4. The company's decision shall be notified to the employee by the Division Manager and will be
documented in the employee file.
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Section 8
DISCIPLINARY ACTION
1. General Policy
All employees should observe company policies and any violation of company policies &
procedures will render the company employee to disciplinary action as per the company
disciplinary code.
The employee should not be disciplined for an offense after the lapse of 15 days from
proving it.
The employee should not be disciplined for an offense committed outside work site unless it
is related to work.
Deduction from employee's pay should not exceed 5 days in a month.
Procedures
The Employee accused of committing the offense should be investigated by his supervisor
who will listen to his views and defense and all minutes of the investigation should be
documented in the employee's file.
The employee will be informed in writing of his offense and the disciplinary action.
The employee may be suspended from work as a precautionary measure till the end of the
investigation for a period not exceeding ten days.
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Section 9
END OF SERVICE
1. The employee's service shall be terminated as follows:
1.1 If the employment contract is of indefinite period each party has the right to terminate it
after notifying the other party with at least 3 months notice for employees' paid on monthly
basis.
1.2 The employer shall relieve the employee of work, during the period of notice and the
employee shall be paid his wages during this period.
2. An employee may be dismissed without notice or indemnity in the following cases:
2.1 If he commits an offence causing gross loss to the company
2.2 If he obtains employment under false pretence.
2.3 If he divulges the secrets of the organization.
3. An employee may be dismissed without notice, but he is entitled to terminal indemnity in the
following cases:
3.1 Persistent disregard to the instructions of the employer or his representative.
3.2 If he has been convicted of a crime in which honor, honesty or morality are involved.
3.3 If he insults his colleagues, or the employer or his representative in the course of or arising
out of employment.
3.4 If he commits an act contrary to morals on the work site.
3.5 If he neglects or fail to meet any of the obligations imposed upon him in the terms of
contract and the provision of this law
4. If the employee absents himself from work without justification for more than seven consecutive
days or non consecutive twenty days in a year his case shall be treated as a resignation.
5. Terminal Indemnity
The employee is entitled to the following terminal benefits
5.1 The employee shall be entitled to a 15 days remuneration for each of the first five y e a n of
service and one month remuneration for every year thereafter.
5.2 The total of the end of service benefit shguld not exceed one and a half year remuneration.
5.3 In case the employee terminates the Contract, he shall be entitled to half of the end of
sewice benefits above, provided he has completed three years of continuous sewice and not
more than five years. In the event where the period of sewice is more than five years and
less than ten years, the employee shall be entitled to two thirds of the benefit and if the
period of service exceeds ten years, the employee shall be entitled to his entire benefit.
Procedures
Tbe Administration Division advises the employee in writing of his termination based on
verbal notification from Division Manager.
The Finance Manager assesses his terminal indemnities as per labour law.
The employee signs a disclaimer to enable the company to pay his terminal indemnities.
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Section 10
CODE OF ETHICS
The Company is committed to maintaining a code of ethics that is consistent with Company policies
and values as well as the laws of the country.
[Link] & Behaviors
Employees undertake to apply these values as they interact with vendors and other clients.
1.1 Cooperation is important in achieving our business goals and objectives. This requires to he
responsive to new ideas.
1.2 Setting an example and doing what is good for the company as a whole.
1.3 Setting goals and taking pride in the work that is performed
1.4 Keep an open mind and maintain open lines of communication with clients vendors etc.
1.5 The ability to be flexible and work in changing business environment. We need to be
creative; action oriented and empowers people to find solutions.
1.6 Integrity through words and actions means that we treat each other with honesty, fairness
and respect.
2. No list of rules can cover all circumstances that employees may encounter. Following are general
guidelines that employees should adhere to.
2.1 Companv Policies and Procedures
Employees are expected to understand and comply with all policies, procedures, and directives of
the company.
2 3 Work Environment
The company is committed to an environment free from harassment, where employees are free to
communicate their concerns or questions to the appropriate level of responsible management
directly and constructively, without fear of punishment or retribution.
2.3 Comoliance with Laws and Reeulations
It is company policy to comply the laws of the country, and with the regulatory requirements
affecting our business. This also includes that employees should not indulge themselves in political
and/or religious matters that will have negative impact on the national security of the country.
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2.4 Confidential Information
Access to confidential information about our company, our vendors and our customers is part of
your job. Never share or make this information available-to individuals outside the company
without management approval. Confidential information includes financial, personnel, on
customers, vendors, employees. It is strictly prohibited for an employee to divulge confidential
information of any nature, to others in the organization. Disclosure of confidential information is a
breach of the company policy and will render the employee to be liable to disciplinary action.
Employees who are terminated from the company service and must handover all documents and
computers to the company.
2.5 C o m ~ a n Records
v and Information
The records and accounts of the company must be maintained at all times in reasonable details and
in a manner that accurately reflects all business and financial transactions and the disposition of
assets. Special care must be taken that any information supplied to parties performing audits or
preparing regulatory reports or financial statements is, in all material respects accurate and
complete.
2.6 C o m ~ n t eUse
r
Employees are required to comply with the company policies in their use of all company computers.
When using company computing resources (including Internet access) employees are responsible
for ensuring that their actions do not, damage the reputation of the company or cause
embarrassment to the company or any of its stakeholders. Disciplinary action will apply in case of
violation of company Policy.
2.7 Smoking
The company has vital interest in maintaining a healthy and safe environment for its employees,
customers &visitors. Smoking is restricted in all areas of the Company building(s).
2.8 Conflict of Interest
Employees have a responsibility to work in the best interests of the Company and to avoid
situations and actions that may be or that create the appearance of being in conflict with the
Company's objective and principles. The following examples of employee activities that must be
avoided:
Holding financial interest in any enterprise with which the Company has business dealings
(e.g competitors, suppliers and customers)
Accepting, directly or indirectly, from any vendor or supplier of services, cash payment,
service loan (except those offered to employees of the company).
Competing with the company for the purchase or sale of any kind of property (tangible or
intangible) or diverting a business opportunity from the company for the employee's
personal interest.
Using company assets (e.g. funds, facilities, know-how or personnel) for the benefit of other
business or personal interest.
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2.9 Gifts
In principle, there is nothing wrong with receiving or giving gifts of appreciation of nominal value
and of a promotional nature endorsed with the corporate logo such as calendars, diaries, pen sets
and calculators.
2.10 Bribery
You must not offer, solicit or accept a bribe in any form. You may not accept any gift, payment o r
bribe, or anything else of value, whether directly or indireetly from any person for the purpose of
influencing an official act or decision or to obtain, retain or direct business to the company or
person.
2.11 Dress code /Personal Appearance
You are expected to dress and groom yourself in accordance with accepted social and business
standards, particularly if your job involves dealing with customers or visitors in person. Each
manager is responsible for establishing a reasonable dress code appropriate to the job you perform
and anyone who violates this standard will be subject to appropriate disciplinary action.
Approved by:
Abdulla Sultan Ben Essa
Chairman
