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Standard Ref: ISO 9001:2008 Quality Management System Document Title: Human Resources Policy Manual Document No: EHC/HR/ESP/HRPM/ Revision No: 03 Effective date: 01/03/2016 Page 1 of 73 NAMA Group 2016-2018 Human Resources Policy Manual

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Page 1: Human Resources Policy Manual NAMA Group...Standard Ref: ISO 9001:2008 Quality Management System Document Title: Human Resources Policy Manual Document No: EHC/HR/ESP/HRPM/ Revision

Standard Ref: ISO 9001:2008 Quality Management System Document Title: Human Resources Policy

Manual

Document No: EHC/HR/ESP/HRPM/ Revision No: 03 Effective date: 01/03/2016

Page 1 of 73

NAMA Group

2016-2018

Human Resources Policy Manual

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Standard Ref: ISO 9001:2008 Quality Management System Document Title: Human Resources Policy

Manual

Document No: EHC/HR/ESP/HRPM/ Revision No: 03 Effective date: 01/03/2016

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Table of Contents

Table I: ABBREVIATIONS ................................................................................... 5

Table II: DEFINITIONS ......................................................................................... 6

Chapter 1: GENERAL INTRODUCTION TO THE MANUAL ............................ 10

Chapter 2: MANPOWER PLANNING ................................................................ 12

Chapter 3: SELECTION AND RECRUITMENT ................................................. 13

Chapter 4: APPOINTMENT AND EMPLOYMENT ............................................ 16

Chapter 5: EMPLOYEE TRANSFER & SECONDMENT WITHIN THE GROUP18

Chapter 6: WORKING SCHEMES AND LEAVES ............................................. 20

Chapter 7: ALLOWANCES, BENEFITS AND TRAVEL .................................... 25

Chapter 8: LEARNING AND DEVELOPMENT ................................................. 34

Chapter 9: PERFORMANCE MANAGEMENT SYSTEM .................................. 37

Chapter 10: PROMOTION ................................................................................. 39

Chapter 11: HOT SKILL ..................................................................................... 40

Chapter 12: SUCCESSION PLANNING & CAREER PATH ............................. 41

Chapter 13: RECOGNITION .............................................................................. 43

Chapter 14: GRADING AND SALARY .............................................................. 44

Chapter 15: RESIGNATION AND RETIREMENT ............................................. 46

Chapter 16: EMPLOYEES RELATIONS ........................................................... 48

APPENDICES .................................................................................................... 50

Document Control

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Standard Ref: ISO 9001:2008 Quality Management System Document Title: Human Resources Policy

Manual

Document No: EHC/HR/ESP/HRPM/ Revision No: 03 Effective date: 01/03/2016

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Printing this document or transferring it to another electronic format shall result in the document being an

uncontrolled copy. Please check that you are using the current version by referring to the company’s HR

Department.

File Name: NAMA GROUP/QM-HRM

Document Title Human Resources Policy Manual 2016 – 2018

Version: 3.0 Date: March 2016

Status: Draft

Document Level L1– Policy

Owner of Document: EM-GHR

Security Classification: Internal for circulation

Link on Server: To be updated by NAMA GROUP

This document shall be reviewed at least annually.

Document Review

Name Designation Version Date

Ibrahim Al Suleimany Executive Manager Group HR 3.0 March 2016

Protiviti Consultant 3.0 March 2016

Document Endorcement

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Name Designation Version Date

Eng. Omar Al Wahaibi Nama Group Chief Executive Officer 3.0 March 2016

Document Approval

Name Designation Signature Version Date

HE. Saud Al Shukaili Chairman of Nama

BoDs

3.0 March 2016

Manual Distribution

Copy Number Copy Holder Title Name

First Master copy Group Chief Executive Officer Eng. Omar Al Wahaibi

Second Master copy Executive Manager Group HR Ibrahim Al Suleimany

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Table I: ABBREVIATIONS

Abbreviation Meaning

BoD Board of Directors

CEO Chief Executive Officer

EGC Electricity Group Company

EM-GHR Executive Manager Group Human Resources

G-CEO Group Chief Executive Officer

HoCB Head of Compensation and Benefits

HoD Head of Department

HR Human Resources

HRM Human Resources Manager

HoTM Head of Talent Management

IDP Individual Development Plan

JD Job Description

PIR Point In Range

TC Technical Champion

NICD Nama Institute for Competency Development

PMS Performance Management System

AER Authority for Electricity Regulation

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Table II: DEFINITIONS

Word Definition

Annual increment A percentage of increase in the Employee’s salary determined by the Ministry of

Manpower from time to time.

Applicant An individual who formally applies for a job at NAMA Group.

Annual Bonus

A reward paid to an employee at a certain time of the year. Annual Bonus is tied to

performance metrics and the amount can vary depending whether certain milestones

are met. Annual Bonus is made up of lump-sum payments.

Board of Directors

The Company Board of Directors is the highest authority that lays out the general

policies of the Company and follows up the performance of the Executive

Management.

Applicant

Assessment

The methods used to evaluate and measure the aptitude of an applicant for a vacant

job. Applicant Assessment may include variety of techniques including interviews,

exercises, examinations and psychometric testing.

Candidate A short listed job applicant following an interview and assessment process.

Conference

Formal large or small group meeting where people talk and discuss (or "confer")

about a chosen topic. A conference can be a public meeting arranged for discussion,

such as a press conference or a national conference for a particular group. A

Conference normally presents distinguished local or international speakers with

expertise and knowledge in the topic.

CEO The Chief Executive Officer of the Subsidiary.

Group CEO The Top Executive Officer for the NAMA Group.

Country of

permanent

Domicile

Normally the country which an Employee or a potential employee is a national of, or

where one has firmly established ties (family, business, tax, residence, passport, etc.

are taken into account). In any case the country of permanent domicile is agreed

upon at the time of recruitment and shall be clearly specified in the employment of

contract. It is used for the purposes of computing entitlements like air tickets for the

purpose of joining the work, and going on annual leave.

Department

Manager

The Officer in charge of the Department works including its Sections, Sub-sections

and the employees therein, i.e. the first Officer who is directly affiliated to the CEO.

Accordingly, when the text states that the action is the responsibility of the

“department”, this means that the Department Manager shall personally and solely

do the action. However, this also includes the personnel at the Department,

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Sections and Sub-sections to whom he delegates and distributes the work under his

responsibility.

Education

Assistance Is financial assistance provided by the Company to selected staff pursuing part time

educational program approved by the Company

Emergency Leave Paid leave granted to the Employees under unforeseen circumstances.

Executive Search

Firms A specialized recruitment company used to source Candidates for senior, executive

or other highly specialized positions in organizations in various industries.

Employee An individual who works at the Company as full time or part time under Contract of

Employment.

Family Status Is a status bestowed upon married Employees with their spouses and children

accompany them to live in Oman during the term of employment.

First degree

Relative Spouse, son, daughter, parents, Including officially adopted Children.

Gross Salary The Employee’s total salary including all the allowances, before taking deductions for

social insurance and before adding overtime.

Hot Skill

Where people and/or positions are of a critical, specialist or particular nature which

establishes by this very nature a significantly higher market value than is normal (a

justified market premium) the Company may subject that person and/or position to

the “Hot Skills” Policy.

Human Resources

Policy Manual

Manual which describes the HR policies and entitlements applicable to all

Employees.

Interview Panel A hiring committee that consist of members who jointly interview a job candidate at

the same time.

Job Description

Set of tasks performed by an employee in exchange for pay. A job consists of duties,

responsibilities, and tasks that are defined and specific, and can be accomplished,

quantified, measured, and rated.

Transferred

Employee

Employees whom have been transferred from Ministry of Housing, Electricity &

Water (previously) and are following Pension Fund Law

Job Evaluation

A systematic way of determining the size of a job on the basis of consistent set of

factors, such as qualifications and skills required. Job Evaluation is used to compare

jobs within the organization (Internal Equity) or with positions in the market (External

Equity) to establish a competitive pay structure. Hay Method is the approved method

for job evaluation in NAMA Group.

Job Evaluation

Panel

A group of selected employees, HR personnel and a panel chairman who are

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considered experts in job evaluation using Hay Methodology.

Job Grade A collection of jobs that have the same value or worth for compensation purposes.

Labor Law Oman Labor Law and its amendments

Leadership Team A group of executives, contributing to the development of strategies and policies

necessary to run the Company to meet its targets.

Manpower

Planning

Manpower planning is a process of projecting and matching workforce requirements

to organizational objectives, and highlighting and forecasting the human resource

implications when undertaking particular operational or strategic activities.

Medical Certificate

A statement from a physician or other health care provider that attests to the result of

a medical examination of a patient. It can serve as a "sick report" that is considered

as a documentation that an employee is unfit for work or evidence of a health

condition.

Medical Committee The entity designated by the Ministry of Health to decide on the medical fitness of an

employee to resume his job duty.

NAMA Group

Companies

“NAMA Group”, “EHC and its subsidiaries” referred to the Electricity Holding

Company SAOC and its nine subsidiaries listed below:

Abbreviation Subsidiary Name

WJPC Wadi AL Jizzi Power Company

GPDC Al Gubhrah Power and Desalination Company

OPWP Oman Power and Water Procurement

Company

OETC Oman Electricity Transmission Company

MJEC Majan Electricity Company

MZEC Mazoon Electricity Company

MEDC Muscat Electricity Distribution Company

RAEC Rural Areas Electricity Company

DPC Dhofar Power Company

On - Call Duty

When an employee is placed on Duty roster to be available for taking work related

calls and attending work if needed. In this situation, employee is expected to be on

standby.

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Overtime The amount of time an employee works beyond normal working hours defined by the

Company policies to satisfy business requirements.

Performance

Management

It’s a periodic process of evaluating and appraising the performance of NAMA

Group, department and individual on pre-defined scorecards / targets. For individuals

it is usually followed by structured feedback and development plans.

Public Authority

for Social

Insurance (PASI)

Established by the Royal Decree No.72/91 that came in force with effect from July 1,

1992 as stipulated by one of its articles that a public Authority shall be formed under

the name of "Public Authority for Social Insurance" enjoying administrative and

financial independence, to be responsible for the implementation of this law.

Position A post of employment at the company with well-defined tasks and responsibilities

that can be occupied by one person on normal working hours or shift cycle.

Position in Range

Salary range assigned to compensate an individual position within NAMA Group.

PIR consists of Minimum, Midpoint and a Maximum salary, and each position’s

salary falls in the range between the Minimum and Maximum salary according to

several factors such as education, years of experience and level of competency.

Ranking

A technique by which candidates are listed in order for their suitability to fill the job

based on the evaluation criteria selected and defined by the Interview Panel prior to

the interview and assessment process.

Recognition

Any word or deed towards making an Employee feel appreciated and recognized for

going above and beyond in achieving NAMA Group’s values. Recognizing or

honoring achievements is expressed regularly through a host of simple gestures

such as a sincere thank you, as well as symbolically through the receiving of an

award.

Recruitment Plan A detailed hiring plan that includes short and long-term recruitment goals, strategies,

number of required resources, cost implications and recruitment schedule.

Relief Allowance

An allowance paid to employee for holding an additional responsibility of another

position within the company for specific period of time to cover the absence of

another employee.

Redundancy Redundancy is when an employer terminates someone’s employment because the

position is no longer required.

Ruwad Program

Ruwad is a High Potential identification program for the company that focuses on

identifying the most promising Omani talents from across The company and

developing them to take on the leadership roles within the Group. The program has

been designed to be a robust intervention for the identified High Potentials as a

result of which they will receive a focused training and development opportunity.

Salary Advance

Payment of the Employee monthly salary before the actual payment due date where

the Employee is going on annual leave and shall remain on leave on the date the

payment becomes due.

Salary Loan An Interest Free-Loan offered to eligible Employees up to two months Gross Salary.

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Scholarship Financial aid provided by the company to an Employee to sponsor his/her education.

Secondment

An employee is assigned on temporary basis to work for another company or a

different function within the Company under specific agreed arrangements for a

specific period of time.

Section The administrative structure affiliated directly in hierarchy to a Department.

Section Head The officer who is in hierarchy directly affiliated to the Department Manager and

responsible of the overall performance of the section.

Supervisor An Employee leads a group of staff and report to a Section Head.

Technical

Champion

An expert in a career discipline identified by the Company to develop and builds

competency skillsets of Employees within the discipline.

Terms &

Conditions

The general and special arrangements, provisions, requirements, rules,

specifications, and standard benefits that form an integral part of a contract and that

are in line with Oman Labor Law requirements.

The company NAMA Group.

Overtime Time-Off The compensatory time granted to employees for the amount of time they work

beyond normal working hours defined by the Company policies.

Nama Institute for

Competency

Development

An independent organization dedicated for competency assessment and

development of Employees in the Utilities Sector.

Vacancy An unoccupied approved Position.

Working Hours The official working hours prescribed by the Company in accordance with the Oman

Labor Law.

3rd Quartile It is the data point below which 75% of the market ranges fall.

HR Executive

Management

Human Recourse Directorate at Electricity Holding Company

Chapter 1: GENERAL INTRODUCTION TO THE MANUAL 1.1 Introduction

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This manual is designed to acquaint the company employees with the company policies related to

their employment. The information contained in this Manual is generally applicable to all Employees

of the company. However, nothing in this manual shall be read in contrary to your individual

employment contract. The contents of this manual shall not constitute nor be construed as a contract

between the company and any of its employees.

The company reserve the right to interpret, change, suspend, cancel, or dispute with or without notice

all or any part of our policies, procedures, and benefits at any time provided it is not provided for in

the Employment Contract. We shall notify all employees of these changes. Changes shall be effective

on the dates of issue by the relevant authority within the company. Effective date shall always be after

the date of issue. After those dates all superseded policies shall be null and void.

If you are uncertain about any policy, refer to your Reporting Line Manager or contact respective

Human Resources Department. Shall inconsistency occurs between the Arabic version of the

Manual and the English version the Arabic version shall prevail.

1.2 Objectives of the Manual

To document the company policies for the purpose of administering the pool of human

resources employed in the Companies.

To communicate the adopted policies, so that both the Employer and the Employees are

aware of their respective responsibilities, duties, rights, benefits, and terms and conditions

governing their employment.

1.3 Manual Maintenance

The Executive Group Human Resources under the guidance of the Nama Group CEO is responsible

for its administration.

1.4 Revision Frequency

The HR Manual is to be reviewed at least every three years and amendments will be edited by the

Human Resources Managers and raise them to the HR Executive Management. All amendments

shall be approved by Nama Group BoDs ( EHC’s BoD) and the final approval shall be endorsed by

Ministry of Manpower In addition to this minimum review period requirements, the HR Manual shall

be updated on an as-needed basis to reflect changes in the business, government or regulatory

environment.

1.5 Implementation Responsibility

The company is responsible to use and adhere to the centralized HR Manual for HR activities.

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Chapter 2: MANPOWER PLANNING

Purpose The manpower plan shall be prepared along with the company business plan and annual budget. This plan shall project the quantitative manpower requirements for the current year and forecast for the following four years.

Scope This section defines the Manpower Planning Policies.

Coverage The policies apply to all the NAMA Group companies.

Policy Annual Manpower Plan shall be developed based on the strategic business objectives and annual

business plan of NAMA Group, and based on manpower requirements gathered from various Heads of Departments in line with their departmental objectives.

The Manpower Plan shall contain details of the number of positions which are permanent, temporary, outsourced and seconded along with their grades.

The Manpower Plan can be reviewed not more than twice during the year. Any changes shall be in line with price control approved by AER.

Job Descriptions (JDs) must be developed for all new positions and/ or reviewed annually for existing positions. The JDs must be approved by the Technical Champion (TC) of the respective discipline.

All jobs must be analyzed and evaluated as per the Hay Methodology and mapped to an internal grade.

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Chapter 3: SELECTION AND RECRUITMENT

Purpose These policies provide the guidelines for the selection and recruitment of employees through effective implementation of the Manpower Plan. This involves recruitment, screening and selection of the candidates (both internal and external) who best fit to satisfy current and future requirements of NAMA Group.

Scope

This section defines the Selection and Recruitment Policies.

Coverage This policy applies to all Employees participating in the Selection and Recruitment process such as the HR Department, HoDs / Section Heads and to NAMA Group’s Employees who apply for internal job posting.

Policy The Recruitment process should be in line with NAMA Group’s approved Manpower Plan. The Head of Talent Management shall develop the Recruitment Plan for all approved vacant

positions in coordination with the HoDs. The Recruitment Plan shall be reviewed maximum twice a year. Job vacancies should be advertised internally and externally at the same time; however internal

candidates will be interviewed in the first place, and if candidates are not eligible then external candidates will be interviewed.

HR Department should maintain a list of recruitment firms and shall be approved by the HR Manager. Internal candidates must be screened and interviewed if they match the requirement of the job and

according to recruitment procedures final decision of recruitment shall be made. The company policy is not to recruit first degree relatives. However, if the business circumstances

dictate, then prior approval for such an appointment should be obtained. The company has the full right not to consider any Job request, resume, or candidate who does not

possess the minimum job requirements without the obligation to state any reasons. Role specifications shall be approved by the concerned department manager and the Human

Resources Manager prior to being issued to search and selection companies. Employees getting transferred within the companies are subject to this policy. Filling of vacant position by employee as a result of decommissioning of any Nama Group shall be

exempt from above policy.

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3.1 Interview

HR Department shall coordinate with the concerned HoD to execute the selection process.

HR Department shall administer the selection process.

An Interview form shall be used during the interview for evaluation and assessment of the

candidates by all panel members.

Preliminary telephonic interviews may be conducted to assess if the applicant is a potential

candidate, however, face to face interviews shall be conducted for final selection purpose.

Interviews conducted for jobs between levels 8 – 13 shall be recommended for appointment

by the interview panel after the first round. The interview panel shall consist of at least the HR

Department and the Head of the relevant section.

Interviews conducted for jobs between levels 14 – 16 shall be recommended based on the

preliminary interview and the technical assessment. The interview panel shall consist of the

HR Manager / HR Section Head and the relevant Head of Department.

Interviews conducted for job levels 17 and above shall require two rounds of interview and

Leadership Assessment. The panel shall consist of minimum two interviewers and shall not

exceed four interviewers. The Reporting Manager of the vacant position shall be member of

the interview panel.

CEOs shall interview candidates for leadership positions which directly report to him/ her or

any other position which the CEO deems necessary after recommendation made by the

interview panel.

Separate Interview Forms shall be completed and signed by each panel member and

submitted to the HR Department for records.

3.2 Reference Checks

Thorough reference checks shall be conducted and documented by the HR Department for

all successful candidates, before any decision is undertaken to appoint the Candidate. All the

qualifications provided by the candidate shall be attested by the relevant competent

authorities.

The company has the full right to revoke the offer of employment / terminate the employee if

it is evident that the candidate/employee submitted false documents.

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3.3 Offer of Appointment

The candidate’s salary shall be in line with NAMA Group’s approved Grading Structure and

Position in Range (PIR) System. The Offer of Appointment for selected candidate shall be

approved according to Appendix 6 (6.1).

Candidates, who meet the minimum requirements of the job profile, shall be offered the

minimum of the position grade.

If the Candidate’s relevant experience is above the minimum requirement of the job, the

candidate shall be offered an additional 1.5% of the PIR System for each additional year of

relevant experience.

If the Candidate’s qualification is above the minimum requirement of the job, the Candidate

shall be granted an additional 3% of the PIR System.

HR Managers can recommend the allocation of a higher salary than the Position in Range

(PIR) for those who have scarce skills in market and unable to be attracted, under the

condition that the PIR shall not exceed 75%.

Consultants and experts with special competencies that are not covered by the existing

Grading Structure and Salary Range shall be compensated based on the market rate. Such

compensation shall be valid for a maximum of three years.

3.4 Candidate Expenses

The company shall reimburse all candidates called for interview expenses related to pre and

post interview including transport, accommodation, 3 meals a day, certificate attestation,

certificate courier charges and issue of original certificate.

All expense reimbursements to candidates shall be based on actuals and processed upon

submission of valid supporting documents such as original airline boarding pass and original

invoices/bills/receipts.

The eligibility of air travel shall be as per Appendix 1 (1.2).

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Chapter 4: APPOINTMENT AND EMPLOYMENT

Purpose To set standards for the different categories of appointment contracts.

Scope This section defines the policies for appointment and the maintenance of employee personal folders.

Coverage This policy is applicable to all employees of NAMA GROUP.

Policy

4.1 Appointment

Employees may be employed in different categories based on the Business requirements. Refer to Appendix 1 (1.3) for employment categories.

All employees shall be treated as per the Omani Labor Law.

4.2 Formalities prior to employment

Security Clearance

All selected Omani Candidates shall undergo a security clearance, unless the Shareholder requested additional formalities .

All selected Expatriate Candidates should pass all the security clearance formalities from competent authorities.

All selected Expatriate Candidates shall present no objection certificate (NOC) from previous employer if recruitment took place in Oman. Employment Visa has to be secured from Royal Oman Police prior to the signing of the employment contract.

Originals certified of all documentations required as per the Oman Labor Law shall be presented by the selected candidates upon request.

Medical Examination The company requires all Candidates to under-go medical examination in any of the

approved hospitals/clinics by The Company. The Candidates should pass all the medical examination required by The Company. All medical expenses related to the recruitment will be borne by The Company.

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4.3 Induction

The HR Department in coordination with Corporate Communication dept. shall develop a formal induction course and/or orientation program.

The HR Department is also responsible to provide Employees with NAMA Group’s employee handbook, Procedures and Code of Ethics.

4.4 Probation

All Employees are required to serve a probation period for three months as prescribed by Oman Labor Law from the date of engagement.

The company or the Employee may terminate the Employment Contract during the probation period with a written notice as prescribed by Oman Labor Law .In cases where an Expatriate employee leaves the company in his/ her own wishes during the Probation Period, the company is responsible to pay his/her return ticket & relocation allowances the company

In cases where the Expatriate employee leaves the company during the probation period based on the company decision, then employee shall not be liable to pay back or reimburse any travel expenses and relocation allowance.

The concerned HoD shall advise on the successful completion of the Probation Period.

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Chapter 5: EMPLOYEE TRANSFER & SECONDMENT WITHIN THE GROUP

Purpose To facilitate and encourage employees movement within NAMA Group companies.

Scope This policy defines the guidelines for Transferred and Seconded Employees within NAMA Group.

Coverage This policy applies to all Employees who transfer and Seconded within Nama Group due to business requirements.

Policy

5.1 Transfer

Employees may be transferred within the company due to:

Restructuring of Companies within the Group.

Succession Planning and Career Progression.

Scarcity of competencies and for knowledge transfer purpose.

Transfer of Employees due to Succession Planning, Career Progression, or scarcity of

competencies and knowledge transfer are subject to approval as per Appendix 7.

Transfer of Employees within the company shall be considered as a continuation of the

Employees’ services.

Transferred Employees shall be granted equivalent employment level and package or if the

job group higher than his/ her current salary group and meets the promotion criteria shall be

promoted to the new job group, the company has the full discretion to re-evaluate the job of

the new post.

Company shall pay all expenses of employee’s transfer and relocation.

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5.2 Secondment

Secondment of Employees within the Group is applicable due to the following:

Career development of Secondee.

Provide the chance for Secondee to work on short/long term projects.

Providing potential cover for short term absences.

Seconded Employees shall remain an Employee of the original Company during the term of

the Secondment.

The Secondmee Employee shall receive the same terms and conditions from the initiated

company.

All work arrangement details and reporting channels shall be fully detailed in the Secondment

agreement.

All Secondment incurred expenses shall be paid by the initiated company including the cost

of employee relocation and return.

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Chapter 6: WORKING SCHEMES AND LEAVES

Purpose To define the policies of working schemes, leaves and its criteria as prescribed by the Oman Labor Law.

Scope The scope of this section defines the working schemes and Leave Policies for the company that Employer may grant them.

Coverage This policy applies to all Employees of NAMA Group.

Policy

6.1 Working Schemes

NAMA Group’s working days are from Sunday to Thursday.

All Employees must strictly adhere to the working 7.5 hours per day from 7:30 AM to 3:30 PM

including a 30 minutes lunch break. Employees on flexible working hours shall complete 7.5

working hours per day.

Employee late arrival and/or early departure, without appropriate justification and approvals

from the Reporting Line Manager, for a maximum of 8 hours per month shall result in salary

deduction.

Employees may opt for flexible working hour’s system for a minimum of one month and shall

be reported to the Head of Compensation and Benefits through Human Resources

Management System (HRMS).

NAMA Group’s Management reserves the right to change the working hours to suit the

Operational requirements.

The working hours for all Muslim Employees during the holy month of Ramadan as per the

Omani Labor Law.

Employees are entitled to all Public holidays declared by the Government applicable to the

Public Sector.

Employees working on Public holidays declared by the Government shall be compensated as

per the Omani Labor Law.

On case-by-case basis, for educational or medical reasons, employee may be allowed to

work the minimum of five hours per day for a maximum total of six months per year.

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6.2 Overtime

Employees are entitled to overtime payments or time off in lieu for the overtime hours worked

for more than 7.5 hours in a day. Overtime hours shall not exceed 4.5 hours per working day

and 12 hours per day during weekends or Pubic Holidays.

The overtime calculation based on completion of one hour and above.

All overtime calculation shall be calculated as Appendix 2 (2.1).

6.3 Annual Leave

The HR Department is responsible for calculating and keeping track of all leaves availed by

each Employee during the calendar year January to December.

All Employees are entitled to Annual Leave as per Appendix 2 (2.2).

Employees shall apply for Annual Leave prior to commencing the Annual Leave; otherwise

disciplinary action shall be applied as per the Oman Labor Law.

Employees are entitled to carry forward a maximum of 10 working days of their Annual Leave

to the following year. Any excess days over 10 working days which are not utilized shall be

lost.

Annual Leave entitlement settlement due to Employees resignation or retirement shall be

calculated on pro-rata basis.

Leave encashment shall be paid to Employees who apply for Annual Leave and the leave

application is rejected by the Head of Department due to operational requirements.

Leave encashment for all entitled Employees shall be paid before closure of Financial Year,

based on the gross salary of the previous year.

All expenses incurred by the Employee due to the termination of the employee approved

Annual Leave requested by HoD due to operational requirements, shall be reimbursed by the

Company. The Employee shall be entitled to leave encashment / Compensation in lieu of the

time spent in duty.

Employees eligible to apply for a Half Working day Leave for a maximum of 4 hours and it

shall be deducted from the Annual Leave balance.

Employees are entitled to avail Annual Leave on a pro-rata basis after successfully

completing the Probation Period.

Employees who are unable to resume duty after the completion of the approved Annual

Leave, for unforeseen reasons must inform the HoD within 24 hours after end of the

approved leave, and obtain approval for leave extension. Employees who fail to resume to

work without the approval of leave extension shall be subject to disciplinary procedure as per

the Oman Labor Law.

Approved extended leave shall either be adjusted against the leave balance or treated as

leave without pay, if the annual leave balance is exhausted.

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Employees who are on full scholarship (internal/ external) are not entitled to Annual Leave

during the period of the scholarship.

Employee who is on official trip during public holidays and weekends to be compensated day

by day and this is not applicable for employees who are on training/conferences and

workshops.

6.4 Advance Annual Leave

Advance Annual Leave shall be approved as per the criteria in Appendix 2 (2.3).

6.5 Sick Leave

Employees are entitled to Sick Leave every year as per Appendix 2 (2.4). All Employees who avail Sick Leave shall submit an approved Sick Leave Certificate. The company has the full discretion to investigate the validity of the Sick Leave Certificate. Employees who submit Sick Leave Certificate from hospitals/clinics outside of the Sultanate

of Oman shall have to attest the Certificate from the relevant embassy in Oman. In case an Employee falls sick during the Annual Leave, then such leave shall be considered

as part of the Annual Leave and shall not be adjusted as Sick Leave; even if a Medical Certificate is produced.

An Employee on extended Sick Leave may avail the unutilized Annual Leave balance after the exhaustion of the Sick Leave.

6.6 Emergency Leave

All Employees are entitled to pay Emergency Leave per year in the event of personal emergencies or unforeseen natural disasters as per Appendix 2 (2.6).

The Emergency Leave availed shall not exceed 2 working days per each emergency instance.

Emergency Leave cannot be accumulated, combined with Annual Leave or carried forward to the following year.

Emergency Leave can be requested only at the time of the emergency. Application for Emergency Leave in advance shall be rejected. The company has the full discretion to investigate the validity of the Emergency Leave. If the

company finds solid evidence that instance was not an emergency, the Emergency Leave shall be treated as Leave without Pay.

6.7 Marriage Leave

Omani Employees are entitled paid Marriage Leave once during the term of service with the Company as per Appendix 2 (2.6).

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6.8 Death of a relative Leave

Employees are entitled to a paid Leave when a family member passes away as per Appendix 2 (2.5).

Employees shall submit Death Certificate certified by the competent authority to the Head of Compensation and Benefits upon resuming work.

6.9 Maternity Leave

All female Employees are entitled to a paid Maternity Leave as per Appendix 2 (2.6).

Female Employees may extend their Maternity Leave and include accumulated Annual Leave

balance as part of their Maternity Leave.

Female Employees on Maternity Leave are not entitled to Sick Leave.

If the pregnancy of the Employee is terminated by miscarriage, the Employee shall be entitled

to a period of Sick Leave as certified by a registered Medical Practitioner.

All advice on Maternity Leave shall be supported by a Certificate from a registered Medical

Practitioner stating the Employee’s expected date of delivery.

The Employee shall communicate to the Employer in writing at least 10 working days in

advance in case the leave is to be extended. If an Employee does not communicate with the

Employer to this effect and fails to report to work on the day after the expiration of Leave, the

leave shall automatically be considered as Leave without Pay.

Without prejudice to the above, Employees are entitled to up to a maximum of 30 calendar

days of unpaid Maternity Leave.

Employees are entitled to one hour break for lactation for a period of one year following the

delivery. The effective date of eligibility is counted from the date of birth.

6.10 Paternity Leave

Male Employees are eligible for Paternity Leave as per Appendix 2 (2.6). If the Employees’ wife gives birth. The Paternity Leave should be availed within 60 working days from the child’s date of birth.

A valid Birth Certificate shall be produced as a proof.

6.11 Examination Leave

Omani Employees are eligible for paid Examination Leave as per Omani Labor Law (refer to Appendix 2 (2.6)) per year for the purpose of preparation and attending examinations. Such leave shall be granted provided submission of proof of examination attendance.

Examination Leave shall be granted to Omani Employee who are perusing an academic higher degree and internationally recognized vocational certifications (i.e. ACCA, CPA, CIPD… etc).

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6.12 Leave without Pay

Omani Employees are eligible for leave without pay under the following conditions ( as per Appendix 2 (2.6) ): o The Employee is filling a permanent position and his her performance rating is at

least value contributor for the last 2 years. o No cost shall be borne by the company to maintain the Employee’s employment as a

result of such leave including without limitation any social insurance or pension scheme contributions.

o This policy excludes the employee who gets a scholarship from the government.

6.13 Patient Escorting/ Hospital Attendance Leave 6.13.1 Abroad Patient Escorting

Employees are entitled to a paid Patient Escorting Leave as per Appendix 2 (2.6) per year, in the event of Patient Escorting with first degree relatives.

Employees must submit an attest the Medical Certificate from the relevant embassy in Oman.

6.13.2 Hospital Attendance Leave in Oman.

Employees are entitled to a paid Hospital Attendance Leave as per Appendix 2 (2.6) per year, in the event of attending overnight hospital with first degree relatives

Employees shall submit approved Medical Certificate from approved hospitals/clinics to the Head of Compensation and Benefits upon resuming work.

6.14 Disability Leave

Disability Leave is applicable to Employees who suffer from a work-related injury or illness. Employees shall remain on normal pay until the Disability Claim is resolved or up to 6

months, whichever is earlier.

6.15 Pilgrimage Leave (Al Haj Leave)

Muslim Employees are entitled to paid leave to undertake Pilgrimage Leave (Al Haj Leave) once throughout the period of service as per Appendix 2 (2.6) provided that the Employee has completed 1 year in service with NAMA Group.

6.16 Unauthorized Absence

Employee absence without prior approval shall be deducted from the Employee’s monthly salary as per the Employee’s attendance record.

Any absence that is not approved by the concerned HoD shall be treated as per the Oman Labor Law.

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Chapter 7: ALLOWANCES, BENEFITS AND TRAVEL

Purpose These policies provide the guideline and steps to be followed to determine the allowances, benefits and travel.

Scope The scope of this section defines the Allowances, Benefits and travel applicable to Nama Group Employees.

Coverage The Policies apply to all Employees of the company unless otherwise specifically stated in their Contract of Employment.

Policy 7.1 Allowances 7.1.1 Housing Allowance

All Employees are entitled to Housing Allowance in accordance with the approved structure. Refer to Appendix 3 (3.1).

The Accommodation Allowance shall be seized in lieu of receiving an accommodation. Advance lease payments may be approved for a maximum of one year in lieu of the

Accommodation Allowance for expat Employees in job levels 17 and above. If the cost of the accommodation exceeds the amount of the Housing Allowance, the excess amount shall be deducted from the Employee’s salary in equal monthly installments within a year.

7.1.2 Utilities Allowance (Electricity, Water, and Telephone)

All Employees are entitled to Utilities Allowance in accordance with the approved structure. Refer to Appendix 3 (3.2).

7.1.3 Transportation Allowance

All Employees are entitled to Transportation Allowance as per Appendix 3 (3.3). Allocation of a Company vehicle to Technical Employee of NAMA Group due to work nature

that requires employee to be on call for 24 hours / 7 days a week

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The company shall deduct a monthly amount as per Appendix 3 (3.3) or transport allowance which is lower, from the Employees who receive Company vehicle.

7.1.4 Cost of Living Allowance

Omani employees are eligible for Cost of Living allowance under condition the employment contract shall not be less than a year as per Appendix 3 (3.4).

7.2 Benefits 7.2.1 Children Education Allowance Omani Employees

Omani Employees in job levels 18 and above are entitled to annual Children Education Allowance for a maximum of 3 dependents children from the age of 1 years and up to 18 years of age. Children Education Allowance shall be based on actual cost, in Oman subject to the maximum limits approved. Refer to Appendix 3 (3.5).

Children Education Allowance shall be paid retrospectively from the date of joining upon successful completion of the Probation Period and confirmation of appointment of the position.

Children Education Allowance shall be paid subject to the presentation of valid invoices. Employees, who are promoted during the year to the level 18 and above , are eligible to

receive the Allowance effective from the promotion date.

Non-Oman Employees

Non-Omani Employees in job levels 18 and above are entitled to annual Children Education Allowance for a maximum of 3 dependents children from the age of 1 years and up to 18 years of age. Children Education Allowance shall be based on actual cost, in Oman or outside of Oman under condition that children have to be under the Nama Group sponsor subject to the maximum limits approved. Refer to Appendix 3 (3.5).

7.2.2 Shift Allowance

Shift allowance is implemented for the operations that require to be manned for 24 hours / 7 days a week.

All Employees who work on Shift Cycle are entitled to receive fixed Shift Allowance as per Appendix 3 (3.6).

The Shift Cycle shall not exceed 12 hours per day per Employee. Employees on Shift Cycle shall receive Shift Allowance during Annual Leave. If the Employee is on shift during the weekly rest day or on Public Holiday, the Employee

shall be compensated with double the salary for such a day, unless the Employee is granted day off in agreement with the Employee as per the Oman Labor Law Article 65 and 73.

If Public Holiday falls on the off shift staff, they will be compensated for the same days of announced public holiday.

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An Employee on Shift Cycle is eligible to overtime, if the Employee works beyond the shift working hours for more than 48 hours per week or during Public Holiday.

Employees on Leave without Pay are not entitled to Shift Allowance. Shift Allowance shall be deducted from the monthly salary of the Employee, if the Employee

is on Sick Leave and reached the deduction period. Shift Allowance shall be paid on prorated basis if the Employee’s salary is paid on pro-rata. Shift Allowance shall not be paid to Employees on Scholarship. Shift employees are not allowed to take annual leave less than 6 days except emergency

cases which require pre-approval from Line Manager and HR Manager.

7.2.3 On-Call and Emergency Allowance

Employees placed on On-call duty roster shall receive a fixed On-Call Allowance as per Appendix 3 (3.7).

Employees who are On-call and are required to report to work are entitled to overtime. Employees who are placed on On-call duty roster to relieve an Employee shall receive On-

call Allowance as per Appendix 3 (3.7). Employees who are On-call and have to report to work on Public Holidays are entitled to

double the allowances.

7.2.4 Medical Coverage

All the company Employees, their spouse and children up to the age of 19 years are entitled to receive medical coverage in accordance with the Medical Policy.

For non – Omani Employees, the Medical Coverage is applicable to spouse and/ or children if they are sponsored by the Company in Oman.

Employees, their spouse and children who are covered under any subsidiary of Nama Group or outside are not entitled to the Medical Coverage provided by the Company.

Omani employees who have permanent special needs children are entitled for medical coverage during the period of his/her services in Nama Group.

7.2.5 Workman Compensation and Group Life Insurance

All the company employees are entitled to workman compensation and group Life insurance.

7.2.6 Business Mobile

The company at its sole discretion may provide business mobile to an Employee for the purpose of official use.

Without prejudice to the entitlement to receive Telephone Allowance, Employees in job levels 22 and above are entitled to mobile phone for operational, business and work related activities. Refer to Appendix 3 (3.8).

Without prejudice to the entitlement to receive Telephone Allowance, the company shall provide mobile phone to employees in level 21 and below whom the nature of the job demands calls beyond working hours. Refer to Appendix 3 (3.8).

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Employees in job levels 22 and above are entitled to a monthly mobile bill for local calls. The company shall deduct any additional amount for personal calls from the Employee’s monthly salary based on the employee’s self- declaration. Refer to Appendix 3 (3.8).

Employees in job levels 21 and below who receive mobile phones are entitled to a monthly mobile bill for local calls including the internet package. The company shall deduct any additional amount for personal calls from the Employee’s monthly salary based on the employee’s self- declaration. Refer to Appendix 3 (3.8).

Mobile phones purchased by the company work related purposes are the Company’s property. Employees are obliged to return mobile phones upon resignation or termination, otherwise Company shall deduct the net book value of the mobile phone from the employee final settlement.

The Administration Manager is the overall in charge for managing the provision of the mobile phones/devices in accordance with the Business Mobile Policy.

Replacement of business mobiles is due every 2 years and the employee doesn’t need to return the mobiles after this period.

7.2.7 Salary Loan

The companymay provide an Interest Free-Loan up to two months Gross Salaries. Salary Loan is entitled once the old loan is fully paid. For Salary Loan eligibility criteria, refer

to Appendix 3 (3.9). The deduction shall be a maximum of 15% of the monthly Gross Salary. Monthly deduction shall not be postponed during the month of Eid (Al Fitr and Al Adha)

unless employees request to postpone the deductions

7.2.8 Higher Qualification Allowance

Omani Employees is eligible for an increment of 3% PIR on his/her gross salary in lieu of obtaining higher qualification and vocational certifications (i.e. ACCA, CPA, CIPD… etc) (than the minimum requirement of the job).

The higher qualification shall be attested from Ministry of higher Education/ Ministry of Manpower and the vocational certifications shall be recognized internationally.

The eligibility of 3% PIR shall be calculated from the date of attesting the qualifications.

7.2.9 Professional Membership

Employees shall be reimbursed for Professional Membership fee subject to being relevant to the Employee's job and on production of valid receipts / invoices.

Employees are entitled to one membership per financial year as per Appendix 3 (3.10).

7.2.10 Wellness Membership

Omani Employees shall be reimbursed for annual Sport Membership fee to any employee who subscribes in fitness-related memberships as per Appendix 3 (3.11).

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Sport Membership benefit is exclusively for the company employees only, family members are not included.

Sport Membership shall be reimbursement based on valid receipts /invoices.

7.2.11 Long Service Recognition

Employee’s long service with the company shall be reorganized as per the defined amounts for the years of service. Refer to Appendix 3 (3.12).

7.2.12 Azza Support Payment

In the event of demise of an Employee or the Employee’s immediate Family Members (husband, wife, son, daughter, father or mother), the company shall provide the Employee with financial amount as assistance to cover Azza expenses. Refer to Appendix 3 (3.13).

7.2.13 Gratuity Payment

A. Omani Employees Transferred Employees shall be entitled to an End of Service Gratuity on Retirement

as per Appendix 3 (3.14).

B. Expatriate Employees Expatriate Employees are entitled to End of Service Gratuity as per Appendix 3

(3.14)

7.2.14 Higher/Relief Duty Allowance

Higher/Relief Duty Allowance shall be granted to cover the absence of a critical role starting from the day of delegation under condition that the minimum of Higher/Relief is 10 working days continuously

Higher Duty Allowance is granted to cover absence of job levels 16 and above. Acting in a Higher/Relief Position shall not be construed as a Promotion. Relief Duty Allowance is granted to cover absence / vacant position from level 13 and above. Acting in a Higher/Relief Position shall not be construed as a Promotion or utilization of its

benefits to that particular grade; it is a Temporary Assignment and shall not be part of the Annual Increment.

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Acting in a Higher/Relief Position shall not jeopardize the Employee’s Rights or Benefits pertaining to his/her original Position.

The Higher/Relief Duty Allowance shall be granted as per Appendix 3 (3.15). Higher/Relief Duty Allowance shall not be granted without approval.

7.2.15 Removal of Personal and Household Effects

The company shall pay for a maximum of 27 square meter of space in a container transport by sea for the removal, and delivery of household affects from his/ her domicile to Oman and from Oman his/ her domicile at the beginning and end of the Employment Contract.

Employee who gets a job in Oman and the company gives him no objection letter, he/she is not eligible for removal of his/ her household affects back to his/ her domicile.

7.3 Travel

7.3.1 Domestic Travel 7.3.1.1 Employees on local business travel or local training are entitled to one of the following options:

Option 1:

A. Transportation: The Company shall provide suitable transport arrangement for all local

business travel. Refer to Appendix 3 (3.16) for eligibility of Air Travel. B. Accommodation: The Company shall arrange accommodation (Bed & Breakfast) for

Employees on local business travel or local training. C. Incidental Allowance: Employees on local travel are entitled to incidental allowance for meal

and other expenses. Refer to Appendix 3 (3.16).

Option 2:

A. Employees are responsible for all travel arrangements (accommodation, transport and other expenses) and the company shall pay the Employee a fixed amount that includes incidental allowance. Refer to Appendix 3 (3.16).

7.3.1.2. Force Majeure: Any delay caused by force majeure, extension of trip shall be approved as per

Appendix 7.

7.3.2 International Travel 7.3.2.1 Employees on local business travel or local training are entitled to one of the following options:

Option 1:

A. Transportation:

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The company shall book flight tickets for Employees on international business travel or international training. Refer to Appendix 3 (3.17) for eligibility of Air Travel.

The company shall bear the airport transport cost from and to the airport for

Employees traveling for international business or international training.

Travelling employees are strictly not allowed to change the ticket category (i.e.

Business to Economy), or request an encashment for the ticket value.

Employees travelling to the UAE for business or training may request to travel with

their personal cars and shall be compensated. Refer to Appendix 3 (3.17).

Non - Omani Employees travelling by car to any of the GCC Countries shall bear the

cost of road permit.

An employee traveling with an Employee (s), who is/are entitled to a higher travel

class, shall fly on the same class. Employees travelling with an Employee who is/are

entitled to a higher travel class shall fly in the travel class they are originally entitled

to.

B. Accommodation: The company shall arrange for accommodation (Bed & Breakfast) for Employees on

international business travel or international training. Accommodation cost and level is classified according to employee hay level. Refer to

Appendix 3 (3.17).

C. Incidental Allowance:

The company shall pay the Employee on international business travel or international training a daily allowance for meals and other incidental expenses. Refer to Appendix 3 (3.17).

Employees on long term International Training (1 month – 9 months) are entitled to monthly allowance that shall cover accommodation and living expenses. Refer to Appendix 3 (3.17).

The daily incidental allowance is paid on the bases of the number of days of the business/ training. Refer to Appendix 3 (3.17).

In case employee was invited by vendor and all accommodation and travel expenses are covered, then employee shall be eligible to receive incidental allowance as per Appendix 3 (3.17).

D. Other Expenses:

The company shall reimburse the Employees for any compulsory travel cost borne by

the Employee (entry visa and departure tax) subject to the presentation of valid receipts or invoices.

All reimbursement shall be calculated based on the actual invoices, as per the transactional rate deducted from the employee including the difference in the currency change rate.

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Option 2: A. Employees are responsible for all travel arrangements (accommodation, transport and other

expenses) and the company shall pay the Employee a fixed amount that includes incidental allowance. Refer to Appendix 3 (3.17).

7.3.2.2 Force Majeure: Any delay caused by force majeure, extension of trip shall be approved as per

Appendix 7.

7.3.3 Transportation, Accommodation Arrangements and Relocation Expenses for New Employees

A. Omani Employees

Transportation

Air tickets at the beginning and end of the Contract term for Omani employees shall be provided from and to the employee’s home location and place of appointment. The eligibility of Air Travel shall be as per the defined criteria. Refer to Appendix 3 (3.18).

Accommodation

Omani employees whose work station is located away from original location are eligible for up to a maximum of 10 working days of paid accommodation upon arrival as per Appendix 3 (3.18).

B. Expatriate Employees

Transportation

Air tickets at the beginning and end of the Contract term shall be provided from and to the Expatriate Employee’s home location and place of appointment. The eligibility of Air Travel shall be as per the defined criteria. Refer to Appendix 3 (3.18).

The company shall book and pay the cost of a one-way air travel for a new Employee, Spouse and three Dependent children up to 19 years of age (No Age limit for dependent children with special needs).

Travel by air must be by the most direct scheduled route from the Employee’s place of residence. The air travel shall be as per the defined eligibility criteria. Refer to Appendix 3 (3.18).

Employees who choose to travel by other means shall be reimbursed as per the local travel policies subject to the submission of valid receipts or invoices (original).

If the Employee terminates the Contract within 1 month from the date of joining, the Employee shall bear the cost of the Air Travel.

Accommodation

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The company shall provide initial accommodation for Expatriate employees hired from abroad maximum of 10 working days of paid accommodation upon arrival as per Appendix 3 (3.18).

Relocation

The company may relocate its employee based on business requirements; the cost

of relocation shall be borne by the company up to limitation set out in Appendix 3 (3.18).

The reimbursement shall be on the original receipt.

7.3.4 Annual Air Travel

A. Omani Employees: Employees shall be provided with annual return Air Ticket as per Appendix 3 (3.19). Ticket encashment shall be granted if Head of Department rejected employee’s

previously approved annual leave for business reasons. Air tickets shall be based on the least cost and the most direct flights.

B. Expatriate Employees: Expatriate Employees shall be provided with annual Return Air Tickets, for each 12

month period of service, to their country and location of origin. Refer to Appendix 3 (3.19).

Ticket encashment shall be granted if head of department rejected employee’s previously approved annual leave for business reasons.

Air tickets shall be based on the least cost and the most direct flights.

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Chapter 8: LEARNING AND DEVELOPMENT

Purpose The company is committed to training and developing a competent workforce, supported by consistent and effective Learning and Development programs that aim to develop competent Omani workforce and future leadership

Scope The scope of this section defines the Learning and Development programs that are applicable to Employees of NAMA Group.

Coverage This policy applies to all employees in the Company.

Policy 8.1 Learning and Development

The Learning and Development Section is responsible for developing the annual Learning and Development Plan based on the applicable technical and behavioral competencies.

Learning and Development based on the competency gaps shall be limited to Omani Employees only.

All Employees are eligible to attend conferences, HSE training, generic training, vendors training and new technology and processes.

Training budget shall not exceed 5% of the annual total payroll and in average 10 working days per employee in a year.

Employee shall pay all expenses incurred by company if he/she fails to attend the program/training without any valid reasons.

8.2 Professional Certificate Pursing Professional Certificates is limited to Omani Employees as part of the Individual

Development Plan (IDP).

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The Professional Certificate shall be based on the job requirements. The Professional Certificate budget shall be part of the training budget. Full time release of an Employee to pursue Professional Certificate is subject to the

requirement of the institute for full time attendance. Employee on full time release is entitled to receive the same basic salary, housing, electricity

and water allowances. In addition to that, Employee shall receive remuneration as prescribed in the Scholarship Policies by the Ministry of Higher Education.

The company reserves the right to review/withdraw the Professional Certificate sponsorship if the Employee fails two subjects / papers / modules. The Employee shall reimburse the company in installments all the expenses incurred during the period of the study. The monthly installments are equivalent to 10% of the Employee’s monthly gross salary.

The Employee, who is granted opportunity to pursue Professional Certificate, shall have to serve the company as per the signed agreement between the employee and the company.

8.3 Scholarship

Scholarship is limited to Omani Employees as part of the IDP. The scholarship shall be based on the Succession Plan and Omanization Plan. The scholarship budget shall be part of the training budget. The scholarship shall be for a maximum of 2 years. Full time release of an Employee for scholarship is subject to the requirement of the institute

for full time attendance. Employee on scholarship shall sign a Study Bond with the Company. Employee on scholarship shall be entitled to receive the same basic salary and Utilities

allowance. In addition to the remuneration as prescribed in the Scholarship Policies by the Ministry of Higher Education.

Employees are eligible to apply for scholarship after completing 2 years with the company and performing at ‘valued contribution’ in the last 2 years.

The company reserves the right to review/withdraw the scholarship if the Employee fails one subject/paper/module in any one semester. The Employee shall reimburse the company in installments all the expenses incurred during the period of the study. The monthly installments are equivalent to 10% of the Employee’s monthly gross salary.

The Employee, who is granted scholarship, shall have to serve the company for each one year of study two years of service. If the Employee resigns from the Company, the Employee shall reimburse the company all the scholarship expenses incurred by the company during the period of study.

The Employee may request for an extension to the scholarship period for more than 6 months, if the delay is due to the health problems subject to the submission of valid Medical certificate and approval as per the Delegation of Authority Matrix in Appendix 7.

8.4 Third Party Scholarship/ Professional Certificates

Scholarship is limited to Omani Employees. Full time release of an Employee for scholarship is subject to the requirement of the institute

for full time attendance. The scholarship shall be for a maximum of 2 years.

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Employee is entitled to receive the same basic salary, and Utilities allowances. In addition, the Employee shall receive remuneration as prescribed in the Scholarship Policies by the Ministry of Higher Education or respective sponsorship.

The Employee, who is granted scholarship, shall have to serve the company as per the signed agreement between the employee and the company.

8.5 Study Assistance

Study Assistance is limited to permanent Omani Employees for the purpose of developing competencies.

Study Assistance shall be related to the Company’s Business. The study assistance budget shall be part of the Learning and Development budget. Employees are eligible to Study Assistance after completing of 2 years with the company and

performing at least ‘Valued Contribution’ in the past 2 years. The approval for Study Assistance opportunity is valid for one semester. The company shall

withdraw the approval, if the Employee does not purse the study. The company shall cover the expenses of compulsory study fees provided that the payment

of such fees shall initially be paid by the Employee and reimbursed following the successful completion of the first semester (minimum three subjects/papers/modules passed per semester) of study. On successful completion of the first semester of study further fees shall be paid by the company in advance upon providing valid transcripts and invoices.

The company reserves the right to review/withdraw the Study Assistance if the Employee fails one subject/paper/module in any one semester. The Employee shall reimburse the company in installments all the expenses incurred during the period of the study. The monthly installments are equivalent to 10% of the Employee’s monthly gross salary.

The Employee, who is granted Study Assistance, shall have to serve the company as per the signed agreement between the employee and the company.

8.6 Leadership Program

Employees are entitled to be enrolled in Ruwad program. All eligible employees for Ruwad program shall undergo a Leadership assessment based on

approved Leadership Competency Module. Successful employee shall be eligible for % increment as per Appendix 3. (3.20). The Ruwad program shall be held every 2 years.

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Chapter 9: PERFORMANCE MANAGEMENT SYSTEM

Purpose The company recognizes that its success is based on the performance of its Employees at all levels of the organizations. NAMA GROUP’s PMS is designed to create a performance-driven culture and differentiate performance at all levels by measuring Employee performance against objectives derived from its business plan in an objective and transparent manner.

Scope The scope of this policy is to outline the governing principles related to the PMS, including role of key stakeholders, goal-setting process, performance appraisal, and bonus payout mechanism.

Coverage This policy applies to all company employees.

Policy

9.1 Performance Management Cycle

Task and Targets for all Employees need to be finalized and signed off no later than February of every year.

The HR Department shall initiate the mid- year review in July every year and Annual Year Appraisal in January the following year.

The Reporting Line Manager and Employee shall discuss the Employee’s performance during the Mid-year and Annual Year Appraisal Cycle.

Learning and Development needs shall be identified during the Mid-year Appraisal discussion by the Reporting Line Manager.

9.2 Performance Rating Scale and Definitions

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Ratings shall be assigned for the Corporate, Department and Employees based on the defined scale. Refer to Appendix 4 (4.1).

9.3 Performance Normalization

The Performance Review Committee shall normalize the Employees’ individual scores at a Department and Organization level for consistency and standardization.

The target percentage for each performance rating is defined and can vary from year-on-year to accommodate individual performance. Refer to Appendix 4 (4.2).

9.4 Eligibility for Appraisal

An Employee is not completing 6 months of service with the company shall not be eligible for Performance Appraisal.

An Employee who has completed 6 months of employment with the company and continues employment with Company is eligible for Performance Appraisal and shall be assigned a maximum Individual Performance Rating of 3 Valued Contribution.

9.5 Eligibility for Bonus

Eligibility of Bonus based on budget availability as per below criteria: The maximum bonus eligibility for any Employee is 3 times of the monthly gross salary as on

31st December of the previous year.

Bonus shall not be paid out if the Corporate Rating is less than level two. Bonus shall not be paid out to the Employees of the Department, if the Performance Rating of

the relevant Department is less than level two. Bonus shall not be paid to Employees whose overall Performance Rating is level one (Under

Performance). The bonus of an Employee shall be adjusted for the period of Leave without Pay or

Scholarship Leave. Bonus shall not be paid out to Employees who are on Leave without Pay or Scholarship

Leave for the entire year. Employees who have completed full cycle of performance management (From 1

st of Jan till

31st Dec of each year) with the company shall be eligible for a full year bonus as per the

overall Performance Rating. All staff eligible for performance appraisal are eligible for a bonus pro-rated based on their

time with company. Bonus shall be paid for transferred employees on pro-rated bases effective from date of

transfer.

9.6 Employee Bands

All Employees shall be mapped to one of the five Bands to determine weightage for the bonus payout. Refer to Appendix 4 (4.3).

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Chapter 10: PROMOTION

Purpose

These policies provide the guideline and to followed to determine the promotion eligibility.

Scope

The scope of this section defines the Promotion eligibility criteria.

Coverage

The Policies apply to all Employees of NAMA Group.

Policy

The pre-requisite conditions for Grade-to-Grade Promotion shall be one of the following:

1. Employee’s Job is evaluated at a Grade higher than the current Salary Grade.

2. Position is approved as per Manpower Plan and is currently vacant.

Employees who are eligible for Grade-to-Grade Promotion must fulfill defined criteria:

1. Employees to be promoted must meet the minimum requirements of the job.

2. Rating of Exceeds Expectations (L4) for 2 consecutive years including the current performance

year all eligible employees shall undergo competency-based assessment by NICD to assess their

readiness to take up higher responsibilities.

3. Rating of Valued Contribution (L3) or above over 3 consecutive years including the current

performance year.

Employee who receives competency rating level one is not entitled to Promotion.

Assessment shall be completed no later than July of the subsequent year after the performance period.

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Chapter 11: HOT SKILL

Purpose

To support the attraction and retention of specialist roles and/or people that typically cannot be remunerated

effectively under the standard remuneration policy.

Scope

This section defines the guidelines for “Hot Skill” salary adjustment.

Coverage

The Policies apply to all Employees of NAMA Group.

Policy

An allowance of up to 100% of the Position Grade Midpoint may be paid to a person/position with “Hot

Skills”. This allowance is a standalone allowance and not part of an employee’s normal gross salary and

accordingly does not affect annual bonus or end of Service Gratuity.

The “Hot Skills” Allowance may be increased annually consistent with the quantum of annual increment at

1st of January of each year. Any increases greater than the increment approved requires further Board

approval.

The Allowance shall not be offered as a contractual entitlement as it may be ceased or reduced, following

12 months written notice of the change, if management determines the amount of the allowance or the

allowance itself is no longer justified.

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Chapter 12: SUCCESSION PLANNING & CAREER PATH

Purpose The company aims to develop a pipeline of leaders and competent professionals for the identified critical

positions. The company also aims to support the employees in achieving their career aspirations by providing them career development opportunities.

Scope This document defines the Succession Planning policy.

Coverage The policies apply to all NAMAA employees included in the companies’ payroll.

Policy 12.1 Critical Positions

Critical positions are those that are categorized as High as per the existing approved job criterion

The Head of Talent Management will identify / review and finalize the critical positions for the company every two (2) years in coordination with the respective Technical Champion(s) of the career discipline.

The Head of Talent Management must create and update all job competency profiles and Job Descriptions for the critical positions in coordination with the respective Technical Champion(s).

All critical positions at job level 18 and above must have at least two (2) potential successors. Critical Positions at job level 17 and below will have a pool of potential candidates who can be groomed to take up the position in future.

12.2 Potential Successors

The potential successors / talent pool for a position may or may not be from the same

department or company. The list of potential successors / talent pool must be reviewed and approved annually. The company has the discretion to remove an employee from the list of potential successors

if there is no improvement in the development areas identified and agreed as per the Individual Development Plan (IDP).

Final selection of the successors will be as per the recruitment process and based upon criterion like competency assessment, performance ratings and interview panel recommendations

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If identified successors are from another group company, then the effective date of movement of successful candidate will be mutually agreed but shall not exceed three (3) months from the date of appointment.

12.3 Competency Assessment

All candidates meeting the eligibility criterion must be assessed by NAMA Institute of

Competency Development (NICD) based on the competency requirements of the target position (refer Appendix for eligibility criterion)

Any assessment that has been undertaken by the candidates for the target position within the last 12 months shall be valid and will not require re-assessment.

All potential successors / employees in talent pool must have a documented and agreed Individual Development Plan (IDP).

The Head of Talent Management will develop a yearly budget to address the development needs from the succession plan and career path.

Progress monitoring of potential successors / talent pool will be undertaken annually. Employees must at least achieve the threshold of 60% of the agreed IDP in order to undertake assessments annually.

In case a potential successor, either from the company or other group companies, is not ready based on the agreed development plan then the company has the discretion to look for a suitable successor outside the NAMA group.

12.4 Appointment of Successful Candidate

Appointment will be based upon the approved promotion policy.

12.5 Job Rotation

Job rotation shall be part of development plan. Career Path and Progression. The company will aim to provide a career path for all employees with the objective of

supporting them meet their career aspirations. Employees will have an agreed IDP which will be in line with the career aspirations and

current level of skill sets. The IDP must be agreed with the reporting manager. Employees are responsible to develop their own competencies to meet their career

objectives. The company will provide developmental opportunities in the form of training programs and /

or other suitable methods. An employee can move within their career discipline or even to another career discipline

based upon their aspirations and skill sets. Movement to another position will be based upon availability, job requirements and

competency assessment. An employee must be rated at least Valued Contribution (Rating 3) in the last appraisal cycle

to be eligible for such movement

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Chapter 13: RECOGNITION

Purpose

This policy sets forth the guidelines to recognize Employees who applies NAMA Group’s core values,

exceptional achievement of millstone outside of his/her job scope or as a member of committees required

him/her to work beyond official working hours and during public holidays and weekends.

Scope

This section defines the guidelines for Recognition Policy.

Coverage

This Policy applies to all Employees of NAMA Group.

Policy

The eligibility of recognition shall be based on the criteria and categories included in Appendix 5.

Company’s CEO shall formulate an assessing Committee to review the received applications, and reach

a final decision on the applicable employees and allocate mechanism of reward.

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Chapter 14: GRADING AND SALARY

Purpose To set the guidelines to be followed in grading and salary structure for all of NAMA Group.

Scope This section defines the policies for grading salary.

Coverage This Policy applies to all Employees of NAMA Group.

14.1 Job Analysis

All the job analysis shall be conducted by a committee comprising of the relevant Technical Champion, Head of HR Department and the Head of the relevant Department.

14.2 Job Descriptions

All jobs within the company shall be analyzed and Job Description (JD) shall be established for each Job.

JDs shall be reviewed and updated at least once a year. JDs shall be reviewed by a committee comprising of the relevant Technical Champion, Head

of HR and the Head of the relevant Department.

14.3 Job Evaluation

All jobs in the company shall be evaluated using Hay Profile and Guide Chart Method of job evaluation.

All the jobs shall be evaluated by a committee comprising of the relevant Technical Champion, Head of HR Department and the Head of the relevant Department.

Job Evaluation shall be conducted by Employees who have been duly accredited. Job Evaluation shall not be conducted by the job holder or the job holder’s Reporting Line

Manager. New positions should be evaluated before recruitment takes place for such position so that the

grade and appropriate level of salary can be identified for the job.

14.4 Grading

All jobs within the company shall be graded for the purpose of determining the salary, allowances and benefits applicable to each job.

The Group Talent Management in the Company shall be responsible for the development, maintenance and communication of the company grading structure.

All Employees shall be notified of the grade within which their jobs are categorized.

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14.5 Salary Structure

A Salary Range and a description of allowance entitlement shall be fixed for each grade. The Salary Range shall include a minimum, mid-point and maximum salary for each grade.

The Talent Management Head Section shall fix the salary for all jobs according to the approved grade/salary structure and the Position in Range (PIR) system. Refer to Appendix 6 (6.1 and 6.2).

14.6 Annual Review of Salary Scale

Employees are eligible for annual increment 3% from Gross Salary. Employees length of service is not less than six months with the company Employee how scored as Under Performing in the Annual Performance Management

assessment is not entitled for the annual increment.

14.7 Salary Pay Day

Employees’ salary shall be transferred to approve Bank in Sultan of Oman by 25

th of each

month and shall not be later than 7 days from the eligibility of transfer date.

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Chapter 15: RESIGNATION AND RETIREMENT

Purpose This section defines the Policies for Employee resignations/retirement of services from NAMA Group.

Scope The scope of this section defines the Policies related to Resignation and Termination of Services.

Coverage This Policy applies to all Employees of NAMA Group.

Policy Guidelines

15.1 Resignation

Employees should resign in writing and provide a minimum notice period of thirty days or as specified in their Employment Contract.

Employees may resign with short notice and receive all entitlements subject to approvals as per Delegation of Authority Matrix in Appendix 7.

Employees are entitled to encashment of leave balance on gross salary, subject to serving the notice period.

All entitlement shall be paid to resigning employee within 7 days from last working day.

15.2 Retirement The company shall terminate an Employee's Employment Contract once the Employee has

reached the applicable Retirement age prescribe in pension law. The Employee may work beyond the applicable Retirement age based on NAMA Group’s or

the Employee’s request upon mutual agreement. For non-Omani employees retirement age shall not exceed the age of Maximum 60 years

old. The company reserves the right to terminate an Employee’s Employment Contract based on Retirement as per agreement between the employee and the company.

The Human Department shall inform the Employee at least 3 months in advance regarding the intended date of the Retirement.

The date of Retirement shall be computed based on the date of Birth documented in the employee’s respective retirement authority.

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15.3 Termination by Company

The company has the discretion to dismiss the employee without notice and without paying end of service gratuity based on the article (40) in Omani labor law.

15.4 Retirement Due to Health Problems

Employees may retire due to health medical condition as per article (43) in Oman Labor Law.

15.5 Exit Interviews

Exit interviews shall be conducted for all Employees leaving the company by the Human

Resources Department. The purpose of Exit Interviews is to, but not limited to:

- Identify the reason why the Employee is leaving the Company. - Identify the factors in the workplace that contributed to, or impeded to the Employees

success. - Identify patterns that indicate general areas of concern to Employees. - Enable the company to take corrective actions to avoid future Employee attrition.

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Chapter 16: EMPLOYEES RELATIONS

Purpose These policies provide guidelines and steps to be followed to handle grievance.

Scope The scope of this section defines the Policies related to grievance.

Coverage This Policy applies to all Employees of NAMA Group.

Policies

16.1 General

The company encourages open communication between its management and employees so to have a greater understanding of the Company’s objectives, policies and procedures, and in return the Company is prepared to discuss and resolve the impact that its policies might have on employees.

The company is committed to administer its policies governing its employee’s affairs and protecting their rights and privileges in fair and impartial manner that comply with the provisions of the Oman Labor Law.

16.2 Authority and Responsibility

Compensation, Benefits dept. is authorized to provide guidance on the proper use and application of the Code of Ethics and to ensure that it is firmly and uniformly applied to all employees in the Company.

Head of Department will be responsible for maintaining employee discipline in their departments. They shall ensure that the employees understand and comply with the company rules and regulations and will deal with any violations in conformity with the provision of the Code of Ethics and the prevalent provisions of the labor law.

Employees shall be responsible to act and behave in a professional manner. They shall observe due decorum at the place of work and treat their fellow employees with mutual respect.

Legal department will provide advice on the legality of disciplinary actions to be taken by the company when required.

Compensation, Benefits dept. is responsible for creating a positive atmosphere that fosters healthy working relationships, administering the grievance procedure, communicating with all concerned parties and implementing decisions made.

Heads of Department are responsible for ensuring that all grievances emanating from within their areas of responsibility are promptly investigated and resolved according to the company established policies, procedures and code of ethics.

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16.3 Initiating Grievance

Employee shall discuss the grievance with the immediate supervisor in an attempt to resolve the problem informally prior to the initiation of an official grievance.

Grievance must be initiated and reported to the concerned Department Head within 3 calendar days of the date of incident or the date on which the Employee is presumed to know about the incident.

The employee has the right to report a grievance to the Human Resources Manager if the Department Head fails to resolve the grievance.

The employee has the right to appeal the decision of the Human Resources Manager to the Chief Executive Officer if the Human Resources Manager fails to resolve the employee grievance. The Chief Executive Officer shall decide over the appeal and his decision shall be the full and final decision of the Company. The company shall resolve the grievance with a 7 working days. If the grievance is not resolve in mutual agreement with all parties, the employee has the right to report it to Ministry of Manpower.

16.4 Exhausting of Internal Grievance Procedures Employees whose service has been terminated

for any cause shall be deemed exhausted all the company grievance process and, therefore, they have no right to invoke the company grievance procedure. Such employees may refer their cases to the Department of Labor as they deem fit.

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APPENDICES

Appendix 1 – SELECTION AND RECRUITMENT

1.1 Approved Salary Scale

(For details please contact the Human Resourse Department)

1.2 Candidates eligibility of air travel during recruitment process

Position applying for (Hay Level) Class

All job levels Economy

1.3 Employment Categories

Type Details

Permanent An Omani or Expatriate Employee who is occupies an approved position as

far as business exist

Temporary An Employee employed for a fixed period not exceeding a period of six

month.

Secondment / Cross –

posting

Employees seconded within the sector or the third part, and are treated

based on the agreement between the two parties( for Oman Employees

only)

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Appendix 2 – WORKING SCHEMES AND LEAVES

2.1 Overtime Calculation

Employee (Hay) Level Overtime Calculation

Job level 18 and above

One day off in lieu of working continuous 4.5 hrs

during working days and 4.5 and above per day

during weekend and, public holiday and during official

mission (Travel business). No compensation for

attending training, conference, & workshops and for

those Employee working in shift scheme as long as

their working hours don’t exceed the relevant shift

working hours.

Job level 17 and below

During week days Basic salary hourly rate

X overtime hours X 1.25

During week days at

night hours between

9:00 PM to 5:00 AM

Basic salary hourly rate

X overtime hours X 1.50

During weekly rest days

and official holidays:

Gross salary hourly rate

X overtime hours X 1.25

2.2 Annual Leave Entitlement

Employee (Hay) Level Annual Leave Entitlement

Job level 18 & above 30 Working Days

Job Level 17 and below 22 Working Days

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2.3 Advance Annual Leave Entitlement

Category Criteria

Omani Employees Maximum 10 Working Days

Expatriate Employees Against Employee’s accumulated leave balance

2.4 Salary entitlement during Sick Leave

Duration (weeks) Gross Salary Entitlement

1 – 4 100%

5 – 12 50%

12 and above 0%

2.5 Death of Relatives Leave Entitlement

Relatives Categories Duration

Son, Daughter, Parents,

Spouse, Grandfather,

Grandmother, Brother or Sister.

3 calendar days

Uncle, Aunt (Paternal and

Maternal) or Spouse Parents. 2 calendar days

Female Muslim employee in the

instance of her husband death

(Iddah)

130 calendar days

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2.6 Other Leaves

Leaves Types Duration

Emergency Leave. 6 calendar days

Marriage Leave 3 calendar days

Maternity Leaves 56 calendar days before or after giving birth.

Paternity Leaves 2 calendar days

Exam Leave 15 calendar days

Leave without Pay 1 month up to 2 years

Patient Escorting / Overnight Hospital

Leave Inside and Outside Oman 15 calendar days

Haj Leave 20 calendar days

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Appendix 3 – BENEFITS, ALLOWANCES AND TRAVEL

No. Benefit Eligibility Comments and Details

3.1 Housing

Allowance All Employees 70% of Standard Allowances.

3.2 Utilities

Allowance All Employees 15% of Standard Allowances.

3.3 Transportation

Allowance All Employees

15% of Standard Allowances.

Employees who receive Company vehicle shall be

deducted from his/her gross salary as follow:-

Grade Amount

Level 18 & Above RO 130

Level 14 to 17 RO 80

Level 13 and below RO 50

3.4 Cost of Living

Allowance All Omani Employees

Gross Salary

Category

(OR)

500

and

less

501-

1000

1001-

1500

1501-

2000

2001-

2500

2501

and

above

Allowance

Amount (RO) 100 90 80 70 60 50

3.5

Children

Education

Allowance

Job level 22 & above

excluding CEO RO 1,000 (Maximum Cost Amount per Child per Academic Year)

Job Level 18 to 21 RO 500 (Maximum Cost Amount per Child per Academic Year)

3.6 Shift Allowance

Employees Working

under the said

system Fixed Shift Allowance of RO 150 per month.

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3.7

On- Call and

Emergency

Allowance

Employees placed on

On-call duty roster RO 30 per week.

RO 60 per week in public holidays

3.8 Business Mobile

Job level 22 and

above Excluding

CEOs

Entitled to a mobile phone with value of RO 350 Entitled to a monthly mobile bill with the maximum value RO

50 including the internet packages (official international calls are excluded from the maximum limit).

Employees in Job

level 18 and 21

Entitled to a mobile phone with value of RO 150 Entitled to a monthly mobile bill with the maximum value of RO

30 including the internet packages (official international calls are excluded from the maximum limit).

Employees in Job

level 17 & below

Entitled to a mobile phone with value of RO 100 Entitled to a monthly mobile bill with the maximum value of RO

20 including the internet packages (official international calls are excluded from the maximum limit

3.9 Salary Loan

Omani Employees:

After successful

completion of the

probation period.

Maximum of Two months Gross Salary, subject to the approval

of the Head of Compensation and Benefits. Deductions shall

not exceed 15% of the monthly Gross Salary.

Expatriate

Employees: After

completion of one

year in service

Maximum loan amount to be equal in value to one gratuity

amount and not to exceed Two Gross Salaries.

3.10 Professional

Membership All Employees

Maximum of RO. 100 per year.

3.11 Wellness

Membership All Employees

Maximum of RO. 100 per year.

3.12 Long Service

Recognition

Employees who

complete certain

years of service

effective from 1st

May 2005

Years of Service Amount RO

5 100

10 200

15 300

20 400

25 500

30 600

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3.13 Azza Support

Payment

In the event of the

death of Employee or

his/her immediate

Family Members

Company shall provide the Employee with RO 500

3.14 End of Service

Gratuity All employees

Transferred Employee: are entitled to 1 Basic Salary per year of service up 12 years with maximum of RO. 12,000.

Expatriate Employees: as per Omani Labor Law.

3.15 Higher/ Relief

Duty Allowance

Employees Acting in

a Higher Relief

Position

15% of the Employee’s current monthly Gross Salary paid on pro

rata basis.

3.16 Domestic Travel

Allowances

Employees on local

business travel or

local training. For

trips with100 KM and

above.

Option I

All employees including Board of Directors,

Government officials and CEOs shall be

booked in economy class.

The Company will provide hotel

accommodation (Bed & Breakfast).

The Company will provide Transportation.

Overnight stay allowance: RO 35 per day.

Travel without overnight stay: RO 15 per day,

and the Company will provide Transportation.

Option II

The company shall book in economy class for

those who are traveling to Salalh, Musandam,

Musira, and Duqum.

Overnight stay: RO 100 per day (Self

Arrangement)

Travel without overnight stay: RO 30 per day,

using his/her own vehicle.

3.17

International

Travel

Allowances (For

Business Trips

and Training)

Employees travelling

to the UAE for

business / training

using their personal

cars.

Shall be compensated with RO 80 for the round trip.

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Op

tio

n I

All

employee

s including

Board of

Directors,

Governme

nt officials

and CEOs

All travels less than 3 hours fly shall be in economy class.

Board of

Directors,

Governme

nt officials

and Hay

Job levels

from 22

and above

Daily Allowance of RO 120. Hotel Accommodation (Bed & Breakfast) at 5 starts hotel in an

Executive room that shall not exceed RO 200 per night. Air Ticket: Business Class.

Job levels

from 18

until 21

Daily Allowance of RO 100. Hotel Accommodation (Bed & Breakfast) at 5 starts hotel in a

standard room that shall not exceed RO 150 per night. Air Ticket: Business Class

Job levels

from 17

and below

Daily Allowance of RO 75. Hotel Accommodation (Bed & Breakfast) at 4 starts hotel in a

standard room that shall not exceed RO 150 per night. Air Ticket: Economy Class.

The

incidental

allowance

to be paid

according

to the

region and

the day

before &

after

allowance

Region Value %

GCC 50% (1 days before & 1 days

after)

Rest of the World 100% (1 days before & 1 days

after)

Op

tio

n II Self-

Arrangem

ent

The Company will provide only the Air ticket as per the category

mentioned in Option I.

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Daily allowance for Board of Directors, Government officials

and Hay Job levels from 22 and above RO 250 per day

(including Airport transport to/from, Accommodation, meals,

etc except Visa expenses).

Daily allowance for level from 18 to 21 RO 200 per day

(including Airport transport to/from, Accommodation, meals,

etc except Visa expenses).

Daily allowance for level from 17 and below RO 150 per day

(including Airport transport to/from, Accommodation, meals,

etc except Visa expenses).

3.18

Transportation

and

Accommodation

arrangements

for New

Employees &

Relocation

Expenses

All Employees

Air Travel: Expatriate Employees hired from outside Oman: Air tickets at

the beginning and end of the Contract from and to the

Expatriate Employee’s home location and place of

appointment. Applicable to Expatriate Employees, their

spouse, and their dependents for a maximum for 3 children up

to age of 18 shall be as per the defined criteria:

Employee (Hay) Level Class

All job Level Economy

Omani Employees: Air tickets at the beginning and end of the

Contract shall be provided from and to the employee’s original

place of residence located (500) km away from his intended

work place. The eligibility of Air Travel for Omani employees,

their spouse and their dependents for a maximum for 3

children up to age of 19 shall be as per the defined criteria:

Employee (Hay) Level Class

All job level Economy

Initial Accommodation: The Company shall provide initial accommodation for new employees hired from abroad and for

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Omani employees whose work station is located (500 km) away from original place of residence up to a maximum of ten (10) working days of paid accommodation upon arrival with a maximum value of RO. 80 per day.

Removal of Personal and Household Effects: The Company shall bear the cost of relocation of personal and household effects.

3.19 Annual Air

Travel All Employees

Expatriate Employees: Shall be provided with annual Return Air Tickets, for each 12 month period of service, to their country and location of origin. Applicable to Expatriate Employees, their spouse, and their dependents for a maximum for 3 children up to age of 18

Omani Employees: Shall be provided with annual return Air Ticket if employee work station is located 500 km away from his original location. The eligibility of Air Travel for Omani employees, their spouse and their dependents for a maximum for 3 children up to age of 19. The eligibility of Air Travel shall be as follows:

Employee (Hay) Level Class

All Job level Economy

3.20 Leadership

Program

Selected employee

for Leadership

Program

L3 and above shall be eligible to a promotion for a higher position (upon availability of vacancy) or receive a 9% increment in his/ her gross salary.

Above L2.5 and below L3 shall be eligible to receive a 3% increment in his/ her gross salary.

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Appendix 4 – PERFORMANCE MANAGEMENT

4.1 Performance Rating Scale and Definitions

Performance

Employee Description (For Individual Overall Performance Employee Only)

Rating 1

Under-

Performance

Regularly fails to complete tasks within own area of responsibility. Demonstrates a lack of willingness to improve performance. Needs coaching/support/guidance on most of deliverables. Has value violations or demonstrates serious behavioral challenges.

Rating 2

Partially Meets

Expectations

Needs active monitoring/guidance. Contributes on some KPIs but misses out on others. Meets values and behavioral requirements on most occasions but not all. Management believes employee can be given another chance to improve

performance. Demonstrates good work ethic and no disciplinary issues. Demonstrates willingness to improve performance.

Rating 3

Valued

Contribution

Is self-managed and requires minimal support/guidance. Meets all or most of KPIs as per expectations. Demonstrates that he/ she has internalized NAMA Group’s values/desired behaviors;

contributions are significant and valued. Demonstrates good work ethic and no disciplinary issues. Demonstrates willingness to learn new skills and assume additional responsibility.

Rating 4

Exceeds

Expectations

Demonstrates all behaviors of “Valued Contribution” plus: Is self-managed and exceeds expectations on most KPIs. Goes beyond own area of work; proactively takes up additional tasks. Has internalized NAMA Group’s values/desired behaviors; coaches others to do so. Frequently seeks new tasks and responsibilities above own area of responsibility. Sets an example for others in terms of work ethic and commitment. Demonstrates personal drive to learn new skills.

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4.2 Performance Normalization

0% (By exception)

Maximum 20%

Minimum 60%

Maximum 20%

0%

10%

20%

30%

40%

50%

60%

70%

1 2 3 4

% E

mp

loyee P

op

ula

tio

n

Performance Rating

Individual Overall Performance Rating Normalization Curve

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4.3 Employee Bands and Weights for Performance Bonus Payout

Band Description

Weightage in Bonus Payout

Corporate Department Individual

Band I

Department/Division Heads reporting

directly to Group CEO/CEO/GM; includes

positions which have been identified to be

part of the Management team

40% 40% 20%

Band II

Managers/Section Heads reporting to

Division/Department heads, including all

staff at Grade M1/M2 who are not a part of

Band I.

30% 40% 30%

Band III All staff not part of Band II who are in

Grades 6-10. 20% 30% 50%

Band IV All other staff in Grades 1-5. 10% 15% 75%

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Criteria

Award Categories & Values

Diamond Gold Silver Other (non-

monetary)

R.O 500 RO. 350 RO. 200 RO. 100-50

Problem

Solving

/process

improvement

Propose process

improvement and problem

solving that affects NAMA

Group.

Propose process

improvement / problem

solving that affects more

than 2 departments.

Proposes process

improvement /

problem solving

that affects one

department.

Propose

process

improvement

that has a

potential

affect.

Customer

Service

(internal/ext

ernal)

Key player in realizing a

sustainable and significant

improvement in customer

satisfaction. Effects

reputation of NAMA Group.

Consistently provide service

beyond customer

expectation through

feedback or conducting

surveys.

Provide service

beyond customer

expectation.

Others.

Team Work

Key player in creating a

sustainable improvement

in The company team work

which will significantly

affect the corporate long

term performance.

Key player in creating a

sustainable improvement in

department team work

which will significantly affect

the team’s long term

performance.

Create a team

atmosphere which

noticeably

improves team

performance.

Consistently

uses team

work to solve

problems.

Cost saving

Identified and implement

saving of > R.O 100,000.

Identified and implement

saving of R.O 50 k - $100

k.

identified and

implement saving

of R.O 10 k - 50 k.

Identified and

implement

saving of

R.O 5 k -

10 k.

HSE Rescue operation Preventing lost time Proposed and

implement hazard

Hazard

protection to

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Appendix 5 – RECOGNITION

Appendix 6 – GRADING AND SALARY

6.1 Position in Range (PIR) Matrix

Relevant years of Experience Position in Range (PIR)

1 1.50%

2 3.0%

3 4.50%

4 6.0%

5 7.50%

6 9.0%

7 10.50%

8 12.0%

9 13.50%

10 15.0%

11 16.50%

12 19.0%

13 19.50%

14 19.0%

15 19.50%

16 24.0%

17 25.50%

19 27.0%

19 28.50%

20 30.0%

19 31.50%

19 33.0%

(preventing fatality). accident. elimination. avoid

acceleration.

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23 34.50%

24 36.0%

25 37.50%

If the Candidate’s qualification is above the minimum requirement of the job, the Candidate shall be granted an additional 3% of the PIR

System

6.2 Company Grade Structure mapped to Hay Reference Levels

Nama Group Job Levels

Hay Points

Range

Hay Reference

Level Final Grade Structure

Bro

ad

Ban

ded

880-1055 21 M2

735-879 20

614-734 19 M1

519-613 18

Nar

row

Ban

ded

439-518 17 10

371-438 16 9

314-370 15 8

269-313 14 7

228-268 13 6

192-227 12 5

161-191 11 4

135-160 10 3

Bro

a

d

Ban

d

ed 114-134 9 2

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98-113 8

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Appendix 7 - Delegation of Authority Matrix for NAMA Policy Manual

Chapter

Task / Activity / Policy

NAMA

BoDs

Companies

BoDs

Group

CEO

Companies

CEOs

EM- GHR

Companies

HR Managers

Compensation

and Benefits

Manager

Admin

Manager

Head of Talent

Management

Head of

dept Limitation

Group HR Policy Review - - √ - √ - - - - -

Group HR Policy Approval √ - - - - - - - - -

Approve Respective Company Manpower

Plan.

- √ - - - - - - - -

Approve Jobs evaluation for levels 20 and

above - - √ - - - - - - -

Approve Jobs Evaluations for Levels 19 and

below - - - - √ - - - - - -

Approve the Company Org. Structure In all

companies to N-1 - √ - - - - - - - -

Approve the Company Org. Structure- for

the rest of Org. - - - √ - - - - - -

Approve the Company Annual Recruitment

Plan - - - √ - - - - - -

Approve advertising Job Vacancies

internally and externally - - - - - - - - √ -

Approval of Usage of Executive Search

Firms - - - - - √ - - - -

Approve Recruiting 1st degree relatives - - - √ - - - - - -

Approve the appointment of , Company’s

CEO √ - - - - - - - - -

Approve the Appointment of heads of

department directly reporting to the CEO. - √ - - - - - - - -

Approve the appointment of staff who are

not head of department and in levels 21 and

below. The CEO may delegte part of this

- - - √ - - - - - -

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Chapter

Task / Activity / Policy

NAMA

BoDs

Companies

BoDs

Group

CEO

Companies

CEOs

EM- GHR

Companies

HR Managers

Compensation

and Benefits

Manager

Admin

Manager

Head of Talent

Management

Head of

dept Limitation

authority to the HR manager.

Sign the offer letter for approved

appointments for all jobs. - - - - - √ - - - -

Approved remuneration above the PIR

(Position in range) - - - √ - - - - - -

After

recommendation of

HRM

Approve Remuneration of Consultants and

experts that are not covered by the existing

Grading Structure

- √ - - - - - - - -

Confirmation of Employment after Probation

period -

-

- -

-

√ - - - -

After

recommendation of

HoD

Approve Employee Transfer due to group

Restructuring or closure of companies. √ - - - - - - - - -

Approve Employee Transfer between

companies - - - - - √ - - - -

Approval of both

HR Managers

Approve Flexible working hours at the

department level. - - - - - - - - - √

Approve of reduction of working hours For

educational or medical reasons - - - - - - √ - - -

After

recommendation of

HoD

Approve Overtime compensation - - - - - - - - - √

Approve Annual Leave Request /

Cancellation / Extension / Termination of

annual leave due to operational

requirements.

- - - - - - - - - √

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Chapter

Task / Activity / Policy

NAMA

BoDs

Companies

BoDs

Group

CEO

Companies

CEOs

EM- GHR

Companies

HR Managers

Compensation

and Benefits

Manager

Admin

Manager

Head of Talent

Management

Head of

dept Limitation

Sick Leave - - - - - - √ - - -

Marriage Leave - - - - - - √ - - -

Death of a relative Leave - - - - - - √ - - -

Maternity Leave - - - - - - √ - - -

Paternity Leave - - - - - - √ - - -

Patient Escorting/ Hospital Attendance

Leave - - - - - -

√ - - -

Disability Leave - - - - - - √ - - -

Pilgrimage Leave (Al Haj Leave) - - - - - - √ - - -

Approve Emergency Leave - - - - - - √ - - -

Approve Annual Leave encashment - - - √ - - - - - -

After

recommendation of

HoD

Approve Examination Leave - - - - - - √ - - -

After

recommendation of

HoD

Approve set up of Company start and end of

the working day and the flexible hours

timming.

- - - √ - - - - - -

Approve Leave without Pay For maximum of

1 month - - - - - - √ - - -

After

recommendation of

HoD

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Chapter

Task / Activity / Policy

NAMA

BoDs

Companies

BoDs

Group

CEO

Companies

CEOs

EM- GHR

Companies

HR Managers

Compensation

and Benefits

Manager

Admin

Manager

Head of Talent

Management

Head of

dept Limitation

Approve Leave without Pay For period

above1 month up to Two (2 years) - - - √ - - - - - -

After

recommendation of

HoD

Approve Accommodation for an Employee - - - - - - - √ - -

Approve Advance Lease payments for a

maximum of one year in lieu of the

Accommodation Allowance for Employees in

job levels 17 and above.

- - - √ - - - - - -

Approve Company Vehicle to any Employee

due to work nature - - - √ - - - - - -

Approve Cost of Hotel Accommodation if it

is higher than the maximum approved

amount per night.

- - - √ - - - - - -

Approve Trip extension caused by force

majeure - - - √ - - - - - -

After

recommendation of

Compensation and

Benefit Manager

Approve Providing Business Mobile,

replacement and related business call

expences.

- - - - - - - √ - -

After the

recommendation of

the HoD

Approve Interest-Free Salary Loan - - - - - - √ - - -

Approve Professional Membership

reimbursement. - - - - - - √ - - -

Approve Sport Membership reimbursement. - - - - - - √ - - -

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Chapter

Task / Activity / Policy

NAMA

BoDs

Companies

BoDs

Group

CEO

Companies

CEOs

EM- GHR

Companies

HR Managers

Compensation

and Benefits

Manager

Admin

Manager

Head of Talent

Management

Head of

dept Limitation

Approve acting at Higher/Relief Duty

Allowance - - - - - - √ - - -

After

recommendation

Head of

Department.

Approval the Learning and Development

Plan

- - - √ - - - - - -

Approve Final list of selected employees for

the leadership development program(

Ruwad program)

- - - √ - - - - - -

Approve Full time release of an Employee to

pursue Professional Certificate - - - √ - - - - - -

Subject to the

requirement of the

institute

Approve Scholarship opportunities - - - √ - - - - - -

Approve Extension to the scholarship period

for more than six (6) months, if the delay is

due to the health problems

- - - √ - - - - - -

Approve Third Party Scholarship - - - √ - - - - - -

After the

recommendation of

the HoD and HRM

Approve Study Assistance - - - √ - - - - - -

Approve Finalize the Annual Corporate

Scorecard - √ - - - - - - - -

Approval of all departments’ Scorecards - - - √ - - - - - -

Approval on NAMA Group’s Scorecard √ - - - - - - - - -

Approval of the performance ratings of all

Employees - - - √ - - - - - -

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Chapter

Task / Activity / Policy

NAMA

BoDs

Companies

BoDs

Group

CEO

Companies

CEOs

EM- GHR

Companies

HR Managers

Compensation

and Benefits

Manager

Admin

Manager

Head of Talent

Management

Head of

dept Limitation

Approve Exceptions on mapping Employees

to the Bands - - √ - - - - - - -

Approve Hot Skill salary adjustment - - - √ - - - - - -

Approve Recognition Assessing Committee

Formulation - - - √ - - - - - -

Approval of Standard format of the Job

Descriptions -

-

-

- - - - -

Approve Short notice Resignations - - - - - √ - - - -

After the

recommendation of

the HoD

Approve Continue working beyond the

Retirement age - - - √ - - - - - -

Approve the resignation of heads of

department directly reporting to the CEO. - √ - - - - - - - -

After the

recommendation of

the HoD

Approve the resignation of staff who are not

head of department and in levels 21 and

below. The CEO may delegte part of this

authority to the HR manager.

- - - √ - - - - - -

After the

recommendation of

the HoD

Approve Employee Grievance Appeal final

Decision - - - √ - - - - - -

Approval criterion for identification of critical

positions - - - - - √ - - - -

Approval of critical positions for the

company - - - √ - - - - - -

Page 73: Human Resources Policy Manual NAMA Group...Standard Ref: ISO 9001:2008 Quality Management System Document Title: Human Resources Policy Manual Document No: EHC/HR/ESP/HRPM/ Revision

Standard Ref: ISO 9001:2008 Quality Management System Document Title: Human Resources Policy

Manual

Document No: EHC/HR/ESP/HRPM/ Revision No: 03 Effective date: 01/03/2016

Page 73 of 73

Chapter

Task / Activity / Policy

NAMA

BoDs

Companies

BoDs

Group

CEO

Companies

CEOs

EM- GHR

Companies

HR Managers

Compensation

and Benefits

Manager

Admin

Manager

Head of Talent

Management

Head of

dept Limitation

Development / review / up-dation of job

competency profiles and job descriptions - - - - - - - - - √

Identification of potential successors /

employee pool (Directly reporting to the

CEO and are part of the Leadership Team)

- √ - - - - - - - -

Identification of potential successors /

employee pool who are not head of

department and in levels 21 and below. The

CEO may delegte part of this authority to the

HR manager.

- - - √ - - - - - -

Creation of annual budget for developing

potential successors / talent pool - - - - - √ - - - -

Tracking of IDP (Directly reporting to the

CEO and are part of the Leadership Team) - - - √ - - - - - -

Tracking of IDP (Job levels 18 and below) - - - - - √ - - - -

Employee movement to another group

company due to Succession Planning - - - - - √ - - - -