National Bank of Pakistan

Contents
EXECUTIVE SUMMARY .......................................................................................................................... 3
HISTORY...................................................................................................................................................... 4
BRANCH NETWORK ................................................................................................................................ 4
VISION.......................................................................................................................................................... 6
MISSION....................................................................................................................................................... 6
CORE VALUES ........................................................................................................................................... 6
GOALS .......................................................................................................................................................... 6
CULTURE .................................................................................................................................................... 7
MANAGEMENT APPROACH .................................................................................................................. 7
MANAGEMENT STRUCTURE ................................................................................................................ 8
HUMAN RESOURCE DEPARTMENT ...................................................................................................12
JOB ANALYSIS ..........................................................................................................................................13
JOB DESCRIPTION...................................................................................................................................13
RECRUITMENT.........................................................................................................................................14
SELECTION................................................................................................................................................16
TRAINING POLICY ..................................................................................................................................19
IN-HOUSE TRAINING ..............................................................................................................................19
OUTSOURCING.........................................................................................................................................19
DESIGNING EFFECTIVE TRAINING SYSTEMS: ..............................................................................20
 Organizational analysis......................................................................................... 20
 Person analysis...................................................................................................... 20
 Task analysis......................................................................................................... 20
CAREER PLANNING ................................................................................................................................21
SALARY STRUCTURE .............................................................................................................................21
MINIMUM WAGE .....................................................................................................................................22
BENEFITS ...................................................................................................................................................22
PROVIDENT FUND ...................................................................................................................................23
ALLOWANCES ..........................................................................................................................................23
LOAN POLICY ...........................................................................................................................................23
UNIONIZATION ........................................................................................................................................23
SAFETY ISSUES ........................................................................................................................................24
EQUAL EMPLOYMENT OPPORTUNITY ............................................................................................24
QUOTA FOR HANDICAPPED.................................................................................................................24
WORKING WOMEN POLICY.................................................................................................................24
WORKER COMPENSATION ..................................................................................................................25
PERSONAL CONDUCT ............................................................................................................................25
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MISCONDUCT ...........................................................................................................................................25
GRIEVANCE MANAGEMENT................................................................................................................26
APPLICATION ...........................................................................................................................................26
POLICY SECTION.....................................................................................................................................27
LEGAL SECTION ......................................................................................................................................27
CAFETERIA ...............................................................................................................................................27
REWARDS...................................................................................................................................................27
ENTERTAINMENT ...................................................................................................................................28
OTHER POLICIES.....................................................................................................................................28
PROMOTION POLICY .............................................................................................................................28
DRESS CODE..............................................................................................................................................29
EMAIL POLICY .........................................................................................................................................29
INTERNET POLICY..................................................................................................................................30
SMOKING ...................................................................................................................................................30
WORKING HOURS ...................................................................................................................................30
LEAVE POLICY.........................................................................................................................................31
POLITICS ....................................................................................................................................................31
FOREIGN ISSUES......................................................................................................................................31
STOCK EXCHANGE SHARES ................................................................................................................31
JOB SECURITY..........................................................................................................................................31
LABOUR RIGHTS FOR HR POLICIES .................................................................................................33
BIBLOGRAPHY .........................................................................................................................................41

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 National Bank of Pakistan

Executive Summary
We were given a project to prepare human resource manual of any organization.
We chose National Bank of Pakistan. We put our best to prepare the human
resource manual and tried to apply all education that we got from our Human
resource lectures by Miss Ayesha Adnan. After a lot of search from net and
visiting National bank of Pakistan we managed to make the manual for National
Bank. In this we have covered maximum aspects that were possible for us to
cover and the information that was available to us. We discussed briefly in it
following aspects:

 HISTORY OF THE NBP

 VISION,MISSION,CORE VALUES OF NATIONAL BANK
 MANAGEMENT STRUCTURE AND APPROACH
 RECUIRTMENT AND SLECTION PROCESS
 EMPLOYEE RELATIONS
 TRAINING AND DEVELOPMENT OF THE EMPLOYEES
 EQUAL EMPLOYMENT OPPORTUNITY
 WORKING WOMEN ISSUES
 SALARY STRUCTURE
 MINIMUM WAGES
 BENEFITS
 ENTERTAINMENT
 COMMON POLICIES OF THE NBP

In the end we like to thanks MR Mehmood Ul Hassan HR manager of the NBP

who gave us the precious time to complete our task and Miss Ayesha Adnan for
guiding us thorough human resource policies in the class lectures.

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 National Bank of Pakistan

History
National Bank of Pakistan (the Bank) was established on November 9, 1949
under the National Bank of Pakistan Ordinance, 1949 in order to cope with the
crisis conditions which were developed after trade deadlock with India and
devaluation of Indian Rupee in 1949. Initially the Bank was established with the
objective to extend credit to the agriculture sector. The normal procedure of
establishing a banking company under the Companies Law was set aside and
the Bank was established through the promulgation of an Ordinance due to the
crisis situation that had developed with regard to financing of jute trade. The
Bank commenced its operations from November 20, 1949 at six important jute
centers in the then East Pakistan and directed its resources in financing of jute
crop. The Bank’s Karachi and Lahore offices were subsequently opened in
December 1949.

The nature of responsibilities of the Bank is different and unique from other
banks/financial institutions. The Bank acts as the agent to the State Bank of
Pakistan for handling Provincial/Federal Government Receipts and Payments on
their behalf. The Bank has also played an important role in financing the
country’s growing trade, which has expanded through the years as diversification
took place. Today the Bank finances import/export business to the tune of Rs.
52.7 billion, whereas in 1960 financing under this head was only Rs. 1.54 billion.

Branch Network
Presently the Bank is divided into 10 Groups headed by SEVPs/EVPs. Its field
operations are controlled by 9 Regions reporting to as many Regional Chiefs,
who control 40 Zones and 15 Single Branch Zones headed by Zonal Chiefs; 12
Corporate branches and 1,249 domestic branches headed by Branch Managers.

With the geographical development of its branches, the Bank has been able to
extend its services to a much larger number of Pakistanis all over the country.
Today it has more than 8.5 million accounts. Bank maintains its presence in all
the major financial centers of the world through its 24 overseas branches and 11
representative offices. Of these, three representative offices have recently been
set up at Tashkent (Uzbekistan), Baku (Azerbaijan) and Almaty (Kazakhstan) to
take advantage of the emerging opportunities in CIS countries. Bank’s role
globally is well assisted by its network of correspondent banks located
strategically in Asia, America, Europe and Africa.

Apart from having a vast branch network, Bank is at the forefront in the
acquisition and application of new technologies in every aspect of its banking
facilities. It has acquired leased telephone lines for on-line banking. The Bank
has 12 Regional Computer Centers to cover various on-line and batch system
requirements of branches and controlling offices. Bank has also a presence on
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the Internet. It has modernized its services by installing Automated Teller

Machines (ATMs) called "CASH LINK" at selected branches and presently 101
ATMs are operational in major cities.

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 National Bank of Pakistan

Vision

To be recognized as a leader and a brand synonymous with trust, highest standards of

service quality, international best practices and social responsibility.

Mission
To be recognized in the market place by Institutionalizing a merit & performance culture,
Creating a powerful & distinctive brand identity by providing the highest standards of
services, Adopting the best international management practices, Maximizing stakeholders
value and Discharging our responsibilities as a good cooperate citizen of Pakistan and
the countries where we operate.

Core Values
To achieve highest standards of Integrity, Institutionalizing team work and performance
culture, Excellence in service, Advancement of skills for tomorrow’s challenges,
Awareness of social and community responsibility, Value creation for all stakeholders.

Goals
To enhance profitability and maximization of NATIONAL BANK OF PAKISTAN share
through increasing leverage of existing customer base and diversified range of products.

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Culture
The concept of corporate culture has become increasingly important as a factor in large-
scale changes. Each organization forms its own culture. An organization’s culture
includes the shared values, beliefs, and behaviors formed by the members of an
organization over time. Creating a culture that achieves organizational goals and at the
same time satisfies member needs can increase organization effectiveness. NBP is the
employer of choice. The whole NBP family comprises of committed and dedicated
members with passion to serve in their respective functional areas. The Bank has
challenging work environment where merit and performance help the individuals to
explore their true potential. As a caring employer the Bank enables the employees to
excel and grow in highly congenial employment conditions and culture. The career path
is full of challenges and opportunities. The Bank has absolutely open culture where
members share and communicate freely.

Management Approach
National Bank of Pakistan offers unlimited opportunities to its employees for continuous
personal and professional growth.NBP has started an ambitious Change Management
Program to further train its employees to meet the challenges of present day
requirements. Training and development are the core issues of HR, which will ultimately
improve our customer service and help us attain the standard of a progressive bank.
Besides a competitive financial package, we offer excellent working conditions, job
satisfaction, superior leadership and conducive environment for growth.

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Management Structure
Board of directors

Syed Ali Raza

Chairman & President

Mian Kausar Hameed Mr. Ibrar A. Mumtaz Mr. Tariq Kirmani

Director Director Director

Mr. Mohammad Ayub Khan Tarin Mrs. Haniya Shahid Naseem

Director Director

Mr. Ekhlaq Ahmed

Secretary Board of Directors

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 National Bank of Pakistan

Organizational Hierarchy

President

Senior Executive Vice

president

Executive Vice
president

Senior Vice
President

Vice
President

Assistant Vice
President

Officer
Grade I

Officer
Grade II

Officer
Grade III

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 National Bank of Pakistan

Qamar Hussain
Chief Operating Officer, Head of Credit & Risk Management Group

Dr. Asif A. Brohi

SEVP & Group Chief, Operations Group

Shahid Anwar Khan

SEVP & Group Chief, Overseas Banking Group / Corporate & Investment Banking Group

Ziaullah Khan
SEVP & Group Chief Agriculture Finance Group

Dr. Mirza Abrar Baig

SEVP & Group Chief, Human Resources Management & Administration Group

Amer Siddiqui
SEVP & Group Chief, Commercial & Retail Banking Group

Tariq Jamali
EVP & Group Chief, Compliance Group

Muhammad Nusrat Vohra

SEVP & Group Chief, Treasury Management Group

Khalid Bin Shaheen

SEVP & Group Chief, Global Home Remittance Management Group

Imam Bakhsh Baloch

SEVP & Group Chief, Audit & Inspection Group

N. B. Soomro
SEVP , Special Assignments, President's Secretriate

Agha Fidaullah
EVP/Group Chief, Special Assets Management Group

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 National Bank of Pakistan

Shafique Ahmed Khan

EVP & Group Chief Islamic Banking Group

Ekhlaq Ahmed
EVP & Secretary Board of Directors

Nadeem A. Ilyas
EVP & PSO to President, Group Chief (A), Compliance Group

Fazal-ur-Rehman
EVP & Head P&IR Division, HRM&A Group

Muhammad Hanif
EVP & Head HR & OD Division, HRM&A Group

Muhammad Iqbal Qasim

EVP & Head SC & CSR Division, HRM&A Group

Tahira Raza
EVP & Head Risk Review Division, Credit and Risk Management

Atif Hasan Khan

SVP & Group Chief (A) Information Technology Group

Aamir Sattar
SVP, Divisional Head, Financial Control Division

Ali Hassan
SVP-Divisional Head PMO-CBA / Chief Information Security Officer

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Human Resource Department

Function of HRM
Like every prestigious organization at NBP HR department is responsible for
implementation off all the policies in the organization. HR department is also responsible
for initiating different types of policies such as,
 Hiring And Firing Policy
 Leave Policy
 Working Hours Policy
 Retirement Policy
 Performance Evaluation
 Training Policy
 Career Counseling
 Grievance Management

HR department at NBP designs the job, and than according to that hire people who best
fit in that job. Training the employees to make them more efficient and effective is done
by HR department, for this purpose they have to identify the needs and than design the
training to meet the requirements of that need. Besides this human resource department
meet up on monthly basis and perform the following functions,

 Ensures proper grading and analysis of job recruitment for the purpose
of operational efficiency.
 Develops an effective training program should suit the Bank’s
requirement.
 Keeping in view the future requirements oversees career path
development for all staff members.
 Formulates a reasonable transfer/posting policy, which adequately
suits the bank.
 Introduces effective mechanism for evaluating staff performance.
 Prepares promotion/incentive criteria based on performance thereby
providing motivation to the staff working in the bank.
 Accords Staff House Building Loans.

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Job Analysis
It is the primary function in HR, which is undertaken. It is the analysis of the tasks and
activities involved, time taken to perform the tasks, importance of the tasks,
responsibility associated with the task, conditions under which it is performed, expertise
required, equipments to be used, etc.
This helps the HRM, to determine:
 Job Description
 Job Specification
 Recruitment
 Selection
 Developing compensation package

Job Description
A job description is a written statement of what the jobholder does. How it is done?
Under what conditions it is done. And why it is done? It should accurately portray job
contents. NBP’s job description includes,

 Job title
 Duties to be performed
 Distinguishing characteristics of the job
 Authorities and responsibilities of jobholder etc.
 Whom report to whom

NBP performs job analysis to check the efficiency of the work assigned, also to identify
the knowledge and skills necessary for performing job. They assigned the task to the
employees, the time spent by employees and what is output of the each employee. By
looking at these factors the management of the NBP analyzes the Job after this they asked
the different question related to the job that was assigned to the employee and get the
feedback

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Recruitment
NBP is the employer of choice. The whole NBP family comprises of committed and
dedicated members with passion to serve in their respective functional areas. The Bank
has challenging work environment where merit and performance help the individuals to
explore their true potential. As a caring employer the Bank enables the employees to
excel and grow in highly congenial employment conditions and culture. The career path
is full of challenges and opportunities. The Bank has absolutely open culture where
members share and communicate freely. Our human resource departments aim is to
provide more talented Human Resource in all NBP functional areas in relation to
competition keep motivated all the employees and maintain total industrial harmony.

Recruitment is a process of seeking, attracting and identifying a pool of qualified

candidates in sufficient numbers to fill current and future workforce needs.
 Recruitment Method
Basically two methods are used for recruitment process, which are as follows;

 Internal Recruiting
Internal recruiting is done within the company, internal recruiting is related to the cost
saving factor of the company that is instead of hiring people form the market already
experienced and trained employees of the organization are hired for vacant posts that
saves the cost of training, which company has to pay in case of hiring people outside the
company. No doubt training cost is the biggest overhead of any large and credible
organization. But there is drawback of internal recruiting that is opportunity has not been
given to the fresh blood so they contribute more zealously in the corporate affairs with
their new ideas and techniques.

In NBP internal recruiting is done in the following ways;

Successor Planning:

In this policy what they did was they trained some individual with in the organization
who has a same level of skill, knowledge, ability to perform a specific job. In case if
some employees are retired for specific job they can promote the person with in the
organization according to the above criteria.

Job Posting
Sometimes internal recruiting is done through job posting in NBP; during this process
already experienced and trained employees are posted on the vacant posts if they meet the
required conditions for that post.

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Referrals

Referrals were preferred before the Pakistan Army came in power so due to political
influence and union’s pressure employees were inducted on the basis of referrals.

 External Recruiting

External recruiting is done when fresh blood is hired from the market instead of hiring
already trained and experienced employees for the vacant posts. We think external
recruiting is one of the best methods of recruiting because with fresh blood fresh and new
ideas and techniques are being used in the organization, which increase the productivity
of company and overall quality and level of efficiency. But in case of external recruiting
company has to bear the training cost which is the largest overhead for any large
organization. Generally methods used for external recruiting are as follows;

 Internet
 Media advertisement
 Employment database
 On campus/internship/Co-op
 Employment agencies
 Temporary/contract employment
 Professional organizations/labor unions

Probation

Probation period at NBP is more than one-year mo. An employee is sending for the
training they keep him as a temporary employee and gives him feedback and when he
improves he is taken up by the organization as a permanent one. And if he couldn’t show
any improvement then he’ll be fired. The probation period can be extended.

Method use in NBP

But in NBP appointments can only be made against the post properly advertised in the
press after necessary clearance from competent authority, in the light of some critical
requirements such as; quota distribution written tests and subsequent interviews are
another important step in the recruitment selection process in which 60% marks are
necessary for qualifying the written test and interview.

Contractual Appointment
NBP also appoint the employee on the contract basis but of the lower staff i.e. Security
Guard. They hire them through the agencies.

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Selection
Selection can be defined as the process of choosing from a pool of applicants the
individual or individuals who best fit the selection criteria for a given position.

Selection Criteria
Selection process is the most important factor relating to any organization because this is
the process through which fresh and competent employees can be inducted, there should
be a selection criteria so that we can select the best breed, selection criteria of NBP is as
follows;

Technical Requirements
Wirth the increase in the information technology and computer technology the technical
requirement is now necessary for every employee of the company. So the technical
requirement regarding the computer knowledge is necessary for the employees.

Interpersonal Requirements
Whether a person is going to have a technical or non-technical job interpersonal skills are
required, without having interpersonal skills nobody can be a useful employee because a
person lacking in this side cannot work in teams and cannot easily communicate any
thing easily to others. So interpersonal skills are the foremost requirement for a job.

Physical Requirement
An employee with physical and mental health can prove to be the most efficient and
useful employee of the company resulting in the increased and efficient production of the
organization, similarly in NBP those candidates is preferred which are physically and
mentally fit.

Selection Process

Selection process of NBP is unified, its recruitment and selection criteria is like
government. The recruitment and selection procedure at NBP is as follows;
1. Advertisement of vacancies identified by various departments as per requirement
2. Receipt of applications
3. Scrutiny of applications
4. Constitution of a selection committee
5. Conducting of written tests and interviews
6. Issuance of offers letters after approval
7. Medical test
8. Final selection

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Advertisement of Vacancies Identified By Various Departments as Per

Requirement
At present according to government rules there is a ban on recruitment to public
organizations since November 1999, even in the case of work charge employees.
Appointments can only be made against the post properly advertised in the press after
necessary clearance from competent authority, in the light of some critical requirements
such as; quota distribution. So advertisement is only given in two leading English and
Urdu newspapers.

Receipt of Applications
After advertisement, willing candidates who are up to the selection criteria will submit
their applications along with their C.V and photocopies of their documents within the
specified time mentioned by the company.

Scrutiny of Applications
Then all the applications are screen out and short listing is done in which only those
applications will be considered which will be up to the criteria of the selection process.

Constitution of a Selection Committee

Then selection committee basically consists of mangers personnel and admin department
and other senior officers of different departments HR manager carries on all the
prescribed procedure. He acts as an active member of the selection committee who look
after the all selection procedure.

Conducting Of Written Tests & Interviews

After short listing only those candidates will be eligible for written test whose name will
be in that list, this test is basically related to their previous education, then the candidates
who qualify in written test will be considered for interview. The interview will be
structured one. Written tests and subsequent interviews are important step in the
recruitment selection process in which 60% marks are necessary for qualifying the
written test and interview.

Processing of Cases for Appointment

Then processing of cases started in which candidates are being selected for appointment
on the basis of selection committee, number of vacancies and quota allocation.

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Issuance of Offers Letters after Approval

After final approval by the selection committee offer letters are issued to the candidates
who have qualified the written test and interview.

Medical Test
After issuance of offer letter medical test is conducted on the specified date for final
selection.

Final Selection
Then the candidate who is qualified in written test and interview and medically fit final
appointment letter is issued and personal record of the employee is maintained.

Important Aspects of Selection Process

Primarily at the selection stage four important aspects are graded;

1. Qualification
2. Experience
3. Written test and
4. Interview

20 marks minimum needs to be obtained in the first two areas while a total of 60 marks
can be obtained in the written test and interview.

Employee Orientation

At NBP orientation is given to the employees. For different sort of jobs different sort of
orientation is given means its not like that during the orientation the new entrant is
notified about the rules and regulations only in fact some time it might exceeds one day
because they basically identifies the training needs of the employees and this orientation
is some what directly related with the training programs. After hiring the new employee
in the organization they are sending to the any of the branches for orientation. This
orientation is of one year for the new employees.

Job Rotation:
HR department also rotate the job of individual employee with in three years or after the
three years from one branch to another branch and one city to another city all these
rotations are done so that employee could gain the experience of different working
environment.

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Training Policy
Training is the organized procedure by which people learn knowledge and/or skills for a
definite purpose. Almost every employee hired by an organization will require some
training in his or her job. Some training programs may be more extensive than others, but
all require the trainer to have identified content and subject matter needed in the training
and tasks to be performed on the job to ensure that the training will prepare individuals to
perform the job effectively.
NBP have their own training centre for the employees both for the new and old
employees. The name of their training centre is named as “Staff College” which is
situated in the Melody, Islamabad. They also have other training centre in the other cities
of the Pakistan they also send their employees to head office in Karachi.

The employees who are already on the job, they can continue the education besides with
job. For this purpose NBP issue the authority letter to those employees.

Training policy at NBP one is very good as they buy the need of it and provides training
to all the employees irrespective of their status. Training is provided at all stages to the
employees so that they came to know about their future goals settings. The HR manager
suggests training policy after doing the performance evaluation. The training policy is
done according to the employee needs; these can be on the job training and off the job
training.
There are two types of trainings

In-house training
 OTI (Officers Training Institute)
 Master Trainers
Basic training courses for trainee officers recruited through officers training
scheme.
 Courses for cash officers/go-down officers
 Courses conducted for foreign exchange and foreign trade officers.
 Workshops conducted for sensor staff.
 Courses conducted by OTI at different Regional offices.
 Courses conducted for officers’ executives of other banks under special
Arrangements.

Outsourcing
As per requirements of the Bank, special training may be arranged with the help
of Professional training Institute at their premises under contract with NBP.

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Designing Effective Training Systems:

NBP uses an “Instructional design process” (which refers to a systematic approach for
developing training programs). It consists of the following:

Conducting Needs Assessment:

There are different pressure points that suggest whether training is necessary such as
performance problems, new technology, internal and external customer requests for
training, job redesign, and new legislation changes in customer preferences, new services
or employees’ lack of basic skills. The assessment carried out by NBP involves:
 Organizational analysis
 Person analysis
 Task analysis

Areas to be trained
Following key areas should be assessed to make sure that the employee should
have training in the specific area.
Knowledge, Skills and Attitude

Courses conducted by Professional Institutes

 IBP (Institute of Banker’s Pakistan)
 ICAP
 IMS (Institute of Marketing & Sales)
 CMD (Center of Management & Development)
 Auto Soft Dynamics
Human Resource Development Areas:
 Management skills
 Marketing & Sales skills
 Customer care skills
 Performance appraisal skills
 Banking operations & regulatory compliance
 Credit marketing and credit proposals
 Credit administration/documentation
 Trade finance operations
 Risk management
 Audit compliance

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Training Developments:
 JNMDC: For Executive Development Programmes only

 Staff College Karachi : Karachi South, Karachi West, Hyderabad , Sukkur,

Larkana, Gwadar, Quetta and Regional Audit Office Karachi

 Staff College Lahore: Lahore Central, Lahore East, Multan, Sahiwal, D.G Khan,
Gujranwala, Sialkot, Bahawalpur and Regional Audit Office Lahore.
 Staff College Peshawar: Peshawar, Abbottabad, Mardan, D .I Khan.

 Staff College Peshawar: Islamabad, Rawalpindi, Jhang, Faisalabad, Gujarat,

Jhelum, Sargodha, Mirpur, Muzaffarabad, Gilgit and Regional Audit Office
Islamabad.

 Training Programs
January
February
March
April
May
June

Career Planning
Career planning is done at NBP. The HR manager performs the role of a mentor, which
helps out the new employee in deciding his ultimate field. They also do career
counseling. Several training programs are practiced for the career development of the
employees.

Salary structure
Minimum wage in the NBP is 4,950\-. But they also have a policy that management
decides about the salary of the employee according to his status and it also depends upon
the seniority of the employee. The head office is deal and decides about the salary
structure of the employees. Salary of the employees consists of following:

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 Basic Salary
 Bonus (10% of basic salary, 3 bonuses in one year)
 Medical Allowances (10% of basic salary)
 Cost of living Allowances (45% of basic salary)
 Utility Allowances (10% of basic salary)
 Special Allowances (80 liter petrol every month, scholarship for children of
employees etc)

Minimum Wage
In National Bank minimum wage is Rs.4, 950

Benefits
NBP is providing many benefits to its employees in order to boost their morale, reduce
turnover, gain a competitive position, etc. All this is done in order to maintain a high
position in the market and in order to recruit high performing employees. Following are
some of the benefits provided to employees:

 Vacations
 Holidays
 Tuition Reimbursement
 Pension Plans
 Life Insurance
 Death Benefit
 Service Awards
 Provident Funds
 Allowances
 Loan
 Medical Reimbursement

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Provident Fund
NBP not contributed any amount towards the provident fund, it only deduct the 10% of
the basic from the salary of the employees. Both employee and employers are contributed
equally.

Allowances
NBP provide the different allowances for their employees. These are:

 House rent
 Cost of living allowance
 Utility allowance
 Tuition reimbursement allowance (not given to the employees)

Loan Policy
Loan for the employees depend upon their salary. The must save the sufficient amount of
approximately RS. 6000/- for house expenditures.

Unionization
The unions are very positive and there policies are always in the favor of company. They,
mostly, do not try to prefer their own benefits to that of company. But it does not mean
that they compromise on the cost of workers’ benefits. They always try to do the best. It
is actually exists to assist the company. Union is very strong in NBP it has a great
influence on all the main decision which the management are going to be made. Union
member are like to pay RS10 approximately per month or it may be deducted from their
salary for running the activities of union. Management involves union before making
policies, changing rules and procedure for the purpose of carrying out the good flow of
work.

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Safety Issues
The working environment at NBP is favorable for any employee to work productively;
because it is a service organization there fore they do not have any health issues because
there are no hazards all around. And apart from safety there are no serious issues because
such sorts of machinery, which can cause a workplace injury, are not used at NBP. They
also hired guard from the purpose of security. Every branch has a three to six guard and
they also have a facility of call bell in case of any robbery. They also have fire extinguish
In case of any emergency like fire etc. But for the cases of emergencies such as fire, NBP
has taken all the necessary measures to face such a situation. In respect of health NBP
provides clean water to its employees at work place.

Equal Employment Opportunity

In NBP there is no discrimination on the basis of

 Quota For handi Capped

 Minimum wages
 Working Women Issue.
 Worker Compensation
 Greiverence Management

Quota for Handicapped

In Government organization they maintain a quota for handicapped. National Bank of
Pakistan also maintain quota for handicapped i.e. 2%

Working Women Policy

In NBP there is no discrimination on the basis of gender. There was a separate sitting
room for the women in the lunchtime. Recently they hire new lady workers in the
regional offices at the middle level management.

We met the retired women employee in the melody branch named miss. Aleena Shahid
she explained the satisfactory comments on the all women issues.
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Worker Compensation
HR Department of National Bank of Pakistan designs a healthy worker compensation
plan to their employees. In case of serious disease or emergency situation like accident,
hart surgery, cancer disease etc, they provide all the medical facilities for procurement of
all these disease. They can reimburse all the medical bills and also provide the
hospitalization facilities t o their employees. They also referred their employees outside
the country in case of serious illness.

Personal Conduct
National Bank of Pakistan expects its employees to maintain a high standard of conduct
and work performance to make sure the business maintains its good reputation with
customers and clients. Good personal conduct contributes to a good work environment
for all.

This involves all employees:

 observing all policies and procedures

 treating colleagues with courtesy and respect
 treating customers and clients in a professional manner at all times
 working safely at all times

MISCONDUCT
A person can be entitled to be punishment if he or she did the following misconduct.

•Fraud and Dishonesty

•Taking Bribes & Any Illegal Gratification
•Habitual Absence without Leave
•Habitual Negligence of Work

Suppose a person can be absent without any reason for the number of days without
informing the bank than bank prescribed the following procedure for giving him the
punishment

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 Show Cause Notice

After every 10 days bank can give three reminders if a person could not reply for three
reminders than he will announce the name of defaulter people in the news paper again if
he could not appeared than he will be fired without any notice.

 Appointment of Inquiry officer

In case a person can violate the policy of bank and making some fraud than and inquiry
officer should be appointed who will be looked after all the case and than if a person
proved guilty than following things may be done

 Award of Punishment, If Worker Found Guilty:

 Fine
 Withholding Of Increment
 Demotion
 Dismissal Without Any Notice

Grievance Management
Every employee have right to file grievance petition against any mishap occurred.
Generally grievance management takes place in the following.

 Initial Dispute Resolution Phase.

 Formal Written Grievance
 HR Resolution
 Vice President
 Law Suit

At first there is an initial dispute resolution phase in which HR manager tends to serve the
dispute with mutual consent but if the efforts go in vain then formal written grievance is
not solved then it goes to Vice President and after that law suit is filed. In NBP there is a
committee for handling grievance.

Application
Incase of any mishap formal application is filled to the HR manager then he screens the
applications from all angels and tries to work out in this regard and HR manager by
himself tends to solve the grievance but if he fails to do so then he refers it to the policy
section.
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Policy Section
If the dispute is still to be solved then it goes to the concerned policy section, they
formulate policies regarding the scenarios that are likely to occur then in view of these
policies an effort is made to solve the grievance. The matter is viewed in accordance with
the policies of the organization if there are any predefined policies regarding the
concerned matter to solve in the light of these policies.

Legal Section
If this does not help them finally it goes to the legal section. Government has passed a
regulation under which employees are prohibited to go in the high court.

Cafeteria
NBP provide the facility of cafeteria to their employees. NBP contribute 60% and 40% is
contributed by the employees.

Rewards
Rewards are given to enhance the morale of the employees that they can work more
efficiently and effectively. Every organization gives rewards to its employees on
achievement of some goal. At NBP rewards are also given to the employees on there
performance. NBP is offering following types of rewards:

 Financial Rewards Non financial rewards

Financial Reward
There are different types of financial rewards offered by NBP it includes

 Bonuses (three in a year)

 Salary increments

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Non-Financial Rewards:
Besides financial rewards NBP is also offering non-financial rewards to its employees to
encourage them. Because they think the organization can grow with fast speed only
unless and until its employees are performing up to the tasks assigned to them. To
achieve this purpose NBP is offering an environment, which enhances the productivity of
the employees.

Entertainment
The NBP provide the entertainment to their employees by arranging cricket match. The
NBP has its own cricket team comprises of its employees.

Other Policies

Some other policies are:

 Smoking
 Dress Code
 Working Hour Policy
 Foreign Issues
 Politics
 Leave Policy
 Promotion
 Stock Exchange Shares

Promotion Policy
Some times it became big issues that a junior is superseded over a senior. That might be
the case here at NBP because they promote their employees on performance basis. But
according to them as the selection criteria is clear about the selection of an employee so
that problem can be generated only in case of wrong hiring. Otherwise they took the best
from the market that has knowledge about their field. The bottom line is there promotion
policy is simply based on the performance of the employees so there is a pretty tough
competition among the employees and this thing is doing favor for the organization.

The final authority for the promotion of the employee comes from the head office. They
decide about the promotion. Second thing is promotion will be done on the basis of
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improving education during the job. If some employee is graduate and he working for a
specific post and there is no chance to further promotion than if he improves his
education suppose he completed his MBA during that period than he will be promoted he
filled the case to head office that he improved his education and he wanted to be promote
than head office see his case if he fulfilled the requirement which head office wants than
in the next year increment he may be promoted.

Dress Code
As a minimum standard, dress should be clean, neat and professional. National bank
reserves the right to request an employee to dress to an appropriate standard as a
condition of employment.
The higher authority makes a new policy for the employee that the entire employee
should be in the official dress i.e.

 Trouser, Shirt with Tie.

 Shilwar Qameez with Wais Coat

Email Policy
 Email facilities are provided for formal business correspondence.
 Take care to maintain the confidentiality of sensitive information. If emails need
to be preserved, they should be backed up and stored offsite.
 Limited private use of email is allowed if it doesn’t interfere with or distract from
an employee’s work. However, management has the right to access incoming and
outgoing email messages to check if an employee’s usage or involvement is
excessive or inappropriate.
 Non-essential email, including personal messages, should be deleted regularly
from the ‘Sent Items’, ‘Inbox’ and ‘Deleted Items’ folders to avoid congestion.
 All emails sent must include the approved business disclaimer.

To protect NBP from the potential effects of the misuse and abuse of email, the following
instructions are for all users.

 No material is to be sent as email that is defamatory, in breach of copyright or

business confidentiality, or prejudicial to the good standing of NBP in the
community or to its relationship with staff, customers, suppliers and any other
person or business with whom it has a relationship.
 Email must not contain material that amounts to gossip about colleagues or that
could be offensive, demeaning, persistently irritating, threatening, and
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discriminatory, involves the harassment of others or concerns personal

relationships.
 The email records of other persons are not to be accessed except by management
(or persons authorised by management) ensuring compliance with this policy, or
by authorised staff who have been requested to attend to a fault, upgrade or
similar situation. Access in each case will be limited to the minimum needed for
the task.
 When using email a person must not pretend to be another person or use another
person’s computer without permission.
 Excessive private use, including mass mailing, “reply to all” etc. that are not part
of the person’s duties, is not permitted.
 Failure to comply with these instructions is a performance improvement offence
and will be investigated. In serious cases, the penalty for an offence, or repetition
of an offence, may include dismissal.

Internet Policy
The internet is provided by National Bank of Pakistan for business use. Limited private
use is permitted if the private use does not interfere with a person’s work and that
inappropriate sites are not accessed e.g. pornographic, gambling. Management has the
right to access the system to check if private use is excessive or inappropriate.

Failure to comply with these instructions is an offence and will be subject to appropriate
investigation. In serious cases, the penalty for an offence, or repetition of an offence, may
include dismissal. Staffs need to be continually aware that some forms of internet conduct
may lead to criminal prosecution

Smoking
Smoking is not good for the health and it also disturb the environment of any place and
give a bad impression. Smoking is not allowed in the during the offices hours.

Working Hours
The State Bank of Pakistan regulates working hour’s policy at NBP i.e., 9:00 am to 1:35
p.m. and 35 hours in one week.

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Leave Policy
As concerns with the leave policy there are different types of leave policies like:

 Annual leaves are 48

 Medical Leaves are 18
 And the casual leaves are 20 (en cashable).
 Per month 4 leaves.

Politics
NBP not allowed any of its employee to take part in the political activities and can’t take
participate in any of the election held in Pakistan arranged by the government of
Pakistan.

Foreign Issues
NBP has policy that no employee (male/female) can marry with foreigner. Regarding the
salary policy the employee will get the salary package according to the rules regulation
and polices of that country where the employee will go for job in the branch of the NBP.

Stock Exchange Shares

NBP has listed on the all of the stock exchange of the Pakistan. Employees are allowed to
purchase the shares of the NBP but it not allow any discounted rate on its purchase.

Job Security
There are no issues what so ever in NBP about the job security. Yes they are tight on the
performance and if some one is not performing well they take it as dishonesty with

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himself and as well as with the organization. And such an employee is fired after giving a
one-month prior notice.

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LABOUR RIGHTS FOR HR POLICIES

Labour Rights kept in mind while designing HR MANUAL

The Constitution of Pakistan contains a range of provisions with regards to labour rights
found in Part II: Fundamental Rights and Principles of Policy. These laws are very
important to design organizations policies. NATIONAL BANK OF PAKISTAN applies
all the under given laws in its policies. These laws are discussed as under:

 Article 11 of the Constitution prohibits all forms of slavery, forced labour

and child labour;
 Article 17 provides for a fundamental right to exercise the freedom of
association and the right to form unions;
 Article 18 proscribes the right of its citizens to enter upon any lawful
profession or occupation and to conduct any lawful trade or business;
 Article 25 lays down the right to equality before the law and prohibition
of discrimination on the grounds of sex alone;
 Article 37(e) makes provision for securing just and humane conditions of
work, ensuring that children and women are not employed in vocations unsuited
to their age or sex, and for maternity benefits for women in employment.

Labour Legislation
Pakistan’s labor laws trace their origination to legislation inherited from India at the time
of partition of the Indo-Pak subcontinent. The laws have evolved through a continuous
process of trial to meet the socio-economic conditions, state of industrial development,
population and labour force explosion, growth of trade unions, level of literacy,
Government’s commitment to development and social welfare. To meet the above named
objectives, the government of the Islamic Republic of Pakistan has introduced a number
of labour policies, since its independence to mirror the shifts in governance from martial
law to democratic governance.
Under the Constitution labour is regarded as a ‘concurrent subject’, which means that it is
the responsibility of both the Federal and Provincial Governments. However, for the sake
of uniformity, laws are enacted by the Federal Government, stipulating that Provincial
Governments may make rules and regulations of their own according to the conditions
prevailing in or for the specific requirements of the Provinces. The total labour force of
Pakistan is comprised of approximately 37.15 million people, with 47% within the
agriculture sector, 10.50% in the manufacturing & mining sector and remaining 42.50%
in various other professions.

Contract of Employment
While Article 18 of the Constitution affords every citizen with the right to enter upon any
lawful profession or occupation, and to conduct any lawful trade or business, the
Industrial and Commercial Employment (Standing Orders) Ordinance was enacted in
1968 to address the relationship between employer and employee and the contract of
employment. The Ordinance applies to all industrial and commercial establishments

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throughout the country employing 20 or more workers and provides for security of
employment. In the case of workers in other establishments, domestic servants, farm
workers or casual labour engaged by contractors, their labour contracts are generally
unwritten and can be enforced through the courts on the basis of oral evidence or past
practice.
Every employer in an industrial or commercial establishment is required to issue a formal
appointment letter at the time of employment of each worker. The obligatory contents of
each labour contract, if written, are confined to the main terms and conditions of
employment, namely nature and tenure of appointment, pay allowances and other fringe
benefits admissible, terms and conditions of appointment.

Termination of the Contract

The services of a permanent worker cannot be terminated for any reason other than
misconduct unless one month’s notice or wages in lieu thereof has been furnished by the
employer or by the worker if he or she so chooses to leave his or her service. One
month’s wages are calculated on the basis of the average wage earned during the last
three months of service. Other categories of workers are not entitled to notice or pay in
lieu of notice.
All terminations of service in any form must be documented in writing stating the reasons
for such an act. If a worker is aggrieved by an order of termination he or she may proceed
under Section 46 of the Industrial Relations Ordinance 2002, aimed at regulating the
labour-management relations in the country, and bring his or her grievance to the
attention of his or her employer, in writing, either him or herself, through the shop
steward or through his or her trade union within three months of the occurrence of the
cause of action. Forms of termination have been described as removed, retrenched,
discharged or dismissed from service. To safeguard against any colorful exercise of
power, victimization or unfair labour practices, the Labour Courts have been given
powers to examine and intervene to find out whether there has been a violation of the
principles of natural justice and whether any action by the employer was bonafide or
unjust.
Working Time and Rest Time
Working hours
Under the Factories Act, 1934 no adult employee, defined as a worker who has
completed his or her 18th year of age, can be required or permitted to work in any
establishment in excess of nine hours a day and 48 hours a week. Similarly, no young
person, under the age of 18, can be required or permitted to work in excess of seven
hours a day and 42 hours a week. The Factories Act, which governs the conditions of
work of industrial labour, applies to factories, employing ten or more workers. The
Provincial Governments are further empowered to extend the provisions of the Act, to
even five workers.
Where the factory is a seasonal one, an adult worker shall work no more than fifty hours
in any week and no more than ten hours in any day. A seasonal factory, per section 4 of
the Factories Act is that which is exclusively engaged in one or more of the following
manufacturing processes, namely, cotton ginning, cotton or cotton jute pressing, the
manufacture of coffee, indigo, rubber, sugar or tea. However, if such adult worker in a
factory is engaged in work, which for technical reasons must be continuous throughout
the day, the adult worker may work no more than fifty-six hours in any week.

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Section 8 of the West Pakistan Shops and Establishments Ordinance, 1969 likewise,
restricts weekly work hours at 48 hours. The Shops and Establishments Ordinance
regulates persons employed in shops and commercial establishments, who are neither
covered by the Factories Act nor by the Mines Act. The Ordinance is exclusive in the
whole of Pakistan except for the Federally Administered Tribal Areas. Section 22-B of
the Mines Act, 1923 also fixes weekly hours of work for workers at 48 hours or 8 hours
each day, with the limitation of spread-over 12 hours and interval for rest for one hour
every six hours. Section 22-C further limits the spread-over to 8 hours for work done
below ground level.
In factories, the periods and hours of work for all classes of workers in each shift must be
notified and posted in a prominent place in the principal language in the industrial or
commercial establishment. The law further provides that no worker shall be required to
work continuously for more than six hours, unless he or she has had an interval for rest or
meals of at least one hour.
During Ramadan (fasting month), special reduced working hours are observed in
manufacturing, commercial and service organizations.

Paid Leave
As provided in the Factories Act, 1934, every worker who has completed a period of
twelve months continuous service in a factory shall be allowed, during the subsequent
period of twelve months, holidays for a period of fourteen consecutive days. If a worker
fails in any one such period of twelve months to take the whole of the holidays allowed to
him or her, any holidays not taken by him or her shall be added to the holidays allotted to
him or her in the succeeding period of twelve months.
A worker shall be deemed to have completed a period of twelve months continuous
service in a factory notwithstanding any interruption in service during those twelve
months brought about by sickness, accident or authorized leave not exceeding ninety
days in the aggregate for all three, or by a lock-out, or by a strike which is not an illegal
strike, or by intermittent periods of involuntary unemployment not exceeding thirty days
in the aggregate; and authorized leave shall be deemed not to include any weekly holiday
allowed under section 35 which occurs at beginning or end of an interruption brought
about by the leave.

Maternity Leave and Maternity Protection

While article 37 of the Constitution makes reference to maternity benefits for women in
employment, there are two central enactments, one federal and the other provincial
providing maternity benefits to women employed in certain occupations. The Maternity
Benefit Ordinance, 1958 stipulates that upon the completion of four months employment
or qualifying period, a worker may have up to six weeks prenatal and postnatal leave
during which she is paid a salary drawn on the basis of her last pay. The Ordinance is
applicable to all industrial and commercial establishments employing women excluding
the tribal areas. It also places restrictions on the dismissal of the woman during her
maternity leave. Similarly, the Mines Maternity Benefit Act, 1941 is applicable to women
employed in the mines in Pakistan.

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Other Leave Entitlements

In addition to the 14 days of annual leave with pay, the Factories Act, 1934 provides that
every worker is entitled to 10 days casual leave with full pay and further 16 days sick or
medical leave on half pay. Casual leave is granted upon contingent situations such as
sudden illness or any other urgent purpose. It should be obtained on prior application
unless the urgency prevents the making of such application. As a customary practice,
causal leave is approved in most cases. Sick leave, on the other hand, may be availed of
on support of a medical certificate. Management should not refuse the leave asked for if it
is supported by a medical certificate.
In addition to the leave entitlements, workers enjoy festival holidays as declared by the
Federal Government. The Provincial Government under section 49 of the Factories Act,
1934, states all festival holidays, approximately 13 or as further declared, in the Official
Gazette. Additionally, every worker is entitled to enjoy all such holidays with pay on all
days declared and notified by the Provincial Government. If however, a worker is
required to work on any festival holiday, one day's additional compensatory holiday with
full pay and a substitute holiday shall be awarded.
Under agreements made with the Collective Bargaining Agent, employees who proceed
on pilgrimage i.e., Hajj, Umra, Ziarat, are granted special leave up to 60 days.

Equality
Article 38 of the Constitution imparts the State’s obligations aimed at achieving equality
in the form of securing the well-being of the people, irrespective of sex, caste, creed or
race, by raising their standard of living, by preventing the concentration of wealth and
means of production and distribution in the hands of a few to the detriment of general
interest and by ensuring equitable adjustment of rights between employers and
employees, and landlords and tenants. All citizens are bestowed, within the available
resources of the country, facilities for work and adequate livelihood with reasonable rest
and leisure and the basic necessities of life, such as food, clothing, housing, education
and medical relief, for all such citizens, irrespective again of their sex, caste, creed or
race, as are permanently or temporarily unable to earn their livelihood on account of
infirmity, sickness or unemployment.
Pay Issues
Wages are construed as the total remuneration payable to an employed person on the
fulfillment of his or her contract of employment. It includes bonuses and any sum
payable for want of a proper notice of discharge, but excludes the value of
accommodations i.e., supply of light, water, medical attendance or other amenities
excluded by the Provincial Government; the employer’s contribution to a pension or
provident fund, traveling allowance or concession or other special expenses entailed by
the nature of his or her employment; and any gratuity payable on discharge.
The Payment of Wages Act, 1936, regulates the payment of wages to certain classes of
industrial workers. It applies to those workers whose monthly wages do not exceed Rs.
3,000 (51.68 US$) and are employed in factories, railways, plantations, workshops and
establishments of contractors. The main object is to regulate the payment of wages to
certain classes of persons employed in industry. The provisions of the Act can, however,
are extended to other classes of workers by the Provincial Governments after giving three
months notice to the employers of their intention to do so. The Act stipulates that wages
to workers employed in factories and on railways are to be paid within seven days of
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completion of the wages period, if the number of workers employed therein is less than
1,000. In other cases, the time limit for payment of wages to the workers is 10 days. No
deduction can be made from the wages of the workers excepts as specified in the Act,
such as for fines, breach of contract and the cost of damage or loss incurred to the factory
in any way other than an accident.
The employer is responsible for the payment of all wages required to be paid to persons
employed by him or her. Similarly any contractor employing persons in an industry is
responsible for payment of wages to the persons he or she employs. The persons
responsible for payment of wages must fix wage periods not exceeding one month.
Wages should be paid on a working day within seven days of the end of the wage period,
or within ten days if 1,000 or more persons are employed. The wages of a person
discharged should be paid not later than the second working day after his or her
discharge.
Workers' Representation in the Enterprise
Until the adoption, on 29 October 2002, of the Industrial Relations Ordinance, 2002 (IRO
2002), which repealed the Industrial Relations Ordinance, 1969, Pakistan had a three-
pronged system of participation in management (i.e., the Works Council, the
Management Committee and the Joint Management Board), independent of each other
and each having its own sphere of activities.
The new text simplifies the system, introducing a single body in place of the three
previous ones: the Joint Works Council (Article 24 of the IRO 2002). A Joint Works
Council must be set up in any establishment employing fifty persons or more. It consists
of no more than ten members, forty per cent of which are workers’ representatives. In the
previous system, the Management Committee and the Works Council were composed of
an equal number of representatives of the employer and workers, whereas the Joint
Management Board had a workers’ participation of 30 per cent. The Convener of the
Joint Works Council is from the management.
The Joint Works Council deals with matters, which were of the competency of the earlier
Joint Management Board, such as the improvement in production, productivity and
efficiency, provision of minimum facilities for those of the workers employed through
contractors who are not covered by the laws relating to welfare of workers. It has also
taken up tasks of the previous Works Council, i.e. promoting settlement of differences
through bilateral negotiations, promoting conditions of safety and health for the workers,
encouraging vocational training within the establishment, taking measures for facilitating
good and harmonious working conditions in the establishment, provision of educational
facilities for children of workers.

Trade Union and Employers Association Regulation

Freedom of association
The right to association is guaranteed by Article 17 of the Pakistani Constitution
imparting on every citizen the right to form associations or unions, subject to any
reasonable restrictions imposed by law in the interest of sovereignty or integrity of
Pakistan, public order or morality. Under Article 3 of the IRO 2002, workers as well as
employers in any establishment or industry have the right to establish and to join
associations of their own choosing, subject to respect of the law. Both workers' and
employers' organizations have the right to establish and join federations and
confederations and any such organization, federation or confederation shall have the right

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to affiliate with international organizations and confederations of workers' and employers'

organizations.
Registration of trade unions
Registration of a trade union is to be made under the Industrial Relations Ordinance.
Workers’ trade unions are registered with the Registrar Trade Unions in the Province, and
if the industry or establishment is nationwide with the National Industrial Relations
Commission, after fulfilling a number of requirements, listed in Article 6 of the IRO
2002. Through its registration, the trade union obtains certain benefits: registration
confers a legal existence as an entity separate from its members. Trade unions in Pakistan
generally function on plant-wide basis, with their membership contingent on the size of
the industry/trade to which they belong. Once established, the trade unions and
employers' associations have the right to draw up their constitutions and rules, to elect
their representatives in full freedom, to organize their administration and activities and to
formulate their programs.

Collective Bargaining and Agreements

To determine the representative character of the trade union in industrial disputes and to
obtain representation on committees, boards and commissions, the Industrial Relations
Ordinance makes provision for the appointment of a Collective Bargaining Agent (CBA).
The CBA is a registered trade union elected by secret ballot. The CBA is entitled to
undertake collective bargaining with the employer or employers on matters connected
with employment, non-employment, the terms of employment or any right guaranteed or
secured to it or any worker by or under any law, or any award or settlement.
Collective agreements are thus formulated by the CBA. The agreements may contain
matters such as the facilities in the establishment for trade union activities and procedures
for settling collective disputes including grievances and disciplinary procedures.
Substantive provisions settle terms and conditions of employment, wages and salaries,
hours of work, holiday entitlement and pay, level of performance, job grading, lay-offs,
retrenchment, sick pay, pension and retirement schemes. Such agreements once duly
executed by both parties become the source of law. The agreements should invariably be
in writing and should be drafted with care, for they are meant to settle disputes rather
than raise them.
In addition to statutory benefits under the labour laws, the adjustment of rights takes
place through collective bargaining including adjudication in Labour Courts. The IRO
2002 has changed the appellate procedure on the provincial level, which used to be
brought before a Labour Appellate Tribunal. This institution was abolished by the IRO
2002. Appeals of Labour Court decisions now lie directly with provincial High Courts.
Office bearers of trade unions are given protection against arbitrary transfer, discharge
and dismissal. Any ill-intentioned action on the part of the employer against an office-
bearer of a trade union or against a worker for trade union activities is construed as an
unfair practice and the National Industrial Relations Commission is entrusted with the
task of preventing such offenses. Security of service is ensured to the workers. Similarly,
unfair labour practices on the part of workers and trade unions is elaborated and
incorporated in law.

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Collective Labour Disputes

Commencement of a dispute
Under the IRO 2002, if an employer or a Collective Bargaining Agent finds that an
industrial dispute has arisen or is likely to arise, they may communicate their views in
writing to the other party. Upon receipt of the communication, the other party has fifteen
days (or more if agreed) to try and settle the dispute by bilateral negotiations.

Conciliation
If the parties do not manage to reach a settlement, the employer or the CBA may, within
fifteen further days, serve a notice of conciliation on the other party, with a copy to the
Conciliator and to the Labour Court.
If the dispute is settled before the Conciliator, or a tripartite Board of Conciliators, a
report is sent to the Provincial or Federal Government, with the memorandum of
settlement.

Arbitration
If the conciliation fails, the Conciliator tries to persuade the parties to refer their dispute
to an arbitrator. If they agree, the parties make a join request in writing to the arbitrator
they have agreed upon.
The arbitrator gives his or her award within a period of 30 days or a period agreed upon
by the parties. The award of the arbitrator is final and valid for a period not exceeding
two years.
A copy of the award is sent to the provincial or Federal Government, for publication in
the official Gazette.

Strikes and Lock-outs

Proceedings of strikes and lock-outs
If dispute settlement proceedings before the Conciliator fail and no settlement is reached,
and if the parties have not agreed to refer their dispute to an arbitrator, the workers retain
the right under section 31 of the Industrial Relations Ordinance 2002, to go on strike
providing due notice to their employer within seven days, and the employer has the right
declare a lock-out after the delay of notice of conciliation has expired. The party raising a
dispute retains the option, at any time, either before or after the commencement of a
strike or lockout, to make an application to the Labour Court for adjudication of the
dispute.
Where a strike or lock-out lasts for more than fifteen days, if it relates to a dispute which
the Commission is competent to adjudicate and determine, the Federal and/or the
Provincial Government may, by order in writing, prohibit the strike or lock-out at any
time before the expiry of thirty days, provided that the continuance of such a strike or
lock-out causes serious hardship to the community or is prejudicial to the national
interest. In such case the Federal Government or the Provincial Government shall
forthwith refer the dispute to the Commission or the Labour Court. After hearing both
parties, the Commission, or the Labour Court shall make such award as it deems fit, as
expeditiously as possible but not exceeding thirty days from the date on which the dispute
was referred to it.

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Under section 32 of the IRO 2002, if a strike or lockout occurs within the public utility
services sector the Federal Government and the Provincial Government may, by order in
writing, also prohibit its occurrence at any time before or after the commencement of the
strike or lockout.
No party to an industrial dispute may go on strike or declare a lockout during the course
of conciliation or arbitration proceedings, or while proceedings are pending before the
Labour Court.
In addition, the National Industrial Relations Commission (the Commission), adjudicates
and determines industrial disputes to which an industry-wise trade union or federation of
such trade unions is a party , as well as disputes which are of national importance.
The Commission also deals with cases of unfair labour practices.

Illegal strikes and lock-outs

A strike or lockout is declared illegal if it is commenced without giving notice of
conciliation to the other party of the dispute, or if it is commenced or continued in a
manner other than that provided by the IRO 2002 or in contravention with this text.
In case of an illegal strike or lockout, an Officer from the Labour Department may make
a report to the Labour Court, and require the employer or CBA or the registered trade
union concerned, to appear before the Court. The Court may, within 10 days, order the
strike or lockout to be stopped.
In case of contravention of the order of the Court by the employer, and if the Court is
satisfied that the pursuance of the lock-out is causing serious hardship to the community
or is prejudicial to the national interest, it may order the attachment of the factory and the
appointment of an official receiver, who will exercise the powers of management and
may do all such acts as are necessary for conducting business.
In case of contravention of the order of the Court by the workers, the Labour Court may
pass orders of dismissal against the striking workers, or cancel the registration of the
trade union that committed such contravention.

Settlement of Individual Labour Disputes

Pursuant to Article 46 of the IRO 2002, a worker may bring his or her grievance in
respect of any right guaranteed or secured by or under any law or any award or settlement
to the notice of the employer in writing, either him or herself or through the shop steward
or Collective Bargaining Agent, within one month of the day on which cause of such
grievance arises. The IRO 2002 reduces the delay from three months to one month.
Where a worker brings his or her grievance to the notice of the employer, the employer
must within fifteen days of the grievance, communicate his or her decision in writing to
the worker.
If the employer fails to communicate a decision within the specified period or if the
worker is dissatisfied with such decision, the worker or shop steward may take the matter
to the Labour Court within a period of two months.

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 National Bank of Pakistan

BIBLOGRAPHY
For designing this human resource manual we made our best efforts by using internet, our
course book, and by visiting National Bank offices. Most of the data was available on net
and other was got by interviewing NBP’s Human Resource manager.Labour laws were as
it copied from the web and law book as these laws are to be stated as these are.

Following were the sources of collecting data :

 www.nbp.com.pk
 www.privatisation.gov.pk
 http://www.privatisation.gov.pk/Finance/Nbp.htm
 Different internship reports
 National banks sadar office
 www.ilo.org/public/english/dialogue/ifpdial/info/national/pak.htm
 http://www.labourunity.org/labourlaws.htm
 http://www.unique-links.com.pk/
 Labour Laws book 2004

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