ConfidentialEmployeeHandbook(Mar.2013)ContentsI.CompanyIntroduction1CompanyIntroduction52VisionandMission5II.EmploymentPolicy1Employment62Probation63Termination64Retirement6III.Compensation&Benefits1ConfidentialPolicyforSalaryInformation72Compensation73Overtime84Bonus95IndividualIncomeTax96SocialInsuranceandWelfare97CompanyWelfare98Leave9IV.Training&Development1Training132CareerDevelopment133PerformanceandDevelopmentReview13V.Administrationmanagement1WorkingSchedule142EmployeeIdentityCard1534SmokingAdministration155Safety156Health177EmailPolicy178UseofCompanyProperty179PersonalTelephoneCallsandMobile17VI．EmployeeBehaviorandDiscipline1BehaviorandDressingCode182DisciplinaryAction183EmployeeGrievances214SexualHarassment21VIICodeofConductandCompliance1Confidentiality232ConflictofInterests233BriberyandCorruption24VIII．Others1BusinessTravel252BusinessTripExpenseClaim253OtherExpenseClaim254ChangeofPersonalParticulars265GoverningLaw266Implementation26Attached:AcknowledgementforEmployeeHandbook27FOREWORDWhetheryouhavenewlyjoinedusorhavebeenatXXXXXXXXforawhile,weareconfidentthatyouwillfindourCompanyadynamicandrewardingplacetoworkwith.WeconsidertheemployeesofXXXXXXXXtobeoneofourmostvaluableresources.ThismanualhasbeenwrittentoprovidetheemployeeswithinformationaboutthehumanresourcepoliciesandsystemsofXXXXXXXX.Thereareseveralthingsthatareimportanttokeepinmindaboutthishandbook.First,itcontainsonlygeneralinformationandguidelines.Itisnotintendedtobecomprehensiveortoaddressallthepossibleapplicationsof,orexceptionsto,thegeneralpoliciesandproceduresdescribed.Forthatreason,ifyouhaveanyquestionsconcerningeligibilityforaparticularbenefit,ortheapplicabilityofapolicyorpractice,youshouldaddressyourspecificquestionstotheHumanResourcesDepartment.Second,thecontentofthishandbookisnegotiatedwithstaffrepresentativesandconfirmedbasedonstaff’ssuggestions.TheCompanyreservestherighttoamendingandchangingatanytimethecontentsoftheEmployeeHandbookinaccordancewithrelevantstatelawsandtheCompany’sbusinessdevelopmentrequirements.Wewilltrytoinformyouofanychangesastheyoccur.Third,thishandbookandtheinformationinitshouldbetreatedasconfidential.Noportionofthishandbookshouldbedisclosedtoothers.Thishandbookispartoftheemploymentandtheindividualemployeeshouldcomplycompletely.Finally,someofthesubjectsdescribedherearecoveredindetailinofficialpolicydocuments.Youshouldrefertothesedocumentsforspecificinformation,sincethishandbookonlybrieflysummarizesthosebenefits.ThereareopportunitiesandchallengesinXXXXXXXX.Pleasepaymorepatienceandpassiontounderstandourculture,andachieveyourcareersuccesstogetherwithus.TheHumanResourcesDepartmentshallberesponsibleforinterpretationoftheHandbook.I.CompanyIntroductionCompanyProfileXXXXXXXXwasestablishedin1999withleadingpositionofsportswear.OurcustomerspreadinEurope,MiddleEast,NorthandSouthAmericawithanetworkof32locations.OurheadquarterbasedinGuangzhou,P.R.Chinarightnow.Wetrulybelievethatsportswearshouldbemorelike afashionthanonlyanarrowvisionofsport.WehavechosenBlack,WhiteandRedcolorsinourlogobecauseblackandwhitedifferentiateourbrandfromcompetitorswherethereisnogreyareainourqualitystandard;justfashionandqualitytogether.Whereas,redcolormeansthatweareeagertogoallthewaytomakeourbrandflowsmoothlyintheveinsofourcustomers.OurproductincludeApparel,Shoesandhandbag.Westrivetokeepourpricestructureinplacetocontinuetooffer qualityandaffordablebrandedfashionsportswear.Wearededicatedtoensuretopqualitystandardsinourindustry.Westresson“TotalQualityManagement”toprovidetheunique,elegant,simpleandcomfortfashiontoourcustomer.HereisourQualityCollectionPhilosophy.Wepaycloseattentiontoourstaffneedsandwecontinuetobeoneofthelowestcompaniesintheareaintermsofemployeesturn-overrate.Weimprovetheskillsofouremployeesthroughouttrainingprogramsintheirfields.WebelievethatasouremployeesfeelthattheyarepartofXXXXXXXXfamily.Werealizeuniqueefficiencyandproductivitythatpositivelyandautomaticallyreflectonourcultureandonourproducts.OurCommitmentstowardsourCommunity:Energy:Inordertoconsumeonenergyandtoreduceglobalwarming,weuseenergysavingmachinesandbulbsasmuchaspossible.Additionally,weuselightsensorsincommonareas.Environment:Westressonusingrawmaterialsandproductsthatareenvironmentallyfriendly.Charity:Wedoourutmosteffortstosupportanycrediblecharityinthecountry.Volunteering:Weencourageourmanagersandstafftoparticipateinanyactivitiesthatsupportthedevelopmentofthecountryanditspeople.OurVisionandMissionVision:ToBeTheTopSportswearFashionBrandMission:WeaimtoprovideTopQualityProductswithGreatValuealongwithaRelaxingShoppingExperiencetoputasmileonthefaceofourcustomers.II.EmploymentPolicyEmploymentTheemploymentshallnotbeeffectiveuntilthefollowingrequirementsarefulfilled:Theemploymentshallbeproperlyprocessedasperrelatedrequirements;Thecandidateshallhaveterminatedemploymentwithhis/herpreviousemployer;Thecandidateshallundergomedicalexaminationanditsresultissatisfactory;ThecandidateshallmeettherequirementofRecruitmentCondition.TheCompanyshouldsignthelaborcontractwiththeemployeeandclearlyspecifytheemploymenttermsandconditions.ProbationNewemployeesshallberequiredtoundergoaprobationperiodbasedonthetermsoflaborcontract.Duringorbeforetheendoftheprobationperiod,theCompanywillnotifytheemployeebywrittennoticewhetherhe/shecompletestheprobationorterminatetheemploymentaccordingtohis/herperformance.TerminationThelaborcontractcanbeterminatedbytheemployeeandtheCompanysubjecttoagreementthroughconsultation.TheemployeeandtheCompanycanterminatethelaborcontractbasedonthegovernmentregulationandCompanypolicy,butshallnotifytheotherpartyinwrittenforminadvance.Iffailtomeetthenoticeperiodrequirement,shallpayinlieuwithcorrespondingsalaryforthegapasthecompensation.Noticeperiodreferstothelaborcontract.AnyleavescouldnotbeacceptedastheNoticePeriodinordertomakesurethehandoverandtheoperationsmoothly.Onorbeforetheemploymentcontractexpirationdate,Companyandtheemployeereachagreementoncontractrenewal.Ifbothpartiesagreetorenew,HumanResourcesDepartmentshallarrangetherenewprocedure.Thecorrespondingcompensationresponsibilityforlaborcontractterminationandexpiryshallfollowtherelevantregulationsoflaborlawandtheagreementinthelaborcontract.TheemployeeshalltransacttheterminationprocessandsettleallrelevantfinancialandbusinessissuesaccordingtothepolicyoftheCompanywhenthelaborcontractisterminatedorexpire.TheCompanyreservestherightstogetbackthelosscausedbytheissuesfornotfollowingtheterminationprocedure.RetirementThelegalretirementageoftheemployeesshallfollowthegovernmentrelevantregulations.TheCompanywillproceedtheretirementproceduresfortheemployeeswhohavereachthelegalretirementageaspergovernmentregulations.III.Compensation&BenefitsConfidentialPolicyforSalaryInformationTheemployeeshouldinquirehis/herindividualsalaryandrelatedinformationfromhis/hermanagerorHumanResourceDepartmentdirectly.ThesalaryisaverypersonalandstrictlyconfidentialmatterbetweentherelatedemployeeandtheCompany.Theemployeeisneverallowedtodisclosehis/hersalarytoothercolleaguesandthethirdparties.Meanwhile,he/sheisneverallowedtoinquiretheotheremployee’ssalary.TheCompanyappliestosalaryconfidentialpolicy,whichisanimportantpolicyoftheCompany,ifstaffsbreaktherule,theCompanyhastherighttoterminatewithoutpayinganycompensationifapprovedorwitnessed.CompensationConstitutionofEmployeeSalary:TheemployeemonthlysalaryconsisttheBasicSalary,othercomponentssuchasWorkingLocationAllowance,Positionallowance,SkillAllowance,MealAllowance,NightTimeAllowance,andmonthlyIncentiveapplicableforeligibleemployee(s)ONLY.Detailswillbedescribedasfollows.BasicSalaryThebasicsalarywillbeprovidedtoallemployees,whichmeansthesalaryofemploymentthatspecifiedintheLabourContract,andsubsequentadjustment,ifany.AllowancesTheCompanyprovidesfive,namely,WorkingLocationAllowance,PositionAllowance,SkillAllowance,MealAllowance,andNightTimeAllowancetoeligibleemployees.WorkingLocationAllowanceWorkingLocationAllowancewillbeprovidedtoemployeeswhoareunderemploymentinthegradeofNon-clerical,ClerkandSeniorClerk(groupedundertheClericalGradeCategory),andAssistantOfficer,Officer,SeniorOfficer,andAssistantManager(groupedundertheOfficerGradeCategory).EmployeesemployedasManagergradeandorabovearenotentitledtothisWorkingLocationAllowance.WorkingLocationAllowanceisentitledasthefollows:LocationCatalogAllowanceStandardGradeOneCityShenzhen,Beijing,Shanghai,GuangzhouRMB600permonthGradeTwoCityApplicablecitiesspecifiedbytheCompanyRMB500permonthGradeThreeCityApplicablecitiesspecifiedbytheCompanyRMB400permonthRemark:TheworkinglocationallowancestandardandapplicablecitieswillbereviewedandnominatedbytheCompanyinaccordancewithbusinessdevelopmentplan,locationcityGDP,livingstandardandgovernmentguideline.TheCompanywillannounceanyupdateandchangesofworkinglocationallowancetoemployeesinadvance.PositionAllowancePositionallowanceisentitledbytheemployeeswhoareassignedtotakeuppositionasSeniorOperatororabove,uptotheRegionalManager/DivisionHead.NameofPositionPositionAllowance(RMB)SeniorOperator200AssistantTeamLeader400TeamLeader800AssistantSectionHead1200SectionHead2000AssistantDepartmentHead/AssistantBranchManager2500BranchManager3000DepartmentHead4000RegionalManager/DivisionHead5000SkillAllowanceSkillallowancewillbeprovidedtoemployeeswhoareinvolvedinsystemorotherskillrelatedjobandunderemploymentinthegradeofSeniorClerk,AssistantOfficer,Officer,SeniorOfficer,andAssistantManger(groupedunderClerkandOfficerCategory),andManagerandSeniorManager(groupedunderManagerGradeCategory).Systems/SkillRelatedStaffGradeSkillAllowance(RMB)AssistantOfficer(AssistantProgrammer/AssistantEngineer)/SeniorClerk500Officer(Programmer/Engineer)1000SeniorOfficer(ProjectLeader/Supervisor/SeniorProgrammer/Engineer)1500AssistantManager2500Manager4000SeniorManager4000TheCompanywillreservetherighttoadjustworklocationallowance,positionallowanceandskillallowance,allowancewillbecalculatedbasedonstaff`sexactattendanceMealallowanceRMB15for8hoursintheworking-daywillbeprovideduptoAssistantManager.Managergradeandorabovearenotentitledwithmealallowance.NightTimeAllowanceNightTimeAllowancewillbeprovidedtoemployeesuptoAssistantManagerwhoworkinginnighttimeaspertheCompanystandard,whichcalculatedbaseontheactualworkingdays.TheCompanyreservestherighttochangetheaboveallowancesstandardatitsowndiscretion,onlytheupdateandchangesofpolicieswillbeannouncedtoemployeesinadvance.SalaryPaymentPeriodMonthlysalaryispaidfortheperiodstartingfrom1stdaytotheendofeverymonth.PayDaySalaryispaidbytheCompanyonmonthlybasis.TheCompanywilldepositthenetincometoemployee’sindividualbankaccountonthepromissorypayday,10thofeverymonth.Ifthepromissorypaydayfallsonrestdaysorstatutoryholiday,salarywillbepaidontheworkingdaybeforetheholiday.Underspecialcircumstance,theCompanycanpaysalarywithinfivedaysafterthepromissorypayday.AnnualSalaryReviewThebasicsalaryisdesignedbythepositionresponsibilities.BasicSalarywillbeadjustedonannualbasisaspertheCompany’soverallperformance,themarketsalarylevelandemployeeindividualcontribution.Employeesunderprobationarenoteligiblefortheannualsalaryreview.Theemployeewillbenotifiedinwritingwithanychangeofhis/hersalary.OvertimeEligibilityOvertimeisdefinedastheextendedworkinghoursoftheemployeerequiredbytheCompanybasedontheCompanyovertimeworkprocedure.Allovertimeworkshallbescheduledinadvancebythemanagersorsupervisorsandapprovedbythedepartmentmanagerandorabove.Overtimeshallnotbelessthanonehouratonetime,andtheleastcalculationunitisHalf(0.5)hour.Theamountoftimespenttohavingmealwillnotbeincludedinovertimehour(s)calculation.OvertimePremiumTheCompanyadvocatesthebalancebetweenlifeandjobinordertoprotectouremployeeswiththeirhealth.Whenemployeesarerequiredtoworkovertimeintheweekend,theCompanyisauthorizedtoaskemployeetotaketherestonthedaysarrangedpriority.Themanager/supervisorisresponsibleforarrangingday-offinlieuwithinthenextthree(3)months.Theovertimepremiumshouldbepaidifthemanager/supervisorfailedtoarrangeday-offinlieuwithinthree(3)months.Employeesshouldtakeday-offinlieubeforehe/sheappliesforanyannualleave.Theovertimeworkonnormalworkingdayoronthestatutoryholidayshouldbepaidovertimepremiumratherthangrantingday-offinlieu.Overtimepremiumarepaidinaccordancewithrelevantstateregulationsandlaborcontractagreement.BonusMonthlyPerformanceIncentiveEmployeeswhoareassignedtotakeuppositionthatrangefromGeneralStaff/OperatortoAssistantSectionHeadareeligibleforthemonthlyperformanceincentivescheme.ThemonthlyperformanceincentiveschemewillbedecidedbytheDepartment/DivisionHeads.TheCompanywillusethebestendeavortomaketheschemeastandardandtransparentone,yettheCompanyreservetherighttochangethestructureofsuchschemetomeetbusinessneeds.Theincentiveisnon-contractualandnon-guaranteed,withoutanyobligationonthepartoftheCompany.WhetherreleasetheincentiveornotdependsonCompany'sbusinessperformance.It’sattheentireandabsolutediscretionoftheCompany,whetherornotsuchincentiveispayable.TheincentiveamountisdeterminedbyCompany’sbusinessperformanceandindividualcontributioninthepaidmonthandotherfactors.TheCompanyreservestherighttochangetheincentiveamountatitsowndiscretion.AnnualBonusBasedontheCompany’soverallperformance,theemployeeindividualperformance,aswellasotherrelatedfactors,theCompanymayatitsdiscretiondistributeannualbonustotheemployees.Theannualbonusisnon-contractualandnon-guaranteed,withoutanyobligationonthepartoftheCompany.IndividualIncomeTaxEmployeesshouldtaketheresponsibilitytopaytheindividualIncometax,whichisdeductedfromsalarybythecompany.SocialInsurancesandWelfareEmployeesareeligibleforthegovernment-enforcedsocialinsurancesandwelfareincludingpensioninsurance,unemploymentinsurance,on-jobinjuryinsurance,socialmedicalinsurance,maternityinsuranceandpublichousingfundetc.Detaileditemsofthesocialinsurancesandwelfareareimplementedasperlocalgovernmentregulations.CompanyWelfareInordertoenhancethesenseoftheemployees’ownership,andstrengthencommunicationbetweenemployeesandthemanagement,theCompanyorganizesalotofactivitiesyearly.LeavePublicHolidaysAllemployeesareentitledtothepublicholidaysinaccordancewithstateandlocalgovernmentregulations.Duetothebusinessrequirement,someemployeesmayberequiredtoworkonstatutoryholidays.Overtimepremiumarepaidinaccordancewithrelevantstateregulations.Day-offAllemployeesareentitledonedaysoffperweekonaverage,butsubjecttoactualarrangementoftheoperation.AnnualLeaveEntitlement:AllemployeeswillbegrantedannualleavewithpayeverycalendaryearafterprobationintheCompany,andentitledtoapro-rataleaveforanypart-of-a-yearcompletedmonthsofservice.Theentitlementislistedasthefollowing:YearofServiceLeaveEntitlement1yearservice6days2to3years(including3years)7days4to9years(including9years)10days10yearsabove10daysplusextraleave(s),eachyearincreaseonedayextraleavewithaceilingof10daysCalculationAnnualleaveentitlementiscalculatedonthebasisofthephysicaldateofcommencement,andthedaysofannualleaveentitledinacalendaryearbase.Prorataannualleavedcanbeentitledafterprobation.Allannualleavehastobetakeninaunitofwholedayorhalfdaybasis.Noadvanceannualleaveisallowed.Allannualleavehastobetakenbytheendofthefollowingcalendaryearofservice.Itwillbeforfeitedifemployeesfailtotakeitwithintherequiredperiod.Accumulationofannualleaveisnotallowed.ApplicationEmployeesneedtofilloutLeaveApplicationFormandsubmittotheimmediatesupervisorforapprovalatleastthreeweeksinadvanceiftheleaveexceedsthree(3)consecutiveworkingdays.TheCompanyhastherighttochangetheapplicationduetotheneedsofbusiness.TheemployeeshouldforwardtheapprovedLeaveApplicationFormtoHumanResourcesDepartmentforrecord.PaymentinlieuofannualleavewillnotbegrantedinanycircumstancewiththeonlyexceptionofseparationfromtheCompany.Earnedbutunusedannualleaveshallbecompensatedincashpaymentuponresignationorterminationofemployment.MarriageLeaveMarriageleaveshallbeentitledtothoseemployeeswhoregistermarriageafterjoiningCompanyandsuccessfullycompletetheprobationperiod.Employeescanhave3workingdayspaidmarriageleave.Employeeswhoarefirstandlatemarriage(male>25,female>23),Pleaserefertothelocalruleandregulationofstaff`sworkinglocation.Re-marriedemployeesareentitledtothree(3)daysmarriageleave.TheemployeeshouldcompletetheLeaveApplicationFormandsubmittohis/herimmediatesupervisorforapproval.Beforetheemployeetakesthemarriageleave,theoriginalmarriagecertificateshouldbesubmittedtoHumanResourcesDepartmentforverification.Copyofthecertificatewillbekeptforupdatingtheemployee’spersonalfile.Marriageleaveshallbetakencontinuouslywithinsix(6)monthsafterthelegalregistration.Otherwise,theentitlementisforfeited.AndtheCompanyreservestherighttoadjustthetimetotakethemarriageleavebasedonbusinessoperation.MaternityLeaveThematernityleaveforfemaleemployeesisninety(90)calendardays,includingfifteen(15)daysofantenatalleave.IflocalregulationsgrantmoredaysforMaternityLeave,thelocalregulationsshallapply.TheemployeeshallsubmitthecopyoftheborncertificateofthebabytotheHumanResourcesDepartmentafterthedeliveryofthebaby.Thecalculationofthesalaryduringthematernityleaveshallfollowthelocalgovernmentregulationonmaternityinsurance.Femaleemployeesshouldprovidesupportingmedicaldocumentswhenapplyingformaternityleave.Undernormalcircumstance,femaleemployeeshouldcommencehermaternityleavefifteen(15)daysbeforeherexpecteddateofdelivery.TheemployeeshouldinformherimmediatesupervisorandHumanResourcesDepartmentifanyabnormityoccurandprovidesupportingdocumentinordertoadjustherentitlementofmaternityleave.Theimmediatesupervisorshouldcontacttheemployeetoarrangeforherreturntoworkatleastoneweekbeforethecompletionofhermaternityleave.InfantNursingLeaveAnursingmother,afterthechildisbornuntilthechildisoneyearoldisentitledtoone(1)hourtimeoffperdayasinfantnursingleave.LateDeliveryLeaveFemaleemployeewhodeliversherfirstbabyafter24yearsoldisentitledtotakelatedeliveryleavewithpay.Localgovernmentregulationshouldbefollowedtodecideexactlyleavedays.PaternityLeaveMaleemployeewhosespousegivesbirthandobtainstheParentsofSingleChildHonorCertificateisentitledthepaternityleaveontheweekbeforeorafterthedatewhichthewifedeliversthebaby.Thedetailsarrangementofpaternityleaveshallfollowthelocalgovernmentregulation.Anemployeewhoviolatesthefamilyplanningandbirthcontrollawsandregulationsisnotentitledtothematernity/paternityleaveornursingleave.Furthermore,he/shewillfacedisciplinarysanctionstakenbytheCompanyandthegovernmentauthority.FamilyPlanningLeaveUnderthepreconditionofcompliancewiththefamilyplanningpolicyandaccordingtothefamilyplanningregulationsstipulatedbythegovernment,theCompanygrantsfamilyplanningleavestoemployeeswhoundertakebirthcontroloperationswithsupportingmedicalcertificateissuedbythehospital.SickLeaveIfanemployeewasstruckbyillnessornon-job-relatedaccidentsandhastostayawayfromworktoreceivemedicaltreatment,theemployeemayapplyforsickleaveafterprovidingrequiredsupportingdocuments.TheCompanycomplieswiththerulesandregulationsofthelocalgovernmenttopaysickleavesalarytoemployeewhotooksickleave,theconcernedemployeeshouldnottakefulltimeorparttimejobwithotherorganizationsduringtreatmentperiod.Otherwise,theCompanymayterminatetheemploymentcontractwiththeemployee.Whenanemployeeissickorsufferingfromnonworkinjuryandcannotreportdutyonaparticularday,he/shemustnotifyhis/herimmediatesupervisorpersonallybyphonewithinfifteen(15)minutesafterhis/herscheduledreportworkingtimeofhis/herworkingschedule.Andwhenreturnstowork,theyshouldfilluptheapplicationformandsubmittotheirsupervisoralongwithmedicalcertificateissuedbyregisteredhospitalandforwardtoHRdeptWhentheemployeereturnstowork,he/shemustsubmittheLeaveApplicationFormtogetherwithsupportingdocumentstohis/herimmediatesupervisor,thenforwardtoHumanResourcesDepartment.Ifanemployeefailstofollowtheaboverules,theleavetakenwillbetreatedasNoPayleaveorAbsencewhichleadstodisciplinaryactions.Job-relatedInjuryLeaveTheCompanyparticipatesinthejob-relatedinjuryinsuranceschemeandpaysthepremiumforallemployeesbyobservingthegovernment’sregulations.Whenever
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