Overseas Travel Policy

Objective
  • Overseas travel is travel by employees to overseas countries for, business discussions, Study tours, Exhibitions, Short duration seminar, conference, training program, Business trip for machinery selection or any other similar purposes not included in the above having a bearing on Company’s future plans, projects.
  • To facilitate the employees during overseas travel for attending training, conference or for other official purpose.
  • To provide guidelines to employees for reimbursement of reasonable expenditure incurred during travel outside India on business or training.
  • To enable employees to travel in reasonable comfort, contributing to work effectiveness.
Policy & Procedure Guidelines:
  • Employees going abroad on official visit should obtain the approval from the Management HOD for the proposed visit and get the invitation letter from the visiting country.
  • The visiting employee will do the Travel (To and Fro), Accommodation, Visa & RBI formalities with the assistance of authorized travel agency of the company wherever possible.
  • In order to secure visa for the country of deputation, it is mandatory to ensure that a valid Indian Passport, minimum for 6 months period is available beforehand.
  • Expenses towards Visa, and similar statutory expenses or taxes, etc. will be borne by the company.
  • Employees should plan their travel well in advance and get information about the country / place where they are visiting through colleagues who have been there earlier, if possible to know the information about the country’s culture, eating joints, weather, etc.
  • Check the forecasted weather conditions for that country before travel for planning your appropriate clothing.
Travel Process and Guidelines
Air Travel
  • To control Company travel expenses, employees are expected to choose the lowest logical airfare when travelling.
  • The following airline ancillary fees are not reimbursable:
    • Early Boarding
    • Seat Upgrades/Preferred Seating (If corporate benefits are not available)
  • All employees shall travel only by economy class / excursion fare to all countries with the exception of Management grade, who are permitted to travel by business class.
  • On Air- routes / Airlines where economy class is not available, Executive Class will be allowed.
  • The Air travel should be undertaken by the shortest route.
  • All travel reservations should be made as far in advance as possible to take advantage of available discounted airfares.
  • If for any reason travel plan has been cancelled or there are any changes in the travel plan, employee has to immediately notify in writing of such cancellation/changes in the travel plan to respective HOD. (Note: in case of cancellation or any changes in the travel plan, if an Air Travel Ticket is in the possession of employee, it must be immediately returned to the Travel agency through whom tickets are being done)
Local Travel Abroad
  • The local conveyance expenses from Airport to place of residence or hotel as well as conveyance expenses incurred for official work while on duty shall be paid at actual, supported by bills.
  • Employees are encouraged to make use of public transport facilities to commute to the desired business locations. All the expenses related to local transportation is reimbursed at actual on submission of actual bills and proofs.
  • Car on rentals or Taxis should be used when other reasonable and less expensive forms of transportation are not readily available.
Telephone/Mobile Usage Guidelines
  • Telephone/mobile expenses incurred for official purpose will be reimbursed at actuals supported by bills.
  • Employees must activate reasonable and necessary international call and network facilities from their service provider before leaving the country to avoid any extra charges.
  • Since it is important to contact those on tour during emergency or communicate information during their official trip, the employees are advised to communicate their travel plans, contact address and phone numbers to the reporting manager and family members.
Accommodation Guidelines
  • The hotel reservations are made through the Company’s travel agent, the best available rate within the eligible limits, at the most convenient location, will be obtained.
  • In case the accommodation is not arranged prior to departure then employees can make his/her own arrangements in a reasonably priced hotel and claim hotel room charges as per the lodging entitlements, supported by the bills.
  • For deputation up to one month or more for each employee, Company or employee shall arrange “Reasonable standard of hotel or shared apartment type of accommodation”.

Table 1. Daily Allowance Limits Abroad

 Categories Category “A” Category “B”
 Countries  Europe, USA, Canada, Japan, Australia, UK  All other countries not covered in “A”
 Levels Lodging ($) Boarding ($) Lodging ($) Boarding ($)
Management (MG) Actual Actual Actual Actual
Leadership (L1-L4) 200 100 150 75
Middle Management (J3-M5) 150 75 125 60

* The Lodging and Boarding limits are the maximum allowed expenses. Any expenses in this head will be paid on Actual upto this limit. Bills have to be furnished for the Lodging & boarding.

** If one or more meals are covered in the hotel booking or conference/training then DA limits shall accordingly be reduced.  

Business Entertainment
  • Business entertainment is limited to the cost of meals and beverages furnished in a hotel dining room or a restaurant.
  • For a business meal, entertainment expense or internal catering to be considered reimbursable, a business discussion must take place during, directly proceeding, or directly following the event.
Foreign Exchange Entitlements
  • Prior to departure, the employee will be paid foreign exchange commensurate with applicable DA rates and expected expenditure.
  • Intimation of travel and requirement for foreign currency should be provided to finance department, atleast 7 days in advance, with approval from HOD.
  • Foreign travel expenses statement must be supported by actual bills and used tickets (boarding pass to be provided). Supporting is also required for all exchange that is converted overseas duly approved by respective Management HOD.
  • If this amount is not consumed, employee needs to return the foreign exchange within 7 days of returning to India to the Finance department. Failure to do so may result in recovery of unsettled amounts from the employee’s salary/other dues.
  • Do not carry forward any foreign exchange from one trip to another. The balance foreign exchange should immediately be submitted to finance or in exceptional case should do as directed by Finance.
  • The foreign currency provided in advance from company should not be used for personal use, you may purchase foreign currency at your end for personal use.
  • In case of personal foreign currency used for official purpose, submit the currency purchase bill copy along with the expense claim.
  • All overseas travel expenses should be claimed in ‘Xeasy’ module with bills softcopy attached and signed hardcopies submitted to finance department. The claim can be done in equivalent amount in INR currency as per the conversion rate on the day of actual expense.
  • If the employee extends stay for personal reasons, then he/she has to use his/her own foreign exchange.
  • Expenses in connection with business e.g. Hotel boarding and lodging, meals, snacks, airport tax, Conveyance (Airport to Hotel, Hotel to office etc.) are the permissible expenses under the foreign exchanges rules. Employees should provide proper supporting bills / vouchers, wherever possible.
Daily Allowances
  • The Daily Allowances for the purpose of Lodging and Boarding shall be applicable as per the rates given in Table.
  • Expenses of personal nature to be borne out on own.
  • The Accounts department, as per eligibility limits for the number of days’ travel approved, will release foreign exchange. The total amount of exchange to be released shall be as per regulations of RBI in force from time to time.
  • For air travel abroad from one location to another, air tickets will be arranged in India as foreign exchange is not to be used for this purpose. For surface travel by train, etc., foreign exchange will be released based on actual requirements (other than local transport which shall be paid in actual). Claims for surface travel expenses are to be supported by bills.
  • The employee on overseas deputation is advised not to take any casual leave, unless and until it is completely unavoidable like falling sick. Sick Leave should be availed in such case.
  • In each case, the HOD must be informed in writing (e-mail) and sanction obtained.
  • In case of unavoidable Casual & Sick Leave, granting Daily allowance shall be at the discretion of Management.
Medical Insurance and Expenses
  • All employees on overseas travel are covered under the overseas Medical Insurance for the period of their stay. If their stay gets extended they should intimate the HR department/Travel Desk in India to have their medical insurance extended for that period.
  • Employees should seek reimbursement from their medical insurance provider for all medical expenses incurred while travelling on company business. If expenses exceed the policy limit or if charges are not covered by the policy, the employee may seek reimbursement with approval by the management.
  • Reimbursement request must be submitted along with supporting documentation, explanation of benefits and the bill and receipts from the attending healthcare provider.
  • In case of extreme emergency, if immediate payment is required, then the company should arrange for payment.
  • Company reserves the right to consider each request on a case-by-case basis, including the amount of reimbursement. The following charges are not eligible for reimbursement:
    • over the counter drugs without a doctor’s prescription
    • planned / elective treatment
    • any services not requiring immediate medical attention and could be reasonably postponed until the employee returns to home country.
Joint Business Tours
  • For joint business trips each of the persons traveling should claim own travel expenses as individual travel.
  • In case the expenses have been combined, the same can be claimed by only one individual by mentioning the names of the other persons accompanying for whom expenses have been submitted.
  • The expenses would be split into relevant cost centers based on location/department in case of combined expenses.
Loss of Luggage
  • In case of loss of luggage, the employee shall directly seek compensation from the airline by which they have traveled.
  • Reimbursement should be claimed from insurance company, if travel insurance covers lose of luggage.
  • The company shall not be liable to pay compensation for any such loss.
Travel Report
  • On employee’s return from the training, he/she shall share his/her learning with HOD and team members by giving a presentation on the same, within 15 working days from his/her return. The presentation will cover program contents, learning and recommendations for the related function/ overall business.
  • Program contents shall be the property of the company. Upon return from the training, the program contents shall be handed over to HOD to add it to the company’s repository / library.
  • Employees will be required to submit all company paid airfare receipts incurred while traveling.  Used airline tickets should be attached to your expense report.
Employment Guidelines
  • Employee would agree to abide by all the rules and regulations of the company and shall not resign from the services of the company on or before one year of visiting overseas location, (starting from the day of visit), if the visit was for the purpose of training/education. 
  • On receiving intimation, HR shall initiate signing of agreement by the employee.
  • However, if he/she resigns from the company before one year, the company shall ask the employee to refund for 50% of the overall expenses* incurred on him/her for the overseas travel. (*Overall expenses include the cost of Travel, accommodation and any other expenses paid by the company in relation to the overseas business tour.)
  • Spouse/guest (“guest”) travel expenses will not be reimbursed by the company. Any exceptions to this policy will need the prior approval of the Managing Director or the Director of the company.
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