PRIMARY AGRICULTURAL CO-OPERATIVE CREDIT SOCIETIES EMPLOYEES (TERMS OF EMPLOYMENT AND WORKING CONDITIONS) RULES

PREAMBLE

In supersession to all the previous orders on, the subject the annexed rules relating to the terms of employment and working conditions of the employees of the Primary Agricultural Credit Co-operative Societies functioning in Himachal Pradesh are hereby approved under Rule 56(i) of the Himachal Pradesh Co-operative Societies Rules, 1971. The application of these Rules shall attract no financial or other liability to the State Government in any shape. (The Hindi version of these Rules is also enclosed).

Rule - 1.

These rules may be called the Primary Agricultural Co-operative Credit Societies Employees (terms of employment & working conditions) Rules.

Rule - 2.

These rules shall come into force from such date as the Registrar Co-operative Societies, Himachal Pradesh may specify in this behalf.

Rule - 3.

These rules shall apply to all the employees of the Primary Agricultural Co-operative Credit Societies in service on the date the rules come into force and who may be taken or appointed by the societies after the said date.

Rule - 4. Definitions.--

(a)      In these rules unless the context otherwise requires "Registrar" means Registrar Co-operative Societies, Himachal Pradesh or any other officer to whom powers of Registrar have been delegated.

(b)      "Society" means Primary Agricultural Co-operative Credit Society which term includes Multipurpose service, and thrift credit societies functioning in rural areas.

(c)      "Year" means co-operative year commencing from 1st April and ending on 31st March, every year.

(d)      "President" means the President of the society and includes the Vice-President/Acting President.

(e)      "Committee" means the Managing Committee of the Society.

Rule - 5. Pay Scale.--

(a)      The scales of pay inclusive of all allowance and incentives i.e. pay drawn in these scales shall be consolidated as under:--

(b)      The classification of societies as stated above into ABCD shall be based on working capital of the societies as on 31st March of each year excluding (1) Building, (2) Machinery, (3) Provident fund of employees, (4) Losses.

Subject to--

(i)       Loaning business which will include short and medium term loans issued during the year

(ii)      deposit mobilisation at the end of the year

(iii)     distribution of consumer articles and fertilizer activities undertaken during the year and (iv) recovery performance during the year as given below:--

CLASS: CLASSIFICATION OF SOCIETIES ACCORDING TO THE INTEGRATED NORMS

During the year the society having:

 

(c)      The Secretaries of "A" & "B" class shall be called Manager Grade-A/Grade-B.

(d)      No. of posts in different categories shall be determined by the management of the society keeping in view the profitability and resource position of the society at the close of each Co-operative year. In case the society fails to sustain its classification on the basis of annual performance and falls below the said classification resulting in continuous losses to it, then the Managing Committee of the society can take decision for the retrenchment of its employee(s) keeping in view the prevalent position of the society.

(e)      The Management of the society shall be eligible to release the pay scales as under:--

(i)       These pay scales shall be applicable to all employees of societies with the prior approval of the Registrar Co-operative Societies in case Government participation in the shape of share capital contribution is above 50% of the total paid up share capital of the society.

(ii)      The society in which Government share participation of their total paid up share capital is up to 50% such societies can introduce these pay scales to its employees without seeking any prior approval from the Registrar.

(iii)     The societies having no Government participation in the shape of share capital contribution in their paid up share capital are tree to opt these for the pay scales or frame their own pay scales keeping in view their financial position.

(f)       (i) A society for being classified in a particular category will have to satisfy all the above criterion fixed for that class. Classification will be done every year in the month of April on the basis of working of the society during the last year.

(ii) If the implementation of scales of pay prescribed in these Rules effects adversely any employee of a society exemption can be sought from Registrar Co-operative Societies, who will consider the working results of the society while considering such exemption.

(iii) The following classes of societies shall not give the above scales of pay to the employees employed by them:

(a)      Societies which are document and not undertaking any business.

(b)      Societies undertaking solely the work of sugar distribution. A society for being classified in a particular category will have to satisfy all the above criterion fixed for that class.

(c)      A society falling in one of the class indicated in clause 5(b) if it improves its performance during the time and attains the higher class, the employee of the said society shall be eligible for the scale of pay fixed for that higher class.

In case the society does not sustain its classification on the basis of its annual performance and falls below the said classification, the employee of the said society shall be eligible for the pay scales of the lower class and his pay shall be fixed at the maximum in that scale.

(d)      The pay of the employees shall be fixed in the scales mentioned above on the basis of classification. In case the existing pay of the employee is higher than the scale fixed for that class of a society in which the society fells, the difference of pays shall be treated as personal pay which shall be adjusted in the future increments earned by the employee.

(e)      The employees of society shall be required to furnish the security as given below:--

In case any candidate is unable to deposit cash security as detailed above he can provide Bank guarantee/guarantee of some Government Servant (who may be capable of standing such guarantee) of the same amount in lieu of the each security.

Rule - 6.

The vacancies in the categories of Manager/Secretary and Asstt. Secretary/Acctt./Clerk/Salesmen/Cashier shall be filled up by promotion of employees from the immediately next lower categories. In case a suitable candidate as per required standard of educational qualification is not available for promotion, the management may decide to fill up the vacancies of these posts from open market.

Rule - 7.

(a)      The qualification laid down for the posts shall be as under:-

(b)      No person shall be eligible for appointment unless he is above 18 years and below 35 years of age on the date of application. Provided further that there shall be relaxation in age by 5 years to the candidates belonging to the SC/ST/OBC/HC/Ex-Servicemen.

Rule - 8.

No person shall be appointed in the service unless he produces from a Government Medical Officer a certificate about his physical and mental fitness.

Rule - 9.

No person shall be appointed in the service unless his antecedents have been certified to the satisfaction of the society.

Rule - 10.

An employee on his appointment shall have to furnish a statement of his wealth and that of his dependents and a statement of debt owned by him.

Rule - 11.

The appointment shall initially be on probation for a period of two years. During probation period he shall be eligible for the basic pay only and he will become eligible for increments only on satisfactory completion of his probation and subject to the provisions of rule 10. His regular appointment shall be considered on completion of the probation period.

Rule - 12. Selection committee.--

The following shall constitute the selection committee for the selection of employees:--

(a)      Chairman of the Society.

(b)      Inspector Co-operative Societies of the Circle.

(c)      One member of the Managing Committee of the Society.

Rule - 13.

The marks allotted for interview shall be as under:--

Rule - 14. Increments.--

Annual increments under the grades shall be deemed to be due w.e.f. first of the month when the employee has completed one year of continuous service provided the society is in profit which profit shall be on the basis of the annual audit of the society.

Rule - 15.

If any employee reaches the maximum of the scale if any allowed for the class to which he belongs to such an employee shall be permitted to draw the last increment on a biennial basis provided that the society is in profit and that the maximum number of increments so drawn shall not exceed three.

Rule - 16. Leave.--

(a)      The authority competent to grant leave to the employees of the society shall be the president of the society.

(b)      The leave shall dot be claimed as a matter of right, leave granted may be cancelled and the employees may be called to duty if the exigency of services so required.

(c)      The employees shall be eligible for the following kinds of leave:-

(i)       Casual leave upto 12 days during the year.

(ii)      Earned leave upto 30 days during the year. Earned leave may be accumulated upto maximum period of 90 days. Any accumulation in excess of 90 days shall lapse. Earned leave can be availed of a at a time upto a period of 30 days.

(d)      Leave Encashment.-The employees shall be entitled to encash the period due earned leave upto 15 days only once in a year beyond 75 days at credit on discretion in writing within two months after the close of each calendar year which shall be payable @ half month pay only drawn in the last month of the year.

Rule - 17. Retirement.--

The employees shall stand retired on attaining the age of 58 years. The date of retirement shall be the last date of the month in which the employees complete 58 years of age.

Rule - 18. Maintenance of service Register.--

Every society shall maintain a service register in the form prescribed by the Registrar for the employees to indicate his date of birth, qualifications, experience and date of appointment etc. The Secretary shall make entries in the Register and such entries of the employee shall be authenticated by the president and be kept in his custody.

Note.--The date of birth of the employees shall be that entered in the school leaving certificate. No other certification or Horoscope etc., will be acceptable.

Rule - 19. Employees Welfare Fund.--

The employees shall be eligible for retirement assistance at the rates mentioned below:--

1.        The retirement assistance shall be payable to the employees after he has rendered continuous service for not less than five year.

(a)      On his superannuation, or

(b)      On his retirement, or

(c)      Resignation, or

(d)      On his death or disablement due to accident or retrenchment:

Provided that the completion of continuous service of five years shall not be necessary where the termination of the employment is due to death or disablement:

Provided further that in the case of death of the employee retirement assistance payable to him shall be paid to his nominee or if no nomination has been made to his legal heirs.

Explanation.-- For the purpose of this rule disablement means such disability as in-capacitates an employee for the work which he was capable of performing before the accident or disease resulting in such disablement.

2.        For every completed year of service or part thereof excess of six months he shall be eligible for the retirement assistance at the rate of 15 days pay for every completed year of service based on average of pay drawn in the last 10 months provided the society has made provision for the purpose by creating a specific fund out of its annual profits.

3.        The society shall maintain an employees welfare fund and each year it shall allocate 10% of its net profit towards this fund. The retirement assistance shall be paid out of this fund subject to the approval of the managing committee and the Registrar.

4.        In case the contribution made by the society in para 3 falls short of the maximum amount due, the contribution shall be restricted to the actual amount in this fund. The society will however, be at liberty to pay upto maximum of Rs. 30,000/- provided its resources so warrant and the society is in profits.

5.        This fund shall be deposited in the co-operative bank to which the society is affiliated and withdrawal from this fund would be in the manner stated in the preceding paragraph.

Rule - 20. Provident Fund.--

1.        Subject to the provision of any law for the time being in force on the subject, a society may establish provident fund for its employees and after there has been carried to the reserve and co-operative education fund and other funds, if any prescribed in the bye-laws of the society, the necessary preposition of profits in any year may make such contribution not exceeding ten per cent of the remaining net profits.

2.        Such provident fond shall not be used in the business of the society but shall be invested or deposited in the co-operative bank to which the society is affiliated.

3.        The amount of contribution that can be made by an employee in any month shall not exceed such sum as may be fixed by the general meeting subject to a maximum of 10% of his monthly salary.

4.        The society may make such contribution every year to the provident fund of the employees as may be approved by the general meeting and the Registrar but such contribution shall not exceed the annual contribution made by the employee concerned.

5.        The interest accrued on the investment of the provided fund of the employee shall be credited to the account of an individual employee concerned in proportion to the balance standing to the credit of each account at the close of the preceding year.

Rule - 21. Payment of bonus.--

Subject to the provisions of any law for the time being in force on the subject, a society may set apart not more than 10% of its net profits for the payment of bonus to its salaried employees, if such payment is recommended by the Managing Committee and approved by the General Meeting and the Registrar:

Provided that the amount of bonus should not exceed two months salary in a year.

Rule - 22. Prohibition of pecuniary transaction.--

(a)      No employee shall have pecuniary transactions with individuals or institutions coming in contract with turn in the course of his official duties or accept directly or indirectly, either on his own behalf or on behalf of any other person, any gift, gratuity or reward from a person with whom he may have to deal in his official capacity, provided that this clause shall not apply for the borrowings by an employee on the security of his deposits, savings, insurance policies or documents from other institutions and individuals.

(b)      No employee of a co-operative society shall purchase directly or indirectly any property of a member of a society against his dues to the society which are sought to be recovered.

Rule - 23. Suspension.--

(a)      If the employee is arrested on any criminal charges, the President of the society may order his suspension from the date of his arrest and for the payment of subsistence allowance to him during file period of suspension. If the employee is convicted and sentenced for any of the offence his services shall be deemed to have been terminated from the date of conviction and in such cases ft will not be necessary to give him any charge sheet. In case he is honourably acquitted he may be reinstated in the service of the society.

(b)      Subsistence allowance shall be paid equivalent to half of the pay during the period of his suspension upto a maximum of one year after which period the disciplinary authority will review the case and take a decision regarding continuance or otherwise of the subsistence allowance and the rate at which it will be paid.

Rule - 24. Disciplinary Action.--

(a)      The employee shall be awarded any one of the following punishments if found guilty of misconduct, apart from recovery of actual dues or damages caused by him to the society.

(i)       Warning.

(ii)      Stoppage of increment for a period not exceeding one year without affecting future increment

(iii)     Withholding annual increment with/without cumulative effect.

(iv)    Termination.

(v)      Dismissal.

(b)      The committee of the society shall be the disciplinary authority to award punishment indicated above.

(c)      The term misconduct shall include any of the following acts on the part of the employee.

(i)       Wilful damage or attempt to cause damage to the property of the society.

(ii)      Conviction by any court of law for any criminal offence involving moral turpitude.

(iii)     Un-authorised or any attempt of disclosure of information regarding affairs of the society or any of its members or any person connected with the society.

(iv)    Wilful disobedience of any lawful or reasonable order of the management or of the co-operative department.

(v)      Failure to account for a concealment or misappropriation of cash or other property of the society.

(vi)    Absence from duty without leave.

(vii)   Knowingly or wrongfully interfering or tempering with the record of the society.

(viii)  Closing of office/shop of the society on other than permitted holidays without permission of management.

(ix)    Claiming or preferring any false claim.

(x)      Taking part or canvassing or otherwise interfering or using his influence in any election to the Central or State legislature or Municipal Committees or Panchayats or other local bodies or the society or any Institution constituted under Himachal Pradesh State Laws.

(xi)    Engaging in any other trade or occupation.

(xii)   Negligence in the performance of his duty.

Rule - 25.

No punishment for misconduct shall be imposed on the employee unless he is found guilty of misconduct in an enquiry conducted in the following manner:-

(i)       President shall serve to the employee a charge sheet in Form "A" clearly stating the misconduct and the circumstances appearing against him and call for his explanation within a period of atleast 15 days.

(ii)      If the employee accepts the charges the committee shall award suitable punishment to him. In case of denial the Inspector, Co-operative Societies shall conduct the enquiry into the charges levelled against the employee.

(iii)     The employee shall be allowed to defend by himself and an outsider shall not be allowed to conduct the defence on his behalf.

(iv)    The employee shall be permitted to produce witness in his defence and cross examine any witness on whose evidence the charge rests.

(v)      The substance of the evidence shall be recorded and read over to the employee.

(vi)    The Inspector shall complete the enquiry and submit his report within two months to the committee of the society. The enquiry report shall include the statement(s) of witness(es) for and against the employee and the findings of the enquiry officer based on such evidence on each charge.

(vii)   On receipt of the enquiry report the committee of the society shall examine the findings and pass necessary orders.

(viii)  The order of punishment shall be in writing and shall be issued under the signatures of the president of the society or any other member of the committee duly authorised and handed over to the employee.

Rule - 26. Appeal.--

Except in the case of awarding punishment of warning an appeal shall lie against every order awarding punishment to the employee to the Assistant Registrar Co-operative Societies incharge whose decision shall be final. Every appeal shall be presented to the appellate authority within thirty days of the date on which order appealed against was communicated to him.

Rule - 27.

The employee shall not contest or canvass for any election to Central or State Legislatives or Municipal Corporation, Municipal Board, Panchayat/Co-operative Society or other elected bodies constituted under the Himachal Pradesh State Laws.

Rule - 28.

No employee of a Co-operative Society shall have any interest directly or indirectly, other than as an employee in:--

(a)      Any contract made with the society; or

(b)      Any property sold or purchased or leased by or to the society; or

(c)      Any other transaction of the society except as an investment made or as a loan taken from the society the provision of residential accommodation by the society to any paid employees of the society.

Rule - 29.

Interpretation of these rules as given by the Registrar Co-operative societies shall be final.

Rule - 30.

The Registrar may by an order in writing-

(a)      Exempt any society or class of societies from the application of any of the provisions of these rules; and

(b)      Direct that any such provisions shall apply to such society to such extent as may be specified in the order.

FORM-A

[Rules 25(i)]

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It has come to my notice that you have committed the acts as mentioned in the Annexure which amount to misconducts and they are punishable under Rule 24 of the Rules relating to the terms of employment and working conditions of the employees of Primary Agriculture Co-operative Credit Societies.

If the charges are not acceptable to you, please submit your explanation in writing so as to reach within a week from the receipt of this notice, please also note that in the event of your disputing the charges the enquiry will be held by the Inspector, Co-operative Societies................................... Block................................... into the charges.

You are advised to remain present at the said enquiry and also furnish the names of your witnesses and produce the documents upon which you rely upon in your defence.

If you desire to inspect any papers connected with the basis of the charges, you can do so during working hours on any working day by making a request in writing.

Please note that if you do not remain present at the enquiry on the date and time intimated to you the enquiry will be proceeded ex-parte.