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Pakistan Telecommunication Company Limited

Chapter 3
Human Resource Department
3.1 Introduction:
In the previous chapter the background of Pakistan Telecommunication Company limited
was explained. This chapter covers Human Resource department of Pakistan
Telecommunication Company limited, various functions of HR department such as
recruitment, selection, training and compensation, activities such as customer relation,
installation of various devices for customers, management of different departments of
PTCL and reward and compensation process for employees on various tasks.
Management of people at work is very important in every organization, because
organizational goals and objectives are achieved by the co-ordination of people working
at the organization. Every organization has personnel function whether or not specific
manager has been so designated. Every organization must hire, train, motivate, and
maintain employees. Human resource department is responsible for arranging and
managing human capital for PTCL.
The administration is required to follow a definite set of rules and a specific procedure.
Prof-Waldo defines procedures as The prescribed or customary way of working together
with the conduct of an organization business. It is the procedure that governs the internal
and external relationship between an individual and another, between one organizational
unit and another, between one process and another, between one sill or technique and
other between organization and the public. 1 The following page included the hierarchy of
Human Resource department of PTCL.

Stephen, David; (Feb, 2007). Human Resource Management, Maryland: John WILEY & Sons


Pakistan Telecommunication Company Limited

3.2 The Hierarchy of Human Resource Department2
Chart 3.1

Executive Vice
President HR

Senior Vice President HR

Executive Vice President

Executive Vice President

Organization &Development
and HR Planning

Training and Development

General Manager

Training Services

General Manager HR

General Manager
Recruitment & manpower

General Manager

General Manager
Organizational Design

General Manager Training

General Manager

General Manager

Compensation & HR

PTCL Academy


& Career Development

MANAGER Training

Main tasks of Human resource department of PTCL include recruitment, selection,

promotion, performance management, training arrangement for employees developing
the HR Policies, building competitive market pay structure, procurement etc.


department also indulges in administrative responsibilities including overall maintenance

of the company, management of the Training Colleges and Institutes, providing medical
services to the employees, employee relations etc.
A few qualified officials run the Human Resource Department at PTCL. PTCLs HR
objectives reflect its corporate values, i.e. SCOPE which means they are supportive,
competitive, open and professional. Human Resource department is further divided into
sub departments and is listed on the following page.

3.3 Training Administration and Career Development




Pakistan Telecommunication Company Limited

Since privatization PTCL is very keen toward career development of its employees and
considering many programs, which will enhance the capabilities and skills of the
employees in line with the companys strategic goals. Training Administration and Career
Development Department is responsible for planning preparation, and execution of the
projects for expansion of training facilities. Prepares annual training plan for the
company ensuring credible trainers and selects the most appropriate meth of organization
developments for conducting the programs. This department is also responsible to
conduct undergraduates and graduate courses in different disciplines in line with the
company policy at PTCL academy.

3.3.1 Foreign Training

In order to acquaint officers with latest tools and technologies, training administration
conducts and arranges foreign and local training courses for the PTCL employees and
then employees are sent for training in the foreign countries like China, Italy, France and
Japan where they get training and gain knowledge. A few examples are given below;

Digital radio system in Italy

Network basic engineering in Japan

Network management and operation in Japan

Fiber optics engineering in Japan

The Overseas International Corporation (OIC), Japan International Corporation Agency

(JICA), sponsors some of these training and PTCL has to pay nothing for it. PTCL also
pays for the foreign training some time full payment and sometime partial but it depends
upon the nature of training.

3.3.2 Local Training External Institutes
Employees working in PTCL are facilitated with short term refresher courses in
information technology, management, customer care, marketing, sales, advertising
corporate laws conducted by well reputed institutes like LUMS, FAST, NIPA, LEADS. In
current year so far 237 employees were facilitated by short courses.


Pakistan Telecommunication Company Limited Internal Training

PTCL has the following training institutes where the employees of PTCL get the training
The Institute of Communications technologies (ICT) in Islamabad provide training
facility to its employees both technical and non-technical.

Staff College in Haripur.

Two regional Telecom training schools Lahore and Karachi

Nine regional telecom training schools are in Peshawar, D.I khan, Gujranwala,
Faisalabad, Multan, Sialkot, Quetta, Hyderabad.

3.3.3 HR training at ETISALAT Academy

HR is a big challenge now a days and the need of hour is to understand the challenge and
turn it in to opportunity. Etisalat Academy is supporting PTCL in training and career
development of staff by providing them training opportunities. Etisalat Academy offered
training programs to PTCL employees in HR disciplines. PTCL HR departments first
batch of 20 HR Staff successfully completed two weeks training in Dubai. The main
areas of training were global challenges, basic HR components, restructuring,
compensation and benefits techniques, and man power planning and performance
appraisal techniques. Following are some upcoming projects and activities of Training
and Career Development Department.

Training Incentive offered to VSS Optec

For the rehabilitation of VSS3 Optec PTCL offered a package of post VSS services out of
which the most beneficial and helpful service offer are Vocational and Technical

Urgent Training Needs

Voluntary separation scheme (we recognize your services) (Aap Ki Hidmat Ka Etraf)


Pakistan Telecommunication Company Limited

The Urgent Training Needs, which realistically depicts the post VSS scenario, are
expected to cater immediately by conducting customized training programs. The
involvement of the departments for providing their valuable input in the form of training
needs analysis (TNA) response was essential for accurate identification of their
Given the transformation stage, the critical courses required organization wide were
highlighted and incorporated in Urgent Training Needs.

The ownership of Easy learning project

One of the assignments is to establish an E-Learning Center to facilitate the card users at
various locations. Establishment of centers would be incorporated in the revamping
process of Training Department. It is expected that the project would be a long lasting
activity to be carried out in Training Department.

Information and Communication Technology Training Activities

Ph.D. Program

ICT training activities offers Ph.D. program to its brilliant and hardworking
employees if someone is interested.

MS programs

MS program is also a part of ICT, if an employee is master degree holder and wants
to continuous its education Training and Career Development department gives
admission in concerned university.

Cisco Regional Academy

ICT offers training program in Cisco regional academy for IT specialist to understand
the uses of various routers and HUBs.

Academy for Oracle

This academy offers training for computer programmers to learn new programming
techniques to cope with the new technology.

3.3.4 HR Administration
Devise policies and procedures to ensure that the day-to-day maintenance and logistics
requirements of the PTCL Head quarter and the staff working here are adequately met.


Pakistan Telecommunication Company Limited

Manages and administers the transport fleet of the PTCL Head quarter for its optimal use
and for preempting any squandering of resources.
Take steps for the arrangement and hiring of private accommodation Organization
Development for the PTCLs Head quarter employees. Sub areas of the administration
department are as follow: Medical Branch

Oversee the efficient administration of the medical establishment of the company
suggests improvements in the existing medical services infrastructure so as to make it
more developmental and useful for the employees. This department evolves programs for
the development of health management system in coordination with the General Manager
(ER) and other administrative authorities of the company. Corporate Safety & Security

Corporate Safety & Security area devises a comprehensive and foolproof mechanism for
the safety and security of PTCL Head Quarter premises and other PTCL properties.
Corporate Safety & Security are liaise with the defense and other law and order
enforcement agencies to protect and safeguard the security interests of PTCL Corporate Administration Coordination

Prepares & ensures implementation of company transport policies, responsible for proper
utilization of company resources, responsible to ensure that key buildings of PTCL are
given special attention for janitorial and cleanliness services, prepare effective building
maintenance plan within available budget and handles employees claims regarding
TA/DA policies. Administration maintenance

Devises policies and procedures to ensure that the day-to-day maintenance and logistics
requirements of the PTCL Head Quarter and the staff working here are adequately met
Foresees and plans for the future requirements of the maintenance activities and takes


Pakistan Telecommunication Company Limited

steps for their accomplishment, ensures a steady supply for the provisions and supplies to
meet the operational requirements of PTCL Head Quarter so that operational work is not
hampered. Chalks out and accomplishes a comprehensive maintenance plan for the
upkeep and conservation of the PTCL residential colonies at Islamabad so that the PTCL
employees residing there get the maximum comfort level. Manages and administers the
transport fleet of the PTCL Head Quarter for its optimal use and for preempting any
squandering of resources.
Administration maintenance takes steps for the arrangement and hiring of private
accommodation organization development for the PTCL Head Quarter.
Administration maintenance area plans and executes transfer plans of the
management employees country-wide based on the functional and business requirements,
but as the culture of PTCL is rigid and bureaucratic, referenced employees are prefer in
transferring which create racial biases and ignored the meaning of HR Right man for
Right job so the transfer of posting is based on choice of employee not on clear HR
policy, processes the disciplinary cases in line with the prevailing regulations, executes
the various functions relating to position management so as to match the skills set of the
employees with the positions, manage the permission requests of the employees as part of
both external and internal regulatory requirements, liaise with the external agencies viz.
various functions relating to discipline etc and deals with leave management affairs of
the cases falling under the purview of SEVP (HR&A)

3.3.5 Recruitment
Recruitment department maintains a close liaison with the top-tier engineering and
business schools so as to ensure a steady supply of high-class talent streams, and then
conducts the complete hiring process from advertising the positions in various media to
the final selection in both management and non-management cadres. But still the
recruitment process is not up to merit, candidates who are referenced by political leaders
and bureaucrats are also hiring and who have no such qualifications for the required
positions. Main areas of recruitment are: Request for Hiring
Requisition is received from the department via e-mail or through movement of file. It is
followed with strong follow-up from the department head.


Pakistan Telecommunication Company Limited Check HR Budget and Position Existence in Organization Development

In case of new hiring, recruitment department checks for HR Budget whether the position
exists in organization development department or not. If the position has not been
approved in the budget then special approval for a new position is required from the
SEVP HR or President. Resume Sourcing and Job Advertisement
The availability of position in organization development and HR Budget, if it is available,
then the job is posted on internet portal (Company website Recruiting agencies like
BrightSpyre, Rozee.pk and in leading newspapers.4 for Internal Employees

If the recruitment has to be done from internal sources only, the vacancy is advertised
internally only through an e-mail generated by Senior Manager Recruitment and sent to
all employees. All General Managers are also instructed to post the vacancy
announcement in all visible places. Resumes are accepted both as hard copies and as soft
on recruitments email address (recruitment@ptcl.net.pk) Resume Collection and Short Listing
When the deadline is reached the CVs are collected and short listed, based on short lists
the CVs received by both external (advertisement & executive search firms) and internal
(internal advertisement job posting) sources. Then interview is scheduled and panel is
nominated and makes interview calls to the short listed candidates on the specifications
provided by the department for a particular position.


A panel constituting of 2 or more people is nominated which includes an HR

representative and department representatives. Interviews are scheduled as per
availability of the panel and candidates are informed telephonically. Before interviewing



Pakistan Telecommunication Company Limited

the candidate, recruitment department verify his documents including educational and
experience, they tallied with the CV copies and required document copies are retained for
record. Interview evaluation is done on Interview assessment forms that are different for
Management Trainee level, Management level and Senior Management level. Before
sending the interviewee for the interview his documents are verified.
During the interview process all the panel members fill up an interview assessment form
about the candidate, which further helps in selection process. Job Letter Offer

External Candidates
If the candidate is selected he/she is informed verbally on the telephone about her
selection and the candidate is asked to visit the headquarters for further formalities.
Upon visit, the original offer letter and a copy are presented to the candidate for

Internal Candidates

For internal candidates, consent is obtained from their supervisor and General Manager
regarding the movement of employees and advertisement is done via e-mail or through
file movement. The eligible employees send their emails with employment forms, then
they are short listed and interviewed, and recommended employees cases are send to
General Manager (HR) for approval. Medical Referral
Upon visit in case of external hiring to the Head Quarter the candidate is also issued a
medical referral letter for a hospital on PTCLs panel. They are required to visit the
hospital and conduct the tests mentioned on the referral on companys expense. Those
tests are sent directly to General Manager Medical by the hospital and a medical report is
sent directly to the recruitment department mentioning their medical fitness condition. If
a candidate is found unfit he is referred for a second opinion. He meets the General
Manager medical in person and further tests are conducted. If still found unfit the case is
closed. If a candidate is found fit he is informed and date of joining is confirmed. But


Pakistan Telecommunication Company Limited

sometimes medical tests are not 100% fair, bribery involved in it if the candidate give
some handsome amount of cash to the doctor he can qualify the candidate without any
test. Approvals
Upon final selection of candidates, cases are prepared which includes one copy of CVs
and assessment sheets of all the panel members. An approval sheet is attached and
forwarded for approvals. The channel includes Senior Managers approval, Executive
Vice President HR approval, approval from the Senior Vice President of the respective
department and SEVP HR&As approval. Determining Compensation Package
The file reaches the compensation and benefits department, the salary package and
benefits are determined and sent to Senior Vice President HR for approval. Date of Joining
On the date of joining the candidate is handed over his appointment letter and a joining
report is received. He is again referred to RHD who takes care of his work space and
other facilities. Recruitment Help Desk

RHD is a one-window service point for the entire initial needs of the new staff member
and would provide the new employee with a Complete Starter Pack (ID card, Medical
Book, Laptop/desktop office arrangements, Cell phones and other facilities on the date of
After recruitment and selection, the new hires are referred to the Recruitment Help Desk
Section where he/she is provided with a set of forms for all the facilities and benefits
being provided to him. His/her date of joining is confirmed from it. He is asked to
provide the complete forms with the requisites on the date of his joining.
The new hires are required to report to the Recruitment Help Desk on the date of joining.
A joining report is to be provided which is to be filled by the employee and verified by

Pakistan Telecommunication Company Limited

the reporting authority. The employee is to be asked to submit the report to the reporting
officer and provide a copy to the recruitment department for further processing. The
orientation manual is delivered to the employee on the date of joining.

Processes at RHD:

Bank Account Opening: Initially the candidate is provided with the Bank Account
form and panel Banks List.

Bank Referral letter: The candidate selects the bank and is given a Bank Referral
letter being addressed to the Manager of the bank.

Salary imbursement: After that the candidate open an account in the respective
bank and informs the RHD , which then sends the account details to the Manager
Payroll for Salary imbursement

Existing Account: Incase if the candidate already has an account in the panel
banks on the panel, then he just has to provide the account number.

Generating E-Mail ID: After receiving the joining report from the candidate, a
request is sent to the IT administrator for the generation of E-Mail ID and

Generating Employee Number: Management Staff & Non-Management Staff

Joining Report, Personnel information & bank Account letter is received by RHD.
Non-Management staff request is forwarded to General Manager HR & A and for
Management Staff to the Organization Development Department.

Employee Number: From their onwards candidates get their position numbers and
are entered in SAP and eventually get their Employee Number.

Employee ID card and Temporary card filled forms are submitted to the RHD
with requisites, who verifies them and issues a temporary card to the employee.
These filled forms are then sent to the Director Security who prepares the ID card
and sends it to the RHD. RHD hands over the ID card to the employee and
temporary card is taken back and returned to the Security Department.

Issuance of IT Equipment: For the Issuance of IT equipment a request is

forwarded from RHD to IT Department. IT department forwards the request to


Pakistan Telecommunication Company Limited

Procurement Department. After purchase the Procurement department sends the
equipment to the IT department for Installation.

The Installed equipment is sent to the RHD by the IT Dept, where it is handed
over to employee and receiving is obtained.

RHD, for smooth and efficient operations maintains pool proof IT equipment; for
this purpose the requisition for IT equipment is sent to IT and Procurement
department 2 months in advance.

3.3.6 Organizational Design

Organizational Design department is responsible for the creation of structure for all
hierarchy levels at PTCL. Organizational Design department conducts studies to ensure
management effectiveness, reorganization development activity, and efficiency with a
view to guide the company towards highest levels of efficiency and performance and
manage to excel in the mastering of the skills, tools, and values to help the management
and the company thrive in the Organization Development turbulent business environment Functions Performed By Organizational Design
The generation of Employee number through SAP and to create a new position in the
organizational chart with approval of concerned departments SEVP and HR SEVP to
finish a position in the organizational chart.
This department is effectively working since after January 15, 2009 after the
implementation of McKenzie Project5.

3.3.7 Compensation and HR Policies at PTCL Compensation Management at PTCL
Compensation management gathers data regarding descriptions and responsibilities of
various jobs, it design uniform incentives plans for the whole company across all the
hierarchical levels that complies within the criteria of internal as well as external equity.
PTCL is providing benefits to its employees (both intrinsic and extrinsic) and pays as

A project to create a new status of positions of employees in the organizational chart


Pakistan Telecommunication Company Limited

competitive salaries. As in PTCL the employees are divided in to two categories i.e.
regular and contractual, thats why the salary structure varies. As far as the regular
employees are concerned (from scale 1-scale 16) the salary structure is based on seniority
level or according to the Government policy. And as far the NTC employees, (from scale
17- scale 22) they are getting their salaries and promotions on the basis of performance
base pay system. But as the pay raise system is very slow especially for contractual
employees, utilization of employees is not very proper which leads to dissatisfaction of
employees and bad performance.
However the salary and reward structure on which the top management is focusing more,
are their technical staff, which is definitely most important for the organization, are
explained as below:

New Telephone Connections (wire-line)6

For each installed connection, following amounts have to be paid as incentive





Engineering, Supervisor

Rs. 20


Rs. 20

Senior Engineer




Broadband Installation/Provisioning7

a) For the installation of 41 to 80 connections per month per CPE Installer, following
amounts would be paid as incentive for each additional connection beyond the baseline of
40 connections (no incentive for first 40 connections)
CPE Installer




Ali, A. General Manager Compensation & HR Policies PTCL, Aug 20, 2009


Pakistan Telecommunication Company Limited

MDF Technician


DSL Officer/AM Field Support


Manager Provisioning





b) For the installation of 81 or more connections per month per CPE 8 Installer, following
amounts would be paid as incentive against each additional connection beyond the first
80 connections (for 41 to 80 connections, reward mentioned in the above category would
CPE Installer




MDF Technician


DSL Officer/AM Field Support


Manager Provisioning





It is hoped that the Incentive Plan would enable them to further improve their
performance and demonstrate their best talent in pursuit of the companys business
objectives. But the Company needs to improve the pay raise system in order to properly
utilize employees. The Incentive Plan would have taken effect from October 01, 2008.
As in PTCL there are regular NTC employees, to apprise the regular employees the meth
Organization Development used is annual confidential report (ACR). As for as the NTC
employees are concerned the meth Organization Development for evaluating the
performance as named by the PTCLs management is 180 degree, in which first the
reporting officer(immediate boss) evaluates the employee as criteria defined in the
appraisal form and then the reviewing officer is going to evaluate the appraisal form. But

Modem used for DSL connection


Pakistan Telecommunication Company Limited

there is no time period defined when the ACRs are conducted. Some of the employees
have not been evaluated since last five years. Benefits:9


PTCL annually provides cash bonus to its staff to encourage them to give their best to the
organization and contribute beyond the call of duty. The bonuses are paid in accordance
with the pay scales of the employees. Bonus is 5% of the basic pay.

General Provident (GP) Fund

PTCL also provides its employees GP funds facility. It is a welfare fund to which all the
employees contribute on regular basis through salaries and the PTCL also contributes
handsome amount. It is 13% of the basic pay for each pay scale. At the time of retirement
all the employees get appropriate financial assistance from this fund beside their regular
pension. But it is only for the regular employees.


Employees have the facility of pension. After retirement, each and every employee of
PTCL get pension according to the pay scale, till death and after the death of the
employee, pension will be given to his wife till her death. It is 33% of the basic pay. But
as now PTCL is a private organization there is no facility for the contractual employees.

Medical Expense

The medical assistance is provided to the employees according to the pay scale and in
accordance with the service conditions (contract/regular employees). For scale 1-16 it is
Rs. 500 and Rs. 800 per month for scale 17 and above.


Ali, A. General Manager Compensation & HR Policies PTCL, Aug 20, 2009


Pakistan Telecommunication Company Limited

PTCL provides the transport facility to the employees in the form of pick and drop
service especially for lower level employees and provides the charges of fuel to the
management staff. For management staff it is Rs. 2480 (for grade 20-22)


Accommodation Facility

PTCL is also providing the accommodation facility for their employees. PTCL has its
own flats for the lower staff (which includes grade 1 to 15).Then they also have colonies
and furnished houses for the higher ranked employees like chief engineers and general
manager. House rent is 45% of the basic pay.

Leave Policy

Leave policy is the integral part of the compensation system; PTCL provides the facility
of leave for the employees in following pattern.
Types Of Leaves
Leave Availed Annually
48 days
Casual Leave
20 days
Extraordinary Leave
Maximum 5 years
Recreational Leave
15 days Annually
Hajj Leave *
45 days
130 days
maternity leave(for female
90 days

36 days
08 days
45 Days

36 days
45 Days

130 days

130 days

90 days

study leave
Disability Leave


90 days
varied from
case to case

max .of 2 years

365 days
720 days

Table -3.1

Uniform Allowance

PTCL provides the summer and winter uniform to some of its staff especially at lower
level employees.


Pakistan Telecommunication Company Limited


Marriage Grant Allowance

PTCL provides marriage grant allowance to their employees for the marriages of their
daughters from grade 1 to grade 15.The amount is fifty thousand rupees.

Burial Charge

PTCL also provides the burial charges to the family of deceased employees.

Educational Benefits

Special attention has been given towards the educational facilities being provided by the
PTCL to the dependents of its employees. Employees dependents education is free till
matriculation under the PTCL compensation policy. Moreover regular stipends are also
awarded to the deserving students.

Official Telephone Connection at Residence /cell phone /DSL

Employees are provided with official telephone connections at residence, DSL

connections and credit amount according to their pay scale. Phone allowance is Rs. 500
per month for grade 1-16 is and Rs. 300 per month for DSL. There is no such allowance
for grade 17 and above.

Performance Appraisal Procedure

Performance evaluation Performas are filled by immediate superior of employee (after a

year) and handed over to HR for further decisions regarding promotion and salary raise
etc. but actually this system is only for promotion not for employees better development
and training.

Performance Certificate

To induce to work hard on continuous basis, the company provides certificates to its
employees to acknowledge their Organization Development performance. This helps in
employees grooming and advancement in banking career.

Car Maintenance Allowance (CMA)


Pakistan Telecommunication Company Limited

CMA shall be provided to the entitled employees such as grade 20 to grade 22.

Travel Allowance

PTCL provides travel allowance to the employees for official trips according to the
entitlements. It depends on pay scale and cities, for 1-16 it is Rs. 365 for special cities
(Peshawar, Abbotabad, Islamabad, Lahore etc) and for 17 and above it is Rs. 650. HR Policies at PTCL

HR policies section At PTCL deals the policies relating with the, Medical, transfer
posting and Promotion.
Promotion at PTCL is based on performance, work beyond the call of duty and seniority
level, if an employee performs well and is senior, his performance evaluation sends to the
top management and then they issues order of his promotion. But as the culture of PTCL
is multiple and bureaucratic, and creates regional and racial biases which makes hurdles
in the way of promotion.
This is one of the HR policies of PTCL to provide medical facility to their employees;
PTCL provides medical facility to their employees at Combine Military Hospital (CMH).
Medical allowance is 6% of the basic pay.
Transfer of posting:
Transfer of posting depends on the shortage of staff, shortage of experts and conduct. If
in area there is shortage of staff especially in rural area HR management fill the vacancy
with the transfer of concerned employee. Similarly if somewhere there is deficiency of
expert especially IT expert, transfer of posting is conducted. If an employee conduct is
not good he is punished with transfer of post to remote areas. Racial biases are also
involved in transfer of posting.


Pakistan Telecommunication Company Limited

3.4 Conclusion
Human resource department of PTCL is providing various techniques of training and
career development to their employees such as foreign training, local training and
training at Etisalats academy. ICT of HR department is offering PhD and MS program in
information and communication technology. HR administration of this department is
responsible for health, corporate safety and security of the employees. Recruitment
process of PTCL undergoes through request for hiring, checking HR budget and position
existence, job advertisement for both internal employees and external employees resume
collection and short listing, interviewing the candidates, job letter offer and approval of
top management. The hired candidates then refer to RHD to fulfill the initial need of new
staff members. Organizational design department of HR is responsible to create a new
position in the organizational chart with the approval of HR SEVP. PTCL is providing
different types of compensation packages to its employees such as GP fund, pension,
bonus on contribution beyond the call of duty, car allowance, medical allowance,
accommodation facility etc. However the culture of PTCL is rigid and bureaucratic.
Employees are not empowered in decision making evenly in that matters which are
directly related to employees. The situation is not very cruel but cannot be ignored.
Proceeding chapter will explain management information system of PTCL.