Human Resource Management Policy
Human Resource Management Policy
Introduction
The Human Resource (HR) system is coordinated by the Lotus Club Head Office and aims to:
- Assign the right staff to the right positions
- Create a supportive, skill-based working environment
- Foster strong employer-employee relationships
- Provide fair compensation
- Promote continuous skill development, training, and career growth
- Recognize performance and improve productivity

Human Resource Planning
- HR plans are reviewed annually based on new developments and donor agreements
- Staffing decisions are made by the Executive Director and Board of Directors
- Surplus staff are reassigned productively with proper approvals
Recruitment & Promotion
- HR is the organization’s most valuable asset
- Promotions and appointments are made based on qualifications, efficiency, and potential
- Internal promotions are encouraged
- Motivation is ensured through compensation, benefits, and recognition schemes
- The Executive Director holds the power of appointment and disciplinary control
- Every vacancy must be advertised at least 10 days prior to application deadline
- Contracts are used for short-term or special assignments
Selection Method
- Selection includes:
- Written test
- Face-to-face or virtual interviews
- Evaluation forms
- Optional indirect methods
- Recruitment panel includes ED, Board members, senior staff, or external resource persons
Internal Candidates
- Internal staff can be promoted without interviews
- ED and Board can recommend promotions directly
Volunteers
- Volunteers may be recruited with a written agreement
- No salary is guaranteed unless otherwise agreed
- Compensation depends on qualifications, prior experience, and market scales
Reference & Background Checks
- Two non-related references are required
- Professional references are preferred (doctors, engineers, educators, etc.)
- Educational and police reports, medical clearance, and other safety checks may be required
Appointment Letter
Must include:
- Contract type, date, and probation period
- Salary details, EPF/ETF contributions, and leave entitlements
- Job description and terms of service
- Clauses on transfers, confidentiality, discipline, and termination
- Acceptance by employee and address updates
Probation & Confirmation
- Probation: Minimum 3 months, maximum 6 months
- Acting period for internal promotions: 1 year
- Confirmation is based on performance and follows the original appointment date
Orientation & Career Progression
- Orientation includes responsibilities, policies, benefits, duties, and behavior
- All new employees receive relevant documents and manuals
- ED decides orientation details with supervisors
Training & Capacity Building
- Skills are identified and enhanced through continuous training
- Budget allocation for training is essential
- Staff can request training support via ED
Personal Files
Each employee’s file includes:
- Bio data, appointment letters, certificates, ID copies
- Performance evaluations, awards, disciplinary records
- Stored securely under the Admin Manager’s supervision
- Files are accessible only in special circumstances and under supervision
Performance Appraisal
- Conducted annually
- Tracks progress, guides improvement, sets goals, and supports promotions
- Includes feedback from supervisors and documentation in personal files
- Must be submitted before annual increments are approved
- Confidential and must be understood by the employee
Annual Salary Increments
- Granted based on:
- Performance and conduct
- Attendance
- Cooperation with co-workers and superiors
- ED can defer or suspend increments per disciplinary procedures
- Admin and Finance Managers must coordinate approvals and updates
Statutory Benefits (EPF/ETF)
- 8% employee + 12% employer contribution for EPF
- 3% employer contribution for ETF
- Paid monthly before due dates
- Lotus Club helps employees access all related benefits
- Staff are educated on EPF/ETF usage through workshops
Resignation & Termination
- Employees may resign with 3 months’ notice
- Lotus Club can terminate service for poor conduct or policy violations
- Dues, documents, and handovers must be completed before acceptance
- Clearance certificates and official communication will be handled by Admin
- Access to internal systems will be revoked post-resignation
- Service letters are provided upon request
Retirement
- Retirement age: 55 years
- Dues must be settled prior to official retirement
- All work duties and accounts are closed from the retirement date