Home  |   Tenders  |  Bye Laws  |  Admin
The Nawanshahr Cooperative Sugar Mills Ltd.
Title and scope
These Rules may be called ‘The Punjab State Cooperative Sugar Mills (Service )Rules, 1991’ (hereinafter referred to as ‘ These Rules ‘) These Rules shall come into force the date of there approval by the Registrar under Rule 28 of the Punjab Cooperative Socisties Rules,1963. These Rules shall apply to all the employees of a Sugar Mills, unless the terms of their employment are governed by a special agreement or contract in writing to the contrary, or by a special set , of rules by are otherwise exempted by these Rules, These Rules sall in no case be repugnant to the provisions of the Industrial Employment. (SO) Act, 1946 & any other law for the times being in force governing. the condition of service of the employees /workers . In the event of any conflict of These Rules with the provision of that Act or anylaw, the letter shall prevail.


In these Rules, unless the context otherwise requires:-
a) “Act” means the Punjab Cooperative Societies Act, 1961 as amended from time to time.
b) “Appointing Authority” means the Managing Director of the Mills.
c) “Authorized Medical Officer” means the qualified Medical Officer of the Mills or an Officer of the Government Civil Hospital or Disoenser not below the rank of Assistant Civil Surgeon.
d) “Bye-laws” mean the registered Bye-laws of the Mills for the time being in force.
e) “Board” means the Board of Directors of the Mills.
f) “Chairman” means the Chairman of the Mills, and if there is no Chairman, the vice chairman.
g) “Committee” the authority constituted under Rules 3.3 and 3.4 hereunder.
h) “Direct Appointment” means an appointment made otherwise than by promotion from within the Service or by transfer on deputation from any Department of government or other Mills.
i) “Duty” includes:- 1) Service as a probationer followed by confirmation.

Tissue culture Technique offer the best methodology to obtain quality seed at faster rate and take less than 4 years to saturate the whole area under new varieties as compared to the conventional method which takes 8 to 10 years, thereby prolong the field life of a variety and eliminate chance of seed transmitted diseases and pests etc.

1.1) Period spent beyond the sphere of duty when so authorized by the competent authority.
j) “Employee” means any person in the service of the Mills on the day of enforcement of these Rules of appointed thereafter.
k) “Equivalent post” means any two or more posts in the service carrying identical time scales and having duties of a similar nature.
l) “Family” means an employee’s wife or husband, as the case may be, as siding with the employee, and legitimate children and step-children, siding with and wholly dependent upon the employee.
m) “Financial Year” means the period from the 1st April in a year to the 31st march following.
n) “Government” means the government of the state of Punjab.
o) “Managing Directors” means the managing director of the mills.
p) “Mills” means a Cooperative Sugar Mills registered under the act.
q) “Off Season” means the period of each year other than the crushing season.
r) “Pay” means the basic pay in a fixed scale.
s) “Registrar” means the registrar, cooperative Societies, Punjab or any officer on whom the power of the registrar in respect of sugar mills have been conferred by the government.
t) “Reserved Area” means the area notified for each mills under the sugar cane control order 1966,
u) “Rules” means the Punjab Cooperative Societies Rules, 1963 as amended from time to time. Mills Ltd. Chandigarh.
v) “Sugared” means the Punjab state Federation of Cooperative Sugar
w) “Sugar Wage Board”, means the board constituted by the Government of India for determining the wage structure of the sugar industry and whose report & recommendation are accepter by the Government of India and are in force.
x) “Service” means service of the Mills. y) “Salary” means the basic monthly pay inclusive of other allowances; treated as pay for the purpose of these rules.


3.1 Recruitment to the service may be made by promotion or by transfer on deputation or otherwise, or be direct appointment. Provided that not more than three-fourths of the posts in each cadre may be filled by promotion are transfers.
3.2 All categories of posts to be filled by direct appointment shall be notified to the local employment Exchange, and for categories other than “Unskilled Operators” in the scale of Rs. 800-1050 (11Ind wage Board), advertisement shall also be made in one or more newspaper having a circulation of 50000 or above however, the Administrative Committee may specify, for any post or category of posts, that recruitment shall be restricted to person domiciled in the reserved area
3.3 To select candidates for appointment to posts, in all categories other than “Unskilled Operators” in the scale of Rs. 800-1050 (11Ind wage Board), there shall be an administrative Committee consisting of - The Chairman. - Two elected Directors, nominated or elected by the Board. - The Managing Director. - A nominee of the Managing Director, Sugar fed. - The concerned Head of department. The Managing Director shall be the Convener of the Committee.
3.4 To select candidates for appointment to posts in the category of “Unskilled Operators” in the pay scale of Rs. 800-1050 ( 111 rd wage Board ) , there shall be an Administrative Committee consisting of- -The Managing Director. -Two elected Directors nominated or elected by the board. -Two heads of department of whom one shall be the concerned head of department. The concerned head of department shall be the convener of this committee.
3.5 The term of the office of the administrative committee shall be conterminous with that of the board of director. Provided that if a member of the committee ceases to be a director of the mills for any reason whatsoever, he shall cease to be a member of the committee and the vacancy so caused shall be filled up by the board Provided further that the board of director may, at any time, change the elected member of the committee, for reason to be recorded in writing and conveyed to such member.
3.6 Three members shall from the quorum for meeting of committee and at least 7 days notice shall be given for every meeting. All decisions shall be taken by majority of votes.
3.7 The committee may delegate their powers to a sub committee or the managing director.
3.8 Where an administrator has been appointed under section 26(Id) of the act or the first committee has been nominated under section 2 (If) of the act the administrator or the nominated chairman, as the case may be, or their nominees, shall replace the chairman and the elected directors on the committee.
3.9 Where any vacancy occurs or is about to occur, the administrative committee shall determine whether such vacancy shall be filled by promotion, or by transfer on deputation or otherwise, or by direct appointment.
3.10 Appointment to the service by promotion shall be made strictly by selection based on seniority-cum-merit and no member of the service shall be deemed to have had his promotion withheld by reason of not being selected for such case appointment as of right.
3.11 No person shall be appointed the service if he:-
1) Has been convicted for an act of dishonesty or moral turpitude during the 1ast 5 years or
2) Is of unsound mind or lunatic, or
3) Is a dismissed employee of a government, a local body, a cooperative society or anybody corporate, or
4) Is member of any political party, or
5) Is an office bearer of any local body, pan chayote or any other body corporate other than any cooperative society engaged in the service of its member of a public charitable institution.

Character and Antecedents

No person shall be appointed to the service by direct recruitment unless he is found to be of good character and his antecedents are found to be satisfactory as a consequence of verification, as may be considered necessary by the appointing authority.

Age at the time of entry in to service

At the time of first entry in to the service of the mills, no person shall be appointed by direct appointment, if he is less than 18 years of age or above 45 years in age on the date of his selection to the service of the mills. Provided that the administrative committee, may relax the upper age limit in exceptional and deserving cases, by recording reason in writing for doing so.

Medical examination

No person shall be appointed to the service unless he is declared medically fit by the Authorized medical officer.

Condition of service

8.1 Pay of member: Member of the service shall be entitled to the pay as shown in Appendix ‘a’ the committee may give a higher start to specially qualified and deserving candidates.
8.2 Qualification of Members: For appointment to the service, a candidate shall possess the minimum qualification and experience laid down in appendix ‘A’ no relaxation shall be permissible except with the prior consent of the registrar.
8.3 Probation of member of service: member of the service shall, on appointment to any post specified in appendix ‘A’ and granted the scale attached thereto remain on probation for a period of 240 days.
8.4 Members appointed to the service by transfer or deputation shall not be placed on probation.
8.5 On the completion of the period of probation of a member of the service the appointing authority may:-
(a) If his work and conduct has, in its opinion, been satisfactory:
(1) Confirm such person from the date of completion of the period of probation, if appointed against a permanent vacancy : or
(2) Declare that such person has completed the period of probation satisfactorily, if there is no permanent vacancy.
(b) If his work and conduct has, in its opinion, not been satisfactory, dispense with his service, if recruited by direct appointment or if recruited otherwise revert him to his feeder post, or deal with him in such other manner as the terms & conditions of his appointment permit.

Termination (Simplicities) of Service

The maximum borrowing limit of the mills shall be as recommended by the board and as approved by registrar.

The service of a member of the service may be terminated in the following manner:-

The service of a member of the service may be terminated in the following manner:-
(a) Retrenchment.
(b) Infirmity or disability.
(c) Resignation.
(d) Superannuation. Provided that before terminating the services of an employee on account of retrenchment, or infirmity or disability, the appointing Authority shall give one month notice in writing of its intention to do so specifying the reasons therein, or in the alternative, pay one month’s salary in lieu of notice period along with a letter regarding termination of services. Provided further that if such a notice is served on a seasonal employee or workman during off season, he shall be entitled only to retaining allowance till the end of the notice period.
9.2 An employee may resign or leave the mills or by depositing one month’s salary in advance in lieu of notice. Provided that the Appointing authority may not accept the resignation of nay employee during the season and shall have a right to relieve him within two months from the date of close of the season or before the 30Th June of the Year, whichever is later. Provided further that in the later case, advance salary deposited by any employee shall be refunded to him.
9.3 Relieving before expiry of notice period : On notice of termination service being given by Appointing Authority , if an employee was to be relieved at any time before expiry of the notice , he may do provided he ‘ Can be Conveniently relieved . In that case he shall paid only for the period actually spent on duty : and when given by an employee , the Appointing Authority , at its option , may any time before the expiry of the notice period relieve him in which case he will be entitled to salary up to date he actually works duty
9.4 Effect of notice on leaves
1) On notice of termination of Service being given to or by a ‘meant of the Service, the accrual of any kind of leave shall stop with effect from the date of service of such notice.
2) On notice of resignation from service being given by an employee he will not be entitled to any un availed portion of him casual and sick leave, but he may be given the privilege leave already earned .
3) On notice of termination of service being given to an employee, he will not be entitled to any un availed portion of his sick and casual leave standing at his credit , but the un availed portion of his privilege leave , if any, including that portion of it which may have been granted to him but remains un availed on the date of issue of notice , shall be set off against the period of notice the which he is entitled . In case the privilege leave at his credit exceeds the period coverage by the notice he may be given the benefit of privilege leave for such extra period.
9.5 Termination of service due to continued long illness : if any employee is absent for four month continuously owing to illness, or in the event of his absence during illness for broken period aggregating to 75 days or more during any period of six month, the appointing authority may as of right get him medically examined by the Authorized Medical officer to ascertain his fitness for service, and:-
a) If he is declared temporarily unfit, fill up the vacancy for the period of such unfitness.
b) If he is declared permanently unfit, terminate his service with full benefits, or
9.6 Duties of an employee on termination of service: An employee under orders of transfer or termination of his service must return forthwith, if any case within 24 hours of such order of termination, all books, papers, document, files, diaries, drawing map, charts, instruments, tools, case and all other articles whatsoever belonging to the Mills in his possession and give charge of the same to the person or persons duly authorized to receive them by the appointing authority. He shall also within 15 days of termination of service vacate the house, if any, provided and quit the premises of the Mills unless specially permitted in writing to stay longer.
9.7 An employee willfully contravening the provision of the percentage sub-Rule shall forfeit all claims to privilege such as allowance, bonus, etc. His account be settled any final payment made to him only on getting a clearance certificate in respect of the above item.
10. Training and examination: Member of the service, for the efficient discharge of their duties, shall be required to undergo such training and to quality such tests, as may be pre scribed by the appointing authority from time to time, by a general or special order. A member who fails to qualify the test shall be liable to be terminated, in the case of a direct appointee, and reverted in the case of a promote Provided that the Appointing Authority may exempt a member or a class of member from the operation of this rule, if in its opinion it is necessary to do so, by recording reasons in writing.
11. Retirement: Member of the service shall retire on attaining the age of 60 in the case of employees governed under sugar wage board, and in other cases, on the last date of the month attains the age of 50 years.


The seniority inter-se of members of the service shall be maintained category-wise within each department and determined by the date of confirmation in case of permanent employees, and continuous service in other cases, Provided that for purposes of appointment by promotion to a higher post, or post within a higher category, the inter-se seniority of all eligible candidates in the lower categories may be drown up, having regard to the same dates. Provided further that all permanent employees shall rank senior to other employees within the merged seniority list. In the case of two or more members appointed on the same date, their seniority shall be determined as follows:-
(1) A member recruited by direct appointment shall be senior to members recruited otherwise.
(2) A member recruited by promotion shall be senior to a member recruited by transfer. Provided that in case of members recruited by a direct appointment the order of merit determined by the committee shall not be disturb and person appointed as a result of an earlier selection shall be senior to those appointed as a result of subsequent selection, subject to the condition within the time stipulated in the appointment order. Provided further that in the case of members recruited by the promotion or transfer, seniority shall be determined according to the seniority or such members in the feeder order from witch they were promoted or transferred; and in the case of member recruited by transfer from different cadres, their seniority shall be determined according to pay, preference being given to member who was drawing a higher rate of pay in his previous appointment, and if the rates of pay drawn are also the same, then by their length of service is also the same an older member shall the senior to a younger member. In case of member of the service whose period of probation is extended under rule 8, the date appointment for purpose of this rule shall be deemed to have been deferred to the extent the period of probation is extended Not withstanding anything contained in these rules, the seniority of the members of the service shall be the same as it existed immediately before the commencement of these rules.

Pay and Allowances

Members of the service covered by the sugar wage bored shall draw pay and allowance strictly in accordance with the wage board in force. Members of the service not covered by the wage board shall draw pay and allowance in indentical or in equivalent scale finding place in the wage board.


14.1 Members of the service when required to handle to cash, stores & stocks shall furnish such amount of security in cash and or in the shape of cash & fidelity guarantee or tangible assets or in cash and tangible assets or both as set forth in annexure ‘b’ provided that the security furnished by an ex- employee of the mills shall be released on, furnished of a no objection/dues/demand certificate from the head of department under whom he has been working.
14.2 The employees wishing to furnish security partly in cash & partly in the form of fidelity bond may opt to deposit 5% of their pay for credit to their security account up to the limit specified for the purpose. This amount of security shall remains in their individual account with the mills and the mills shall pay 1/2% interest more than the commercial banks rate on such deposits with half yearly rests. The interest so accrued shall be credited to the account of the employees. The amount of security shall be released to the employee on superannuation/termination of his service or when otherwise discharged from the service of the mills.

Medical Allowance

A fixed medical allowance shall be paid to the employees of the mills 60/- per month. Provided that expenditure incurred by an employee for his own treatment or the member of his family dependent upon him when treated as indoor patient in the government civil hospital / or on reference by such hospital to government medical colleges hospital or the PGI shall be reimbursed in full on the verification of the authorized medical officer.

Traveling Allowance

In the matter of traveling allowance, the employees of the mills shall be governed mutatis mutandis by the provision of Punjab Civil Service Rules (traveling allowance rules) vol.111 as in force from time; Provided that the rates of daily allowance admissible to the employees of the mills shall be 1 ½ times of the daily allowance admissible to the government drawing equivalent pay.


17.1 Members of the service shall be entitled to earned leave, casual leave & sick leave, as may be admissible under the statutes governing the sugar industry, viz; a) Privileged/earned leave: as per provision of the factories act, 1948. b) Casual leave: 12 per annum or one day for every 30 days of duty during one calendar year. c) Sick leave: one day for every 30 days duty during one calendar year.
17.2 During leave an employee shall be eligible for pay last drawn preceding the date he proceeds on leave.
17.3 Sick leave shall be sanctioned on the production of a certificate of the authorized medical officer.
17.4 Casual leave cannot be combined with any other kind of leave.
17.5 No leave other than casual leave shall be granted to an employee who is under suspension. If an employee is absent during suspension, no subsistence allowance will be admissible for that period of absence.
17.6 A member of the service shall not accept any other service during the period of leave.
17.7 A member of the services shall not avail of leaves in anticipation of section except in case of illness.
17.8 The sanctioning authorities shall grant leave to a member of the service only if the exigencies of the work permit, and leave cannot be claimed as a matter of right.
17.9 Members of the service who do not avail leave during the crushing season shall be entitled to extra wage in lieu thereof at the close of the season.
17.10 A member of the service shall not accumulate earned leave or sick leave beyond the limit of 90 and 30 days respectively.
17.11 A member of the service may be granted leave without pay for a period not exceeding four months at anyone time by the appointing authority.
17.12 It shall be competent for the sectioning authority to cancel the leave before it expires.
17.13 It shall be competent for the appointing authority to fill up a leave vacancy on usual pay which shall cease to be in existence from the day the old incumbent resumes duty.
17.14 For the purpose of leave, the authority competent to grant leave shall be as specified in annexure ‘C’.
17.15 While proceeding on leave, or absenting himself from duty in anticipation of the grant of leave, the employee shall intimate the address at which he can be contacted, failing which all communication from the mills shall be served on him at the address available in his personal life.


Members of the service shall be paid gratuity on the total salary (basic pay +D.A) and there will be no limitation o salary as well as total amount of gratuity. All other terms conditions will be as per the payment of gratuity act, 1972 as amended from time to time.


20.1 The following penalties may be imposed, as hereinafter provided, on a member of the service:-
A) Minor Penalties:
1) Censure.
2) Withholding of his promotion/increments.
3) Recovery from his pay of the whole or part of any pecuniary loss caused by him to the mills by the negligence or breach of trust.
B) Major Penalties:
4) Reduction to a lower stage in the time scale of pay for a specific period with further direction as to whether or not the employee will earn increment of pay during the period of such reduction and whether on the expiry of such period, the reduction will or will not have the effect of postponing the future increment of his pay.
4) Reduction to a lower time scale of pay, grade, post or service which shall ordinarily be a bar to the promotion of the employee to the time scale of pay, grade, post or service from which he was reduced with or without further direction regarding condition to the grade or post or service from which the employee was reduced and his seniority and pay on such restoration to that grade, post or service.
5) Compulsory retirement.
6) Dismissal from the service of the mills which shall ordinarily be a dis-qualification for future employment in the mills.

20.2 No punishment shall be imposed on any employee unless he is issued a show cause notice by the punishing authority indicating:-
(a) The allegations against him
(b) The evidence in support of the allegation.
(c) The nature of punishment proposed to be imposed and the employee is afforded a reasonable opportunity to submit his explanation.
20.3 The appointing authority may, if it feels necessary either himself conduct or cause to be conducted an enquiry against the employee in respect of such of the charges as are not admitted by him.
20.4 The enquiry officer shall conduct the enquiry in the presence of the employee, unless after due service of notice ex-part proceedings are ordered to be taken against the employee, who will be afforded a reasonable opportunity for cross-examining the witnesses produced in support of allegations against him and produce necessary evidence in his defense.
20.5 The punishing authority shall consider the explanation submitted by the employee and the report of enquiry officer, if any, and may imposes any of the punishment mentioned in this rule, Provided that the punishment imposed shall not be more than the punishment proposed in the show cause notice.
20.6 The following acts or omission shall be treated as miss-conduct comprehending the punishment as specified in the rules:
a. Willful insubordinate or disobedience, whether along or in combination with.
b. Illegally striking work either singly or with other or inciting others to do same.
c. Theft, fraud, breach of trust or dishonesty in connection with the mills business or properly.
d. Taking or giving bribe or any illegal gratifications.
e. Habitual absence without leave for more than three separate occasions in the same wage period. f. Habitual late attendance.
g. The collection or canvassing for the collection of any money for purposes not authorized to do so within the premises.
h. Engaging in trade within the factory premises. i. Drunkenness or gambling or riotous or disorderly behavior while on duty in the mills premises.
j. Gross negligence or neglect of work.
k. Habitual repetition of any act or omission for which fine may be imposed under the payment of wages act, 1936. l. Smoking in the factory premises in prohibited places.
m. Willful damage to work in process or to any other property of the mills.
n. Failure to observe safety regulation contained in the schedule and other safety instruction, unauthorized removal, interference with or damage to machinery guards, fencing and other safety devices installed in the mills.
o. Distributing or exhibiting or reading inside the factory premises any news papers, handbills, pamphlets or posters, without the previous sanction of the managing director.
p. Refusal to work on another machine of the same type or work of similar nature not affecting the salary or status.
q. Holding meetings inside the factory premises and without the previous sanction of the managing director mills premises includes its administrative offices and residential quarters.
r. Disclosing to any unauthorized person any information in regard to the working or process of the mills which comes in to the possession during the courses of work, the disclosure of which causes or is likely to cause harm to the business or reputation of the mills. s. Sleeping whilst on duty. t. Malingering or deliberate delaying of production.
u. Not reporting to the mills director of the contagious disease, particularly venereal disease from which the workman might be suffering and of which the workman is aware.
v. Spitting within the places of work.
w. Threatening or intimidating any workman or other employees of the mills within its premises.
20.7 Any employee in the service of the mills may be placed under suspension by the appointing authority in such cases where prima-facie dismissal or removal from service is the appropriate ultimate punishment. The power of punishment of an employee in the service of the mills shall vest in the appointing authority, Provided that the authority specified in column 4 of annexure ‘D’ may impose any of the minor penalties.
20.8 All orders awarding any punishment shall be communicated to the employees concerned in writing, standing therein the grounds on which the punishment has been awarded.
20.9 No employee shall ordinarily be kept under suspension for period exceeding six months at a time. The committee may in special circumstances extend the suspension period for a further period of six subject to the provision of labour laws, an employee who is under suspension shall be paid subsistence equal to 50% of his pay unless he willfully absent himself from or delays the disciplinary proceeding.


An employee may prefer an appeal to the committee against any order passed by the managing director, and to the managing director against any order passed by an officer subordinate to him under rule 20, within 30 days of communication of the order of punishment. The appeal shall be presented to the managing director or the convener of the committee, as the case may be in person or by registered post, with a spare copy for the punishing authority and shall contain material statements and arguments on which the appellant relies but shall not contain any disrespectful or improper language and shall be complete in itself. The punishing authority shall send it comments on the appeal together with relevant record to the appellate authority without any avoidable delay and even without waiting for any direction from the appellate authority. The appellate authority after hearing the employee & examining the record of the case may pass orders and the order so passed shall be final.


22.1 Not with standing anything contained in these rules, the board of directors may, suo moto or otherwise, within 3 months of the date of the order proposed to be reviewed confirm modify or annual such order or remit the case to the authority who passed the order directing such authority to make further enquiry as it may consider proper in the circumstances of the case. Provided that no order imposing or enhancing any penalty shall be made by the reviewing authority unless the effected employee has been given a reasonable opportunity of being heard.
22.2 Not with standing anything contained in these rules the managing director sugar fed may suo moto or otherwise, at any time. With a view to reducing staff strength of the mills so as to bring the staff strength in conformity with the approved staffing pattern (appendix A) prepare or cause to be prepared reports of the same indicating inter alias the inter-se seniority of the employees concerned and direct the managing director of the mills to lay the same before the board of directors of the mills for review, modification or annulment as in the proceeding sub-rule.


No employee shall , except when generally or especially empowered or permitted in this behalf by the board , communication directly or indirectly any information which has come into his possession in the course, of his official duties or has been prepared or collected by him in the course of such duties , whether from official sources or otherwise ,to any other person , institution or to the press.
23.2 No employee shall have any pecuniary transactions with individual or institutions coming into contact with him in the course of his official duties or accept directly or indirectly on his own behalf or on behalf of any other person, or permit any member of his family to accept any gift, gratuity or reward from any person with whom he is concerned in the performance of his duties.
23.3 No employee shall canvass or otherwise use his influence in any way in am election to a public body constituted under the constitution of India or to any institution constituted under an Act of the Punjab provided that he may cast his vote if he is eligible to do so. In the latter case, he shall so far as possible avoid giving any indication before hand of the manner in which he intends to vote.
23.4 No employee shall engage in any commercial business or pursue either on his own account or as agent for others, not act as agent for an insurance company.

Power of Interpretation

In case any dispute arises with respect to the proper interpretation & meaning of any of the provisions of these rules, the mater shall be referred to the managing director, sugar fed whose decision shall be final and binding.


Matters not covered by these rules shall be governed under the provisions of general law and/or the rules applicable to the Punjab Government employees.


Any rules applicable to the members of the service immediately before the commencement of these rules shall stand repealed. Provided that any order or action taken under the rules so repealed shall be deemed to have been made or taken under the corresponding provisions of these rules.
Provided further that these rules shall be without prejudice to the provisions of any statute & rules framed there under.



Our Works


The reserved area of this mill is spread over 614 Villages and this area is further divided into 23 circles...

R & D Wing of Sugarcane


As it is mentioned above that this mills is forty-four years old and the farmers of this area are willing to sow sugarcane...

Tissue Culture Lab


Bio Control Lab is set up to control sugarcane borers by using egg parasitoid specially Trichogramma chilonis...