Reliance Formulates Internal Constitution, Adopts Employee-friendly Measures

For the first time in its 38-year-old history, Reliance Industries Limited (RIL), India's largest private sector company, has come up with an internal constitution known as Reliance Management Services (RMS) to spell out processes and policies.

RIL unveiled its RMS before 150 senior executives at a function held at Chairman Mukesh Ambani's home on October 6. The RMS consists of a series of human resource initiatives, including steps to take care of the wellness of employees and simplify policies. It also includes doing away with service bonds and extension of maternity leave to six months.

A Reliance spokesperson confirmed this development but refused to share any further details.

The new system defines the policies, processes and execution measures across segments ranging from HR management to risk management. The RMS spells out “what needs to be done within a specified time.” The new framework provides guidelines for delegation of authority and also explains the processes to detect risks easily.

"This level of change will have a significantly positive impact on employee morale, buy-in of the larger organisational vision, individual productivity and most of all, a sense of belonging with the company," said Sangeeta Singh, partner, HR consultancy firm Sanguine Consultants.