Introduction

 This note sets out the main points to bring the policy in line with current industry practice, in effect confirming the main points of the existing travel policy.  It also acts as a reminder that the policy is to be followed and, to assist the monitoring groups to achieve this.  This clarification will assist senior management to give support as necessary to cover non-adherence to the policy.

Underlying principles of the travel policy

The approach underlying this travel policy is to:

• provide a framework that is fit for purpose to support the business needs for travel and its associated activities in a cost effective way;
• expect travellers to use their common sense to judge what is reasonable for their requirements and circumstances within in the spirit of the guidelines
• encourage travellers and their managers to comply with the health and safety considerations
• minimise the burden on the environment.

Summary of key elements for the travel policy

Air travel

• Economy within local continent e.g. Europe for UK based staff
• Business class (or efficient equivalent travel fare) when the individual flight leg is more than 10 hours long
• Management discretion to permit business class when an individual flight leg is under 10 hours long whilst being an overnight flight, depending on business needs
• Business class permitted when no more expensive than the Economy fare (i.e. when paired with a return leg in Business, or as part of a multi-leg trip)
• Travel to be on preferred airline partners, where established regionally.

Train travel

• Standard class, although First may be permitted when appropriate
• Advance purchase and saver tickets to be used when adequate certainty on travel times.
• Day of departure tickets to be purchased directly at the station

Hotel accommodation

• The preferred hotels, selected in each of the main locations, are to be used and use should be made of a general arrangement outside this with a major hotel group, once this is in place.  Individuals using a hotel outside of these arrangements to ensure that it is a lower price than the preferred/centrally available arrangements, and to provide this evidence when submitting expenses for approval
• Hotel charges to be paid by credit card, not re-invoiced to Filtronic.  Where necessary (ie if a traveller does not possess a credit card) an advance may be arranged from the Accounts Department.
• Hotel accommodation will usually be guaranteed, so the traveller is expected to cancel unwanted accommodation by the deadlines indicated in their reservation
• Please refer to the Travel Co-ordinator for the list of main location hotel arrangements and maximum expected room rates for the location / area

Car Hire

• Continuation of current arrangements within a maximum rental category of compact cars outside of North America and mid sized sedan for North America
• Car hire should be booked through the travel agent, when appointed
• Hire cars to be refuelled by the user before return, when required

Ground transportation

• Locally provided driver services should be used when the traveller is unfamiliar with driving in the country being visited (eg China, India).
• Travellers should use airport transfer buses for airport hotels and consider using other transfer services for transfers to city centres before use of taxis
• Use of private cars is set out in the car policy

Communications

• When travelling, staff should look to minimise mobile phone roaming costs by, for example,:
• arranging to be rung back on fixed lines in hotels or offices
• using a local SIM card/mobile number to the destination (in UK available from the Travel coordinators)
• using dial through on central switchboards (once set up)
• once arranged, through use of a prepaid calling card (options are currently under investigation).
• Similarly for data connections, staff should look for cost effective routes for connecting laptops including:
• use of a local SIM data card
• register for webaccess email if email access mainly expected from the office environment

Travelling Time

• Any travelling which is undertaken outside normal working hours should be agreed in advance with the Authorising Manager.  When weekend travel is involved, any time off in lieu should also be authorised by the Manager.

Time Off In Lieu

• Any weekend work or travel will be classed as straight time off in lieu on return to work, ie, a day off for the day spent travelling if not a working day (weekend days, which involve neither work nor travel, will not warrant time off in lieu).  The time off in lieu must be taken on first day/s due back to work or as agreed with the Departmental Manager.  There will not be monetary payments for this.  Regardless of overtime premiums within normal employment contracts, time in lieu will be on a day for day basis. However, for Management and Executive staff, any time off in lieu for travel shall be agreed on a case by case basis with that individual’s immediate Supervisor/Report.

Authorisation

• The authorisation procedure set out below is for air and longer distance train/car travel including overnight stays.  It does not apply for local travel, for which reimbursement should be made through the reimbursement of expenses
• Travel forms to be signed off by the local company MD, with long haul travel notified to Business Managers
• Urgent or out of hours new bookings require usual level of sign off or upward delegation of usual approval authority not available, and may be confirmed to the travel agent electronically
• Amendments during travel time to be approved retrospectively by original approval authority if increase costs by more than 10%. 
• Business Managers and other executive Directors requests to be signed off by CEO
• Other Board members requirements to be signed off by Chairman or CEO
• Travel orders to Appointed regional travel agent to be carried out through current system of nominated administrators (Travel coordinators)
• Exceptions to policy implementation, including use of non preferred airline, requires prior Business Managers or CEO approval
• Travellers requiring to have security clearance before making their trips are to ensure that this is secured from their security clearance officer.

Ticketing

• E-ticketing, and electronic copies of hotel reservations etc will be used as much as possible

Monitoring

• Contracts group (or equivalent group outside the UK) to provide details of exceptions to policy as they arise to Business Managers and Group Finance Director
• Contracts group to provide a monthly summary of major spends with preferred and non preferred airlines by routing/ geography, and equivalent arrangements outside the UK

Health and Safety

• Travellers shall take all reasonable care for the environment, health and safety of themselves and of other persons who may be affected by their acts or omissions.
• Travellers should ensure that inoculations are current before travel. 
• Travellers should make enquiries of the Travel Co-ordinator of their insurance arrangements for the trip to ensure they are adequately covered and take out additional personal cover for personal effects if required;
• Traveller should carry the health insurance/assistance card when overseas (source from the HR Department).
• Employees should carry a report on any medical problems including sufficient personal medication for the duration of their trip/secondment as relevant drugs may not be available at their destination.  An up to date inoculation record card should also be carried.
• It is advised that all personnel carry a first aid kit with a stock of over the counter remedies to treat minor ailments such as light fever, toothache, nausea, stomach upset.
• Travellers should not undertake long car journeys following long haul air flights. Tiredness can result in significant risk whilst driving.
• In addition to the above, if an infrequent traveller it is advisable to consult with the Company Nurse/own Doctor before travel.
• Travellers should exercise prudence in visiting countries that may be considered risk related to personal security; the appropriate EHS manager or General Counsel may be consulted for further information.
• Travellers must take personal responsibility for lifestyle choices that may impact on their health and safety or the health and safety of others.
  

Environment

Travellers should aim to minimise the burden on the environment of business travel through considering and choosing the options available and their associated environmental impact.

Hemant Mardia
Chief Executive Officer
Filtronic plc
May 2010