1EMPLOYEE HANDBOOK 2007 Dear Colleague Welcome to HSBC Bank plc (the “bank”). I would like to wish you every success during your employment, whether you have recently joined the bank or whether you are an existing employee. This Employee Handbook (the “Handbook”) is designed both to introduce you to the bank and to be of continuing use during your employment with the bank. Together with your offer letter, the Handbook sets out the terms and conditions of your employment, guidance on the high standards of conduct that are expected of you and some of the main employee benefits which may be available to you. The Handbook also provides you with information on where to find the main policies and procedures that will affect your employment, which, for the most part, are contained in the HR Procedures Manual which can be found on the bank’s intranet site. The Handbook is therefore an important document and it is essential that you read the Handbook thoroughly and carefully before accepting an offer of employment with the bank or, if you are a current employee, as soon as possible after the Handbook is issued.Unlike previously, paper copies of the Handbook will not be issued. Instead, this Handbook will only be available via the bank’s intranet or recruitment website. This will allow the bank to keep the Handbook up to date and reflects the bank’s policy of minimising paper products. General amendments to the Handbook will be issued from time to time by circular. As these amendments may revise your contract of employment it is essential that you refer to the Handbook, as set out on the bank’s intranet, and familiarise yourself with these amendments. I hope that you will find the information contained in the Handbook both informative and helpful. If you require clarification or any additional information please refer to your line manager. Julie Harding Head of Human Resources HSBC Bank plc 2ABOUT THE HANDBOOK The purpose of the Handbook is to: ?? Set out and clarify the terms and conditions of employment; ?? Set out and clarify the rules and regulations which you must abide by; ?? Summarise the benefits you may be entitled to; and ?? Set out some of the main issues which may be of interest to you during your employment, so that you may know what is expected of you and what you can expect from your colleagues and the bank.The Handbook is divided into a number of sections: Introduction This section explains the importance of the Handbook and introduces the various sections of the Handbook and other HR Resources. Section 1 - Terms and Conditions of Employment This section, together with your offer letter (as amended by any subsequent communications from the bank), solely form the terms and conditions of your employment. It therefore sets out important information on the rights and obligations which apply during the course of your employment. For the avoidance of doubt, references in this Handbook to your ‘offer letter’ means any letter or document (other than the Handbook) issued to you by the bank that is expressly stated to form or constitute part of your terms and conditions of employment and/or employment contract (and as may have been amended by any subsequent communications from the bank). Section 2 – Code of Business Ethics and Responsible Behaviour The Code of Business Ethics and Responsible Behaviour deals with and provides guidance on the standards of behaviour that the bank expects of all employees. Section 3 – Rules and Regulations This section sets out important information about the standards of conduct which you must abide by as an employee, and which you should expect from your colleagues. Section 4 - Benefits Section 4 of the Handbook outlines some of the benefits which you may have access to during your employment and sets out where further information can be obtained in respect of each benefit. Section 5 – Your Career with the bank This section sets out information on training, development and employee representation and other matters which may be relevant during your career with the bank.3Section 6 – Security of Employment This section outlines how the bank seeks to provide security of employment for its employees and contains information on the Security of Employment Agreement currently in place. Separate Handbooks are issued for employees in other parts of the HSBC Group within the UK, e.g. HSBC Treasury and Capital Markets, first direct and those employees working on the Channel Islands or the Isle of Man. The parent company of the Group, HSBC Holdings plc, also issues its own Handbook for its employees. This Handbook supersedes earlier versions of the Employee Handbook (or “Lets Work Together”) which may be referred to in your current offer letter from the bank. All references in such documents to earlier Handbooks, including “Let’s Work Together”, should now be taken to refer to this Handbook. About HR Procedures, Policies and othe。