employee welfare

Welfare Measures of an

Employee in

BHEL

1

A Project Report

On

EMPLOYEE WELFARE MEASURES

At

Bharat Heavy Electricals Limited (BHEL)

Ramachandrapuram

Hyderabad-32.

In

Partial fulfillment of Award of the degree of

MASTER OF HUMAN RESOURCE MANAGEMENT

SUBMITED

BY

Harika.Viswanatham

Under the guidance of

Mrs. K.Sujana

Manager (HR),

BHEL, Hyderabad

Padmasri Dr.B.V.Raju Institute of Technology

2

Narsapur

ACKNOWLEDGEMENT

I express my gratitude to the management of Bharat Heavy

Electricals Limited (BHEL), Hyderabad for kindly allowing me to do this

project on “Welfare Measures of an Employee in BHEL, Hyderabad”.

I express my gratitude to the department of the management

studies of Padmasri Dr.B.V.Raju Institute of Techonology,Narsapur for

allowing me to take this project work in BHEL,Hyderabad as a part of my

curriculum. My training during the project work in BHEL,Hyderabad was

very good experience as I learn lot of new things.

I am very thankful to Ms. K.Sujana, Manager, HR (WELFARE

DEPEREMENT), BHEL, Hyderabad who has guided me during the entire

period of training. She provided me with lost of data, materials and

information related to the topic, which help me to complete this project. I am

also thankful to all the concerned persons who helped me during the training

and provided information to complete this project.

3

DECLARATION

I Harika.Viswanatham, student of Padmasri Dr.B.V.Raju Institute of

Techonlogy,Narspur. Here by declare that the project report titled “Welfare

Measures of an Employee in BHEL, Hyderabad” submitted by me to the

Human Resource development department is my own original work and it

has not been submitted to any other organization or published any where

previously.

Date: Signature

Place: Harika.Viswanatham

4

INDEX

S.no Title Page no

Chapter-1

1 Introduction

2 Importance of welfare

3 Features of labour welfare

4 Need of labour welfare

5 Types of welfare Activities

6 Functions of labour welfare

7 Objectivities of labour welfare

8 Theories of labour welfare

9 Employee Protection and welfare

Chapter-2

1 Research design

2 Statement of the problem

3 Objectives of the study

4 Scope of the study

Chapter-3

1 BHEL profile

2 BHEL Ramachandrapuram, Hyderabad

Chapter-4

1 Review of literature

5

2 Methodology

3 Data analysis and interpretation

Chapter-5

1 Findings

2 Conclusion

3 Recommendation

4 Bibliography

Annexure:

1 Questionnaire

6

Chapter-1

Introduction

Employee Welfare is an important facet of industrial relations, the extra

dimension, giving satisfaction to the worker in a way which evens a good wage

cannot. With the growth of industrialization and mechanization, it has acquired

added importance. The workers in industry cannot cope with the pace of modern

life with minimum sustenance amenities. He needs an added stimulus to keep body

and soul together. Employers have also realized the importance of their role in

providing these extra amenities. And yet, they are not always able to fulfill workers

demands however reasonable they might be. They are primarily concerned with the

viability of the enterprise .Employee welfare, though it has been proved to

contribute to efficiency in production, is expensive. Each employer depending on

his priorities gives varying degrees of importance to labour welfare.

It is because the government is not sure that all employers are

progressive minded and will provide basic welfare measures that it introduces

statutory legislation from time to time to bring about some measures of uniformity

in the basic amenities available to industrial workers.

After employees have been hired, trained and remunerated,

they need to be retained and maintained to serve the organization better. Welfare

facilities are designed to take care of the wellbeing of the employees, they do not

generally result in any monetary benefit to the employees. Nor are these facilities

provided by employers alone. Governmental and non-governmental agencies and

trade unions too, contribute towards employee welfare.

7

Employee welfare is a comprehensive term including various

services, benefits and facilities offered to employees by the employer. Through

such generous fringe benefits the employer makes the life worth living for

employees. The welfare amenities are extended in addition to normal wages and

other economic rewards available to employees as per the legal provisions.

Welfare measures may also be provided by the government, trade unions and non-

government agencies in addition to the employer. The basic purpose of employee

welfare is to enrich the life of the employees and keep them happy and contended.

MEANING AND DEFINITION

Welfare means faring or doing well. It refers to the physical, mental,

moral and emotional well-being of an individual. Further, the term welfare is a

relative concept, relative in time and space. It, therefore, varies from time to time,

from region to region and from country to country.

Employee welfare, also referred to as betterment work for employees,

relates to taking care of the well-being of workers by employers, trade unions and

government and non-governmental agencies. It is rather difficult to define the term

labour welfare precisely because of the relatively of the concept.

The Oxford dictionary defines employee welfare as “efforts to make life

worth living for workmen”. It is however, difficult to precisely define the scope of

these efforts. Different writers have defined it in different ways. Some writers say

that only voluntary efforts on the part of employers to improve the conditions of

employment in their factories from the scope of employee welfare efforts. Some

others say that it includes not only voluntary efforts of the employer but also the

minimum standards of hygiene and safely laid down in general legislation. Here are

some of the definitions given by some of the experts.

8

The labour Investigation Committee preferred

to include under ‘Labour Welfare’:

“Anything done for the intellectual, physical, moral and economic

betterment of the workers, employers, by government or by other agencies

over and about what is laid down by law or what is normally expected of the

contractual benefits for which workers may have bargained.”

According to the committee and labour welfare

services should me:

“Such services, facilities, and amenities as adequate canteen, rest and

recreation facilities, sanitary and medical facilities, arrangements foe travel

to and from place of work, and for the accommodation of workers employed

at a distance from they homes; and such other services, amities and facilities,

including social security measures, as contribute to the conditions under

which workers are employed “

The ILO report refers to labour welfare as:

“Such services, facilities, and amenities as may be established in or in

the vicinity of under takings to enable the persons employed in them to

perform their work in health, congenial surroundings and provided with

amenities conductive to good health and high morale.”

The encyclopedia of social sciences has

defined labour welfare work as:

9

The voluntary efforts of the employers to established, with in the

exiting industrial system, working and some times, living and cultural

condition of the employees beyond what is required by law, the custom of

the country and the conditions of the market”

IMPORTANCE:

Industrial progress of a country depends on its committed labour

force. In this regard the importance of labour welfare was recognized as

early as 1931, when the royal commission on labour started that the benefits,

which go under this nomenclature, are of great importance to the worker

who is unable to secure by himself. The schemes of labour welfare may be

regarded as “a wise investment” which should and usually does bring

profitable return in the form of greater efficiency. 20 years later, the

planning commission realized the importance of labour welfare, when it

observed “in order to get the best out of a worker in the matter of

production, working conditions require to be improved to a large extent. The

workers should at least have the means and facilities to keep him in a state of

health and efficiency. This is primarily a question of adequate nutrition and

suitable housing conditions.

The working condition should be such as to safeguard his health and

protect him against occupational hazards. The work place should provide

reasonable amenities for his essential needs. The worker should also be

equipped with the necessary technical training and a certain level of general

education.”

10

BASIC FEATURES OF LABOUR WELFARE :

On the basis of the various definitions, the basic charters tics of labour

welfare work may be noted thus:

a) It is the work, which is usually undertaken with in the premises or

in the vicinity of the undertakings for the benefits employees and

the members of their families.

b) The work generally includes those items of welfare which are over

and above what is provided by statutory provisions are required by

the custom of the industry or the employees expect as a results of a

contract of services from the employers.

c) The purpose of providing welfare amenities is to bring about the

development of the whole personality of the worker-his social,

psychological, economic, moral, and cultural and intelectuaval

development to make him a good worker, a good citizen and a

good member of the family.

d) These facilities may be provided voluntarily by progressive and

enlightened entrepreneurs at their own accord out of their

realization of social responsibility towards labour statutory

provisions may compel them to make these facilities available: or

these may be under taken by the government or trade unions, if

they have the necessary funds for the purpose.

11

e) Labour welfare is a very broad term, covering social securities and

such other activities as medical aid, crèches, canteens, recreations,

housing, adult education, arrangements for the transports of labour

to and from the work place.

f) It may be noted that not only intra mural but also extra mural,

statutory as well as non statutory activities, undertaken by any of

the three agencies- the employers, trade unions or the government-

for the physical and mental development of worker, both as a

compensation for wear and tear the undergoes as part of the

production process and also to enable him to sustain and improve

upon the basic capacity of contribution on the processes of

production, “which are all the species of the longer family

encompassed by the term ‘Labour Welfare’”

NEED FOR LABOUR WELFARE :

The need for the labour welfare arises from the very nature of the

industrial system, which is characterized by two basic factors ;one, the

conditions under which work is carried on are not congenial for health; and

second, when a labourer joins an industry, he has to work on an entirely

strange atmosphere, which create problems of adjustement. One author calls

these two factors “the long arm of the job”, and “the social invasion of the

factory”.

The working environment in a factory /mine adversely affects the

workers ‘health because of the excessive heat or cold, noise, odours, fumes,

dust and lack of sanitation and pure air etc., lead to occupational hazards.

12

These have, therefore, to be held in check by providing ameliorative

services, protective devices and compensatory benefits following of accident

or injury or disablement. This has been referred to as “the long arm of the

job which stretches out its adverse effects on to the worker long after his

normal 8-hour work”. Hence the need for provision of welfare services

within the premises of the factory, mine or plantation arises.

There is a social reason also as pointed out by the labour Investigation

Committee,” the provision of the canteens improves the physique,

entertainment reduce the incidence of vices; medical aid and maternity and

child welfare services improve the health of the workers and bring down the

rates of general, maternal and infantile morality; And educational facilities

increase their mental efficiency and economic productivity.

AIMS OF LABOUR WELFARE WORK:

The labour welfare work aims at providing such service facilities and

amenities as would enable the workers employed in industries /factories to

perform their work in healthy, congenial surroundings conducive to good

health and high morale.

It is partly humanistic, for it enables the workers to enjoy a

fuller and richer life.

It is partly economic because it improves the efficiency of the

worker, increases its availability where it is scarce and keeps

13

him contented .it, therefore, minimizes the inducement to form

or join unions and to resort to strikes.

The aim is partly civic because it develops a sense of

responsibilities and dignity among the workers and thus makes

them worthy citizens of nation.

Employee welfare has 2 aspects—negative and positive.

On the negative side, employee welfare is concerned with counteracting

the baneful effects of the large-scale industrial system of production especially

capitalistic, so far as India is concerned on the personal/family, and social life of the

worker. On its positive side, it deals with the provision of opportunities for the

worker and his/her family for a good life as understood in its most comprehensive

sense.

Employee welfare operates to neutralize the harmful effects of large scale

industrialization and urbanization. Provision of welfare amenities enables

the workers to live a richer and more satisfactory life and contributes to their

efficiency and productivity. It helps in maintaining industrial peace.

14

TYPES OF WELFARE ACTIVITIES:

The meaning of labour welfare may be clearer by listing the activities

and facilities, which are referred to as welfare measures.

A comprehensive list of welfare activities on labour welfare into two

broad groups, namely:

1. Welfare measures inside the work place; and

2. Welfare measures outside the work place.

1. Welfare Measures inside the Work Place

a) Conditions of the work Environment

Safety and cleanliness: attention to approaches.

Housekeeping

Workshop sanitation and cleanliness.

Control of effluents

Convenience and comfort during work

Distribution of work hours

Workmen’s safety measures

Supply of necessary beverages

Notice Boards

15

b) Conveniences

Provision of drinking water

Urinals and bathrooms

Provision for spittoons

Canteen services

Rest rooms and reading rooms

C) Worker’s Health Services

Factory health center

Dispensary

Ambulance

Emergency aid

Health education

d) Women and Child Welfare

Services Crèche and child care

Separate services for woman workers

Family planning

16

e) Workers’ recreation

Indoor games; strenuous games to be avoided during

intervals of work

f) Economic services

Co operatives, loans, financial grants

Thrift and savings schemes

Un employment insurance

Profit sharing and bonus schemes

Gratuity and pension

g) Labour management participation

Formation and working of various committees

Workmen’s arbitration council

Research bureau

h) Workers education

Reading room

Library

Adults education

Daily news review

Factory news bulletin

17

2. Welfare Measures outside the Work Place

a) Water, sanitation, waste disposal.

b) Roads, lighting, parks, recreation, playgrounds.

c) Schools: nursery, primary, secondary and high school.

d) Markets, co operatives, consumer and credit societies.

e) Bank

f) Transport

g) Communication: post, telegraph and telephone.

h) Health and medical services: dispensary, emergency

ward, outpatient and in-patient care, family visiting,

family planning

i) Recreation: games; clubs; craft centers; cultural

programmes

j) Watch and ward; security.

k) Administration of community services and problems.

Welfare facilities may also be categorized as (a) intra- mural and (b) extra-

mural

Intra-mural facilities

Intra-mural activities consist of facilities provided with in the

factories and include medical facilities, compensation for accidents,

provision of crèches and canteens, supply of drinking water, washing and

bathing facilities, provision of safety measures, activities relating to

improving conditions of employment, and the like.

18

Extra-mural facilities

Extra-mural activities cover the services and facilities provided out

side the factory such as housing accommodation, indoor and out door

recreational facilities, amusement and sports, educational facilities for adults

and children, and the like.

It may be started that the welfare activities may be provided by the

employer, the government, non-government organization and the trade

unions, while, what employees provide will be started later; the activities

undertaken by other agencies are mentioned here.

LABOUR WELFARE – LEGAL SIDE

Statutory and non-statutory activities:

Welfare activities may also be classified into

1) Statutory provisions

2) Non-statutory provisions

Statutory provisions

The factories act, 1948; the mines act, 1952; the plantation labour act,

1951; and some other acts mandate these. Of all these, the factories act is

more significant and hence is covered in detail here.

The factories act:

The act was first conceived in 1881 where legislation was enacted to

protect children and to provide health and safety measures.

19

Later, hours of work were sought to be regulated and were, therefore,

incorporated in the act in 1911. The act was amended and enlarged in 1934

following the recommendations of the royal commission of the labour. A

more comprehensive legislation to regulate working conditions replaced the

act in 1948.

The welfare amenities provided under the act are given below:

a) Washing facilities (S. 42)

b) Facilities for storing and dry clothing (S. 43)

c) Sitting facilities for occasional rest for workers who are obliged to

work standing (S. 44)

d) First aid boxes or cupboards- one for every 150 workers and

ambulance facilities, if there are more than 500 workers (S. 45)

e) Canteens, if employing more than 250 workers (S. 46)

f) Shelters, rest rooms and lunchrooms, if employing over 150

workers (S.47)

g) Crèche, if employing more than 30 women(S. 48)

h) Welfare officer, if employing 500 or more workers (S.49)

Non-statutory provisions

Non-statutory benefits, also called voluntary benefits, include loans

for house building, education of children; leave travel concession, fair price

shops, loans for purchasing personnel conveyance and a host of other

facilities

20

FUNCTIONS AND DUTIES LABOUR WELFARE

OFFICER:

Schedule 49 of the act provides that in every factory where in 500 or

more workers are ordinarily employed, the employers shall appoint at least

one welfare officer. The officer is expected to act as an advisor, counselor,

mediator and liaisoning officer between the management and the labour.

Specifically, his/her duties include the following

1. Supervision of (i) safety, health and welfare programs like

housing, recreation, and sanitation services (ii) working of joint

committees; (iii) grant of leave with wages; and (iv) redressal of

workers.

2. Counseling workers in (i) personal and family problems; (ii)

adjustment to their work environment; and (iii) understanding their

rights and privileges.

3. Advising management in matters of (i) formulating welfare

policies; (ii) apprenticeship training programs; (iii) complying with

statutory obligations to workers; (iv) developing fringe benefits;

and (v) workers education.

4. Laisoning with workers so that they may (i) appreciate the need for

harmonious industrial relations in the plant; (ii) resolved disputes,

if any; (iii) understanding the limitations under which they operate;

and (iv) interpret company policies correctly.

5. Laisoning with the management so as to appraise the latter about

workers view points on organization matters

21

Objectives

The basic features of labor welfare measures are as follows:

Labor welfare includes various facilities, services and amenities

provided to workers for improving their health, efficiency,

economic betterment and social status.

Welfare measures are in addition to regular wages and other

economic benefits available to workers due to legal provisions

and collective bargaining

Labor welfare schemes are flexible and ever-changing. New

welfare measures are added to the existing ones from time to

time.

Welfare measures may be introduced by the employers,

government, employees or by any social or charitable agency.

The purpose of labor welfare is to bring about the development

of the whole personality of the workers to make a better

workforce.

Enabling workers to live richer and more satisfactory lives;

Contributing to the productivity of labour and efficiency of the

enterprise;

Enhancing the standard of living of workers by indirectly

reducing the burden on their work they purse;

Enabling workers to live in tune and harmony with services for

workers obtaining in the neighborhood community where

similar enterprises are situated;

22

Based on an intelligent prediction of the future needs of the

industrial workers, designing policies to cushion off and absorb

the shocks of industrialization and urbanization to workers;

Fostering administratively viable and essentially developmental

outlook among the workforce; and Discharging social

responsibilities

The important benefits of welfare measures can be summarized as follows:

They provide better physical and mental health to workers and thus

promote a healthy work environment

Facilities like housing schemes, medical benefits, and education and

recreation facilities for workers’ families help in raising their

standards of living. This makes workers to pay more attention towards

work and thus increases their productivity.

Employers get stable labor force by providing welfare facilities.

Workers take active interest in their jobs and work with a feeling of

involvement and participation.

Employee welfare measures increase the productivity of organization

and promote healthy industrial relations thereby maintaining industrial

peace.

The social evils prevalent among the labors such as substance abuse,

etc are reduced to a greater extent by the welfare policies.

THEORIES OF LABOUR WELFARE23

The form of labor welfare activities is flexible, elastic and differs from time to

time, region to region, industry to industry and country to country depending

upon the value system, level of education, social customs, and degree of

industrialization and general standard of the socio-economic development of the

nation. Seven theories constituting the conceptual frame work of labour welfare

activities are the following:-

The Police Theory: This is based on the contention that a minimum standard

of welfare is necessary for labourers. Here the assumption is that without

policing, that is, without compulsion, employers do not provide even the

minimum facilities for workers. Apparently, this theory assumes that man is

selfish and self centered and always tries to achieve his own ends, even at the

cost of the welfare of others.

According to this theory, owners and managers of industrial undertakings get

many opportunities for exploitation of labour. Hence, the state has to

intervene to provide minimum standard of welfare to the working class.

The Religious Theory: This is based on the concept that man is essentially "a

religious animal." Even today, many acts of man are related to religious

sentiments and beliefs. These religious feelings sometimes prompt an

employer to take up welfare activities in the expectation of future

emancipation either in this life or after it.

The Philanthropic Theory: This theory is based on man's love for mankind.

Philanthropy means "Loving mankind." Man is believed to have an instinctive

urge by which he strives to remove the suffering of others and promote their

24

well-being. In fact, the labour welfare movement began in the early years of

the industrial revolution with the support of philanthropists.

The Trusteeship Theory: This is also called the Paternalistic Theory of

Labour Welfare. According to this the industrialist or employer holds the total

industrial estate, properties, and profits accruing from them in a trust. In other

words, the employer should hold the industrial assets for himself, for the

benefit of his workers, and also for society. The main emphasis of this theory

is that employers should provide funds on an ongoing basis for the well-being

of their employees.

The Placating Theory: This theory is based on the fact that the labour groups

are becoming demanding and militant and are more conscious of their rights

and privileges than ever before. Their demand for higher wages and better

standards of living cannot be ignored. According to this theory, timely and

periodical acts of labour welfare can appease the workers. They are some kind

of pacifiers which come with a friendly gesture.

The Public Relation Theory: This theory provides the basis for an

atmosphere of goodwill between labour and management, and also between

management and the public, labour welfare programmes under this theory,

work as a sort of an advertisement and help an organization to project its

good image and build up and promote good and healthy public relations.

The Functional Theory: This is also called the Efficiency Theory. Here,

welfare work is used as a means to secure, preserve and develop the

efficiency and productivity of labour, It is obvious that if an employer takes

good care of his workers, they will tend to become more efficient and will

25

thereby step up production. This theory is a reflection of contemporary

support for labour welfare. It can work well if both the parties have an

identical aim in view; that is, higher production through better welfare. And

this will encourage labour's partcipation in welfare programmes.

PRINCIPLES FOR SUCCESSFUL IMPLEMENTATION OF

WELFARE ACTIVITIES

The success of welfare activities depends on the approach which has been

taken into account in providing such activities to the employees. Welfare

policy should be guided by idealistic morale and human value. Every effort

should be made to give workers/ employees some voice in the choice of

welfare activities so long as it does not amount to dictation from workers.

There are employers who consider all labour welfare activities as distasteful

legal liability. There are workers who look upon welfare activities in terms of

their inherent right. Both parties have to accept welfare as activities of mutual

concern. Constructive and lasting Progress in the matter of social justice can

be achieved only if welfare activities are accepted as essential factors in the

progress of the business organization Labour welfare is dependent on certain

basic principles. The following are the principles on which successful

implementation of welfare programmes depends :

Adequacy of Wages: Labour welfare measures cannot be a substitute for

wages. Workers have a right to adequate wages. But high wage rates alone

cannot create healthy atmosphere, nor bring about a sense of commitment on

the part of workers. A combination of social welfare, emotional welfare and

economic welfare together would achieve good results.

26

Social Liability of Industry: Industry, according to this principle, has an

obligation or duty towards its employees to look after their welfare. The

constitution of India also emphasizes this aspect of labour welfare.

Impact on Efficiency: This plays an important role in welfare services, and

is based on the relationship between welfare and efficiency, though it is

difficult to measure this relationship. Programmes for housing, education

and training, the provision of balanced diet and family planning measures

are some of the important programmes of labour welfare which increases the

efficiency of the workers, especially in underdeveloped or developing

countries.

Increase in Personality: The development of the human personality is

given here as the goal of industrial welfare which, according to this

principle, should counteract the baneful effects of the industrial system.

Therefore, it is necessary to implement labour welfare services. Both inside

and outside the factory, that is, provide intra-mural and extra-mural labour

welfare services.

Totality of Welfare: This emphasizes that the concept of labour welfare

must spread throughout the hierarchy of an organization. Employees at all

levels must accept this total concept of labour welfare programme will never

really get off the ground.

Co-ordination or Integration: This plays an important role in the success

of welfare services. From this angle, a co-ordinate approach will promote a

healthy development of the worker in his work, home and community. This

27

is essential for the sake of harmony and continuity in labour welfare

services.

Democratic Values: The co-operation of the worker is the basis of this

principle. Consultation with, and the agreement of workers in, the

formulation and implementation of labour welfare services are very

necessary for their success. This principle is based on the assumption that

the worker is "a mature and rational individual." Industrial democracy is the

driving force here. Workers also develop a sense of pride when they are

made to feel that labour welfare programmes are created by them and for

them.

Responsibility: This recognizes the fact that both employers and workers

are responsible for labour welfare. Trade unions, too, are involved in these

programmes in healthy manner, for basically labour welfare belongs to the

domain of trade union activity. Further, when responsibility is shared by

different groups, labour welfare work becomes simpler and easier.

Accountability: This may also be called the Principle of Evaluation. Here,

one responsible person gives an assessment or evaluation of existing welfare

services on a periodical basis to a higher authority. This is very necessary,

for then one can judge and analyze the success of labour welfare

programmes.

Timely: The timeliness of any service helps in its success. To identify the

labour problem and to discover what kind of help is necessary to solve it and

when to provide this help are all very necessary in planning labour welfare

28

programmes. Timely action in the proper direction is essential in any kind of

social work.

EMPLOYEE PROTECTION AND WELFARE

STATUTORY WELFARE MEASURES:

The preamble to our Indian Constitution promises justice - social, economic

and political. It also stresses Equality of status and of opportunity. Article 23

of the Constitution prohibits traffic in human beings and forced labour.

Article 24 prohibits employment of children in factories. The article 38 and

39 spelt under Directive Principles of State Policy are now enforceable as

per the dictums laid by our Supreme Court.

Constitution of India, Article 38: State to secure a social order

for the promotion of welfare of the people:

The State shall strive to promote the welfare of the people by securing and

protecting as effectively as it may a social order in which justice, social,

economic and political, shall inform all the institutions of the national

life.

The State shall, in particular, strive to minimize the inequalities in income,

and endeavor to eliminate inequalities in status, facilities and

opportunities, not only amongst individuals but also amongst groups of

people residing in different areas or engaged in different vocations.

Constitution of India, Article 39: Certain principles of policy to

be followed by the State. -

29

The State shall, in particular, direct its policy towards securing -

That the citizens, men and women equally, have the right to an

adequate means to livelihood;

That the ownership and control of the material resources of the

community are so distributed as best to sub serve the common good;

That the operation of the economic system does not result in the

concentration of wealth and means of production to the common

detriment ;

That there is equal pay for equal work for both men and women;

That the health and strength of workers, men and women, and the

tender age of children are not abused and that citizens are not forced by

economic necessity to enter avocations unsuited to their age or strength

Those children are given opportunities and facilities to develop in a

healthy manner and in conditions of freedom and dignity and that

childhood and youth are protected against exploitation and against moral

and material abandonment.

Through social security and social justice are spelt in our Constitution, they

are never put into practice thanks to our Executives who only pretend to

implement the programmes of the State. Some of the important Statutory

Welfare measures given by the government are as follows:

(i) The Factories Act of 1948

(ii) The Employees State Insurance Act 1948

(iii) The payment of Wages Act 1936

(iv) The Workmen's Compensation Act 1923

(v) The Employees' Provident Funds and Miscellaneous Provisions Act

1952.

30

(vi) The Payment of Gratuity Act, 1962

(vii) The Maternity Benefit Act, 1961

FACTORIES ACT OF 1948

Purpose of this Act: An act to consolidate and amend the law regulating

labour in factories.The Factories Act is meant to provide protection to the

workers from being exploited by the greedy business employments and

provides for the improvement of working conditions within the factory

premises. The main function of this act is to look after the welfare of the

workers, to protect the workers from exploitations and unhygienic working

conditions, to provide safety measurers and to ensure social justice.

Sections 11 to 20 of the Factories Act deal about Health.

HEALTH

Section 11: Cleanliness

Section 12: Disposal of wastes and effluents

Section 13: Providing proper ventilation and maintaining proper temperature

Section 14: Removal of Dust and fume

Section 15: Providing artificial humidification

Section 16: No Overcrowding

Section 17: Proper Lighting

Section 18: Providing pure Drinking water

Section 19: Providing Latrines and urinals

Section 20: Providing Spittoons

31

SAFETY

Section 21: Proper Fencing of machinery

Section 22: Precautions - Work on or near machinery in motion

Section 23: No Employment of young persons on dangerous machines

Section 24: Providing Striking gear and devices for cutting off power

Section 25: Precautions near Self-acting machines

Section 26: Casing of new machinery

Section 27: Prohibition of employment of women and children near cotton

openers

Section 28: Providing Hoists and lifts

Section 29: Provision for Lifting machines, chains, ropes and lifting tackles

Section 30: Protection near revolving machinery

Section 31: Protection near Pressure plant

Section 32: Provision for Floors, stairs and means of access

Section 33: Providing and precautions near Pits, sumps openings in floors,

etc.

Section 34: No Excessive weights

Section 35: Protection of eyes

Section 36: Precautions against dangerous fumes, gases, etc

Section 36A: Precautions regarding the use of portable electric light

Section 37: Explosive or inflammable dust, gas etc.

Section 38: Precautions in case of fire

Section 39: Power to require specifications of defective parts or tests of

stability

Section 40: Safety of buildings and machinery.

Section 40A: Maintenance of buildings

Section 40B: Appointment of Safety Officers

32

WELFARE

Section 42: Providing Washing facilities

Section 43: Providing Facilities for storing and drying clothing

Section 44: Providing Facilities for sitting

Section 45: First-aid appliances to be kept.

Section 46: Canteens at subsidized rates.

Section 47: Shelters, rest rooms and lunch rooms for workmen.

Section 48: Crèches for babies of working women.

Section 49: Appointment of Welfare officers.

It is the duty of the Chief Inspector of Factories to ensure enforcement of all

the above provisions of the Factories Act in respect of safety, health and

welfare of employees.

THE WORKMEN'S COMPENSATION ACT 1923

Purpose of the Act: An Act to provide for the payment of certain classes of

employers to their workmen of compensation for injury by accident. The

workmen's compensation Act 1923 is one of the earliest pieces of labour

legislation. This act encompasses all cases of accidents arising out of and in

course of employment. The rate of Compensation to be paid in a lumpsum is

determined by a schedule provided in the act proportionate to the extent of

injury and the loss of earning capacity. The younger the age of he worker

and higher the wage the greater is the compensation. The Act provides the

formula for calculating the compensation. The injured person can claim

compensation and in the case of death, the compensation is claimed by

dependents of the deceased. This law applies to the organized as well as

unorganized sectors that are not covered by the E.S.I. scheme. The following

33

definitions and the sections of law are presented for the students to take note

of them.

Administration: The act is administered by the State Governments which

appoint Commissioners for this purpose under Sec.20 of the Act.

Benefits: Under the Act, compensation is payable by the employer to

workman for all personal injuries caused to him by accident arising out of

and in the course of his employment which disable him for more than 3

days. If the workman dies, the compensation is to be paid to his dependants.

The Act distinguishes among three types of injuries: permanent total

disablement, permanent partial disablement and temporary disablement.

The amount of compensation to be paid on the death or disablement of

workman is given in Fourth Schedule of the Act and varies according to his

wages, the type of injury and age. It is an obligation upon the employer to

make the payment of compensation within one month from the date on

which it falls due.

Sources of Funds: All compensation under the act is payable by the

employer.

THE PAYMENT OF WAGES ACT:

The Payment of Wages Act was enacted as early as 1936 during the colonial

rule. The purpose of this act is to regulate payment of wages. This insists on

the payment of wages by the seventh day or the tenth day of the succeeding

month and in case of weekly payment the last day of the week.

Section 3: Responsibility for payment of wages. - Every employer shall be

responsible for the payment to person employed by him of all wages

required to be paid under this Act. Provided that, in the case of persons

employed (otherwise than by a contractor) -

34

In factories, if a person has been named as the manager of the factory

under clause of sub-section (1) of section 7 of the Factories Act, 1948 (63

of 1948)

In industrial or other establishments, if there is a person responsible to the

employer for the supervision and control of the industrial or other

establishments

upon railways (otherwise that in factories), if the employer is the railway

administration and the railway administration has nominated a person in

this behalf for the local area concerned, the person so named, the person

so responsible to the employer, or the person so nominated, as the case

may be (shall also be responsible) for such payment.

Section 4: Fixation of wage-periods:

Every person responsible for the payment of wages under section 3 shall

fix periods (in this Act referred to as wage-periods) in respect of which

such wages shall be payable.

No wage-period shall exceed one month.

Section 5: Time of payment of wages. –

The wages of every person employed upon or in

Any railway, factory or {industrial or other establishment} upon or in

which less than one thousand persons are employed, shall be paid before

the expiry of the seventh day.

Any other railway, factory or {industrial or other establishment}, shall be

paid before the expiry of the tenth day, after the last day of the wage-

period in respect of which the wages are payable:

(2) Where the employment of any person is terminated by or on behalf of

the employer, the wages,earned by him shall be paid before the expiry of the

second working day from the day on which his employment is terminated.

35

(3) The State Government may, by general or special order, exempt, to such

extent and subject to such conditions as may be specified in the order, the

person responsible for the payment of wages to persons employed upon any

railway (otherwise than in a factory) from the operation of this section in

respect of the wages of any such persons or class of such persons.

(4) Save as otherwise provided in sub-section (2), all payments of wages

shall be made on a working day.

THE EMPLOYEES’ PROVIDENT FUND ACT 1952

The purpose of this Act: An Act to provide for the institution of Provident

Funds, pension funds and deposit linked fund for employees in factories and

other establishments. Contributions of 10% of the wages are paid by the

employer and another 10% by the employees. This amount is deposited with

the government which pays an interest. This Act also now has provisions for

pension scheme.

Administration: The employees Provident Funds, Pension and Insurance

Schemes framed under the Act are administered by a tripartite Central Board

of trustee, consisting of representatives of employers and employees and

persons nominated by the Central and State Governments.

Benefits: The act has made schemes for 3 types of benefits, provident fund,

family pension and deposit linked insurance. Family pension is payable to

the widow or widower up to the date of death or re-marriage whichever is

earlier. In the absence of the widow or the widower it is payable to the eldest

surviving unmarried daughter until she attains the age of 21 years or marries

whichever is earlier. The dependents of the employee also receive an

additional amount known as the deposit linked insurance which is equivalent

to the average balance lying to the credit of the employee on his provident

36

fund during the preceding 3 years, subject to a maximum of Rs 10000

provided that such employee has kept a minimum average balance of Rs.

1000 in the provident fund.

Source of Funds: Here both the employer and the employee are required to

contribute the provident fund every month at 8.33% of the basic wages,

dearness allowance and retaining allowance. An employee can make a larger

contribution up to 10% but there is no compulsion for the employer to make

a matching contribution.

THE PAYMENT OF GRATUITY ACT, 1972

Purpose of the Act: An act to provide for scheme for the payment of

gratuity to employees engaged in factories, mines, oil fields, plantations,

ports, railway companies, shops or other establishments and matters

connected therewith or incidental thereto. Gratuity shall be payable to an

employee on

the termination of his employment after he has rendered continuous service

for not less than five years.

(a) On his superannuation

(b) On his retirement or resignation

(c) On his death or disablement

For every completed year of service or part thereof in excess of six months

the employer shall pay gratuity to an employee at the rate of 15 days’ wages

based on the rate of wages last drawn by the employee concerned.

Section 4: Payment of gratuity. –

37

(1) Gratuity shall be payable to an employee on the termination of his

employment after he has rendered continuous service for not less than five

years:

(a) On his superannuation, or

(b) On his retirement or resignation, or

(c) On his death or disablement due to accident or disease;

Provided that the completion of continuous service of five years shall not be

necessary where the termination of the employment of any employee is due

to death or disablement; provided further that in the case of death of the

employee, gratuity payable to him shall be paid to his nominee or, if no

nomination has been made, to his heirs, and where any such nominees or

heirs is a minor, the share of such minor, shall be deposited with the

controlling authority who shall invest the same for the benefit of such minor

in such bank or other financial institution, as may be prescribed, until such

minor attains majority.

(2) For every completed year of service or part thereof in excess of six

months, the employer shall pay gratuity to an employee at the rate of fifteen

days' wages based on the rate of wages last drawn by the employee

concerned; provided that in the case of a piece-rated employee, daily wages

shall be computed on the average of the total wages received by him for a

period of three months immediately preceding the termination of his

employment, and, for the purpose, the wages paid for any overtime work

shall not be taken into account; provided further that that in the case of {an

employee who is employed in a seasonal establishment and who is not so

employed throughout the year} the employer shall pay the gratuity at the

rate of seven days' wages for each season.

38

(3) The amount of gratuity payable to an employee shall not exceed {three

lakhs and fifty thousand} rupees.

(4) For he purpose of computing the gratuity payable to an employee who is

employed, after his disablement, on reduced wages, his wages for the period

preceding his disablement shall be taken to be the wages received by him

during that period, and his wages for the period subsequent to his

disablement shall be taken to be the wages as so reduced.

(5) Nothing in this section shall affect the right of an employee to receive

better terms of gratuity under any award or agreement or contract with the

employer.

(6) Notwithstanding anything contained in sub-section

(a) The gratuity of an employee, whose services have been terminated for

any act, willful omission or negligence causing any damage or loss to, or

destruction of, property belonging to the employer' shall be forfeited to the

extent of the damage or loss so caused.

(b) The gratuity payable to an employee {may be wholly or partially

forfeited} -

(i) If the services of such employee have been terminated for his riotous or

disorderly conduct or any other act of violence on his part, or

(ii) If the services of such employee have been terminated for any act which

constitutes an offence involving moral turpitude, provided that such offence

is committed by him in the course of his employment.

THE MATERNITY BENEFIT ACT, 1961

Purpose of the Act: An Act to regulate the employment of women in

certain establishments for certain period before and after child-birth and to

provide for maternity benefit and certain other benefits.

39

Section 4: Employment of or work by, women, prohibited during certain

periods

(1) No employer shall knowingly employ a woman in any establishment

during the six weeks immediately following the day of her delivery,

(miscarriage or medical termination of pregnancy).

(2) No women shall work in any establishment during the six weeks

immediately following the day of her delivery (miscarriage or medical

termination of pregnancy).

(3) Without prejudice to the provisions of section 6, no pregnant women

hall, on a request being made by her in his behalf, is required by her

employer to do during the period specified in subsection

(4) Any work which is of an arduous nature or which involves long hours of

standing, or which in any way is likely to interfere with her pregnancy or the

normal development of the foetus, or is likely to cause her miscarriage or

otherwise to adversely after her health.

(4) The period referred to in sub-section (3) shall be -

(a) The period of one month immediately proceeding the period of six

weeks, before the date of her expected delivery;

(b) Any period during the said period of six weeks for which the pregnant

woman does not avail of leave of absence under section 6.

Section 5: Right to payment of maternity benefits:

(1) Subject to the provisions of this Act, every woman shall be entitled to,

and her employer shall be liable for, the payment of maternity benefit at the

rate of the average daily wage for the period of her actual absence, that is to

say, the period immediately preceding the day of her delivery, the actual day

of her delivery and any period immediately following that day.

40

(2) No woman shall be entitled to maternity benefit unless she has actually

worked in an establishment of the employer from whom she claims

maternity benefit, for a period of not less than {eighty days} in the twelve

months immediately preceding the date of her expected delivery. Provided

that the qualifying period of {eighty days} aforesaid shall not apply to a

woman who has immigrated into the State of Assam and was pregnant at the

time of the immigration.

(3) The maximum period for which any woman shall be entitled to maternity

benefit shall be twelve weeks of which not more than six weeks shall

precede the date of her expected delivery. Provided that where a woman dies

during this period, the maternity benefit shall be payable only for the days

up to and including the day of her death ; Provided further that where a

woman, having been delivered of a child, dies during her delivery or during

the period immediately following the date of her delivery for which she is

entitled for the maternity benefit, leaving behind in either case the child, the

employer shall be liable for the maternity benefit for that entire period but if

the child also dies during the said period, then, for the days up to and

including the date of the death of the child.

EMPLOYEES STATE INSURANCE ACT 1948

Purpose of the Act: This Act covers all workers whose wages do not

exceed Rs 1600 per month and who are working in factories, other than

seasonal factories, run with power and employing 20 or more workers. The

coverage can be extended by the State Government with the approval of the

Central Government.

41

Administration: The Act is administered by the E.S.I Corporation, an

autonomous body consisting of representatives of the Central and State

Governments, employers, employees, medical profession and Parliament.

Benefits: The Act, which provides for a system of compulsory insurance, is

a landmark in the history of social security legislation in India. An insured

person is entitled to receive the following types of benefits:

Medical Benefit

Sickness Benefit

Maternity Benefit

Disablement benefit

Dependant’s Benefit

Funeral benefit

Sources of Funds: the Act provides for the setting up of the Employees

State Insurance fund from the contributors received from employers and

employees and various grants, donations and gifts received from Central or

State Governments, local authorities and individuals. The rate of employer’s

contribution is 5% of the wage bill and that of the employee’s contribution is

2.25%.

42

VOLUNTARY WELFARE MEASURES:

These are some of the voluntary welfare measures given by the employer to

the employees.

They are as follows:

Housing facilities

Transportation facilities

Medical facilities

Cultural facilities

Recreation facilities

Consumers co-operative society

Loans and various advances

Leave travel concession

Workers education

Schools for the employee’s children

Gifts to the employees holiday games

Labour welfare fund

Vehicle stand for parking

Libraries

Gym and health club

Cafeterias

43

CHAPTER 2RESEARCH DESIGN

INTRODUCTIONWelfare of the employee is the welfare of the industry. They rise or sink

together; the country’s progress is bound up with the progress of industry

and of employee. A worker’s wellbeing inside as well as outside the factory

is mainly out of employer’s concern, because it has a direct bearing on the

efficiency of his work and job satisfaction. It is the right of the worker as a

human being to get the minimum amenities, which in turn contributes to a

very large extent towards production efficiency.

Employee Welfare is a comprehensive term including various services,

benefits and facilities offered to employees by the employer. Welfare

measures may also be provided by the government, trade unions and non-

government agencies in addition to the employer. The welfare amenities are

extended in addition to normal wages and other economic rewards available

to employees as per the legal provisions. The basic purpose of employee

welfare is to enrich the life of employees and keep them happy and

contented. A study of employee welfare would benefit an organisation to

improve its productivity.

They are also the best kind of investment for employees as they promote

industrial efficiency and provide the workers facilities and amenities, which

enable the workers employed to perform their work in healthy and congenial

climate.

44

STATEMENT OF THE PROBLEM

The liberalization, privatization and globalization of Indian economy in the

last few years have presented unprecedented challenges to the decision

makers in government, industry and service sectors to compete in the global

market with competitive edge necessitates the industry to improve its

productivity and quality of products.

This objective cannot be achieved unless and until the workers are highly

satisfied with the working environment and welfare facilities, which have an

important impact in industrial relations.

BHEL is very eager to find out whether the present welfare facilities given

to the employee is satisfactory and is it affecting their performance in the

organization.

The study will help them to find out if they are fulfilling the needs of

employees and if they are following the legal provisions.

Hence, this project is undertaken to know the present welfare facilities at

BHEL and an assessment on their performance with reference to the welfare

measures adopted and to suggest suitable measures to further enhance them.

Unfortunately workers needs are high but employer’s will and capabilities

are low. There should be a balance between the two.

In this aspect, not only the statutory provision should be compiled with but

the employers must also strive to provide certain voluntary and mutual

welfare measures to ensure employee satisfaction. Therefore a study of the

statutory, non-statutory and mutual measures provided by the organization

and the satisfaction level of employees towards these welfare measures and

its impact on job satisfaction, but also to draw suggestions and conclusions

which would enable the organization to make improvements in its welfare

measure if necessary

45

OBJECTIVES OF THE STUDY

In this study an attempt has been made to examine the welfare measures

offered by BHEL to its employees and its impact on job satisfaction. The

specific objectives of the study are:

1. To assess the welfare measures adopted by BHEL

2. To analyze the effect of welfare on employee performance

3. To assess the employee satisfaction with regard to welfare facilities

4. To make suitable suggestions and recommendations with a view to

improve the existing welfare measures.

SCOPE OF THE STUDY

The scope of the study is to understand the present welfare measures

adopted in the organization and how BHEL can enhance the performance of

employees by adopting better welfare measures. The study is extended only

to the respondents working in the BHEL, Ramachandrapuram, and

Hyderabad. It does not cover all the employees working in BHEL. The study

covers only some of the levels in the organization. The welfare measures

studied includes both statutory, non-statutory measures and mutual welfare

measures. This study also helps the organization to make necessary changes

in their welfare programs

46

CHAPTER 3Company Profile

THE COMPANY PROFILE

Established in the mid fifties, Bharat Heavy Electricals Limited-BHEL has

today emerged as the largest engineering and manufacturing enterprise of its

kind in India and ranks amongst the top ten power generation equipment

manufacturers in the world.

BHEL has diversified its product base over the years and today caters to the

needs of almost all the key sectors of the economy. In addition to the power

generation equipment , BHEL products cater to a wide spectrum of

customers encompassing various fields of operation, like Fertilizers &

Petrochemicals,Refineries,Oil Exploration and production, steel and metals,

cement ,sugar and paper plants, transportation and non-conventional energy

sources etc.

With a massive network of 14 manufacturing Units located at various

important centers all over India, BHEL manufactures almost all critical high

technology products required for power sector like Gas Turbines, Steam

Turbines, Turbogenerators, Boilers, Pumps and Heat exchangers, Pulverisers

and electrical switch gears.

47

With strategic alliances and technological collaborations with world leaders

for its products, BHEL's technological strength is today on par with the best

in the world

BHEL -Hyderabad (Ramachandrapuram) Unit:

As a member of the prestigious 'BHEL family', BHEL-Hyderabad has

earned a reputation as one of its most important manufacturing units,

contributing its lion's share in BHEL Corporation's overall business

operations.

The Hyderabad unit was set up in 1963 and started its operations with

manufacture of Turbo-generator sets and auxiliaries for 60 and 110 MW

thermal utility sets.

Over the years it has increased its capacity range and diversified its

operations to many other areas. To day, a wide range of products are

manufactured in this unit, catering to the needs of variety of industries like

Fertilizers & Chemicals, Petrochemicals & Refineries , Paper, sugar, steel ,

etc.

Major products of our unit’s manufacture include the following.

Gas turbines

Steam turbines

Compressors

Turbo generators

48

http://bhelhyderabad.com/gasturbinesproduct.html

http://bhelhyderabad.com/turbogenaratorsproduct.html

http://66.39.99.160/bhel/product_services/product.php?categoryid=88&link=Industry%3ECompressors

http://bhelhyderabad.com/steamturbinesproduct.html

Heat Exchangers

Pumps

Pulverisers

Switch Gears

Gear Boxes & Oil Rigs

What it Manufactures?

BHEL manufactures over 180 products under 30 major product groups and

caters to design, engineering, manufacture, erection and commissioning of

boilers, core sectors of the Indian Economy viz., Power Generation &

Transmission, Industry, Transportation, Telecommunication, Renewable

Energy, etc.

The wide network of BHEL's 14 manufacturing divisions, four Power Sector

regional centers, over 100 project sites, eight service centers and 18 regional

offices, enables the Company to promptly serve its customers and provide

them with suitable products, systems and services -- efficiently and at

competitive prices.

The high level of quality & reliability of its products is due to the emphasis

on design, engineering and manufacturing to international standards by

acquiring and adapting some of the best technologies from leading

companies in the world, together with technologies developed in its own

R&D centers.

49

http://bhelhyderabad.com/oilrigproduct.html

http://66.39.99.160/bhel/product_services/product.php?categoryid=123&link=Transmission%3ESwitchgears

http://bhelhyderabad.com/pulverisersproduct.html

http://bhelhyderabad.com/pumpsyello.html

http://bhelhyderabad.com/heatexchangersproduct.htm

As an engineering conglomerate, BHEL offers over a wide spectrum of

products and services for core sectors including power generation,

transmission and distribution; transportation; and oil and gas as well as the

supply of non- conventional energy systems.

BHEL provides customers worldwide with complete Custom- designed

Boiler Island Solutions for power and process steam generation covering

boiler house auxiliaries and all associated systems and sub-system

VISION

A World-class Engineering Enterprise Committed to enhancing

Stakeholder Value.

MISSION

To be an Indian Multinational Engineering Enterprise providing Total

Business Solutions through Quality Products, Systems and Services in the

fields of Energy, Industry, Transportation, Infrastructure and other potential

areas.

VALUES

1. Zeal to Excel and Zest for Change

2. Integrity and Fairness in all Matters

3. Respect for Dignity and Potential of Individuals

4. Strict Adherence to Commitments

5. Ensure Speed of Response

50

6. Foster Learning, Creativity and Team-work

7. Loyalty and Pride in the Company

INDUSTRY PROFILE OF BHEL

Power

B.H.E.L. manufacture a wide range of product and systems for thermal,

nuclear, gas and hydro based power paints to meet customer requirement for

power generation, transmission, and utilization. B.H.E.L built power

generation sets aiready account for nearly two, third of the overall installed

capacity in India.

Transportation

BHEL manufactures a vast range of transmission equipment such as

transformers, rectors, switcher and control and relay panel, insulators,

capacitors and instruments transformer sets.

Most of the trains operated by Indian Railways, including the metro in

Calcutta, are equipped with BHEL’s traction electrics and traction control

equipment.

The Company supplies electric locomotives to Indian Railways and diesel

shunting locomotives to various industries. 5000/4600 hp AC/DC

locomotives developed and manufactured by BHEL have been supplied to

51

Indian Railways. Battery-powered road vehicles are also manufactured by

the Company. BHEL also supplies traction electrics and traction control

equipment for electric locos, diesel-electric locos, and EMUs/DEMUs to the

Railways

Industries

BHEL is a major contributor of equipment & systems to industries; cement,

sugar, fertilizers, refineries, petrochemicals, steel, paper, etc. The range of

systems & equipment supplied includes : captive power plants, DG power

plants, high-speed industrial drive turbines, industrial boilers and auxiliaries,

waste heat recovery boilers, gas turbines, heat exchangers and pressure

vessels, centrifugal compressors, electrical machines, pumps, valves,

seamless steel tubes and process controls. The Company is a major producer

of large-size thirstier devices.

It also supplies digital distributed control systems for process industries, and

control & instrumentation systems for power plant and industrial

applications.

BHEL is the only company in India with the capability to make simulators

for power plants, defense and other applications.

The Company has commenced manufacture of large desalination plants to

help augment the supply of drinking water to people

52

Transmission

BHEL also supplies a wide range of transmission products and systems of

up to 400 kV class. These include high-voltage power & instrument

transformers, dry-type transformers, shunt & series reactors, 33 kV gas-

insulated sub-station, insulators. For economic transmission of bulk power

over long distances, High Voltage Direct Current (HVDC) systems are

supplied. Series and shunt compensation systems, to minimize transmission

losses, have also been supplied. Thermal sets with super critical parameters

up to 1000 MW unit rating and gas turbine-generator sets of up to 250 MW

units rating. Cogeneration & combined-cycles plants have been introduced

to achieve higher plant efficiencies. To make efficient use of the high-ash-

content coal available in India,

BHEL supplies circulating fluidized bed combustion boilers to both thermal

and combined-cycle power plants.

The Company manufactures 235/250 MW nuclear turbine generator sets,

and has commenced production of 500 MW nuclear turbine generator sets.

In all, Orders for more than 700 utility sets of thermal, hydro, gas and

nuclear have been placed on the Company as on date. The power plant

equipment manufactured by BHEL is based on contemporary technology

comparable to the best in the world, and is also internationally competitive.

The Company has proven expertise in Plant performance Improvement

through renovation, modernization and updating of a variety of power plant

equipment, besides specialized know-how of residual life assessment, health

diagnostics and life extension of plants.

53

Oil and gas

BHEL is making significance contribution towards development oil &gas

industries in the country in the both for one shore.

REVIEW OF LITREATURE

I. Using employee volunteering programs to develop leadership skills

Author(s): Christine Bell

Journal: Development and Learning in Organizations

The purpose of the paper was to examine the use of employee volunteering

programs to develop leadership skills.

During the study it was found that employee volunteering programs provide

a potentially rich source of learning for team leaders and other volunteers.

Such a strategy can encourage employees to recognize learning opportunities

for their own leadership skills.

II. Moving towards a “learning-based organization”


The purpose of the paper was to explore employee perceptions of the

development of a learning culture in a medium-sized manufacturing

company aspiring to become a learning organization.

The company was using learning to develop its competitive edge, and

employees were at various stages of understanding and accepting the need

for learning and competence development on the job to sustain and develop

54

the company. During the study a tension was detected between the

company's objectives and the aspirations of some employees, but the

majority appeared to accept the overt learning policy as good for them and

the company. This study contributes towards a better understanding of the

perceptions of employees in the development of a learning organization,

rather than from the organizational or management perspectives that tend to

dominate the literature.

III. The impact of downsizing on employees' affective commitment

Author(s): Jaewon Lee, J. Martin Corbett

Journal: Journal of Managerial Psychology

To examine the mechanisms through which downsizing affects employees'

affective commitment to the organization

The results show that the more severe the extent of downsizing,

the lower employees' affective commitment to the organization. Moreover,

downsizing has an impact on employees' affective commitment to the

organization through several of the daily work experiences of employees.

Thus, downsizing affects employees' affective commitment to the

organization both directly and indirectly. However, its indirect impact is

much stronger.

Sympathetic management of downsizing can minimize the negative impact

on the affective commitment of surviving employees.

IV. How employers can ease pain of job losses


The purpose of this paper is to examine how employers can ease the job loss

situation for employees.

55

The paper finds that job counseling and training programs

may influence different levels in the labor market. At the macro level, such

programs can be vehicles shifting human resources to where they are needed

in the labor market. On the organizational level, they can enhance human

resource utilization, decrease perception of psychological contract breach,

and minimize internal strains and organizational conflict. On the individual

level, they appear to be an efficient way for dealing with the dismissed or

remaining workers and helping them in their quest for a new job or

retraining. Consequently, many of the psychological, familial, and social

disturbances brought on by the dismissals, or the organizational crisis, may

be avoided.

Methodology

a) Database:

This study is based on both primary and secondary data. A structured

interview schedule would be used to collect the primary data from the

employees of BHEL. The secondary data for the study would be collected

from annual reports and records of BHEL including published material on

the topic.

b) Sample design:

Stratified random sampling procedure would be followed to select the

respondents. A required data would be collected through a schedule. The

sample size is 50 and the schedules had been given to the employees in

BHEL ramachandrapuram branch.

c) Data Analysis:

Appropriate but simple analytical methods like cross tabulation, pie-charts,

bar charts, chi-square tests, etc would be employed to analyze and interpret

the data collected.

56

Limitations

The limitations in this study are:

1. The research cannot be generalized because findings are relevant to

BHEL.

2. Details regarding monetary remuneration by the respondents may not be

accurate.

3. The respondents were not very interested in filling the schedules

Expectations from the study

To study and learn more about the welfare measures and how they are

utilized in the organization

To know and understand to what level the performance is affected by the

welfare measures

To gain an insight into the legal provisions for welfare measures and how

well they have been followed by BHEL.

Data collection:

Primary data:

Collected through responses of employee related to the topic with the help of

the structured questionnaire.

Secondary data:

Collected through brochures and web site

57

Sampling:

Population-Employees of BHEL, Hyderabad

Sample size-50

Data Analysis & Inference 1) How would you rate your satisfaction level with regard to the

following welfare measures?

a) ‘Rest room facilities given to the respondent’

Satisfaction level Number of

respondents

Percentage

Highly Satisfactory 2 4%

Satisfactory 16 32%

Not aware 0 0

Not satisfactory 27 54%

Highly not satisfactory 5 10%

Total 50 100

Source —Primary data

Analysis: The table shows that 54% of the respondents are not satisfied with the rest room facility given to them. And only 4% is highly satisfied with the rest room facility.

58

HS-highly satisfied S- satisfied NA- not aware NS-not satisfied HNS- highly not satisfied

Inference:

The analysis shows that the respondents are not at all satisfied with the rest room facility provided to them. As rest room is one of the main and important facilities in an organization.

59

b) ‘Opinion about the drinking water facility’


respondents

Percentage


Satisfactory 48 96%

Not aware -- --

Not satisfactory -- --


Total 50 100%


Analysis:

The table shows that 96% of the respondents are very much satisfied with the drinking water facility provided to the respondents.


Inference:

Drinking water facility provided by BHEL is mostly satisfied by the respondents.

60

61

c) ‘Opinion about Medical and first aid facilities provided to the respondents’


respondents

Percentage

Highly Satisfactory -- --

Satisfactory 46 92%

Not aware -- --


Highly not satisfactory -- --

Total 50 100%


Analysis:

The table shows that 92% if the respondents are satisfied with the medical and first aid facilities provided by the company but there are 8 % of the respondents who are not satisfied with the medical facilities given to them.


Inference:

The analysis shows that most of the respondents are satisfied with the medical facilities provided by the company but the company

62

also has to verify why the other 8% of the respondents are not satisfied and verify them.

63

D) ‘The opinion regarding the canteen facilities provided to the respondents’


respondents

Percentage


Satisfactory 25 50%

Not aware -- --



Total 50 100%


Analysis:

The table shows that 50% of the respondents are satisfied about the canteen facility in the organization and 30% of the respondents are not satisfied with the canteen facility.


Inference:

64

As I have been a part of the organization for a month during the project I found out that the canteen in the organization provides good services and good quality food.

65

e) ‘Opinion about the crèche facility provided to the respondents’


respondents

Percentage


Satisfactory -- --

Not aware 44 88%



Total 50 100%


Analysis:

The table shows that 88% of the respondents are not aware of the crèche facility and 10% of the respondents are not satisfied with the facility.


Inference:

66

BHEL do not provide crèche facility to the respondents and if they provide it would be of great help to the female employees in the organization.

f) ‘Opinion about the occupational safety provided to the respondent’


respondents

Percentage


Satisfactory 46 92%

Not aware -- --



Total 50 100%


Analysis: The table shows that 92% of the respondents are satisfied with the occupational safety provided by BHEL. Only 4 respondents are not satisfied with the occupational safety.

67


Inference:In the analysis it is shown that most of the employees except a few are satisfied with the occupational safety. So it means most of the employees are very secure about their job and very comfortable with that.

2) How would you rate your satisfaction level with regard to the following welfare measures?

a) ‘Opinion about earned leave given to respondents’


respondents

Percentage


Satisfactory 39 78%

Not aware -- --



Total 50 100%


68

Analysis:The table shows that 78% of the respondents are satisfied with the earned leave provided to them and 22% of the respondents are highly satisfied with the earned leave.


Inference:

There are no respondent who is not satisfied with the earned leave. Every employee is very much satisfied with the earned leave provided to them.

69

b) ‘Opinion about Sick leave given to the respondents’


respondents

Percentage


Satisfactory 44 88%

Not aware -- --



Total 50 100%


Analysis:

The table shows that 88% of the respondents are satisfied with the sick leave provided by the company. And none of the respondents are not satisfied with the facility. It shows that most of the respondents are satisfied with the sick leave.


Inference:

70

Most of the respondents are satisfied with the sick leave, so it shows that BHEL is very liberal in giving the sick leaves and they just have to inform the company with the leave notice.

71

c) ‘Opinion about the paternity leave provided to the male respondents’


respondents

Percentage


Satisfactory 13 26%

Not aware 35 70%



Total 50 100%


Analysis:

The table shows that 26% of the respondents are satisfied with the paternity leave provided by the company. And 70% of the respondents are unaware about this facility.

. HS-highly satisfied S- satisfied NA- not aware NS-not satisfied HNS- highly not satisfied

Inference:

72

The male respondents are not satisfied with the paternity leave provided to them.

d) ‘Opinion about the casual leave provided to the respondents’


respondents

Percentage


Satisfactory 44 88%

Not aware -- --



Total 50 100%


Analysis :

In the table it shows that 88%of respondent are satisfied with the casual leave provided to them and 12 % of respondent are highly satisfied with the casual leave provided to them.


73

Inference:

None of the respondents are dissatisfied with the casual leave; this is a great achievement to the organization.

74

e) ‘Opinion about the medical benefits given to the respondents’


respondents

Percentage


Satisfactory 38 76%

Not aware -- --



Total 50 100%


Analysis: In the table 76% of the respondents are satisfied with the medical benefits provided to them. And 6% of the respondents are not satisfied with the medical benefits given to them.


Inference: As medical benefits are very important to any employee in the organization, the employer has to give any medical benefits, which is

75

required to be given to them. The company has to just verify the dissatisfied employees with the medical benefits.

76

f) ‘Opinion about leave travel allowance provided to the respondents’


respondents

Percentage


Satisfactory 28 56%

Not aware 3 6%



Total 50 100%


Analysis: In the table it is shown that 56% of the respondents are satisfied with the leave travel allowance provided to them, but 36% of the respondents are not satisfied with the allowance provided to them and 6% of the respondents are not aware of this allowance.


Inference:

77

The analysis shows that most of the respondents are really satisfied with the allowance and this is a very good allowance and it motivates the employees to go out of station and take a break from the work pressure and can work better in the future.

78

g) ‘The opinion regarding the facilities provided to the physically handicapped respondent’


respondents

Percentage


Satisfactory 1 2%

Not aware 49 98%



Total 50 100%


Analysis: In the table it is shown that 98% of the respondents are not aware of the facilities provided to physically handicapped, only 2% of the respondents are satisfied with the facilities given to them.

Inference:

As there is only one person who has agreed that they are satisfied, may be they are physically handicapped and they are satisfied with the facilities provided to them.

There are no charts shown for this data as it is understood from the above table.

h) ‘Opinion about the personal accident scheme’


respondents

Percentage


Satisfactory 37 74%

Not aware 1 2%

79



Total 50 100%


80

Analysis: In the table it is shown that 74% of the respondents are satisfied with the accident scheme given to them and 10% of the respondents are not satisfied with the scheme provided to them.


Inference:

As the analysis shows that nearly 88% of the respondents are very much satisfied with the personal accident scheme, which is really good to the organization as it helps the employees during their bad times.

3) How would you rate your satisfaction level with regard to the following extra-mural facilities provided by BHEL?

a) ‘opinion regarding the social insurance’


respondents

Percentage


Satisfactory 38 76%

Not aware -- --



81

Total 50 100%


82

Analysis: In the table, it shows that 76% of the respondents are satisfied with the social insurance provided to the employees and 10% of the respondents are not satisfied with the social insurance given to them.


Inference:

The analysis shows that more than 80% of the workers are satisfied with the social insurance provided to them.

b) ‘Opinion regarding the recreation facilities’


respondents

Percentage


Satisfactory 34 64%

Not aware 9 18%



Total 50 100%


83

84

Analysis:

In the table, it shows that 68% of the respondents are satisfied with the recreation facility provided to the employees and 12% of the respondents are not satisfied with the recreation facility given to them.


Inference:

The analysis shows that more than 80% of the workers are satisfied with the recreation facility provided to them.

4) How would you rate your satisfaction level with regard to the following non-statutory welfare measures provided by BHEL?

a) ‘Opinion regarding the education facilities provided to the respondents’


respondents

Percentage


Satisfactory 40 80%

Not aware -- --


85


Total 50 100%


86

Analysis In the table it shows 80% of the respondents are satisfied with the education facilities to the respondent’s children.


Inference: From the analysis it shows that most of the employees are satisfied with the education facilities provided to the respondents. It will be of great help for the respondents but the company will give only the standard allowance for education facilities that is the reason 12% of the employees are not satisfied.

b) ) ‘Opinion regarding the vehicle benifts provided to the respondents’


respondents

Percentage


Satisfactory 35 70%

Not aware -- --



Total 50 100%


Analysis

87

In the table it shows 70% of the respondents are satisfied with the vehicle benefits provided by the organization.


Inference: From the analysis it shows that most of the employees are satisfied with the vehicle benefits provided to the respondents

c) ) ‘Opinion regarding the house building advance provided to the respondents’


respondents

Percentage


Satisfactory 38 76%

Not aware -- --



Total 50 100%


Analysis

88

In the table it shows 76% of the respondents are satisfied with the house building allowance provided by the organization.


Inference:

From the analysis it shows that most of the employees are satisfied with the house building advance provided to the respondents.

5) How would you rate the overall employee welfare measures and benefits provided by the company?


respondents

Percentage


Satisfactory 48 96%

Not aware -- --



Total 50 100%


89

Analysis:

In the table it is shown that 96% of the respondents are satisfied with the over all employee welfare in the company.


Inference:

Out of 50 respondents only 2 respondents are not completely satisfied with welfare measures provided to them.

6) How would you rate the relationship with the supervisor and to the other workers?


respondents

Percentage


Satisfactory 30 60%

Not aware -- --



Total 50 100%

90


Analysis:

The table shows that 60% of the respondents are satisfied with the relationship between their employees and supervisors, and 40% of the respondents are highly satisfied.


Inference:

This analysis shows that all the employees in the organization are satisfied with their employees as well as their supervisors.

91

FINDINGS, CONCLUSIONS AND RECOMMENDATION

The study was conducted at BHEL to make the analysis of the statutory and

non-statutory employee welfare measures provided by the company. A

schedule was administered to the respondents comprising of 50 employees

of the company. The data collected was tabulated and analyzed. On

evaluation of the primary data collected from the respondents the following

findings, conclusion and recommendation are recorded.

FINDINGS

BHEL has a vast infrastructure to support all needs.

BHEL is one of the dynamic manufacturing industries.

Most of the employees are rewarded or promoted only according to

their performance and very few are promoted through seniority based

rewards.

Nearly 50% of the respondents are not at all satisfied with the rest

room facilities provided to them. The company has to provide a better

rest room facility.

Most of the respondents are satisfied with the drinking water facility

provided by the company.

92

The medical and first aid facility provided should also be improved in

a great extent.

The respondents are very well satisfied with the casual leave, sick

leave and earned leave provided by the organization.

Majority of the respondents are satisfied with working environment

health, security, safety, welfare measures and leave and holidays

facilities.

Workers are satisfied with the vehicle benefits and it should be

improved a little.

Most of the respondents are satisfied with the leave travel allowance

but there are some employees who are not satisfied.

Most of the respondents are satisfied with the personal accident

scheme provided to them.

Most of the employees are satisfied with the over all employee

welfare provided to them. Though they are not satisfied with some of

the facilities provided to them but mainly they are looking for job

security which they are provided

All the employees are satisfied with the relationship between the

employees and their supervisors

93

CONCLUSION

Employee welfare refers to taking care of the well-

being of the workers by employers, trade unions and by the

governmental and non-governmental agencies. Recognizing

the unique place of the worker in the society and doing good

for him/her retaining and motivating employees, minimizing

social evils, and building up the local reputation of the

company are the arguments in favor of employee welfare.

The project was basically done to find out the present

satisfaction level of the employees regarding the welfare

measures provided to them, with this also to make the

company aware about the employee’s dissatisfaction with

certain welfare measures and give them appropriate

suggestions to it.

The feedback on the subject matter when evaluated

threw light on the level of satisfaction of the company is

more then average and maintained according to the

industrial specifications.

Doing my project with BHEL has been a great

experience as I got to learn the new welfare measures which

are in the corporate field and also the way the government

firm works

94

Finally I would like to conclude hoping BHEL to excel

in the years to come and to reach greater heights and to

have an entrenched presence in the global market.

95

RECOMMENDATION

Management should reduce the work load of the employees. .

It will be more effective if the management take the steps to introduce

suggestion scheme system for the employees.

The training and instructions provided to the employees on

occupational health and safety aspects should be enhanced.

The quality of education should be improved and better educational

amenities are to be provided.

To enhance the provision for the rest rooms and lunch rooms with

clean ambience.

Some employees are not satisfied with the promotion policy. They

complained against the diplomatic behavior of their seniors. Thus they

suggest that promotions should be given only in genuine and fair

cases and not on the basis of references of the respective heads or on

the basis of liking towards any specific employee.

Plant safety inspection is essentially needed for the safety of

employees.

96

BIBLIOGRAPHY

1. Human resource and Personnel Management By K. Aswathappa

Published by Tata McGraw-Hill Publishing Company limited (2005)

2. Human Resource Management By V S P Rao

Published by Excel Books (2000)

3. Personnel Management & Industrial Relations By Prof. P. C Tripathi

Published by Sultan Chand & Sons (1991)

Websites:

I. www.bhel.com

II. www.hrm.com

III. www.google.com

IV. www.citehr.com

97

http://www.citehr.com/

http://www.google.com/

http://www.hrm.com/

http://www.bhel.com/

ANNEXURE

Analysis of Employee Welfare in BHEL

Dear sir/madam I harika.viswanatham, pursuing my MBA in Padmasri. Dr.B.V.Raju Institute of Technology. I am conducting a study on the analysis of employee welfare at BHEL.

Can u please spare few min to answer the following questions?


a. Highly Satisfied [HS] b. Satisfied [S] c. Not Aware [NA]d. Not Satisfied [NS] e. Highly Not Satisfied [HNS]

HS S NA NS HNS

Rest rooms [ ] [ ] [ ] [ ] [ ]

Drinking water facility [ ] [ ] [ ] [ ] [ ]

Opinion regarding Medical and First aid facilities [ ] [ ] [ ]

[ ] [ ] Opinion regarding food and other

services provided by canteen [ ] [ ] [ ] [ ] [ ]

Crèche [ ] [ ] [ ] [ ] [ ]

Occupational Safety [ ] [ ] [ ] [ ] [ ]


98

a. Highly Satisfied [HS] b. Satisfied [S] c. Not Aware [NA]d. Not Satisfied [NS] e. Highly Not Satisfied [HNS]

HS S NA NS HNS Earned leave [ ] [ ] [ ] [ ] [ ] Sick leave [ ] [ ] [ ] [ ] [ ] Paternity leave [ ] [ ] [ ] [ ] [ ] Casual leave [ ] [ ] [ ] [ ] [ ] Medical benefits [ ] [ ] [ ] [ ] [ ] Leave travel allowance [ ] [ ] [ ] [ ] [ ] Physically handicapped [ ] [ ] [ ] [ ] [ ] Personal accident scheme [ ] [ ] [ ] [ ] [ ]

3) How would you rate your satisfaction level with regard to the following extra-mural facilities provided by BHEL?

a. Highly Satisfied [HS] b. Satisfied [S] c. Not Aware [NA]

d. Not Satisfied [NS] e. Highly Not Satisfied [HNS] HS S NA NS HNS Social Insurance(Gratuity, Pension, PF etc) [ ] [ ] [ ] [ ] [ ] Recreation facilities [ ] [ ] [ ] [ ] [ ]

4) How would you rate your satisfaction level with regard to the following non-statutory welfare measures provided by BHEL?

99

a. Highly Satisfied [HS] b. Satisfied [S] c. Not Aware [NA]

d. Not Satisfied [NS] e. Highly Not Satisfied [HNS]

HS S NA NS HNS

Vehicle benefits [ ] [ ] [ ] [ ] [ ] House building advance [ ] [ ] [ ] [ ] [ ] Education allowance [ ] [ ] [ ] [ ] [ ]

5) How would you rate the overall employee welfare measures and benefits provided by the company?I. Highly Satisfactory [ ] II. Satisfactory [ ] III Not Aware [ ] IV. Not Satisfactory [ ] V. Highly Not Satisfactory [ ]

6) How would you rate the relationship with the supervisor and to the other workers?

I. Highly Satisfied [ ] II. Satisfied [ ] III. Not Aware [ ] IV. Not Satisfied [ ] V. Highly Not Satisfied [ ]

100

Date post:	14-Dec-2014
Category:	Documents
Upload:	harikaviswanatham
View:	30 times
Download:	1 times

employee welfare

Documents