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Introduction of Industrial Relation

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CONTENTS CHAPTER – 1 Introduction of IR Definition Objectives of IR Components of IR Aspects of IR Features of IR Factors influencing IR Methodology Importance of the study CHAPTER – 2 Company profile of SAIL Major units of SAIL SAIL Today Rourkela Steel Plant Stages of development of RSP Special features of RSP Major units of RSP Product mix of RSP Products and its applications Organization chart of RSP CHAPTER – 3 Industrial Relation in RSP Workers participation in Management Grievance Machinery Dayananda Sagar Business Academy
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Page 1: Introduction of Industrial Relation

CONTENTS

CHAPTER – 1

Introduction of IRDefinition Objectives of IRComponents of IRAspects of IR Features of IRFactors influencing IRMethodology Importance of the study

CHAPTER – 2

Company profile of SAIL Major units of SAIL SAIL Today Rourkela Steel Plant Stages of development of RSP Special features of RSP Major units of RSP Product mix of RSP Products and its applications Organization chart of RSP

CHAPTER – 3

Industrial Relation in RSP Workers participation in Management Grievance Machinery Settlement Machineries

Conciliation Arbitration Adjudication

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Joint Committees in RSP Central Safety Committee Central Consultative Canteen Managing Committee

Works Standing Order Suggestion Scheme Awards for Long Term Services Trade Unions Industrial DisciplineNew Trends of Industrial RelationMass contact exercise Employee relation and employee services at SAIL, RSPManpower summary of RSP

CHAPTER – 4

Questionnaires for Workers and Management Data Analysis and Interpretation

CHAPTER – 5

Effects of poor Industrial Relation Problems of Industrial Relation A view from Workers and Management Suggestions

CHAPTER – 6

Conclusion Bibliography

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INTRODUCTION OF INDUSTRIAL RELATION

The relationship between Employer and employee or trade unions is called Industrial

Relation. Harmonious relationship is necessary for both employers and employees to

safeguard the interests of the both the parties of the production. In order to maintain good

relationship with the employees, the main functions of every organization should avoid

any dispute with them or settle it as early as possible so as to ensure industrial peace and

higher productivity. Personnel management is mainly concerned with the human relation

in industry because the main theme of personnel management is to get the work done by

the human power and it fails in its objectives if good industrial relation is maintained. In

other words good Industrial Relation means industrial peace which is necessary for better

and higher productions.

A man working in a healthy atmosphere can produce more. Within an industry there is a

hierarchy among the people. From the very beginning there is always a gap between have

and have-nots. In order to bring harmonious relation between the management, workers

and unions for the sake of industry as well as for the nation, positive relation within an

industry is expected. Therefore the term "INDUSTRIAL RELATION” came into

limelight.

Industrial Relation is a major force which influences the social, political and economic

development of a country .Managing industrial relations is a challenging task because it

deals with a highly complex, fast developing, ever changing and expanding field. There

are certain factors such as composition of working class, work environment, socio-

economic status of the workers and their attitude to work, management's ideology, role of

the state, thinking of the community etc which have a considerable bearing on the state of

relationship between labour and management. Different labour enactments and judicial

decisions playa major role in regulating the employer -employee relationship. It creates

an atmosphere in which the human system will operate harmoniously in a coordinated

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way. Keeping in view the different aspects of industrial relations, an attempt has been

made in this project to provide a multi dimensional approach to the subject.

DEFINITION :-

According to TEAD and METCALFE:-

"Industrial Relation are the composite result of the attitudes approaches of employers and

employees towards each other with regard to planning, supervision, direction and

coordination of the activities of an organization with a minimum of human efforts and

frictions with an animating spirit of cooperation and with proper regard for the genuine

well being of all members of the organization.

According to DALE YODER:-

"Industrial Relation is a whole field of relationship that exists because of the necessary

collaboration of employees in the employment process of an industry ."

According to ALLAN FLANDER:-

"The subject of industrial relations deals with certain regulated or institutionalized

relationships in industry ."

According to Professor CLEGG:-

"Industrial Relations are the rules governing employment together with the ways in

which the rules are made and changed and their interpretation and administration."

From the above definitions we find Industrial Relations as:-

i) The term stood for manpower of the enterprise i.e. the employee – employer

relationship in an industry .

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ii) Later on the relations get created at different levels of the organization by the

diverse, complex composite needs, aspirations, attitudes and approaches among

the participants.

iii) The parties actively associated with any industrial relation are the workers, the

management, the organizations of workers and managements, and the State.

iv) It denotes all types of inter - group and intra -group relations within industry, both

formal as well as informal.

OBJECTIVES OF INDUSTRIAL RELATION :-

Apart from the primary objective of bringing about sound and healthy relations between

employers and employees, Industrial Relation aims at:-

A. To safeguard the interest of labor and management by securing the highest level

of mutual understanding and good-will among all those sections in the industry

which participate in the process of production.

B. To avoid industrial conflict or strife and develop harmonious relations, which are

an essential factor in the productivity of workers and the industrial progress of a

country.

C. To raise productivity to a higher level in an era of full employment by lessening

the tendency to high turnover and frequency absenteeism.

D. To establish and nurse the growth of an Industrial Democracy based on labor

partnership in the sharing of profits and of managerial decisions, so that ban

individuals personality may grow its full stature for the benefit of the industry and

of the country as well.

E. To eliminate, as far as is possible and practicable, strikes, lockouts and gheraos by

providing reasonable wages, improved living and working conditions, said fringe

benefits.

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F. To establish government control of such plants and units as are running at a loss

or in which productions has to be regulated in the public interest.

G. Improvements in the economic conditions of workers in the existing state of

industrial managements and political government.

H. Control exercised by the state over industrial undertaking with a view to

regulating production and promoting harmonious industrial relations.

I. Socializations or rationalization of industries by making he state itself a major

employer

J. Vesting of a proprietary interest of the workers in the industries in which they are

employed.

COMPONENTS OF INDUSTRIAL SYSTEM:-

I) PARTICIPANTS: The participants in the industrial relations sphere are

composed of duly recognized representatives of the parties interacting in several

roles within the system. It includes -

a. Employee Relation - It includes the complex relationship among the

employees.

b. Labour Relation - It includes the relationship between management and

Trade Union.

c. Public Relation - It includes the relationship of industry with the entire

community as a whole.

2) ISSUES: The power interactions of the participants in a workplace create

industrial relation issues. These issues and the consequences of power interactions

find their expression in a web of rules governing the behaviour of the parties at a

workplace. :

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3) STRUCTURE: The structure consists of all forms of institutionalised behaviour

in a system. The structure may include collective procedures, grievance settlement

practices etc. legal enactments relevant to power interactions may also be

considered to be a part of the structure.

4) BOUNDARIES: In systems analysis, it is possible to find an issue which one

participant is totally indifferent to resolving while, at the same time, the other

participant is highly concerned about resolution of the same. These issues may

serve to delimit systems boundaries.

ASPECTS OF INDUSTRIAL RELATION

The main aspects of Industrial Relations are:-

i. Labor Relations, i.e. relations between union and management.

ii. Employer-employees relations, i.e. relations between management and

employees.

iii. Group relations, i.e. relations between various groups of workmen.

iv. Community or Public relations, i.e. relations between industry and society.

v. Promotions and development of healthy labor-managements relations.

vi. Maintenance of industrial peace and avoidance of industrial strife

vii. Development of true industrial democracy.

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FEATURES OF INDUSTRIAL RELATION

A few notable features pertaining to Industrial Relations are as under:

1. Industrial Relation do not emerge in vacuum they are born of employment

relationship in an industrial setting. Without the existence of the two parties, i.e.

labor and management, this relationship cannot exist. It is the industry, which

provides the environment for industrial relations.

2. Industrial Relation are characterized by both conflict and co-operations. This is

the basis of adverse relationship. So the focus of Industrial Relations in on the

study of the attitudes, relationships, practices and procedure developed by the

contending parties to resolve or at least minimize conflicts.

3. As the labor and management do not operate in isolations but are parts of large

system, so the study of Industrial Relation also includes vital environment issues

like technology of the workplace, country's socio-economic and political

environment, nation's labor policy, attitude of trade unions workers and

employers.

4. Industrial Relation also involve the study of conditions conductive to the labor,

managements co-operations as well as the practices and procedures required to

elicit the desired co-operation from both the parties.

5. Industrial Relations also study the laws, rules regulations agreements, awards of

courts, customs and traditions, as well as policy framework laid down by the

governments for eliciting co-operations between labor and management. Besides

this, it makes an in-depth analysis of the interference patterns of the executive and

judiciary in the regulations of labor-managements relations.

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FACTORS INFLUENCING INDUSTRIAL RELATION :

The concepts of Industrial Relations are very broad-based, drawing heavily from a

variety of discipline like social sciences, humanities, behavioral sciences, laws etc. In

fact, Industrial Relation encompasses all such factors that influence behavior of people at

work. A few such important factors are details below:

1. Institution: It includes government, employers, trade unions, unions federations

or associations, government bodies, labor courts, tribunals and other organizations

which have direct or indirect impact on the industrial relations systems.

2. Characters: It aims to study the role of workers unions and employers'

federations officials, shop stewards, industrial relations officers / manager,

mediator / conciliators / arbitrator, judges of labor court, tribunal etc.

3. Methods: Focus on collective bargaining, workers' participation in the Industrial

Relation schemes, discipline procedure, grievance re-dressal machinery, dispute

settlements machinery working of closed shops, union reorganization,

organizations of protests through methods like revisions of existing rules,

regulations, policies, procedures, hearing of labor courts, tribunals etc.

4. Contents: Includes matter pertaining to employment conditions like pay, hours of

works, leave with wages, health, and safety disciplinary actions, lay-off,

dismissals retirements etc., laws relating to such activities, regulations governing

labor welfare, social security, industrial relations, issues concerning with workers'

participation in management, collective bargaining, etc.

5. History of industrial relations: No enterprise can escape its good and bad history

of industrial relations. A good history is marked by harmonious relationship

between management and workers. A bad history by contrast is characterized by

militant strikes and lockouts. Both types of history have a tendency to perpetuate

themselves. Once militancy is established as a mode of operations there is a

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tendency for militancy to continue. Or once harmonious relationship is

established there is a tendency for harmony to continue.

6. Economic satisfaction of workers: Psychologists recognize that human needs

have a certain priority. Need number one is the basic survival need. Much of men

conducted are dominated by this need. Man works because he wants to survive.

This is all the more for underdeveloped countries where workers are still living

under subsistence conditions. Hence economic satisfaction of workers is another

important prerequisite for good industrial relations.

7. Social and Psychological satisfaction: Identifying the social and psychological

urges of workers is a very important steps in the direction of building good

industrial relations. A man does not live by bread alone. He h61s several other

needs besides his physical needs which should also be given due attention by the

employer. An organization is a joint venture involving a climate of human and

social relationships wherein each participant feels that he is fulfilling his needs

and contributing to the needs of other. This supportive climate requires economic

rewards as well as social and psychological rewards such as workers' participation

in management, job enrichment, suggestion schemes, re-dressal of grievances etc.

8. Off-the-Job Conditions: An employer employs a whole person rather than certain

separate characteristics. A person's traits are all part of one system making up a

whole man. His home life is not separable from his work life and his emotional

condition is not separate from his physical condition. Hence for good industrial

relations it is not enough that the worker's factory life alone should be taken care

of his off-the-job conditions should also be improved to make the industrial

relations better .

9. Enlightened Trade Unions: The most important condition necessary for good

industrial relations is a strong and enlightened labor movement which may help to

promote the status of labor without harming the interests of management, Unions

should talk of employee contribution and responsibility. Unions should exhort

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workers to produce more, persuade management to pay more, mobilize public

opinion on vital labor issues and help Government to enact progressive labor

laws.

10. Negotiating skills and attitudes of management and workers: Both

management and workers' representation in the area of industrial relations come

from a great variety of backgrounds in terms of training, education, experience

and attitudes. These varying backgrounds playa major role in shaping the

character of industrial relations. Generally speaking, well-trained and experienced

negotiators who are motivated by a desire for industrial peace create a bargaining

atmosphere conducive to the writing of a just and equitable collective agreement.

On the other hand, ignorant, inexperienced and ill-trained persons fail because

they do not recognize that collective bargaining is a difficult human activity

which deals as much in the emotions of people as in their economic interests. It

requires careful preparation and top -notch executive competence. It is not usually

accomplished by some easy trick or gimmick. Parties must have trust and

confidence in .each other. They must possess empathy, i.e. they should be able to

perceive a problem from the opposite angle with an open mind. They should put

themselves in the shoes of the other party and then diagnose the problem. Other

factors which help to create mutual trust are respect for the law and breadth of the

vision. Both parties should show full respect for legal and voluntary obligations

and should avoid the tendency to make a mountain of a mole hill.

11. Public policy and legislation: When Government, regulates employee relations,

it becomes a third major force determining industrial relations the first two being

the employer and the union. Human behavior is then further complicated as all

three forces interact in a single employee relation situation. Nonetheless,

government in all countries intervenes in management -union relationship by

enforcing labor laws and by insisting that the goals of whole society shall take

precedence over those of either of the parties. Government intervention helps in

three different ways 1) it helps in catching and solving problems before they

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become serious. Almost every one agrees that it is better to prevent fires them to

try stopping them after they start; 2) It provides a formalized means to the

workers and employers to give emotional release to their dissatisfaction; and 3) It

acts as a check and balance upon arbitrary and capricious management action.

12. Better education: With rising skills and education workers' expectations in

respect of rewards increase. It is a common knowledge that the industrial worker

in India is generally illiterate and is misled by outside trade union leaders who

have their own axe to grind. Better workers' education can be a solution to this

problem. This alone can provide worker with a proper sense of responsibility,

which they owe to the organization in particular, and to the community in general.

13. Nature of industry: In those industries where the costs constitute a major

proportion of the total cast, lowering down the labor costs become important

when the product is not a necessity and therefore, there is a little possibility to

pass additional costs on to consumer. Such periods, level of employment and

wages rise in decline in employment and wages. This makes workers unhappy

and destroys good industrial relations.

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METHODOLOGY:

There are various methodologies in order to complete this project. The methodology

which has been adopted in this subject works are as follows:

a) Questionnaire :

To know the opinion about the Industrial Relation system in Rourkela Steel Plant (SAIL),

questionnaires has been made for executives, unions -representative and workers

separately. This was supplied to 50 executives, union representatives and 200 workers.

b) Records :

The secondary source of getting facts related to project work has been collected from the

following: -

o Statistical statement

o Journals

o Internet

o RSP Panorama

o Personnel working within the premises of RSP

c) Observations :

The investigator observed the mental and physical involved of both the management and

worker in connection of industrial relation with various departments of the plant.

d) Interviews :

The investigator took interviews of the executives, union representatives and workers

based upon Industrial Relations of R.S.P.

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IMPORTANCE OF THE STUDY:

The importance of this study is:-

i) To find out the internal industrial relation system between the management, the

worker and union.

ii) To find out the causes which makes industrial relations positive or negative.

iii) To find out the industrial peace and harmony that is going on within the premises

of R.S.P.

iv) To find out the facilities given to the worker which motivate the workers to

sacrifice their blood and sweat for increasing the productivity.

v) To find out the ways to help in building the positive industrial relations for

workers and management for development of the interest of R.S.P. as well as the

interest of nation.

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COMPANY PROFILE

Steel Authority of India Limited (SAIL) is the leading steel-making company in India.

SAIL traces its origin to the formative years of an emerging nation, India. After

independence the builders of modern India worked with a vision -to lay the infrastructure

for rapid industrialization of the country .It is a fully integrated iron and steel maker,

producing both basic and special steels for domestic construction, engineering, power,

railway, automotive and defence industries and for sale in export markets. Ranked

amongst the top ten public sector companies in India in terms of turnover, SAIL

manufactures and sells abroad range of steel products, including hot and cold rolled

sheets and coils, galvanized sheets, electrical sheets, structural, railway products, plates,

bars and rods, stainless steel and other alloy steels. SAIL produces iron and steel at five

integrated plants and three special steel plants, located principally in the eastern and

central regions of India and situated close to domestic sources of raw materials, including

the Company's iron ore, limestone and dolomite mines. The company has the distinction

of being India's largest producer of iron ore and of having the country's second largest

mines network. This gives SAIL a competitive edge in terms of captive availability of

iron ore, limestone, and dolomite which are inputs for steel making. SAIL's wide ranges

of long and flat steel products are much in demand in the domestic as well as the

international market. This vital responsibility is carried out by SAIL's own Central

Marketing Organisation (CMO) and the International Trade Division. CMO encompasses

a wide network of 34 branch offices and 54 stockyards located in major cities and towns

throughout India.

With technical and managerial expertise and know-how in steel making gained over four

decades, SAIL's Consultancy Division (SAILCON) at New Delhi offers services and

consultancy to clients world-wide.

SAIL has a well-equipped Research and Development Centre for Iron and Steel (RDCIS)

at Ranchi which helps to produce quality steel and develop new technologies for the steel

industry .Besides, SAIL has its own in-house Centre for Engineering and Technology.

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(CET), Management Training Institute (MTI) and Safety Organisation at Ranchi. Our

captive mines are under the control of the Raw Materials Division in Kolkata. The

Environment Management Division and Growth Division of SAIL operate from their

headquarters in Kolkata. Almost all our plants and major units are ISO Certified.

MAJOR UNITS OF SAIL:

A. INTEGRA TED STEEL PLANTS

1. Bhilai Steel Plant (BSP) in Chhattisgarh

2. Durgapur Steel Plant (DSP) in West Bengal

3. Rourkela Steel Plant (RSP) in Orissa

4. Bokaro Steel Plant (BSL) in Jharkhand

5. IISCO Steel Plant (ISP) in West Bengal

B. SPECIAL STEEL PLANTS

i. Alloy Steels Plants (ASP) in West..J3engal

ii. Salem Steel Plant (SSP) in Tamil Nadu

iii. Visvesvaraya Iron and Steel Plant (VISL) in Karnataka

SAIL TODAY

SAIL today is one of the largest industrial entities in India. Its strength has been the

diversified range of quality steel products catering to the domestic, as well as the export

markets and a large pool of technical and professional expertise. Today, the accent in

SAIL is to continuously adapt to the competitive business environment and excel as a

business Organisation, both within and outside India.

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ROURKELA STEEL PLANT

Rourkela Steel Plant (RSP), the first integrated steel plant in the Public Sector in India,

was set up with German collaboration with an installed capacity of 1 million tonnes.

Subsequently, the capacity was enhanced to 1.9 million tonnes. The plant was

modernized in the mid 1990s with a number of new units with state-of -the-art facilities.

Most of the old units have also been revamped for effecting substantial improvement in

the quality of products, reducing the cost and ensuring cleaner environment.

The govt. of India under the able leadership of the then Prime Minister Pt. Jawaharlal

Nehru, decided to set up large steel plants by the government itself after the general

election of 1952. Rourkela and its adjacent areas are rich in iron ores, manganese,

dolomite and lime stones, the basic materials required for production of steel and iron.

Considering Rourkela to be the best place for a steel plant, the survey work was

completed in the year 1954. The infrastructure work of the plant was accomplished in

between 1955 and 1960. The Republic of Germany extended technical know how for the

construction of the steel plant and the plant was considered a joint venture of the govt. of

India and Germany. The initial production limit of one million tonnes steel per annum

was raised to 1.8 million tonnes in the subsequent years. The internationally reputed

firms like the Krrups, Dimag, G.H.H. Sag, Scholomen, Cemens and Voist Eipine etc

supplied different machines and machinery parts to the plant at the beginning stage. The

Rourkela Steel Plant took the part of leadership in the process of steel production under

L.D. techniques. It could also establish itself as one of the premier industries of the world

under the system of basic oxygen converter. The extension work of the plant was over by

the year 1968. A circular welding pipe plant and special plate plant were set up in the

decade of seventies for production of different ready -made materials. To avoid scarcity

of power supply, power plant was set up with a capacity of 120 M. W at the plant. The

power plant is able to cater the requirement of power supply from the year 1986.

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STAGES OF DEVELOPMENT OF RSP:

1953 Agreement signed with KRUPP -DEMAG for Rourkela

1958 First Coke Oven Battery lit at Rourkela

1959 First Blast Furnace inaugurated

Blooming and Slabbing Mill commissioned

First L.D. Converter commissioned

1960 Plate Mill commissioned

ERW Pipe Plant commissioned

1961 Hot Strip Mill Commissioned

1962 Fertilizer Plant commissioned

1965 Sintering Plant Commissioned

1966 Expansion of L.D. Converter commissioned

1967 Expansion of Blast Furnace commissioned

1968 Tandem Mill Electrolytic Timing Line Electric Mill commissioned

1969 Galvanizing Sheet Mill commissioned

1982 Foundation laid for the first slab cement plant SAIL

1987 Inauguration of latest energy efficient KOREX process

1991 Inauguration of 2nd phase of RSP Modernization

1994 Inauguration of biological oxidation dephenolisation plant

1996 Inauguration of new dividing line, new BOF shop and new Sinter Plant

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SPECIAL FEATURES OF RSP:

It is the first plant in Asia to adopt LD process of steel making.

It is the only plant producing large diameter ERW I SW Pipes conforming to most

rigid standards of API.

It is the first steel plant in India to adopt external desulphurization of hot metal be

calcium carbide injection process.

It is the only plant in SAIL producing Cold Rolled Non Oriented (CRNO) sheets

for use in the electric industries with installed capacities of 73,000 ton per year.

It is the first plant to adopt vacuum degassing metallurgy, primarily for

production of silicon steel for the CRNO sheets.

It is the first integrated steel plant in SAIL family to produce 100% of steel

through the cost effective and quality centered continuous casting route.

All the major production departments and some service departments certified with

ISO 9001 :2000 QMS.

Silicon Steel Mill, Environmental Engineering Department and Sinter Plant -II,

Hot Strip Mill and Plate Mill certified with ISO 14001 :2004 EMS.

MAJOR UNITS OF RSP

Raw Materials play the most vital role in RSP's production of 1.9 million tonnes (MT) of

steel per annum. Each year, 2.3 MT of Coking Coal, 1.5 MT of Boiler Coal, 1.8 MT of

Iron Ore Lumps, 1.5 MT of Iron Ore Fines, 1.6 MT of fluxes and other materials viz. Tin,

Zinc, Aluminium and Ferroalloys constitute RSP's input requirements.

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A) Ore Bedding and Blending Plant

The Ore Bedding and Blending Plant has a base mix preparation system with on-ground

bedding, blending and conveying facilities. Set up under the modernization programme to

provide pre-mix feedstock to Sinter Plant -1 & Sinter Plant -II, the plant has a dispatch

capacity of 5,00,000T of material per annum. The facilities includes major installations

like Wagon unloading (tipplers & track hoppers), Iron Ore Crushing and Screening

System, raw material storage yard, rod mills and roll crushers for flux and coke crushing,

proportioning bins and elaborate conveying systems.

B) Coke Oven

The 4.5-meter tall coke oven batteries produce coke as the input for Blast Furnaces. The

coke ovens are equipped with wagon tipplers, automatic handling and conveying

facilities, coal blending provisions, coke wharf age crushing together with screening and

conveying systems.

C) Sintering Plant

RSP'S two sinter plants feed sinter to the blast furnaces with a combined capacity of 3.07

million tonnes per annum. Set up as part of the modernization drive, Sintering Plant -II is

operating at more than its rated capacity since the year 2000. This has facilitated the

increased usage of sinter bin blast furnace burden.

D) Blast furnaces

The four Blast Furnaces of RSP, with a...combined capacity of 2 MT, produce hot

molten metal for steel production.

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E) Steel Melting Shops .

SMS-I

Apart from a computerized LD process, which has enhanced shop capability, the LA

Vacuum Metallurgy Technique, has been also adopted for secondary refining of steel.

This facilitates production of special steels for application in electrical machines, pipe

making, tinplate, boilers and auto chassis members. The shop was originally designed to

produce ingots for conversion to slabs through the Slabbing Mill route. However, after

the discontinuation of the ingot route, the SMS-I produces slabs through casting machine.

SMS-II

The Shop is provided with the latest steel making, secondary refining (ladle furnace and

argon rinsing) facilities and two single strand slab casters to produce 1,355,000 tonnes of

steel slabs annually. This is the biggest unit set up under the modernization programme.

The shop is provided with automation through three levels of computerised control, LD

gas cleaning and recovery , power distribution system, water and utility services.

F) Plate Mill

This 3.1 MT wide, 4 high reversing mills is equipped with on-line thickness

measurement facilities. Facilities for inspection by customer's nominees, on-line

ultrasonic testing and checking ensure the quality of plates dispatched to the customers. A

new walking beam type furnace with a capacity of 100 Tonnes/hour was installed during

the modernization programme for slab heating. The mill has a production capacity of

2,99,000 Tonnes per annum .

G) Hot Strip Mill

The facilities of the 1.440 Million Ton per annum mill were augmented during

modernization with the installation of :

Two new walking beam type reheating furnace (225 TPH)

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Roughing/sizing stand ROVO a with automation

Automated coil box

Quick roll change system in Roughing Stand-I and finishing mills.

Coil marking, sampling and conveying systems.

H) Cold Rolling Mill

This features a modern 5-stand tandem mill and a 4-high 1700-mm reversing mill. The

tandem mill is equipped with automatic gauge control, x-ray gauge, data logging and

thyristorisation. It produces about 6,78,000 tonne per annum of cold rolled sheet .

I) Electrolytic Tinning Line

The continuous electrolytic tinning line produces a shining tin-coated surface in a variety

of coating thickness. The tinplate shearing lines are equipped with sensitive pinhole

detectors and an automatic sorting system.

J) Galvanising Lines

Two continuous hot-dip galvanizing lines are equipped with jet-coating facilities. There

are 2 multi-roller-corrugating machines, which produce corrugated sheets.

K) Silicon Steel Mills

This unit produces steel for the electrical industry through various operations carried out

in sophisticated, continuous/semi-continuous processing lines and a 4-high reduction

mill. Advanced process control and product testing facilities ensure product quality.

L) Pipe Plants

A highly sophisticated Spiral Welded Pipe Plant (SWPP) is equipped with submerged arc

welding process and produces large diameter pipes. Hydrostatic pressure testing,

ultrasonic testing and eddy current testing are some of the features, which ensure quality

control. The Electric Resistance Weld Pipe Plant (ER WPP) caters to the smaller

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diameter pipe consumers. This plant has been recently upgraded to enable it to produce

API grade pipes.

M) Traffic & Raw Material

The Traffic and Raw Material department deals with procurement and supply of raw

materials to various user departments, internal movement of in-process and other material

from one unit to another and dispatch of finished products to outside parties or SAIL

stock yards in railway wagons. The department maintains 350 wagons, 40 locomotives

and a network of 240 kilometers rail tracks all over the plant.

N) Environment Management

IRSP has invested about Rs. 340 crores on environment protection measures in 95

schemes, since 1990-91.By formulating and implementing a strategy of3-R's namely, Re-

use, Recycle and Reduce, RSP is now able to achieve the twin objectives of generating

resources as well as controlling pollution. Since its inception, RSP has so far planted 37

lakh saplings in and around the steel city and in 2005 RSP has planted 70,000 saplings in

and around Rourkela.

O) Computerisation

Rourkela Steel Plant has introduced an on-line system named as Production Planning and

Control System (PPCS), which connects various functional departments of RSP into a

single network system. Developed and executed in-house by a team of dedicated

professionals of the Information Technology and Production Planning and Control

Department with the support of the Works and Projects units.

P) Human Resource Development Centre (HRDC)

The Human Resources Development Centre of Rourkela Steel Plant was set up in the late

1950s and it consists of the Management Development Programme wing, auditoriums,

well equipped workshops, skill up gradation shops, lecture halls for act apprentices and a

well-equipped library on a plethora of Technical and Managerial subjects.

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Q) Central Power Training Institute (CPTI)

The Central Power Training Institute (CPTI) has facilities to impart training in operation

and maintenance of power plants and power distribution systems. The Institute conducts

training largely for operation and maintenance personnel of SAIL captive power plants

and Power Distribution Network departments.

PRODUCT MIX OF RSP (IN TONNES PER ANNUM)

PRODUCT-MIX TONNES / ANNUM

Plate Mill Plates 2,99,000

HR Plates 92,500

HR Coils 3,98,000

ERW Pipes 75,000

SW Pipes 55,000

CR Sheets & Coils 4,33,000

Galvanized Sheets (GP& GC) 1,60,000

Electrolytic Tin-Plates 85,000

Silicon Steel Sheets 73,500

Total Saleable Steel 16,71,000

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PRODUCT AND IT APPLICA TIONS

Products Applications

HR Coils LPG Cylinders, automobile, railway wagon chasis and all

types of high strength needs.

Plates Pressure vessels, ship building and engineering structures

Chequered Plates Flooring & staircases in the industrial sectors and railway platforms

etc.

CR Sheets & Coils Steel furniture, white goods like refrigerators, washing machines,

automobile bodies, railway coach paneling, drums, barrels, deep

drawing and extra deep drawing etc.

Galvanised Sheets Roofing, paneling, industrial sheeting, air conditioner ducting and

structural

Electrolytic Tin

Plates

Containers for packaging of various products including edible oils,

vegetables and confectionary items.

Silicon Steel sheets

&

Small generators, stators for high efficiency rotating equipment and

relays etc.

Spiral Weld Pipes High pressure transportation of crude oil, natural gas and slurry

transportation, water supply, sewage disposals, grain silos, civil

engineering pilings etc.

Spiral Weld Pipes High pressure transportation of oil and water, sewage disposal, tube

wells etc.

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ORGANISATION STRUCTURE OF ROURKELA STEEL PLANT

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INDUSTRIAL RELATION IN RSP

Before 2004 working environment at RSP was taken up by Discipline Department which

was one of the reasons for RSP's huge loss continuously. After the year 2004, both the

workers and management realized that if they work united then only productivity and

profit of RSP is possible. The positive approach started from 2004 and the relationship

continues to improve future management and workers. So, we can blindly express that in

this 21 st century there is a good and co -ordinal relation between worker and

management. They together share both the bad and good times of RSP.

RSP is professionally managed through their IR System. RSP has positive industrial

relations with better understanding, better co-operation between management and worker

with greater emphasizing, grievance handling procedure, safety and various facilities

provided to the workers which motivates them to do their work hard. Positive industrial

relations include many more things as it is discussed here.

The indicators of positive industrial relation within the premises of RSP are explained

below:-

(A) WPM :- Workers participation in Management

Workers participation in management is a method through which workers are able to

express their view collectively for the smooth functioning of the industrial enterprise. In

the words of Pt. Jawaharlal Nehru,

"The wealth of the country is not its gold and silver, but the goods manufactured

by the hard labour of her people."

Keeping this national objective in view, the Rourkela Steel Plant with the active

participation of various functioning trade unions and recognized union has involved

various participative forms from 1969 onwards. Various tripartite agreements were

signed between the management of RSP and the Rourkela Majdoor Sabha and then the

recognized union to involve workers in various participative activities such as grievance,

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production, safety, and welfare amenities etc. Thus RSP with the active participation of

Rourkela Majdoor Sabha became the pioneer in the field of participative culture in

general and in the steel industry in particular.

(B) Grievance Machinery

According to the code of discipline there should be grievance machinery every industrial

establishment for the sake of workers grievances. In the certified standing orders of the

company, it is mentioned that all grievances of the employees shall be dealt with by the

grievance Machinery which is to be set up as far as possible on the lines of the model

grievance procedure involved by the Indian labour conference in 1958.

The Grievance Machinery is now operating in RSP at the Department / Unit level. The

concerned personnel executives hears and records the grievances of individual employees

and takes up the grievance with authorities concerned to settle the matter.

In order to supplement the above method of grievance redressal, a 2 tier formal grievance

form is being put up in place. The 1st tier is known as Grievance Redressal Committee for

employees and the apex committee as Grievance Redressal Apex Committee for

employees at the higher level. The committees are competent to involve their procedure

to settle grievances as and when referred to for a solution.

(C) Settlement Machineries

In Industrial Dispute Act, 1947 there are some machinery for the investigation and

settlement of industrial disputes. They are as follows:-

a) Conciliation :

It is a peace making process in RSP. A conciliator contacts both the parties by separate

meetings and jointly through joint conference. The parties mayor may not accept his

suggestions.

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b) Arbitration :

If the parties are not satisfied with the decision of the conciliation machinery then a third

party interference known as "Arbitrator" is introduced. There are two types of

Arbitrations in RSP. They are:

Voluntary Arbitration

Compulsory Arbitration

c) Adjudication:

It is the last remedial step for the settlement of Industrial Disputes. In RSP the disputes

are sent to the adjudicative authorities by the appropriate govt. after proper examination

and verification such as:

Labour courts call the cases mentioned in the 2nd schedule of Industrial Dispute

Act.

Industrial Tribunals call the cases mentioned in II and III schedule of Industrial

Dispute Act.

National Tribunal call the cases which involve questions of national importance

or are of such a nature that Industrial establishment situated in more than one state

are likely to be interested in or affected by such disputes.

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(D) Joint Committees in RSP

Central Safety Committee –

The Central Safety Committee (CSC) is a statutory requirement under Orissa

Factories Act is functioning at Rourkela Steel Plant comprising Management's

representatives and employees representatives who are basically members of the

recognized union as prescribed under the factory rules.

Orissa Factory rules, 1950 stipulates that the safety committee shall consist of

equal number of representatives of the management and the employees and the

minimum number of representatives shall be 6.

In order to comply the observation of the Inspector of Factories and Boilers,

Rourkela zone -I, Rourkela, there was no scope to include any person who is not

an employee of RSP. Accordingly, the CSC was reconstituted on 2003 and 2004.

To improve safety consciousness and make the movement broad based, 9 "Safety

committees of Departments" zone wise, have been constituted covering all the

areas of the Integrated Steel Plant as well as Township.

Central Consultative Committees (CCC) -

In addition to the measures taken for implementation of various activities

concerning welfare, cleanliness, punctuality, system improvement etc. further

steps were taken to have broad based discussion on consultations on the aforesaid

aspects and other allied issues by involving other employees forms and important

groups to improve production and productivity.

All registered trade unions who had participated in the verification of membership

through secret ballot in RSP were called upon to participate in discussions at

routine intervals with a Central Consultative Committee constituted by the

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management representing various departments to improve welfare, safety and

other amenities concerning employees.

Canteen Managing Committee (CMC) -

Under secretary of govt. of Orissa Labour and employment dept. vide his letter

dated 03.12.1998 intimated that the members of the canteen managing committee

are decided to be nominated from amongst the workers of the factory belonging to

the recognized union instead of conducting election through secret ballot system.

Reconstitution / change of members has been done on several occasions from

time to time and the committee is functioning smoothly.

The manager of the factory has the right to nominate the members from among

the workers of the factory belonging to the recognized union to the CMC. The

CMC was last reconstituted on 16.02.2004 and the melting of the CMC is held

from time to time and functioning smoothly.

(E) Works Standing: Order

Works Sanding Order provides the frame work to an organisation. This is a booklet

containing company's rules, regulations, procedures in accordance with section 7 of the

industrial employment (Standing Order Act, 1946).

Works Standing Order of RSP contains certain provisions, rules and regulations

regarding leave, misconduct, strike, lockout, holdings, discharge, dismissal, deductions,

fines, complaints, overtime, resignation, P .F ., stoppages etc which provides a systematic

procedure to maintain industrial relations. In other words we can say that Works Standing

Order is basically needed to secure and promote better industrial relations.

(F) Suggestion Scheme

Motivation and Moral is also helped through an appropriate suggestion scheme. For

example the suggestion scheme is described as partnership for progress scheme at RSP.

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According to the company, it has helped in boosting the employee's moral under this

scheme. Some cash awards are offered to employees who come up with practical ideas

to: -

1. Increase in production, higher productivity, improvement in production.

2. Improvement in methods machinery, equipment or tools process layout,

practices and procedure.

3. Reduction in cost wastage or spoilage.

4. Reduction in frequency of idle time or repair and maintenance of

machinery, equipment tools etc, removal of hazards to health and

possibility of accident.

5. Increase in utility, equality, yield or output of products.

6. Conservation of materials energy, times in process or their utilization for

better purpose.

(G) AWARDS FOR LONG TERM SERVICES:-

The company has a provision to make an award to the person for long service sometimes

in money, a deal or in kind. If an employee has completed 25 years of continuous

services he becomes eligible for long service award of 25 years service. It is a silver

medal and a dinner set or a specific amount.

TRADE UNION:

According to Data Yoder, "A Trade Union is a continuous association of Wage - learners

for the purpose of maintaining or improving the conditions of their work life."

The recognition of Trade Union in Rourkela Steel Plant is conducted by rules for

verification of membership and recognition of Trade Union's through secret ballot in

industry .The Rourkela Sramika Sangha (RSS) affiliated to Indian National Trade Union

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Congress (INTUC) has been recognized as the sole bargaining agent for all RSP

employees at Rourkela falling in the union spheres and the union existing in RSP. The

other trade unions other than RSS are:

1. RMS -Rourkela Majdoor Sangha

2. SETU

3 . RIKKS

4. RWU -Rourkela Workers Union

5. SEAR

6. ILU - Ispat Labour Union

7. HSWA -Hindustan Steel Workers Association

8. KISS -Kalinga Ispat Sramika Sangha

9. JMS -Jharkhand Majdoor Sangha

10. RSP -Rourkela Sramika Panchayat

The recognized union in RSP is given the following facilities: -

An office outside the premises of the industry with minimum fittings and fixtures,

electricity and water supply, free of cost

Adequate number of office furniture one for all for office purpose.

Wherever possible, one internal telephone connection to the union office and at

least two connections to the office bearers who are employee of industry or

establishment and reside in the country's township.

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To provide transport for the office bearers of the union then called for discussion

by the employer at places other than in the industry an allow TA/DA to such

personnel as per their entitlement treating the day shift discussion as on duty.

To allow minimum of two representations to at least conciliation, arbitration and

adjudication cases in their cost.

All Registered Trade Unions who had participated in the verification of membership

through secret ballot in RSP were called upon to participate in the discussion at routine

intervals with a central consultative committee constituted by the management

representing various departments to improve welfare safety and other amenities

concerning employees.

INDUSTRIAL DISCIPLINE:

The word 'DISCIPLINE' connotes that the number of a group should reasonably

conformed. Webster's dictionary gives three meanings of the word discipline. First it is

the training that corrects moulds, strength or profit. Secondly it is the control gained by

enforcing obedience. Thirdly it is essential for the smooth running of industrial peace

which is the very foundation of industrial democracy.

In RSP all the settlement machineries are there to deal with causes of misconduct. With

impartiality and fairness has been introduced in the works standing order which as a

whole provides abetter discipline in the company.

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NEW TRENDS OF INDUSTRIAL RELATION :-

The march of RSP towards profit after sustaining loss for last several years is now

noticeable from its result oriented performance, during 2003 -2004. The combined efforts

of all its employees and officers under the leadership of the managing director have made

the turnaround of RSP a successful phenomenon. This is now being sustained and

improving continuously.

Mass Contact Exercise

This meeting is popularly known as MCE in RSP. It is a unique procedure prevailing in

RSP conducted by the MD itself. In this meeting the MD interacts with merely 1500

workers every week (Wednesday, for 2 hours ). In this interaction nearly 50 different

employees from all the departments of RSP priorities before the organisation are spilt out

and factors that can pull back the plant from profitability are discussed. In all such

interaction safety of human lives and maintenance of plant machinery and equipment are

focused, the workers also give their suggestion, discuss about their grievances along with

the company's profitability.

Very encouraging results have been achieved from a large number of workshops,

interaction sessions, information sharing meetings and mass contact exercises on the

survival and future of RSP. Workers have started thinking for further improvement of the

plant and have come out with various suggestion many of which have been implemented

such as workers participation in the plant under the aforesaid process has reached its

zenith and all the employees both executives and non executives have thus directly

participated in the decision making process of the management. All this has resulted in

improved work life culture, transparency in administration and an understanding of the

need of hour to make the plants new found profitability a sustainable proposition.

All the above activities are driven by the MD itself under a movement called

"SAMSKAR" which is by itself unique in Indian Corporate history. The SAMSKAR

movement states that: -

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"We have to create and sustain a peaceful work environment where every

employee can contribute to the plant in assigned area of work with full freedom and

dignity and without fear."

In addition to the measures taken for implementation of various activities concerning

welfare, cleanliness, punctuality, system improvement etc steps have been taken to have

broad base discussion and considerations on the aforesaid aspects and other allied issues

by involving other employees and other important groups to improve production and

productivity.

Employee Relations and Employee Services at SAIL, RSP

In SAIL employee relations and employee services go hand in hand. Personalised

services to employees improve the employee – employer industrial relationships. The IR

scenario in SAIL has been fairly satisfactory. The concern for human beings transforms

itself into SAIL. Lookiong after the human resource is the main concern, which brings

about credibility and image in the organization.

Employee services in SAIL:

To look after the human resources in

i. Proper recruitment

ii. Efficient training

iii. Looking after promotions, transfers and leaves.

iv. Redressed of grievances

v. Housing and medical facilities.

vi. Recreational facilities.

vii. Other services.

The need is to provide these personalized services with efficiency, speed and dedication.

It is the responsibility of the organization to ensure that individuals get a proper induction

to the organization are trained periodically to do their job.

In SAIL employee relations are improved by:

i. Adopting preventative rather than reactive strategies.

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ii. Time bound implementation of unanimous recommendations of Bipartite

forums.

iii. Monitoring of unproductive work practices.

iv. Better administration of welfare facilities.

MANPOWER SUMMARY OF RSP: -

It is no wonder that today the total workforces of RSP i.e. about 22000 employees are

committed like never before to profitability and prosperity, meaning thereby the

profitability for the steel plant and prosperity for the employees as well as those who

depend on it for a livelihood.

YEAR WORKS

EXECUTIVES NON-EXECUTIVES TOTAL

2004 - 2005 1381 16292 18610

2005 - 2006 1465 16345 17810

2006 - 2007 1445 15949 17394

2007 - 2008 1361 15534 16895

2008 - 2009 1303 15199 16502

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YEAR NON-WORKS

EXECUTIVES NON-EXECUTIVES TOTAL

2004 - 2005 704 3977 4681

2005 - 2006 831 3656 4487

2006 - 2007 765 3521 4286

2007 - 2008 820 3459 4279

2008 - 2009 804 2886 3690

YEAR WORKS & NON-WORKS

EXECUTIVES NON-EXECUTIVES TOTAL

2004 - 2005 2085 20906 22991

2005 - 2006 2296 20001 22297

2006 - 2007 2210 19470 21680

2007 - 2008 2181 18893 21174

2008 - 2009 2107 18085 20192

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1. How is your relation with the management?

Question Good Bad

Number of Respondents 32 18

Percentage 64 36

Chart – 1

Interpretation

From the above chart it is clear that 70 percent of the workers have good relations with

the management where as rest 30 percent of the employees do not have such good

relation.

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2. Are you satisfied with your salary?

Question Yes No

Number of Respondents 42 08

Percentage 84 16

Chart – 2

Interpretation

Most of the workers are well satisfied with the salary being provided to them but rest 16

percent are not satisfied.

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3. Are you satisfied with the mass contact programme held in RSP?

Question Yes No

Number of Respondents 35 15

Percentage 70 30

Chart – 3

Interpretation

Most of the workers are of the opinion that they are well satisfied with the interaction

programme held between the MD and the workers and rest 30 percent are not satisfied

with the mass contact exercise being conducted at RSP.

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4. How are the services provided towards medical and health facilities?

Question Yes No Average Bad

Number of Respondents 13 18 17 2

Percentage 26 36 34 4

Chart – 4

Interpretation

This chart clearly shows that most percentages of workers are satisfied with the services

provided by RSP but only a little percentage of workers are not satisfied.

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5. Are you satisfied with training provided by the safety departments

Question Yes No

Number of Respondents 39 11

Percentage 78 22

Chart – 5

Interpretation

About 78 percent of the workers believe that they are satisfied with the training provided

by the safety departments and rest 22 percent are not satisfied.

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6. Do you feel workers participation in management is a healthy provision for

bringing harmonious relationship in the industry?

Question To Great Extent To some Extent Not at all

Number of Respondents 13 18 17

Percentage 26 36 34

Chart – 6

Interpretation

Most of the workers feel their participation in management develop healthier relation

with the management and a small percentage doesn’t think so.

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7. Do you feel having good relationship with the management the efficiency

of worker is increased

Question To Great Extent To some Extent Not at all

Number of Respondents 13 18 17

Percentage 26 36 34

Chart – 7

Interpretation

About 68 percent of workers believe that their efficiency is increased by having good

relationship with the management

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8. Are you satisfied with your salary?

Question Yes No

Number of Respondents 45 5

Percentage 90 10

Chart – 8

Interpretation

90 percent of the workers believe that they are satisfied with the salary provided to them

by RSP.

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9. How is the incentive bonus scheme working in the plant?

Question Very Good Good Average Poor

Number of Respondents 7 33 8 2

Percentage 14 66 16 4

Chart – 9

Interpretation

About 66 percent of workers are in the opinion that the incentive bonus scheme working

in the plant is good.

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10. How do you feel about the existing grievance handling system?

Question Very Good Good Average Poor

Number of Respondents 10 20 15 5

Percentage 20 40 30 10

Chart – 10

Interpretation

About only 60 percent of the workers feel that the existing grievance handling system in

RSP is good.

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1. Do you feel good relationship amongst the employees in RSP?

Question Good Bad

Number of Respondents 43 7

Percentage 86 14

Chart – 1

Interpretation

About 86 percentage of management believe that good relationship exist among the

employees of RSP

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2. Does good relations affect achievement in your organization

Question Yes No

Number of Respondents 42 08

Percentage 84 16

Chart – 2

Interpretation

Most of the workers are well satisfied with the salary being provided to them but rest 16

percent are not satisfied.

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3. Do you feel by good relationship the efficiency of worker is increased?

Question Yes No

Number of Respondents 43 7

Percentage 86 14

Chart – 3

Interpretation

About 86 percent of employees are of the opinion that by creating good relationship the

efficiency of worker is increased.

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4. According to you, how is the relationship between union and management in

RSP?

Question Good Average Poor

Number of Respondents 33 14 3

Percentage 66 28 6

Chart – 4

Interpretation

It is clear from the above chart that about 66 percent of employees believe that the

relationship between union and management is good.

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5. How is the relationship between management and workers

Question Good Average Poor

Number of Respondents 25 20 5

Percentage 50 40 10

Chart – 5

Interpretation

From the above it is clear that 50 percent of employees feel that the relationship between

management and workers is good. Another 40 percent of employees feel that the

relationship is average.

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6. Is the management able to satisfy the workers in RSP?

Question Almost To some Extent Not at all

Number of Respondents 18 29 3

Percentage 36 58 6

Chart – 6

Interpretation

From the above chart it is justified that most of the workers are well satisfied with the

management in RSP.

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7. Are you getting satisfaction out of your job?

Question To Great Extent To some Extent Not at all

Number of Respondents 37 11 2

Percentage 74 22 4

Chart – 7

Interpretation

About 74 percent of employees are satisfied with their job to a great extent and 22

percent of employees are satisfied with their job to small extent.

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8. Do you think there is over employment in RSP?

Question To Great Extent To some Extent Not at all

Number of Respondents 2 8 40

Percentage 4 16 80

Chart – 8

Interpretation

About 80 percent of employees are of opinion that there is no over employment.

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9. Do you feel workers participation in management is a healthy provision for

bringing harmonious relationship within Industry?

Question Yes No

Number of Respondents 46 4

Percentage 92 8

Chart – 9

Interpretation

It is clear from above that about 92 percent of employees believe that worker

participation in management is a healthy provision for bringing harmonious relationship

within an industry.

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10. Do you discuss with the workers and take their suggestions to solve the

problems and other matters?

Question Yes Sometimes No

Number of Respondents 34 14 2

Percentage 68 28 4

Chart – 10

Interpretation

Out of 50 respondents about 34 respondent have discussion with the workers related any

problem or their suggestion, rest 14 sometimes have discussion at the time of their need.

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11. Do you think that workers of RSP are getting great benefits in relation to

management?

Question Yes No

Number of Respondents 39 11

Percentage 78 22

Chart – 11

Interpretation

About 78 percent of employees of RSP believe that they are getting benefits in relation to

the management

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12. Do you have a good understanding of this organization’s goals and

objectives

Question Yes No

Number of Respondents 43 7

Percentage 86 14

Chart – 12

Interpretation

About 86 percent of the employees feel that they have a good understanding of this

organization’s goals and objectives.

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EEFFCTS OF POOR INDSTRIAL RELATIONS

Poor Industrial Relation produces highly disquieting effects on the economic life of the

country. We may enumerate the ill-effects of poor Industrial Relations as under:

1. Multiplier effects: Modern industry and for that matter modern economy are

interdependent. Hence although the direct loss caused due to industrial conflict in

any one plant may not be very great, the total loss caused due to its multipliers

effect on the total economy is always very great.

2. Fall in normal tempo: poor Industrial Relations adversely affect the normal tempo

of work so that work far below the optimum level. Costs build up. Absenteeism

and labor turnover increase. Plants discipline breaks down and both the quality

and quality of production suffer .

3. Resistance of change: Dynamic industrial situation calls for change more or less

continuously. Methods have to be improved. Economics have to be introduced.

New products have to be designed, produced and put in the market. Each of these

tasks involves a whole chain of changes and this is resisted bitterly if these are

industrial conflict.

4. Frustration and social cost: every man comes to the work place not only to earn a

living. He wants to satisfy his social and egoistic needs also. When he finds

difficulty in satisfying these needs he feels frustrated. Poor Industrial Relations

take a heavy toll in terms of human frustration. They reduce cordiality and

aggravate social tension.

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PROBLEMS OF INDUSTRIAL RELATION:

Due to surplus of manpower in Rourkela Steel Plant labour productivity could not

be achieved at the desired level which creates some problems in Industrial

Relation situation of RSP.

A good number of employees had been recruited earlier are not fit for that posts in

which they are in now so they are unable to understand the practical scenario,

which become an obstacle in Industrial Relation of RSP .

Multiplicity of trade unions also poses a problem.

Sometimes terrible situations create due to some misunderstanding between

management and worker by Trade Union.

Rigid labour legislation delay in disposal of grievances causes harassment for the

workers.

A VIEW FROM WORKERS AND MANAGEMENT

We have conducted an interview through questionnaire method and collected some

information regarding suggestions to improve healthier Industrial Relation in RSP from

worker management and union as well.

Workers suggest that:

There should be awareness programmes to be organized by he management in respect of

the benefits of good relationship and better future.

Union Representatives suggest that:

Vandalism in name of trade unions should not be tolerated within the working premises

of Rourkela Steel Plant.

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Management suggests that:

There should be proper co-operation between management and workers. Workers should

help the management in decision making process so that the Industrial Relation situation

and productivity of Rourkela Steel Plant is better possible.

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SUGGESTIONS

Both management and unions should develop constructive attitudes towards each

other .

All basic policies and procedures relating to Industrial Relation should be clear to

everybody in the organization and to the union leader. The personnel manager

must make certain that line people will understand and agree with these policies.

The personnel manager should remove any distrust by convincing the union of the

company's integrity and his own sincerity and honesty. Suspicious, rumors and

doubts should all be put to rest.

The personnel manager should not vie with the union to gain workers' loyal to

both the organization. Several research studies also confirm the idea of dual

allegiance. There is strong evidence to discard the belief that one can owe

allegiance to one group only.

Management should encourage right kind of union leadership. While it is not for

the management to interfere with union activities, or choose the union leadership,

its action and attitude will go a long way towards developing the right kind of

union leadership. "Management gets the union it deserves" is not just an empty

phrase.

Some awareness programmes should be arranged so as to avoid the ignorance of

illiterate workers.

Both the management and workers should shoulder their responsibilities properly

in order to minimize burden over a few mass.

The grievances of workers should be taken into consideration individually to free

them from mental anguish and allow them to work without any hesitation.

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Workers should be given chances to show their creativity and talent before

management and must be rewarded for that.

The union for their interest workers often shows that the management is superior

and there is a large gap between them so this type of wrong notion should be

confirmed to them.

The management should give fair and prompt decision to the workers so that they

don't favour to knock the doors of court of law.

The workers must also be co-operative to their management and help them in

achieving the profit of the company.

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Dayananda Sagar Business Academy

Page 75: Introduction of Industrial Relation

CONCLUSION

The study that has been conducted has resulted in justifying a wide scope for further

research and analysis in this field within the organization. It has been witnessed that RSP,

has grown by leap and bounds and its facilities and policies are world class in comparison

to other steel company in India. Before the year 2002, Rourkela Steel Plant suffered

continuously from huge loss and was unable to provide maximum benefits to its workers.

There by increasing the quality and quantity of production this organisation tried to create

its existence in this competitive steel world. After this the management and worker both

sweat for the sake of Industry as well as for themselves. From last 3 years RSP is gaining

profit and is doing well for the betterment of the employees like extending its welfare and

health facilities to a greater extent.

A very healthy and friendly atmosphere is developed within its premises. The workers

directly interact with the management for their grievances and other matters through

Mass Contact Exercise. Even the management is looking forward with some proactive

actions in order to avoid strikes, lock-out or any type of other violent situation. Due to

this the interference of unions are gradually loosing their value.

RSP is always trying to facilitate the self respect and dignity of its employees. Both the

executives and non executives are cent percent efficient. RSP take a lot of care not only

of it employees but also their families. Nowadays it has become a proud for the whole

democratic nation and each one of them wants to be a proud member of it.

It has also been seen that there has been a sincere effort on the part of RSP to provide the

best possible solutions for their growth and development, both personally and

professionally. There is a clear understanding of the way each individual's contribution is

related in regarding the achievements of the organizational goals. The researcher has

provided a glimpse of the RSP industrial relation in the study and through a few humble

suggestions hope to provide a few possible solution in order to enhance the work

experience and employee's morale in RSP .

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RSP is considered to be the turning point in the history of Indian Steel Company. In the

major leap forward, RSP has not adhered the need for self sufficiency in steel but also

given the country a technological edge in producing this strategic metal as per the world

standard. With consistent track record in capacity utilization, technology absorption,

quality assurance, export performance and posting of profits, RSP is a bright example of

India's industrial capacity. And keeping the present scenario in the view it can be

concluded that RSP is the torch bearer among all sections in the never ending path of

success.

Dayananda Sagar Business Academy

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BIBLIOGRAPHY

During my summer training period I have collected the required information’s from the

following books and journals:

1. Industrial Relation (A.M. Sharma)

2. Industrial Relation (C.S.D. Venkat Ratnam)

3. Industrial and Labour Laws (P.L. Mallick)

4. Rourkela Steel Plant Panoroma

5. Personnel Manual of RSP, Vol. – 1 & Vol. – 2

6. www.sail.org

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