Unit 6
EMPLOYEE WELFARE
Employee welfare means “the efforts to make life worth living for workmen.” According to Todd
“employee welfare means anything done for the comfort and improvement, intellectual or social, of the
employees over and above the wages paid which is not a necessity of the industry
Features of Employee Welfare
Employee welfare is a comprehensive term including various services, facilities and amenities provided
to employees for their betterment.
The basic purpose in to improve the lot of the working class.
Employee welfare is a dynamic concept.
Employee welfare measures are also known as fringe benefits and services.
Welfare measures may be both voluntary and statutory
Objectives of Employee Welfare
Employee welfare is in the interest of the employee, the employer and the society as a whole. The
objectives of employee welfare are: -
It helps to improve.
It improves the loyalty and morale of the employees.
It reduces labor turnover and absenteeism.
Welfare measures help to improve the goodwill and public image of the enterprise.
It helps to improve industrial relations and industrial peace.
It helps to improve employee productivity
Types of Employee Welfare
* Intramural: - These are provided within the organization like: -
1) 1Drinking Water
2) Facilities for sitting
3) First Aid Appliances
4) Latrines & Urinals
5) Canteen facilities
6) Spittoons
7) Lighting
8) Washing Places
9) Changing Rooms
10) Rest Rooms
* Extramural: - These are provided outside the organization, like: -
1) Maternity benefits
2) Social Insurance measures
3) Medical facilities
4) Educational facilities
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5) Housing facilities
6) Recreation facilities
7) Holiday homes & leave travel facilities
8) Vocational training for dependents of workers
9) Transport to and from the place of work
10) Others programmes for the welfare of women, youth & children
Types of Employee Welfare
Statutory Welfare Work - comprising the legal provisions in various pieces of labor legislation.
Voluntary Welfare Work - includes those activities which are undertaken by employers for their voluntary
work.
Different ways of Social Security Provision in India
1. Social Insurance- common fund is established with periodical contribution from workers out of which
all benefits in terms of cash or kind are paid. The employers & state prove major portion of finances.
Benefits such as PF, Group Insurance etc are offered.
2. Social Assistance- Benefits are offered to persons of small means by govt out of its general revenues.
Eg- Old age pension
Social Security Employee Welfare
Medical care- Sickness benefit in cash- Old age pension or retirement benefit- Invalidity pension-
Maternity benefit- Accident benefit- Survivor’s benefit
Art 41 0f Indian constitution says that “the state shall within the limits of its economic capacity &
development, make effective provision for security, the right to work, to education & to public assistance
in cases of unemployment, old age, sickness &disablement & in other cases of undeserved want”
Statutory provision
Employees in India are statutory required to comply with the provision of various welfare amnesties
under different labour legislation . Statutory welfare include those facilities which provided by law .
they are
The Factories Act 1948
a) Washing facilities to male and female worker separately
b) facilities for storing and drying clothes
c) facilities for occasional reset for worker who work in a standing position for long hours
d)First aid boxes or cupboards one for every 150 worker and the ambulance facility if there are more
than 250 workers.
e) Crèche if 30 or more worker are employed.
F) Welfare officers if 500 or more worker are employed.
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The Plantation Labour Act 1951
• A canteen if 150 or more worker are employed.
• Crèche if 50 or more women worker are employed
• Recreational sees for worker and their children.
• Educational arrangement I the estate if there are 25 or more children of worker between the age
of 6and 12
• Hosing facilities for every worker between the for every worker and his family residing in the
estate.
• Welfare officer, if 300 or more worker are employed.
The Mines Act, 1951
• Shelter for taking food and reset if 50 or more worker are employed.
• First aid boxes and first aid rooms if 150 or more worker are employed.
• A canteen if employee 250 or more workers.
• A crèche if employing 50 or more females.
• Pit head baths equipped with showers sanitary latrines
• Welfare officer if 300 more are employed.
The Moto Transport Worker Act,1961
• First aid equipment in each transport vehicle.
• Medical facilities at the operating and halting cents.
• Canteen if employing 100or more workers.
• Comport table, clean ventilated and well lighted rest room at every place where moto transport
worker are required to halt at night.
• Uniform rain coats to conductor driver and line checking staff for protection against cold and rain.
• Prescribed amount of washing allowance to the staff member.
The Contract Labuor (Regulation And Abolition) Act 1970
• Canteen if employing 100 or more workers
• Rest rooms or other suitable alternative accommodation where contract labour is required to halt
at night in connection establishment.
• Washing facilities
• First aid taxes equipped with prescribed contents
Non statutory provision
1 Education
A scheme of worker education was envisaged on all India basis by government of India way in 1957
a) To develop leadership from the rank and file.
b) To develop strong unions through trained officials and more enlightened members.
2 housing
Housing is the primary need of worker family in civilized like without a roof to cover his heads the worker
naturally feels frustrated about his poor standard of living in big sties . Good houses mean possibility of
home like happiness health.
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3 Recreation
Though there is no statutory stipulation in this area progressive employees both in the public and private
sector. Have consciously offered facilities for recreation sports and culture.
Other facilities
• Canteen ,restroom and lunch room
• Washing facilities medical aid and leave travel concession.
• Consumer cooperative stores
• Personal health care
• Flex time
• transportation
Employee Grievances
• Meaning
It can referred as a feeling of disappointment and satisfaction that an employee has regarding his
employment.
Grievances management refers to the procedures through which the manager deals with the
grievance of employee during his service.
Features of Grievance:
1. A grievance refers to any form of discontent or dissatisfaction with any aspect of the organization.
2. The dissatisfaction must arise out of employment and not due to personal or family problems.
3. The discontent can arise out of real or imaginary reasons. When employees feel that injustice has been
done to them, they have a grievance. The reason for such a feeling may be valid or invalid, legitimate or
irrational, justifiable or ridiculous.
4. The discontent may be voiced or unvoiced, but it must find expression in some form. However,
discontent per se is not a grievance. Initially, the employee may complain orally or in writing. If this is not
looked into promptly, the employee feels a sense of lack of justice. Now, the discontent grows and takes
the shape of a grievance.
5. Broadly speaking, thus, a grievance is traceable to be perceived as non-fulfillment of one’s expectations
from the organization.
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Causes of Grievances:
Grievances may occur due to a number of reasons:
1. Economic:
Employees may demand for individual wage adjustments. They may feel that they are paid less when
compared to others. For example, late bonus, payments, adjustments to overtime pay, perceived
inequalities in treatment, claims for equal pay, and appeals against performance- related pay awards.
2. Work environment:
It may be undesirable or unsatisfactory conditions of work. For example, light, space, heat, or poor
physical conditions of workplace, defective tools and equipment, poor quality of material, unfair rules,
and lack of recognition.
3. Supervision:
It may be objections to the general methods of supervision related to the attitudes of the supervisor
towards the employee such as perceived notions of bias, favouritism, nepotism, caste affiliations and
regional feelings.
4. Organizational change:
Any change in the organizational policies can result in grievances. For example, the implementation of
revised company policies or new working practices.
5. Employee relations:
Employees are unable to adjust with their colleagues, suffer from feelings of neglect and victimization and
become an object of ridicule and humiliation, or other inter- employee disputes.
6. Miscellaneous:
These may be issues relating to certain violations in respect of promotions, safety methods, transfer,
disciplinary rules, fines, granting leaves, medical facilities, etc.
Effects of Grievance:
Grievances, if not identified and redressed, may adversely affect workers, managers, and the organization.
The effects are the following:
1. On the production:
a. Low quality of production
b. Low productivity
c. Increase in the wastage of material, spoilage/leakage of machinery
d. Increase in the cost of production per unit
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2. On the employees:
a. Increase in the rate of absenteeism and turnover
b. Reduction in the level of commitment, sincerity and punctuality
c. Increase in the incidence of accidents
d. Reduction in the level of employee morale.
3. On the managers:
a. Strained superior-subordinate relations.
b. Increase in the degree of supervision and control.
c. Increase in indiscipline cases
d. Increase in unrest and thereby machinery to maintain industrial peace
Employee Grievance Procedure Applicable In India
Employee grievance procedure
Grievance procedure or redressal procedure is the formal system for dealing wit employee grievance. It
involves several steps through which an affected employee can take his grievance to successively higher
levels of management for redressal.
Steps in grievance procedure
1. Identification of grievance
2. Define correctly
3. Data collection
4. Analyse and solve
5. Prompt redressal
6. Implementation and follow up
1. Identification of grievance:
Those grievance of employees which are not being disclosed must be recognised by the management.
2. Define correctly:
After identifying the grievance , management should correctly define them.
3. Data collection:
Every data related to grievance must be gathered from all sources and after that it should be classified as
facts, data, opinion etc.
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4. Analyse and solve:
After data collection, analysis of information must be done in order to develop alternative solution and
select the best solution.
5. Prompt redressal:
After the analysis of grievances, it must be redressed immediately y implementing the solution in a speedy
manner.
6. Implementation and follow up:
There should be follow up after the implementation of the solution to check the effectiveness of the
solutions.
Grievance Management In India
A grievance is a formal dispute between an employee and management on the conditions of employment.
The existing labour legislation is not being implemented properly by employers. There is lack of fairness
on their part.
Welfare officers have also not been keep on protecting the interests of workers in the organised sector.
In certain cases they are playing a dual role. It is unfortunate that the public sector, which should set up
an example for the private sector, has not been implementing labour laws properly.
Guidelines for handling grievances-
The following guidelines may help a supervisor while dealing with grievances. He need not follow all
these steps in every case. It is sufficient to keep these views in mind while handling grievances.
1. Treat each case as important and get the grievance in writing.
2. Talk to the employee directly. Encourage him to speak the truth. Give him a patient hearing.
3. Discuss in a private place. Ensure confidentiality, if necessary.
4. Handle each case within a time frame.
5. Examine company provisions in each case. Identify violations, if any, do not hold the back the remedy
if the company is wrong. Inform your superior about all grievances.
6. Get all relevant facts about the grievance. Examine the personal record of the aggrieved worker. See
whether any witnesses are available. Visit the work area. The idea is to find where things have gone
wrong and who is at fault.
7. Gather information from the union representative, what he has to say, what he wants, etc. Give short
replies, uncovering the truth as well as provisions. Treat him properly.
8. Control your emotions, remarks and behaviour.
9. Maintain proper records and follow up the action taken in each case.
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DISCIPLINE
• Meaning and Definitions
• Discipline refers to a condition or attitude, prevailing among the employees, with respect to rules
and regulations of an organisation. Discipline in the broaer sense means “orderliness, the
opposite of confusion. It does mean a strict and technical observance of rigid rules and
regulation's. It simply means working, cooperating and behaving in a normal and orderly way, as
any responsible person would expect an employee to do.”
• DEFINITION
Discipline is the orderly conduct of affairs by the members of an organization who adhere to its
necessary regulations because they desire to cooperate harmoniously in forwarding the end
which the group has in view and willingly recognize that, to do this, their wishes must be brought
into a reasonable unison with the requirements on the group in action. - Ordway Teads
Discipline is the process of training a worker so that he can develop self-control and can become
more effective in his work.
OBJECTIVES OF DISCIPLINE:
To obtain a willing acceptance of the rules, regulations and procedures of an organization so that
organizational goals may be attained.
To impart an element of certainty(faith) despite several differences in informal behaviors pattern
and other related changes in an organization.
To develop among the employees a spirit of tolerance and a desire to make adjustments.
To give and seek direction and responsibility
To create an atmosphere of respect for the human personality and human relations
To increase the working efficiency and morale of the employees so that their productivity is
improved.
TYPES OF DISCIPLINE
1. Self-controlled Discipline: In self-controlled discipline the employee brings her or his behavior
in to agreement with the organizations official behavior code, ie the employee regulate their
activities for the common good of the organization. As a result the human beings are induced to
work for a peak performance under self-controlled discipline.
2. Enforced Discipline: Is a managerial action enforces employee compliance with organization’s
rules and regulations. ie it is a common discipline imposed from the top. Here the manager
exercises his authority to compel the employees to behave in a particular way
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The Hot Stove Rule
• The "Hot-Stove Rule" of Douglas McGregor gives a good illustration of how to impose disciplinary
action without generating resentment. This rule draws an analogy between touching a hot stove,
and undergoing discipline. When you touch a hot stove, your discipline is immediate, with
warning, consistent, and impersonal.
Principles of Red Hot Stove
• Principle of Immediate Action: It is a well-known fact to every person that if he will touch a red
hot stove, he will get burnt. Similarly as soon as any kind of misconduct is done by the employee,
the manager should immediately take action against that employee.
• Principle of warning: it is very well known to the person that after touching the red hot stove he
would get burnt. Similarly, all the employees should be aware of the punishment they will get
after violating the rules or committing any mistake.
• Principle of impersonality: This principle say that each person who touches the red hot stove will
get injured by the burn. The red hot stove does not see who is touching it. In the same way, the
disciplinary action should be equal for all the employees. The manager must show equal level of
judgment to all employees.
• Principles of consistency: On touching a red hot stove, every person will burn his fingers in the
same way. This principle of red hot stove rule says that disciplinary action should be consistency
for all employees. Manager should impose the same punishment for everybody regardless of the
fact whether the violator is a male or female.
INDISCIPLINE:-
Indiscipline means disorderliness, insubordination and not following the rules and regulation of
an organization.
The symptoms of indiscipline are change in the normal behavior, absenteeism, apathy (boredom),
go-slow at work, increase in number and severity of grievances, persistent (stubborn) and
continuous demand for overtime allowance, and lack of concern for performance.
Causes of indiscipline:-
• Non-placement of the right person on the right job
• Undesirable behavior of senior officials.
• Faulty evaluation of persons and situations by executives leads of favoritism.
• Lack of upward communication.
• Leadership which is weak, flexible, incompetent and distrustful.
• Defective supervision and an absence of good supervisors who know good techniques, who are
in a position to appreciate critically the efforts or their subordinates.
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• Lack of properly drawn rules and regulations.
• Workers’ personal problems, their fears, worries, hopes and aspirations; and their lack of
confidence in and their inability to adjust with their superior and equals.
• Worker’s reactions to rigidity and multiplicity of rules and their improper interpretation.
• Intolerably bad working conditions.
• Inborn tendencies to flout (break) rules.
• Errors of judgment on the part of the supervisor or the top management.
• Improper co-ordination, delegation of authority and fixing of responsibility.
• Discrimination based on caste, color, creed, gender, language, and place in matters of selection,
promotion, transfer, placement and discrimination in imposing penalties and handling out
rewards.
APPROACHES TO DISCIPLINE:-
The different approaches to discipline include;
• Human relation approach: In human relation approach the employee is helped to correct his
deviations
• Human resources approach: Under the human resources approach, the employee is treated as
resource and the act of indiscipline are dealt by considering the failure in the area of development,
maintenance and utilization of human resources.
• Group discipline approach: The group as a whole sets the standards of discipline, and
punishments for the deviations. The individual employees are awarded punishments for their
violation under the group discipline approach.
• Leadership approach: In this approach, every supervisor administers the rules of discipline and
guides, trains and controls the subordinates regarding disciplinary rules.
• Judicial approach: In judicial approach, in-disciplinary cases are dealt on the basis of legislation
and court decisions.
The Industrial Employment Act, 1946, to a certain extent, prescribed the correct procedure that
should be followed before awarding punishment to an employee in India.
PRINCIPLES FOR MAINTENANCE OF DISCIPLINE:-
The most important principles to be observed in the maintenance of discipline have been outlined
by Yoder, Heneman, Turnbull and Harold Stone. They are:
All the rules should be framed in co-operation and collaboration with the representatives of
employees.
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All the rules should be appraised at frequent and regular interval to ensure that they are, and
continue to be, appropriate, sensible and useful.
Rules should vary with changes in the working conditions of employees.
Rules should be uniformly enforced if they are to be effective.
Penalties for any violation of any rules should be clearly stated in advance.
A disciplinary policy should have as its objectives the prevention of any violation rather than the
simple administration of penalties; however it should be preventive (precaution) rather than
punitive (correction).
Extreme caution should be exercised to ensure that infringements are not encouraged.
If violations of a particular rule are fairly frequent, the circumstances surrounding them should be
carefully investigated and studied in order to discover the cause or causes of such violations.
Some offenders would almost certainly violate rules more often than others. These cases should
be carefully considered so that their causes may be discovered.
ASPECTS OF DISCIPLINE:-
Positive aspect: Employees believe in and support discipline and adhere to the rules, regulations
and desired standards of behaviour. Discipline takes the form of positive support and
reinforcement for approved actions and its aim is to help the individual in moulding his behavior
and developing him in a corrective and supportive manner. This type of approach is called positive
approach or constructive discipline or self-discipline.
Positive discipline takes place whenever the organizational climate is marked by aspect such as
payment of adequate remuneration and incentives, appreciation of performance and
reinforcement of approved personnel behaviour or actions etc.
which will motivate employees to adhere to certain rules and regulations or exercise self-control
and work to the maximum possible extent.
Negative aspect: Employees sometimes do not believe in and support discipline. As such, they do
not adhere to rules, regulations and desired standards of behaviour.
As such, disciplinary programme forces and constraints the employees to obey orders and
function in accordance with set rules and regulations through warnings, penalties and other
forms of punishment. This approach to discipline is called negative approach or corrective
approach or punitive approach.
EFFECTIVE RULES OF DISCIPLINE:-
McGregor (1967) developed a set of rules for enforcing discipline so as to make it as fair
and growth producing as possible. These rules were called “hot stove rules” because they can be
compared to someone touching a hot stove..
The following rules explain his theory:
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• All individuals must be forewarned that if they touch the hot stove (i.e., break a rule), they will be
burned (punished or disciplined). They must know the rule beforehand and be aware of the
punishment
• If the individual touches the stoves (i.e., breaks a rule), there will be immediate consequences
(getting burned). All discipline should be administered immediately after rules are broken.
• If the individual touches the stove again, they will again be burned. Therefore, there is
consistency. Each time, the rule is broken; there are immediate and consistent consequences.
• If any other individual touches the hot stove, they will also get burned. Discipline must be
impartial and everyone must be treated in the same manner if the rule breaking is the same.
PROBLEM EMPLOYEE:-
• Problem employees are those employees who create problems within the organization.
Substance abusers, angry or withdrawn workers, personnel with excessive absenteeism, and the
terminating employees provide challenges to nurse managers. In each case the nurse manager
must be alert to the symptoms of problems, help the employee solve the problem, and evaluate
the results.
• Problems of the employee includes following:-
Minor problems : example;
• Late attendance or absence from duty without permission or leave.
• leaving work place without permission
• Smoking or eating in prohibited areas and patient areas.
• laziness inefficiency or careless work
Penalty: Warning, Fine, Suspension without pay and allowance up to 4 days
Major problems: example;
• Using hospital facilities unauthorized for personal gain
• Refusal to accept or obey an order, using indecent languages
• Gross negligence or neglect of work
Penalty: Suspension without pay and allowances for a period up to 30 days, Stoppage of one or
more increments, Demotion to lower post, Dismissal.
Types of problem employee:-
• Substance abusers
• Angry or withdrawn employees
• Decreased productivity
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• Absenteeism
• Terminating employees
DICIPLINARY PROCEDURE:-
The following steps should be taken into consideration:
• Accurate statement of the problem- The first step is to ascertain the problem by seeking answer
to the following questions:
• Does this case call for a disciplinary action?
• What exactly is the nature of the violation or offence?
• Under what condition did it occur?
• Which individual or individuals were involved in it?
• When or how often, did the violation occur?
• Collecting facts bearing on the case- Before any action is taken in a case, it is essential to gather
all the facts about it. A thorough examination of the case should be made within the stipulated
time limit.
• Selection of tentative penalties- The kind of penalty to be imposed for an offence should be
determined beforehand.
• Choice of Penalty- When a decision has been taken to impose a penalty, the punishment to be
awarded should be such as would prevent a recurrence of the offence.
• Application of the Penalty- The application of the penalty involves a positive and assured attitude
on the part of the management. If the disciplinary action is a simple reprimand, the executive
should calmly and quickly dispose of the matter.
• Follow-up on disciplinary action- The ultimate purpose of disciplinary action is to maintain
discipline, to ensure productivity, and avoid a repetition of the offence. A disciplinary action
should, therefore, be evaluated in terms of its effectiveness after it has been taken.
BASIC INGREDIENT FOR A DISCIPLINARY ACTION:-
The principle ingredients of a sound disciplinary system are:
Location of responsibility
Proper formulation and communication of rules
Rules and regulations should be reasonable
Equal treatment
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Disciplinary action should be taken in Private
Importance of promptness in taking Disciplinary action
Innocence is presumed
Get the facts
Action should be taken in cool atmosphere:
Natural justice
After a disciplinary action has been taken the Supervisor should treat his subordinate
in a normal manner
Don’t back down when you are right
Negative Motivation should be handled in a positive manner
TYPES OF PUNISHMENT:-
When the delinquent employee is going to be punished, the type of punishment should
be a commensurate with the severity of the omission or misconduct.
Different types of punishment resulting from various types of omission or misconduct are
as follows:
• Oral warnings
• Written warnings
• Loss of privileges and fines
• Punitive suspension
• Withholding of increments
• Demotion
• Termination
ROLE OF PERSONNEL MANAGER/ SUPERVISOR:-
A personnel manager has got a crucial role to play when it comes to maintenance of
effective employee discipline is concerned. He has got numerous responsibilities such as;
1. Advising and assisting top and line management in determining and developing an
appropriate disciplinary procedure.
2. Assisting in communication the same to all the employees of the organization.
3. Seeing the disciplinary policy conforms to the legal provisions of the State.
4. Looking after the procedures laid down, looking after the disciplinary action as fair, and
conforms with appropriate principles of personnel management
5. Training the supervisors and executives in dealing with disciplinary cases and problems.
6. Involving the trade union and the employees in determining and implementing
disciplinary procedures.
7. Development of self-discipline and self-control on the part of the employees and winning
over the confidence of employees in disciplinary policies and procedures.
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