UNIT-6

EMPLOYEE WELFARE

Introduction

Employee or labour welfare is a comprehensive term including various services, benefits and
facilities offered to employees by the employer. Through such generous fringe benefits the
employer makes life worth living for employees. The welfare amenities are extended in addition
to normal wages and other economic rewards available to employees as per the legal
provisions.

According to Dr.Parandikar” labour welfare work is work for improving the health, safety and
general wellbeing and the industrial efficiency of the workers beyond the minimum standard laid
down by labour legislation”

Welfare measures may also be provided by the government, trade unions and non-government
agencies in addition to the employer. The basic purpose of labour welfare is to enrich the life of
employees and keep them happy and contented. Welfare measures may be both statutory and
voluntary. Labour laws require the employer to extend certain benefits to employees in addition
to wages. Voluntary benefits are the result of employer’s generosity, enlightenment and
philanthropic feelings.

Types of Welfare Facilities and Statutory Provisions.

Welfare services may broadly be classified into two categories

1. Intramural activities which are provided within establishment such as latrines and urinals,
creches’, rest centers, canteens, uniforms, library. Medical aid, subsidized food, shift
allowance etc.

2. Extramural activities which are undertaken outside the establishment such as family
planning, child welfare, cooperative stores, credit societies, vocational guidance, holiday
homes, leave travel facilities, transport to and from the place or work .etc.
Statutory Provisions.

Employers are required to offer welfare facilities to workers under different labour laws. The
Factories Act, 1948

The Act provides the following services to workers:

• Washing facilities to male and female workers separately

• Facilities for storing and drying clothes

• Facilities for occasional rest for workers who work in a standing position for long
hours.

• First aid boxes or cupboards- one for every 150 workers and the ambulance facility if
there are more than 500 workers

• Canteens, where there are more than 250 workers

• Shelters rest rooms and lunch rooms where over 150 workers are employed

• Creche, if 30 or more workers are employed

• Welfare officer, if 500 or more workers are employed. The Plantation Act, 1951

• The Act provides for the following:

• A canteen if 150 or more workers are employed

• Creche, if 50 or more women workers are employed

• Recreational facilities for workers and their children

• Educational arrangements in the estate if there are 25 or more children of

workers,between the age of 6 and 12

• Housing facilities for every worker and his family residing in the estate.

• Medical aid to workers and their families’ sickness and maternity allowance.

• Providing umbrellas, blankets, raincoats to workers as a protection against rain or

cold as prescribed by the state government.

• Welfare officer, if 300 or more workers are employed. The Mines Act, 1951

• The Act provides for the following:

 • Shelters for taking food and rest if 50 or more workers are employed

• First aid boxes and first-aid rooms if 150 or more workers are employed.

• A canteen if employing 250 or more workers

• A creche if employing 50 or more females

• Pit-head baths equipped with showers, sanitary latrines

• Welfare officer if 500 or more workers are employed The Motor Transport Act, 1961

• The Act provides for the following:

• First aid equipment in each transport vehicle

• Medical facilities at the operating and halting centers

• Canteen if employing 100 or more workers

• Comfortable, clean, ventilated and well-lighted rest rooms at every place where
motor transport workers are required to halt at night.

• Uniforms, rain coats to conductors, drivers and line checking staff for protection
against cold and rain

• Prescribed amount of washing allowance to the above staff members.

The Contract Labour (Regulation and Abolition) Act,1970

The act requires the contractor to extend the following benefits to workers:

• 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 with the work of an establishment Washing facilities

• First aid boxes equipped with prescribed contents. Labour Welfare Officer

The Factories act, 1948,The Plantation act 1951 and the Mines act 1951 provide for the
appointment of a labour Welfare Officer if the number of workers employed within a unit
exceeds 500(300 as per the plantation act).The post has been created specifically to:

1. Eliminate the malpractices of the recruitment system

 2. Improve labour administration in the factories

3. Serve as a liaison with the state labour commissioner

The Labour Welfare Officer should possess a university degree/diploma in social service form a
recognized institution and adequate knowledge of local language where the factory is situated.
The duties and Responsibilities of a Labour Welfare Officer many be summarized (Central
Welfare Officers Rules 1951)

• Advisory: advising & suggesting in the formulation of labour laws

• Service oriented: Offers help to workers to solve their problems

• Supervisory: He can supervise, inspect and regulate welfare activities

• Functional: Check the implementation of labour laws

• Policing: He can forward workers grievances to management, can influence Industrial

relations and can restrain workers from resorting to illegal strikes and lockouts

• Mediation: can mediate and build harmony between labour and management

Employee Grievances

A grievance is a sign of employees’ discontent with job and its nature. Grievance is caused due to
the difference between the employee expectation and management practice

Causes of Grievance

• Wages, Incentives

• Job Classifications

• Foreman/Supervisor Disciplinary Measures

• Promotions

• Transfer/Night Shift

• Safety And Health Measures

• Non Availability Of Materials

• Violation Of Contracts
 • Improper Job Assignment

• Work Conditions

Employee Grievance procedure

3 important principles of grievance settlement are

1. Settlement at the lowest level

2. Settlement as expeditiously (speedily and efficiently)as possible

3. Settlement to the satisfaction of the aggrieved Settlement of grievances at 3 levels

• Immediate supervisor(reply within 2 days)

• Departmental/factory head(reply within 3 days)

• Grievance committee(within 7 days)

• Else, appeal for further voluntary arbitration

Grievances Management in Indian Industry.-Grievance Machinery

• A grievance machinery is required to administer the grievance procedure

• Departmental representatives are selected to take forward the grievance procedure to

solve the problems as a committee

At present, there are three legislations dealing with grievances of employees working in
industries. The Industrial Employment (Standing Orders) Act, 1946, requires that every
establishment employing 100 or more workers should frame standing orders. These should
contain, among other things, a provision for redressal of grievances of workers against unfair
treatment and wrongful actions by the employer or his agents. The Factories Act, 1948, provides
for the appointment of a Welfare officer in every factory ordinarily employing 500 or more
workers. These Welfare officers also look after complaints and grievances of workers. They will
look after proper implementation of the existing labor legislation. Besides, individual disputes
relating to discharge, dismissal or retrenchment can be taken up for relief under the Industrial
Disputes Act, 1947, amended in 1965. However, the existing labor legislation is not being
implemented properly by employers. There is lack of fairness on their part. Welfare officers have
also not been keen on protecting the interests of workers in the organized 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 labor laws properly.

Grievances Management in Indian Industry.

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.

Treat each case as important and get the grievance in writing.

• Talk to the employee directly. Encourage him to speak the truth. Give him a patient
hearing.

• Discuss in a private place. Ensure confidentiality, if necessary.

• Handle each case within a time frame.

Examine company provisions in each case. Identify violations, if any. Do not hold back the
remedy if the company is wrong. Inform your superior about all grievances.

• 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.

• 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.

• Control your emotions, your remarks and behavior.

Maintain proper records and follow up the action taken in each case

Discipline

Meaning

• Discipline refers to a condition or attitude among employees with respect to rules and
regulations of an organisation
• Discipline refers to the orderliness in working and behavior Objectives of Discipline

• To obtain a willing acceptance of the rules, regulations

• To impart an element of certainty

• To develop the spirit of tolerance and adjustments

• To give and seek direction and responsibility

• To create an atmosphere of respect

• To increase the working efficiency and morale of the employees

1. Positive Approach

2. Progressive discipline

3. Red Hot stove Rule

4. Judicial Approach to Discipline in India.

A Positive Approach to Employee Discipline

Traditionally, methods for maintaining discipline have been punitive in nature. The relatively
new concept of a non-punitive positive discipline system is winning increasing acceptance among
many employers. The purpose of this method is to enable employees to truly confront their
performance or attendance problems and take responsibility for their actions.

To be effective, disciplinary action should emphasize correcting the problem rather than
punishing the offender. It should maintain the employee's dignity and self-respect. It should
provide for increasingly serious steps if the problem is not resolved, and it should ultimately
result in a change in the employee's behavior and performance.

Like traditional approaches, the positive discipline approach involves a number of formal steps
that increase in seriousness. But unlike punitive disciplinary systems, the positive approach
emphasizes reminders of

expected not warnings or reprimands for misconduct.

performanc—e Step 1:
Oral Reminde—r
The first step in the positive discipline approach is a meeting between a supervisor
and the employee to discuss the problem. The supervisor tells the employee the reason for the
rule that has been violated, tells the employee the specific changes that are required, and
expresses confidence that the employee will correct the problem and the expectation that no
further action will be needed. No record of the meeting is placed in the employee’s file. This is
communicated to the employee, hopefully providing a strong incentive for improvement.

Step 2: Written Reminder — If the problem continues, the supervisor again talks to the
employee seriously, but without threats. The supervisor tells the employee what is expected and
asks the employee to confirm that he or she understands what changes must be made. At the
end of the discussion, the supervisor tells the employee that a written summary of their
conversation will be placed in the employee's file. It's recommended that the employee be asked
to sign the report of the documented discussion.

Step 3: Decision-Making Leave — In traditional discipline systems, the next step involves
suspending the offending employee for several days. In the positive discipline approach, the
supervisor tells the employee to remain at home the following day and to use that time to make
a final decision as to whether she or he can meet the organization's standards. The employee is
told that the organization wants to keep him or her as a productive member of the work force,
but that the decision is up to the employee— and future violations will result in termination. The
employee is told to report back to the supervisor after the decision- making leave day to let the
supervisor know his or her decision. The employee may be asked to develop a plan for
improving his or her performance. Upon returning to work, the results of the meeting with the
supervisor should be documented, signed by the employee, and placed in the employee's
personnel file.

Progressive Approach to discipline

It is an employee disciplinary system that provides a graduated range of responses to employee

performance or conduct problems. Disciplinary measures range from mild to severe, depending
on the nature and frequency of the problem. For example, an informal coaching session might
be appropriate for an employee who is tardy or violates a minor work rule, while a more
serious intervention -- or even termination -- might be called for if an employee commits serious
misconduct or doesn't improve a performance problem after receiving several opportunities to
do so.
Most large companies use some form of progressive discipline, although they don’t necessarily
call it by that name. Whether they are referred to as positive discipline programs, performance
improvement plans, corrective action procedures, or some other title, these systems are all
similar at their core, although they might vary in the details. All are based on the principle that
the company's disciplinary response should be appropriate and proportionate to the employee's
conduct.

Red 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.

These four characteristics, according to McGregor, as applied to discipline are self-serving and
may be explained as follows:

1. When you touch the Hot stove, you burn your hand. The burn was immediate. Will you
blame the hot stove for burning your hand? Immediately, you understand the cause and
effect of the offense. The discipline was directed against the act not against anybody else.
You get angry with yourself, but you know it was your fault. You get angry with the hot
stove too, but not for long as you know it was not its fault. You learn your lesson quickly.

2. You had warning as you knew the stove was red hot and you knew what would happen to
you if you touched it. You knew the rules and regulations previously issued to you by the
company prescribing the penalty for violation of any particular rule so you cannot claim
you were not given a previous warning.

The discipline was consistent. Every time you touch the hot stove you get burned.
Consistency in the administration of disciplinary action is essential. Excessive leniency as
well as too much harshness creates not only dissatisfaction but also resentment.
The discipline was impersonal. Whoever touches the hot stove gets burned, no matter
who he is. Furthermore, he gets burned not because of who he is, but because he
touched the hot stove. The discipline is directed against the act, not against the person.
After disciplinary action has been applied, the supervisor should take the normal
attitude toward the employee.
Judicial Approach to Discipline in India

The Industrial Employment (Standing Orders) act was passed in 1946 with a view to improve the
industrial relations climate. The Act requires that all establishments must define the service rules
and prepare standing orders. The term standing orders refers to the rules and regulations which
govern the conditions of employment or workers. They indicate the duties and responsibilities
on the part of both the employer and the employees. The standing order contain rules relating
to:

Classification of employees ,working hours, holidays, shift working, attendance ,leave,

suspension, termination, stoppage of work etc..

Thus standing order specify the terms and conditions which regulate the employee-employer
relationship within a unit. Any violation of these terms and conditions may lead to misconduct
or indiscipline.

Essential of a good disciplinary system

To avoid conflict and lawsuits, managers must administer discipline properly.

1. Rules and Performance criteria

2. Documentation of the facts

3. Consistent response to rule violations

4. Training of supervisors

5. Prompt action

6. Impersonal discipline

7. Reasonable penalty Follow-up

Principles of a Natural Justice

• The employee must be indicated about the charge against him

• The employee must be given a chance for defense

• The enquiry must be fair and impartial

 • The evidence should be put forward in front of the employee

• Punishment should be appropriate with the misconduct

Managing difficult employees.

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.

Types of problem employee:-

• Substance abusers

• Angry or withdrawn employees

• Decreased productivity

• Absenteeism

• Terminating employees

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