1 Employee Benefits
1 Employee Benefits
1 Employee Benefits
INTRODUCTION
TO
THE PROJECT
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INTRODUTION TO THE PROJECT
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The social concept of benefit implies the benefit of man, his family and
his community. There is interconnection among these three aspects, in the sense that all
the three work together or individually supplement one another, in a three dimensional
approach, each mutually serving as ends and means.
Benefit is called a relative concept, for it is related to time and space,
changes in which have an impact on the system of welfare too.
After the industrialization many problems did arise. Some were directly
related to employee. The problem of low wages, long working hour health and safety,
recruitment of qualified employees, absenteeism. Absenteeism has been a serious
problem in a developing country like India. Employee Benefit in simple words is a
welfare facility which is provided by employer to this employee for their betterment.
However the concept of employee benefit is flexible, elastic and it differs from
country to country. The concept of employee benefit originated in the desire for a
humanitarian approach to the sufferings of the working class. It has become a
motivating force for employees.
PRIMARY OBJECTIVES:-
1. To find out the awareness level among the employees about various beneficial
facilities offered to employees in the organization.
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2. To know the various medical facilities offered to employees in the organization.
SECONDARY OBJECTIVES:-
LOCATION:-
This company is being located in additional MIDC, Satara.
DURATION:-
The duration of the project was 1st June-31st July 2010.
1.3 IMPORTANCE:-
As employee is a real power of an organization and directly he is related with
productivity and profitability of the company so the company provides him with the
benefits. These benefits act as a motivating factor in increasing productivity.
This plays an important role in reducing absenteeism so the benefit facilities are
directly related to organizational benefits.
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1. The scope of the study is that it is restricted to “Employee Benefits” only.
2. The scope of the study is restricted to proper analysis of workers attitude towards the
benefits.
2.
THEREOTICAL
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BACKGROUND
THEREOTICAL BACKGROUND
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time to time, region to region, industry to industry & country depending upon various
factor.
Definition.
Many authors give defamations of Employee benefits. There is no
precise definition
Mr. Arthur James Todd. “A series of sharply diverse opinion exists on the
motive & merits of industrial welfare according to the report of employee
organization."
Worker’s benefit should be an extent as meaning such services, facilities &
amenities which may be established in or the vicinity or undertaking to enable the
person employed in them to perform their work in healthy manner.
The report of the committee on employee benefit such services, facilities,
amenities & adequate canteen, rest facilities arranged for travel to far accommodation
for workers employed at a distance from their homes & such other services, amenities
& facilities including social security measures as a contribution to improve the
condition under which workers are employed.
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Employee Benefit today has become a wide subject, comprehensive &
controversial. It covers a very broad field. The term benefit suggests many ideas
meanings and connotations, such as the state of well being, health, happiness &
prosperity & the development of human resources. The social concept of benefit
implies the benefit of the man, his family & his community. There is a interconnection
among these three aspect, in the sense that all the three work together or individually
supplement one another in a three dimensional approach each mutually serving as ends
means.
Benefit is called relative concept, for it is related to time & space, changes in
which have an impact on the system.
The characteristics of employee benefit vary for it depends largely on the
conscience of the community, the scientific advancement & the development nation in
all fields.
Employee Benefit is also a positive concept. In order to establish minimum
level of facility, it demands certain minimum acceptable contentions of existence
biologically & socially. This positive nature calls for setting our of minimum desirable
standards necessary in regards to certain components of benefit such as health, food,
clothing, housing, insurance, education, recreation and so on.
However, the employee benefit has both positive & negative sides associated to
it. On the positive side, it deals with provisions of opportunities which enable the
worker & his family to lead a good life socially & personally, as well as help him
adjust in the social transition in regard to his work life, family life & social life.
On the negative side, employee benefit functions, in order to neutralize the
beneficial effects of large scale industrialization & provide a counter balance to the
undesirable social consequences & the employee problem which have evolved in the
process of these transitions the world employee means the productive activity.
Thus in broader sense, the phrase 'Employee Benefit' means the adoption of
measures to promote the physical, psychological, social & general well being of the
working population. Welfare worked in any industry aims or should aim at improving
working and living conditions of worker and their families.
The concept of employee benefits originated in the desire for a humanitarian
approach to reduce the sufferings of the working class. Later it became a utilitarian
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philosophy which works as a motivating force for employees & those who were
interested in it.
3. Trusteeship Theory:-
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According to this theory the industrialist are the employer who holds the total
industrial estate, properties and benefit and profits accelerating from them in trust. In
other words he uses it for himself, for benefit of his worker and also for society. The
main emphasis here is on the idea that employers should provide out the funds under
their control, for the well being of their workers. It has no legal sanction so its value is
related to moral conscience of industrialists. This theory treats worker as perpetual
minors and industrialists as external guardians.
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Necessity of Employee Benefits:-
The necessity of employee benefit is felt more because of the developing
economy aimed at rapid economic and social development. In this process it is trying
to check the baneful effects of industrial revolution which are adversely affected the
people all over the world. The necessity of employee benefit came in a generous
mention in a resolution passed by Indian national congress. The resolution emphasized
that the state should safe guard the interest of industrial workers and should secure
them, by suitable legislation, a living wage/salary healthy conditions to work limited
hours of work suitable machinery for settlement of disputes between employees and
workmen and protection against the economic consequences of old age sickness and
unemployment.
Industrial Peace:-
The Employee Benefit activities influence the sentiment of workmen when the
workers felt that the employer and states are interested in their happiness, his tendency
to grouse and gamble will steadily disappear the development of such feeling and we
should increase the industrial peace.
Proper Thinking:-
The various beneficial measures such as housing scheme, canteens, medical
facilities etc. make the workmen to realize that they are safe industry in which they are
engaged and so they will think thrice before taking any reckless action which may
disturb the interest of industry.
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Employee Absenteeism and Turnover:-
The benefit activities will reduce the employee absenteeism and turnover and
create permanent settles employee force by making services more attractive for
workmen.
High productivity:-
The beneficial measure always increases the efficiency and productivity and
productivity of industry. A high standard of efficiency can be expressed only from
those persons who are physically fit and free from mental worries who are properly
treated trained, clothed and properly housed.
Co-operation:-
The employee benefits work intend to develop a real change of hearts and
change interest taken the past of employees and workers. This may provide a proper
cooperation for industrial peace.
The objective of employee benefit has progressively changed during the last
few decades. From the primitive policing and placating philosophy of employee
benefit, it gradually moved to the era of paternalism with philanthropic objectives.
Even today there is an evidence of humanitarian outlook of some of the employees in
many employee welfare programmers.
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The recent thinking in employee benefit however, is more oriented towards
increasing productivity and efficiency at workplace. An outstanding trend today is that
it has become a comprehensive concept concerned with the development of total
human personality embracing physical, mental, social, psychological and spiritual
aspect of employee well being.
Partly humanitarian:-
To enable workers to enjoy a fuller and richer life.
Partly economic:-
To improve the efficiency of workers.
Partly civic:-
To develop among the workers a sense of responsibility and dignity thus make
them worthy citizens of the nation.
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by the employees, govt., trade unions such as adequate canteens, rest and recreational
facilities sanitary and medical facilities, arrangements of tours etc.
The scope of employee benefit should also include social security measure
which contributes to the workers benefit such as industrial health, insurance, provident
fund, gratuity, maternity benefits, workmen compensations, retirement benefits etc.
KEY CONCEPT:-
STATUTORY BENEFIT MEASURES:-
• Washing Facilities:-
a) In every factory – adequate and suitable facilities for washing should be
provided and maintained for the use of workers therein.
b).The state govt. may in respect of any factory or class or description of
factories or of any manufacturing process, prescribe standards of adequate and suitable
facilities for washing.
• Facilities for sitting:-
a) In every factory suitable arrangements for sitting shall be provided and
maintained for all workers obliged to work in a standing position, in order that they
may take advantage of any opportunities for rest which may occur in their course of
work.
• First aid appliances:-
a) The company should provide the first aid appliance during all working hours.
There should be first aid box equipped with the prescribed contents and the number of
such boxes or cupboards to be provided and maintained shall not be less than one for
every one hundred and fifty workers ordinarily employed at one time in the factory.
• Canteens:-
a) The state govt. make the rules requiring that in any specified factory wherein
more than two hundred and fifty workers are employed , a canteen or canteens should
be provided and maintained by the occupier for the use of workers.
• Shelters, restrooms and lunch room:-
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a) In every factory, wherein more than one hundred and fifty workers are
employed adequate and suitable shelters or restrooms and suitable lunch room, with
provision for clean drinking water where workers can eat their food.
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The industrial employer provides housing facilities to their workers. Some
companies encourage its employees to construct their own houses by allotting them
land at nominal rent at certain conditions. Some companies render assistance to the
cooperative housing societies formed by its employees. Some companies provide self
contained houses and some pay house rent allowance.
3.
COMPANY
PROFILE
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COMPANY PROFILE
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Kavitsu Transmission Pvt. Ltd. was established on 1st June 1992 at additional M.I.D.C.,
Satara. Mr. VASANT PHADTARE is the Managing Director of the company. He is
B.E. (Mech.). In early days the company did the job works for ‘PMP’ and other
customers.
They started the company with 7 machines and 8 workers.
The company was started as “KAVITSU TECHNIQUE” and it was a proprietary type.
After year 2000 the company becomes, “KAVITSU TRANSMISSIONS Pvt. Ltd”.
In 1995 the company develops new idea and design of the Gear Box and started to
manufacture their first product as Planetary Speed Reducer. At that and scale was 5
lakhs. As time goes on increasing and new development introduced in product. Today,
they have number of different products and many famous customers all over India.
Their main customers are “Concast India, Mukund Ltd.” and “Manu Graph India Ltd.”
etc. Now Kavitsu is one of the leading manufacturers of Planetary Gear Boxes in India.
They have manufacturers over 1 lakhs Gear Boxes up to capacity of 2.5 lakhs Nm. In
last 15years. Now they have long list of their satisfied customers. Kavitsu Transmission
Pvt. Ltd., introduce new series in shaft mounted Gearboxes to serve the various
applications in industrial use. Last year they have introduced a new product i.e.
‘Slewing ring bearings’.
They will like to project themselves as growth oriented company with concentration on
centrifugal technology. They are in process of modernizing and upgrading their
technology to increase output, reduce cost and to acquire customers all over the India.
a. Increase in productivity
b. Timely delivery of product
c. Quality improvement
d. Product up gradation with continuous research and development
e. Meet the needs and expectations of customers consistently.
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Organizational Chart:-
Managing Director
Job Inspector
Asst. Accountant Asst. Accountant
Marketing
Design Logistic Purchase Manager
Manager Manager Manager
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LIST OF COMPETITORS:-
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5.Elecon Engineering Company.
6.Vijay Engineering Works.
7.Shanti Gears.
8.Premium Pvt. Ltd.
9.Magtorq Pvt. Ltd.
10. Transmitecs Pvt. Ltd.
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Motto of Kavitsu “Excellence in Gear Technology”
Investment 1.3 Corers
Organization Private Limited
Activities of Organization:-
Kavitsu Company has provided more than fifteen types of Gear Boxes. The Customer
is more satisfied because of their quality of work and service.
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The State electricity board supplies the electricity to this organization. It has back up
generator in case of any failure to take care of all the activities. The company provides
uniform to the employee. Most effective activity of company that is employment
promotion programmes.
Major Customers:-
Company Goal:-
Quality Policy:-
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in organizational operations, process and products with involvement of employers,
suppliers, customers and financers to achieve the continuous growth in organisation
Future Plan:-
Personnel department of the Kavitsu Transmissions Pvt. Ltd. includes two members
one is Personnel manager and other is Assistant of personnel Manager other members
of staff also help to the personnel department. Right now Personnel department handles
the administrative work. It also plays important role in keeping record of each
employee, their salary, ESI, PF, recruitment, selection, exit, training etc. The total
human strength in whole organization is 240 out of them 44 are staff employees and
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Human Resource Scenario of the Organization: -
1. Human Resource 2
2. Finance 4
3. Marketing 12
4. Production 7
6. Design Dept. 6
7. Logistic Dept. 1
9. Workers 196
Total 240
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FINANCIAL SCENARIO:-
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4.
RESEARCH METHODOLOGY
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RESEARCH METHODOLOGY
The target population of this study includes employees of the Kavitsu Transmissions
Pvt. Ltd. Satara. For getting information a structure of schedule was developed to
collect data & for research use descriptive inferential type of research method.
Data required:-
Data Source:-
Primary Data:-
Secondary Data:-
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It is based on second hand information; data which has been already
collected and presented earlier by any agency the purpose of investigation is called
secondary data. The sources of data are publication of state and central government,
secondary data was collected by the means as leaflets, broachers and from various
sites.
Instrument:-
For the collection of primary data schedule are prepared. It consist some Table, close-
ended questions which help to collect the information about employee’s facility.
Sampling:-
The researcher selects 50 samples for the study. For the selection of sample size
disproportion stratified convenient sampling method was used.
Type of Research:-
Data Analysis:-
The primary and secondary data collected through some techniques. The collected data
analyzed by using some analytical techniques Such as tabulation, percentage, charts in
graphical & diagrammatical representation.
LIMITATIONS OF STUDY:-
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5.
DATA ANALYSIS &
INTERPRETATION
Introduction :-_
Analysis of data is very important to any research. The collected data should be
presented so as to interpret the results to draw conclusions. The present study is entitled as
“A study of Employee Benefits with reference with Kavitsu Transmissions Pvt. Ltd, Satara”.
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The analysis of this study is done to calculate the satisfaction level of employees in the
organization regarding the welfare facilities.
Research Tools –
Some of the tools for data collection are the usage of the schedules, interviews and
discussion to extract the essential data.
20-30 7 23.66
30-40 12 40
40 and above 11 36.66
Total 30 100
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Interpretation –
The above table shows the age group of employees. There are 23% employees under age 20
to 30. Maximum employees are in the age group 30 to 40 i.e. 40% and 37% employees are
above 40 years age. Thus it has concluded that majority of employees are under the age
group 30-40.
Interpretation –
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The above table shows the educational qualification of employees. The table shows
that 37% employees are graduate. Only 13% employees are post graduate. 50% employees
have completed their education up to H.S.C. Hence we can say that maximum employees are
educated.
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few employees are unaware about the safety facility. Few workers are unaware about the
safety programs arranged for them in the organization.
Interpretation –
The table shows level of satisfaction among employees regarding Wash room facility. The
researcher has found that 87% employees are highly satisfied with the washroom facility.
According to them the washrooms are clean and nearer to their workplaces. 14% employees
are partially satisfied with wash room facility. There are separate bathrooms and urinals for
men and women. Thus employees are much satisfied about the washroom facility. It has
concluded that no employee is dissatisfied with wash room facility and majority of
employees are highly satisfied with the wash rooms provided to them.
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Graph No. 4.2.4:
Title: Pie chart showing percentage of level of satisfaction of employees about wash
room facility-
Interpretation –
The above table shows that almost all employees are satisfied with the Medical facility
provided to them. The researcher has found that Medical check up of the employees is done
monthly in the organization. First aid box with prescribed contents is available within short
time for the workers when needed. Hygienic conditions are always maintained in and around
the workplace areas. Any injured or suffering worker is taken to the hospital within short
period.
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According to the research 53% workers are partially satisfied and 47%workers are
highly satisfied with the medical facility.
Interpretation –
The above table shows the satisfaction level of employees regarding recreation
facility. There are 33% employees who are partially satisfied and10% employees are highly
satisfied with the recreation facility. Many of the workers do not know about the recreation
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facility. 57% employees are unaware about recreation facility. Thus the organization needs to
make the employees aware about the recreation facility.
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Total 30 100
(Source: Primary data)
Interpretation –
Above table shows the level of satisfaction of employees about Transport facility.13%
employees are highly satisfied with transport facility while 60% employees are partially
satisfied with transport facility. 27% employees are dissatisfied with transport facility. Thus
majority of employees are partially satisfied with the Transport facility.
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Highly satisfied 13 43.33
Satisfied 17 56.66
unsatisfied 0 0
Total 30 100
(Source: Primary data)
Interpretation –
The table shows the level of satisfaction of employees about Safety facility. According to the
research, 57% employees are partially satisfied while 43% employees are highly satisfied
with the safety facility. The employees have interpreted that the organization is taking due
care of them. Various safety applications such as hand gloves, masks are provided to
workers. Safety programs are arranged for employees to face the any unforeseen difficulty.
0%
43%
57%
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Satisfied 17 56.66
unsatisfied 7 23.33
Total 30 100
(Source: Primary data)
Interpretation –
Above table shows the satisfaction level of employees regarding monitory benefits provided
to them by the organization. It has concluded that 20% employees are highly satisfied while
57% employees are partially satisfied with monitory benefits provided to them by the
organization.
23% 20%
57%
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(Source: Primary data)
Interpretation –
The table shows the level of satisfaction of employees about Insurance services. It has
interpreted that 13% employees are highly satisfied while 67% employees are partially
satisfied with insurance facility. The employees get benefits of the insurance services and
policies arranged for them. On another side 20% employees are unaware about the insurance
services available to them by the organization.
20% 13%
0%
67%
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Interpretation –
The above table shows level of satisfaction of employees regarding sitting arrangements. It
has interpreted that 40% employees are highly satisfied and 60% employees are partially
satisfied with sitting arrangements in and around the work area. The employees agree that
there are proper sitting arrangements are there for them.
0%
40%
60%
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Interpretation –
The above table shows the satisfaction level about number of leaves. The researcher has
concluded that 83% employees are partially satisfied with the number of leaves. While 17%
employees are dissatisfied with the number of leaves provided to them. According to these
workers leaves should be given immediately in case of emergency. Majority of employees
are partially satisfied with the number of leaves given to them.
17% 0%
83%
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6.
OBESERVATION &
FINDINGS
1. From the above research it has found that 23% employees are under the age group
20-30. 40% employees come under the age group 30-40. And 37% employees are
above age 40 years. Thus the frequency of employees under age group 30-40 is more
that that of others. (Source: Table No. 4.2.1)
2. Form the research it has interpreted that 37% employees are graduate, 50%
employees have completed their education up to H.S.C. And 13% employees are post
graduate. (Source: Table No. 4.2.2.)
3. The researcher has found that most of the employees in the organization are aware
about the welfare facilities provided to them by the organization. But there are some
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employees who are unaware about the recreation and Insurance facilities. Only 43%
employees are aware about recreation facility and 80% employees are aware about
Insurance facility. In case of other facilities, the employees are familiar with the other
facilities such as medical, wash room, transport, safety etc. (Source: Table No. 4.2.3)
4. From the above research it has found that 14% employees are partially satisfied with
wash room facility and 87% employees are highly satisfied with the washroom
facility. There is no dissatisfaction among the workers about the wash room facility.
(Source: Table No. 4.2.4)
5. The above research shows that 53% workers are partially satisfied and 47%workers
are highly satisfied with the medical facility. It has found that no worker is
unsatisfied regarding the medical facilities available in the organization. (Source:
Table No. 4.2.5)
6. It has found that there are 33% employees who are partially satisfied and10%
employees are highly satisfied with the recreation facility. It has also found that 57%
employees are unaware about recreation facility. (Source: Table No. 4.2.6)
7. The researcher has found that 13% employees are highly satisfied with transport
facility while 60% employees are partially satisfied with transport facility. 27%
employees are dissatisfied with transport facility. (Source: Table No. 4.2.7)
8. According to the research, 57% employees are partially satisfied while 43%
employees are highly satisfied with the safety facility. There is no dissatisfaction
among the employees about safety services. (Source: Table No. 4.2.8)
9. From the above research it has found that 20% employees are highly satisfied while
57% employees are partially satisfied with monitory benefits provided to them by the
organization. (Source: Table No. 4.2.9)
10. The researcher has found that 13% employees are highly satisfied while 67%
employees are partially satisfied with insurance facility. On another side 20%
employees are unaware about the insurance services available to them by the
organization. (Source: Table No. 4.2.10)
11. It has found that 40% employees are highly satisfied and 60% employees are partially
satisfied with sitting arrangements in and around the work area. (Source: Table No.
4.2.11)
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12. The researcher has concluded that 83% employees are partially satisfied with the
number of leaves. While 17% employees are dissatisfied with the number of leaves
provided to them. (Source: Table No. 4.2.12)
13. Employees are fully satisfied about Medical or First Aid Facility, Uniform Facility,
Accidental safety Facility; they are satisfied with Holiday Facility. They are Neutral
about Leave Facility & Drinking water Facility provided by company. They are
dissatisfied with the Protective Facility & Group Insurance Facility as well as They
are fully dissatisfied with Co- operative stores facility.
14. All employees in the organization are aware about benefits.
15. All employees are happy about welfare facility provided by company.
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7.
SUGGESTIONS
SUGGESTIONS:-
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by doing so the financial problems of the employees could be resolved
and they should bring in trust, goodwill and loyalty towards the
organization.
3. It is suggested that though majority of the employees are feel that the
training camps are arranged regularly but still 5% of the employees
interpret that training camps are not arranged. The organization should
educate the employees about the benefits of the safety training camps.
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8.
CONCLUSION
CONCLUSION-
From the above research the researcher has concluded that majority
employees are satisfied with the facilities. Employees feel that the
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organization is taking care of them. They are also satisfied with the job and
this factor leads to good attendance of the employees. The prosperity and
happiness of employees are always maintained by the organization.
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9.
BIBLIOGRAPHY
BIBLIOGRAPHY:-
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1. Dr. P. Subba Rao, 2007, ‘Personnel and Human resource Management’
(Text and Cases), Himalaya Publishing House, Second Revised Edition.
2. Dr. P. Subba Rao, 2008, ‘Essential of Human resource Management and
Industrial Relations’ (Text and Cases), Himalaya Publishing House,
Third Revised Edition.
3. Mamoria C. B. and Gankar S. V., 2008, ‘Human Resource Management’
Himalaya Publishing House, Seventh Edition.
4. Kothari C. R., 2004, ‘Research Methodology’ Methods and Technique,
New Age International Publishers, Second Revised Edition.
5. Internet Websites.
i. www.google.com
ii. www.wikiepedia.com
iii. www.cite.hr
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10.
ANNEXURE
QUESTIONNAIRE-
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1. Personal information:
i) Name:
ii) Age group:
20 to 30 30 to 40
40 &above
iii) Sex:
Male Female
v) Type of job :
Permanent Temporary
Yes No
Satisfied
Neutral
Dissatisfied
Excellent Average
Good Poor
Yes No
Yes No
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6. Does the organization provide medical facility for employees?
Yes No
Daily Weekly
Monthly Yearly
Yes No
Gloves Aprons
Masks Helmets
Yes No
10. Are there some monetary benefits provided by the organization except salary?
Yes No
Satisfied
Neutral
Dissatisfied
Yes No
Satisfied
Neutral
Dissatisfied
Yes No
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Home loans Vehicle loans
13. Are there insurance services for the employees in the organization?
Yes No
Yes No
10 20
15 25
16. Do you think that the number of leaves is sufficient for you?
Yes No
17. Do you think there should be any other facility for you in this organization?
Yes No
18. How much are you satisfied regarding overall facilities in this organization?
Highly satisfied
Satisfied
Not satisfied
19. Are the sitting arrangements within the plant and canteen satisfactory?
Very much Somewhat neutral
Not at all
20. How often first aid box with prescribed contents is available?
Every time Mostly
Sometimes only
21. With how much time the injured worker is given treatment?
Immediately Within 15 mints
within ½ hr more than 1 hr
22. How much time it takes to take a heavily injured/ suffering worker to
the nearest hospital in case of mishap? Or how readily ambulance available
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Immediately Within 15 mints
Within ½ hr more than 1 hr
23. Is the hygienic condition maintained in and around the canteen and workplace
areas?
Always Mostly
Sometimes never
After every………..
5----15mints r 2------3hrs
1/2hr-------1h 3-----4hrs
24. Do you move out of work place due to suffocation or other disturbance?
Yes No
Satisfied
Neutral
Dissatisfied
Yes no
29. How frequently do you leave your workplace for complains about the working
Conditions in a day?
Always Often
Sometimes rarely
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30. Do you come across stress at your workplace?
Yes No
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