INTRODUCTION TO HUMAN RESOURCE MANAGEMENT

Introduction

The human resources of an organization consist of all people who perform its activities.

Human resource management (HRM) is concerned with the personnel policies and managerial

practices and systems that influence the workforce.  In broader terms, all decisions that affect the

workforce of the organization concern the HRM function.

 

The activities involved in HRM function are pervasive throughout the organization. Line

managers, typically spend more than 50 percent of their time for human resource activities

such hiring, evaluating, disciplining, and scheduling employees. Human resource

management specialists in the HRM department help organizations with all activities related to

staffing and maintaining an effective workforce. Major HRM responsibilities include work

design and job analysis, training and development, recruiting, compensation, team-building,

performance management and appraisal, worker health and safety issues, as well as identifying

or developing valid methods for selecting staff. HRM department provides the tools, data and

processes that are used by line managers in their human resource management component of

their job.

What is the focus of HRM department?

“The HRM focus should always be maintaining and, ideally, expanding the customer

base while maintaining, and ideally, maximizing profit. HRM has a whole lot to do with this

focus regardless of the size of the business, or the products or services you are trying to sell.”

(Dr. James Spina, former head of Executive Development at the Tribune Company). HRM is

involved in managing the human resources with a focus on expanding customer base that gives

profit to the company. The bottom line of the company is the focus of the HRM department as

well as the function.

Contributing to the Bottom-line of the Company through HR Top-line Activities

A growing body research shows that progressive HRM practices have a significant effect

on corporate bottom-line and middle-line performance. The positive effect on financial

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performance, productivity, product and service quality, and cost control are documented by

researchers.

 

High-performance work systems (HPWS) is a term used to describe a collection of HR

practices or characteristics of HR systems designed to enhance employees’ competencies so that

employees can be a reliable source of competitive advantage. A summary of the research on

HPWS indicated that a one standard deviation of improved assessment on a HPWS measurement

tool increased sales per employee in excess of $15,000 per employee, an 8 percent gain in labor

productivity.

 

The Activities of Human Resources Management

The activities performed by HRM professionals fall under five major domains:

(1) Organizational design,

(2) Staffing,

(3) Performance Management and Appraisal,

(4) Employee and Organizational Development, and

(5) Reward Systems, Benefits ad Compliance

 

Acquiring human resource capability should begin with organizational design and

analysis. Organizational design involves the arrangement of work tasks based on the interaction

of people, technology and the tasks to be performed in the context of the objectives, goals and

the strategic plan of the organization. HRM activities such as human resources planning, job and

work analysis, organizational restructuring, job design, team building, computerization, and

worker-machine interfaces fall under this domain.

 

Recruitment, employee orientation, selection, promotion, and termination are among the

activities that fit into the staffing domain. The performance management domain includes

assessments of individuals and teams to measure, and to improve work performance.  Employee

training and development programs are concerned with establishing, fostering, and maintaining

employee skills base don organizational and employee needs.

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Reward systems, benefits and compliance have to do with any type of reward or benefit

that may be available to employees. Labor law, health and safety issues and unemployment

policy fall under compliance component.

 

Major Trend Affecting HRM

The following trends have an effect on human resource management function and

department. The importance of HRM increases due to some of them and the practices of HRM

are affected to some extent due to some of them.

 

1. Increased globalization of the economy.

2. Technological changes and environmental changes.

3. The need to be flexible in response to business changes.

4. Increase in litigation related to HRM.

5. Changing characteristics of the workforce.

 

The Importance of HRM Measurement

Many HRM systems and activities are not subjected to systematic measurement. Many

organizations do not assess either the short- or long-term consequences of their HRM programs

or activities. A recurring theme of the book is that measurement and accountability are key

components to organizational effectiveness and competitive advantage. Good measurement,

allied with business strategies, will help organizations select and improve all of their HRM

activities and provide a much stronger connection between HRM activities and organizational

effectiveness.

 

Stanford University professor Jeffrey Pfeffer considers measurement to be one of the

keys to competitive advantage. His book Competitive Advantage Through People cites

measurement as one of the 16 HRM practices that contribute the most to competitive advantage.

 

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A new book entitled The Workforce Scorecard by Professors Mark Huselid, Brian

Becker, and Dick Beatty extends research on the "balanced scorecard" to a comprehensive

management and measurement system to maximize workforce potential.

Competitive Advantage and HRM

 

Competitive Advantage refers to the ability of an organization to formulate strategies that

place it at favorable position relative to other companies in the industry. Two major principles,

namely customer value and uniqueness, are relevant for gaining competitive advantage.

 

Competitive advantage occurs if customers perceive that they receive more value form

their transaction or relationship with an organization than from its competitors. HRM needs to

make efforts to ensure that all employees are focused on understanding customer needs and

expectations.

 

The second principle of competitive advantage derives from offering a product or service

that your competitor cannot easily imitate or copy.

 

The status of HRM is improving relative to other potential sources of competitive

advantage for an organization. Professor Pfeffer notes that "traditional sources of success (e.g.,

speed to market, financial, technological) can still provide competitive leverage, but to a lesser

degree now than in the past, leaving organizational culture and capabilities, derived from how

people are managed, as comparatively more vital."

 

For success in 21st century, HRM activities must be (1) responsive to a highly

competitive marketplace and global business structures, (2) closely linked to business strategic

plans, (3) jointly conceived and implemented by line and HR managers, and (4) focused on

quality, customer service, productivity, employee involvement, teamwork, and workforce

flexibility.

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Importance of Study of HRM for Students Specializing in Other Functional Areas

of Management 

Even as line managers in any functional department, management students are likely to

manage people at some point in their career. Research shows that the manner in which one

conducts the human resource responsibilities of the management job will be the key for

effectiveness and growth in one’s career.

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1.1 NEED AND IMPORTANCE OF THE STUDY

1. Studies of these types very much useful to academicians, researchers, scholars from

making in depth analysis in the topic.

2. Studies of these types are useful to similar organization in general and Sivaswati Textiles

pvt ltd particular for making policy decisions for the betterment of the organization

3. Studies of the types are more useful to access sivaswati textile pvt ltd i.e. the attitude of

the employee and can make necessary steps to motivate them towards the improvement

of the performance of the organization.

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1.2 OBJECTIVES OF THE STUDY

To study the welfare activities of the company

To study the role of the management in providing the better employee welfare

To understood the Employee satisfaction towards the find the benefits

To study the employees satisfaction towards the welfare activities of the company

To study the employee security against social risk.

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1.3 SCOPE OF THE STUDY

The subject of “Welfare Facilities “is thus fairly wide and is not limited to any one

country, one region, one industry or occupation. The scope Welfare Facilities has been

“described by writers and institutions of different shades in different ways and from

different angles”.

Welfare Facilities, by its very nature, “must necessarily be elastic, bearing a somewhat

different interpretation in one country from another, according to different social

customs, the degree of industrialization and educational development of the workers.”

In the repot of the Committee on Welfare Facilities, 1969, the scope of welfare facilities

covered “such services, facilities and amenities as adequate canteens, rest and

recreational facilities, sanitary and medical facilities, arrangement for travels to and from

work, for the accommodation of workers employed at distance from their homes, and

such other services, amenities and facilities, including social security measures as

contribute to improve the conditions under which workers are employed.”

While offering its own interpretation of the meaning of the scope of welfare, the

International Labour Organization observes “the term is one which lends itself to various

interpretations, and it has not always the same significance in different countries.”

The scope of Welfare Facilities however cannot be limited to facilities within or near the

undertaking. Nor can it be so comprehensive as to “embrace the whole range of social

welfare or social services”. If follows, therefore, that all extra mural and intra-mural

welfare activities as well as statutory and non-statutory welfare measure under taken by

employers, Government, Trade Unions or Voluntary Organizations fall within the scope

of Welfare Facilities.

These services are not statutory in the strict sense of the term and the employees who are

the main beneficiaries will refuse to work in case of untimely supply or service.

1.4 RESEARCH METHODOLOGY

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Methodology is scientific and systematic search for pertinent information on specific topic.

The reliability of management decision depends upon the quality of data basically we have two

types of data.

Primary Data

Secondary Data

Primary Data:- Primary data is obtained through the interaction with various department heads

and personnel.

By Observation

Through personal interview

Through telephone interviews

By mailing of questionnaires

Through schedules

Secondary data:- Secondary is collected form the annual reports and holders of sivaswathi

Textiles Pvt Ltd and also from the journals and books relating to textile industry.

Data Collection:-

Data needed for the study is collected by using the survey method

Research instruments:-

To achieve the objectives of the survey detailed annexure was designed together the

information from the employer of the organization.

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Sampling Plan:- The sampling plan is the procedure or way in the sampling has been done to

carry out the present research. The details of the sampling plan include.

Sample Method

Sample Size

Sample Unit

Sample Method:-

Sample has been selected by using convenient sampling method out of the universe of

200 employees. Equal chance of known opportunity of being selected.

Sample Size :-

The researcher consider a sample size of 50 of 200 universe. The entire sample

represents the skills employee of the same level of sivaswati textile pvt ltd.

Sample Unit

For the purpose of the present study skilled employees of sivaswati textile Pvt ltd are

consider as sample unit to elicit information.

Sampling media:-

All the information from the sampling unit was gather personally by using the

questionnaire.

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1.5 LIMITATIONS OF THE STUDY

This study has some inherent limitations:-

If the sample size is very large, it’s very difficult to collect the data from large number of employees.

Accurate data may not be available from all the employees because there may be threat/fear from the Management.

There is no chance of interacting with all the employees because they are working in different shifts.

Due to the vast subject and various statutory measures. Hence the study is limited to a certain sample size of the employees.

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2.1 INDUSTRY PROFILE

INTRODUCTION:

In recent years, several economic forces have been at work that have changed the

structure of the economy. Factors such as globalization and trade liberalization, among others,

have intensified competition resulting in the reallocation of resources among sectors in Canada.

This paper highlights some of the key changes that have taken place in the Primary

Textile Industry. It concentrates on the evolution and importance of this industry within an

overall changing economic and manufacturing environment using Statistics Canada’s data base,

CANSIM, data from International Trade Division and results of the Annual Survey of

Manufactures (ASM) along with current findings of the 1998 and 1999 Monthly Survey of

Manufacturing (MSM).

The importance of manufacturing in the economy

The share of manufacturing output in total Gross Domestic Product (GDP) was 17.9% in

1998, up from 17.2%, in 1961. This sector is more sensitive to economic conditions showing

sharp increases and declines in its share of GDP, corresponding to major economic events during

the period of study.

The performance of the Canadian economy was very strong in the 1960’s. " The only

threat to the record period of growth from 1961 to 1970 occurred in 1967, when firms slowed

their stockpiling of goods. The rate of expansion slackened somewhat in 1970…Fiscal and

monetary policies adopted in 1969 (to slow inflation) apparently played some role in slowing

down the growth of income and domestic demand in the first half of 1970…Rising inflation and

an embargo on OPEC oil shipments plunged the U.S. economy into a severe recession late in

1973…our exports to the United States posted a marked decline during 1974".   The share of

manufacturing in total GDP also peaked in 1969 at 19.7% dropping to 18.5% in 1970 reaching

19.7% once again in 1973 and dropping to record lows During the recessions of 1982 and 1991.

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Evolution of the Primary Textile Industry

The textile industry, consisting of both primary textiles and textile products started with

the production of natural yarns and fabrics some 150 years ago. The industry has evolved into a

highly modernized and capital-intensive industry. It is mainly concentrated in Quebec and

Ontario where about 90% of production takes place. Establishments producing primary textiles

tend to be larger and have greater economies of scale than those producing textile products.

In the 1970s and early 1980s, the textile industry was protected from low-cost imports by

means of import quotas and tariffs. This policy was driven by the government’s objective to give

the industry time to restructure and adjust to international competition.

The Primary Textile Industry, is one of the smaller industries contributing 0.2% to the

Canadian GDP in 1998.

The Primary Textile Industry GDP grew at the same pace as overall Canadian

manufacturing sector’s GDP, between 1961 and 1989. The Free Trade Agreement (FTA) with

the United States was introduced in 1989 followed by other trade policy developments. The

recession of the early 1990s overwhelmed the economy and made it difficult to measure the

initial impact of the FTA.

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None-the-less, the Primary Textile Industry posted strong growth beginning in 1992, out-

pacing both the growths in manufacturing as well as the economy. The growth rate of the

primary textiles, however, is much more cyclical than both the manufacturing sector and the

overall economy.

The analysis that follows will concentrate mostly on the developments during the more

recent period, 1988 to 1997 and study the impact that free trade has had on the Primary Textile

Industry and its sub-sectors.

The five-year period of consecutive growth of the Primary Textile Industry has ended

The slowdown of the Canadian economy in 1998 in response to the Asian crisis and

continued deceleration into 1999, ended the five-year growth spurt of the Primary Textile

Industry. Between 1988 to 1997, the value of shipments increased 18% from $3.2 billion in 1988

to $3.8 billion in 1997. However, current data from the Monthly Survey of Manufacturing

(MSM) show that the value of shipments declined by 1% in 1998 and 6% in the first two quarters

of 1999 In 1997, the Primary Textile Industry consisted of 174 establishments, a decrease from

216 in 1988. The number of establishments peaked at 223 in 1990 and gradually declined to 174

in 1997.

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The industry employed over 16,000 production workers in 1997, compared to over

19,000 in 1988. An average establishment operated with 89 workers in 1988 which dropped to

71 in 1990. By 1997 this average was up to 93. Each worker, on average, earned $23,500 in

wages in 1988, which increased to $30,536 in 1997, a rise of 30%. However, after discounting

for inflation using the Consumer Price Index, the real increase was only 2.4%.

The value of shipments (in constant 1992 dollars) per establishment and per production

worker increased by 30% and 25% respectively.

During the period 1988 and 1997, primary textile manufacturers managed to increase

their profitability by bringing their costs down. The ratio of the cost of inputs to the value of

shipments decreased from 55% in 1988 to 52% in 1997.

Exports of primary textiles have quadrupled

The domestic market of primary textiles manufactured in Canada has been on the decline.

However, this has been more than compensated by a quadruple increase in exports from $0.5

billion in 1988 to $1.9 billion in 1997. In 1988, 15% of the shipments were destined for other

countries; by 1997 about half of the totals were destined for other countries with a major

proportion going to the United States.

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At the same time, imports increased from $1.8 billion in 1988 to $3.3 billion in 1997.

While imports satisfied 40% of the Canadian market in 1988, by 1997 this proportion increased

to 64% .

All sub-groups show notable increases in exports

The Primary Textile Industry produces a wide variety of threads, filaments and fabrics

and is composed of the following sub-groups in order of their size, the first two accounting for

three-quarters of the industry in terms of the value of shipments:

Spun Yarn and Woven Cloth (other than wool) (SIC 1829)

Man-made Fiber and Filament Yarn (SIC 1811)

Broad Knitted Fabric (SIC 1831)

Wool Yarn and Woven Cloth (SIC 1821)

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Spun Yarn and Woven Cloth (other than wool)

This industry specializes in the manufacture of various kinds of fabric, from yarns other

than wool. It is the largest sector in the Primary Textile Industry and accounted for 42% of the

total in 1988 and 1997.

Although the total value of shipments increased 18% from $1.3 billion in 1988 to $1.6

billion in 1997, domestic shipment of these items has progressively declined over the study

period.

On the other hand, both imports and exports have sky-rocketed. Exports comprised of

11% of the value of total shipments in 1988, climbing to 40% in 1997. At the same time, the

Canadian market, consisting of domestic shipments plus imports, has increased from $2.3 billion

to $2.7 billion. The market is being satisfied increasingly with more imports. The share of

imports in the Canadian market increased, from 47% in 1988 to 64% in 1997.

Man-made Fiber and Filament Yarn

Man-made Fiber and Filament Yarn industry processes and combines fibers and

filaments to produce various types of thread. It is the second largest sub-sector accounting for

33% of total shipments of primary textiles. The Canadian market for such products has grown

somewhat, from $1.1 million in 1988 to 1.3 million in 1997. However 71% of this market was

satisfied with imports in 1997 compared to 34% in 1988. Meanwhile, exports of these products

have more than tripled.

Broad Knitted Fabric

The second smallest sub-sector in the Primary Textile Industry, engaged in knitting

apparel fabrics, has experienced an increase in its share of the value of shipments from 15% in

1988 to 17% in 1997. The share of imports in the Canadian market has increased from 21% in

1988 to 52% in 1997. At the same time exports jumped from 2% in 1988 of the value of total

shipments to 36% in 1997.

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Wool Yarn and Woven Cloth

Wool Yarn and Woven Cloth, the smallest sub-sector, consists of establishments that

specialize in the manufacture of wool yarn and fabrics from such yarn as well as felts for paper-

making. Even though exports of these products have increased from 13% to 44% of the value of

shipments, its share fell from 12% in 1988 to 8% in 1997 of total shipments. Demand for

imported products is higher than those produced domestically.

HISTORY:

Textile industry in Indian scenario

The textile industry occupies a unique place in our country. One of the earliest to come

into existence in India, it accounts for 14% of the total Industrial production, contributes to

nearly 30% of the total exports and is the second largest employment generator after agriculture.

Textile Industry is providing one of the most basic needs of people and the holds importance;

maintaining sustained growth for improving quality of life. It has a unique position as a self-

reliant industry, from the production of raw materials to the delivery of finished products, with

substantial value-addition at each stage of processing; it is a major contribution to the country's

economy. Its vast potential for creation of employment opportunities in the agricultural,

industrial, organized and decentralized sectors & rural and urban areas, particularly for women

and the disadvantaged is noteworthy. Although the development of textile sector was earlier

taking place in terms of general policies, in recognition of the importance of this sector.

Introduction

The textile industry is undergoing a major reorientation towards non-clothing

applications of textiles, known as technical textiles, which are growing roughly at twice rate of

textiles for clothing applications and now account for more than half of total textile production.

The processes involved in producing technical textiles require expensive equipments and skilled

workers and are, for the moment, concentrated in developed countries.

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Technical textiles have many applications including bed sheets; filtration and abrasive

materials; furniture and healthcare upholstery; thermal protection and blood-absorbing materials;

seatbelts; adhesive tape, and multiple other specialized products and applications. The Indian

Textile industry has been undergoing a rapid transformation and is in the process of integrating

with the world textile trade and industry.

This change is being driven by the progressive dismantling of the MFA and the

imperative of the recently signed General Agreement Trade & Tariff. In this bold, new scenario,

India has to move beyond its role of being a mere quota satisfying country.

History of Textile

The history of textile is almost as old as that of human civilization and as time moves on

the history of textile has further enriched itself. In the 6th and 7th century BC, the oldest

recorded indication of using fiber comes with the invention of flax and wool fabric at the

excavation of Swiss lake inhabitants. In India the culture of silk was introduced in 400AD, while

spinning of cotton traces back to 3000BC. In China, the discovery and consequent development

of sericulture and spin silk methods got initiated at 2640 BC while in Egypt the art of spinning

linen and weaving developed in 3400 BC. The discovery of machines and their widespread

application in processing natural fibers was a direct outcome of the industrial revolution of the

18th and 19th centuries. The discoveries of various synthetic fibers like nylon created a wider

market for textile products and gradually led to the invention of new and improved sources of

natural fiber. The development of transportation and communication facilities facilitated the path

of transaction of localized skills and textile art among various countries.

Textile History in India

Indian textile enjoys a rich heritage and the origin of textiles in India traces back to the

Indus valley Civilization where people used homespun cotton for weaving their clothes. Rigveda,

the earliest of the Veda contains the literary information about textiles and it refers to weaving.

Ramayana and Mahabharata, the eminent Indian epics depict the existence of wide variety of

fabrics in ancient India. These epics refer both to rich and stylized garment worn by the

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aristocrats and ordinary simple clothes worn by the common people. The contemporary Indian

textile not only reflects the splendid past but also cater to the requirements of the modern times.

Influences of changes shaping the industry

We will touch upon some of the more significant changes that have and are shaping the

Indian textile industry.

Changes in Emphasis

There has been a distinct and positive shift from quality to quality. Earlier Indian textiles

were considered cheap and of low quality. The industry was at that time driven by large volumes,

which were of paramount importance. The best quality was produced in Europe and Japan. Since

then, India has come a long way, emerging as a manufacturer of high quality yarns and fabrics.

The leading mills such as Raymonds, Read & Taylor, Aravind mills etc. Improved their quality

standards prevailing into the world.

Implementation of New Equipment

The textile industry has also become a high technology. The textile industry has also

become a high technology industry. No body earlier could have concerned that the industry

would require top of the line technical skills. Present day textile machinery is fully computerized

and needs totally new skills to effectively manage it.

New Marketing Trend

On the marketing side, there has been a total change , with almost all players in the

industry extending their reach to international markets. The impact of these trends on the textile

industry is profound. Increasingly any company cannot sustain itself only on local market

demand or only the exports. One has to look at the global markets in totality.

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Competition

This compulsion to access and compete in international markets has been perhaps one of

the saving grace for the industry.

Clearly the ability and necessity of meeting global competition head on, has forced the

industry to upgrade its technology, product quality, cost structure and marketing skills. Truly, we

have learnt more from the competitions than from ourselves.

Decentralized sectors

Another visible change relates to the scale of operations. Earlier textile mills were

generally reasonably large size becomes a non-constraining factor with the advent of power loom

sector, which enabled small weavers to make and market their own fabrics in direct competition

with large mills.

Technocrats

Another shift in the industry is regarding entrepreneurship. Technocrats have been able to

become possible to have small size spinning, weaving and processing mills. All this was earlier

the domain, solely of large businesses.

Cost Consciousness

The greater competitive pressure have highlighted the need to control cost of every type

of whether it be energy, water or labor all of which were earlier taken for granted now every mill

is highly cost conscious and industrial engineers keep detailed trace of every cost parameter

including energy consumption including energy consumption, waste control, machine efficiency

and productivity. No doubt, this will have to be an ongoing exercise. Since cost have to be

ruthlessly and persistently brought down.

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Labor intensive industry

The textile industry being labor intensive, is slowly migrating from high cost countries, such as

the United states, Europe, Japan, Australia, Taiwan and Korea. All these countries were at one

time leading textile manufacturers. But with the high labor cost, capacities in these countries are

being diverted elsewhere. This is happening even as the developed economies make large

investments in better machinery and automatism.

Labor cost comparison (Europe & India)

Labor Europe Rs/Hour India Rs/Hour

Skilled workers 750 20.00

Operating personnel 625 12.50

Unskilled workers 500 6.25

Operating hours per annum 6750 48.75

Indian Textile Industry has some inherent strength

Tradition in Textiles and long operating experience

Large and growing domestic market

Strong raw material base

Production across entire textile value chain

Stable, low-risk economy, safe for business growth

Easy availability of abundant raw materials like cotton, wool, silk, jute

Widely prevalent social customs

Variety of distinct local culture

Constructive geographic and climatic conditions

The world market share

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In spite of the Chinese dominance, India has a fair opportunity to grab a substantial stake

in the projected garment market share. According to PHD Chamber of Commerce and Industry

(PHDCCI), post-MFA, India's market share in the US is expected to go up to 15 per cent from

the present 4 per cent. In the EU, the market share increase is expected to be 50 per cent from the

current 6 per cent to 9 per cent.

The world population is increasing at the rate of 1.8% per annum between 1980 to 2000 while it

was 1.4% between 1960 to 1980. Per capita fibers consumption showed an increase of 0.9% between

1980 to 2000 while it was 1.8% between 1960 to 1980. World fibre needs will increase by 2.4% till 2001.

The figure for 1960 to 1980 was 3.6%.

Particulars UNIT 1960 198

0

2000 1960-80

Trend

1980-

2000

Trend

World population (BIU) 3.0 4.4 6.2 +1.4 +1.8

Per capita fiber

usage

(KG) 5.0 6.8 7.7 +1.8 +0.9

Fiber need/ billion

Population

(MT) 15.0 30.0 48.0 +15.0 +18.0

Growth rate in (AVG

)

Consumption per year annual increase

The above figure an attempt is made to analyze the trends in the world fiber type usage

between 1960 to 2000. Natural fiber usage has dropped from 77% in 1960 to 44% in 2000

(projected) while man made non cellulose fibers show an increase from 5% in 1960 to 47% in

2000 (projected). This is a phenomenal increase and is due to mainly advent of polyester its

multiple uses and its popularity. As further analysis the man made fiber production shows that in

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the man made fiber are polyester has increased its share from 42% in 1986 to 55% in 2000

(projected). Nylon, Rayon and Acrylic show a decreasing trend in the percentage. But is absolute

terms they registered an increase.

Indian Textiles targets to achieve by end of the 11th Five year Plan (2007-2012)

Market size of US$ 115 Billion

o Export target US$ 55 Billion

o Domestic market US$ 60 Billion

Indias market share in world textiles trade to grow from 3% to 8 %

12 Million additional jobs

Investment Rs.150,600 Crores

Textiles Export Target (In Billions)

Year (April March) Target Achievement

2006-07 19.73 19.62*

2005-06 15.565 17.80

2004-05 15.16 13.04

2003-04 16.31 13.16

2002-03 15.05 12.41

2001-02 13.72 10.76

Ancient Design Employed in Handicrafts

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Indian craftsmen carefully craft numerous motifs and designs, intricate and beautiful in a

variety of hand-crafted items. These have been perfected over centuries.

The Birth Of Indian Handicrafts

Indian handicrafts, though initially made plain for daily use by ancient man, the craving

for aesthetic appeal soon resulted in the development of numerous designs and motifs.

Indian textiles

The beauty of Indian textiles spread far and wide even during the ancient trade. They

were very popular for their fine quality and excellent embroidery done on them.

Rig Vedic Literature Speaks On Ancient crafts

The ancient Indian literature reveals some interesting facts on Indian handicrafts. Many

craft were an integral part of religious rituals and ceremonies.

Buddhist Influence On Sculpture

The need to propagate Buddhist religion played an important part in the style the stone

sculptures were sculpted. It also renewed the enthusiasm in stone sculptures.

TEXTILE MANUFACTURE DURING THE INDUSTRIAL REVOLUTION

The industrial revolution changed the nature of work and society. Opinion varies as to the

exact date when it took place but place the First Industrial Revolution between 1750 and 1850,

and the second phase or Second Industrial Revolution between 1860 and 1900. [1][2] [3][4] The three

key drivers in these changes were textile manufacturing, iron founding and steam power. The

geographical focus of Textile manufacture during the Industrial Revolution was Greater

Manchester and the small towns of the Pennies and southern Lancashire.

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Prior to the 17th century, the manufacture of goods was performed on a limited scale by

individual workers. This was usually on their own premises (such as weavers' cottages) – and

goods were transported around the country by horse, or by river. Rivers navigations has been

constructed, and some contour following canals, and, in the early 18th century, artisans were

inventing ways to become more productive. Silk, Wool, Fustian, were being eclipsed by Cotton

which was becoming the most important textile.

Elements of the Industrial Revolution

The only surviving example of a Spinning Mule built by the inventor Samuel Crompton.

The commencement of the Industrial Revolution is closely linked to a small number of

innovations, made in the second half of the 18th century:

Textiles – Cotton spinning using Richard Arkwright's water frame, James Hargreaves's

Spinning Jenny, and Samuel Crompton's Spinning Mule (a combination of the Spinning

Jenny and the Water Frame). This was patented in 1769 and so came out of patent in

1783. The end of the patent was rapidly followed by the erection of many cotton mills.

Similar technology was subsequently applied to spinning worsted yarn for various

textiles and flax for linen.

Steam power – The improved steam engine invented by James Watt and patented in

1775 was initially mainly used for pumping out mines, but from the 1780s was applied to

power machines. This enabled rapid development of efficient semi-automated factories

on a previously unimaginable scale in places where waterpower was not available.

Iron founding – In the Iron industry, coke was finally applied to all stages of iron

smelting, replacing charcoal. This had been achieved much earlier for lead and copper as

well as for producing pig iron in a blast furnace, but the second stage in the production of

bar iron depended on the use of potting and stamping (for which a patent expired in 1786)

or paddling (patented by Henry Cort in 1783 and 1784).

Processing of cotton

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Cotton is the world's most important natural fiber. In the year 2007, the global yield was 25

million tons from 35 million hectares cultivated in more than 50 countries. There are five stages

Cultivating and Harvesting Preparatory Processes

Spinning

Weaving

Finishing

GROWTH OF INDIAN TEXTILE INDUSTRY

The Indian textile industry, which has accelerated to an annual growth of 9-10 per cent, is

expected to grow at a rate of 16 per cent in value terms and reach a level of USD 115 billion by

2012, Union Minister of State for Textiles E V K S Elangovan said today.

This growth can be fuelled by both exports as well as a rise in domestic consumption,

resulting in India's share in the global textile and clothing trade moving up from the current three

per cent to seven per cent by 2012, Elangovan said, while inaugurating an International

Conference on Advances in Textiles, Machinery, Non-woven and Technical textiles, here.

The global trade of textile and clothing products was set to double from USD 353 billion

in 2002 to USD 655 billion by 2010, growing at the rate of eight per cent, he said.

The Indian textile exports have increased from USD 12.45 billion in 2002-03 to USD

17.85 billion in 2005-06 and are estimated at USD 19.24 billion dollars in 2006-07.

The exports are projected to grow at a rate of 22 per cent between 2007 and 2012 and are

targeted to reach USD 55 billion by 2012, Elangovan said.

Total investment in the textile industry between 2004-07 was around Rs.64,478 crores in

India, he said adding it was expected to reach rs.1,50,600 crores by 2012.

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India is now a fast emerging market inching to reach half a billion middle income

population by 2030. All these factors are good for the Indian textile industry in a long run. Even

though the global economic crisis seams to be worsening day-by-day, as long as economies are

emerging and growing as those in South and South East Asia, textile industry is here to grow

provided it takes competition and innovation seriously. Read below to have an insight of the

stand of the Indian Textile Industry in the economy.

Where Does the Indian Textile Industry Stand Now?

A general impression I get talking to the Indian textile industry leaders in the past few days

make me understand that the industry is in a pinch. Why so? These are the reasons:

1. Global recession

2. Less export orders due to reductions in inventories by global retail giants like Wal-Mart

3. Price of raw materials like cottons and

4. Infrastructure bottlenecks such as power, particularly in Tamil Nadu.

It has been recently reported that textile exports in 2009-10 period will be equal or could be even

lower than the one achieved in 2008-09.

Some Solutions for the Growth of Indian Textile Industry

A couple of points given below will give food for thought for all the stake holders in the

Indian textile industry:

1. The weak links in the Indian conventional industry such as weaving and finishing have to

be strengthened. A major thrust here is to have consolidated efforts by Indian Textile

Machinery Manufacturers Association, end-users and the Government to undertake a

moons hot and come-up with alternatives to European Machinery, which the weaving

sector can afford. This should be doable within the next five years, if dedicated efforts are

28

undertaken with the financial support for R & D by the Government through its various

schemes;

Inch forward in the non-commodity textile sector, i.e., technical textiles sector from a non

crawling phase to at least a crawling industry in the next three years. General awareness

on nonwoven and technical sectors has been created with the recent marathon training

workshops and conferences such as, "Advances in Textiles, Nonwoven and Technical

Textiles", organized for the past five years in Coimbatore by Texas Tech University,

USA and those such as the Texcellance and IIT's Technical Textiles conferences. These

have put India on the international map in technical textiles. These conferences are of less

use if they do not translate into investments and new projects. This aspect has been slow.

Why is it so? Although the awareness on the broad-based technology know-how and end

products has been created, less to no awareness has been created among industrialists on

the marketability of non-commodity textile products.

The Textile industry occupies an important place in the Economy of the country because

of its contribution to the industrial output, employment generation and foreign exchange

earnings.

Percentage Vision of India 2010 for Textiles

Textile economy to grow to $85billion by 2010

Creation of 12 million new jobs in textile sector.

To increase India’s share in world trade to six per cent by 2010.

Achieve export value of $40 billion by 2010.

Modernization and consolidation for creating a globally competitive industry.

Trends in Spinning

The spinning industry is the most modern and internationally competitive segment of

India’s textile industry. Yarn production increased 4.5 per cent annually between 1990 and 2004,

29

as rapid gains by independent spinners more than offset declining production from composite

mills. Reflecting trends in domestic demand, the most rapid growth has been in the production of

blended and 100-per cent manmade yarns. Between 1990 and 2004, production of manmade and

blended yarns grew at annual rates of 8.6 per cent and 9.1 per cent, respectively.

Production of Yarn

In India production for the textile group of industries showed a surge in the entire sector.

There was a significant increase in respect of textile products 16.4 per cent and cotton textiles 8.5

per cent yarn production increased by 5.1 per cent due to increase in cotton yarn manmade

filament yarn production nevertheless, there was a decline in respect of blended and 100 per cent

Non-cotton yarn and manmade fibers. The share of textile sector in FDI was 1.02 per cent (in

terms of amount) during 2005-06 as against 4.29 per cent in the year 2004-05.

Growth of Indian Textile Industry

Growth along with the investment of an industry depends heavily on the economic health

of the country. Indian economy grew rapidly during the fiscal year 2006-2007 posting a growth

rate of 9.4% p.a. Not only this, India has been performing significantly in the last three years

where its average yearly rate of growth has been estimated to be 8%.

The fruits of economic growth has trickled down to people of the state which can be

evidenced from the rising per capita income of India. Statistics reveal that during 2001-2007 (up

to March 2007) the per capita income of India has increased by sixty two percent and has

reached the level of Rs 25,778 or US$ 581.37 per annum.

One of the most beneficial class of this economic growth saga has been the middle

income section of the society. The total strength of this class in absolute terms has been found

out to be 216 million which is expected to rise to 351 million by 2010. The major demand that is

being generated is by a new class of people from the booming IT-BPO sector who are still at

their prime age and are outwardly fashion savvy. This has generated huge demand for

30

fashionable dresses which has consequently led to the emergence of some world class Indian

designers with their latest fashion apparels.

Propensity of consumption (after excluding all spending on essential items like housing,

health, education, etc.) by the average Indian people has increased at the rate of 5% to a total

amount of US$ 219 billion in the year 2005. At this time, the organized retail sector has been

able to tap a market of around US$ 8.2 billion which is projected to increase to US$ 25 billion by

2010.

Textile industry is one of the major contributors to the total output of the fast growing

Indian industrial sector which is at present revolving around 14%. Textile sector's contribution to

GDP of India is also significant which currently amounts to 4%. It has been found out that Indian

textile industry is one of the major sources of foreign exchange earnings for India and

contributes around 16-17% .

From the above discussion it is quite clear to us that the market size of India is growing at

a very high pace. That is why the foreign investors are flocking to India for investment purposes

in order to get hold of a chunk of this expanding pie. With increasing demand for the products of

Indian Textile Industry, new players are jumping in the league to get a slice of the profitable pie

and the already existing textile mills are raising their capacity for increasing their supply. Hence,

the expansion process of the domestic industry is also not far behind.

Thus, it can be said that the whole Indian economy is on a growing trend which has its

obvious impact on every possible sector including the Indian Industry.

Growth In Indian Textile Industry

Indian Textile Industry is going through a major change in its outlook after the expiry of

Multi-Fiber Agreement.

Multi Fiber Agreement was introduced in the year 1974 as a short term measure directed

towards providing a limited time period to the developed countries for adjusting their textile

industries in accordance with that of the developing countries The basic idea behind this policy

31

was to eradicate all sorts of quota system from the apparel and textile industry all over the world

so that a level playing field could be established.

Now, this era after MFA is being looked upon by the experts as a means through which the

Indian textile and apparel industry is going to grow a much faster pace and would consequently

be able to leave a mark on the whole world. Integration of this Indian industry with that of the

whole world started from the last period of 1980s.

Now, let us see some of the figures in order to understand the absolute as well as relative

change in the textile industry in terms of projections from the financial year 2002-2003 up to

2007-2008 where the final financial year represents the projected figure.

This highlights the fact that the total production of fabricated products by the Indian

Textile Industry between the period 2002-2003 and 2004-2005 increased at a moderate rate from

41973 million square meters to 45378 million square meters. But after the MFA period (i.e. after

01.01.2005), the same has increased from 45378 million sq. mts to 54260 million sq. mts

between the period 2004-2005 and 2006-2007. Hence it is evident that the percentage increase in

the fabric textile product during the period 2004-2005 and 2006-2007 has seen a rise of around

16.37% whereas it was only 7.5% during 2002-2003and 2004-2005.

The total production of spun yarn over the years 1999-2000 to 2006-2007 is

summarized in the figure below. It highlights the fact that the growth rate of production in this

sector was almost stagnant between the years 1999 and 2004. From the financial year 2004-2005,

the total production of yarn geared up and is projected to do still better during the fiscal 2006-

2007.

Indian Textile Policy 2000:

For the growth and development of the Indian Textile Industry and to make it more

vibrant, the Government of India passed the National Textile Policy in 2000, which had the

following objectives:

32

To produce and provide good quality cloth in affordable price to fulfill different

needs of customers;

To increase the share of India in Global Textile Market;

To increase the contribution for employment and economic growth of country.

Textile Sectors in India:

1. The Man-Made Fiber / Yarn and Power loom Sector:

This part of industry includes fiber and filament yarn manufacturing units. The

Power looms sector is decentralized and plays a vital role in Indian Textiles Industry. It

produces large Variety of cloths to fulfill different needs of the market. It is the largest

Manufacturer of fabric and produces a wide variety of cloth. The sector contributes

around 62% of the total cloth production in the country and provide sample employment

opportunities to 4.86 million people.

2. The Cotton Sector:

Cotton is one of the major sources of employment and contributes in export in

promising manner. This sector provides huge employment opportunities to around 50

million people related activities like Cultivation, Trade, and Processing. India’s Cotton

sector is second largest producer of cotton products in the world

3. The Handloom Sector:

The handloom sector plays a very important role in the country’s economy. It is

the second largest sector in terms of employment, next only to agriculture. This sector

accounts for about 13% of the total cloth produced in the country (excluding wool, silk

and Khadi).

4. The Woolen Sector:

The Woolen Textile sector is an Organized and Decentralized Sector. The major

part of the industry is rural based. India is the7th largest producer of wool, and has 1.8%

share in total world production. The share of apparel grade is 5%, carpet grade is 85%, 33

and coarse grade is 10% of the total production of raw wool. The Industry is highly

dependent on import of raw wool material, due to inadequate production.

5. The Jute Sector:

Jute Sector plays very important role in Indian Textile Industry. Jute is called

Golden fiber and after cotton it is the cheapest fiber available. Indian Jute Industry is the

largest producer of raw jute and jute products in the world. India is the second largest

exporter of jute goods in world.

6. The Sericulture and Silk Sector:

The Silk industry has a unique position in India ,And plays important role in

Textile Industry and Export. India is the 2nd largest Producer of silk in world and

contributes 18% of the total world raw silk Production. In India Silk is available with

varieties such as, Mulberry, Eri, Tasar, and Muga. Sericulture plays vital role in cottage

industry in the country. It is the most labor-intensive sector that combines both

Agriculture and Industry.

7. The Handicraft Sector:

The Indian handicrafts industry is highly labor intensive, cottage based and

decentralized industry. It plays a significant & important role in the country’s economy.

It provides employment to a vast segment of craft persons in rural & semi urban areas

and generates substantial foreign exchange for the country, while preserving its cultural

heritage.

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2.2 COMPANY PROFILE

SIVA SWATI TEXTILE PRIVATE LIMITED

A siva swati textile is a technocrat project set by people who were in employment earlier

unlike capitalists, who can mobilize resources. The technocrats has been involved fully in the

standards of living the working force in the near by village. Siva swathi textile industry has been

situated at Ganapavaram village, chilakaluripet mandal, in guntur district, Andhra Pradesh

having 30 acres of area including the wide premises.

This unit has been started with the assistance of S.B.I and I.F.B (industrial finance banks)

nationalized banks and other financial institutions.

The company setting up the spinning mill an installed capacity of nearly 60,000 spindles.

The Andhra Pradesh industrial development corporation has financed the project. The cost of

project was around 125 crores and the turn over is around 300 crores.

35

This factory will go along way to living condition of the poor and weaker sections of the

Ganapavaram, Local Areas.

This industry is a labor -oriented and has been setup purely within avis of providing

employment to more than 1500workmen directly and indirectly. So a matter of fact, both men

and women from near by villages have been bagged in the jobs and are getting trained. There are

more than worker employed per day. This unit and it has been started production in 2006.

In the recent days, this unit also had gone as other organization to achieve is modern

development in new technological development.

Company has been striving towards the goal of social development of the region since its

inception. This company was improved economic status of the region considerably has been

promoting the welfare of not only the employees of the mills but also the people of the region as

a whole. And in the process it stands of the model to the rest of the factories in the state.

ABOUT COMPANY

This is for producing 'yarn'. Yarn is the basic raw material used in knitting and weaving.

In order to obtain a flawless output, the quality factor of this raw material cannot be ignored. We

siva swati textile pvt limited are leading 'manufacturing and exporters' of high quality yarn. Yam

includes

1. 40s – polyester viscose

2. 42s – polyester viscose

3. 50s – CWCP

4. 40s – CWC

5. 100% polyester sewing thread

36

The founder of this industry was A. Narendra Kumar and this company HR Manager

V.Ravindra babu these people having vast knowledge and experience in the textile industry. The

primary reason is our tireless efforts towards perfection and our rich experience in the industry,

customer satisfaction plays a large role in the good will our company in the export market of

'Kenya' & Turkey, this zeal in us has motivated us to put out best foot forward .establishing high

reputation in the industry and among bank and other financial institution.

Quality Assurance

The quality of the product and goodwill of a company is interrelated. It is difficult for a

company to establish itself in the market by adhering to mean tactics.

Our Excellence

1. Entertaining customer feed back and suggesting

2. Regular replacement of old machinery with new one.

3. Developing innovative and customer-friendly products on a regular basis.

4. Our ability to cater to domestic and international markets like 'kenya'

5. ISO certified manufacturing unit situated at Ganapavaram with a total capacity of above

65000 spindles.

Process of yarn manufacturing 2 types

1. Cotton Yarn

Blow Room

Carding

Pre- Drawing

Lap Farmer

Comber

37

Drawing

Simplex

Ring Frame

Auto Conner

Inspection

Packing

2. Synthetic Yarn ( Polyester )

Blow Room

Carding

Drawing ( Bracken)

Drawing ( Finished)

Simplex

Ring Frame

Auto Conner

Inspection

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Packing

This is process from the first step to last step of Manufacturing of the quality yam. In this

textile industry, six; room are present, those are given below:

• Preparatory room.

• Supply room.

• Pump room.

• Panel room.

• Exhaust room.

• Rotary room

MANUFACTURING PROCESS;

Raw material:

1. Polyester fiber.

2. Viscose fiber.

1. Polyester fiber:

Manufacturing with polymerization of polymers (petrol) by mullet spinning process.

2. Viscose fiber:

Manufacturing with wood pulp by wet spinning process.

SPINNING SYNTHETIC YARN MANUFACTURING39

PROCESS:

The manufacturing o/yarn needs seven steps o/processing,

Mixing:-

The different fibers I.e. polyester, viscose, acrylic, cotton will be laid and taken to -the

department according to the blend ratio required. The material will be passed through the mixing

bale opener two or three times for homogeneity of the mix.

Blow room:

The above mix will be passed through various openers and cleaners for complete opening

and cleaning and finally passed through the sketcher where a uniform sheet of material is wound

to a rod to feed for further process.

Carding:

The lap sheets will be fed through feed roller, licker in cylinder and doffer where the

material will be fully opened to the extent of individual fiber and the material will be collected

into the cans in the form of silver. Some unusable waste is also eliminated in this process.

Combing-

Combing is an additional process in the manufacture of cotton yarn for improvement of

quality. In this process short fibers are removed, there by strength, luster etc.

Drawing -

The above card sliver of 8 ends will be fed to the machine and an average silver of the

above 8 slivers will be delivered by the machine. Again the 8 breakers slivers will be fed to the

finisher draw frame. This process of doubling will result in a uniform sliver out of 8x8 slivers.

The perfect parallelization of fiber will also take place while processing through this machine for

better spinning.

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Simplex:-

The above draw frame material in cans will be fed to this machine and the uniform roving

will be drawn through this machine which will be wound to the plastic simplex bobbins by the

machine after giving required twist to the roving to with stand for the stress in further process.

Spinning

The above material on simplex bobbins will be fed to the ring frame where the roving

will be drafted to the required count and will be twisted as per the twist required to the yarn, by

means of ring and ring travelers and spindles will be wound on to the plastic tube uniformly for

better cone winding in latter stages without wastage.

Con winding (single) Auto Cone winding:-

The above yarn will be wound to a plastic or paper cone uniformly approximately 2.0

kilograms each and the plastic cops will be released for further circulations. The cones will be

labeled and collected count wise and some thick and thin places also will be cut by the electronic

yarn cleaners in the machine for better quality of the yarn.

Cheese winding:

The two single yarn is in the form of cones will be fed to the machine through a stop

motion unit and the two single yarn parallel ends will be wound uniformly into wooden or plastic

cheese.

Doubling:

The above cheeses will be fed to the doubling and two single ends will be twisted

together as per the requirements according to the counts by means of ring, ring travelers and

spindle. The twisted yarn will be wound on to a plastic tube uniformly for better unwinding

without wastage. In TFO process, the cheeses will be fed to the machine and the two single ends

will be twisted together as per the requirement according to the counts and the twisted yarn will

be wound into the paper cone uniformly for better unwinding in the further process while making

cloth.

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Cone winding (final):

The above double yarn will be wound on to a paper cones uniformly and correctly better

unwinding in the further process while making cloth. The thread will be passed, through an

electronic yarn clearer unit with uniform correct tension and any thick and thin places, clubs, big

size naps, 3 ply or 4 ply of yarns will be eliminated by the cutter.

Finishing and packing:

All the yarn cones from the final winding will be checked thoroughly by means of ultra

violet lamps to avoid any lot or count mix-up, labeled and then cones will packed in cartons/bags

correct clear stenciling also will be given to the bags and then only materials will be delivered to

the organization .

Raw materials ;

Major raw material require for the company's activities are under ;

■ Polyester (PSF)

■ Viscose (VSF)

■ Cotton

Polyester is being supplied by reliance industries Ltd and viscose is supplied by Grasim

industries Ltd ., polyester and viscose's are commodities that are available in the international

market. Therefore, it can be imported if there is a shortage within the country cotton is procured

from cotton corporation of India and from the local market yards.

There is no problem in the availability of the requisite quality of raw material and the

company is having regular supplier with long standing relationships for meeting its requirements.

42

The requirements of the raw material are estimated according to the order in hand

predicted market demand. Also, it is not possible to estimate the annual quantitative of raw

material.

Man power:

The company at ale its units has presently employed around 2,722 persons including

contract labour. Out of which 1,695 persons are skilled, semi skilled man power including

technical, and administrative staff and the balance, 1,027 are unskilled helpers.

Products / services of the company : Need of products and end users ,

> Polyester / Viscose Grey yarn.

> Polyester / viscose Dyed yarn.

> 100% polyester yarn Grey/ Dyed.

> 100% viscose yarn Grey/ Dyed.

> Polyester/cotton yarn Grey/Dyed.

> Polyester/Acrylic yarn Grey/Dyed.

> 100% cotton yarn.

The yarns are used for manufacture of fabrics.

Merits of the company

Area takings a good production

Employee care for the satisfaction

We provided and allow the certain handicapped and old age people

Performance is best performance in this area

Machine and resource utilized its 98.5 plus. In the best industries now.

We provide the residence facility and free transport facility

43

GROWTH OF THE COMPANY

In recognition of its excellent quality conforming to the highest international standards,

the products have won widespread appreciation and repeat orders. By exporting world class

cotton yarn globally, the mill is leap fogging for the further growth.

The thrust on higher capacity utilization, uncompromising productivity standards,

quality management, astute focus on niche markets, prompt delivery schedules combined with

competitive pricing have resulted in higher sales and profits. Siva Swati Textile Pvt Ltd., Smt.

Prathipati Teena Venkayamma in the year 2005 with an installed capacity of 60624 spindles with

an objective to carry on the business of Spinning, Weaving, Knitting and to manufacture of all

kinds of yarn from the natural and man made fibers viz Cotton and Synthetic Fibers. The

company's Registered office is located at Ganapavaram , Guntur Dt, Andhra Pradesh.

The company had started commercial production of yarn on 01.03.2006 with an installed

capacity of 30912 spindles in phase I, and the company added another 29712 spindles, on

01.03.2009.

Developments

The company initially started with cotton ginning & trading.

The company developed ginning into spinning unit with a spindle capacity of 13000.

It developed to 65000 of spindle capacity. The company also developed delinting

planting. These are the development of the company.

This industry is labour oriented and has been providing it

employment around 3000 work men directly and indirectly.

In recent days the company was inventing new technological equipment for more

productivity.

In quality aspects the company was certified by ISO.

The production capacity was increased year by year through the innovation for the

exporting to foreign countries.

44

Main competitors

1. Amravati Textile Mills , Martur

2. Sri Dhana Lakshmi Cotton & Mill Ltd, Ganapavaram

3. Krishna Ganga Textile , Thimmpuram

4. Jayalakshmi Spinning Mills Ltd. Chebrolu

5. Prasuna Vamsi Krishna Spinning Mills, Ganapavaram

6. Idupulapadu Cotton Mill Pvt. Ltd Ganapavaram

7. NSL Textiles Ltd, Yadlapadu, & Inkollu

8. Rajur Industries Ltd, Mahaboob nagar

9. Priyadarsini Spinning Mills Ltd, Sadashivapeta

10. Vasantha Spinning Ltd, Thimmapura.

INTRODUCTION TO EMPLOYEE WELFARE

The concept of welfare implies the welfare of man, his family & his community. The

worker, both in industry & agriculture, cannot cope with the pace of modem life with minimum

sustenance amenities. Employee needs an added stimulus to keep body & soul together.

Employers have also realized the importance of their role in providing these extra

amenities. Yet, they are not always able to fulfill worker's demands however reasonable they

might be. Employee welfare, though it has proved to contribute to efficiency in production, is

expensive. Each employer depending on his priorities gives varying degrees of importance to

Employee welfare. Employee welfare is now accepted that it is a social right.

Employee welfare has both positive and negative sides associated to it. It enables the

concept of employee welfare originated in the desire for a humanitarian approach to the

45

sufferings of working class. Later, it became a utilitarian philosophy which worked as a

motivating force for employees & for those who were interested in it.

Employee welfare work aims at providing such service facilities and amenities which

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

surroundings conducive to good health and high morale. NCL felt that standards had to be

improved in existing crèches. Increase of small units they suggested that the state should provide

crèches and recover part of the cost from the employer. They felt the statutory regulation for

crèches should also apply to contractors who employ who employ women workers.

CONCEPT:

The concept of Employee welfare is flexible & elastic & differs widely with time, region,

industry, industry, social values & customs, degree of industrialization, the general socio-

economic development of the people & the political ideologies prevailing at a particular time.

It is also molded according to the age-group, gender, socio-cultural background, marital

and economic status & educational level of the workers in various industries. Accordingly, the

concept cannot be very precisely defined.

Employee welfare may be viewed as a total concept, as social concept and as a relative

concept.

The total concept is a desirable state of existence involving the physical, mental, moral,

and emotional well-being.

The social concept of welfare implies the welfare of men, his family and his community.

All these three aspects are inter related and work together in a three dimensional approach.

The relative concept of welfare implies that welfare implies that welfare is relative in

time and place. The term welfare includes the state of well-being, health, happiness, prosperity &

the development of human resources.

46

Employee welfare is a productive activity &.means adoption of measures to promote the

physical, social, psychological & general well-being of the working population.

DEFINITIONS:

According to Oxford Dictionary Labor Welfare is: "Efforts to make life worth living for

worker."

The Encyclopedia of social sciences has defined Labor welfare work as: "The Voluntary

efforts of the employers to establish, within the existing industrial system, working & sometimes,

living & cultural conditions of the employees beyond what is required by law, the custom of the

country & the conditions of the market".

The ILO report refers to Labor Welfare as: "such services, facilities and amenities as may

be established in or in the vicinity of undertakings to enable the persons employed in them to

perform their work in healthy, congenial surroundings and provide with amenities conducive to

good health and high morale."

According to the Committee on Labor Welfare, welfare services should mean: "such

services, facilities and amenities as adequate canteens, rest & recreation facilities sanitary &

medical facilities arrangements for travel to & farm place of work & for the accommodation of

workers employed at a distance from their homes; and such other services amenities and

facilities, including social security measures contribute to the conditions under which employees

are employed. "

IMPORTANCE:

Employee Welfare is an important facet of Industrial Relations, the extra dimension,

giving satisfaction to the worker in a way which evens a good wage cannot. Industrial progress

of a country depends on its committed labor force.

In this regard the importance of employee welfare was recognized as early as 1931, when

the Royal commission on labor stated that the benefits which go under this nomenclature are of

great importance to the warder who is unable to secure by himself.

47

The schemes of employee welfare may be regarded as "a wise investment:" which should

& usually does bring a profitable return in the form of greater efficiency.

The planning commission realized the importance of employee welfare, when it observed

that "in order to get the best out of a worker, in the matter of production, working conditions

require to be improved to a large extent.

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

and efficiency. Employee welfare aims at solving the problems related to industry and labor and

consists largely of group and community adjustment and corresponding activities.

Employee welfare operates to neutralize the harmful effects of large scale

industrialization and urbanization. Provision of welfare amenities enables the workers to live

richer and more satisfactory life and contributes to their efficiency and productivity. It helps in

maintaining industrial peace.

Types of Employee Welfare Services

Safety Services

Prevention of accidents is an objective which requires explanation.

The costs of accidents are enormous in suffering to the injured, in reduction or loss of

earnings, in disabilities and incapacities which afflict those involved and in compensation,

insurance and legal costs, in lost time, filling in reports and attending to enquiries, and in

spoilage of materials, equipment and tools to management.

Accidents are the consequence of two basic factors: technical and human. Technical

factors include all engineering deficiencies, related to plant, tools material and general work

environment. Thus, for example, If improper lighting, inadequate ventilation, poor machine

48

guarding and careless housekeeping are some hazards which may cause accidents. Human

factors include all unsafe acts on the part of employees. An unsafe act is usually the result of

carelessness.

Young and new employees, because of their difficulty in adjusting to the work situation

and to life in general, also have many more accidents than do old and nature workers.

The Phenomenon of Accident Proneness

Some persons believe wrongly in the theory that certain individuals are accident prone,

that is , they have some personality trait as opposed to some characteristic of the environment

which predisposes them to have more accidents than others in work condition where the risk of

hazards is equal to all.

Components of a Safety Service

Among the many components of a safety service the following have proved effective

when applied in combination:

-Appointment of safety officer

In big organizations, the appointment of a safety officer to head the safety department is a

must. In small organizations, the personnel manager may look after the functions of this

department. The head of the safety department, who is usually a staff man, is granted power to

inspect the plant for unsafe condition, to promote sound safety practices (through posters an d

safety campaigns), to make safety rules, and to report violations to the plant manager.

-Support by line management

The head of the safety department, whether enjoying a staff or a functional position, by

himself, cannot make a plan safe. His appointment lulls line management into assuming that all

its safety problems have been solved.

49

-Elimination of hazards

Although complete elevation of all hazards is virtually an impossibility but following

steps can be taken to help reduce them:

-Job safety analysis

All job procedures and practices should be analyzed by an expert to discover hazards. he

should then suggest changes in their motion patterns, sequence and the like.

Placement

A poorly placed employee is more apt to incur injury than a properly placed employee.

Employees should be placed on jobs only after carefully estimating and considering the job

requirements with those which the individual apparently possesses.

-Personal protective equipment

Endless variety of personal safety equipment is available nowadays which can be used to

prevent injure Safeguarding machinery Guards must be securely fixed to all power driven

machinery.

Materials handling

Though often ignored, the careless handling of heavy and inflammable materials is an

important source of several injuries and fire.

Hand tools

Minor injuries often result from improperly using a good tool or using a poorly designed

tool. Therefore, close supervision and instruction should be given to the employees on the proper

tool to use an the proper use of the tool.

Safety training, education and publicity

50

Safety training is concerned with developing safety skills, whereas safety education is

concerned with increasing contest programmes, safety campaigns, suggestion awards, and

various audiovisual aids can be considered as different forms of employee.

Safety inspection

An inspection by a trained individual or a committee to detect evidence of possible safety

hazards (such as poor lighting, slippery floors, unguarded machines, faulty electrical

installations, poor work methods and disregard of safety rules) is a very effective device to

promote safety.

Health Services

The prevention of accident constitutes only on segment of the function of employee

maintenance. Another equally important segment is the employee's general health, both physical

and mental.

There are two aspects of industrial health services

Preventive & Curative, the former consists of pre-employment and periodic medical

examination, removal or reduction of health hazards to the maximum extent possible,

Surveillance over certain classes of workers such as women, young persons and persons exposed

to special risks.

Counseling Services

It An employee very often comes across problems which have emotional content. For

example, he may be nearing retirement and feeling insecure or he may be getting promotion and

feeling hesitant to shoulder increased responsibility or he may be worried due to some family

problem.

Employee Welfare in India

The chapter on the Directive Principles of State Policy in our Constitution expresses the

need for labor welfare thus:

51

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

effectively as it may a social order in which justice, social, economic and political, shall inform

all the institutions of the national life.

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

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

livelihood;

That the ownership and control of the material resources are so distributed as to sub serve

the common good.

The State shall make provision for securing just and humane conditions of work and for

maternity relief.

Factories Act, 1948

The principal Act to provide for various labour welfare measures in India is the Factories

Act, 1948. The Act applies to all establishments employing 10 or more workers where power is

used and 20 or more workers where power is not used, and where a manufacturing process is

being carried on.

- Employee welfare officer

Section 49 of the factories act provides that in every factory wherein 500 or more

workers are ordinarily employed the employer shall appoint at least one welfare officer.

The welfare officer should possess; (i) a university degree; (ii) degree or diploma in

social service or social work or social welfare from a recognized institution; and (iii) adequate

knowledge of the language spoken by the majority of the workers in the area where the factory is

situated.

Supervision

Counseling workers

52

Advising management

Establishing liaison with workers

Working with management and workers to improve productivity.

Health of Employees

Cleanliness.

Every factory shall be kept clean by daily sweeping or washing the floors and work

rooms and by using disinfectant where necessary.

Disposal of wastes and effluents.

Effective arrangements shall be made for the disposal of wastes and for making them

innocuous.

Ventilation and temperature.

Effective arrangements shall be made for ventilation and temperature so as to provide

comfort to the workers and prevent injury to their health.

Dust and fume.

Effective measures shall be taken to prevent the inhalation and accumulation of dust and

fumes or other impurities at the work place.

Artificial humidification.

The State Government shall make rules prescribing standard of humidification and

methods to be adopted for this purpose.

Overcrowding

53

There shall be in every work room of a factory in existence on the date of commencement

of this act at least 9.9cubic meters and of a factory built after the commencement of this act at

least 4.2 cubic meters of space for every employee.

Lighting.

The State Government may prescribe standards of sufficient and suitable lighting.

Drinking Water.

There shall be effective arrangement for wholesome drinking water for workers at

convenient points.

Latrines and urinals.

There shall be sufficient number of latrines and urinals, clean, well-ventilated,

conveniently situated and built according to prescribed standards separately for male and female

workers.

Spittoons.

There shall be sufficient number of spittoons placed at convenient places in the factory.

Safety of Employees

Fencing of machinery.

All dangerous and moving parts of a machinery shall be securely fenced. Screws, bolts

and teeth shall be completely encased to prevent danger.

Work on or near machinery in motion.

54

Lubrication or other adjusting operation on a moving machinery shall be done only by a

specially trained adult male worker.

Employment of young persons on dangerous machines.

No young person shall be allowed to work on any dangerous machine (so prescribed by

the state government) unless he is sufficiently trained or is working under the supervision of

knowledgeable person.

Device for cutting off power.

Suitable device for cutting of power in emergencies shall be provided.

Hoists and lifts.

These shall be made of good material and strength, thoroughly examined at least once in every

six months and suitably protected to prevent any person or thing from being trapped.

Welfare of Employees

Chapter V of the factories Act contains provisions about the welfare of employees. These

are as follows:

There shall be separate and adequately screened washing facilities for the use of male and

female employees.

There shall be suitable places provided for clothing not worn during working hours and

for the dying of wet clothing.

There shall be suitable arrangement for all workers to sit for taking rest if they are

obliged to work in a standing position.

There shall be provided the required number of first-aid boxes or cupboard (at the rate of

one for every 150 workers) equipped with the prescribed contents readily available

during the working hours of the factory.

The State Government may make rules requiring that in any specified factory employing

more than 250 employees a canteen shall be provided and maintained by the occupier for

the use of the employee.

55

There shall be provided sufficiently lighted and ventilated lunch room if the number of

employees ordinarily employed is more than 150.

Restrictions in the Factories Act on the employment of young persons:

1. Prohibition as to employment of children (Section 67)

No child who has not completed his fourteenth year shall be required or allowed to work

in any factory.

2. Employment of Children and Adolescent (Section 68)

A child who has completed his fourteenth year or an adolescent shall not be required or

allowed to work in any factory unless following conditions are fulfilled:

The manager of the factory has obtained a certificate of fitness granted to such young

While at work, such child or adolescent carries a token giving reference to such certificate.

3. Certificate of fitness (Section 69)

Before a young person is employed in the factory, a certifying surgeon has to certify that

such person is fit for that work in the factory.

Welfare Funds

In order to provide welfare facilities to the workers employed in mica, iron, ore,

manganese ore and chrome ore, limestone and dolomite mines and in the beady industry, the

welfare funds have been established to supplement the efforts of the employers and the State

Government under respective enactments.

The welfare measures financed out of the funds relate to development of medical

facilities, housing, supply of drinking water, support for education of dependents and recreation,

etc.

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Voluntary benefits

Benefits are also given voluntarily to workers by some progressive employers. These

include loans for purchasing houses and for educating children, leave travel concession, fair

price shops for essential commodities and loans to buy personal conveyance.

Machinery Connected with Employee Welfare Work

1. Chief inspector of Factories

It is the duty of the Chief inspector of factories (who generally works under the

administrative control of the labour commissioner in each state) to ensure enforcement of various

provisions of Factories Act i8n respect of safety, health and welfare of workers.

2. Central Labour Institute

The institute was set up in Bombay in 1966 to facilitate the proper implementation of the

Factories Act, 1948; to provide a centre of information for inspectors, employers, workers and

others concerned with the well being of industrial labour and to stimulate interest in the

application of the principles of industrial safety, health and welfare.

3. National Safety Council

The National Safety Council was wet up on 4th March, 1966 in Bombay at the initiative

of the Union Ministry of Labour and Rehabilitation, Government of India, as an autonomous

national body with the objective of generating developing and sustaining an movement of safety

awareness at the national level.

4. Director General of Mines Safety

The Director General of Mines Safety enforces the Mines Act, 1952. He inspects

electrical installation and machinery provided in the mines and determines the thickness of

barriers of 2 adjacent mines in order to prevent spread of fire and danger of inundation.

SOCIAL SECURITY

57

The connotation of the term "Social Security" varies form country to country with

different political ideologies. In socialist countries, the avowed goal is complete protection to

every citizen form the cradle to the grave.

There are some components of Social Security:

Medical care

Sickness benefit

Unemployment benefit

Old-age benefit

Employment injury benefit

Family benefit

Maternity benefit

Invalidity benefit and

Survivor's benefit

Social Securities may be of two types:

Social assistance under which the State -finances the entire cost of the facilities and

benefits provided.

Social insurance, under the State organizes the facilities financed by contributions form

the workers and employers, with or without a subsidy from the state.

Social Security in India

58

At present both types of social security schemes are in vogue in our country. Among the

social assistance schemes are the most important.

The social insurance method, which has gained much wider acceptance than the social

assistance method, consists of the following enactments.

. The workmen's Compensation Act, 1961.

. The Employee's State Insurance Act, 1948.

. The Maternity Benefit Act, 1961.

1. Employees' compensation Act. 1923

This Act covers all workers employed in factories, mines, plantations, transport

undertakings, construction works, railways, ships, circus and other hazardous occupations

specified in schedule II of the Act.

The Act empowers the State Government to extend the coverage of the Act by adding

any hazardous occupation to the list of such occupations is schedule II.

Administration.

The Act is administered by the State Government which appoints Commissioners for this

purpose under sec. 20 of the Act.

Benefits:

Under the Act, compensation is payable by the employer to a workman for all personal

injuries caused to him by accident arising out of and in the course of his employment which

disable him for more than 3 days.

2. Employees' State Insurance Act. 1948

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

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Administration.

The Act is administered by the ESI corporation, an autonomous body consisting of

representatives of the Central and State Governments, employers, employees, medical profession

and parliament.

Benefits.

The Act, which provides for a system of compulsory insurance, is a landmark in the

history of social security legislation in India.

Medical Benefit.

An insured person or (where medical benefit bas been extended to his family) a member

of his family who requires medical treatment is entitled to receive medical benefit free of charge.

Sickness Benefit.

An insured person, when he is sick, is also entitled to get sickness benefit at the standard

benefit rate corresponding to his average daily wage.

An insured woman is entitled to receive maternity benefit (which is twice the sickness

benefit rate) for all days on which she does not work for remaining during a period of 12 weeks

of which not more than 6 weeks shall precede the expected date of confinement.

The Act makes a three-fold classification of injuries in the same way as is done in the

workmen's compensation Act.

Dependant's Benefit. If an insured person meets with an accident in the course of his

employment an dies as a result thereof, his dependants, i.e. his widow, legitimate or adopted sons

and legitimate unmarried daughters get this benefit.

3. The Maternity Benefit Act. 1961

Maternity benefit is one of the important benefits provided under the Employees State

Insurance Act, 1948. Another important legislation in this respect is the Maternity Benefit Act,

60

1961. The Act covers only those persons who are not covered by the Employees State Insurance

Act. The Act entitles a woman employee to claim maternity leave from her employer if she has

actually worked for a period of at least 160 days in the 12 months immediately preceding the day

of her expected delivery.

The act further provides for the payment of medical bonus of Rs. 250 to the confined

woman worker. The committee on the status of women in India 1974 has, therefore,

recommended the following changes in the Act:

The administration of the fund should follow the pattern already established by the ESIC.

For casual labour a minimum of 3 months of service should be considered as qualification

service for this benefit. This will provide greater incentive to women workers to participate in

trade union activities.

TABLE-1

How do you feel about your company’s welfare programs?

OPINION NO.OF RESPONDENTS PERCENTAGE

RESPONDANCE

Highly satisfied 8 16%

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Satisfied 20 40%

Moderately satisfied 9 18%

Dissatisfied 6 12%

Highly dissatisfied 7 14%

Interpretation

According to my survey I found that, 16% of the respondents are highly satisfied with the

company welfare programs, 40% of the respondents are satisfied with the welfare programs,

18% are moderately satisfied, 12% are not satisfied with the welfare programs. 14% are highly

dissatisfied with the company’s welfare programs.

TABLE-2

Do you satisfy with your safety measures take by the company?

OPINION NO.OF RESPONDENTS PERCENTAGE OF

RESPONDANCE

YES 39 78%

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NO 11 22%

Interpretation

According to my study 78% of respondents are satisfied and remaining 22% of

respondents are not satisfied with the safety measures taken by the company.

TABLE-3

Are you satisfy working environment in your company?

OPINION NO.OF RESPONDENTS PERCENTAGE OF

RESPONDANCE

YES 40 80%63

NO 10 20%

Interpretation

From my study I found that 80% of respondents are satisfied, and the remaining 20% of

respondents are not satisfied with the working environment in their company.

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TABLE-4

Is your company providing any rest rooms and toilet facilities ?

OPINION NO.OF RESPONDENTS PERCENTAGE OF

RESPONDENS

YES 42 84%

NO 8 16%

Interpretation

According to my study I found that 84% of respondents are satisfied and the remaining

16% of respondents are not satisfied with the rest rooms and toilets.

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TABLE-5

Is your company follow any retirement plans for employee future?

OPINION NO.OF RESPONDENTS PERCENTAGEOF

RESPONDANCE

YES 35 70%

NO 15 30%

Interpretation

From my study I found that 70% of respondents are satisfied and remaining 30% of

respondents are dissatisfied with the retirement plans for employ future.

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TABLE-6

How do you feel about drinking water, first aid facilities?

OPINION NO.OF RESPONDENTS PERCENTAGE OF

RESPONDANCE

WORSE 0 0%

BAD 1 2%

AVERAGE 17 34%

GOOD 31 62%

VERY GOOD 1 2%

Interpretation

According to my study 0% respondents are feel worse, 2% of respondents are feel

bad,34% of respondents are feel average,62% of respondents are feel good and the remaining 2%

of respondents are feels very good about drinking water and first aid facilities.

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TABLE-7

Is any involvement of management in problems of worker?

OPINION NO.OF RESPONDENTS PERCENTAGE OF

RESPONDANCE

HIGH 11 22%

LESS 10 20%

PARTIALLY 29 58%

Interpretation

From my study I found that 22% of respondents are highly satisfied, 20% of respondents

are less satisfied and the remaining 58% of respondents are partially satisfied with the

management involvement in solving of workers problems.

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TABLE-8

Is your company follows sufficient working hours?

OPINION NO.OF RESPONDENTS PERCENTAGE OF

RESPONDANCE

YES 29 58%

NO 21 42%

Interpretation

From my study I found that 58% of respondents are satisfied and the remaining 42% of

respondents are dissatisfied with the working hours.

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TABLE-9

Is your company pay salaries at end of the month?

OPINION NO.OF RESPONDENTS PERCENTAGE OF

RESPONDANCE

YES 46 92%

NO 4 8%

Interpretation

According to my study I found that 92% of respondents are satisfied and the remaining

8% of respondents are dissatisfied about the salary payment at the end of the month.

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TABLE-10

Are you satisfy with food services in the canteen?

OPINION NO.OF RESPONDENTS PERCENTAGE OF

RESPONDANCE

FULLY SATISFIED 3 6%

SATISFIED 37 74%

MODERATELY 9 18%

NOT MUCH 1 2%

NOT AT ALL 0 0%

Interpretation

According to my study, I found that 6% of respondents are fully satisfied, 74-% of

respondents are satisfied, 18% of respondents are moderately satisfied, and remaining 2% of

respondents are not much with the food services in the canteen.

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TABLE-11

Do you think changes are essential in canteen timings?

OPINION NO.OF RESPONDENTS PERCENTAGE OF

RESPONDANCE

YES 39 78%

NO 11 22%

Interpretation

From my study I found that 78% of respondents are satisfied, and the remaining 22% of

respondents are dissatisfied with the changes in canteen timings.

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TABLE-12

Is your company providing any health insurance bonus?

OPINION NO.OF RESPONDENTS PERCENTAGE OF

RESPONDANCE

YES 33 66%

NO 17 34%

Interpretation

According to my study I found that 66% of respondents are satisfied, and the remaining

34% of respondents are dissatisfied with health insurance and bonus given by the company.

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TABLE-13

How do you feel about “ Transportation facilities?

OPINION NO.OF RESPONDENTS PERCENTAGE OF

RESPONDANCE

HIGHLY SATISFIED 3 6%

SATISFIED 38 76%

DIS SATISFIED 9 18%

HIGHLY DISSATISFIED 0 0%

Interpretation

According to my study I found that 6% of respondents are highly satisfied, 76% of

respondents are satisfied, and the remaining 18% of respondents are dissatisfied with the

transportation facilities.

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TABLE-14

Are you satisfy with your – facilities?

OPINION NO.OF RESPONDENTS PERCENTAGE OF

RESPONDANCE

HIGHLY SATISFIED 6 12%

SATISFIED 39 78%

DIS SATISFIED 5 10%

HIGHLY DISSATISFIED 0 0%

Interpretation

From my study I found that 12% of respondents are highly satisfied, 78% of respondents are

satisfied and the remaining 10% of respondents are dissatisfied with their facilities.

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TABLE-15

How did you satisfy with loans and allowances?

OPINION NO.OF RESPONDENTS PERCENTAGE OF

RESPONDANCE

HIGHLY SATISFIED 8 16%

SATISFIED 35 70%

DIS SATISFIED 7 14%

HIGHLY DISSATISFIED 0 0%

Interpretation

From my study I found that 16% of respondents are highly satisfied,70% of respondents

are satisfied, and remaining 14% of respondents are dissatisfied with the loans and allowances.

.

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TABLE-16

How do you feel about children education facilities in the company?

OPINION NO.OF RESPONDENTS PERCENTAGE OF

RESPONDANCE

YES 42 84%

NO 8 16%

Interpretation

From my study I found that 84% of respondents are satisfied, and remaining 16% of

respondents are dissatisfied with the children educational facilities.

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TABLE-17

Given below facilities, please specified your priority?

OPINION NO.OF RESPONDENTS PERCENTAGE OF

RESPONDANCE

Housing Facilities 21 42%

Loans and allowances 3 6%

Medical Facilities 17 34%

Educational facilities 6 12%

Conveyance facilities 3 6%

Interpretation

According to my study I found that 42% of respondents are satisfied with housing

facilities, 6% of respondents are satisfied with loans and allowances 34% of respondents are

satisfied with the medical facilities, 12% of respondents are satisfied with the educational

facilities and remaining 6% of respondents are satisfied with the conveyance facilities.

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TABLE-18

Is your company provides maternity benefits?

OPINION NO.OF RESPONDENTS PERCENTAGE OF

RESPONDANCE

YES 48 96%

NO 2 4%

Interpretation

According to my study 96% of respondents are satisfied , and the remaining 4% of

respondents are dissatisfied with the maternity benefits.

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TABLE-19

What Is Your Feelings Towards The Welfare Activities In The Work Place?

OPINION NO.OF RESPONDENTS PERCENTAGE OF

RESPONDANCE

heal mates 4 8%

glowses 16 32%

Dress code 15 30%

Shoes 15 30%

Interpretation

From my study I found that 8% of respondents are preferred heal mates, 32% of

respondents are preferred gloves, 30% of respondents preferred dress code and the remaining

30% of respondents are preferred shoes.

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TABLE-20

Is it possible to increasing company production the above facilities?

OPINION NO.OF RESPONDENTS PERCENTAGE OF

RESPONDANCE

YES 41 82%

NO 9 18%

Interpretation

According to my study I found that 82% of respondents are satisfied with the present

facilities, and remaining 18% of respondents are feel that the organization has to improve the

facilities

.

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TABLE-21

What is your opinion about the welfare facilities in this company?

OPINION NO.OF RESPONDENTS PERCENTAGE OF

RESPONDANCE

Excellent 8 16%

Good 20 40%

Average 18 36%

Poor 4 8%

Interpretation

According to my study 16% of respondents are feel excellent, 40% of respondents are

feels good,36% of respondents are feel average, and remaining 8% of respondents are feel poor

with the welfare facilities.

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TABLE-22

Have you satisfied (or) with the direction guidance, support provided by your superiors?

OPINION NO.OF RESPONDENTS PERCENTAGE OF

RESPONDANCE

HIGHLY SATISFIED 2 4%

SATISFIED 35 70%

MODERATELY SATISFIED 11 22%

DIS SATISFIED 1 2%

HIGHLY DISSATISFIED 1 2%

Interpretation

According to my study I found that 4% of respondents are highly satisfied,70% of

respondents are satisfied, 22% of respondents are moderately satisfied, 2% of respondents are

dissatisfied, and the remaining 2% of respondents are highly dissatisfied with the direction

guidance provided by their superiors.

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FINDINGS

In the organization safety measures are provided to employees with

o glouses,

o uniform and

o aprons are to be satisfied by the employees.

Working environment of the organization is satisfied, that they are maintaining good

relationship with employees. That working environment at horizontal and vertical

relationships is to be convinced by the employees.

Company is providing medical services for their employees with

o health insurance

o medical assistance and

o first aid services are to be in the manner of satisfactory.

The company is providing the post retirement plans and social insurance measures to the

employees for effective standard of living and for future needs for employees.

The company is providing the basic necessary facilities like toilets, rest rooms and

drinking water has to be provided to the labour in the work place.

In the company legal claim settlement for solving the problems between employees has

to be provided by the organization with top management commitment

Company is managing and following the sufficient working time for the employees at

work place.

The company is paid the salaries to the employees at the end of each month.

Company is providing the canteen facility to the employees with quality food items given

to the employees.84

Company is provides the transportation facilities to the labour with bus and auto trellis.

Company provides the loans like housing loans and educational loans for the employees

and allowances are given to the employees in the organization.

. company is provides the educational facilities to the childrens of the employees, and

they are satisfied with that facility.

The company is providing the housing facilities, educational facilities, and medical

facilities to the employees and their family members.

Company is providing the sufficient and basic welfare facilities to the employees in the

organization.

Superiors are giving guidelines and support to the employees and the employees are

satisfied with their responsibility.

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SUGGESTIONS

Organisaiton is provide good sanitation facilities to their labour in order to give effective

work environment and job satisfaction on that way improve and maintain sanitation

facilities of the organization for effective work environment and to improve job

satisfaction and work satisfaction of the employees.

Organization should provide proper social insurance measures and post retirement

benefits to their labour.

The organization provides medical facilities for employees and their spouses. But not

providing this facility to their children. Give the facility to their children also in order to

give the health protection to their labour family members.

The organization follows good legal claim settlement for solving of the industrial

disputes with collective bargaining joint consultation machinery and works committee.

But there is no trade union. Because for that better coordination of employees provide

trade union facility to their labour.

The organization should provide proper protective clothing facility and uniform to their

labour.

Welfare activities are observed by the production manager. Welfare inspector is not there

in the organization. For better improvement of welfare activities recruit the welfare

inspector to maintain welfare activities for improving labour productivity within the

organization.

The organization has to provide rest room facility for the labour and visitors for

prevention of fatigue in the organization.

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The Organization is providing vocational training facilities by using high level of

language. The workers do not understand this program. So the organization has to

provide training facilities with simple language and better understanding.

Organization is providing the rest rooms for their employees in order to improve the

efficiency and effectiveness of the employees and preventing the fatigue of the visitors.

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CONCLUSION

SIVA SWATI. Textiles Pvt. Ltd is formulated contingent plans to provide the employee

welfare amenities for maintains harmonious relations between management and employees in

order to improve the productivity of the organization. It helps to the management to gain support

of employees for the promotion and implementation of its plans and procedures for effective

competitive advantage. To sustain peaceful climate throughout the plant SIVA SWATI. Textiles

Pvt. Ltd. initiated continuous interaction with employees, to maintain harmonious relations

effective functioning of participative environment.

In SIVA SWATI Textiles Pvt. Ltd. Productive work culture is being considered as a

crucial and important factor as such several initiatives has been taken to adopt a multi skill and

multi trade patterns of working with emphasis on flexibility in job deployment, that ensured the

optimum utilization of human resources.

88