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Topic – Wage and Salary Administration
Name – Gandhare Mayur
Course - MBA
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EXECUTIVE SUMMARY
The history of media in India is colored by the colonial experience. William Bolts, an ex-
employee of the British East India Company attempted to start the first newspaper in
India in 1776. Bolts had to beat a retreat under the disapproving gaze of the Court of
Directors of the Company.
Although the first printing press was imported into Bombay as early as 1670 by the Parsi
businessman Bhimjee Parikh, it was more than a hundred years before the first newspaper
was printed.
The first vernacular newspaper in Bombay was the Gujarati daily Mumbai Samachar,
published in 1822 by Fardoonjee Marzban.
The promoter of Business is Late V. R. Kothari. He started this Newspaper in
1931for the social purpose. In that period India is under the rule of British Government
and in that period also people need the newspaper for expressing his feeling towards
British Government.
It is my pleasure thatI was given opportunity to do project on Wage and Salary
Administration in Daily Prabhat &Poona Daily News Pvt.Ltd. . It was to get the view of
the staff members about the wage structure of the company. My project started with the
study of some books relating to the topic and I observe the problem of the employees
about it.
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There is always a scope to study the wage and salary structures of the entire
organization and bifurcations of all the levels of organization. It also deals and designs
the updations of wage and salary with current government scenario. In this project, I
studied about the present salary composition of Daily Prabhat &Poona Daily News
Pvt.Ltd. along with the evaluation of incentives, bonus, and allowances given to the
employees.
After analyzing the data and interviewing the employees its found that the wage
and salary administration of the company was satisfactory.
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COMPANY PROFILE
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The Business organization is a Pvt. Ltd. Co.
Mr. Anand Ashok Gandhi is a Managing Director of the Daily Prabhat & Poona Daily
News Pvt. Ltd. Co.
The Newspaper had started in the year of 1931.
The nature of business firm is mainly a printing and publishing of newspaper.
The Newspaper is one of the type of media. There are many types of media such as
audio, visual, printing media etc. The newspaper is a type of printing media. The
newspaper is a effective media of expressing the peoples opinion in the country like
India. People have a very useful weapon of newspaper for expressing his feelings towards
government, organizations etc. Because of this purpose the Late Mr. V.R.Kothari started
a newspaper in 1931. In that period India is under the rule of British Government and in
that period also people need the newspaper for expressing his feeling towards British
Government.
The promoter of Business is Late V. R. Kothari. He started this Newspaper in 1931for the
social purpose. Late Mr. V.R.Kothari is a teacher of Sanskrit. And in the name of him
Daily Prabhat
&Poona Daily News Pvt.Ltd give a price to the student who scores a highest mark in
Sanskrit in Maharashtra state of secondary examination i.e. in S.S.C examination. The
Daily Prabhat was one of the old newspaper in Pune at that time. And from the time
started the newspaper the paper maintains the quality and is one of the successful
newspaper in Marathi language in Pune city as well as in rural area. The newspaper has
won the The Manisana (Wage Board Award has accepted by Govt. by notified date 5
Dec. 2000
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The yearly approximate turnover of Daily Prabhat &Poona Daily News Pvt.Ltd is in
Rs.50000000
How the printing done at Prabhat ?
The Editorial Process
The process of producing a daily edition of a Daily Prabhat newspaper begins with a
meeting of the paper's editors, who determine the amount of editorial copy in an
issue based on the advertising space that has already been sold. A specific
number of pages is agreed upon, and the editorial assignments are made to the
various departments. The section of national and international news, generally
the first part of the paper, is compiled from correspondents who send in their
stories electronically, usually via computer modern, to their editor's computer.
There, the editor checks the stories, sometimes rewriting them or increasing or
decreasing their length. Additional stories of importance are compiled from wire
services such as United Press International, Associated Press, and Reuters.
These are organizations that employ reporters in various cities of the globe to
Compile stories and items quickly for dissemination over telephone wires.
For a typical, news breaking story of local origin, the process begins with a
Correspondent submitting a report, either in person or via computer modern, to
the "rewrite" desk person. The rewrite journalist fine-tunes the wording of the
story and makes sure it answers the six important questions: who, what, where,
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when, why, and how. He or she then sends it over to the computer at the city
desk. The city desk editor, who is responsible for the paper's local content,
looks over the story, makes additional changes if necessary, and sends it over
to the news desk. The news editor, who makes the final call about which stories
to run in the upcoming edition based on their relevance, may make further
changes before submitting the piece to the copydesk. The story arrives there
with guidelines for length as well as headline instructions regarding size and
type.
From this point, the story is set to be inserted on a certain page that has
already been roughly laid out by both the news editor and a makeup editor. A
mock-up of the page, essentially a blank form showing where the stories will run
and where pictures and advertising will be inserted, is called the "dummy." The
makeup editor has already met with the advertising department to determine how
such pages will be laid out with ad space. The dummy has rough notes for
headlines, story insertions, and graphic elements such as photos and tables of
statistics. It also shows the date of the edition as well as a page and section
number. After the news editor has determined the placement of the story on the
page in as well as the other items set to run the dummy is sent
on to a composing room.
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The Manufacturing Process
Typesetting
The composing room receives the story in an electronic format, with the
computer text file already translated with typeset codes. In a typeset file,
the characters are of the same style, size, and width as they appear on
the pages of the newspaper. The setting of stories into the type that a reader
sees went unchanged for several decades until the latter years of the 20th
century. Well into the 1800s, type was set by hand, letter by letter. A
typesetter dropped small metal letters into a hand-held tray called a "stick."
The invention of the Linotype machine in 1884 made possible a quicker, more
efficient method of typesetting. Invented by German immigrant Ottmar
Mergenthaler of Baltimore, Maryland, this large, cumbersome machine worked by
casting hot lead into a line of type with the assistance of an operator who
typed in the copy on a keyboard. Individual lines of type were then placed by
hand onto a page form. When a page was completed, it was then sent to a
stereotyping room where a curved metal plate was made from the page form. The
page form was then placed on the printing press.
Modern technology has replaced the Linotype process through a method called
phototypesetting. The first step in this process is the transfer of the dummy
to the page layout section of the newspaper. There, an operator transfers the
instructions on the dummy into a rough page prototype. A printed version may
be looked over and adjusted several times by one of the reporters whose story
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is featured as well as by the copy editor. If another breaking story comes in,
this page layout can be altered in a matter of minutes.
Image transference
The final version of the page is then approved by the editor on duty—sometimes
a night editor in the case of a paper that is slated for a morning edition—and
sent over to a process department. There, the page is taken in its computer
format and transferred via laser beams onto film in an image setter apparatus.
The operator then takes the film to a processor in another section of the
paper, who develops it and adjusts it for its final look. Photographs are
scanned into another computer terminal and inserted into the page layout. The
pages that are set to be printed together are then taped down onto a device
called a "stripper," and an editor checks them over once more for errors. The
strippers are then put into frames on light-sensitive film, and the image of
each page is burned onto the film. The film of each page is inserted into a
laser reader, a large facsimile machine that scans the page and digitally
transfers the images to the printing center of the newspaper.
At the printing center, typically a large plant separate from the newspaper's
editorial offices and centrally located to facilitate citywide distribution,
the pages arrive at the laser room and are put through a laser writer, another
scanning device that makes a negative image of them. In the negative image of
the page, the text is white while the blank spaces are black. The final images
of each page are further adjusted. This last-minute adjustment may involve
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fine-tuning of the colored sections and retouching photographs.
Platemaking
From these negatives, the forms from which the paper will be printed are
composed in a platemaking room. The film of the page, usually done two pages
at a time, is then placed on a lighted box. Next, an aluminum plate containing
a light-sensitive coating is placed on top of the image of the pages. The
light box is then switched on, and ultraviolet light develops the image of the
pages onto the aluminum plate. The aluminum plate is then bent at the edges so
that it will fit into a press, and is fitted onto plate cylinders.
Printing
The aluminum plates of each page next move on to the actual printing press, an
enormous machine often two stories high. When the press is running, the noise
in the building is deafening and employees must wear earplugs. The most common
method of printing newspapers is called web offset. The "web" refers to the
large sheets of blank newsprint that are inserted in rolls, sometimes weighing
over a ton, into the actual printing press. The reels of newsprint are loaded
in at the bottom floor of the press. The rolls are inserted onto a reel stand,
which has three components: the first reel brings a roll of paper up to the
press, a second is loaded and ready to replace the first roll when it runs
out, and a third reel stays empty and ready to be fed with another when the
first reel is almost finished. Each roll of blank newsprint has double-sided
tape at its edges, so that when one roll runs out in the press, another
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smoothly takes up where the other left off without interrupting the printing
process.
The plate cylinders then press the image of the page onto a blanket cylinder,
leaving a version of the page's image on the cylinder's soft material. When
the paper runs through the press, the blanket cylinder presses the image onto
it. The chemical reaction of the ink, which contains oil, and the squirting of
jets of water into the process result in the actual newspaper page of black or
colored images on a white back-ground. Since oil and water do not mix, the
areas where ink should adhere to the page are black or colored, and water
washes away the parts where ink is not needed. This is why this printing
process is referred to as "offset."
Next, the large sheets of printed newsprint move on to another large piece of
machinery called a folder. There, the pages are cut individually and folded in
order. This entire printing process can move as fast as 60,000 copies per
hour. Quality control technicians and supervisors take random copies and scan
them for printing malfunctions in color, order, and readability. Next, a
conveyer belt moves the papers into a mail room section of the plant, where
they are stacked into quires, or bundles of 24. The quires then move to
another section where a machine wraps them in plastic. The bundles are now
ready to be loaded onto delivery trucks for distribution.
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Head Office :
All types of administrative work are done here. The departments under the
Head Office of Daily Prabhat are below:
Human Resources Department (HRD):
The Human Resource Department is basically
responsible for caring out overall personnel management related activities of the
company within the scope of personnel policies, administrative procedures and
coordination with the management.
Public Relations Department (PRD):
It is involved to circulate the different financial
statements, activities. They also publish half yearly magazine known as Delta Barta
, produce yearly calendar, diary, and greeting cards. They advertise company s
employment notice subject to the requirements of the HRD.
MD s Secretariat: This department arranges appointment of the delegates and the
higher officials with Managing Director of the company.
Control and Compliance (C & C):
They verify the bills of TA/DA and check the
salary of the employee.
Internal Audit:
They visit different offices in order to verify the statements made by
the department. If any irregularity is found then they request the concern department
for necessary actions to correct the error.
Establishment:
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They look after all visible assets (excluding depositing money) of the
company, purchase all stationary and hardware, computer accessories, maintenance of
the existing assets.
Accounts: They prepare financial statements, annual reports, budget, book keeping of
the company. They are accountable for the over all financial functions of the
Legal: This department handles all the legal aspects of the company.
Training Department:
They arrange on-the-job training and also arrange long-term
training program for the newly recruited executives and the marketing people. There
is a separate building newly constructed at Pune only for training and development
purpose named as Training Institute which will conduct only the short-term and
long-term training programs and courses.
Servicing Department:
This department Issues money receipt Informs the ad agencies advocates about the date
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deposit the money by sending letters.
Accounts Department:
It plays a vital role for the efficient use of the finance of the company. It is responsible
for all payments and transactions of the company. Daily Prabhat has efficient and
qualified team for maintaining its accounts.
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The Accounts Department (OL) is basically divided into 7 working wings with
specific functions, duties and responsibilities. The personnel attached to each section
are responsible for work as specified below and they are reporting to their Line
Manager or Supervisor. The wings are
1. Collection, Deposit and Payment Wing
2. Final Account, Budget and MIS Wing
3. Claim, and Loan Wing
4. Daily Collection Sheet (DCS) Processing Wing
5. Daily Expense Sheet (DES) Processing Wing
6. Bank Memo (BM) Process Wing
7. Computer Wing
The advertising content of a newspaper can be divided into
two parts, classified and display. Classified ads are small, text-only items
obtained via telephone and set into the format by the classified advertising
representative. Display ads are obtained by sales representatives employed by
the newspaper who actively solicit local businesses for this larger, more
visually oriented ad space.
A newspaper is printed on thin paper made from a combination of recycled matter
and wood pulp, and is not intended to last very long. Large printing presses,
usually located at a plant separate from the editorial and advertising
headquarters, print the editions, and a network of delivery trucks bring them to
the newsstands and geographical distribution centers for subscribers.
A newspaper is a publication containing news and information and advertising,
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usually printed on low-cost paper called newsprint. It may be general or special
interest, most often published daily or weekly.
The first printed newspaper was published in 1605, and the form has thrived even
in the face of competition from technologies such as radio, television,
and the internet. Recent developments on the internet are posing major challenges to its
business model, however. Paid circulation is declining in most countries, and
advertising revenue, which makes up the bulk of a newspaper’s income, is
shifting from print to online, resulting in a general decline in newspaper
profits. This has led to some predictions that newspapers’ role in society will
shrink or even disappear, although historically, new media technologies such as
radio and television never supplanted print media.
Content
General-interest newspapers are usually journals of current news. Those can
include political events, crime, business, culture, sports, and opinions (either
editorials, columns, or political cartoons). Newspapers use photographs to
illustrate stories; they use editorial cartoonists, usually to illustrate
writing that is opinion, rather than news.
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Some specific features a newspaper may include are:
weather news and forecasts
an advice column
critic reviews of movies, plays, restaurants, etc.
editorial opinions
a gossip column
comic strips and other entertainment, such as crosswords, sudoku and
horoscopes
a sports column or section
a humor column or section a food column
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VISION
The company will serve their customers with respect and will provide the best
solution for their needs.
It will be a company with qualified professionals who will work together as a
team and serve with dignity and the highest level of integrity.
It believes in excellence and will continuously improve its customer service
and will obtain the loyalty of its customers with service beyond their
expectations.
Adding Value will be the operative words of the organization.
Values - TRUEST
Team work
Respect for all people
Unquestionable integrity
Excellence in everything they do
Speed in servicing
Truthfulness
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Advertising
Newspaper make nearly all their money from advertising; the income from
the customer’s payment at the news-stand is small in comparison. For that
reason, newspapers are inexpensive to buy, and some are free. The portion of the
newspaper that is not advertising is called editorial content, editorial matter,
or simply editorial, although the last term is also used to refer specifically
to those articles in which the newspaper and its guest writers express their
opinions. In recent years, the advertorial emerged. Advertorials are most
commonly recognized as an opinion-editorial which third-parties pay a fee to
have included in the paper. Advertorials commonly advertise new products or
techniques, such as a new design for golf equipment, a new form of laser
surgery, or weight-loss drugs. The tone is usually closer to that of a press
release than of an objective news story.
Publishers of Newspaper strive for higher circulation, so that
advertising in their newspaper becomes more effective, allowing the newspaper to
attract more advertisers and to charge more for the service. But some
advertising sales also market demographics: some newspapers might sacrifice
higher circulation numbers in favor of an audience with a higher income.
Many paid-for newspapers offer a variety of subscription plans. For example,
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someone might want only a Sunday paper, or perhaps only Sunday and Saturday, or
maybe only a workweek subscription, or perhaps a daily subscription.
Some newspapers provide some or all of their content on the internet, either at
no cost or for a fee. In some cases, free access is available only for a matter
of days or weeks, after which readers must register and provide personal data.
In other cases, free archives are provided.
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Theoretical Background
Introduction to Salary Administration
Wage and Salary Administration is an important part of Personnel Management. Personal
Management deals with wages and salaries. A company has specific wage policies which
are translated into action through a number of programms. It includes such areas as job
evaluation, surveys of wages and salaries, analysis or relevant organizationa problems,
development and maintenance of wage structure, establishing ruses for administering
wages, wage payments, incentives, profit sharing, wage changes and adjustments,
supplementary patments control of compensation costs and other related items.
What is Salary?
The Roman word salarium linked employment, salt and soldiers, accepting salt from a
person was synonymous with drawing sustenance, taking pay, or being in that person's
service. Soldiers were known to have been paid, and maintain instead that the salarium
was an allowance for the purchase of salt At that time salt production was strictly
controlled by the monarchy or ruling elite. Today, the idea of a salary continues to evolve
as part of a system of all the combined rewards that employers offer to employees. Salary
(also now known as fixed pay) is coming to be seen as part of a "total rewards" system
which includes variable pay (such as bonuses, incentive pay, and commissions), benefits
and perquisites (or perks), and various other tools which help employers link rewards to
an employee's measured performance.
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A salary is a form of periodic payment from an employer to an employee, which is
specified in an employment contract.
From the point of view of running a business, salary can also be viewed as the cost of
acquiring human resources for running operations, and is then termed personnel expense
or salary expense. In accounting, salaries are recorded in payroll accounts.
Salary is compensation to an employee for services rendered on a weekly, monthly or
annual basis. Salary is usually associated with office employees, supervisors, managers
and professional and technical staff. In any organization, salaries and wages constitute a
significant portion of the cost of operation of the business.
Salary Policy
Formulation of a sound salary policy is an important function of personnel department of
any company. A sound salary policy is essential to procure, maintain and develop
employees and to get effective results from them. In the word of Northcott, Wages
operate both on the circumference and at the centre of industrial relations .
An effective salary policy helps
- in achieving and maintaining good industrial relations
- to attract staff of the right caliber and encourage to make full use of their abilities and
develop their potential
- to convince its employees that its policy on salary is fair and realistic
- to reward staff according to their contribution
- in recruiting new employees in times of labor shortage
- to cover specific personnel matters such as promotion, transfer, up gradation etc.
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OBJECTIVES OF PROJECT
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The project report is prepared as a part of practical work personally carried out by me
during a visit to Daily Prabhat &Poona Daily News Pvt.Ltd.
This is done during 2nd year on Masters degree in Business Administration.
The purpose of the study is to know the current wage and salary administration offered to
the employees of Daily Prabhat &Poona Daily News Pvt.Ltd. and to identity the
remuneration needs of all personnel in this establishment and the wage structure in such
way that the works of the who want there achieves should appropriate and value their
independence.
Primary Objective
1.To study the salary administration in Daily Prabhat &Poona Daily News Pvt.Ltd.
2.To analyse the pay scale and fixation of basic salary in Daily Prabhat &Poona Daily
News Pvt.Ltd.
3. To know the effectiveness of various labour facilities.
4.To know the effect it has on employer and employee relationship.
Secondary Objective
1.To study the performance appraisal procedure & its implications on promotion,
increment & other benefits in Daily Prabhat &Poona Daily News Pvt.Ltd.
2.To understand the calculation of incentives, bonus, allowances, provident fund,
gratuity, income tax in Daily Prabhat &Poona Daily News Pvt.Ltd.
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RESEARCH METHODOLOGY
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Introduction
Research is an art of scientific investigation through search of new facts in any branch of
knowledge. It is movement from unknown to known.
The study of research methodology gives the student the necessary training in gathering
materials required, and also training in technique for the collection of data appropriate to
particular problem. It helps in the use of statistics, questionnaire and controlled
experimentation and in recording evidences, sorting it out and interpreting it.
Knowledge of research methodology is helpful in various fields. Research methodology
plays key role in project work. It consists of series of actions or steps necessary to
effectively carry out research and the desired sequencing of these steps:
Basic features of a research process are :
Research always start with a question or a problem.
It s purpose is to find answers to questions through the application of scientific method. It
is a systematic and intensive study directed towards a more complete knowledge of the
subject studied.
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Methods Of Data Collection
Data collection is an elaborate process in which the researcher makes a planned search
for all relevant data and is the foundation of all researches.
It is the raw material with which a researcher functions. The task of data collection begins
after a research problem has been defined and research plan is chalked out. While
deciding about the method of data collection to be used for the study the researcher
should keep in mind two types of data viz., primary data and secondary data.
In order to carry out the project work, both the methods were used . Primary data was
collected through questionnaire form, observation method and interview. Whereras
secondary data was gathered by referring the official documents, files, books, literature
etc.
Sources Of Data
A. Secondary data
Secondary data is the data already collected by others for purposes other than solution of
the problem at hand. In case of Secondary data the nature of data collection work is
merely that of compilation. Secondary data has several supplementary uses.
1. Internal sources
Company Records.
Service Reports.
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Annual Report.
Company Brochure.
Company Library.
2. External sources
Journals.
Reference Books.
Magazines.
Newspapers.
B. Primary data
The data that is being collected for the first time or to particularly fulfill the objectives
of the project is known as primary data. In my study work, interpersonal interview was
the method of data Collection.
The most effective form of collecting the date for project was the questionnaire form. A
questionnaire was prepared in a series covering the matter required for the purpose of
study. A sample size of 20 employees was selected from different departments and the
questionnaire was handed over to them. The feedback was taken from the employees in
the answer form. Then the data collected from the feedback was sorted and analysed in
order to carry out the further study.
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From the feedback the similar responses were grouped together. These groups were then
represented in graphical form covering the overall information needed from the
employees.
Data Evaluation
All the data and information collected from the secondary sources and company officials
was filtered & only relevant data is introduced in the report which helped in achieving
objective of the project. This relevant data is finally evaluated to make the final report
and to draw the conclusion.
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Questionnaire
1. Wheather employees have knowledge about rules and regulation of the
company?
2. Wheather employees are satisfied with their wages and salary?
3. Does the management handle your problem related to payment and
allowance?
4. Do you feel wage & salary which you receive as per agreement entered
with you?
5. Did you ever complained for unauthorized deduction to the management?
6. In the period when the company is facing crisis will you accept
salary/wages reduction for that period?
7. allowances in your views should be given to the current allowances
scheme?
8. Do you get any financial assistance apart from the allowances?
9. While availing the facilities do you face any problem?
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WAGE AND SALARY ADMINISTRATION IN DAILY PRABHT AND POONA
DAILY NEWS PVT,LTD.
Salary refers to the monetary payment on a monthly or annual basis.
Wages are the remuneration paid by the employer for the service of a worker who is
engaged by the hour, days, week or fortnight. Wages are payments to hourly-rated
production and maintenance employee.
14 Compensation refers to all forms of financial returns, tangible services and benefits
employees receive as a part of an employment relationship. Compensation may be
received directly in the form of cash (wage, bonus, incentives) or indirectly through
services and benefits (pensions, health insurance, vacations).
Salary administration refers to the establishment and implementation of sound policies
and practices of employee s compensation.
The salary administration is thus concerned with the monetary or financial aspects of
needs, motivation rewards. The responsibility for salary administration usually lies with
the top management.
DAILY PRABHT AND POONA DAILY NEWS PVT,LTD follows the computerised
system of time keeping . with regard to late coming of every employee or worker is
concern, the late attendence upto 10 minutes for three occasions in a month is allowed.
Upto 3 times the attendance in a month is not affected for their wages or salaries.
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In DAILY PRABHT AND POONA DAILY NEWS PVT,LTD. There are 100
employees. The department is usually and effectively hauling this strength. As it is a
newspaper firm the working is done of 24 hrs. but generally office working time is
10.00a.m. to 6.00p.m. But in the night shift paper is printed so machine operators job is
started at 11.30p.m. and ends at 6.30 a.m.
Objectives of Salary Administration DAILY PRABHT AND POONA DAILY
NEWS PVT,LTD
1. Control of cost.
2. Establishment of fair and equitable structure of remuneration
3. Utilization of wages and salaries as an incentive to greater employee productivity
4. Maintenance of a satisfactory public image
5. Determination of the system of job description and job evaluation
6. Decision of what and how people will be paid
7. Checking all activities of the salary administration group
8. To recommend changes in the salary policy and specific raises for executives at
various levels
9. To review salary scheme
10. To attract and encourage staff to make full use of their abilities and develop their
potential.
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DAILY PRABHT AND POONA DAILY NEWS PVT,LTD Tried to put the effective
salary policy which helps
- in achieving and maintaining good industrial relations
- to attract staff of the right caliber and encourage to make full use of their abilities and
develop their potential
- to convince its employees that its policy on salary is fair and realistic
- to reward staff according to their contribution
- in recruiting new employees in times of labor shortage
- to cover specific personnel matters such as promotion, transfer, up gradation etc.
- to prevent moral dissatisfaction among employees with its levels of pay.
FINANCIAL REMUNERATION
Sr.no Remuneration Heading Components
1 Rates Wages and Salary Basic Payment
Dearness Allowance
House Rent Allowance
2 Incentives Attendance Bonus
Over Time
Conveyance
House Keeping Allce.
Group Bonus scheme
3 Fringe Benefits Gratuity, Provident Fund
Pension Fund, Social
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Security
Insurance, Travel
Allowance
Uniform Expenses, Awards
Competitions etc.
4 Perquisites Medical Aid
NON FINANCIAL REMUNERATION
Job Context Recognition
Promotion
Increasing Authority
2 Non Job Context Education Allowance
House Loans and other
Loans
Festival Advance
Wage Advance
Housing Facility
ALLOWANCES IN DAILY PRABHT AND POONA DAILY NEWS PVT,LTD.
The company has granted following allowances:
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The rule given by The Manisana (Wage Board Award has accepted by Govt. by notified
date 5 Dec. 2000
House Rent Allowance: Rates of house rent allowance(% of basic pay per month)
As the Manasa determines the rate for all newspaper establishment they are
determined on the basis of major Metro cities in India and on the basis of population in
cities. The zones are determined according to that
Delhi,Mumbai,Kolkata,Chennai
State capitals cities with population above 20 lakhs
Cities with population bet’n 10 to 20 lakhs
Cities with population less than 10 lakhs
As the Daily Prabhat is cover under class IV the % of house rent allowance is 9%
and as the branches of Daily Prabhat is in the 7 district in Maharashtra they are cover
under cities under population less than 10 lakhs so there % is 5%
City Compensatory Allowance: Rates of City compensatory allowance(% of basic pay
per month)
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As the Manisana determines the rate for all newspaper establishment they are
determined on the basis of major Metro cities in India and on the basis of population in
cities. The zones are determined according to that
Delhi,Mumbai,Kolkata,Chennai
State capitals cities with population above 20 lakhs
Cities with population bet’n 10 to 20 lakhs
Cities with population less than 10 lakhs
As the Daily Prabhat is cover under class IV the % of city compensatory
allowance is Rs.100 and as the branches of Daily Prabhat is in the 7 district in
Maharashtra they are cover under cities under population less than 10 lakhs so there % is
Rs.40
Night Shift Alliowance: Rates of night shift allowance(% of basic pay per month)
As the Manasa determines the rate for all newspaper establishment they are
determined on the basis of major Metro cities in India and on the basis of population in
cities. The zones are determined according to that
Delhi,Mumbai,Kolkata,Chennai
State capitals cities with population above 20 lakhs
Cities with population bet’n 10 to 20 lakhs
Cities with population less than 10 lakhs
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As the Daily Prabhat is cover under class IV the % of house rent allowance is
Rs.20 and as the branches of Daily Prabhat is in the 7 district in Maharashtra.
The rates would be higher by 38% for night shift duty performed in excess of 15
nights in months.
Leave Travel Allowance:Rate of Leave travel allowance
As the Maisana determines the rate for all newspaper
establishment the rates is three week’s basic pay at the minimum of scale
of pay.
LTA would be admissible once in a block of two years.
Grant of LTA is subject to availing of leave and production of
necessary documents in proof of journey actually undertaken.
Medical Allowance : It will be given Rs.150/- per month per employee.
Rent House Allowance : Employees working in the company’s rest house and who are
required to attend guest. When required shall be paid such type of allowance. Employees
are given this allowance and rate/amount is decided by the management.
Salary structure in Daily Prabhat and Poona Daily News Private Ltd.
Basic wage means wages drawn in the prescribed scale of wages insluding stagnation
increment if any but does not include any other type of wages or pay like special pay,
personal pay.
Gross revenue of a newspaper means revenue derived by the estableshment from all
sources of
37
its newspaper business, including circulation of and advertisement in its newspaper /s and
also includes income from the assets acquired and investments made by it out of funds
esrned in the newspaper business.
Newspaper employee means working journalist or non-journalist newspaper employee or
both.
It shall be based on the average gross revenue of three accounting years . the different
departments branches and centres of newspaper establishment shall be treated as parts
thereof.
Classes of newspaper establishment on the basis of their gross revenue
Classs Gross revenue
IB Rs. 600 crore and above
IA Rs.225 crore and above but less than Rs. 600 crore;
I Rs. 75 crore and above but less than Rs.225 crore;
II Rs.25 crore and above but less than Rs.75 crore
III Rs. 11 crore and above but less than Rs.25 crore
IV Rs.5.5 crore and above but less than Rs.11 crore
V Rs.2.5 crore and above but less than Rs.5.5 crore
VI Rs.1.25 crore and above but less than Rs.2.5 crore
VII Rs.50 lakh and above but less than Rs.1.25 crore
VIII Rs.30 lakh and above but less than Rs.60 lakh
IX less than Rs. 30 lakh
38
The daily prabhat is classified under class IV.
The rule given by The Manisana (Wage Board Award has accepted by Govt. by notified
date 5 Dec. 2000
Dearness Allowance
Basic Pay Slabs Rate of neutralization for determining D.A. payable over
quarterly
Upto Rs.5000 100% of basic pay
Between Rs.5001 80% of basic pay or 1005 of Rs.5000 whichever is higher
and Rs.7000
Between Rs.7001 70% of basic pay or 80% of Rs.7000 whichever is higher
and Rs.9500
Between Rs.9501 60% of basic pay or 70% of Rs. 9500 whichever is higher
and Rs.12500
Above Rs.12500 50% of basic pay or 60% of Rs. 12500 whichever is higher
Fixation of initial wages in daily prabhat
39
1 for the new entrant the wages shallbe fixed in the revised scale at the minimum of
the scale.
2 In the case of employees already working in the establishment the wages shall be
fixed in the revised scale at the stage next above.
3 Every employee shall be given one increment in the revised scale for completion
of every four years service in the post held immediately before the date .
4 The service rendered by the concerned employee in any other post carrying a
scale in that , the minimum of which is lower by not more than 30% of the
minimum of the scale in which the employee worked shall also be taken into
account.
5 The total no. of increments shall not be more than three.
6 No employee shall get more than maximum of the revised scale.
Revised scale of wages for working journalist in different slasses of newspaper
establishment is prescribed as per rule.
Every part time correspondent/photographer shall be paid not less than 40% if he is
posted at destrict head quarters and above and not less than 1/3rd if he is posted at place
below district head quarters, of the basic pay plus DA applicable to full time
correspondent at similar level. In a ddition payment shall be paid to him on column basis,
the rate of which to be settled by mutual negotiations.
40
Every time rated employee, that is to say a person employed to work as time rate
employee for either less or more than prescribed working hours and performs the jobor
does the duty of a regular employee, shall be paid on pro-rate basis equivalent to the
wages of the regular employee on the basis number of hours for whilch he is employed.
Dearness allowance may be sanctioned as soon as the figures for the quarter for which
average regional index is to be used for determining rate of DA becomes available. DA
will became payable from the beginning of the quarter immediately succeeding the
quarter.
House rent allowance where and employee is provided residential accommodation by
newspaper establishment no house rent allowance will be payable.
If an employee is being paid house rent allowance the same will be adjusted against the
amount of house rent allowance payable under this provision.
Where a newspaper edtablishment contributes on behalf of an employee any anount
towards a fund to enable the employee to own his residential accommodation, such
amount shall be adjusted against house rent allowance payable under this provision.
City compensatory allowance shall be paid by newspaper edtablishment to their
employees posted in their respective zones as stated above.
Night shift allowance at the rates determined by the newspaper to their respective
employees as stated above.
Classification of newspaper establishments for the purpose of fixation or revision of
rates of wages in respect of working journalist and non-journalist employee.
41
Grouping of working journalists
Group I - Editor
Group IA - Executive Editor, Resident Editor,Associate Editor, Joint Editor, Associate
Editor
Group IB - news Editor, chief reporter, cartoonist, chief news photographer
commercial,sports,film editor
Group 2A – Deputy chief reporter or senior reporter, senior correspondent etc.
Group 3 – reporter, news photographer,artist,chief proof reader
Group 3A – Proof reader including Advt. proof reader and planner.
Group 4 – all working journalists other than those mentioned under any other group
unless placed higher by the establishment.
42
Grouping of non-journalist employees in administrative staff
Group 1 – General Manager, Manager and secretary.
Group2 – Departmental Manager (those who are incharge of circulation, advertisement
department, personnel, chief account.
Group 2A- Liaison officer, accounts officer, chief internal auditor, ass. Managers of all
department
Group 3 – sectional head, sales representative, head cleark, computer
programmer,personal secretary
Group 4 – stenographer, accounts cleark, electronic data operator,
cashier,translator,senior clearketc.
Group 5 – junior cleark, time keeper, typist,telephone operator, receptionist,fireman cum
security man.
Group 7 – peon, sweeper, call-boy, tailor,durwan, canteen-boy.
43
Grouping of factory staff
Group I – A&B grade supervisor, operator, computer operator, offset printing ooperator,
photo type setting operator, terminal operator.
Group 1A – air condition mechanic, bromide paster,cameraman, colour etcher, colour
paster, board operator, film impositor, micro film technician, plate maker,process
developer, nylo plate maker,offset engineer
Group 2 – all types of ass. Operators,
Group 3 – air condition plant cleaner, caster, carpenter, router, colour proofing pressman,
cutter,dark room assistant,driver,electrician, fitter,machineman,store mukadam, turner,
wireman,welder,steroman
Group 4 – ass. Operators of group 3.
Group 5 – all other semi skilled attendants,
Group 6 – baller, binding boy,reel loader and unloader, trolleyman.]
44
As the daily prabhat is cover under class IV the increment in the salary as per the
completion of service is given below.
Working journalists
Class of group of scale Years establishment employees Rs.5.50 crore & 1 No scale 20 above but less than Rs.11 crore
1A Rs.8535-215-10040-250-11790-295-13560 20 (7) (7) (6)
1B Rs.7315-185-8610-215-10115-255-11845 20
(7) (7) (6)
2 Rs.6845-170-8035-200-9435-235-10845 20
(7) (7) (6)
2A Rs.5470-135-8415-160-7535-190-8675 20
(7) (7) (6)
3 Rs.5305-135-6250-155-7335-185-8445 20
(7) (7) (6)
3A Rs.4395-110-5165-130-6075-150-6975 20
(7) (7) (6)
4 Rs.4075-100-4775-120-5615-140-6455 20 (7) (7) (6)
45
Non working journalist(Administrative staff) Class of group of scale Years establishment employees Rs.5.50 crore & 1 No scale 20 above but less than Rs.11 crore
2 Rs.5815-175-7940-210-8510-255-10040 20
(7) (7) (6)
2A Rs.5350-160-8470-195-7835-235-9245 20
(7) (7) (6)
3 Rs.4500-135-5445-165-6600-200-7800 20
(7) (7) (6)
4 Rs.4335-130-5245-155-6330-190-7470 20
(7) (7) (6)
5 Rs.4005-120-4845-145-5860-175-6910 20
(7) (7) (6)
6 Rs.3825-115-4630-140-5615-170-6630 20
(7) (7) (6)
7 Rs.3560-105-4295-130-5205-155-613 20 (7) (7) (6)
46
Factory staff Class of group of scale Years establishment employees Rs.5.50 crore & 1 Rs.4280-130-5190-155-6275-190-741520 20 above but less (7) (7) (6) than Rs.11 crore
1A Rs.4170-215-10040-250-11790-295-13560 20
(7) (7) (6)
2 Rs.4045-120-4885-145-5900-175-6950 20 (7) (7) (6)
3 Rs.3950-120-4790-145-5805-175-6855 20
(7) (7) (6)
4 Rs.3860-115-4665-140-5645-170-6665 20
(7) (7) (6)
5 Rs.3670-110-4440-135-5385-160-6345 20
(7) (7) (6)
6 Rs.3380-100-4080-120-4920-150-5820 20 (7) (7) (6)
47
Personal Evaluation Procedure
The objective of an employees work performance evaluation is to:
- evaluate the employee s performance in relation to her/his hob description
- enable the employee to assess his/her own work and suggest ideas for
improvement
- enable management to plan his/her career development and appropriate
deployment on the basis of this assessment.
Such assessment is normally done once in every year. This
assessment/performance appraisal is regularly carried out for setting work
standards, assessing the employee s actual performance relative to these standards
and providing feedback to the employees with an aim of motivating that person to
eliminate his performance deficiencies or to continue to perform above par.
On every anniversary of confirmed appointment of an employee,
he/she subject to satisfactory performance during the preceding year will receive
an increment in the scale of his/her grade.
If an employee shows outstanding merit
and exceptional ability and quality, he/she may receive additional increments
solely at the discretion of the management.
Non-financial Incentives
Non-financial incentives are given by the company for the welfare of the
lower grade employees. Cleaner, Driver, Peon and Guard get non-financial incentives
as their Uniform (company dress code) by the company. These four types of
48
employees get 2 sets of uniforms yearly. The uniform set of male employee includes
gray color shirt, gray pant and black shoe (given after every 4 years).
Festival Bonus Every regular employee is entitled to receive annual festival bonus
equivalent to two months basic salary. The bonus is paid in accordance with the religion
of the respective employee.
For Muslim employees the festival bonus is payable in two instalments (for
Eid-ul-Fitra and Eid-ul-Azaha).
For Hindus (Durga Puja), Diwali the festival bonus is paid in one instalment.
A new employee who has worked at least 6 months with the company will be entitled to
festival bonus.
Consolidated employees (temporary & contract basis employees) will get 60% bonus of
their consolidated salary. But they have to join the
company at least before one month of the festival.
Gratuity
Gratuity is a lump sum payment made by employer as a mark of recognition of
the service rendered by employee. Every employee is entitled to receive gratuity at the
end of 3 years of continuous service up to a maximum of 15 years.
Provident Fund (PF)
Every regular employee is eligible to be a member Provident Fund to be administered in
accordance with the relevant law. The membership will only have effect from the Date of
Confirmation (DOC). The p.f. is deducted 12% of Rs.6500
49
Bankers
all payments of all employees has been given by cheque. The Bankers associated with
Daily Prabhat where the employees of the company can open a
salary account to encash the monthly salary are:
Bhagini Nivedita Sahakari Bank Ltd.
50
DAILY PRABHT AND POONA DAILY NEWS PVT,LTD. Gives the importance to
proper wage system and they derive the proper way which is given below
Achievement of common goals :
The primary objective of Organisation is to achieve the goals related to organisation. For
achieving any common goal group efforts are required. Concerned persons will take
group efforts only if Management shows any interest in giving them equivalent returns.
These returns will be to the satisfaction of concerned person only if those are designed,
planned and managed i.e. those are systematically worked out or administered.
Planning of funds :
Organisation spends most of its funds for giving return to its employees. However, until
there is some well-defined working of the concerned system everything becomes a mess.
Wherever Systematic working is there, Administration will come into play.
Evolving Control System :
Control system plays a vital role in functioning of the Organisation. Administration is
more of intellectual work. It is also top level function and hence is related to monitoring
the functioning of various system. Thus, control and Administration go together. Rather
admin without control system is of no use.
51
Productivity improvement :
Wage and Salary Administration relates to Administration of returns over individuals
devotions towards job given to him. The concerned person will commit his work with
more devotion if he is assured of equivalent and handsome return over his work.
Such assurance is possible only on adoption of systematic and designed approach towards
designing the wage structure is there.
A well designed remuneration scheme eill always provide for employees to work hard.
Rather a good remuneration scheme is always taking maximum efforts out of employee
and giving them maximum returns.
Exercising the managerial function :
Management is the more of executioner function as compared to Administration, which
involves more of intellectual work. Until and unless one designs policies, those can not
be executed. Thus, Administration helps in preciding the managerial function.
Fixing and revising Wage Structure :
The wage structure existing in an industry can be fixed by adopting various methods of
wage determination.
Further, with periodic review one can also revise wage structures as and when it requires.
52
Record Keeping :
While fixing the wage rate one must consider the standard output time for its completion.
Further every day performance of the concerned person should be monitored with
reference to the standard set. Thus it involves time recording in itself.
Relation of Labour Costing and Product Costing :
The accurate and detailed information regarding the cost incurred against the labor is
available only through proper administration of the Wage and Salary.
Labor cost, whether direct or indirect forms the major portion of total cost of Production.
53
DAILY PRABHT AND POONA DAILY NEWS PVT,LTD. Tried to implement the
Good Wage System which are as follows
The choice of a particular method depends upon general consideration such as the nature
of the industry, prevailing economic condition, availability of the required type of labour
and the standard of education and skill attained by workers. However a good wage
system have the following features :
Simplicity : It should be simple and capable of being understood by the workers, so that
workers can make their own calculation. Also it should be easy to operate with minimum
scripty work.
Suitability : It should be suitable to industry time wage system is suitable where quality
of work is important.
Fair and Just : It should be just and fair to both the worker and employer. It
should be based upon scientific time and motion study to ensure a
standard output to the employer and a fair amount of wages to the
workers.
Guarantee of minimum wages : It should guarantee a minimum living
wage to ensure a satisfactory standard of living.
Linking with efficiency : There should be direct relations between reward
and efforts, skill and responsibility. More the efforts and skill, higher should
be the wages.
Incentives offered : the incentives offered to workers should be such that
the worders are encorraged to work more and more to get wages.
54
Standard of performance : Any system of wages should set attainable
objectives. This means the standard of performance fixed should be within
the abilities of an average worker.
Resembleness in particular locality : The system should keep in view the
wage rate in the same area or industry. The method selected by and
organization should be as far as possible in line with that of its competitors.
It should not in no way be entirely different from that of industry of locality.
Minimum Cost : The cost in terms of monet, clerical labour and time should
be minimum in deciding any wage system.
Quality should not be affected : The wage system should be such as
“Beter wages for better quality”. Other wise in order to earn more and
more wages, the workers may produce inferior quality goods.
Worder’s morale : the system should be such which should boost the
morale of the workers and should minimize labor turnover absenteeism
and late attendance.
Equal wages for equal work : The system should be such that the workers
with equal efficiency get equal wages, otherwise there will be
dissatisfacton among the workers.
Permanent Wage system : It should not be changed frequently otherwise
the workers will not trust the system.
55
Changes in price should be considered : There should be an escalation
clause providing for an automatic rise in wages as cost of living index
increases.
Within the framework of various laws : It should be in conformity of various
labour laws and regulations both local and national. It should not violate
any local or nationa trade unions agreements.
Analysis of Data
56
1. Employees knowledge about the rules created to wage and salary of the company.
2. Any sort of administration system is based on communication there must be
communication between parties concerned with the portion who are related with
the system. Normally whenever wage agreement is entered into, a copy of it is
served to each of the employee in the organization to enable then to have
knowledge about rules to wages and salary administration.
57
Observation – In the company it was observed that staff level employees were
having good knowledge of the rules related to wages and salary administration the
outcome of question “ Do you have the knowledge of all rules & regulations of
wages and salary was yes ‘15’ & No ‘5’.
The basic reason behind it are as :-
Good informal relations
Management initiation to provide each individual copy of an agreement
Individual attention to be on safer by having almost knowledge.
3. Satisfaction related to wages & salary.
The most dominent issue in any organisation is the satisfaction of employees in
the organisation. It seldomely happens that the individual is satisfied with his
earnings. He requires more & more every time. Nobody is highly satisfied.
Observation:- The scnario was not different. Out of 20 samples only 5 employees
were satisfied with the current wage structure,another 5 employees were partly
satisfied & remaining 10 were not at all satisfied. All most every person
interviewed was stressing over the increment in basic & allowance.It means that
58
the present structure is having some negative points which must be taken into
considerations while having wages & salary policy.
4. Does the management handle your problem relating to payment or allowances :-
If management handles the problems of employees relating to wages then will
definitely work willingly & more productivity & their attitude towards the
employer will charge & they realize that the management is interested in their
problems.
The response says out of 20 employees 14 are satisfied with the management to
solve problems related to payment or allowances. To maintain good &
harmonious relations with its employees and union.
5. Do you feel wage & salary which you receive as per agreement entered with you?
59
20 employees have view that they are given per the agreements thus all the
samples have no problem in payment of wages as per agreement.it signifies that
company is keeping good follow up of its wages as per agreement, further minor
things such as miscalculations, wrong accounting are adjusted in a proper way.
6. Did you ever complained for unauthorized deduction to the management?
From the some takes I found that there is no practise or company doesn’t deduct
any amount from the wages of an employees which is unauthorised & in this
aspect all the employees have give positive response.
7. In the period when the company is facing crisis will you accept salary/wages
reduction for that period?
60
From the above response it seems that only 4 are in favour of salary reduction out
of 20 in case of crisis.the employees are unable to show their gratitude towards
their company.
8. Do you get any financial assistance apart from the allowances?
The response got for the above question was very much in favor of the company.
It was 100% response from the employees regarding the financial assistance
provided by company
9. While availing the facilities do you face any problem?
61
Regarding the question the response was that 2 employees were unsatisfied
whereas 18 employees were satisfied with the service provided to them.
10. If review is taken from current wage structure which area in your view requires
more attention?
From the above response only 6 employees want increase in wages, 4 employees
want increase in basic excluding D.A. or H.R.A. & 10 employees want increase in
the number of allowances they want some additional allowances union has not
been given to them or in addition to the current allowance scheme.
62
FINDINGS AND CONCLUSION
63
Salary administration is the new function assigned to the HR Department. Earlier
it was handled by Account Department.
A new pay scale is introduced in DLIC from April 1, 2006 ; keeping in mind the
present economic condition & inflation rate.
The new pay scale includes various new schemes and allowances.
After doing the performance appraisal in the company, the new pay scale was
applied. Most of the employees were benefited by increments & promotion given
according to new pay scale.
There is a predetermined rule for computing the fixed basic salary of the
employees those who are getting promotion & increments.
64
The performance evaluation procedure is not absolutely perfect in DLIC. The
promotion, incentives & other benefits are determined on the basis of
performance evaluation process.
There was certain degree of dissatisfaction & conflict emerged due to the
performance evaluation.
Good incentive plans, bonus, schemes & allowances were given to the employees
The Final Payment given to the employee is the accumulation of Provident fund,
Gratuity & Earned Leave Encashment.
*********************
LIMITATIONS
65
Salary administration was recently included as a HRD function in the
company, so there was lack of sufficient data.
Shortage of time to go in-depth of the topic.
Due to Companies norms & regulations some of the official & financial data
couldn’t t be made available.
Sources of data for collection of secondary data were limited.
Sufficient books, publications and journal were not available on the topic.
The overall span of the organization is too big to cover all the aspects
completely related to salary administration.
Many times the officials were so busy that they couldn’t t answer the queries
66
related to the topic.
*********************
RECOMMENDATIONS
67
Performance Evaluation procedure should be modified to avoid conflict &
dissatisfaction among the employees.
The HR department should recruit skilled, knowledgeable & competent personals
and should provide them regular training facility for skill enhancement.
Online information should be updated regularly so that the clients and potential
customers must get the latest information regarding various insurance schemes
and plans offered by the company.
Internet connection and Information system should be setup in the HR department
so that its functions could be performed smoothly and efficiently.
Unnecessary man power should be eliminated so that the various packages can be
68
increased for rest of the employees.
Appraisal should be done fairly so that conflict, dissatisfaction & attrition rate gets
reduced. The employees were found working unhappily after performance
appraisal is done.
All the important and necessary data & files should be properly organized and
preserved,
Technical equipments should be serviced & repaired at regular intervals.
The relationship between top & lower management should be made more cordial
to bridge the gap and to fulfill the target set by the company.
BIBLIOGRAPHY
Human Resource Management
- David A . Decenzo Stephen P . Robbins
Publisher : John Willy & Sons. (7th edition)
Human Resource Management
- A.K.Singh, B.R.Duggal, Puneet Mohan
Publisher : Sun India Publications.
Human Resource Management
- P.G.Aquinas.
69
Publisher: Vikas Publising House Pvt Ltd
Human Resource Management
- Anjali Ghanekar
www.en.wikipedia.org
70
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