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RESEAERCH PROJECT REPORT(NMBA-045)

DISSERTATION

ON

“COMPARATIVE STUDY ON EMPLOYEE WELFARE IN

PUBLIC AND PRIVATE SECTORS”

SUBMITTED IN PARTIAL FULFILLMENT OF THE REQUIREMENT FOR

MBA DEGREE PROGRAMME

OF

DR APJ ABDUL KALAM TECHNICAL UNIVERSITY, LUCKNOW

MASTER OF BUSINESS ADMINISTRATION(MBA)

UNDER THE SUPERVISION OF SUBMITTED BY:

MS. JAYA SARASWAT SHILPI SHARMA(MBA) Roll No. 143407003

D!"##. o$ B%&'!&& A*''+,#'o MBA-4# S!*!!+

DEPARTMENT OF MANAEMENT

VIVE/ANANDA OEE OF TEHNOOY 2

MANAEMENT AIARH

SESSION 015-1

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DECLARATION

I hereby declare that the following documented proect entitled ! 6o*",+,#'! S#%8 o

E*"lo8!! 9!l$,+! ' P%l'; , P+',#! S!;#o+&,#+ for her %aluable guidance+ encouragement+ and generou"

help in completion of the Report$ Thi" "tudy i" completed under the ,uidance of M+. R,

V',8 S'? -.OD/+ Department of (u"ine"" Admini"tration 0i%e#ananda College of

Technology 1 'anagement$ The completion of thi" Proect Report i" al"o attributed to a

whole lot of indi%idual" who ha%e #nowingly or un#nowingly contributed in my "tudy$

(S'l"' S,+*, )

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TABLE OF CONTENTS

ERTIFIATE

DEARATION

A/NO9EDEMENT

,"#!+ 1 I#+o%;#'o o$ E*"lo8!! 9!l$,+! 1-4

,"#!+ - o*",+'&o o$ E*"lo8!! 9!l$,+! ' P%l'; , P+',#!

S!;#o+& 43-1

,"#!+ 3 O!;#'!& o$ #! S#%8 -3

,"#!+ -4 R!&!,+; M!#oolo?8 4-5

,"#!+ 5 D,#, A,l8&'& , I#!+"+!#,#'o -C3

,"#!+ - F''?& C4-C5

,"#!+ - 7 o;l%&'o& C-C7

,"#!+ - C '*'#,#'o& CC-C

,"#!+ R!;o**!,#'o& , S%??!'o& 0-1

B'l'o?+,"8

%!'o,'+! 3-7

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CHAPTER-

INTRODUCTION OF EMPLOYEE

WELFARE MEANIN OF EMPOYEE 9EFARE

Employee welfare mean" 2the effort" to ma#e life worth li%ing for wor#men . Employee

welfare mean"+ "uch "er%ice"+ facilitie" and amenitie" "uch a" canteen"+ re"t and recreation

facilitie"+ arrangement for tra%el to and for the accommodation of wor#er" employed at a

di"tance from their home+ and "uch other "er%ice"+ amenitie" and facilitie" including "ocial

"ecurity mea"ure" a" contribute to impro%e the condition under which wor#er" are

employed$

Employee welfare refer" to anything that i" done for the comfort and impro%ement of

employee" and i" pro%ided other than wage" or "alary$ )elfare program" help organi3ation"

to moti%ate it" employee" and #eep their morale high "o a" to retain them for longer

duration$ Employee welfare refer" to promotion of indu"trial harmony through infra"tructure

for health in"urance again"t di"ea"e"+ accident and unemployment for the employee" and

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their familie"$ )elfare include" all tho"e acti%itie" by the employer" directed toward

pro%iding employee" with certain facilitie" and "er%ice"$

)elfare include" "uch acti%itie" a" pri%ate ad%ice on any type of per"onal Problem4

a""i"tance with problem" of heath or "ic#ne""4 "pecial re"pon"ibilitie" for young People and

elderly and retired "taff and the pro%i"ion of "port" and "ocial facilitie"$ An Organi3ation

concerned with the"e matter" "ince the reputation for their "howing Concern help" to

impro%e the local image of the firm a" a good employer and thu" a""i"t" in recruitment$

)elfare may not directly increa"e producti%ity but may add to general feeling" of

"ati"faction with the firm and cut down labor turno%er$

ONEPT OF EMPOYEE 9EFARE

Employee welfare may be %iewed a" a total concept+ a" a "ocial concept and a relati%e

concept$ The total concept i" a de"irable "tate of e5i"tence in%ol%ing the phy"ical+ mental+

moral and emotional well!being$ The "ocial concept of welfare implie"+ of man+ hi" family

and hi" community$ The term employee welfare mean" to fare well or to do well$ It refer" to

phy"ical+ mental+ emotional well being of an indi%idual$

The relati%e concept of welfare implie" that welfare i" relati%e in time and place$ Employee

welfare implie" the "etting up of minimum de"irable "tandard" and the pro%i"ion of facilitie"

li#e health+ food+ clothing hou"ing+ medical allowance+ education+ in"urance+ ob "ecurity+

"uch a" to "afeguard hi" health and protect him again"t occupational ha3ard"$ The wor#er

"hould al"o be e6uipped with nece""ary training and a certain le%el of general education$

T! IO (I#!+,#'o,l ,o%+ O+?,',#'o) !$'! 2welfare a" a term which i"

under"tood to include "uch "er%ice" and amenitie" a" may be e"tabli"hed in or the %icinity of

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underta#ing to perform their wor# in healthy+ congenial "urrounding and to pro%ide them

with amenitie" conducti%e to good health and high morale$7

A;;o+'? #o A+#%+ @,*!& To 2)elfare a" anything done for the comfort or

impro%ement and "ocial of the employee" o%er and abo%e the wage" paid+ which i" not a

nece""ity of the indu"try7$

A;;o+'? #o #! oG$o+ ';#'o,+8 2Employee welfare or labor welfare mean" 2the

effort" to ma#e life worth li%ing for wor#men7

A;;o+'? #o ;o**'##!! o$ l,o+ >!l$,+! (1) - 2"uch "er%ice"+ facilitie" and

amenitie" a" ade6uate canteen+ re"t and recreation facilitie"+ "anitary and medical facilitie"+

arrangement" for tra%el to and from wor# and for the accommodation of wor#er employed

at a di"tance from their home"+ and "uch other "er%ice"+ amenitie" and facilitie"+ including

"ocial "ecurity mea"ure a" contribute to impro%e the condition" under which wor#er" are

employed7$

FEATURES OF EMPOYEE 9EFARE

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Employee welfare include" %ariou" facilitie"+ "er%ice" and amenitie" pro%ided to the wor#er"

for impro%ing their health+ efficiency+ economic betterment and "ocial "tatu"$ Employee welfare "cheme" are %ery fle5ible and e%er changing$

Employer" get "table labor force by pro%iding welfare facilitie"$

)elfare mea"ure" are in addition to regular wage and other economic benefit" a%ailable to

wor#er" due to legal pro%i"ion and collecti%e bargaining$ Employee welfare mea"ure" increa"e" the producti%ity of the organi3ation and promote

healthy indu"trial relation"$ Employee welfare mea"ure" may be introduced by the employer+ go%ernment and

employee" or by any "ocial for charitable agency$ Employee welfare i" a comprehen"i%e term including %ariou" "er%ice"+ facilitie" and

amenitie" pro%ided to employee" for their betterment$ The ba"ic purpo"e in to impro%e the lot of the wor#ing cla""$

Employee welfare i" a dynamic concept$

Employee welfare mea"ure" are al"o #nown a" fringe benefit" and "er%ice"$

)elfare mea"ure" may be both %oluntary and "tatutory$

OB@ETIVES OF EMPOYEE 9EFARE

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I n c r e a " e p r o d u c t io n l e % e lI n c r e a " e p r o d u c t io n l e % e l

O r a n i 3 a t i o n a l i m p r o % e m e n tO r a n i 3 a t i o n a l i m p r o % e m e n t

O t h e r o b e c t i % e "O t h e r o b e c t i % e "

I m p r o % e

d

e m p l o y e

e l o y a l ty

I m p r o % e i n u " t r i a l r e l a t i o nI m p r o % e i n u " t r i a l r e l a t i o n

O r a n i3 a t i o n a l i m p r o % e m e n tO r a n i3 a t i o n a l i m p r o % e m e n t

O t h e r o b e c t i% e "O t h e r o b e c t i% e "

' o t i %

a t i o n

e m p l o

y e e "

Increa"e production le%el8 ! One of the primary concern" of employee welfare promotion i"

to create happy employee"$ .owe%er+ thi" type of obecti%e ha" a greater purpo"e and i" not

alway" due to the bene%olence of the employer$ In"tead+ good employer" both genuinely

care for their employee" and do "o becau"e they #now that a happy employee i" one that

will be producti%e and do hi" ob correctly$

Impro%e employee loyalty8 ! Another rea"on to promote the well!being of an employee i"

that it can impro%e employee loyalty$ In the long run+ employee" who are ta#en care of by

their employer" are le"" li#ely to ump "hip and change companie" or career"$ E%en in

"ituation" where it might be po""ible to ma#e more money with a different company+ the

employee who feel" accepted and needed by their employer may not e%en con"ider other ob

offer" when they come along$

Organi3ational Impro%ement8 ! (ecau"e employee welfare deal" "pecifically with the well!

being of employee"+ employee welfare program" adopted by employer" are more effecti%e

when the want" and wi"he" of employee" are ta#en into con"ideration$ In organi3ation"

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where employee" are well!cared for and employee" are a"#ed to pro%ide "ugge"tion" a" to

how to better impro%e the company+ employee" feel a" if they play an important role in the

impro%ement of the organi3ation$

Impro%ed indu"trial relation8 ! Impro%ed the indu"trial relation among the wor#er" and

achie%e indu"trial peace in al"o one of the main obecti%e of employee welfare$ )ith the

help of %ariou" welfare acti%itie" employer try to maintain balance between the wor#er" in

order to achie%e the ma5imum output$

Other obecti%e"8 ! Other important obecti%e of employee welfare are8!

•

The primary obecti%e of employee welfare i" to impro%e the moti%ation le%el of the

employee"$

• It impro%e" the loyalty and morale of the employee"$

• It reduce" labor turno%er and ab"enteei"m$

• )elfare mea"ure" help to impro%e the goodwill and public image of the enterpri"e$

•

It help" to impro%e indu"trial relation" and indu"trial peace$

• It help" to impro%e employee producti%ity$

HISTORY OF EMPOYEE 9EFARE

The hi"tory of employee welfare in India "tarted with the abolition of "la%ery "y"tem in

9:;;$ (a"ed on the recommendation of the international labor conference" in 9:9>+ the

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go%ernment enacted the factorie" act in 9>>?+ the go%ernment of India launched "cheme of

labor welfare their ordnance ammunition and other factorie" in war production+ to #eep up

the moral of wor#er" and al"o to increa"e their producti%ity$

After hi" independence the amendment of factorie" act in 9>@:+ the labor welfare mo%ement

ac6uired new dimen"ion" for one thing+ the ma""i%e in%e"tment" in indu"try during %ariou"

plan increa"ed in number of wor#men$ It wa" reali3ed from the beginning that labor welfare

ha" a po"iti%e role in increa"ing producti%ity and reducing indu"trial ten"ion"$ At thi" "tate

go%ernment enacted %ariou" legi"lation"+ regarding the welfare of the wor#er"$ 'odern

"ocial welfare and "ocial welfare in"titution" ha%e undergone three di"tinct period" of

hi"torical de%elopment$ In the early and mid nineteenth country+ in North America and in

we"tern and central Europe+ reformer" tin#ered with a %ariety of "chool in"urance "cheme"+

mainly pen"ion for the aged and certain %oluntary or mar#et!ba"ed remedie"$ They al"o

organi3ed %ariou" in"titution" de"igned to care for the mentally ill+ promote public health+

word of epidemic"+ e5pend public education and impro%e lot" of entrepreneur*" arti"an"+

poor and the mechanic"$ The"e programme" influenced only fraction" of any nation*"

population"$ Thi" wa" an age of liberal" and democratic ideali"m+ and the"e effort" reflected

the "pirit of the age$ (etween the 9:?=+ in the "econd period+ the united "tate"+

together with ,rate (ritain imperial ,ermany &weden+ Denmar#+ Au"tria and rance+ had

%ariou" "ocial in"urance "cheme" the embraced and hierarchy$

SOIA 9EFARE AND NINETEENTH ENTAURY IBERAISM

In the early to mid 9>th centaury three nation"+ ,reat (ritain+ the ,erman

"pea#ing "tate that Otto %on (i"marc# unified under Pru""ian" hegemony in

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had %igorou" public and political hi"torie"+ large middle cla""e"+ con"iderable

indu"trial de%elopment and lai""e3! fair mar#et capitali"m$

SOIA 9EFARE IN AN AE OF HIERARHY EFFIIENY

AND SYSTEM

(etween 9:?=*" and 9>=*" notion" that go%ernment and pri%ate

"ector could wor# together were the watchword" of the age$ )hile

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&candina%ian countrie" had already e"tabli"hed fairly comprehen"i%e "ocial

welfare "tate"+ the united "tate" too# "tep" toward" the modern and embracing

welfare "tate" with the adoption of "ocial "ecurity*" through the "ocial "ecurity

act of 9>;$ A large difference between the American and the European "y"tem

had to do with the lac# in the former of a national health "cheme+ whether

national health in"urance or nationali3ed medicine"$ The for thi" wa" the

rai"ing power and the pre"tige of American doctor"$ In the ?= th century ba"ed

on their identification" and e5perimental "cience$ &ocial "ecurity made

po""ible old age pen"ion on a ta5 ba"i" a" a "upplement to pri%ate pen"ion

"cheme"$ Through the AID TO DEPEN!DENT C.ILDREN+ later aid to

familie" with dependent children+ child welfare became part of the new federal

program of welfare+ u"t a" unemployment in"urance+ di"ability in"urance and

other program came to con"titute the American welfare "tate$ In the 9>=*" the

American welfare "tate began to e5pend dramatically in the number of it"

client population"$

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SINIFIANE OF EMPOYEE 9EFARE

Employee welfare i" in the intere"t of the employee+ the employer and the "ociety a" a

whole$ &ignificance of employee welfare" are8!

It help" to impro%e recruitment $a" the ob become" more attracti%e more efficient employee

can be recruited$

Employee welfare impro%e" the morale and loyalty of wor#er" by ma#ing then happy and

"ati"fied$

It reduce" labor turno%er and ab"enteei"m thereby building a "table wor#ing management

help" to increa"e employee$

Producti%ity or efficiently by impro%ing their phy"ical and mental health$

Impro%ement in material+ intellectual and cultural condition" life protect" wor#er" form

"ocial e%il" li#e drin#ing$ ,ambling+ pro"titution etc$

Employee welfare help" to impro%e indu"trial relation" and indu"trial peace$

)elfare mea"ure" help to impro%e the goodwill and public image of the enterpri"e$

0oluntary effort" for the welfare of wor#er reduce the threat of further go%ernment

inter%ention$

DUTIES AND ROE OF EMPOYEE 9EFARE OFFIER

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To ad%i"e and a""i"t the management in pro%iding welfare facilitie" "uch a" hou"ing

facilitie" food+ "ocial and recreational facilitie"+ education of children and ad%i"e on

indi%idual per"onnel problem$

To bring to the notice of wor#er" their right and liabilitie" under the "tanding order"

of the e"tabli"hment" and other rule" which grant right to and define the dutie" of

wor#er" of which are directed to the di"cipline "afety and protection of wor#er" and

e"tabli"hment$$

To ad%i"e and a""i"t management in the pro%i"ion of amenitie" "uch a" canteen+

"helter" for re"t+ ade6uate latrine facilitie" drin#ing water+ "ic#ne"" and bene%olent

"cheme payment"+ pen"ion and pro%ident fund" and gratuity payment"$

To maintaining harmoniou" relation" between the management and wor#er"$

To promote relation" between management and wor#er" which will en"ure

producti%e efficiency a" well a" wor#ing condition" and to help wor#er" to adu"t

and adopt them"el%e" to their wor#ing en%ironment

To encourage the formation of wor#er" and oint production committee"+ co!

operati%e "ocietie" and "afety and welfare Committee" and "uper%i"e their wor#"$

EMPOYEE 9EFARE IN INDIA

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Compared to other countrie"+ India ha" much greater need and importance of labor welfare

wor#$ &uch a condition i" cau"ed by certain deficiencie" in Indian labor force that are not

found in it" counterpart in other countrie"$ It i" the"e defect" of deficiencie" that increa"e the

importance of labor welfare acti%ity in the country$ In India there i" need to impro%ement in

employee welfare acti%itie"$ (riefly+ the following are the rea"on" why labor welfare wor#

in India a""ume" greater importance than in other countrie"$

• ,;= o$ +o? l,o+ %'o *o!*!#:-In India+ e%en today the wor#er" are no

united into a cla""$ eeping in %iew the number"+ labor Fnion mo%ement i" "till in

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it" infancy$ E%en in the labor union that doe" e5i"t+ there i" a lac# of enlightened

leader"hip+ and there i" no unity between the"e union" them"el%e"$ In ab"ence of

properly organi3ed labor Fnion the wor#er" can neither+ place their demand"

effecti%ely before the employer+ nor can they thin# clearly and "y"tematically of

their own intere"t"$ A" thi" i" force lac#ing in India+ it i" e""ential that the welfare

of laborer" in the country be efficiently loo#ed after by the employer" and the

,o%ernment$

,;= o$ "+o"!+ *,,?!*!# "ol';'!&: - 'anagement policie" regarding

employee welfare are al"o not %ery much clear in India$ Thi" i" the main rea"on

for unde"irable condition of employee becau"e unclear management policie"

decrea"e the morale of wor#er"$

• Ill'#!+,;8: - A" compared with other countrie"+ the percentage of educated

wor#er" i" %ery low+ mo"t of them being illiterate$ Con"e6uently+ they are not in a

po"ition to recei%e ad%anced indu"trial training+ under"tand the problem" in

indu"trie" their own intere"t" and tho"e of nation a" a whole$ Thi" can pro%e a

"ource of harm not only to the wor#er" but al"o to the country$ .ence efficient+

and become re"pon"ible citi3en" of the country$

• P+ol!* o$ ,&!#!!'&* , *'?+,#'o: - Compared to the wor#er" of other

countrie" the Indian laborer i" more re"tle"" and doe" tendentiou" toward" fre6uent

migration becau"e life in the town doe" not pro%ide for hi" need"+ and the

atmo"phere in general doe" not "uit him$ Al"o due to inade6uate le%el of wage" the

laborer cannot comfortably "ettle down in one place$ Thi" may in turn al"o gi%e

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ri"e to Ab"enteei"m$ Thi" wor#er" migratory tendency can be curbed by pro%iding

him with ade6uate facilitie" and condition"+ and thi" al"o "how" a po"iti%e effect

o%er the ab"enteei"m in the factory$

• o> l!!l o$ !,l# , %#+'#'o: - The Indian wor#er a" compared with hi"

counterpart in mo"t European countrie" i" unhealthy and ill fed$ Thi" "how" a

definite affect o%er the production potential$ .ence+ he i" %ery great need of

ine5pen"i%e nutriti%e food and good facility in ca"e of ho"pitali3ation$

• EG#+!*! "o!+#8: - The percentage of people under the po%erty line in our

country i" comparati%ely high than other countrie"$ &o the "tandard of li%ing i"

%ery low$ An Indian wor#er i" unable to pro%ide a healthy li%ing for hi" family and

in the ca"e off female wor#er" "he i" not pro%ide with a""i"tance in ca"e of need$

.ence+ the labor welfare ha" much to do in the country$ It mu"t a""i"t them by

pro%iding them maternity benefit"+ in old age i$e$+ pro%ident fund+ pen"ion" and

gratuity etc$

• ,;= o$ #+,''?: - A" the percentage of trained wor#er" in India i" %ery low+ it i"

nece""ary to ha%e training facilitie" for "uch a %a"t labor force$

• ,;= o$ !,l#8 +!;+!,#'o: - .ealthy recreation i" al"o at a premium in the

country+ the efficiency of labor force i" dimini"hed by energy being employed in

all #ind" of unde"irable channel"$ .ence+ it i" e""ential that recreation and

enoyment of a healthy #ind be pro%ided$

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T r a d

u n i o

I n d i a

& t a t e r m e n t C e n t ra l , o % e r m e nt E m p l o y e e rAENIES OF EMPOYEE 9EFARE

!#+,l o!+*!#- The central go%ernment ha" made elaborate pro%i"ion" for the

health+ "afety and welfare of wor#er" under the factorie" act!9>@:+ and mine" act+ 9>?

the"e act" pro%ide for canteen"+ crGche"+ "helter"+ re"t room+ lunch room"+ wa"hing facilitie"

etc$ "imilar facilitie" are pro%ided under the plantation labor act+ 9>9+ and motor tran"port

wor#er" act 9>9$

S#,#! o!+*!#&- ,o%ernment" in different "tate" and union territorie" pro%ide

welfare facilitie" to wor#er$ &tate go%ernment" pre"cribe rule" for the welfare of wor#er"

and en"ure compliance with the pro%i"ion" under %ariou" labor law"$

T+,! %'o& ' I',- Trade union" ha%e done little for the welfare of wor#er"$

Labour union" ha%e contributed their "hare for the betterment of the employee"$ 'ention

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may be made here of the te5tile labour a""ociation of headband and the railway men*" union

and the ma3door "abha of anpur+ which ha%e rendered in%aluable "er%ice" in the field of

labour welfare$ The welfare acti%itie" of the te5tile labour a""ociation$ Ahmedabad+ are

worth nothing$

E*"lo8!+&- Fntil recently+ employer in India did little for the welfare of wor#er" baring

a few e5ception"$ 2The employer" in general loo#ed upon welfare wor# a" fruitle"" and

barren though "ome of them in deed had done pioneering wor#7$ They ta#e intere"t in

welfare wor# both %oluntarily and under "tatutory pro%i"ion"$ A TI&CO+ for e5ample+ well!

e6uipped ho"pital+ "chool+ gymna"ium"+ club"+ canteen"+ crGche" and cooperati%e "ocietie"

are being pro%ided$

BENEFITS OF EMPOYEE 9EFARE MEASURES

• They pro%ide better phy"ical and mental health to wor#er" and thu" promote a

healthy wor# en%ironment$

• acilitie" li#e hou"ing "cheme"+ medical benefit"+ and education and recreation

facilitie" for wor#erH" familie" help in rai"ing their "tandard" of li%ing$ Thi" ma#e"

wor#er" to pay more attention toward" wor# and thu" increa"e" their producti%ity$

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• Employer" get "table labor force by pro%iding welfare facilitie"$ )or#er" ta#e acti%e

intere"t in their ob" and wor# with a feeling of in%ol%ement and participation$

•

Employee welfare mea"ure" increa"e the producti%ity of organi3ation and promote

healthy indu"trial relation" thereby maintaining indu"trial peace$

• The "ocial e%il" pre%alent among the labor" "uch a" "ub"tance abu"e+ etc are reduced

to a greater e5tent by the welfare policie"$

AN OVERA APPROAH TO EMPOYEES 9EFARE

'any organi3ation" ha%e created en%ironment" and condition" that ha%e appealed to the

emotional+ profe""ional+ and economic intere"t" of the employee"$ They u"e complete

reward and recognition "y"tem" %ia8

• Bob de"ign

• Deci"ion ma#ing proce""

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• Pay e6uity

• Performance planning and management "y"tem"

• &elf!direction

• Communication

• Leader"hip "tyle"

• Profe""ional de%elopment

An o%erall "y"tem i" open to incorporate anything that influence" the employee"! to en"ure

profitability+ e%en "ur%i%al+ during har"h economic time"$ 'any middle manager" ha%e lo"t

their ob"$ People that remain+ manager" and non!manager" ali#e+ ha%e had to demon"trate

their %alue to their organi3ation to "tay employed$ ,one i" the old "tyle p"ychological

contract for lifelong employment$ A" one manager e5pre""ed4 Loyalty i" dead+ we can no

longer afford it$ The bad new"8 )hile companie" ha%e been getting meaner and leaner+

wor# commitment and per"onal dri%e to go all out ha%e been lo"t$ The good new"8

Employee" ha%e become more re"ourceful at finding way" to demon"trate and increa"e their

worth to current pro"pecti%e employer"$ &mart employee" "ee them"el%e" a" free agent" and

are continuou"ly loo#ing for way" to impro%e their "#ill"+ competencie"+ reputation+ and

mar#etability$

&mart manager" recogni3e the need" of free agent" by engaging in the practice" that "ay4

IHll meet your need"+ I e5pect you to meet mine+ letH" wor# togetherJ ree agent" want

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fle5ibility to mo%e through organi3ational "y"tem" without being loc#ed in to one

department$ They want to be recogni3ed and %alued for the talent" they bring and for re"ult

achie%ed$ They prefer team" in which they can reali3e a more "elf!directed en%ironment

than they can in a "ingle ob reporting to a "uper%i"or$ )hile reward" are important+ "o+ too+

are re"pon"ibility+ re"pect+ recognition+ and relation"hip"$ 'oreo%er+ becau"e of their

concern for independence and mar#etability+ they ha%e a critical need to protect their

reputation4 they gra%itate to a""ignment" that enhance their "tanding in the eye" of other"$

The new currency that manager" mu"t u"e in todayH" wor#place i" ba"ed on re"pect$ E%en

the organi3ation" are #nown to or intend to down"i3e+ "mart manager" under"tand the

importance of re"pecting peopleH" intelligence and telling it li#e it i"$ They wor#

collaborati%ely with employee"$ They ma#e con"ciou" deci"ion" to oin force" in"tead of

"ubordinating or dominating$ A" newer "y"tem" "uch a" "#ill!ba"ed pay+ total!reward

program"+ pay!for!performance plan"+ and open!boo# management become more main

"tream+ the challenge for management will be to a%oid any "ugge"tion that they are

manipulati%e or di"re"pectful$ In fact+ placing too much empha"i" on pay and pay "y"tem"

will di"tract from the intrin"ic %alue of wor# it"elf$

True recognition i" a whole!per"on e5perience$ The approach i" holi"tic$ It begin" with

feeling"$ &mart manager" #now they may engage the head+ but they mu"t al"o engage the

heart of e%ery employee$ ItH" the only way to recogni3e and reward employee" in the

wor#place of the new millennium$

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VISION MISSION AND VAUES OF EMPOYEE 9EFARE

ATIITIES

9EFARE VISION

The purpo"e of welfare %i"ion i" to a""i"t indi%idual*" need" and to be the be"t "er%ice!

di"abled+ %eteran !owned+ "mall bu"ine"" pro%iding 6uality "er%ice" and re"ource" for "mall+

medium+ and large bu"ine""e"$ )elfare mi""ion i" to e5plore all #ind of thing which a

common per"on want" in hi" life$

9EFARE MISSION

To pro%ide better life and health to people$

• To ma#e the people happy and "ati"fied$• To de%elop+ implement and "upport program" and proce""e" which add %alue" to the

company and it" employee leading to impro%ement employee welfare and

empowerment growth and retention while committed to the company it"

management and pro"perity and it" cu"tomer"+ employee and "hareholder$

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To pro%ide "olution" of any #ind of problem" through the well 6ualified and

e5perience per"on$

9EFARE VAUES

Culture ma#e" a difference in "ocial "ociety policy$ Political ideologie"+ religiou" belief"+

moral conception" of the poor and normati%e perception" of gender role" are among the

cultural factor" that "hape welfare "tate" and welfare policie"$ On the other hand+ "ocial

policie" may ha%e cultural impact" for in"tance regarding wor# ethic"+ family %alue"+ ci%il

morality and "olidarity$ Organi3ation" are effecti%ely run by the people wor#ing o%er there$

To impro%e the producti%ity+ profitability+ and image and to retain it" crucial A&&ET&

-PEOPLE/+ they ha%e to pro%ide minimum welfare facilitie" a" being pro%ided in the

actorie" Act 9>@:$

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I n t r a m u r a l

E 5 t r a m u r a l

TYPES OF 9EFARE SERVIES

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I#+,*%+,l: - Intra!mural acti%itie" con"i"t of facilitie" pro%ided within the factorie" and

include medical facilitie"+ compen"ation for accident"+ pro%i"ion of "afety mea"ure"+

acti%itie" relating to impro%ing of employment+ and the li#e$ The"e are pro%ided within the

organi3ation li#e8

• Canteen+

• CrGche

• Fniform

• Drin#ing water

• Toilet"

• Re"t "helter"

• Protecti%e clothing

• Recreating facilitie"

EG#+,*%+,l8! E5tra!mural acti%itie" co%er the "er%ice" and facilitie" pro%ided out"ide the

factory "uch a" hou"ing accommodation+ indoor and outdoor recreational facilitie"+

amu"ement and "port"+ educational facilitie" for adult" and children and the li#e$ The"e are

pro%ided out"ide the organi3ation+ li#e8

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• .ou"ing+

• Child welfare+

• Lea%e tra%el facilitie"+

• Intere"t free loan"+

• )or#er" cooperati%e "tore"+

• 0ocational guidance

• Education facilitie"

• 'aternity benefit"

• Tran"portation

• &port" facilitie"

• .oliday home"

• Cooperati%e "tore"

• air price "hop"

• &ocial in"urance

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TYPES OF EMPOYEE 9EFARE SHEMES

Employee welfare program" "er%e different obecti%e"$ The mo"t important obecti%e i" to

pro%ide better and healthy life to wor#er"$ &econdly welfare benefit" are pro%ided in order

to ma#e employee happy and "ati"fied$ Other purpo"e of benefit" i" to relie%e employee"

from e5hau"tion and impro%e cultural and li%ing condition" of the employee"$ A" an

employer if you employee anyone -irre"pecti%e of time period "hort or long/ you mu"t a"

rea"onably pro%ide ade6uate welfare facilitie" for employee" while they are at wor#$

)elfare facilitie" are tho"e nece""ary for the wellbeing of your employee"$ Organi3ation"

pro%ide welfare benefit" to their employee" to moti%e them$ Employee welfare "cheme" can

be di%ided into two categorie"8

• &tatutory "cheme"

• Non! "tatutory "cheme"

S#,#%#o+8 >!l$,+! &;!*!&: - &tatutory "cheme" are re6uired by law to be

pro%ided to the employee"$ The"e "cheme" are tho"e re6uired by law and organi3ation" mu"t

be pro%ided in order to meet "tatutory obligation"$ Employer" are re6uired to made

pro%i"ion" for .ealth and "afety+ fir"t Aid appliance"+ drin#ing water+ latrine"+ canteen"+

lighting+ wa"hing place" and changing room" etc$ The mo"t important of "uch "tatutory

"cheme" are health and "afety and fir"t aid facilitie" at wor#place$ These schemes are

H!,l# , &,$!#8 ,# >o+="l,;!: - E%ery employer mu"t ta#e practical "tep" to

pro%ide+ "afe wor#ing en%ironment and "afe acce"" to and from wor#ing place+ a

"afe "y"tem of wor#+ "afe tool"+ e6uipment and appliance"+ protection ha3ard" and

nece""ary training for employee"$ Apart from thi" if an organi3ation" employee fi%e

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or more employee" it mu"t ha%e written health and "afety policy$ Employer" ha%e a

duty toward" general public a" well and mu"t en"ure health and "afety of %i"itor"$

Employee" al"o ha%e a duty to en"ure health and "afety at wor# and mu"t not ta#e

"tep" which can affect other" health and "afety$ F'+ A' $,;'l'#'!& ,# >o+="l,;!: ! A" an employer you are re6uired to pro%ide fir"t

aid appliance" at the wor# place$ The"e facilitie" will depend on+ the number of "taff+

type of wor#+ "i3e of the wor#ing premi"e" and location of "taff and location of

wor#ing premi"e"$ A" far a" number of "taff i" concerned it depend" on the abo%e

factor" but generally there "hould be one fir"t aider for = to 9== employee"$ )here

ha3ard" are greater there "hould be one fir"t aider for e%ery = employee"$ M!';,l S!+';!&: ! According to the factory act 9>@: -under "ec$ @/ where the no$

of employee" who are employed i" le"" than ==+ there mu"t be pro%ided many fir"t

aid bo5e" at %ariou" place" by their employee" in the factory$ According to "tatutory

rule at lea"t one fir"t aid bo5 mu"t be pro%ided a" per the 9= employee" and where

the no$ of employee" who are employed i" == or more than ==+ there mu"t be

pro%ided a di"pen"ary cell by their employer"$ In thi" way+ the factory i" pro%iding

all the"e medical facilitie"8!

O;;%",#'o,l H!,l# !#!+ (O.H..):- Thi" center con"titute" three per"on+ one female

nur"e+ one a""t$ and one "enior Doctor$

• Company i" in"talled many fir"t aid bo5e" at %ariou" place" under a re"pon"ible and

trained per"on "o a" employee" could relief %ery 6uic#ly$

• 'edical officer %i"it" the plant daily to chec# the employee" who are "ic# or "uffered

any minor inury$

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• The main ta"# of O.C i" to pro%ide the in"tant and 6uic# relief to the ailing

employee"+ "o that he can carry on with hi" wor#$

• If an employee want" to get the treatment out"ide the factory in"tead of company*"

di"pen"ary cell+ he may be allowed for it$

• Thi" O.C ha" all fir"t aid facilitie" and medicine" which are mu"t for the fir"t

condition$

Do*';'l',+8 T+!,#*!#: - Thi" i" %ery important facility which i" being pro%ided by the

company to it" employee"$ .ere the employee" can ha%e treatment out"ide the factory and

all the e5pen"e" they incur are reimbur"ed by the company$ Thi" amount pro%ided to the

employee" %ary a" per there grate" in the organi3ation "tructure$

Ho&"'#,l',#'o B!!$'#&: - Thi" i" one another facility which i" pro%ided to the employee$

E5ample for wor#er" it I" R"$ =+=== per annum for four member"$ &pecial accident benefit"

"cheme" are al"o pro%ided to the employee" at Aligarh factory$ A per"on i" gi%en


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and renting hou"e" at rea"on all rate"$ i"cal and monetary incenti%e" "hould be

pro%ided$

E%;,#'o: ! In 9>< the go%ernment of India formulated an all India "cheme of

wor#er*" education$ The central board of wor#er*" education wa" con"tituted to

admini"ter the "cheme$ The program of wor#er" education operate" in three tier"$

a/ Education officer" trained at the central place+ who in turn$ b/ Train wor#er teacher" all regional le%el andc/ The wor#er teacher" conduct cla""e" in %ariou" indu"trial e"tabli"hment"$ R!;+!,#'o Recreation in the form of mu"ic+ art+ theatre+ "port" and game" can

play an important role in the phy"ical and mental de%elopment of employee$ The

I$L$O$ ha" urged upon the member countrie" to ta#e appropriate "tep" to pro%ide

recreational facilitie" for the wor#er" in or near the underta#ing which they are

employed$ Fnder the plantation labor act 9>9+ it i" obligatory for employer" to

pro%ide recreational facilitie"+ e5cur"ion"+ youth club" and holiday home" can be

pro%ided for employee$ o&%*!+ ;oo"!+,#'! o+!& The national cooperati%e de%elopment board "et

up a committee in 9>9$The committee "ugge"ted that employee" "hould introduce

con"umer cooperati%e "tore" in their labor welfare program$ The Indian labor"

conference in 9>; adopted a "cheme for "etting up con"umer cooperati%e "tore in

all indu"trial e"tabli"hment" including plantation" and mine" employing ;== or more

wor#er"$ The employer wa" re6uired to gi%e a""i"tance in the form of "hare capital+

wor#ing capital+ loan+ free accommodation and other amenitie"$ O#!+& ,#%#o+8 $,;'l'#'!&: - "ome other "tatutory "er%ice" pro%ided to the wor#er"

are$

• F,;'l'#'!& o$ >,&'? #! ;lo#!&: - A" the facility of wa"hing the clothe" al"o

come" in welfare acti%itie"$ &o in thi" way company al"o pro%ide" the wa"hing

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facility to their employee i" pro%ided a uniform by the company$ The color of their

uniform are fi5ed a" per their department$ or wa"hing and drying the"e+ company

hired a wa"her man on a contract ba"e$ E%ery day ta#e" the "oiled clothe" away and

bring the wa"he" one" the ne5t day -for en"uring that no interruption occur" in thi"

daily routine the wor#er ha%e been pro%ided with four pair of uniform/$ In thi" way

the per"onal hygiene of the wor#er i" al"o ta#e care by the company$

• F,;'l'#8 o$ o;=!+ Roo*8 ! )or#er" are pro%ided with the loc#er" room$ The

loc#er" room i" a part of the wa"hing facilitie" that are pro%ided to the employee" by

the company$ Employee" can ha%e their per"onal clothe" in the loc#er room$ E%ery

employee ha" loc#er room$ Thi" loc#er" room ha" two type" of code"4 one i"

permanent "erial no$ and "econd one i" loc#er" no$ "o employee" can ha%e their

per"onal dre""e" in the loc#er" with "afety$

• F,;'l'#8 o$ R! Roo*: - At Aligarh factory+ company i" arranged the re"t room" for

the employee"$ The ba"ic purpo"e of re"t room i" to pro%ide "ome re"t to employee"

-when they don*t feel well/ and if they want to "ome re"t -if they allowed by the

company/$(e"ide" it+ tho"e employee" who ha%e to wor# in night can al"o u"e the

re"t room" during the period of fini"hing their night dutie"$

No- ,#%#o+8 &;!*!&: - &uch "cheme" pro%ide a 6uantifiable %alue for

indi%idual employee" and may be contingent li#e a pen"ion "cheme+ "ic# pay and in"urance

co%er$ &uch benefit" al"o include element" which are not "trictly remuneration "uch a"

annual holiday"$ The obecti%e" of "uch employee benefit" policie" and practice of an

organi3ation might be+ to increa"e commitment of the "taff to the organi3ation"+ to pro%ide

for the actual per"onal need" of the employee" "uch a" per"onal "ecurity+ financial "ecurity+

to demon"trate that organi3ation care" for the need" of it" employee"+ to en"ure that a

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competiti%e compen"ation pac#age i" pro%ide in order to attract and retain highly %aluable

"taff and to pro%ide a method of remuneration which reduce" ta5 liabilitie"$ The schemes

include:-

i. P!&'o &;!*!&: - Pen"ion ha" alway" been an important and %aluable element of

remuneration pac#age$ The 6ue"tion ari"e" here i" why organi3ation" pro%ide

pen"ion "cheme" for it" employee" and what are the benefit" of pro%iding it$ An

employer percei%ed moral obligation to pro%ide a "tandard of po"t retirement li%ing

for employee" particularly for tho"e with long "er%ice$ The logic al"o e5tend" to

pro%iding pen"ion" arrangement" for dependent" on a current or retired employeeH"

death$ &imilarly a pen"ion "cheme demon"trate" that employer ha" a long intere"t of

employee" at heart$ Apart from thi" pen"ion "cheme may help organi3ation" in

retaining and attracting "taff$ii. P!+&o,l &!;%+'#8: - Per"onal "ecurity include" benefit" that enhance employee"H

per"onal and family life "ecurity with regard to illne""+ health+ accident" and

redundancy or life in"urance$ Thi" al"o include death in "er%ice benefit" which i"

pro%ided a" a part of pen"ion "cheme or a" a "eparate life a""urance co%er+ "uch

benefit" include a multiple of "alary to be paid to employee" dependent" if he or "he

die" before retirement$ The range of "alary payable range" from one to four time"

and may be dependent on employee"H "tatu"$ Per"onal accident co%er i" another form

of per"onal "ecurity which pro%ide" compen"ation if an employee i" in%ol%ed in an

accident cau"ing "eriou" inury or death$iii. F',;',l A&&',;!:- Another #ind of welfare benefit" i" gi%ing employee" "ome

"ort of financial a""i"tance$ Company loan "cheme" either pro%ide "um" of money to

be lent intere"t free or at fa%orable intere"t rate" to employee"$ &mall "um to be lent

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where there i" per"onal hard"hip$ )hile larger loan" are to be lent for defined

purpo"e" "uch a" hou"e impro%ement" and purcha"ing car etc$ Repayment" are made

on regular deduction" from "alary a" agreed by employee and employer$ A good

employer pro%ide" relocation charge" to it" "taff when they mo%ed from one place to

another$ Companie" which offer product" and "er%ice" pro%ide di"count" to it"

employee" on "uch product" and "er%ice"$ Another #ind of financial a""i"tance i"

payment of fee" for any profe""ional cour"e underta#en by employee"$i%$ S"o+#& ;l%: - Public and pri%ate "ector al"o focu"ed on "port club committee by

which company i" con"ider not only on the mental de%elopment of employee" al"o

on phy"ical de%elopment$ Thi" committee i" formed by 9@ member"$ E%ery

employee may be "elected for the member of thi" committee at any de"ignation by

the wor# force$ Thi" club arrange" the %ariou" "port" game" yearly+ both indoor and

outdoor game"$ E$g$ Long ump+ high ump+ badminton+ %olleyball+ table tenni"+

che"" etc$ thi" club al"o pro%ide" the tour" for the employee" e$g$ picnic tour"+

religiou" tour+ educational tour+ educational tour etc$ yearly$ Company al"o pro%ide"

the "weet" and gift pac#et" to the employee" on the occa"ion$ Recently+ one addition

feature ha" been added to the acti%ity of thi" club$ Company ha" "tarted gi%en a "um

of rupee" one thou"and a" a reward to the meritoriou" "tudent of it" employee"

-"tudent who obtained fir"t di%i"ion in the cla"" 9= th and 9?th / to moti%ate them$

E%ery year an annual function i" held in which the"e "tudent are awarded$ or

organi3e the"e program company a" well a" employee" of management "ide are

contributed R"$@ per month and the wor#er*" "ide contributed R"$: per month to the

"port club$ The annual contribution i" around rupee" >=+===$

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. P!+&o,l "+o#!;#'! !%'"*!#: - &afety and "ecurity of it" men and material" i"

the prime concern of .ein3$ or thi" purpo"e the employee" are pro%ided with P$P$E$

The e6uipment pro%ided %arie" depending upon the nature of ob$ E5tra precaution

ha" to be ta#en by tho"e wor#ing with boiler"+ roller" and "pray dryer" etc$ The P$P$E$

pro%ided i" "afety goggle"+ helmet"+ apron"+ "hoe" etc$ In thi" way company en"ure"

that a "afe en%ironment i" pro%ided to it" employee"+ "o that they are able to carry on

their acti%itie" without any interruption$

'. T+,&"o+#,#'o $,;'l'#'!&:- The company pro%ide" tran"portation facility to it"

employee at %ery nominal rate"$ or thi" purpo"e it" employee" which operate" in

"hift"$ The co"t incurred in operating the"e bu"e" come" around ?@ lac# per annum$

In thi" manner the company pro%ide" ea"y e5ce"" to it" employee" to the factory

premi"e" from all part of Aligarh city$ The bu"e" are hired for thi" purpo"e on a

contract ba"ed$

''. S%+8 ,llo>,;!:- In addition to other facility the "taff at .ein3 i" al"o pro%ided

with a %ariety of "undry allowance$

ir"t aiding allowance

ire fighting allowance

.ea%y %ehicle allowance

Ca"h handling allowance

&unday cleaning allowance

ield duty allowance

'i"c allowance to tan#er dri%er"

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Fniform wa"hing allowance to the dri%er"

(an# wor# allowance at city

viii. O""o+#%'#'!& $o+ l!,+'? #+,''? , !!lo"*!#: - Employee" learning

mean" to de%elop firm"H re"ource ba"ed capability$ According to .uman Re"ource

'anagement principle it i" nece""ary to in%e"t in employee" in order to de%elop

human capital re6uired by firm and to increa"e it" "toc# of #nowledge and "#ill"$

According to .uman capital theory the "#ill" and #nowledge that an employee ha")hich come" from learning and training generate" a "toc# of producti%e capital$

VARIOUS ATS OF EMPOYEE 9EFARE

THE FATORIES AT 14C

The fir"t factory act in India wa" pa""ed in 9::9$ It wa" de"igned primarily to protect

children and to pro%ide for "ome health and "afety mea"ure"$ It wa" followed by new

factorie" act 9:>9+ 9>99+ 9>?? and 9>;@$ The act of 9>;@ wa" pa""ed to implement the

recommendation" of the royal commi""ion on labor in India and the con%ention" of the

international organi3ation$ The e5perience of the wor#ing of thi" act re%ealed a number of

defect" and wea#ne""e" which hampered effecti%e admini"tration of the act$ urther+ the

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pro%i"ion" of thi" act regarding "afety+ health and welfare of wor#er" were al"o found to be

inade6uate and un"ati"factory$

.ence+ a new factorie" act wa" pa""ed in 9>@: and came into force w$e$f 9 April+ 9>@:$ The

obecti%e of pa""ing the factorie" act+ 9>@: wa" to con"olidate and amend the law regulating

labor in factorie"$ The factorie" act+ 9>@: i" a piece of legi"lation co%ering all a"pect"

regarding factorie" namely8!

• Appro%al + licen"ing and regi"tration of factorie"

• The in"pecting authoritie"

• .ealth+ "afety+ welfare wor#ing hour"+ employment of wor#er"

• Annual lea%e and penaltie"

• 0ariou" "afety mea"ure" for wor#er"$

OB@ETIVES OF FATORY AT 14C

• ir"t aid bo5e" or cupboard" one for e%ery 9=" wor#er and ambulance facilitie" if here are

more than == wor#er"$

• acilitie" for "toring and drying clothe"

• &itting facilitie" for occa"ional re"t for wor#er"$

• Canteen" if more than ?= wor#er" are employed$

• CrGche where more than ;= women are employed$

• )elfare officer+ where%er more than == wor#er" are employee$

• Ade6uate+ "uitable and clean wa"hing facilitie" "eparately for male and female wor#er

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THE PANTATION ABOR AT 151

• A crGche+ if employing = or more women wor#er"$

• Recreational facilitie" for the wor#er" and their children$

• A canteen where 9= or more wor#er" are employed$

• .ou"ing facilitie" for e%ery wor#er and hi" family re"iding in the plantation$

• 'edical aid to wor#er" and their familie"$

• &ic#ne"" allowance and maternity allowance "ubect to any rule"$

• ramed by the "tate go%ernment$

• Appointment of a welfare officer in plantation" employing ;== or more wor#er"$

THE MINES AT 15

• &helter" for ta#ing food and re"t+ whene%er 9= more wor#er" are employed$

• A canteen whene%er ?= more wor#er" are employed$

• ir"t aid bo5e" and fir"t aid form in mine" employing more 9= wor#er"$

• Pit head bath" e6uipped with "hower bath"+ "anitary latrine" and loc#er"$ &eparately for been

and women wor#er"$

• Appointment of a welfare officer whene%er more than 9= wor#er" are employed$

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THE MOTOR TRANSPORT 9OR/ERS AT 11

• Canteen of pre"cribed "tandard" if employing 9== or more wor#er"$

• ir"t aid facilitie" in e%ery tran"port %ehicle$

• Pre"cribed medical facilitie" at the operating center"$

• The pre"cribed amount of wa"hing allowance to the abo%e mentioned "taff$

•

Fniform"+ raincoat" to dri%er"+ conductor" and time chec#er" for protection again"t rain and

cold$

• Clean+ well!lighted and comfortable re"t room" at e%ery place where motor tran"port

wor#er" are re6uired to halt all night$

9OR/ERS OMPENSATION AT 13

The wor#er" compen"ation act+ 9>?; i" one of the earlie"t labor welfare and "ocial "ecurity

legi"lation enacted in India$ It recogni3e" the fact" that if a wor#man i" a %ictim of accident

or an occupational di"ea"e in cour"e of hi" employment he need" to be compen"ated$

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• To con"ider compen"ation payable by an employer to hi" wor#men in ca"e of an accident a"

a mea"ure of relief and "ocial "ecurity$

• To enable a wor#men to get compen"ation irre"pecti%e of hi" negligence$

• It lay" down the %ariou" amount payable in ca"e of an accident upon the type and e5tent of

inury$

CHAPTER-!

COMPARISON OF EMPLOYEE WELFARE IN

PUBLIC AND PRIVATE SECTORS

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INTRODUTION

There ha" been much debate o%er whether public "ector employee" are o%erpaid or

underpaid+ relati%e to their pri%ate "ector counterpart"+ and how to ma#e an apple"!to!

apple" compari"on of the compen"ation recei%ed by each "ince ob function" are oftentime"

6uite different$ The following "ee#" to addre"" thi" i""ue in light of a new report that

"ugge"t" that "tate and local go%ernment wor#er" recei%e le"" total compen"ation than

comparable pri%ate!"ector wor#er"+ and to e5amine how i""ue" not addre""ed in the "tudy

might affect tho"e conclu"ion"$

E%en if we were to a""ume that the producti%ity of public and pri%ate "ector wor#er" i"

e6ual+ or that difference" in ob "ecurity were not a factor+ thi" would not "pea# to the

nece""ity or "heer number of go%ernment employee"+ and thu" to the o%erall co"t or

nece""ity of go%ernment program"$ Fnli#e the pri%ate "ector+ where deci"ion" on the

number and compen"ation of employee" are dri%en by "upply and demand and economic

realitie"+ the "i3e and co"t of go%ernment employee" i" dri%en by the political

proce""$ Thu"+ go%ernment employee"H labor union" are con"tantly pre""uring legi"lator"

-who are fre6uently indebted to the union" for campaign contribution" and other help

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pro%ided to get them elected/ to increa"e wor#er"H wage" and benefit"+ and legi"lator" are

alway" creating or e5panding go%ernment program" that may or may not be needed or

effecti%e$ The"e pre""ure" are independent of economic con"traint"+ and are limited only to

the e5tent that ta5payer" refu"e to con"ent to additional borrowing or ta5 increa"e"$ Thi" ha"

allowed go%ernment" at all le%el" to continue to add employee" e%en during the "e%ere

rece""ion that ha" forced a "ignificant contraction in the pri%ate "ector$ (etween December

?==< and December ?==>+ the pri%ate "ector lo"t more than


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"ur%ey reported a much greater > percent ad%antage for public "ector benefit"+ the (ender

and .eywood total compen"ation gap narrowed only "lightly+ from 99!9? percent to roughly

< percent -public employee" recei%ed more benefit" than comparable pri%ate!"ector wor#er"+

but the difference wa" much "maller than that reflected in the ECEC "ur%ey/$ The relati%ely

"mall impact of the greater benefit" of public employee" al"o appear" to fly in the face of the

fact that in California and el"ewhere+ many "tate and local go%ernment" ha%e increa"ed

go%ernment employee"H benefit" by a" much a" = percent in the pa"t decade or "o+ allowing

many wor#er" to retire a" young a" = or year" old with pen"ion" e6ual to a" much a" >=

percent of their final "alarie"$ The"e are benefit" unheard of in the pri%ate "ector$

In the (ender and .eywood report+ the author" a""umed that the determinant" of

benefit %alue"!factor" "uch a" education+ age+ and other demographic characteri"tic"!affect

the re"ult" in the "ame way that the determinant" affect the calculation" of hourly

earning"$ The author" ac#nowledge that thi" a""umption i" debatable$ If the determinant"

affect the comparability of benefit" in a different way than they affect wage"+ then thi" could

"#ew the re"ult"$ Perhap" thi" could account for at lea"t "ome of the apparent di"crepancy$

'oreo%er+ the report cannot account for e5pected increa"e" in benefit" that would re"ult in

greater compen"ation for public employee"+ relati%e to comparable pri%ate!"ector

employee"$ The report i" nece""arily a "nap"hot in time+ a" it would be impo""ible to predict

all future change" to employee"H wage" and benefit"$ Met+ we can "afely a""ume that health

care co"t"+ and thu" the co"t" of employee" retiree health care benefit"+ which ha%e ri"en on

the order of 9= percent a year for mo"t of the la"t decade+ will continue to ri"e+ particularly

"ince demand for health!care "er%ice" will increa"e a" the (aby (oomer generation enter"

retirement -and+ it could be argued+ the "upply of health care practitioner" might be reduced

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by increa"ed go%ernment in%ol%ement in the health care indu"try+ thu" e5acerbating the"e

co"t increa"e"/$ Retiree health benefit" are typically much more generou" in the public

"ector than they are in the pri%ate "ector+ if they are pro%ided at all in the pri%ate "ector$ In

California+ the "tate pay" 9== percent of health care co"t" for retired "tate wor#er" and >=

percent of co"t" for retiree"H familie"$ (arring any commen"urate reduction" to the"e

benefit"+ which+ unli#e pen"ion benefit"+ can+ in fact+ be reduced+ we "hould e5pect to "ee

the gap between public and pri%ate employee benefit" widen and the difference" in

comparable public and pri%ate employee"H total compen"ation to adu"t accordingly$

PUBI SETOR RETIREMENT BENEFITS 337J REATER THAN

PRIVATE SETOR

Retirement i" a goal that employee" in both the public and pri%ate "ector wor# toward"+ but

the difference between the retirement benefit" in the two "ector" i" monumental$

,o%ernment wor#er" are getting better deal" than employee" in the pri%ate "ector and their

pen"ion" are partly paid for by ta5payer"$

The "tate go%ernment" ha%e been increa"ing the fringe benefit" of their employee"$

A" (ob )illiam" e5plain"+ thi" i" becau"e the go%ernment cannot afford the co"t of

employee union demand"!often regarding retirement and health care benefit"$ &tate (udget

&olution" found that hea%ily unioni3ed go%ernment wor#er "tate"+ li#e California and New

Mor#+ ha%e the large"t unfunded pen"ion" and retiree health care$

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A;;o+'? #o #! B%+!,% o$ ,o+ S#,#'';& D,#,,&!& there i" an increa"e in "tate and

local go%ernment fringe benefit"$ Public employee" are recei%ing pen"ion and retirement

benefit" that are ;;< percent greater than pri%ate "ector employee"$

BENEFITS

,o%ernment employee" enoy e5cellent benefit"+ including health in"urance+ dental

in"urance+ %acation time+ "ic# lea%e and other income "ecurity benefit"$ (enefit" ma#e a

po"ition %aluable e%en if the "alary offered i" lower than a pri%ate!"ector "alary$ ,o%ernment

employee" more often get retirement benefit" from their employer+

BO( &ECFRITM

,o%ernment employee" enoy more ob "ecurity in two re"pect"$ ir"t+ go%ernment ob" are

generally more "table than pri%ate!"ector ob" unle"" a go%ernment employer cut" ob" due

to "eriou" economic problem"$ &econd+ go%ernment ob" are often permanent appointment"4

once an employee pa""e" a probationary period+ u"ually one year+ he can only be fired for

gro"" error" or illegal action"$

EECT& O CO'PETITION

Pri%ate!"ector employee" face higher %ulnerability to mar#et force"+ including wage le%el"

according to fluctuating mar#et condition"$ They mu"t remain competiti%e in term" of "#ill"

and ob performance "o they wonHt be replaced$ ,o%ernment employee" mu"t meet

performance "tandard"+ too4 but+ a" noted+ itH" harder to get rid of them$ Pri%ate!"ector

wor#er" may be laid off more readily by bu"ine""e" that clo"e or "uffer economic "etbac#"$

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OMPENSATION

In ?==>+ the federal go%ernment wor#er a%eraged the highe"t at


47/92

profitability$ On the other end of the "pectrum are the financial manager" in the public "ector

who do not nece""arily ha%e a bottom line to maintain$ In"tead+ they may be ta"#!oriented or

dri%en by "ome other moti%ating force endemic to the "pecific type of wor# the organi3ation

i" focu"ed on daily$

CONTET

Another fundamental difference between public and pri%ate financial manager" i" the

conte5t in which they operate$ Thi" conte5t can ma#e all the difference when it come" to

how each approache" hi" wor#$ The profit!dri%en financial manager in the pri%ate "ector

will generally ha%e the leeway to get done what need" to be done in order to maintain the

bottom line$ )ith public "ector financial manager"+ %ariou" con"traint" may pre%ent the

manager from acting with a great deal of autonomy$ The manager may be "ubect to

legi"lati%e and regulatory con"traint" that pre%ent autonomou" action$ The political

framewor# of the public "ector may pit bureaucratic financial manager" again"t elected

official" on occa"ion+ cau"ing "ignificant limitation" to getting the ob done$

DECI&ION&

The difference" in the deci"ion!ma#ing proce"" between public and pri%ate "ector financial

manager" are clo"ely related to the conte5t of operation$ In pri%ate "ector financial

management+ deci"ion" are generally made from the top and are filtered down through the

hierarchy of the bu"ine"" a" the financial manager hand" off the order" or direction" to tho"e

below him on the company food chain$ In public "ector management+ it i" not "o "imple$

Public "ector financial manager" often ha%e to wor# with political con"tituencie" and

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na%igate between competing intere"t group"$ Important financial deci"ion" are often

rendered by creating coalition" and "upport$ Deci"ion" cannot typically be handed down and

pa""ed off to the ne5t in command without "ome type of public "anction or appro%al$

UNIONS

ederal law gi%e" pri%ate "ector+ but not public "ector+ employee" the right to oin union"+

ha%e them negotiate with employer" for wage" and wor#ing condition" and ta#e group

action concerning their employment+ including the right to "tri#e$ Pri%ate "ector employer"

may not fire+ di"cipline or lower the "alarie" of employee" for oining a union or e5erci"ing

their collecti%e bargaining right"$ 'any "tate" ha%e granted public employee" the right to

oin union" and collecti%ely negotiate for certain benefit"$ .owe%er+ in "ome of the"e "tate"+

"uch a" New Ber"ey+ union" do not ha%e the right to bargain for employment "ubect" that are

not controlled by federal or "tate law or that pre%ent the go%ernment agency from

performing it" dutie"$

INTERRO,ATION& AND IN0E&TI,ATION&

Public employer" may not force employee" to ma#e "tatement" that can be u"ed again"t

them in criminal pro"ecution"$ The Fnited &tate" &upreme Court in ,arrity %$ New Ber"ey

"aid that threatening to fire police officer" who did not "pea# with in%e"tigator" %iolated the

ifth AmendmentH" protection again"t "elf!incrimination$ A public employer may re6uire an

employee to an"wer 6ue"tion" in an internal agency in%e"tigation if the employee i" told that

no an"wer" will be u"ed to pro"ecute the employee$ )or#er" in the pri%ate "ector do not

ha%e the"e ,arrity right" "ince the ifth Amendment applie" only to the go%ernment+ not

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pri%ate actor"$ .owe%er+ a pri%ate "ector employee ha" the right to the pre"ence of a union

repre"entati%e during an in%e"tigation by the employer$

LE,AL .OLIDAM&

Pri%ate employer" are not re6uired to gi%e employee" any holiday"+ according to Te5a"

"tate law and the federal air Labor &tandard" Act+ which treat all holiday" li#e any other

wor#day$ 'o"t public "ector employee" recei%e 9= legal and paid holiday" a" ordered by

federal law$ The"e holiday" include8 New Mear*" Day+ 'artin Luther ing Day+ Pre"ident*"

Day+ 'emorial Day+ Independence Day+ Labor Day+ Columbu" Day+ 0eteran*" Day+

Than#"gi%ing Day and Chri"tma" Day$ Depending on the cla"" of employee+ "ome

employee" wor#ing on go%ernment contract" are al"o granted holiday pri%ilege"$ Tho"e

wor#ing on contract" o%er ?+== or of certain "tatu" may recei%e holiday" and fringe

benefit" under the 'cNamara!O*.ara &er%ice Contract Act or the Da%i"!(acon Act$

.OFR& AND PAM

Pri%ate employer" are not re6uired to gi%e employee" o%ertime or bonu" pay for wor#ing on

holiday"$ Paid holiday" are al"o not counted toward o%ertime pay or for amily and 'edical

Lea%e Act eligibility$

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REIIOUS HOIDAYS

According to the T)C+ pri%ate employer" are not re6uired to grant religiou" holiday"+

unle"" they ha%e 9 or more employee"$ (u"ine""e" greater than 9 are "ubect to

di"crimination law" and may need to grant the nece""ary religiou" holiday" to employee"

wi"hing to celebrate$ That "aid+ an employer may deny an employee a religiou" holiday if

the company will "truggle unduly without them$

CON&IDERATION&

According to employeei""ue"$com+ although not legally obligated+ pri%ate employer" grant

many of the legal and religiou" holiday"+ becau"e it help" retain employee"+ boo"t" morale

and attract" new employee"$

OMPARIN PRIVATE AND PUBI 9OR/ER SAARIES

ARE PUBI SETOR 9OR/ERS OVEROMPENSATEDK

&e%eral analy"e" of a%erage wage" and benefit" in the public and pri%ate "ector" re%eal that

"tate and local go%ernment wor#er" earn more than pri%ate "ector wor#er"$ According to the

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mo"t recent E*"lo8!+ o& $o+ E*"lo8!! o*"!&,#'o &%+!8 from the F$&$ (ureau

of Labor &tati"tic"+ a" of December ?==>+ "tate and local go%ernment employee" earned

total compen"ation of ;>$= an hour+ compared to ?>9/$ In addition+ a" o#! 8

+!"o+#!+ , ,l"!&'o&.;o* lo??!+ E M!!l+ in ?== the "tate conducted a

compari"on of "tate and pri%ate "ector compen"ation for the fir"t time in two

decade"$ )hile the D!",+#*!# o$ P!+&o!l A*''+,#'o &%+!8 did not include all

ob cla""ification"+ the analy"i" determined a number of benchmar# ob cla""ification" and

found that "tate compen"ation wa" greater than pri%ate "ector compen"ation for clerical ob"+

accountant"+ cu"todian"+ electrician"+ "tationary engineer"+ and analy"t"+ but lagged in

medical occupation"$ 'oreo%er+ data from the (ureau of Economic Analy"i" illu"trate that

a%erage "tate and local go%ernment compen"ation ha" been increa"ing at a fa"ter rate than

a%erage pri%ate "ector compen"ation o%er the pa"t ;= year$

ARE PUBI SETOR 9OR/ERS UNDEROMPENSATEDK

(ut according to a new "tudy publi"hed by the Center for &tate 1 Local ,o%ernment

E5cellence and the National In"titute on Retirement &ecurity+ the"e aggregate compen"ation

compari"on" are mi"leading$ The author"+ Fni%er"ity of )i"con"in!'ilwau#ee economic"

profe""or" eith A$ (ender and Bohn &$ .eywood+ a""ert that "tate and local go%ernment

wor#er" are better educated and ha%e more wor# e5perience+ on a%erage+ than do pri%ate

"ector wor#er"+ "o it i" natural that their o%erall a%erage compen"ation would be

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higher$ Thu"+ they conclude+ the fact that public "ector wor#er" recei%e greater a%erage

compen"ation than pri%ate "ector wor#er" "hould be no more "urpri"ing than the fact that

tho"e with more "#ill" and education earn more$

urthermore+ after attempting to control for "uch %ariable"+ they find that "tate and local

go%ernment wor#er" actually earn le"" than their pri%ate "ector counterpart"$ According to

the analy"i"+ "tate go%ernment wor#er" earn an a%erage of 99$@ percent le"" than pri%ate!

"ector wor#er" of "imilar education and wor# e5perience and local go%ernment wor#er" earn

9?$= percent le""$ Due to the greater benefit" recei%ed by public "ector wor#er"+ the gap

narrow" when the"e benefit" are factored in+ to $: percent and .

THE DIFFIUTY OF OMPENSATION OMPARISONS IN PUBI

AND PRIVATE SETOR

A" the report note"+ it i" difficult to do a real apple"!to!apple" compari"on of public and

pri%ate "ector compen"ation becau"e public "ector ob de"cription" and dutie" may be %ery

different from tho"e in the pri%ate "ector+ and %ice %er"a+ "o oftentime" there are no good

po"ition" to compare to in the other "ector$

It would be intere"ting to ta#e a clo"er loo# at the education "tati"tic"$ nowing the

percentage of wor#er" with a college degree+ for e5ample+ i" helpful+ but not all college

degree" are e6ual$ &ome field" of "tudy are more rigorou" than other"+ and "ome

uni%er"itie" and college" are more pre"tigiou" than other"$ One who earn" a degree in a

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more rigorou" field+ or who attend" a more pre"tigiou" -and u"ually a more co"tly/

uni%er"ity+ would e5pect to earn a higher "alary after college than one who did not$ )hile

data with thi" le%el of detail do not "eem to be a%ailable+ it would be intere"ting to "ee if

there are any difference" in the"e more "pecific educational categorie" between public and

pri%ate "ector employee"$

It i" al"o worth a"#ing whether higher education le%el" are actually re6uired to perform

many go%ernment ob"$ The (ender and .eywood "tudy pre"ume" that we "hould e5pect

public employee" to be paid more becau"e they tend to be better educated than comparable

pri%ate "ector employee"+ but i" thi" additional education nece""ary It may be that "tate and

local go%ernment" hire more educated people not becau"e ob dutie" demand more

education+ but rather "imply becau"e they can+ a" they ha%e acce"" to the publicH" money

and+ a" "uch+ go%ernment budget" are not "o con"trained a" pri%ate firm"H budget"$ In the

pri%ate "ector+ firm" ha%e "trong incenti%e" to #eep co"t" down and pay no more for labor

than they need to$ The public "ector+ by contra"t+ i" infamou" for it" lac# of efficiency+ and

budget" are determined by political mean"+ re"ulting in budget" that are u"ually much

different!and more wa"teful!than tho"e determined by economic mean" thi" i" why

go%ernment" typically achie%e "ignificant co"t "a%ing" by out"ourcing the pro%i"ion of

"er%ice" to the pri%ate "ector$ Thu"+ it may be that go%ernment" are paying higher wage" to

better!educated employee" not becau"e tho"e employee"H educational "#ill" are re6uired to

perform their ob dutie"+ but rather becau"e they are o%er6ualified for their ob"$ It i" worth

noting that pri%ate "ector compen"ation might al"o be "#ewed higher by a relati%ely "mall

number of %ery high income earner"+ "uch a" large corporation CEO" and "enior officer"+

entertainer"+ and profe""ional athlete"+ for which there i" no e6ual in the public "ector$

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PRODUTIVITY DIFFERENES

E%en ta#ing the "tudyH" analy"i" a" gi%en+ thi" doe" not mean that the %alue of an a%erage

go%ernment wor#erH" labor i" e6ual to that of an a%erage pri%ate "ector wor#er with "imilar

education and wor# e5perience$ Thi" i" becau"e pri%ate "ector wor#er" tend to be more

producti%e$ A" Cato In"titute Director of Ta5 Policy &tudie" Chri" Edward" note" in a

recent paper + according to the F$&$ (ureau of Labor &tati"tic" -(L&/ National

Compen"ation &ur%ey+ pri%ate!"ector employee" wor#ed an a%erage of ?+== hour" in ?==:+

9? percent more than the 9+:? hour" wor#ed by the a%erage public!"ector employee$

E%en on an hour!for!hour ba"i"+ one would e5pect pri%ate "ector wor#er" to be more

producti%e due to the lac# of competiti%e force" in go%ernment$ Pri%ate "ector bu"ine""e"

face con"tant pre""ure" of competition to inno%ate and impro%e their good" and "er%ice"+

le"t they lo"e bu"ine"" to their competitor"$ ,o%ernment agencie"+ by contra"t+ are typically

monopolie" protected by law+ and thu" are not "ubect to "uch competiti%e incenti%e" and

pre""ure"$

@OB SEURITY DIFFERENES

The notion that public employee" are "ignificantly undercompen"ated beg" the 6ue"tion8 if

they are "o underpaid+ why would they agree to ta#e go%ernment ob" when they could earn

more by performing "imilar ob" in the pri%ate "ector &ome might cling to the romantic

idea of public "er%ice+ but public!"ector employee" are e%ery bit a" "elf!intere"ted a"

pri%ate!"ector wor#er"+ "o thi" an"wer i" wholly un"ati"fying$

One maor factor not di"cu""ed by the reportH" author" that could pro%ide an e5planation

-"etting a"ide the po""ibility that public!"ector wor#er" are actually o%ercompen"ated+

relati%e to their pri%ate!"ector counterpart"/ i" the "ignificant difference in ob

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"ecurity$ ,o%ernment ob "ecurity i" famou"ly+ and notoriou"ly+ ironclad+ oftentime" ma#ing

it practically impo""ible to fire or lay off public!"ector wor#er" for the "ame rea"on"

employee" are terminated in the pri%ate "ector+ e%en in ca"e" of poor performance or

unethical acti%ity$ Thi" ob protection ha" tremendou" %alue which i" not captured in the

(ender and .eywood report$

)hether for ob "ecurity or other rea"on"+ the attraction to go%ernment ob" i" e%idenced by

ob!6uit rate"$ Lower 6uit rate" indicate a lac# of better ob opportunitie"

el"ewhere$ Indeed+ a" the Cato In"tituteH" Chri" Edward" point" out + (L& data re%eal that

the 6uit rate i" "ignificantly lower in the public "ector than in the pri%ate "ector$ (etween

?==9 and ?==>+ the public "ector layoff and di"charge rate i" only about one!third of the

pri%ate!"ector rate$ &urely+ if go%ernment wor#er" were "o poorly compen"ated and were

6ualified to earn "ignificantly more in the pri%ate "ector+ they would lea%e for tho"e pri%ate

"ector opportunitie" and the 6uit rate would be much higher$

In California+ the "tateH" pri"on guard" pro%ide a good e5ample of the lac# of di""ati"faction

with public!"ector compen"ation$ According to a F!+%,+8 00C !?'&l,#'! A,l8&

O$$';! +!"o+#+ correctional peace officer co"t" ma#e up the large"t "hare of ,eneral und

per"onnel e5pen"e"$ The appro5imately ;=+=== "tate correctional peace officer" ma#e up

nearly 9= percent of all "tate employee"$ The report de"cribed correctional officer"H o%erall

compen"ation le%el" a" %ery attracti%e+ particularly con"idering that the ob re6uire" only a

high "chool or e6ui%alent education+ and noted that the California Department of

Correction" and Rehabilitation -CDCR/ boa"t" that the ob ha" been called Hthe greate"t

entry le%el ob in CaliforniaH!and for good rea"on+ and that Along with the great "alary+ our

peace officer" earn a retirement pac#age you u"t canHt find in pri%ate indu"try$ Perhap"

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thi"+ along with the CDCRH" inability to control "ic# lea%e and o%ertime benefit"+ i" why the

"tate recei%e" roughly 9;=+=== application" to become a pri"on guard each year$

PUBI VS PRIVATE SETOR

,o%ernment &ector 0" Pri%ate &ector i" a debate which "eem" to be a ne%er ending topic$ It

i" %ery difficult to ta#e "tand for either of the"e form" of admini"tration$ The rea"on behind

that i" not un#nown but ob%iou" a" both pro%ide "cope" in different way"$ The fir"t

allegation that can be put up for thi" debatable i""ue i" that ,o%ernment &ector i" more

di%ided than organi3ed$ )hat thi" mean" i" that a public "ector admini"tration run" on the

"houlder" of many "ub di%i"ion"$ or e5ample Q human re"ource ha" a mini"try and ha"

many go%ernmental organi3ation" wor#ing under it to collect the data from$ Thi" may "eem

to be organi3ed but ultimately it become" di%ided and create" a problem in the long run$

A Pri%ate &ector i" al"o di%ided into department" which wor# clo"ely$ They need to ha%e a

coherent wor#ing "tructure or el"e bu"ine"" will falter$ The organi3ation and "eparation of

departmental power i" %ery "trict$ Thi" doe" not create any #ind of rift between the different

department" a" they wor# together$ They operate on different function" and "o cannot

o%erride each other*" function"$

Again+ Pri%ate &ector employee" ha%e to be %i"ible and accountable for each and e%ery

action they ta#e$ In other word" they ha%e to be %i"ible in order to promote their bu"ine""

but can wor# in their own comfort$ .owe%er+ ,o%ernment &ector employee" ha%e to wor#

"howing complete tran"parency to their ob"$ They ha%e to wor# under the public eye$ &o it

can be "aid that they wor# with the go%ernmental radar on and under public "cannerJ It i"

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"aid that the ,o%ernment &ector i" not clear with it" endea%or"$ The obecti%e" of the public

"ector are more confu"ing and indefinite in compari"on to the Pri%ate &ector$ The Pri%ate

&ector "uppo"edly pro%ide" more clarity to their apparent "ubecti%ity$ Thi" ma#e" the "ector

more e%ident$ )ell thi" lucidity could go again"t the Pri%ate &ector a" thi" "ector i" accu"ed

of only profit oriented wor#$ Thi" "ector will ne%er ta#e anything until and unle"" it "ee"

profit in it$ Thi" 2what*" in it for me7 mentality i" %ery dangerou" a" it e%entually doe" not

do any good for the community$ The dream of thi" "ector i" to ma#e more money at the co"t

of anything and e%erything$ .ence the need of a public "ector ari"e" which can loo# into and

offer it" "er%ice" to the well being of a nation$ Apart from all thi"+ there i" another po"iti%e

point for the ,o%ernment &ector in thi" conte"t of ,o%ernment &ector 0" Pri%ate &ector+

that it ha" elected repre"entati%e"$ The"e repre"entati%e" are cho"en by the public who are

more tru"ted than any corporate honcho li#e (ill ,ate"+ &te%e Bob" or a Rupert 'urdoch$ It

i" needle"" to "ay that the Pri%ate &ector ha" no "uch intention" of u"ing popular %oting or

%eto power to en"ure it" wor#ing$ It i" pri%ate and that i" how it ha" to be treated$ No

tre"pa""ing i" "urely allowed on the pri%ate propertie"$

In fact to ta#e liberty at the di"cu""ion of ,o%ernment &ector 0" Pri%ate &ector+ it can be

"aid that both are e6ually important for any nation$ It "hould be ,o%ernment &ector and

Pri%ate &ector which "hould be the area of di"cu""ion$ A harmony between the two i"

re6uired for any nation to pro"per and grow$

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CHPTER- "

OBJECTIVES OF THE STUDY

OB@ETIVES

To identify impact of %ariou" Employee welfare acti%itie" on employee"* morale and

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organi3ational producti%ity in public and pri%ate "ector

To #now the amount of in%e"tment which wa" being made on welfare acti%itie" in public

and pri%ate "ector$

To #now how fle5ible are the welfare policie" in nature$ Do they "ati"fy

the need" of e%ery cla"" of employee" or not$

To identify that all the employee" of public and pri%ate "ector are well "ati"fied by the"e

policie" i$e$ the facilitie" they are being pro%ided or do they want any amendment" in the

e5i"ting policie" being followed by the management"

)hich "ector pro%ide" better employee welfare "er%ice" to their employee"

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CHAPTER-#

RESEARCH METHODOLOGY

METHODOOY

R!&!,+; !&'?:- E5ploratory re"earch de"ign

A""+o,; o$ %8:- ue"tionnaire ba"ed "tudy

S,*"l! &'!:- 9== -= employee" of pri%ate "ector organi3ation" and =

employee" of public "ector organi3ation"/

T8"! o$ ,#,:- Primary data a" well a" "econdary data

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• S,*"l'? *!#o:- Con%enience "ampling

S,*"l'? ,+!,:- Aligarh

S,*"l! %'#:- Employee" of pri%ate and public organi3ation" in Aligarh

PRIMARY AND SEONDARY DATA

To carry out the "tudy+ I u"ed both primary and "econdary data$ The "econdary data and

information ha%e been collected from %ariou" "ource" li#e bu"ine"" new"paper"+ ournal"+

maga3ine"+ R(I Report" and publication"+ Indian (an#ing A""ociation publication" etc$

Primary data ha" been collected through "tructured 6ue"tionnaire$

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CHAPTER-$

DATA ANALYSIS AND INTERPRETATION

DATA ANAYSIS AND INTERPRETATION

9$ Are you aware about all welfare acti%itie" pro%ided to the employee" in public and

pri%ate "ector

• Me"

• No

&ECTOR ME& NO

PF(LIC :=K ?=K

PRI0ATE


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PUBLIC PRIVATE

0%

10%

20%

30%

40%

50%

60%

70%80%

90%

100%

80% 75%

20% 25%

NO

YES

INTERPRETATION

)e found from the abo%e graph that :=K of the public "ector and


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?$ Are you "ati"fied with the amount being in%e"ted on employee welfare acti%itie" in

public and pri%ate "ector"

• &ati"fied

• Di""ati"fied

&ECTOR &ATI&IED DI&&ATI&IED

PF(LIC


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PUBLIC PRIVATE0%

10%

20%

30%

40%

50%

60%

70%80%

90%

100%

70% 65%

30% 35%

DISSATISFIED

SATISFIED

I#!+"+!#,#'o:

The gi%en graph "how that


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PUBLIC PRIVATE

0%

10%

20%

30%

40%

50%

60%

70%80%

90%

100%

65%55%

35%45%

DISSATISFIED

SATISFIED

I#!+"+!#,#'o:

The gi%en graph "how that K of public "ector and K of pri%ate "ector employee thin#

that welfare policie" are enough fle5ible in nature$ )hile ;K of public and @K of pri%ate

"ector do not thin# the "ame$

@$ Are employee welfare acti%itie" able to increa"e the morale of employee"

• Me"

• No

&ECTOR ME& NO

PF(LIC :=K ?=K

PRI0ATE


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PUBLIC PRIVATE

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

80%72%

20%28%

NO

YES

I#!+"+!#,#'o:

It can be interpreted from the abo%e table and graph that mo"t of the employee of both

public and pri%ate "ector thin# that welfare acti%itie" increa"e their morale$

SAFETY FAIITIES

5. Are you "ati"fied with %ariou" "afety facilitie" pro%ided by public and pri%ate "ector

to their wor#er"

• &ati"fied

• Di""ati"fied

&ECTOR &ATI&IED DI&&ATI&IED

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PF(LIC


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PUBLIC PRIVATE

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

55%

40%

45%

60%

NO

YES

I#!+"+!#,#'o:

The gi%en graph "how" that K of public "ector and @=K of pri%ate "ector employee thin#

that company ta#e" care of them while wor#ing in night "hift$ Re"t @K of public and =K

of pri%ate "ector employee" are not "ati"fied with "afety facilitie" of their organi3ation$

ANTEEN FAIITIES


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PUBLIC PRIVATE

0%10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

20%

35%

60%

63%

20%

2%

bad

a!"#a$!&'

(OOD

I#!+"+!#,#'o:

The gi%en graph "how" that ?=K of public "ector and ;K of pri%ate "ector employee thin#

that food" 6uality i" good+ =K of public "ector and ;K of pri%ate "ector employee thin#

food 6uality i" "ati"factory and remaining ?=K of public and ?K of pri%ate "ector

re"pondent" are not "ati"fied with thi" 6uality food$

:$ )hat le%el of hygiene i" maintained in the canteen

• ,ood

• &ati"factory

• (ad

&ECTOR ,OOD &ATI&ACTORM (ADPF(LIC ;=K =K ?=K

PRI0ATE @K ;K ?K

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PUBLIC PRIVATE

0%

10%

20%

30%

40%

50%

60%

70%80%

90%

100%

30%

45%

50%

53%

20%

2%

BAD

SATISFACTORY

(OOD

I#!+"+!#,#'o:

It can be interpreted from the abo%e table and graph that+ le%el of hygiene i" maintained

more in pri%ate "ector a" compare to public "ector$

>$ )hat type of lunch room and re"t room facilitie" pro%ided to the employee" in

public and pri%ate "ector"

• ,ood

• &ati"factory

•

(ad

&ECTOR ,OOD &ATI&ACTORM (AD

PF(LIC ?K =K 9K

PRI0ATE ;=K =K 9=K

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PUBLIC PRIVATE

0%

10%

20%

30%

40%

50%

60%

70%80%

90%

100%

25% 30%

60%60%

15% 10%

BAD

SATISFACTORY

(OOD

I#!+"+!#,#'o:

The gi%en graph "how" that =K of public "ector and =K of pri%ate "ector employee thin#

that lunch room facility i" "ati"factory and 9K of public "ector 1 9=K of pri%ate "ector

employee are not "ati"fied with the"e facilitie"$

MEDIA FAIITIES

10. Are you "ati"fied with the %ariou" medical benefit" pro%ided by organi3ation for the

employee" and their family

.ighly &ati"fied

&ati"fied

Di""ati"fied

&ECTOR .I,.LM

&ATI&IED

&ATI&IED DI&&ATI&IED

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PF(LIC ;=K K K

PRI0ATE =K @=K 9=K

PUBLIC PRIVATE

0%

10%

20%

30%

40%

50%

60%

70%

381 shilpi sharma

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