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DECLARATION I here by declare that this project report entitled A study on Fringe benefits provided by the Salem Co-operative

sugar Mills Ltd., Mohanur under the guidance of Mr. J. SHANMUGAN, MBA, PG Dip PMIR., is original and not a copy from in earlier reports. The conclusions and findings in this report is based on the information collected by me. I further declare that this project report has not been submitted to any other institutions for the award of any degree/ diploma or fellowship. Place: Erode Date: PRABHA. N.

ACKNOWLEDGEMENT I express my sincere thanks to Mrs. T. JAYALAKSHMI M.A., for giving me an opportunity to study M.B.A., in this esteemed institution. I would like to place my sincere and heartfelt thank to Mr. J. SHANMUGAN M.B.A., P.G DIP PMIR Lecturer, department M.B.A, for his valuable guidance and kind encouragement through the entire phase of the project. My heartfelt and sincere thanks to the director, department of Management Studies, Prof. A.E. THIAGARAJAN, M.SC., M.B.A., and also to the other staffs in our department. I expert my ratites to Mr. KRISHNAMOORTHY, Senior Manager and Mr.T. ULAGANATH (L.W.O) for providing me the

opportunity to do the project work in their esteemed organisation. My special thanks to Mr. RAJU (Special Officer) for helping me to do my project study in the Salem co-operative sugar mills LTD. Mohanur. My loving Thank to my parents, friends, who were a source of encouragement throughout my study. N. PRABHA

CONTENTS CHAPTER. NO I II III IV V VI VII VIII IX Introduction about the topic Company profile Objectives and limitations Research methodology Analysis and interpretations Findings Suggestions and recommendations Conclusion ANNEXURE Bibliography Questionnaire TITILE PAGE.N O

LIST OF TABLES S.N o 1. 2. 3. Page No

Tables Name Labours opinion about wage fixation Labours opinion about quarters facilities Labours opinion about medical aids in the case of emergency

4. 5. 6. 7. 8. 9. 10.

Labours opinion about Group insurance facilities Labours opinion about canteen facilities Labours opinion about Educational allowance Labours opinion about the promotion Labours opinion about Co- operative store facilities Labours opinion about uniforms Labours opinion about loans and advance during emergency

11. 12.

Labours opinion about tour allowance Labours opinion about Employment opportunity for their children

13. 14.

Labours opinion about Vehicle allowance Labours opinion about recreation facilities

LIST OF CHARTS S.N o 1. 2. 3. Page No

Charts Name Labours opinion about wage fixation Labours opinion about quarters facilities Labours opinion about medical aids in the case of emergency

4. 5. 6. 7. 8. 9. 10.

Labours opinion about Group insurance facilities Labours opinion about canteen facilities Labours opinion about Educational allowance Labours opinion about the promotion Labours opinion about Co- operative store facilities Labours opinion about uniforms Labours opinion about loans and advance during emergency

11. 12.

Labours opinion about tour allowance Labours opinion about Employment opportunity for their children

13. 14.

Labours opinion about Vehicle allowance Labours opinion about recreation facilities

Chapter I INTRODUCTION

Introduction to Human Recourse Management According to Indian institutes of personnel management Personnel management aims to achieve both efficiency and justice, neither of which can be purchased success fully without the other. It seeks to bring together and develop in to an effective organization, the men and women who make up an enterprise, enabling each to make his own best contribution to its success, both as an individual and as a member of working group. Managing human resource is the basic job of management. Neither general management nor any functional are would be able to successfully operate. If the management fails to manage the people who manage them hence, crux to manage a business is the capacity to management the people. The most import ant asset or resources of every organization is its human recourse, of take this fact has been recognized globally reluctantly. Companies have stated viewing their most important need if the hour the management philosophy here, there fore undergone a tremendous revival to the extent that even the manager, from the top to bottom in an organisation is now concerned with the HRM. Thus human recourse management has active a pivotal position in management.

Human resource management is a management function that helps managers plan, restricts, select, train and develop organization member. According to Edwin B. Flippo, HRM is the planning; organizing, directing, integration maintenance and separation of human recourse to the end that individual organization and social objective are

accomplished. SCOPE of HRM The scope of HRM is in deeded vast all the major attributes in the working site of an employee from the time of his or her entry in to an organization until he or she leaves comes under the preview of HRM. Specifically the activities included are human recourses planning, job analysis and design, recruitment and selection, orientation and

placement, training and executive remuneration, motivation. Objectives and Functional of HRM The primary objective of HRM is to ensure availability of competent and utility wok force to an organization. Beyond this there are other specific objectives too social organizational, functional and personnel.

HRM must perform certain functions in order to realize the above stated objective. Following table depicts the correlation between the objectives and the function.

HRM Function 1. Social objectives

Supporting Function Legal compliance Benefits Union Management

2.

Organizational objectives

Human resource planning Employee relation Recruitment and selection Training and development Appraisal Placement Assessment

3.

Functional objectives

Appraisal Placement Assessment

4.

Personnel objectives

a)

Training development

and

b) c) d)

Appraisal Placement Compensation

e)

Assessment

Structure and Functions of Personnel Department This department covers all the quality related functions of the personnel department. This department is responsible for the recruit and training of the personal of this division. The chief of the personnel department may reproduce the abstracts of these procedures as per the requirement for circulation in his department. The circulation and its control should be his

responsibility. Organization chart of Personnel Department Functional Personnel manager Labour welfares office Head timekeeper Timekeeper Clerk Tokens Attender

Introduction of Fringe Benefits According to the employers Federation of India., Fringe benefits include payments for non-working time, profit and bonus, legally sanctioned payments on social security schemes, workmens

compensation, welfare use, and the contribution made by employee under such voluntary schemes as cater for the post retirement Medical, educational cultural and recreational needs of workmen. The form also includes the monetary equivalent of free lighting, water, fuel etc., which are provided for workers and subsidized housing and related services. Fringe benefit is primarily a means in the direction of ensuring, maintaining and increasing the income of the employees. It is a benefit, which is of value to them and their families in so far as it materially increases their retirement. Objectives of Fringe Benefits a) To keep in line with the prevailing practice of offering benefits and services, which are, give by similar concerns. b) To recruit and retain the but personnel

c)

To provide for the needs of employees and protect them against hazards of life, particularly those which an individual cannot himself provides for

d)

To increase and improve employee morals and create a helpful and positive attitude on the part of worker towards their employees.

e)

To make the organisation a dominant influence in the lives of its employees with a view to gaining their loyalty and cooperation, encouraging them to greater productive efforts.

f)

To improve and furnish the organizational image in the eyes of the public with a view to improving it marked position and bringing about product acceptance by it.

g)

To recognize the official trade unions bargaining strength for a strong trade union generally constrains an employees to adopt a sound benefits and service programme for his employee.

Fringe Benefits Satisfy 3 Goals 1) Social Goal In the words of the Philadelphia charter 1944 Labour is not a commodity. It is entitled to a fair deal as an active participant in any programmes of economic development and social reconstruction. Article 43 of the continuation of India provides. All workers should be given a living wage, conditions of works on Ensuring decent standard of life and fuller enjoyment to ensure social and cultural opportunities. 2) Human Relation Goal The management through motivation tries to develop and maintain Human relations is Mutual interest, individual differences, motivation and human dignity. 3) Macro Economic Goal For growth and stability in the economy of a country. Fringe benefits do provide protection, during periods of contingencies of life, for training and development of the employee and for good working conditions and assistance to supplement their main income,

opportunities for social interaction through cultural recreational facilities etc., Types of Fringe Benefits Fringe benefits have been clarified as From the standpoint of account it is clarified in to 3 categories. 1. 2. As payment for time the job embracing over time payment Payment for time not on the job involving paid holidays, vacations, sick leave 3. Payment for varied benefits such as insurance, pension, meals, Bonuses etc., Fringe Benefits are also Categorized as Legally required benefits include a) b) Social security and medical care Unemployment compensation. Voluntary fringe benefits, which are provided, either unilaterally by the company or because of union mgt bargaining includes. compensation and workmens

a) b) c) d) e)

Insurance premiums and death benefits, Paid variation Payment for holidays not worked Pension plan premiums and allied programme Payment for holiday not worked on the job. Such as for rest, lunch, paid sick leave, payment for jury duty, festival or other special bonuses, service award and suggestion awards,

f)

Profit sharing payments free meals, employee education refunds, discount on goods and services of the company separation pay and allied items.

Fringe benefits in India When the employees federation of India conducted a study of fringe benefits in this country, it was revealed that, in 1960 981 companies, which were included in the surrey paid a little our Rs. 2,148.3 million in wages and fringe benefits And latter was about 21.4% total wages bill in that year. The fringe benefits were high in the mining (24.84% of the wage bill) and plantation inquiries (24.3% of the wage bill) and were

comparatively low in the manufacturing sector (19.99 % of the wage bill). Statutory Fringe Benefits These benefits are generally social security and includes gratuity and pension payments, employers contribution to the employees P.F. A/c and health insurance scheme. The employees contribution to statutory provident fund

constitutes by far the largest item totem of expenditure accounting for 4.25% of total wage bill in the plantations, mining and manufacturing industries. The expenditure on the employees state insurance

contribution by manufacturing industries was 0.36% the gratuity A/c was 0.59%. Voluntary Benefits Retirement Benefits, medical care compensation for injuries and disablement subsidized food and housing, educational and cultural facilities, payment on life insurance premier the maintenance of canteens, cafeterias, assistance of co operatic societies these are voluntarily offered by employees.

The expenditure on these benefits accounted for 9.40% of the total wage bill in the plantation industry against 3.74% and 4.12% in the mining and manufacturing industries respectively. In the manufacturing industries nearly two third o f the benefits were in the form of profit and bonus of payments for time worked and of contribution by employees to social security benefits. In the plantation and mining industries, however this percentage was 57% and slightly more than 50 respectively. Problem Raised by Benefits Programmes Charge of Paternalism When too many benefits and services are offered to employees, a feeling develops that employers and playing the role of parents the workers are looked upon as their children. Executive Expenditure The administration of these benefits and services in a fairly costly attain involving large outlays of direct and indirect financial expenditure. Fade become Fashionable With the introduction of these benefits and services in one company, other concern with one another to introduce to then as well

credit unions and severance pay are examples of benefits which were once considered to be novel but are now commonplace in industry.

Maintenance of Leaded Productions Workers Increase in benefits and service, employees, particularly when they are not very productive tend to stick to their jobs and are not interested in changing them. Neighed of other Personnel Funct ions When a management becomes more concerned about the provision and aduen of benefits services it often pays very little attention to other as parts of personnel programmes. The relationship between a companies benefits and service programmes as employees motivation for increased production is somewhat weak.

FRINGE BENEFITS PROVIDED BY THE COMPANY 1.Medical Facilities Free medical aid to self and their families at the mills dispensary. 2. Housing They are collecting nominal rent from the occupant as shown below C type and D type E type Workers quarters 3. Free Electricity The following quantity as fined by the commissioner and sugar is allowed at free of cost. Special Officer 100 units Chief officer 75 units Supervisory staff 50 units Other - 40 units - Rs 15/- per month - Rs 10/- per month Rs 8/- per month

4. Night shift Allowance They are paying Rs. 2./- as night shift allowance, in addition to 2 cups of free tea to night shift workers ie., 10 pm to 6am. They are giving 2 cups of free teen and 2 free buns to night shift workers and staff also.

5. Employees Games and Recreation They are having 3 clubs viz. officers, staff, and workers for each club they have provided on building, free electricity and water also supplying furniture and playing materials, colour television sets, the club boys wages are borne by the mills. 6. Tours Last year they conducted one study tour for workers and staff for 3 days. The transport cost alone borne by the mills. As pre the circular Rc. No. 13576/63/94 dated 12-05-94 lodging facilities and a daily allowance of Rs. 20/- per head will be all owed from the fourth coming tour. 7. Running schools and Polytechnic They are running a matriculation higher secondary schools and one polytechnic they are collecting nominal fees from the children of employees and cane groupers. 8. Uniform They are supplying 3 sets of polyesters uniform to all workers, Kakhi polyester uniform for watch and ward, other colour, polyesters uniforms to cleaners, officer attenders, office staffs, sweepers and white T.C. uniform to dispensary staff. This year they supplied same coloured uniforms to workers, attenders, officer staff sweepers, cleaners. Officers they supplied different coloured uniforms.

9. Stitching Charge Company providing Rs. 405/- as stitching charges for 3 sets of uniforms. 10. Foot Wear They are giving footwear to all workers as detailed below. Workers: Shoes Chap pals Staff: Shoes for all staff 11. Socks 2 pair of nylon socks are provided with shoes. 12. Washing Allowance They are paying Rs 45/- for all workers and staff. 13. Group Insurance Scheme Instead of linked insurance, they have opted for group insurance scheme. : : Up to semiskilled category

Unskilled workers only

14. Number of Quarters Available B Type C Type D Type E Type F Type Industrial housing scheme Total 15. Leave Benefit 1. Earned Leave Leave both for workers and staff one day for every 11 days of work performed. Accumulation up to 90 days. Eligible to encash 50% of earned leave at his credit subject to a maximum of 30 days. 2. Medical Leave 1 day for every 30 days of work performed. Accumulation upto 60day medical leave. 268 : : : : : : 6 Nos 6 Nos 30 Nos 44 Nos 34 Nos 148 Nos

3. Casual Leave 12 days for permanent employees and 6 days for seasonal employees. 4. National and Festival Holidays 18 days for office staff and 17 days for work are allowed one day optional holiday for staff and workers is allowed. 16. Attendance for Conciliation Permitting 2 representation of each union having minimum 15% of employee strength for state level conciliation Viz., Bonus, wage board etc., 17. Advance 1. Festival advance They are giving festival advance at the rate applicable to government servants from time to time both for permanent and seasonal employees. It shall be recovered in 10 monthly installments. At present Rs. 1,500/- for permanent employees and Rs.1,000/- for seasonal employees. 2. Pay advance, special Allowance

Company is not paying any pay advance and special allowance.

3. Cloth advance They are giving cloth advance Rs. 500/- with interest at 7%. 18. Educational Allowance and free Supply of Notebook Company is paying Rs. 100/- Rs. 75/- Rs. 50/- as book allowance to eligible employees. 19. Canteen Subsidy In our mills the canteen is run by the management. They are supplying dishes at subsidized rates are given below.

1 2

MEAL

RS. 2/RS. CUP 1.50 PAISE /

CURD RICE AND LEMON RICE

3 4

VEDAS, KARAM TEA

RS. 1.00 /EACH 75 PAISE / EACH

20. Other concessions extended if any Company issuing one towel once in 3 month and 1 KURINJI soap every moth to all our employees.

Chapter II COMPANY PROFILE Brief History of the Mills The Salem co- operative sugar mill is situated on the bank of river cauvery at a distance of 20 kms from Namakkal, which is the nearest town. The factory and residential colony is located in a extent of 148 acres of pettapalayam village. The SCSM was registered on 24.07.1960 and stated its first crushing on 7.04. 1964 with the crushing capacity of 1000 tonnes of cane per days at a plant cost as Rs. 110 lakhs. The crushing capacity of the mills was expanded to 1750 tones of cane per day during the year 1973-74 at a cost of Rs. 105.32 lakhs. The mills crushing capacity was further expanded to 2500 tonnes of cane per day during the year 197778 at a cost of Rs. 144 lakhs. Various Departments in SCSM Administrative section 1. 2. 3. Special officer Senior manager Section superidentend

4. 5.

Clerks At tender

Account Section 1. 2. 3. 4. 5. 6. 7. Chief accountant Accounts officer Accountants Cashier Assistant cashier Clerks At tender

Personnel Departments 1. 2. 3. 4. 5. 6. 7. Personnel manager Labour welfare officer Head time keeper Time keeper Clerk Token at tender Worker

Cane Department 1. 2. 3. 4. 5. 6. Chief cane officer Cane development officer Cane development assistant Cane assistant Clerks At tenders

Engineering Department 1. 2. 3. 4. 5. 6. 7. Chief engineer Deputy chief engineer Electrical engineer Assistant engineer Supervisors Clerks At tenders

Manufacturing Department 1. 2. 3. 4. 5. 6. 7. Chief chemist Deputy chief chemist Shift chemist Supervisors Clerks At tenders Workers

Administration Department It consist of 1. Establishment, which deal with the personnel department work. 2. Purchase section to purchase material by calling quotations from dealers, decide the lowest quotation and place orders for supplying the materials to the mills for the continuous running. 3. Sales section deal the release of sugar allotted by the chief director of sugar New Delhi every month. The levy sugar is

supplied to civil supplies and the free marked sugar is sold by the Tamilnadu sugar federation Chennai. Stores The Sugar mill has got full-fledged stores, maintaining carder system and slowly changing to computerization. The value of the store inventory is as one 30.11.99 around Rs. 182.04 lakhs. Godown The storages capacity of Godown is 3. 55 lakhs quintals. 98-99 stock as on 9-12-99 123918 quintals. 99-2000 stock as on 9-12-99 42700 quintals. Accounts Department The finance department is handled by chief accountant. The mill was commenced with a share capital of Rs. 24.96 lakhs by growers and Rs. 25 lakhs by government of Tamil Nadu during 1963. Initially the mills had borrowed from Industrial Finance Corporation of India and ReFinance Corporation of India to the extent of the 90 lakhs and Rs. 10 lakhs respectively. All the term loans obtained prior to modernisation were cleared well in advance and the repayment of term loan obtained form NCDC for

modernization have been paid in due date up to march 96. The installment for the loan obtained form NCDC for modernization and distillery of Rs 1174.96 lakhs including interest is not paid on due dates i.e., in October 99 due to financial crisis. The present share capital is Rs. 426.21 lakhs, which include Government share of Rs. 30.32 lakhs. Cane Development Finance Company have obtained a sum of Rs. 272.96 lakhs at 6% rate of interest form the Government of India towards sugarcane development fund loan and distributed to the cane growers at concessional rate of interest at 8% for well deepening and for digging new wells and other cane development activity. Infrastructure Financing An amount of Rs 145 lakhs has been spent for establishing and maintenance of a polytechnic by the sugar mills, which is imparting technical education for the wards of cane growers and employees. Distillery Finance The distillery project has been envisaged at a cost of Rs. 14.72 crores. out of this a sum of Rs 12.86 crores has been spent towards the project cost. The project cost is met by availing form loan of Rs. 708 lakhs from NCDC and the balance cost is met out of own contribution.

Financial position At present the mills is having share capital of Rs. 426.21 lakhs as growers contribution including Rs. 30.32 lakhs as government

contribution. The mills has also borrowed fixed deposits of Rs. 1915.55 lakhs form cane growers and co-operative societies and blocked loans of Rs. 950.00 lakhs form Salem district central co-operative Bank, Salem. For regularizing the cover deficit in cash credit account. The blocked loan so received has been fully repaid with interest. Pending Payments details Due to non-receipt of official can price from the government of India the mills is paying cane price at Rs. 539.40 per M.T. i.e., the price announced for the 1998-1999 season. Amount due form other mills A sum of Rs. 92.58 lakhs is due from subramaniasiva co-operative sugar Mills toward short-term loans interest and cane valued as on 30.11.99. Details Short term loan (15.5.96) Rs. 92.99 Lakhs Principal interest cane payment Rs. 0.36 Lakhs -------------------Total Rs. 92.58 Lakhs

---------------------

Cane Department The mill is having 10cane divisional office each under the control of a cane officer. 4cane development assistant and 42cane assistance are working under the control of cane officer. It having 11 fertilities and pesticides depots through out the area for the benefits of the grower. Fertilizer and pesticides are sold at concessional rate to the growers. They have registered 9.190 areas for 1999-2000 crushing season. Nearly 260 areas have perished and 9 areas have been diverted for jaggery and 31 acres have been utilized for selfs upto 9-12-99. They expect to crush 4.15 lakhs MT for 1999-2000 crushing season. They had crushed 58,433 MT of cane upto 9-12-99. For 1999 - 2000 planting season. They had started out planting from the 4th lakes of September 1999. Because of leavy intermittent rainfall during the month of October and November planting was very much affected. More over due to delay started of the crushing season and poor mills crushing performance I the beginning. They could achieve the ration on fergettedares.

Engineering and Manufacturing Department The details of the technical parameter achieved during 19992000. crushing season as compared to the last season is 1998-1999 is as follows. 1999-2000 S.No. 1 2 3 4 5 6 7 8 9 10 11 12 13 14 Cane crushed Sugar bagged Recovery Pol % cane Total losses Time lost % times available Primary juice brix Primary Juice purity Mixed juice brix Mixed juice purity Imbibiton % fibre Whole red uced mill extraction Reduced boiling house recovery Final molasses purity season ( as on 9-12-99) 58433 42700 8.21 9.92 1.73 16.08 15.18 80.00 11.66 78.04 253.00 95.64 91.91 30.42 19981999 season 506561 32660 7.03 8.74 1.73 5.31 14.76 77.39 10.36 75.19 263.00 95.64 92.34 28.6

All steps have been taken to achieve technical parameter with in the norms as prescribed by the commissioner of sugar to our level best. Labour Welfare Department Time office and canteen have been placed under the direct control of L.W.O. In the time office, workers attendance and leave register all

maintained. As on date they are having the employees on various categories. The sanctioned strength for the mills as per the approved staffing pattern is 793. The surplus hands are allowed to continue till they retire, resign or transfer and these variances will not be filled up so far totally 66 persons have left our service on the voluntary retirement scheme. The welfare officer is looking after the welfare activities like canteen, clubs and school in addition to the implementation of various labour laws in the mills. They are supplying 2 cups of free tea to all employees in each shift. In addition to free tea we are giving two buns during night shift Rs. 2 per day is paid as night shift allowance. They are introducing group Insurance scheme for a value Rs. 60,000 per employee who die in harness. They are paying book allowance to the children of our employees to a value of Rs. 100, Rs. 75 and Rs.50 as per eligibility. They are also honoring the wards of the employees who are getting Ist and 2nd rank in 10th std and 12th std by giving cash incentive Rs. 1500/ Rs. 1000/ Rs. 2000/- Rs 1500/- respectively.

They are giving advance to the employees at the rate of Rs. 10,000/- Rs. 6000 for females a male employee a daughter sons of the employers at lesser rate of interest 2%. And co-operative stores for credit and they are providing soap and towel once in 3 month. 4-recreation club for officer staff workers and ladies. And conduction study tour for 3 days with in Tamil Nadu for our employee They have been paying the maximum bonus of 20% continually for the part 15 years. Civil Department Present stage of on going civil works. A repair and maintenance Mills, Factory, Building and Non- factory Building.

Bio Composing Yard 1. Phare II Bio compost yard estimate Rs 38lakhs

was approved by the commissioner of sugar vide latter for RC. No. 27326/98/E2, dated 1-12-98 now the work is completed in all respects. The final bill is yet to be paid. 2. Formation of B.T. road for Bio composting yard

Rs. 1. 81 lakhs was approved by the special officer. The work was completed in all respects and final bill paid 3. Bio Composting yard office shed

The work is completed in all respects. The work is completed departmentally. 4. Distillery Unit The Government of India have issued license to our Mill to establish a distiller unit in the year 1990. The capacity of the plant is 55,000 litres Industrial Alcohol (Rectified spirit) and 10,000 litres of Extra Neutral Alcohol production per day. This is the first unit being established under the co-operative sector in Tamil Nadu. Construction of mini cooling tank.

The plant is established in the sugar mills premises in 25 areas of land. It is a modern distillery project based on continuous fermentation technology viz. HI FERM Continuous fermentation technology by M/s. Praj Industries Pvt., Ltd., Pune. In order to makes this plant self contained independent due to year long operation, capitals power generation. High presume is steam is included also the meet the Tamil Nadu pollution control Board norms. Full fledged effluent treatment system with Bio - gas plant and aerobic and aerobic treatment plant is incorporated in this distillery unit. The bio - gas thus generated out of the effluent will be used as fuel in the boiler for steam generation.

Project Cost The project is estimated at a cost of Rs. 1471.80 lakhs as details below. Land Building Plant and machinery Other assets Pre-operative expenses Margin money for w.c Provision for contingency Total 10.00 49.45 649.85 566.30 159.20 27.00 10.00 1471.80

Loan form NCDC From generation Total own

Rs. 708.00 Lakhs Rs. 763.80 Lakhs

1471.80 Lakhs

GENERAL AWARDS TO THE MILLS 1. TamilNadu co-operation Union, Tamilnadu selected our mills for the best co-operation sugar mills in Tamil Nadu continuously for 10 year from 1978-79 to 1987-88. 2. In 1981 82 and 1986 87 Dr. Mahalingam Award was given to the mills for the Best Mechanical Efficiency among private and co-operatives sugar Mills in South India. 3. The National Federation of Co-operative Sugar Factories has selected our mills as the III best co-operatives sugar mills in India for Technical efficiency for 2 time successively during 1982-85 & 4. 1985 88.

The National Federation of co-operation Factories Ltd., has also awarded I prize in All India level cane development (low Recovery zone) works for the year 1991 92. The award was delivered by Honorable Mr. Balram Jalkear, Minister for Agriculture Government of India on 30-09-92.

Chapter -III OBJECTIVES OF THE STUDY 1. To find out the dis-stipulated fringe benefits provided by the company 2. To find out the employees attitude towards the prevailing fringe benefits provided by the company. 3. To analyse the industrial relationship existing between the management and the employees of the company. 4. To study about the social security measures by the employees. 5. To analyse the implementation of personnel policies of the company.

LIMITATION OF THE STUDY 1. 2. The survey was limited to only limited number of labourers. Due to the short span of time only limited number of labours could be interviewed. 3. Information about the fringe benefits was collected from respondents from this knowledge. 4. The findings are only based on the information given by the respondents. 5. The data was collected Nonprobability sampling

techniques. Hence the study was limited to a limited number of employees and would not cover the opinion of all the employees. 6. The period of the project was only 8 weeks, hence a detailed study was not been able to made.

Chapter -IV RESEARCH METHODOLOGY Research Design The study was about the fringe benefits provided by the Salem co-operative sugar mills LTD., Mohanur. through different sources. The primary data was collected through personnel interviews, observation and questionnaire. Secondary data was collected from company journals, public reports, company records, and project reports. Sampling Design A sample design is a definite plan for obtaining a sample from a given population. The non -probability sampling method is adopted. Non- probability is that sampling procedures which does not afford any basis for estimating the probability that each item in the population has being included in the sample. The researcher has adopted the nonprobability sampling procedure, as it was convenient in conducting the research study. The datas was collected

Collection of Data Both primary and secondary data are employed in this study. Secondary data were collected from company books, reports, particular and records and reports. For primary data questionnaire were prepared circulated and collected. Frame work of Analysis In order to study the collective bargaining process of the company various statistical tools such as percentage analysis have been used for an easy understanding and a few diagrams have been also incorporated. Sample Size Considering the nature and extent of the time constraints a sample of 80 employees were taken for this study.

Chapter -V ANALYSIS AND INTERPRETATIONS TABLE 1 Labours opinion about wage fixation

Factors

No. Of respondents

Percentage

Excellent Good Satisfied Poor Total Inference

2 2 19 57 80

25 5 23.75 71.25 100

The above table clearly shows that more than 70% of the respondents said that wage fixation was poor, 23.75% of them were satisfied and remaining 2.5% was said that wage fixation was good and excellent.

TABLE 2 Labours opinion about quarters facilities

Factors

No. Of respondents

Percentag e 60 40 100

Provided Not Provided Total Inference

48 32 80

The above table clearly shows that more than 60% of the respondents say that they are provided quarter facility and 40% were not provided.

TABLE 3 Labours opinion about medical aids in case of emergency

Factors Eligible Not eligible Total Inference

No. Of respondents 62 18 80

Percentage 77.5 22.5 100

The above table clearly shown that 77.5% of the respondent were said that medical aids are provided and 22.5% were said that it is not available.

TABLE 4 Labours opinion about group insurance facilities

Factors

No. Of respondents

Percentage

Good Bad Total Inference

80 80

100 100

The above table shows clearly that 100% of the respondents as satisfied with group insurance policy and that are provided by the company.

TABLE 5 Labours opinion about canteen facilities

Factors

No. Of respondents

Percenta ge 2.5 2.5 42.5 52.5 100

Excellent Good Satisfied Poor Very poor Total Inference

2 2 34 42 80

The above table clearly shows that 52.5% of the respondents are not satisfied with canteen facilities and 42.5% were said that it is poor and remaining 2.5% said that it is excellent and good.

TABLE 6 Labours opinion about educational allowance

Factors Eligible Not eligible Total Inference

No. Of respondents 51 29

Percentag e 63.75 36.25

80

100

The above table clearly shows that 63.75% of the respondents were said that they are provided by childrens educational allowance and 36.25% said that they are not provided.

TABLE 7 Labours opinion about the promotion

Factors

No. Of respondents

Percenta ge 82.5 17.5

Experience Educational qualification Recommendation Performance appraisal Others Total Inference

66 14

80

100

The above table clearly shown that 82.5% of the respondent said that promotion is based on experience and remaining 17.5% were promoted by educational qualification.

TABLE 8 Labours opinion about co-operative store facilities

Factors

No. Of respondents

Percenta ge 100 -

Satisfied Dissatisfie d Total

80 -

80

100

Inference The above table clearly shows that 100% of the respondent are provided by co-operative store facilities.

TABLE 9 Labours opinion about uniforms

Factors

No. Of respondents

Percenta ge 95 5 100

Satisfied Dissatisfied Total Inference

76 4 80

The above table shows that 95% of the respondents as satisfied with uniforms provided, remaining 5% were dissatisfied.

TABLE 10 Labours opinion about loans and advance during emergency

Factors Satisfied Dissatisfied Total Inference

No. Of respondents 17 63 80

Percentage 21.25 78.78 100

The above table show that 78.78% of the respondents as not satisfied with loans and advance provided by them, remaining 21.25% were satisfied.

TABLE 11 Labour opinion about tour allowance

Factors Available Not available Total Inference

No. Of respondents 80

Percentage 100

80

100

The above table clearly shows that 100% of the respondent as not provided the tour allowance.

TABLE 12 Labour opinion about employment opportunity for their children

Factors

No. Of respondents 12 68

Percentag e 15 85 100

Yes No Total Inference

80

The above table clearly shows that 85% of the employee as not satisfied with employment opportunity for the children, remaining 15% of the employee are satisfied.

TABLE 13 Labour opinion about vehicle allowance

Factors Available Not available Total Inference

No. Of respondents 80

Percentage 100

80

100

The above table shows that 100% of the employee as not provided by vehicle allowance.

TABLE 14 Labour opinion about recreation facilities

Factors

No. Of respondents

Percentag e 25 -

Indoor games Out door games Video-audio Drama Picnic tour No response Total Inference

20 -

46 14 80

57.5 17.5 100

The above table shows that 57.5% of the respondent were said that video-audio are provided for recreation and 25% were said that indoor games reaming 17.5% are not ready to say about recreation facilities.

Chapter -VI FINDINGS By analysing the collected data the following findings are arrived. 1. Regarding wage fixation most of the employees are not satisfied and rated poor. 2. Residential quarter are available really half of the employee and it is noted that provision of quarters are only to senior employee putting 15 year of service. 3. During emergency medical aid is provided for most of the employees. 4. Group insurance scheme is available in the company and covered a life of all employees. 5. It is very sorry to note that the company is running a canteen with poor quality and some times with poor quality and some times very poor quality of food stuff. 6. It is found that allowance for children education an being provided for eligible employees,

7.

Promotion to higher status is considered by counting the experience is the particular trade and some time very rarely higher education place a part.

8.

It is found out that the co-operative store is functioning effectively and satisfying all the employee of the

organisation. 9. The uniform supplied by the company to the employees are also satisfying most of the employees. 10. Loan and advances not properly paid to the employees and rules and regulation on this category an not followed clearly.

Chapter -VII SUGGESTION AND RECOMMENDATION Based on the findings arrived through analysis the following suggestion are reported. 1. It is strongly recommended that the company should take immediate step in constructing wage fixation in comparison with all other competition of the same industries. 2. It is suggested that the company should construct more number of quarters in apartment system to provide residence to all employees to that the morale will get improved. 3. Medical aid is an important factor for human being whether he is new employees or serviced employee. Therefore its suggested that the management should not show partiality in giving medical aid to their employee. 4. It is strongly recommended that the company should remodeled the canteen and try to make available the food stuffs with good quality and reasonable price.

5.

Though promotion is given on the basis of the number of years of services advisable to maintain the morale of the employees, the modern technique such as performance appraisal. Training and development as also should be used in considering promotion.

6.

It is suggested to relax the norms regarding loans and advance payable to employees during emergency.

7.

Nowadays relaxation and recreation are important factors for hard working employee. After a continuous hard work in the factory through out the year the employee may like to go for with their family member for week or ten days. It is suggested that the company may consider ten days leave with full pay and some allowances for tour.

8.

It is suggested that the company may gives advance for purchasing a vehicle especially two wheeler to employees.

It is very hard to know a family without a wheeler in these days.

Chapter - VIII CONCLUSION In general the opinion about the company is not providing required fringe benefits to their employees. Fringe benefits are very strong motivation and by various studies conducted by India, the companies, which are reputed, are allowing lot of fringe benefits to their employees. Therefore it is hoped that the company may implement some of the suggestion and recommendation made by this study report and much towards a reputation.

Chapter -IX BIBLIOGRAPHY

C.B.Mamoria

- PERSONNEL

MANAGEMENT

HIMALAYA PUBLISHING HOUSE Edwin B. Flippo C.R. Kothari - PERSONNEL MANAGEMENT - RESEARCH Prakashan Tripathi - PERSONNEL INDUSTRIAL MANAGEMENT RELATION & METHODOLOGY

Published by V.S.JOHIR for wishwa

sultan

Chand & sons new Delhi

THE SALEM CO-OPERATIVE SUGAR MILLS LTD. MOHANUR 1. Name 2. Sex 3. Age 4. Qualification 5. Designation / Department 6. Service : : : : : :

7. Present Salary Drawn Gross: 8.Are you satisfied with wage fixation Excellent [ ] Good [ ] Satisfied [ ] Poor [ ]

9. Whether you are facilitated with Quarters. Yes [ ] No [ ]

10. Whether they company provide medical aids in case of emergency Yes [ ] No [ ]

11. Do you have group Insurance facilities Yes [ ] No [ ]

If yes what is the sum awarded 12. Opinion about canteen facility Excellent Very poor [ ] [ ] Good [ ] Satisfied [ ] [ ] Poor [ ]

No comments

13. Whether your children getting any educational allowance Yes [ ] No [ ]

14. Do you have the following leave facilities C.L.[ ] M.L. [ ] ] 15. Promotion is based on Experience [ ] Educational Qualification [ ] E.L. [ ] Day L [ ] L.O.P [ ] Other [

Recommendation [ ]

Performance appraisal [ ] Other [ ]

16. Whether employees Co.Operative stores function is available Yes [ ] No [ ]

17. Whether uniforms are provide Yes [ ] No [ ]

18. What are all the recreation facilities available in your organisation? Indoor Games [ ] Outdoors Games [ ] Drama [ ] Picnic and Tour [ ] Video-audio [ ]

19. How much amount is offered to you and your family in sings the communities are marriage hall?

20. Whether the company offering loans and advances for you and your family during emergency. Yes [ ] No [ ]

21. You have tour allowance for your family Yes [ ] No [ ]

22. Is the Company provide employment opportunity for your children at the time of retirement (or) in the event of death Yes [ ] No [ ]

23. What are other fringe benefits you expect?

24. What the company provide vehicle allowance petrol allowance if yes How much Yes [ ] No [ ]